Does the Clean Your Dirty Face Guaranty include monetary and non-monetary obligations?
Clean_Your_Dirty_Face Franchise · 2025 FDDAnswer from 2025 FDD Document
Each of the undersigned waives: (1) acceptance and notice of acceptance by Franchisor of the foregoing undertakings; (2) notice of demand for payment of any indebtedness or nonperformance of any obligations guaranteed; (3) protest and notice of default to any party with respect to the indebtedness or nonperformance of any obligations guaranteed; (4) any right he or she may have to require that an action be brought against Franchisee or any other person as a condition of liability. Each of the undersigned consents and agrees that: (1) his or her direct and immediate liability under this Guaranty shall be joint and several; (2) he or she shall render any payment or performance required under the Agreement on demand if Franchisee fails or refuses punctually to do so; (3) liability shall not be contingent or conditioned on pursuit by Franchisor of any remedies against Franchisee or any other person; (4) liability shall not be diminished, relieved or affected by any extension of time, credit or other indulgence which Franchisor may grant to Franchisee or to any other person, including 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; (5) Guarantor is bound by the restrictive covenants, confidentiality provisions, and indemnification provisions contained in the Agreement; and (5) at our request, Guarantor provides the updated financial information to us as may be reasonably necessary to demonstrate his or her ability to satisfy the obligations of the franchise owners under the Agreement.
Source: Item 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
According to the 2025 Clean Your Dirty Face Franchise Disclosure Document, the Guaranty includes both monetary and non-monetary obligations. Specifically, the guarantor is responsible for payment or performance required under the Franchise Agreement if the franchisee fails or refuses to fulfill them. This encompasses not only financial obligations but also extends to adherence to restrictive covenants, confidentiality provisions, and indemnification provisions outlined in the agreement.
This means that individuals signing the Guaranty for a Clean Your Dirty Face franchise are not only guaranteeing the franchisee's financial obligations but also their compliance with other key aspects of the Franchise Agreement. The guarantor's liability is direct, immediate, and independent of the franchisee's liability.
Furthermore, the guarantor is bound by the restrictive covenants, confidentiality provisions, and indemnification provisions contained in the agreement. Clean Your Dirty Face can also request updated financial information from the guarantor to ensure their ability to meet the obligations of the franchise owners. This ensures Clean Your Dirty Face has recourse to enforce both financial and operational compliance with the franchise agreement.