factual

Is the personal guaranty for a Deer Solution franchise considered a continuing guaranty?

Deer_Solution Franchise · 2025 FDD

Answer from 2025 FDD Document

"Franchise Owner and Spouse Agreement and Guaranty" refers to and means the form of agreement attached to this Agreement as Exhibit 1. The Franchise Owner and Spouse Agreement and Guaranty is an agreement and guarantee individually, jointly, and severally entered into by the Owners and Spouses of Franchisee.

Source: Item 23 — RECEIPTS (FDD pages 55–246)

What This Means (2025 FDD)

Based on the 2025 Deer Solution Franchise Disclosure Document, the Franchise Owner and Spouse Agreement and Guaranty is an agreement and guarantee individually, jointly, and severally entered into by the Owners and Spouses of Franchisee. This means that each owner and spouse is responsible for the full obligations of the franchisee, not just a portion. This agreement is in favor of Deer Solution Franchising LLC, its successors, and assigns, and is based on the terms and conditions set forth within the agreement.

This agreement is made with the understanding that Deer Solution has developed a distinctive system for providing deer repellent services and products. The franchisee has entered into a Franchise Agreement to operate a Deer Solution Business, and the franchisor recommends that the franchisee review the Franchise Agreement and the Franchise Owner and Spouse Agreement and Guaranty with a lawyer.

While the excerpts define the agreement and its purpose, they do not explicitly state whether the personal guaranty is a continuing guaranty. A continuing guaranty typically remains in effect for an indefinite period, covering all obligations of the franchisee until the guarantor revokes it. To determine if the Deer Solution personal guaranty is a continuing one, a prospective franchisee should carefully review the specific terms of the Franchise Owner and Spouse Agreement and Guaranty, particularly any clauses addressing the duration and termination of the guaranty, and consult with a legal professional.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.