factual

Does the Cinnaholic General Release cover liabilities related to any Cinnaholic Bakery?

Cinnaholic Franchise · 2025 FDD

Answer from 2025 FDD Document

and executed this Addendum on
FRANCHISOR: FRANCHISEE:
CINNAHOLIC FRANCHISING, LLC If an Individual:
By: Print Name: Title: Signature: Print Name: If other than an Individual: By: Name: Title: #### Schedule 1

General Release

(See Attached)

GENERAL RELEASE

| 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 the operation of a CINNAHOLIC bakery and/or the 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 undersigned and CINNAHOLIC (or any subsidiary or affiliate of CINNAHOLIC®), any CINNAHOLIC® Bakery (whether currently or previously owned or operated by the undersigned or any of them), or any other prior or existing business relationship between any of the undersigned and CINNAHOLIC® (or any subsidiary or affiliate of CINNAHOLIC®), which the undersigned or any of them individually or collectively has asserted, may have asserted or could have asserted against CINNAHOLIC® (or any of the aforementioned related parties) at any time up to the date of this General Release, including 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.

Source: Item 22 — CONTRACTS (FDD pages 61–62)

What This Means (2025 FDD)

According to Cinnaholic's 2025 Franchise Disclosure Document, the General Release covers liabilities related to any Cinnaholic Bakery. Specifically, it releases Cinnaholic from liabilities, damages, claims, and actions arising out of any prior or existing franchise relationship or agreement. This includes any Cinnaholic Bakery, whether currently or previously owned or operated by the franchisee.

This means that by signing the General Release, a franchisee waives their right to sue Cinnaholic for issues related to their franchise, including those connected to the operation of a Cinnaholic Bakery. This release extends to claims arising from contracts, communications, alleged misrepresentations, and acts of negligence.

However, the General Release does not waive 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, without regard to its conflicts of law provisions.

Prospective franchisees should carefully review the General Release with legal counsel to fully understand the scope of the liabilities they are waiving and the implications for their rights and potential claims against Cinnaholic.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.