Does the Guarantor of a Hardees franchise waive notice of demand for payment of any indebtedness?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
- **4.
General Terms and Conditions.** The following general terms and conditions shall apply to this Guarantee:
- A. Each of the undersigned waives: (1) acceptance and notice of acceptance by HR of the foregoing undertakings; (2) notice of demand for payment of any indebtedness or nonperformance of any obligations hereby guaranteed; (3) protest and notice of default to any party with respect to the
indebtedness or nonperformance of any obligations hereby guaranteed; (4) any right he may have to require that an action be brought against Developer or any other person as a condition of liability; (5) all rights to payments and claims for reimbursement or subrogation which any of the undersigned may have against Developer arising as a result of the execution of and performance under this Guarantee by the undersigned; (6) any law or statute which requires that HR make demand upon, assert claims against or collect from Developer or any others, foreclose any security interest, sell collateral, exhaust any remedies or take any other action against Developer or any others prior to making any demand upon, collecting from or taking any action against the undersigned with respect to this Guarantee; (7) any and all other notices and legal or equitable defenses to which he may be entitled; and (8) any and all right to have any legal action under this Guarantee decided by a jury.
Source: Item 23 — Receipts (FDD pages 85–541)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, the guarantor does waive notice of demand for payment of any indebtedness. Specifically, the guarantor waives acceptance and notice of acceptance by Hardees of the undertakings, and waives notice of demand for payment of any indebtedness or nonperformance of any obligations guaranteed.
This waiver means that Hardees is not required to notify the guarantor before demanding payment for any debt or addressing any failure to fulfill obligations that the guarantor has guaranteed. This condition streamlines the process for Hardees to seek recourse directly from the guarantor in case of the franchisee's default, without the obligation of providing prior notice.
For a prospective Hardees franchisee, this implies that anyone acting as a guarantor for their franchise agreement should be fully aware of their responsibilities and potential liabilities. The guarantor's commitment is immediate and direct, without the protection of a prior notice, which could have significant financial implications.