Are Buona franchisee owners and affiliates also bound by the covenants in each Franchise Agreement?

According to Buona's 2025 Franchise Disclosure Document, franchisee owners and affiliates are bound by the covenants contained in each Franchise Agreement. Specifically, in addition to the franchisee, their owners and/or affiliates must comply with the covenants outlined in any Franchise Agreement they enter into with Buona.

This means that the obligations and restrictions detailed in the Franchise Agreement, such as those related to non-competition, confidentiality, and adherence to system standards, extend not only to the franchisee entity itself but also to the individuals who own or are affiliated with the franchisee. This ensures that all parties with a vested interest in the Buona franchise are held accountable for upholding the brand's standards and protecting its interests.

For a prospective Buona franchisee, this clause underscores the importance of ensuring that all owners and affiliates are fully aware of and committed to the terms of the Franchise Agreement. It also highlights the need for careful consideration of potential conflicts of interest or other business activities that could be seen as a breach of these covenants. Franchisees should discuss this with their owners and affiliates to ensure full compliance and avoid potential legal issues with Buona.