What specific actions are considered 'Obligations' under 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 Beehive Homes' 2025 Franchise Disclosure Document, the Guaranty ensures that the Guarantor will cover the franchisee's financial and performance responsibilities. Specifically, the Guarantor is responsible for the full and prompt payment of all sums owed by the Franchisee to Beehive Homes and its affiliates under the Franchise Agreement. This includes all fees and charges, interest, default interest, all other costs and fees, and attorneys' fees incurred in connection with the enforcement of the Franchise Agreement.
In addition to financial obligations, the Guarantor is also responsible for the performance of all other obligations of the Franchisee arising under the Franchise Agreement. This means the Guarantor must ensure that the Franchisee adheres to all the operational and compliance requirements outlined in the agreement.
The Guaranty is primary, meaning that Beehive Homes can directly request payment or performance from the Guarantor without first pursuing the Franchisee. The Guarantor must immediately fulfill these obligations upon Beehive Homes' request. This arrangement provides Beehive Homes with a direct and reliable recourse in case the Franchisee fails to meet their obligations, ensuring the stability and adherence to standards within the franchise system.