Is an Owner Agreement and Individual Guaranty part of the Dryer Vent Squad Franchise Agreement?
Dryer_Vent_Squad Franchise · 2024 FDDAnswer from 2024 FDD Document
he meanings set forth in the Franchise Agreement between Franchisor and Franchisee.
| Owner Name | Owner Address | Ownership Interest Percentage | |
|---|---|---|---|
| Name of designated | |||
| Managing Owner: | |||
| Franchisee: | |||
| Signature of Franchisee | Signature of Franchisee | ||
| Name (please print) | Name (please print) | ||
| Dated | Dated |
Franchise Agreement Exhibit 1 Owner Agreement and Individual Guaranty
OWNER AGREEMENT AND INDIVIDUAL GUARANTY
This Franchise Owner Agreement and Individual Guaranty (the "Agreement") is individually entered into by you as an owner of ____________________________ (hereinafter referred to as "Franchisee"), and is given and signed by you in favor of DVS Holdings, Inc., franchisor of the Dryer Vent Squad franchise system and in favor of DVS Holdings, Inc., successors and assigns, upon the terms and conditions set forth in this Agreement. In this Agreement DVS Holdings, Inc.is referred to as "us", "our" or "we", and each individual that signs this Agreement is referred to as "you".
Recitals and Representations
WHEREAS, Franchisee has entered into a Dryer Vent Squad Business Franchise Agreement (the "Franchise Agreement") for the development and operation of a business (the "Franchised Business" or "Dryer Vent Squad Business") that offers and provides cleaning, repair and maintenance services for dryer vents, kitchen and bathroom vents, and related services and products (the "Approved Services and Products") under the Licensed Marks (defined below);
Source: Item 22 — CONTRACTS (FDD page 51)
What This Means (2024 FDD)
According to Dryer Vent Squad's 2024 Franchise Disclosure Document, an Owner Agreement and Individual Guaranty are part of the Franchise Agreement. Specifically, Exhibit 1 of the Franchise Agreement is the Owner Agreement and Individual Guaranty. This agreement is entered into by each owner of the franchisee in favor of DVS Holdings, Inc., the franchisor.
The Owner Agreement and Individual Guaranty obligates the owner to guarantee the franchisee's obligations to Dryer Vent Squad. It also includes obligations related to brand protection, confidentiality, and non-competition restrictions. The franchisor relies on this agreement as an inducement to enter into the Franchise Agreement with the franchisee.
Prospective franchisees should carefully review Exhibit 1 of the Franchise Agreement with a lawyer to fully understand the obligations and restrictions placed on them as owners, including the personal guarantee of the franchisee's obligations and the non-competition covenants.