If the Franchise Agreement is amended, does the Buns On Fire Guaranty still apply?
Buns_On_Fire Franchise · 2025 FDDAnswer from 2025 FDD Document
uld not otherwise apply.
Any litigation arising out of or related to this Guaranty will be instituted exclusively in a court of competent jurisdiction in Cook County, Illinois. The undersigned agree that any dispute as to the venue for this litigation will be submitted to and resolved exclusively by a court of competent jurisdiction situated in Cook County, Illinois. The undersigned hereby waive and covenant never to assert or claim that said venue is for any reason improper, inconvenient, prejudicial or otherwise inappropriate (including, without limitation, any claim under the judicial doctrine of forum non conveniens).
Should any one or more provisions of this Guaranty be determined to be illegal or unenforceable, all other provisions shall nevertheless be effective.
[SIGNATURE PAGE FOLLOWS]
IN WITNESS WHEREOF, each of the undersigned has executed this Guaranty effective as of the date of the Franchise Agreement.
Address: Address: Phone Number: Phone Number: Address: Address: Phone Number: Phone Number:
EXHIBIT "C"
Conditional Lease Assignment Provisions
The clauses referred to in Article 2.1 of the attached Franchise Agreement are as follows:
- (i.) The premises being leased hereunder shall be used solely for the operation of an "Buns on Fire" restaurant, during the time that the Franchise Agreement is still in effect.
Source: Item 23 — RECEIPTS (FDD pages 49–200)
What This Means (2025 FDD)
Based on the 2025 Buns On Fire Franchise Disclosure Document, if one or more provisions of the Guaranty are deemed illegal or unenforceable, all other provisions of the Guaranty shall remain effective. The Guaranty is governed by Illinois law, unless the franchised business is located outside of Illinois and a provision is unenforceable under Illinois law but enforceable under the laws of the state where the business is located; in that case, the law of the business's location will govern that specific provision only.
Any legal action related to the Guaranty must occur in a court within Cook County, Illinois, and the guarantor waives any objection to this venue. This suggests that Buns On Fire aims to maintain the enforceability of the Guaranty to the fullest extent possible, adapting to the legal requirements of the franchisee's location while maintaining Illinois law as the primary framework.
This clause provides some assurance to Buns On Fire that the obligations outlined in the Guaranty will remain in effect even if certain parts are challenged or found to be invalid. However, prospective franchisees should be aware of the implications of being bound to litigation in Illinois, regardless of their location. It is advisable to seek legal counsel to fully understand the scope and implications of the Guaranty and its enforceability in their specific jurisdiction.