Does the General Release required for renewal, sale, or assignment/transfer of a Hydrodog franchise apply to liability under the Maryland Franchise Registration and Disclosure Law?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
general release regarding a potential or actual lawsuit filed under any of the provisions of the Illinois Franchise Disclosure Act, nor shall arbitration of any claim pursuant to the provisions of Title 9 of the United States Code be prevented.
Intending to be bound, the parties sign and deliver this Rider in 2 counterparts effective on the Agreement Date, regardless of the actual date of signature.
WE: YOU: LEGACY FRANCHISORS, LLC a Maine Limited Liability Company Print Name: Print Name:
ADDENDUM TO THE LEGACY FRANCHISORS, LLC MARYLAND DISCLOSURE DOCUMENT
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- Items 5 and 13 are amended by adding the following language:
- (a) Any General Release required as a condition of renewal, sale and/or transfer does not apply to any liability under the Maryland Registration and Disclosure Law.
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Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, if you are a franchisee in Maryland, the General Release required as a condition of renewal, sale, or assignment/transfer of your franchise does not apply to any liability under the Maryland Franchise Registration and Disclosure Law. This means that even if you sign a general release, you still retain your rights to pursue claims under this specific Maryland law. This protection is explicitly stated in an addendum to the disclosure document and a rider to the franchise agreement specifically for use in Maryland.
This provision is favorable for prospective Hydrodog franchisees in Maryland because it ensures that they do not inadvertently waive their rights under the Maryland Franchise Registration and Disclosure Law when signing a general release. Franchise agreements often include general releases to protect the franchisor from future claims, but this addendum carves out an exception to protect franchisees' rights under Maryland law. This ensures that franchisees can still pursue legal remedies if Hydrodog violates the Maryland Franchise Registration and Disclosure Law, regardless of any general release they may have signed.
Furthermore, the addendum also clarifies that franchisees can sue in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law, and any such claims must be brought within 3 years after the grant of the franchise. This provides additional clarity and protection for franchisees in Maryland, ensuring they have a clear legal avenue to address any violations of the Maryland Franchise Registration and Disclosure Law by Hydrodog.