Who must execute the form of undertaking and guarantee at the end of the Bens Soft Pretzels agreement?

According to the 2025 Bens Soft Pretzels Franchise Disclosure Document, all individuals or entities owning an interest in a franchisee that is a corporation, limited liability company, partnership, or other legal entity must execute the form of undertaking and guarantee at the end of the Franchise Agreement. This requirement ensures that the obligations and liabilities under the Franchise Agreement are secured by the personal guarantees of those who have a financial stake in the franchisee entity.

Additionally, any person or entity that becomes an owner after the initial agreement date, pursuant to Paragraph 11 or otherwise, is also required to execute this form. This provision captures any changes in ownership structure during the term of the agreement, ensuring that all owners are bound by the guarantee. Paragraph 11 likely refers to transfer of ownership.

In practical terms, this means that if a franchisee is not an individual but a business entity, all individuals with an ownership stake in that entity must personally guarantee the franchisee's performance under the agreement. This is a common practice in franchising to provide the franchisor with additional security and recourse in case of default or breach of contract by the franchisee. Prospective franchisees should carefully review the form of undertaking and guarantee to understand the full extent of their personal obligations.