How can the Core Group Restoration Franchising Release be modified?
Core_Group_Restoration_Franchising Franchise · 2025 FDDAnswer from 2025 FDD Document
WHEREAS, Franchisor and Franchisee have entered into a Franchise Agreement ("Agreement") pursuant to which Franchisee was granted the right to own and operate a CORE Business;
WHEREAS, [Franchisee has notified Franchisor of its desire to transfer the Agreement and all rights related thereto, or an ownership interest in Franchisee, to a transferee/enter into a successor franchise agreement/amend the Agreement] or [the Agreement is being terminated/or indicate other reason for the requirement of this waiver and release], and Franchisor has consented to such [transfer/successor franchise agreement/amendment/termination/other reason]; and
Source: Item 22 — CONTRACTS (FDD page 55)
What This Means (2025 FDD)
According to Core Group Restoration Franchising's 2025 Franchise Disclosure Document, the CORE Group Restoration Franchise General Release Agreement can be modified under specific circumstances. The document states that the release is made when a franchisee notifies Core Group Restoration Franchising of their desire to transfer the Franchise Agreement, transfer ownership, enter into a successor franchise agreement, or amend the agreement. The release is also applicable if the agreement is being terminated or for any other reason requiring a waiver and release.
Core Group Restoration Franchising must consent to the transfer, successor franchise agreement, amendment, or termination for the release to be executed. This indicates that the release is not a unilateral action by the franchisee but requires mutual agreement and specific conditions to be met. The modification or release of obligations is contingent upon these pre-defined scenarios and the franchisor's consent.
This process is typical in franchising, where releases are often required during transfers, terminations, or significant changes to the franchise agreement to protect the franchisor from future claims. Prospective franchisees should understand the conditions under which a release is required and ensure they are comfortable with the terms before signing the Franchise Agreement. It is advisable to seek legal counsel to review the release and understand its implications fully.