Is the Guaranty for the benefit of any third party regarding a Buona franchise?

According to Buona's 2025 Franchise Disclosure Document, the Guaranty associated with the franchise agreement is specifically for the benefit of Buona itself, and not for any third party. The document states clearly that the Guaranty is an independent obligation of the guarantor, separate from the franchisee's obligations.

This means that if a franchisee defaults on their obligations to Buona, the guarantor is directly and primarily liable to Buona, regardless of the validity or enforceability of the original franchise agreement. This protects Buona's interests by ensuring there is another party responsible for fulfilling the financial and other obligations outlined in the franchise agreement.

Prospective Buona franchisees should be aware that if they require a guarantor, that guarantor will be directly liable to Buona in case of a default. The guarantor cannot claim that the agreement is for the benefit of anyone other than Buona, which limits their ability to argue against their obligations under the Guaranty.