Does the Aplus Guarantor waive all rights of indemnity against the Debtor?

According to Aplus's 2024 Franchise Disclosure Document, the Guarantor does waive all rights of indemnity, contribution, or exoneration against the Debtor. Specifically, the Guarantor irrevocably waives, disclaims, and relinquishes any and all claims against the Debtor which the Guarantor otherwise has or would have by virtue of having executed the Guaranty. This includes, but is not limited to, all rights of indemnity, contribution, or exoneration.

In practical terms, this means that if a franchisee is required to have a guarantor for their obligations to Aplus (Sunoco), the guarantor gives up any right to seek compensation or reimbursement from the franchisee (the Debtor) for any amounts the guarantor pays to Aplus under the guaranty. This is a significant commitment for the guarantor, as they are essentially taking on the full risk of the franchisee's obligations without recourse.

This waiver is designed to protect Aplus (Sunoco) by ensuring that the guarantor cannot later claim that they are entitled to be repaid by the franchisee, which could complicate or delay Aplus's ability to recover amounts owed. Prospective guarantors should carefully consider this waiver and understand the full extent of their potential liability before signing the guaranty agreement. It is advisable for the guarantor to seek independent legal advice to fully understand the implications of this waiver.