factual

Is a Form of General Release included with the Endless Summer Sweets Franchise Agreement?

Endless_Summer_Sweets Franchise · 2024 FDD

Answer from 2024 FDD Document

ATTACHMENT 4 TO FRANCHISE AGREEMENT

FORM OF GENERAL RELEASE

[This is our current standard form of General Release. This document is not signed when you purchase a franchise. In circumstances such as a renewal of your franchise or as a condition of our approval of a sale of your franchise, we may require you to sign a general release.]

This General Release ("Release") is executed by the undersigned ("Releasor") in favor of Endless Summer Sweets Franchising, Inc., a California limited liability company ("Franchisor").

Background Statement: [describe circumstances of Release]

Releasor agrees as follows:

  • **1.

Release.** Releasor (on behalf of itself and its parents, subsidiaries and affiliates and their respective past and present officers, directors, shareholders, managers, members, partners, agents, and employees (collectively, the "Releasing Parties")) hereby releases Franchisor, its affiliates, and their respective directors, officers, shareholders, employees, and agents (collectively, the "Released Parties") from any and all claims, causes of action, suits, debts, agreements, promises, demands, liabilities, contractual rights and/or obligations, of whatever nature, known or unknown, which any Releasing Party now has or ever had against any Released Party based upon and/or arising out of events that occurred through the date hereof, including without limitation, anything arising out of the Franchise Agreement (collectively, "Claims").

  • **2.

Covenant Not to Sue.** Releasor (on behalf of all Releasing Parties) covenants not to initiate, prosecute, encourage, assist, or (except as required by law) participate in any civil, criminal, or administrative proceeding or investigation in any court, agency, or other forum, either affirmatively or by way of cross-claim, defense, or counterclaim, against any Released Party with respect to any Claim.

  • **3.

Representations and Acknowledgments.** Releasor represents and warrants that: (i) Releasor is the sole owner of all Claims, and that no Releasing Party has assigned or transferred, or purported to assign or transfer, to any person or entity, any Claim; (ii) Releasor has full power and authority to sign this Release; and (iii) this Release has been voluntarily and knowingly signed after Releasor has had the opportunity to consult with counsel of Releasor's choice.

Releasor acknowledges that the release in Section 1 is a complete defense to any Claim.

  • **4.

Miscellaneous.** If any of the provisions of this Release are held invalid for any reason, the remainder of this Release will not be affected and will remain in full force and effect.

In the event of any dispute concerning this Release, the dispute resolution, governing law, and venue provisions of the Franchise Agreement shall apply.

Releasor agrees to take any actions and sign any documents that Franchisor reasonably requests to effectuate the purposes of this Release.

This Release contains the entire agreement of the parties concerning the subject matter hereof.

5. State Addenda.

[Maryland Residents]: This Release shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.

[Washington Residents]: A release or waiver of rights executed by a franchisee shall not include rights under the Washington Franchise Investment Protection Act except when executed pursuant to a negotiated settlement after the franchise agreement is in effect and where the parties are represented by independent counsel.

Source: Item 22 — CONTRACTS (FDD pages 38–39)

What This Means (2024 FDD)

According to the 2024 Endless Summer Sweets Franchise Disclosure Document, a Form of General Release is included as Attachment 4 to the Franchise Agreement. However, this document is not signed when purchasing the franchise initially.

The General Release is executed by the franchisee (referred to as "Releasor") in favor of Endless Summer Sweets Franchising, Inc. (referred to as "Franchisor"). It releases Endless Summer Sweets from any and all claims, causes of action, suits, debts, agreements, promises, demands, liabilities, contractual rights, and/or obligations, of whatever nature, known or unknown, which the franchisee has or ever had against Endless Summer Sweets. This includes anything arising out of the Franchise Agreement.

The document also includes a covenant not to sue, preventing the franchisee from initiating or participating in any legal proceedings against Endless Summer Sweets with respect to any claim. The FDD specifies that this release is not signed when initially purchasing a franchise but may be required in circumstances such as a renewal of the franchise or as a condition of approval for a sale of the franchise.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.