For Cinnaholic franchises in Maryland, what claims are NOT subject to the general release language required as a condition of sale, assignment, or transfer?

According to Cinnaholic's 2025 Franchise Disclosure Document, the general release required as a condition of sale, assignment, or transfer for Maryland franchises does not apply to claims arising under the Maryland Franchise Registration and Disclosure Law. This means that franchisees in Maryland retain their rights to pursue claims under this specific state law, even after signing a general release.

This protection ensures that Cinnaholic franchisees in Maryland are not barred from bringing legal action related to violations of the Maryland Franchise Registration and Disclosure Law. This could include claims related to misrepresentation or inadequate disclosure during the franchise sales process. The FDD also specifies that any claims arising under the Maryland Franchisor Registration and Disclosure Law must be brought within three years after the grant of the franchise.

In essence, this provision provides an added layer of protection for franchisees in Maryland, ensuring that they do not inadvertently waive their rights under state franchise law when signing a general release during a sale, assignment, or transfer of the franchise. This is a significant benefit for franchisees as it allows them to address potential issues related to franchise registration and disclosure without being restricted by the general release agreement.