Under what circumstances is the release made and given by the Releasor in relation to Ledgers?

According to Ledgers' 2025 Franchise Disclosure Document, the release by the Releasor (typically the franchisee) is made with reference to specific facts and considerations. The release is connected to Loyalty Business Services LLC, doing business as Ledgers, where the Releasor and Releasee are parties to one or more Franchise Agreements.

The circumstances under which this release is given include the execution by the Releasor of a successor Franchise Agreement or other renewal documents, the Releasor's consent to the Releasee's transfer of rights and duties under the Franchise Agreement, or the Releasor's consent to the Releasee's assumption of rights and duties under the Franchise Agreement. This indicates that the release is often tied to events such as renewing the franchise, or changes in the ownership or management of the franchise agreement.

It's important to note that this release involves the franchisee fully releasing Ledgers and its affiliates from any claims or actions up to the date of the release. However, certain states, such as California, have specific regulations. For example, California law voids waivers of rights under the Franchise Investment Law and the Franchise Relations Act. Additionally, representations requiring franchisees to agree to a release, estoppel, or waiver of liability do not act as a release, estoppel, or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law. Prospective franchisees should consult legal counsel to understand the full implications of signing a release and how state laws may affect their rights.