Who are considered 'Franchisee Releasors' in the general release for a Pump It Up franchise?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
You, on behalf of yourself and your subsidiaries and affiliates, all individuals who execute this Agreement, and all guarantors of your obligations under this Agreement (collectively, "Franchisee Releasors"), freely and without any influence forever release and covenant not to file or bring any action of any kind, in any forum, against us, our parent, subsidiaries and affiliates and their respective past and present officers, directors, shareholders, agents, direct and indirect equity holders, and employees, in their corporate and individual capacities (collectively, "PIU Releasees"), with respect to any and all claims, demands, liabilities and causes of action of whatever kind or nature, whether known or unknown, vested or contingent, suspected or unsuspected (collectively, "Claims"), which you or any Franchisee Releasor now own or hold or may at any time have owned or held, including, without limitation, Claims arising under federal, state and local laws, rules and ordinances, and Claims arising out of, or relating to this Agreement and all other agreements between you or any Franchisee Releasor and any PIU Releasee, the sale of a franchise to you or any Franchisee Releasor, the development and operation of the
Franchised Business and the development and operation of all other Pump It Up Businesses operated by you or any Franchisee Releasor that are franchised by any PIU Releasee.
Source: Item 23 — RECEIPTS (FDD pages 60–225)
What This Means (2025 FDD)
According to the 2025 Pump It Up Franchise Disclosure Document, the term "Franchisee Releasors" encompasses several parties who are subject to the general release. These include the franchisee themselves, along with their subsidiaries and affiliates. Additionally, any individuals who sign the Franchise Agreement and all guarantors of the franchisee's obligations under the agreement are also considered Franchisee Releasors.
In practical terms, this means that not only the franchisee but also any related business entities and individuals who have a stake in the franchise or have guaranteed its financial obligations are bound by the release. This is a broad definition that aims to protect Pump It Up from potential claims arising from various parties associated with the franchise.
It is important for prospective Pump It Up franchisees to understand the scope of this release and how it affects all parties involved in the franchise. Franchisees should carefully review the agreement and seek legal counsel to fully understand their rights and obligations under the general release.