Who is considered the 'Franchisor' in the Cinnaholic Guaranty Agreement?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
If Franchisor chooses to proceed against the undersigned under this Guaranty, and Franchisor prevails, the undersigned shall reimburse Franchisor its costs and expenses associated with the proceeding, including its reasonable attorneys' fees, court costs and expenses.
IN WITNESS WHEREOF, each of the , 20 undersigned has hereunto affixed its signature this day of GUARANTORS: Agreed: (SEAL) CINNAHOLIC FRANCHISING, LLC Address: Its: Social Security No.: (SEAL) Signature Exhibit E-2 Address: Social Security No.: (SEAL) Address: Social Security No.: Social Security 140 (SEAL) Address: Social Security No.:
Source: Item 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
According to the 2025 Cinnaholic Franchise Disclosure Document, Cinnaholic Franchising, LLC is considered the Franchisor in the Guaranty Agreement. This is explicitly stated in the sample Guaranty Agreement form. The document includes a signature line for Cinnaholic Franchising, LLC, confirming its role as the franchisor within this legal agreement.
This means that Cinnaholic Franchising, LLC is the party to whom the guarantor is providing a guarantee. The guarantor is promising to fulfill the franchisee's obligations if the franchisee fails to do so. The agreement also stipulates that if Cinnaholic chooses to take legal action against the guarantor and wins, the guarantor must cover Cinnaholic's associated costs, including attorney's fees and court expenses.
Prospective franchisees should carefully review the Guaranty Agreement and understand their obligations and the obligations of any guarantors they may need to involve. It is important to note that the guarantor is making a legally binding promise to Cinnaholic Franchising, LLC, and they could be held liable for the franchisee's debts or other failures to comply with the Franchise Agreement.