What does the guarantor unconditionally guarantee to the All States M.E.D. Franchisor?
All_States_M_E_D Franchise · 2024 FDDAnswer from 2024 FDD Document
AMENDED WITHOUT THE WRITTEN CONSENT OF THE COMPANY.**
IN WITNESS WHEREOF, Franchisee has hereunto caused this Agreement to be executed by its duly authorized officer, and Individual has executed this Agreement, all being done in duplicate originals with one (1) original being delivered to each party as of the day and year first above written.
| FRANCHISEE: |
|---|
| By: |
| Its: |
| INDIVIDUAL: |
| Signature: |
| Name Printed: |
SCHEDULE 3 TO THE FRANCHISE AGREEMENT UNLIMITED GUARANTY AND ASSUMPTION OF OBLIGATIONS
| THIS UNLIMITED GUARANTY AND ASSUMPTION OF OBLIGATIONS is given this day |
|---|
| of, 20 |
| , by |
| In consideration of, and as an inducement to, the execution of that certain Franchise Agreement |
| dated |
| herewith ("Agreement") by All States M.E.D. Franchising, LLC |
| ("Franchisor"), each |
| of the undersigned hereby personally and unconditionally guarantees to Franchisor and its successors and |
| assigns, for the term of the Agreement and thereafter as provided in the Agreement, that |
| ("Franchisee") shall punctually pay and perform each and every undertaking, agreement |
| and covenant in |
| the Agreement. Each of the undersigned shall be personally bound by, and personally liable |
| for, Franchisee's breach of any provision in the Agreement, including those relating to monetary obligations |
| and obligations to take or refrain from taking specific actions or engaging in specific activities, such as |
| those contemplated by Sections 6, 7, and 17 of the Agreement. Each of the undersigned waives: (a) |
| acceptance and notice of acceptance by Franchisor of the foregoing undertakings; (b) notice of demand for |
| payment of any indebtedness or non-performance of any obligations hereby guaranteed; (c) protest and |
| notice of default to any party with respect to the indebtedness or non-performance of any obligations hereby |
| guaranteed; (d) any right it may have to require that an action be brought against Franchisee or any other |
| person as a condition of liability; and (e) any and all other notices and legal or equitable defenses to which |
| it may be entitled. |
Each of the undersigned consents and agrees that: (a) its direct and immediate liability under this Guaranty shall be joint and several; (b) it shall render any payment or performance required under the Agreement upon demand if Franchisee fails or refuses punctually to do so; (c) such liability shall not be contingent or conditioned upon pursuit by Franchisor of any remedies against Franchisee or any other person or entity; and (d) such liability shall not be diminished, relieved or otherwise affected by any extension of time, credit or other indulgence which Franchisor may from time to time grant to Franchisee or to any other person including, without limitation, the acceptance of any partial payment or performance, or the compromise or release of any claims, none of which shall in any way modify or amend this Guaranty, which shall be continuing and irrevocable during the term of the Agreement.
This Guaranty represents the entire agreement and understanding of these parties concerning the subject matter hereof, and supersedes all other prior agreements, understandings, negotiations and discussions, representations, warranties, commitments, proposals, offers and contracts concerning the subject matter hereof, whether oral or written.
Successors and Assigns; Death of Guarantor.
Source: Item 23 — RECEIPTS (FDD pages 44–174)
What This Means (2024 FDD)
According to All States M.E.D.'s 2024 Franchise Disclosure Document, the guarantor provides an unlimited personal guarantee to the Franchisor. This guarantee ensures that the Franchisee will punctually pay and perform every obligation, agreement, and covenant outlined in the Franchise Agreement for the entire term and beyond, as specified in the agreement.
The guarantor is personally bound by any breach of the Franchise Agreement by the Franchisee, including monetary obligations and specific actions or inactions detailed in Sections 6, 7, and 17 of the agreement. The guarantor waives any rights to require the Franchisor to first pursue action against the Franchisee or any other person before seeking fulfillment of the guarantee. They also waive any defenses they might otherwise have.
The guarantor's liability is direct, immediate, joint, and several, meaning All States M.E.D. can pursue one or all guarantors for the full amount owed without first pursuing the Franchisee. This liability remains even if All States M.E.D. grants extensions of time, credit, or other indulgences to the Franchisee. The guarantee is continuing and irrevocable during the term of the agreement, and the death of the guarantor does not revoke or affect the guarantee, making the guarantor's estate liable for obligations arising after their death.