What article of the Development Agreement applies to disputes arising from the Guaranty related to Aplus?

According to Aplus's 2024 Franchise Disclosure Document, Article 14 of the Development Agreement addresses disputes related to the Guaranty. Specifically, if a dispute arises from the Guaranty, the provisions outlined in Article 14 of the Development Agreement will govern the resolution process. Additionally, if Aplus pursues legal action to enforce its rights under the Guaranty, the guarantor is responsible for reimbursing Aplus for reasonable attorney's fees and costs incurred during the legal proceedings.

This means that prospective Aplus developers who are required to provide a personal guaranty should carefully review Article 14 of the Development Agreement to understand the dispute resolution process. This includes understanding the procedures for resolving disagreements, the governing laws, and any specific requirements for mediation or arbitration.

Furthermore, the guarantor should be aware of their potential financial responsibility for Aplus's legal expenses if Aplus has to take legal action to enforce the guaranty. This could include not only the outstanding debt but also significant legal fees, which could substantially increase the financial burden on the guarantor.