Does the acceptance of partial payment by the Franchisor modify the Bumper Man Guaranty?

According to the 2025 Bumper Man Franchise Disclosure Document, the acceptance of partial payment by Bumper Man does not modify the Guaranty. The Principal consents and agrees that their liability under the Guaranty will not be diminished, relieved, or otherwise affected by any extension of time, credit, or other concession that Bumper Man may periodically grant to the Franchisee or to any other person. This includes the acceptance of any partial payment or performance, or the compromise or release of any claims.

This means that even if Bumper Man accepts a partial payment from the franchisee, the Principal's obligations under the Guaranty remain in full force and effect. The Guaranty is continuing and irrevocable during the term of the agreement, regardless of any partial payments or other concessions made by Bumper Man to the franchisee. The Principal remains fully liable for all obligations under the Franchise Agreement, even if the franchisee is granted some leniency in payment terms.

This clause protects Bumper Man by ensuring that the Guaranty remains valid and enforceable, even if the franchisor makes concessions to the franchisee. It is a standard provision in franchise agreements to ensure that the guarantor remains liable for the franchisee's obligations, regardless of any changes in the relationship between the franchisor and franchisee. Prospective franchisees should carefully review the terms of the Guaranty and understand the full extent of their obligations before signing the Franchise Agreement.