Does the Guaranty apply to every undertaking in the Endless Summer Sweets Franchise Agreement?

Based on the 2024 Endless Summer Sweets Franchise Disclosure Document, Exhibit 3 outlines the Guaranty and Non-Compete Agreement. The document states that the guarantor is executing the guaranty to induce Endless Summer Sweets to enter into the Franchise Agreement.

The Guaranty includes covenants not to compete, restricting the guarantor from involvement with any competitor during the term of the Franchise Agreement. This restriction extends for two years after the agreement expires or is terminated, within a 25-mile radius of the franchisee's territory or any other Endless Summer Sweets business. The guarantor also agrees to maintain the confidentiality of information during and after the franchise agreement.

The Guaranty specifies that each covenant is independent of any other provision in the Guaranty or the Franchise Agreement. If any part of the covenants is deemed unenforceable, the parties intend for a court or arbitrator to modify the restriction to protect Endless Summer Sweets's business interests. Therefore, the guaranty agreement focuses on non-compete and confidentiality obligations rather than every single undertaking within the broader Franchise Agreement.