Is Kidokinetics Franchisor required to pursue any remedy on the Guaranteed Obligations before seeking recourse from the Guarantor?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
This Guaranty is irrevocable and unlimited. This Guaranty is an absolute and unconditional continuing guarantee of payment and performance of the Guaranteed Obligations. This Guaranty is not discharged by renewal of any claims guaranteed by this instrument, the suffering of any indulgence to any debtor, extension of time of payment thereof, nor the discharge of Franchisee by bankruptcy, operation of law or otherwise. Presentment, demand, protest, notice of protest and dishonor, notice of default or nonpayment and diligence in collecting any obligation under any agreement between Franchisee and Franchisor are each and all waived by Guarantor and/or acknowledged as inapplicable. Franchisor is not required to pursue any remedy on said Guaranteed Obligations as a condition of the obligation hereunder of Guarantor. Guarantor waives notice of amendment of any agreement between Franchisee and Franchisor and notice of demand for payment by Franchisee. Guarantor further agrees to be bound by any and all amendments and changes to any agreement between Franchisee and Franchisor.
Guarantor agrees to defend, indemnify and hold Franchisor harmless against any and all losses, damages, liabilities, costs and expenses (including, but not limited to, reasonable attorneys' fees, reasonable costs of investigation, court costs and fees, and expenses) resulting from, consisting of, or arising out of or in connection with any failure by Franchisee to perform any obligation of Franchisee under the Franchise Agreement and any other agreement between Franchisee and Franchisor.
Guarantor waives any and all notice of the creation, renewal, extension, accrual, modification, amendment, release, or waiver of any of the Guaranteed Obligations and notice of or proof of reliance by
Source: Item 22 — CONTRACTS (FDD page 59)
What This Means (2024 FDD)
According to Kidokinetics' 2024 Franchise Disclosure Document, the franchisor is not required to pursue any remedy on the guaranteed obligations before seeking recourse from the guarantor. The guaranty is an absolute and unconditional continuing guarantee of payment and performance of the guaranteed obligations.
The guarantor waives presentment, demand, protest, notice of protest and dishonor, notice of default or nonpayment, and diligence in collecting any obligation under any agreement between the franchisee and Kidokinetics. The guarantor also waives notice of amendment of any agreement between the franchisee and Kidokinetics and notice of demand for payment by the franchisee. The guarantor agrees to be bound by any and all amendments and changes to any agreement between the franchisee and Kidokinetics.
The guarantor also agrees to defend, indemnify, and hold Kidokinetics harmless against any and all losses, damages, liabilities, costs, and expenses (including reasonable attorneys' fees, costs of investigation, court costs, and fees) resulting from any failure by the franchisee to perform any obligation under the Franchise Agreement or any other agreement between the franchisee and Kidokinetics. The guarantor waives any and all notice of the creation, renewal, extension, accrual, modification, amendment, release, or waiver of any of the guaranteed obligations and notice of or proof of reliance by Kidokinetics.