Is the Floyds 99 Guaranty continuing and irrevocable during the term of the Agreement?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
In addition, if Developer is an entity, all of the owners of Developer shall sign the Guaranty and Assumption of Developer's Obligations attached hereto as Exhibit II.
Source: Item 23 — RECEIPT (FDD pages 58–229)
What This Means (2025 FDD)
Based on the 2025 Floyds 99 Franchise Disclosure Document, if the Developer is an entity, all of the owners of the Developer must sign the Guaranty and Assumption of Developer's Obligations attached as Exhibit II. However, the document does not specify whether the Guaranty is continuing and irrevocable during the term of the agreement.
Because the FDD does not specify whether the Guaranty is continuing and irrevocable, prospective Floyds 99 franchisees should seek clarification from the franchisor regarding the terms and conditions of the Guaranty.
Specifically, franchisees should ask Floyds 99 about the duration and scope of the Guaranty, and under what circumstances the Guaranty can be terminated or released. Understanding these details is crucial for assessing the full extent of the financial obligations and potential liabilities associated with the franchise agreement.