Does the Beehive Homes Guaranty extend to the Guarantor's heirs and assigns?
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 Beehive Homes' 2025 Franchise Disclosure Document, the Guaranty extends to the Guarantor's heirs and assigns. The Guaranty, which is provided on a specific day in 2025, is an agreement where the Guarantor ensures the Franchisee fulfills their obligations to Beehive Homes. This includes both financial obligations, such as fees and charges, and other responsibilities outlined in the Franchise Agreement.
The Guaranty explicitly states that it is given by the undersigned, jointly and severally, for themselves, their heirs, legal representatives, successors, and assigns. This means that the obligations of the Guarantor under the Guaranty are not only binding on the Guarantor but also on their heirs, legal representatives, successors, and assigns. This ensures that Beehive Homes has recourse even if the original Guarantor is no longer able to fulfill their obligations.
In practical terms, this means that if a Guarantor passes away, their heirs or legal representatives would be responsible for fulfilling the obligations under the Guaranty. Similarly, if the Guarantor assigns their rights or obligations to another party, that party would also be bound by the terms of the Guaranty. This provision provides Beehive Homes with a greater level of security and assurance that the Franchisee's obligations will be met, regardless of changes in the Guarantor's circumstances.