Who is required to sign the All County Franchise Agreement?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
Attached to this disclosure document in Exhibit A is our Franchise Agreement. Each of your owners, at any time during the term of the Franchise Agreement, will execute an agreement in the form that we prescribe (see Appendix C to the Franchise Agreement) undertaking to be bound jointly and severally by all provisions of the Franchise Agreement and any ancillary agreements between you and us that bind you.
Source: Item 22 — Contracts (FDD page 43)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, each owner of the franchise at any time during the term of the Franchise Agreement must execute an agreement to be bound jointly and severally by all provisions of the Franchise Agreement and any ancillary agreements between the franchisee and All County. This agreement will be in a form prescribed by All County, as detailed in Appendix C of the Franchise Agreement.
This requirement means that all individuals with an ownership stake in the All County franchise must personally guarantee the franchise's obligations. This is a common practice in franchising, as it ensures that All County can pursue all owners for any debts or breaches of contract by the franchise.
For prospective All County franchisees, this implies that personal assets, including marital assets in some states like California, may be at risk. Franchisees should carefully consider this obligation and consult with legal and financial advisors to understand the full implications before signing the Franchise Agreement. Franchisees should also be aware of any state-specific regulations, such as those in Maryland, that may affect the enforceability of certain provisions related to liability.