Must a Spray Net franchisee execute a general release to renew their franchise?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
tion 3(B) | You have the right to be considered for one (1) additional 10- | | extension of the term | | year term. |
| Provision | Section in Franchise Agreement | Summary | |
|---|---|---|---|
| c. | Requirements for franchisee to renew or extend | Section 3(B) | In order to renew (which means renewing your franchise relationship with us), you must: (i) not have any uncured material defaults under your Franchise Agreement (including any monetary defaults) or any other agreement between you and us; (ii) execute our then-current franchise agreement (which may contain materially different terms and conditions than your original franchise agreement); (iii) pay us our renewal fee of $10,000; (iv) complete our then-current refresher training course; (v) execute a general release; (vi) must have participate in and supported the operationa |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 57–62)
What This Means (2025 FDD)
According to Spray Net's 2025 Franchise Disclosure Document, a franchisee must execute a general release to renew their franchise agreement. This requirement is one of several conditions that must be met to renew the franchise relationship with Spray Net.
In practical terms, this means that as part of the renewal process, a franchisee will be required to sign a document releasing Spray Net from any potential claims or liabilities. The general release is in addition to other obligations such as not having any uncured material defaults, executing the then-current franchise agreement, paying a renewal fee of $10,000, completing a refresher training course, supporting operational procedures, and re-imaging/renovating vehicles and the business.
This requirement is fairly common in franchising, as it protects the franchisor from potential future legal issues that could arise from the franchisee's past operations. A prospective Spray Net franchisee should carefully review the terms of the general release with a legal professional to fully understand the scope of the release and its implications for their specific situation.