Under the Bambu Guaranty, is an individual's obligation affected by amendments to the Agreement?

According to Bambu's 2025 Franchise Disclosure Document, an individual's obligation under the Guaranty is not affected by any amendments or modifications to the Franchise Agreement. The guarantor has no right to approve or consent to any such changes. This means that even if the agreement between Bambu and the franchisee is altered, the guarantor remains fully liable under the original terms of the guaranty.

This provision protects Bambu by ensuring that the guaranty remains in full force regardless of any changes made to the Franchise Agreement. It places a significant responsibility on the guarantor, who must understand that their obligations will not change even if the underlying agreement is modified. The guarantor is essentially agreeing to be bound by the original agreement, regardless of future amendments.

For a prospective Bambu franchisee, this highlights the importance of carefully considering who will act as a guarantor. Potential guarantors should be fully aware of the terms of the Franchise Agreement and understand that their obligations will not be diminished or altered by any subsequent changes to the agreement. They should seek legal counsel to fully understand the implications of providing such a guaranty, as it represents a significant and unwavering commitment.