Under what law does the Crab N Spice General Release not apply?

According to the 2024 Crab N Spice Franchise Disclosure Document, the general release required as a condition of renewal, sale, and/or assignment/transfer does not apply to any liability under the Maryland Franchise Law. This is specified in the Maryland Rider to the Franchise Agreement.

This means that if a Crab N Spice franchisee in Maryland is asked to sign a general release (typically during renewal, sale, or transfer of the franchise), that release will not protect Crab N Spice from liabilities arising from violations of the Maryland Franchise Law. The Maryland Franchise Law is defined as the Maryland Franchise Registration and Disclosure Law, Business Regulation Article, §14-206, Annotated Code of Maryland.

This provision ensures that franchisees in Maryland retain their rights under Maryland franchise law, even if they sign a general release. It prevents Crab N Spice from using a general release to circumvent the protections afforded to franchisees by Maryland law. Prospective franchisees in Maryland should be aware of this protection, as it ensures that they cannot inadvertently waive their rights under the Maryland Franchise Law through a general release.