What is being released in the context of this City Wide agreement?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee hereby absolutely and forever releases and discharges CITY WIDE and its Related Parties (as defined below), from and against any and all Claims (as defined below) of Franchisee arising out of or relating to the offer or sale of the Franchise Agreement(s), including violations of any federal or state law, rule, or regulation pertaining thereto. "Related Parties" means predecessors, affiliates, agents, employees, successors, assigns, and their respective officers, directors, shareholders, heirs, executors, and representatives. "Claims" means any and all claims, proceedings, demands, causes of actions, rights to terminate and rescind, liabilities, losses, damages, and rights of every kind and nature whatsoever, whether now known or unknown, suspected or unsuspected, at law or in equity, which the releasing party now has, owns or holds, at any time before this time ever had, owned or held, or at any time after this time has, owns or holds. Franchisee hereby irrevocably covenants not to assert, or to initiate any suit or proceeding based in whole or in part upon any Claim released hereunder.
Source: Item 23 — RECEIPT (FDD pages 65–271)
What This Means (2025 FDD)
According to the 2025 City Wide Franchise Disclosure Document, the agreement involves the franchisee releasing City Wide and its related parties from any claims related to the offer or sale of the franchise agreement. This release covers all claims, proceedings, demands, causes of actions, rights to terminate and rescind, liabilities, losses, damages, and rights of every kind, whether known or unknown, suspected or unsuspected, at law or in equity. The franchisee also agrees not to initiate any suit or proceeding based on any claim released under this agreement.
This release is a comprehensive waiver of rights by the franchisee, meaning they cannot later sue City Wide for issues arising from the franchise sale, offer, or agreement, including violations of federal or state laws. Related parties include City Wide's predecessors, affiliates, agents, employees, successors, assigns, and their respective officers, directors, shareholders, heirs, executors, and representatives. This ensures that a wide range of individuals and entities associated with City Wide are protected by the release.
The document also states that the release supersedes any prior negotiations and agreements, whether oral or written, related to the subject matter. It can only be amended in writing and signed by all parties. Each party acknowledges that they have read and fully understand the release and have had the opportunity to seek legal advice before signing. This is a standard practice to ensure that franchisees are fully aware of the implications of the release and are entering into it knowingly and voluntarily.
It is important to note that this release does not waive any liability City Wide may have under the Washington Franchise Investment Protection Act, RCW 19.100, and the rules adopted thereunder. Additionally, franchisees in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington and Wisconsin are instructed not to complete the Statement of Prospective Franchisee, and residents or businesses located in California, Maryland, or Washington should not sign the Statement of Franchisee.