Which sections of the Face Foundrie Franchise Agreement are the undersigned expressly agreeing to be personally bound by through the Guaranty?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
The undersigned hereby acknowledges and expressly agrees to be personally bound by all of the covenants contained in the Agreement, including, without limitation, those covenants contained in Sections 7, 11, 13, 14, 18, and 19. Signature by the undersigned on this Guaranty constitutes the undersigned's signature on the Agreement related to all covenants. The undersigned asserts that he or she has read such covenants, been advised by counsel regarding their effect, and hereby affirmatively agree to them in order to secure the rights granted to Franchisee by Franchisor under the Agreement. The undersigned further acknowledges and agrees that this Guaranty does not grant the undersigned any right to use the "Face Foundrié" marks or system licensed to Franchisee under the Agreement.
This Guaranty shall terminate upon the termination or expiration of the Agreement, except that all obligations and liabilities of the undersigned which arose from events which occurred on or before the effective date of such termination shall remain in full force and effect until satisfied or discharged by the undersigned, and all covenants which by their terms continue in force after the expiration or termination of the Agreement shall remain in force according to their terms. Upon the death of an individual guarantor, the estate of such guarantor shall be bound by this Guaranty, but only for defaults and obligations hereunder existing at the time of death; and the obligations of the other guarantors, if any, will continue in full force and effect.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, the guarantor expressly agrees to be personally bound by the covenants contained in the Franchise Agreement. Specifically, the guarantor agrees to the covenants outlined in Sections 7, 11, 13, 14, 18, and 19 of the agreement.
This means that by signing the Guaranty, the guarantor is essentially also signing the Franchise Agreement in relation to those specific sections. The document emphasizes that the guarantor acknowledges having read these covenants, sought legal counsel regarding their implications, and willingly agrees to them to enable the franchisee to receive the rights granted by Face Foundrie under the Franchise Agreement.
Furthermore, the Guaranty does not grant the guarantor any rights to use Face Foundrie's marks or system that are licensed to the franchisee. The obligations under the Guaranty remain in effect even after the termination or expiration of the Franchise Agreement, particularly for obligations and liabilities arising before the termination date and for covenants that continue in force after termination according to their terms. In the event of the death of a guarantor, their estate remains bound by the Guaranty for existing defaults and obligations at the time of death, while the obligations of any other guarantors remain fully in effect.