Under the Budget Rent A Car System License Agreement, which exhibits outline the Nondisclosure and Noncompetition Agreement and the Personal Guarantee?

According to Budget's 2025 Franchise Disclosure Document, the Nondisclosure and Noncompetition Agreement and Personal Guarantee are outlined in specific exhibits to the Budget Rent A Car System License Agreement. If the franchisee is a corporation, partnership, limited liability company, or other business entity, certain provisions of the Budget Rent A Car System License Agreement (Exhibit H) will apply to the owners. The Nondisclosure and Noncompetition Agreement is detailed in Exhibit C of the Budget License Agreement, while the Personal Guarantee is detailed in Exhibit A of the Budget License Agreement.

For a prospective Budget franchisee, this means that if you operate your franchise through a business entity, you, as the owner, will be subject to both a Nondisclosure and Noncompetition Agreement and a Personal Guarantee. These are legally binding documents that protect Budget's interests and ensure your commitment to the franchise. The Nondisclosure agreement prevents you from sharing confidential information about Budget's operations, while the noncompetition agreement restricts you from engaging in similar businesses during and after your franchise agreement term. The personal guarantee means you are personally liable for the financial obligations of the franchise.

It is important for potential franchisees to carefully review Exhibits A, C, and H of the Budget License Agreement with legal counsel to fully understand the implications of these agreements. Understanding these documents is crucial before signing the franchise agreement, as they can significantly impact your rights and responsibilities as a Budget franchisee.