What defenses does the guarantor waive regarding the Bumble Roofing franchise agreement?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
For value received, Outdoor Living Brands HoldCo LLC, a Delaware limited liability company (the "Guarantor"), located at 2426 Old Brick Road, Glen Allen, Virginia 23060, absolutely and unconditionally guarantees to assume the duties and obligations of Bumble Roofing Franchisor, LLC located at 2426 Old Brick Road, Glen Allen, Virginia 23060 (the "Franchisor"), under its franchise registration in each state where the franchise is registered, and under its Franchise Agreement identified in its 2025 Franchise Disclosure Document, as it may be amended, and as that Franchise Agreement may be entered into with franchisees and amended, modified or extended from time to time. This guarantee continues until all such obligations of the Franchisor under its franchise registrations and the Franchise Agreement are satisfied or until the liability of Franchisor to its franchisees under the Franchise Agreement has been completely discharged, whichever first occurs. The Guarantor is not discharged from liability if a claim by a franchisee against the Franchisor remains outstanding. Notice of acceptance is waived. The Guarantor does not waive receipt of notice of default on the part of the Franchisor. This guarantee is binding on the Guarantor and its successors and assigns.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to the 2025 Bumble Roofing Franchise Disclosure Document, the guarantor, Outdoor Living Brands HoldCo LLC, provides an absolute and unconditional guarantee to assume the duties and obligations of Bumble Roofing Franchisor, LLC under its franchise registration and Franchise Agreement. This guarantee remains in effect until all obligations of the Franchisor are satisfied or the liability of the Franchisor to its franchisees is completely discharged.
Importantly, the guarantor waives notice of acceptance of the guarantee. However, the guarantor does not waive receipt of notice of default on the part of the Franchisor. This means that while the guarantor is immediately bound by the guarantee without needing formal acceptance, they are still entitled to be informed if Bumble Roofing Franchisor, LLC fails to meet its obligations under the franchise agreement.
This guarantee is binding on the Guarantor and its successors and assigns. This ensures that the obligations of the guarantor are transferred to any future entities that may take over the guarantor's responsibilities. This provides a level of security for Bumble Roofing franchisees, knowing that the guarantee will remain in place even if the guarantor's business structure changes.