Can LearningRx alter, amend, or exchange any of the indebtedness under the LearningRx Guaranty?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor, its successors and assigns, may from time to time, without notice to the undersigned: (a) resort to the undersigned for payment of any of the indebtedness, whether or not it or its successors have resorted to any property securing any of the indebtedness or proceeded against any other of the undersigned or any party primarily or secondarily liable on any of the
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indebtedness; (b) release or compromise any indebtedness of any of the undersigned hereunder or any indebtedness of any party or parties primarily or secondarily liable on any of the indebtedness; (c) extend, renew or credit any of the indebtedness for any period (whether or not longer than the original period); (d) alter, amend or exchange any of the indebtedness; or (e) give any other form of indulgence, whether under the Agreement or otherwise.
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, Learningrx, its successors, and assigns, can alter, amend, or exchange any of the indebtedness under the Learningrx Guaranty without notifying the undersigned. They can also pursue payment from the undersigned, regardless of whether they have sought payment from any property securing the debt or from any other party liable for the debt.
Additionally, Learningrx has the right to release or compromise any debt of any of the undersigned or any party primarily or secondarily liable. They can also extend, renew, or credit any of the debt for any period, even if it is longer than the original period. Furthermore, Learningrx can provide any other form of indulgence, whether under the agreement or otherwise.
This means that Learningrx has broad authority to modify the terms of the debt and the obligations of the guarantors without needing to seek further consent. As a prospective franchisee, it is important to understand the full scope of the Learningrx Guaranty and the potential implications of these provisions.