Who is required to sign the Bath Tune Up Personal Covenant and Guarantee?
Bath_Tune_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
| TITLE OF AGREEMENT | EXHIBIT/ SCHEDULE # | SIGNED BY |
|---|---|---|
| Franchise Agreement, State Addendum and Schedules | Exhibit A | You and us |
| Personal Covenant and Guarantee | Schedule 1 | All people having direct or indirect “Control”* over Franchisee or a direct or indirect beneficial ownership interest in Franchisee, including the spouse of Franchisee. |
Source: Item 23 — RECEIPTS (FDD pages 52–222)
What This Means (2025 FDD)
According to the 2025 Bath Tune Up Franchise Disclosure Document, the Personal Covenant and Guarantee, outlined in Schedule 1, must be signed by all individuals who have direct or indirect "Control" over the franchisee, or those who possess a direct or indirect beneficial ownership interest in the franchisee. This includes the spouse of the franchisee.
This requirement means that not only the franchisee, but also any other party with significant control or ownership in the Bath Tune Up franchise, along with the franchisee's spouse, assumes personal liability for the franchise's obligations. This is a common practice in franchising, as it provides the franchisor with additional security and recourse in case of default or breach of contract.
For a prospective Bath Tune Up franchisee, this implies that they should carefully consider the implications of the Personal Covenant and Guarantee, especially concerning their personal assets and those of their spouse. It is crucial to fully understand the extent of the obligations and potential liabilities before signing the agreement. Franchisees should seek legal counsel to review the agreement and ensure they are fully aware of their responsibilities and risks.