Are there any geographic limitations specified in the Beehive Homes Guaranty?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
may reasonably request.
- c. Each Guarantor with a direct or indirect ownership interest in the Location and Home hereby consents to the Franchisor or its designee recording with respect to the Location and Home a notice of its interest pursuant to the Franchise Agreement and this Guaranty in the office of the County Recorder in and for the County in which the Location and Home are sited.
- d. Each Guarantor unconditionally agrees to pay all attorneys' fees and all costs and other expenses incurred in any collection or attempted collection of this Guaranty or in any negotiations relative to the obligations guaranteed or in enforcing this Guaranty against Franchisee or Guarantor.
- e.
Source: Item 23 — RECEIPTS (FDD pages 34–123)
What This Means (2025 FDD)
According to Beehive Homes' 2025 Franchise Disclosure Document, the Guaranty includes provisions related to the location of the Beehive Homes franchise. Specifically, each guarantor with a direct or indirect ownership interest in the location and home consents to Beehive Homes recording a notice of its interest in the property with the county recorder where the location and home are situated. Additionally, each guarantor agrees not to convey or transfer any right, title, or interest in the location or the home during the term of the Guaranty without the express written consent of Beehive Homes.
This means that Beehive Homes aims to protect its interest in the physical location of the franchise. By recording a notice of interest, Beehive Homes ensures that its claim is publicly acknowledged and takes priority over other potential claims against the property. The restriction on transferring the location without Beehive Homes' consent gives them control over who operates the franchise at that specific site.
For a prospective franchisee, these stipulations mean that any transfer of ownership or interest in the physical location of the Beehive Homes business requires approval from the franchisor. This could impact the franchisee's ability to sell, lease, or otherwise transfer the property without Beehive Homes' explicit permission. It is important for franchisees and guarantors to understand these limitations and how they might affect future transactions involving the property.