In the Boulder Designs guarantor agreement, who is designated as the 'Payee'?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
ated and complete agreement between the parties and supersedes all other negotiations, agreements, representations, and covenants, oral or written.
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- Counterpart Execution; Facsimile Signatures. This Agreement may be executed in multiple counterparts, each of which will be an original when executed, and all of which will constitute one and the same instrument.
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- Recitals. The parties acknowledge and represent that the recitals appearing at the beginning of this Agreement are true and correct, and are specifically incorporated into this Agreement .
Accepted and agreed this day of, 20 BOULDER DESIGNS FRANCHISING, LLC GUARANTOR:
Attachment A
PERSONAL GUARANTEE
| ON THIS DAY,, 20, for valuable consideration, the receipt and sufficiency of which |
|---|
| are hereby acknowledged, and in consideration of Boulder Designs Franchising, LLC, a Texas limited |
| liability company, or its affiliates, successors, and assigns |
| ("Franchisor" or "Payee") having made, or now |
| or in the future making, loans in connection with the Promissory Note, dated as of, |
| 20, |
| issued |
| to |
| ("Franchisee" |
| or |
| "Debtor") |
| in |
| the |
| amount |
| of |
| $ for the benefit of Payee (the "Note"), however such loans may be made or evidenced, |
| the undersigned, (the "Guarantor"), does hereby unconditionally guarantee to |
| Franchisor, its successors and as |
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, the 'Payee' in the guarantor agreement is Boulder Designs Franchising, LLC, including its affiliates, successors, and assigns. This designation is crucial because it clarifies to whom the guarantor is responsible for ensuring the franchisee's financial obligations are met.
Specifically, the guarantor unconditionally guarantees to Boulder Designs the full and prompt payment and performance of all present and future obligations of the franchisee under the promissory note. This includes all renewals, extensions, or substitutions of the note. The guarantor's obligations extend to covering all costs, expenses, and reasonable attorney's fees incurred by Boulder Designs in enforcing the agreement.
This arrangement protects Boulder Designs by providing an additional layer of financial security. If the franchisee defaults on their loan obligations, Boulder Designs can seek recourse from the guarantor to recover the owed amounts. Prospective franchisees should carefully review the terms of the guaranty agreement and ensure they understand the full extent of their obligations before signing.