factual

What acknowledgement does the Beem Light Sauna franchisee make regarding business risks?

Beem_Light_Sauna Franchise · 2025 FDD

Answer from 2025 FDD Document

t to Section 4.2 (Definition of the Territory) of this Agreement. BEEM FRANCHISOR LLC Acknowledged and Agreed:

APPENDIX B TO THE FRANCHISE AGREEMENT

Marks

Registered Marks

Registered on the Principal Register of the United States Patent and Trademark Office:

Mark Registration No. Registration Date
beem 6764304 June 21, 2022
7301991 February 13, 2024

APPENDIX C TO THE FRANCHISE AGREEMENT

BEEM FRANCHISOR LLC PAYMENT AND PERFORMANCE GUARANTEE

In order to induce Beem Franchisor LLC ("Franchisor") to enter into a beem® Light Sauna Franchise Agreement (the "Franchise Agreement") by and between Franchisor and the Franchisee named in the Franchise Agreement dated _______________ to which this Payment and Performance Guarantee (the "Guarantee") is attached ("Franchisee"), the undersigned (collectively referred to as the "Guarantors" and individually referred to as a "Guarantor") hereby covenant and agree as follows:

  • 1. Guarantee of Payment and Performance. The Guarantors jointly and severally unconditionally guarantee to Franchisor and its Affiliates the payment and performance when due, whether by acceleration or otherwise, of all obligations, indebtedness, and liabilities of Franchisee to Franchisor, direct or indirect, absolute or contingent, of every kind and nature, whether now existing or incurred from time to time hereafter, whether incurred pursuant to the Franchise Agreement or otherwise, together with any extension, renewal, or modification thereof in whole or in part (the "Guaranteed Liabilities").

Source: Item 23 — RECEIPT (FDD pages 71–230)

What This Means (2025 FDD)

Based on the 2025 Beem Light Sauna Franchise Disclosure Document, Appendix C, concerning the Payment and Performance Guarantee, the guarantors, who are signing to induce Beem Light Sauna to enter into a franchise agreement with the franchisee, acknowledge several key points.

First, the guarantors jointly and severally unconditionally guarantee the payment and performance of all obligations, indebtedness, and liabilities of the franchisee to Beem Light Sauna. This guarantee covers all debts and obligations, whether direct or indirect, absolute or contingent, existing now or in the future. It also includes any extensions, renewals, or modifications to these obligations. Essentially, the guarantor is promising to cover any financial or performance-related shortcomings of the franchisee.

Second, if the franchisee fails to meet their obligations, the guarantors agree to immediately fulfill those obligations themselves. Additionally, the guarantors are responsible for covering all expenses, including reasonable attorney's fees, incurred by Beem Light Sauna in enforcing the guarantee or recovering any guaranteed liabilities.

Finally, the guarantors represent that they have reviewed a copy of the Franchise Agreement and have had the opportunity to consult with legal counsel to fully understand the implications of both the Franchise Agreement and the Payment and Performance Guarantee. This acknowledgement is a standard legal protection for the franchisor, ensuring that the guarantors are fully aware of their responsibilities and potential liabilities.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.