Does the waiver by the Dryer Vent Squad borrower extend to all notices related to the note?
Dryer_Vent_Squad Franchise · 2024 FDDAnswer from 2024 FDD Document
- 9. WAIVER OF PRESENTMENTS. Borrower waives presentment for payment, notice of dishonor, protest and notice of protest.
- 14. NOTICE. Any notices required or permitted to be given hereunder shall be given in writing and shall be delivered (a) in person, or (b) by a commercial overnight courier that guarantees next day delivery and provides a receipt, and such notices shall be made to the parties at the addresses listed below.
Source: Item 23 — RECEIPTS (FDD pages 51–207)
What This Means (2024 FDD)
According to the 2024 Dryer Vent Squad Franchise Disclosure Document, the borrower waives specific rights related to the loan note. Specifically, the borrower waives "presentment for payment, notice of dishonor, protest and notice of protest." This means that Dryer Vent Squad franchisees who borrow money under the terms of the note agree to give up their right to demand formal presentation of the note for payment, to receive notice if the note is not honored (paid), and to receive formal certification of the dishonor (protest).
This waiver simplifies the lender's collection process in case of default. By waiving these notices, the borrower streamlines the process and potentially reduces legal complexities for the lender. However, the FDD does not state that the waiver extends to all notices related to the note.
Item 14 of the note outlines that any notices required or permitted must be in writing and delivered either in person or via a commercial overnight courier with guaranteed next-day delivery and a receipt. This suggests that while certain notifications are waived, formal written notice is still required for other matters pertaining to the note. A prospective franchisee should seek legal counsel to fully understand the implications of these waivers and notice requirements.