Under the Even Hotels Guaranty, what obligation of IHG does each Guarantor specifically waive?

According to the 2025 Even Hotels Franchise Disclosure Document, the Guarantor provides a guaranty of payment and performance, not of collection. This means that each Guarantor specifically waives any obligation of IHG (Holiday Hospitality Franchising, LLC) to first proceed against the Licensee (the franchisee) or any assets held by the Licensee or others as collateral security before seeking fulfillment from the Guarantor. This waiver extends to any money or property held by the Licensee, whether through set off or other means.

In simpler terms, Even Hotels can pursue the Guarantor directly for the Licensee's obligations without having to first exhaust all options against the Licensee. This is a significant point for potential Guarantors, as it means they can be held responsible for the debt immediately upon the Licensee's default. The Guarantor's obligations are independent of the Licensee's, allowing Even Hotels to bring a separate action against the Guarantor, regardless of whether the Licensee is involved in the action.

Furthermore, the Guaranty remains effective even if payments of the guaranteed obligations are rescinded or returned due to the Licensee's insolvency or bankruptcy. The Guarantor's obligations are not reduced, limited, or terminated by any insolvency, bankruptcy, or similar proceedings affecting the Licensee or its assets. This ensures that Even Hotels is protected, and the Guarantor's responsibility persists despite the Licensee's financial difficulties.