When do the guarantor's obligations under the Dryject Guaranty Agreement become effective?

According to Dryject's 2025 Franchise Disclosure Document, the guarantor's obligations under the Guaranty Agreement become effective on the Effective Date of the Franchise Agreement. This holds true regardless of the actual date the Guaranty Agreement is signed.

For a prospective Dryject franchisee, this means that if a guarantor is required as part of the franchise agreement (for example, if the franchisee is a business entity), the guarantor's responsibilities begin as soon as the franchise agreement takes effect. The guarantor is bound by the terms of the Guaranty Agreement from the Effective Date, irrespective of when they physically signed the document.

This clause ensures that Dryject has immediate recourse to the guarantor's commitment from the moment the franchise begins, providing financial security to Dryject. Franchisees should ensure that all guarantors understand this obligation and are prepared to fulfill their duties from the outset of the franchise agreement.