Who acts as the Finance Lease Guarantor in the Third Amendment related to Budget?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
Third Amendment, dated as of August 16, 2013, among AESOP Leasing L.P., as Borrower, PV Holding Corp., as a Permitted Nominee, Quarts Fleet Management, Inc., as a Permitted Nominee, and Avis Budget Third Amendment, dated as of June 3, 2004 (Incomporated by reference to Exhibit 10,36(c) to the Company's Annual Report on Rental Car Funding (AESOP) LLC, as Lender, to the Second Amended and Restated Loan Agreement, dated as of June 3, 2004 (Incomporated by reference to Exhibit 10,36(c) to the Company's Annual Report on Port 10-K for the year ended December 31, 2013, dated February 20, 2014).
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 79)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, the Third Amendment, dated August 16, 2013, involves several parties. AESOP Leasing L.P. is the Borrower, PV Holding Corp. and Quartx Fleet Management, Inc. are Permitted Nominees, and Avis Budget Rental Car Funding (AESOP) LLC is the Lender.
However, the document does not explicitly state who acts as the Finance Lease Guarantor within this Third Amendment. The agreement outlines the roles of the borrower, permitted nominees, and the lender, but it does not specify a guarantor for the finance lease.
Prospective Budget franchisees should seek clarification from Budget regarding the Finance Lease Guarantor for the Third Amendment. Understanding who guarantees the lease and the implications of that guarantee is crucial for assessing financial risks and obligations associated with the franchise agreement.