Does the Cinnaholic franchisee waive claims related to the loss of association with Cinnaholic Franchising, LLC?

According to Cinnaholic's 2025 Franchise Disclosure Document, a franchisee expressly and specifically waives any claims, demands, or damages arising from or related to the loss of Cinnaholic Franchising, LLC's name, the Marks (or any variation thereof) and the Cinnaholic system and/or the loss of association with or identification of Cinnaholic Franchising, LLC, under the Franchise Agreement. This waiver is connected to potential sales, assignments, and dispositions by Cinnaholic.

This means that Cinnaholic retains significant flexibility in altering its business structure, including selling the company, its assets, or its trademarks. They can also go public, engage in private placements, merge with or acquire other corporations, or undergo financial restructuring. The franchisee cannot claim damages if these actions result in a loss of association with the original brand or system.

This waiver is a significant consideration for potential franchisees. While it allows Cinnaholic to adapt and grow, it also means the franchisee bears the risk of changes to the brand's identity and market presence. It is important for prospective franchisees to assess their comfort level with this potential instability and consider how it might impact their investment and business operations. Franchisees should seek legal counsel to fully understand the implications of this waiver and negotiate terms if possible.