What is the effect of the Baymont Inn Suites Guaranty on the estate of a deceased guarantor?

According to Baymont Inn Suites's 2025 Franchise Disclosure Document, the death of a guarantor does not nullify the Guaranty. The guarantor's estate remains responsible for the obligations of the franchisee to Baymont Inn Suites that existed at the time of death. This means that the assets within the deceased guarantor's estate could be used to cover any outstanding debts or unfulfilled responsibilities of the franchisee to Baymont Inn Suites.

This provision protects Baymont Inn Suites by ensuring that the financial obligations tied to the franchise agreement are not automatically dissolved upon the death of a guarantor. It allows Baymont Inn Suites to continue to seek fulfillment of the franchise agreement's terms, using the resources of the guarantor's estate if necessary. The obligations of any other living guarantors will remain in full effect.

For a prospective Baymont Inn Suites franchisee, this highlights the importance of understanding the full scope of the Guaranty and its potential impact on their estate. It also underscores the need to carefully consider the financial stability and risk associated with the franchise, as these factors could directly affect the guarantor's estate in the event of their death. Franchisees should seek legal and financial advice to fully understand the implications of the Guaranty.