What is the effect of amendments or renewals on the Beehive Homes Guaranty?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
| THIS GUARANTY AND ASSUMPTION OF OBLIGATIONS UNDER FRANCHISE | ||
|---|---|---|
| AGREEMENT (the "Guaranty") is given this day of, 2025, by the undersigned: | ||
| 1. | In consideration of, and as an inducement to, the execution of the franchise agreement | |
| dated, 2025 (referred to in this Guaranty, together with all applicable | ||
| amendments, renewals, addenda, supplemental agreements and assignments, as the "Franchise | ||
| Agreement") by and among BEE HIVE HOMES, INC. (the "Franchisor") and the parties | ||
| identified therein as the Franchisee (the "Franchisee"), and for other good and valuable | ||
| consideration, each of the undersigned, jointly and severally, for themselves, their heirs, legal | ||
| representatives, successors and assigns (hereinafter referred to individually | and collectively as | |
| "Guarantor" whether one or more) personally, unconditionally | and irrevocably guarantees to | |
| Franchisor, and its successors and assigns, (a) the full and prompt payment of all sums owed by | ||
| Franchisee to Franchisor and its Affiliates under the Franchise Agreement and otherwise relating | ||
| to the Home, including, but not limited to, all fees and charges, interest, default interest, all other | ||
| costs and fees and attorneys' fees incurred in connection with enforcement of the Franchise | ||
| Agreement; and (b) the performance of all other obligations of Franchisee arising under the | ||
| Franchise Agreement (collectively, the "Obligations"). This Guaranty | is primary to Guarantor | |
| and Guarantor will immediately, upon request of Franchisor, make payment in full of all amounts | ||
| due and owing to Franchisor and its Affiliates under the Franchise Agreement, and perform each | ||
| and every Obligation to Franchisor and its Affiliates under the Franchise Agreement. |
Source: Item 23 — RECEIPTS (FDD pages 34–123)
What This Means (2025 FDD)
According to the 2025 Beehive Homes Franchise Disclosure Document, the Guaranty extends to all applicable amendments, renewals, addenda, supplemental agreements, and assignments related to the Franchise Agreement. This means that the guarantor's obligations are not limited to the original terms of the Franchise Agreement but also cover any changes or extensions made to it over time.
For a prospective Beehive Homes franchisee, this implies that anyone acting as a guarantor (typically principals or owners) must understand that their guarantee remains in effect even if the Franchise Agreement is modified or renewed. The guarantor's responsibility includes the franchisee's financial and performance obligations under the original agreement and any subsequent changes. This ensures that Beehive Homes has continuous protection throughout the entire duration of the franchise relationship, regardless of amendments or renewals.
The guarantor is responsible for the franchisee's full and prompt payment of all sums owed to Beehive Homes and its affiliates, as well as the performance of all other obligations arising under the Franchise Agreement. This includes, but is not limited to, all fees and charges, interest, default interest, and attorneys' fees incurred in connection with the enforcement of the Franchise Agreement. The guaranty is primary, meaning Beehive Homes can seek payment directly from the guarantor without first pursuing the franchisee. Therefore, potential guarantors should carefully review all terms of the Franchise Agreement and any potential future amendments or renewals before signing the Guaranty.