Under what conditions is a waiver binding regarding the Kidokinetics Franchise Agreement?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
ment. If they are marked "Sample," they are subject to change at any time.
EXHIBIT H-1
KIDOKINETICS FRANCHISE
SAMPLE GENERAL RELEASE AGREEMENT
WAIVER AND RELEASE OF CLAIMS
This Waiver and Release of Claims ("Release") is made as of ___________________________________
WHEREAS, Franchisor and Franchisee have entered into a Franchise Agreement ("Agreement") pursuant to which Franchisee was granted the right to own and operate a Kidokinetics business;
WHEREAS, (Franchisee has notified Franchisor of its desire to transfer the Agreement and all rights related thereto, or an ownership interest in Franchisee, to a transferee/enter into a successor franchise agreement/amend the Agreement) or (the Agreement is being terminated/or indicate other reason for the requirement of this waiver and release), and Franchisor has consented to such (transfer/successor franchise agreement/amendment/termination/other reason); and
WHEREAS, as a condition to Franchisor's consent to (transfer the Agreement/enter into a successor franchise agreement/amend the Agreement/terminate the Agreement/other reason), Releasor has agreed to execute this Release upon the terms and conditions stated below.
Source: Item 22 — CONTRACTS (FDD page 59)
What This Means (2024 FDD)
According to the 2024 Kidokinetics Franchise Disclosure Document, Exhibit H-1 contains a sample general release agreement, which includes a waiver and release of claims. This release is made as of a specific date and is applicable when a franchisee has notified Kidokinetics of their desire to transfer the Franchise Agreement, transfer ownership, enter into a successor franchise agreement, or amend the agreement. It also applies if the agreement is being terminated or for any other reason requiring the waiver and release.
The waiver is binding when Kidokinetics consents to the transfer of the agreement, a successor franchise agreement, an amendment to the agreement, the termination of the agreement, or any other reason necessitating the release. As a condition of Kidokinetics's consent, the releasor must agree to execute the release under the terms and conditions outlined in the document.
In practical terms, this means that if a Kidokinetics franchisee wants to sell their franchise, renew their agreement, change the terms of their agreement, or end their agreement, they (and potentially other related parties) will likely need to sign a waiver releasing Kidokinetics from any potential future claims. This is a standard practice in franchising, ensuring that once a change or termination occurs, neither party can later sue the other over issues related to the original agreement. The specific terms of the release would need to be carefully reviewed to understand exactly what rights are being waived.