How does a bankruptcy proceeding involving the Buildingstars Franchisee affect the Guarantor's obligations?

• (1) acceptance and notice of acceptance by BUILDINGSTARS or Affiliates of the foregoing undertakings;
• (2) notice of demand for payment of any indebtedness or nonperformance of any obligations hereby guaranteed;
• (3) protest and notice of default to any party with respect to the indebtedness or nonperformance of any obligations hereby guaranteed;
• (4) any right he or she may have to require that an action be brought against FRANCHISEE or any other person as a condition of liability;
• (5) all rights to payments and claims for reimbursement or subrogation which any of the GUARANTORS may have against the FRANCHISEE arising as a result of the GUARANTORS' execution of and performance under this guaranty; and
• (6) any and all other notices and legal or equitable defenses to which he or she may be entitled.

Each of the undersigned consents and agrees that:

• (1) his or her direct and immediate liability under this guaranty shall be joint and several;
• (2) he or she shall render any payment or performance required under the Agreement upon demand if the FRANCHISEE fails or refuses punctually to do so;
• (3) such liability shall not be contingent upon or conditioned upon pursuit by BUILDINGSTARS or Affiliates of any remedies against the FRANCHISEE or any other person; and
• (4) such liability shall not be diminished, relieved or otherwise affected by any extension of time, credit or the indulgence which BUILDINGSTARS or Affiliates may from time to time grant to the

FRANCHISEE or to any other person, including, without limitation, the acceptance of any partial payment or performance or the compromise or release of any claims, none of which shall in any way modify or amend this guaranty, which shall be continuing and irrevocable during the term of the Agreement.

If BUILDINGSTARS or any of the Affiliates are required to enforce this Guaranty and Assumption of Obligations in any judicial proceeding or appeal thereof, the GUARANTORS shall reimburse BUILDINGSTARS and Affiliates for its costs and expenses, including, but not limited to, reasonable accountants', attorneys', attorney assistants', and expert witness fees, costs of investigation and proof of facts, court costs, other litigation expenses and travel and living expenses, whether incurred prior to, in preparation for or in contemplation of the filing of any written demand, claim, action, hearing or proceeding to enforce this Guaranty.

Source: Item 22 — CONTRACTS (FDD page 43)