What notices does the Principal waive in their capacity as guarantor for a Bumper Man franchise?

According to the 2025 Bumper Man FDD, as a guarantor, the Principal waives certain rights and notices to which they might otherwise be entitled. Specifically, the Principal waives protest and notice of the franchisee's default or nonperformance of any guaranteed obligation. They also waive notice of demand for payment issued by Bumper Man.

This waiver means that Bumper Man is not required to formally notify the Principal of the franchisee's failure to meet their obligations or of a demand for payment before seeking recourse from the Principal under the guaranty. The Principal's liability is not contingent upon Bumper Man first pursuing remedies against the franchisee. This could expedite the process for Bumper Man to recover funds or enforce obligations in case of a default.

In practical terms, a Principal acting as a guarantor for a Bumper Man franchise should understand that they are giving up the right to be informed about defaults or payment demands before being held liable. This underscores the importance of carefully assessing the franchisee's financial stability and business acumen before agreeing to act as a guarantor. The guarantor is essentially stepping into the shoes of the franchisee regarding financial and performance obligations, with limited rights to receive prior notice of issues.