What notices are the undersigned waiving under the B Bops Personal Guaranty?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
Each of the undersigned further agree as follows: (a) that this Guaranty shall be continuing and irrevocable; (b) that they, and each of them, shall render any payment or performance required under this Agreement upon demand if Franchisee fails or refuses promptly to do so; (c) such liability shall be primary and shall not be contingent upon Company pursuing or exhausting any remedies against Franchisee; (d) such liability shall not be waived, diminished or otherwise affected by any extension of time, credit or other indulgence which Company may from time to time grant to Franchisee; and (e) that they, and each of them, hereby waive notice of acceptance, demand, protest, nonperformance and of any other notices.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, the personal guarantors are waiving specific notices related to the fulfillment of obligations under the franchise agreement. Specifically, the personal guarantors waive notice of acceptance, demand, protest, and nonperformance. They also waive any other notices related to the agreement.
This waiver means that B Bops is not required to formally notify the guarantors about certain events or actions related to the franchisee's performance or potential default. For example, B Bops does not have to notify the guarantors that it has accepted the guaranty, that it is demanding payment from the franchisee, that it is protesting the franchisee's actions, or that the franchisee has failed to perform its obligations.
This waiver is significant because it streamlines the process for B Bops to seek recourse from the personal guarantors in case of the franchisee's default. The guarantors are essentially agreeing to be immediately and directly liable for the franchisee's obligations without requiring B Bops to go through a formal notification process. Prospective franchisees should carefully consider the implications of this waiver and understand the full extent of their obligations as personal guarantors.