What notices are waived by the undersigned owners in the Checkersrallys Franchise Agreement regarding the guaranteed undertakings?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
Each of the undersigned waives: (a) acceptance and notice of acceptance by Franchisor of the foregoing undertakings; (b) notice of demand for payment of any indebtedness or nonperformance of any obligations hereby guaranteed; (c) protest and notice of default to any party with respect to the indebtedness or nonperformance of any obligations hereby guaranteed; (d) any right he may have to require that an action be brought against Franchisee or any other person as a condition of liability; and (e) any and all other notices and legal or equitable defenses to which he may be entitled.
Each of the undersigned consents and agrees that: (i) his direct and immediate liability under this guaranty shall be joint and several; (ii) he shall render any payment or performance required under the Agreement upon demand if Franchisee fails or refuses punctually to do so; (iii) such liability shall not be contingent or conditioned upon pursuit by Franchisor of any remedies against Franchisee or any other person; and (iv) such liability shall not be diminished, relieved or otherwise affected by any extension of time, credit or other indulgence which the Franchisor may from time to time grant to Franchisee or to any other person including, without limitation, the acceptance of any partial payment or performance or the compromise or release of any claims, none of which shall in any way modify or amend this guaranty, which shall be continuing and irrevocable during the term of the agreement.
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to the 2025 Checkersrallys Franchise Disclosure Document, the undersigned owners waive certain notices related to their guaranteed undertakings. This means that as part of the agreement, the owners forgo their right to receive specific notifications or demands related to the franchisee's debt or non-performance.
Specifically, the owners waive: (a) acceptance and notice of acceptance by Checkersrallys of the undertakings; (b) notice of demand for payment of any debt or nonperformance of obligations; (c) protest and notice of default to any party regarding the guaranteed debt or nonperformance; (d) any right to require Checkersrallys to first bring an action against the franchisee or any other person before seeking recourse from the guarantor; and (e) any and all other notices and legal or equitable defenses they may be entitled to.
Furthermore, the owners consent and agree to several conditions. Their liability under the guaranty is joint and several, meaning each owner is fully responsible for the entire obligation. They must make any payment or performance required under the agreement upon demand if the franchisee fails to do so. This liability is not contingent on Checkersrallys pursuing remedies against the franchisee or any other person first. The liability will also not be affected by any extensions of time, credit, or other allowances Checkersrallys may grant to the franchisee, including accepting partial payments or compromising claims. The guaranty remains continuing and irrevocable during the agreement's term.