What is the only lien or encumbrance against the Camp Margaritaville Intellectual Property?

According to Camp Margaritaville's 2025 Franchise Disclosure Document, the only lien or encumbrance against the Camp Margaritaville Intellectual Property is a security interest granted to HPS Investment Partners, LLC, established through a security agreement dated June 17, 2022. This means that HPS Investment Partners, LLC has a legal claim against the Camp Margaritaville Intellectual Property as collateral for a debt or obligation.

Within 30 days of signing a Franchise Agreement, Camp Margaritaville will obtain and deliver to the franchisee a non-disturbance certificate from HPS Investment Partners, LLC, in the form of Exhibit G to the Franchise Agreement. This certificate provides assurance to the franchisee that their right to use the Camp Margaritaville Intellectual Property will not be disrupted even if HPS Investment Partners, LLC were to enforce its security interest.

The FDD states that no other agreement significantly limits Camp Margaritaville's rights to use or license the Camp Margaritaville Intellectual Property in a manner material to the franchise. This suggests that while the security interest exists, it is not expected to impede a franchisee's ability to operate their Camp Margaritaville location. Prospective franchisees should carefully review Exhibit G to fully understand the protections afforded by the non-disturbance certificate and the implications of the security interest.