Will the Guarantor's liability be affected by any amendment of the Crave Cookies Franchise Agreement?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
Guarantor agrees that Guarantor's liability hereunder shall not be diminished, relieved or otherwise affected by (a) any amendment of the Franchise Agreement, (b) any extension of time, credit or other indulgence which Crave Cookies Franchising may from time- to-time grant to Franchisee or to any other person or entity, or (c) the acceptance of any partial payment or performance or the compromise or release of any claims.
Source: Item 22 — CONTRACTS (FDD page 47)
What This Means (2025 FDD)
According to the 2025 Crave Cookies Franchise Disclosure Document, a Guarantor's liability will not be diminished, relieved, or otherwise affected by any amendment to the Franchise Agreement. This means that even if the Franchise Agreement is changed after the Guaranty is signed, the Guarantor remains fully responsible for the franchisee's obligations.
This provision protects Crave Cookies by ensuring that the Guarantor's obligations remain intact regardless of any modifications made to the Franchise Agreement. This is a standard practice in franchising, as it provides the franchisor with consistent security for the franchisee's performance.
For a prospective Crave Cookies franchisee, this means that anyone acting as a Guarantor (often a family member or business partner) needs to understand they are committing to the franchisee's obligations for the long term, irrespective of potential changes to the franchise agreement. It is important for the guarantor to seek legal counsel to fully understand the implications of the guaranty.