Does the release in Section [
Delta_Hotels_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
- C. WAIVER.
ASSIGNOR, ON BEHALF OF ITSELF AND THE ASSIGNOR RELEASORS, WAIVES ANY RIGHTS AND BENEFITS CONFERRED BY ANY APPLICABLE PROVISION OF LAW EXISTING UNDER ANY FEDERAL, STATE OR POLITICAL SUBDIVISION THEREOF WHICH WOULD INVALIDATE ALL OR ANY PORTION OF THE RELEASE CONTAINED HEREIN BECAUSE SUCH RELEASE EXTENDS TO CLAIMS WHICH THE ASSIGNOR RELEASORS DO NOT KNOW OR SUSPECT TO EXIST IN THEIR FAVOR AT THE TIME OF EXECUTION OF THIS CONSENT.
THIS WAIVER EXPRESSLY INCLUDES ALL RIGHTS UNDER SECTION 1542 OF THE CIVIL CODE OF CALIFORNIA ("SECTION 1542"), WHICH PROVIDES AS FOLLOWS:
A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS THAT THE CREDITOR OR RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR
AT THE TIME OF EXECUTING THE RELEASE AND THAT, IF KNOWN BY HIM OR HER, WOULD HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR OR RELEASED PARTY.
Notwithstanding the provisions of Section 1542 or any similar law of any other state, the release contained in this Section [_].C will constitute a full release with respect to the matters herein released. Assignor, on behalf of itself and the Assignor Releasors, knowingly and voluntarily waives the provisions of Section 1542, and Assignor expressly acknowledges that it intends for the release to include, without limitation, to the fullest extent allowed by law, all claims unknown or unsuspected at the time of execution of this Consent.
For Washington franchisees, the general release language is amended by the addition of the following:
"A release or waiver of rights executed by a franchisee may not include rights under the Washington Franchise Investment Protection Act, RCW 19.100, or any rule or order thereunder except when executed pursuant to a negotiated settlement in connection with a bona fide dispute between a franchisor and a franchisee, arising after the agreement is in effect and where the parties are represented by independent counsel."
Source: Item 17 — , "Renewal, Termination, Transfer, and Dispute Resolution," is amended by the addition of the following paragraph(s) at the conclusion of the Item: (FDD pages 279–288)
What This Means (2025 FDD)
According to the 2025 Delta Hotels By Marriott Franchise Disclosure Document, Section C includes a waiver where the assignor, on behalf of itself and the assignor releasors, waives any rights and benefits conferred by any applicable provision of law existing under any federal, state, or political subdivision. This would invalidate all or any portion of the release contained within because such release extends to claims which the assignor releasors do not know or suspect to exist in their favor at the time of execution of this consent. This waiver expressly includes all rights under Section 1542 of the Civil Code of California.
Section 1542 states that a general release does not extend to claims that the creditor or releasing party does not know or suspect to exist in his or her favor at the time of executing the release and that, if known by him or her, would have materially affected his or her settlement with the debtor or released party.
For Delta Hotels By Marriott franchisees in Washington, the general release language is amended. A release or waiver of rights executed by a franchisee may not include rights under the Washington Franchise Investment Protection Act, RCW 19.100, or any rule or order thereunder except when executed pursuant to a negotiated settlement in connection with a bona fide dispute between a franchisor and a franchisee, arising after the agreement is in effect and where the parties are represented by independent counsel.