What article of the Boulder Designs Franchise Agreement applies to disputes arising out of the Guaranty?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
I agree that the provisions contained in Article 23 of the Franchise Agreement will apply to any dispute arising out of or relating to this Guaranty.
If Franchisor brings any legal action to enforce its rights under this Guaranty, I will reimburse Franchisor its reasonable attorneys' fees and costs.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, Article 23 of the Franchise Agreement addresses disputes related to the Guaranty. Specifically, the guarantor agrees that the provisions outlined in Article 23 will govern any dispute arising from or connected to the Guaranty.
This means that any legal disagreements or conflicts concerning the Guaranty will be resolved according to the terms and conditions detailed in Article 23 of the Boulder Designs Franchise Agreement. This article likely covers aspects such as dispute resolution methods (e.g., mediation, arbitration), choice of law, and venue for legal proceedings.
Furthermore, if Boulder Designs initiates legal action to enforce its rights under the Guaranty, the guarantor is responsible for reimbursing Boulder Designs for reasonable attorney's fees and costs associated with the legal action. This provision underscores the guarantor's financial responsibility in upholding the obligations outlined in the Guaranty and the potential costs they may incur if they fail to do so.