Does the Cinnaholic General Release apply to claims asserted by members of Cinnaholic?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
| This General Release is made effective this day of, 20 In consideration for the grant by Cinnaholic Franchising, LLC, a Georgia limited liability company ("CINNAHOLIC"), to the undersigned of certain rights in connection with transfer or renewal thereof, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the undersigned, individually and collectively, hereby unconditionally release, discharge, and acquit CINNAHOLIC, its past and present subsidiaries and affiliates, and its and their shareholders, owners, directors, officers, managers, members, partners, employees, agents, representatives, successors and assigns, from any and all liabilities, damages, claims, demands, costs, expenses, debts, indemnities, suits, disputes, controversies, actions and causes of action of any kind whatsoever, whether known or unknown, fixed or contingent, regarding or arising out of any prior or existing franchise relationship, development agreement, franchise agreement or any other agreement executed by any of the any CINNAHOLIC Bakery (whether currently or of them), or any other prior or existing business relationship between any of the undersigned and CINNAHOLIC (or any subsidiary or affiliate individually or collectively has asserted, may have (or any of the specifically, without limitation, claims arising from contract, written or oral communications, alleged misrepresentations, and acts of negligence, whether active or passive. This General Release shall survive the assignment or termination of any of the franchise agreements or other documents entered into by and between CINNAHOLIC and any of the undersigned. This General Release is not intended as a waiver of those rights of the undersigned which cannot be waived under applicable state franchise laws nor is it intended to relieve CINNAHOLIC or any other person, Maryland Franchise Registration and Disclosure Law. This General Release shall be governed by and construed in accordance with the laws of the State of Georgia without regard to its conflicts of law provisions. WITNESS: | the operation of a CINNAHOLIC Bakery and/or the undersigned and CINNAHOLIC (or any subsidiary or affiliate of CINNAHOLIC), previously owned or operated by the undersigned or any of CINNAHOLIC), which the undersigned or any of them asserted or could have asserted against CINNAHOLIC aforementioned related parties) at any time up to the date of this General Release, including directly or indirectly, from liability imposed by the |
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Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION THE FRANCHISE RELATIONSHIP (FDD pages 42–50)
What This Means (2025 FDD)
According to the 2025 Cinnaholic Franchise Disclosure Document, the General Release applies to claims that have been or could have been asserted against Cinnaholic by the undersigned, which includes members, at any time up to the date of the General Release. This release covers all liabilities, damages, claims, and causes of action, whether known or unknown, arising from the franchise relationship or any other agreement.
This means that franchisees who sign the General Release are giving up their right to sue Cinnaholic for any past or present issues related to their franchise. This could include claims related to the franchise agreement, misrepresentations, or negligence. The General Release survives any assignment or termination of franchise agreements.
However, the General Release does not act as a waiver of rights that cannot be waived under applicable state franchise laws. It also does not relieve Cinnaholic from liability imposed by the Maryland Franchise Registration and Disclosure Law. The General Release is governed by the laws of Georgia, regardless of its conflict of law provisions.
Prospective Cinnaholic franchisees should carefully review the General Release with legal counsel to understand the full scope of the claims they are waiving and the potential implications for their rights and remedies.