In North Dakota, is a Mr. Sandless franchisee required to sign a general release?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
Item 17(c) of the Disclosure Document and Articles 3 and 21 of the Franchise Agreement are hereby amended to indicate that a franchisee shall not be required to sign a general release.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 30–34)
What This Means (2025 FDD)
According to the 2025 Mr. Sandless Franchise Disclosure Document, a franchisee in North Dakota is not required to sign a general release. This is explicitly stated in the state-specific addendum for North Dakota, which amends Item 17(c) of the Disclosure Document and Articles 3 and 21 of the Franchise Agreement to reflect this. This amendment is specific to North Dakota, indicating that the standard franchise agreement might otherwise include such a requirement.
This provision protects Mr. Sandless franchisees in North Dakota from being compelled to sign away their rights through a general release, which could potentially limit their ability to pursue legal claims against the franchisor. This is a significant benefit for franchisees, as it ensures they retain their legal recourse in case of disputes or issues arising from the franchise agreement.
It is important for prospective Mr. Sandless franchisees in North Dakota to understand this addendum, as it modifies the standard terms of the franchise agreement. Franchisees should carefully review the state-specific addendum and ensure that the franchise agreement they sign reflects these amendments. This ensures that their rights are protected under North Dakota law.