What is the time period covered by the release provided by a Sonesta Simply Suites franchisee?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
Consistent with the previous introduction, you, on your own behalf and on behalf of your current and former parents, affiliates, and subsidiaries, and your and each of the foregoing person's or entity's respective agents, spouses, heirs, executors, administrators, principals, attorneys, partners, owners, officers, directors, employees, representatives, predecessors, successors, and assigns (collectively, the "Releasing Parties"), hereby fully and forever unconditionally release and discharge us and our current and former parents, subsidiaries, and affiliates, and our and each of such foregoing entity's respective current and former owners, officers, directors, employees, managers, agents, representatives, predecessors, successors, and assigns (collectively, the "Sonesta RL Parties") of and from any and all claims, demands, causes of action, suits, duties, obligations, actions, liabilities, defenses or damages of every kind and nature whatsoever (collectively, "Claims") whether at law or in equity, and known or unknown, that any of the Releasing Parties now has, ever had, or, but for this document, hereafter would or could have against any of the Sonesta RL Parties, including, without limitation, Claims arising out of or relating to any relationship or transaction with any of the Sonesta RL Parties, however characterized or described, from the beginning of time until the date of your signature below, including, without limitation, any and all Claims in any way arising out of or relating to the Franchise Agreement, the relationship created by the Franchise Agreement, or the development, ownership, or operation of your Hotel that you operate under the Franchise Agreement. You, on behalf of yourself and the other Releasing Parties, further covenant not to sue any of the Sonesta RL Parties on any of the Claims released by this paragraph, and warrant and represent that the Releasing Parties have not assigned or otherwise transferred any Claims released by this paragraph.
Source: Item 23 — RECEIPTS (FDD pages 80–246)
What This Means (2025 FDD)
According to the 2025 Sonesta Simply Suites FDD, the release and discharge provided by the franchisee covers claims from the beginning of time until the date of the franchisee's signature. Specifically, the release encompasses all claims, demands, causes of action, suits, duties, obligations, actions, liabilities, defenses, or damages of every kind, whether known or unknown, at law or in equity, that the franchisee has or ever had against Sonesta RL Parties. This includes claims arising out of any relationship or transaction with Sonesta RL Parties, the Franchise Agreement, or the development, ownership, or operation of the franchisee's hotel.
The release also includes a covenant not to sue, preventing the franchisee from initiating any legal action against Sonesta RL Parties based on the released claims. The franchisee also warrants that they have not assigned or transferred any of these claims to another party. This comprehensive release is a condition for Sonesta RL Hotels Franchising Inc. to take certain actions or agree to certain requests made by the franchisee.
For franchisees operating hotels or residing in California, the release includes a waiver of rights under Section 1542 of the California Civil Code, which pertains to unknown claims. This means that the franchisee is giving up rights to claims they may not even be aware of at the time of signing the release. The FDD emphasizes the importance of consulting with legal counsel to fully understand the implications of this waiver. However, for franchisees in Maryland, any general release does not apply to liabilities under the Maryland Franchise Registration and Disclosure Law.