What is the effect of a violation of the Craters & Freighters agreement on the release?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
___ and the Franchise Agreement. The Franchisee Releasing Parties acknowledge and agree that the foregoing waiver is an essential, integral, and material term of this Agreement. The Franchisee Releasing Parties further acknowledge and agree that no violation of this Agreement will void the release set forth in this Agreement.
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- Confidentiality.
Source: Item 23 — RECEIPTS (FDD pages 50–193)
What This Means (2025 FDD)
According to the 2025 Craters & Freighters Franchise Disclosure Document, a violation of the agreement will not void the release. The document states that the franchisee releasing parties acknowledge and agree that no violation of the agreement will void the release set forth in the agreement.
This means that even if either party violates the franchise agreement, the release remains in effect, preventing the franchisee from pursuing claims covered by the release. This is a significant point for prospective franchisees to consider, as it limits their ability to seek legal recourse for certain issues that may arise during the franchise term.
However, the release of claims does not apply to claims arising under the Washington Franchise Investment Protection Act, RCW 19.100, and the rules adopted thereunder. This exception provides some protection to franchisees in Washington State under specific franchise laws. Prospective franchisees should carefully review the terms of the release and consult with an attorney to understand its implications fully.