What exhibit to the Area Development Agreement for Buona contains the Guaranty and Assumption of Developer's Obligations?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
| EXHIBIT A: | APPROVED LOCATION AND BUONA PROTECTED AREA ADDENDUM |
|---|---|
| EXHIBIT B: | ADDENDUM TO LEASE AND COLLATERAL ASSIGNMENT OF LEASE |
| EXHIBIT C: | AUTOMATED CLEARING HOUSE PAYMENT AUTHORIZATION FORM |
| EXHIBIT D: | STATEMENT OF OWNERSHIP |
| EXHIBIT E: | GUARANTY AND ASSUMPTION OF FRANCHISEE'S OBLIGATIONS |
| EXHIBIT F: | SECURITY AGREEMENT |
Source: Item 22 — CONTRACTS (FDD page 78)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, Exhibit C to the Area Development Agreement contains the Guaranty and Assumption of Developer's Obligations. However, this exhibit relates to the Automated Clearing House Payment Authorization Form, not the Guaranty and Assumption of Developer's Obligations.
According to Item 22, the Guaranty and Assumption of Obligations is executed by the owners of the developer and is attached as Exhibit C concurrently with the execution of the agreement by the developer. This appears to contradict the table of exhibits, which lists Exhibit C as the Automated Clearing House Payment Authorization Form.
To clarify this discrepancy, a prospective Buona franchisee should ask the franchisor to confirm which exhibit actually contains the Guaranty and Assumption of Developer's Obligations. It is important to understand the obligations and liabilities associated with the Area Development Agreement.