Is the guarantee for Pump It Up binding on the Guarantor's successors?

According to the 2025 Pump It Up Franchise Disclosure Document, the guarantee of performance provided by FB HOLDINGS, LLC is indeed binding on both the Guarantor and its successors and assigns. This means that if FB HOLDINGS, LLC, which is the parent company of the franchisor, were to be acquired or undergo a similar change in its corporate structure, the obligations under the guarantee would transfer to the new entity.

This guarantee ensures that FB HOLDINGS, LLC will fulfill the duties and obligations of PUMP IT UP HOLDINGS, LLC under the franchise registration and the Franchise Agreement. This protection extends until all obligations are met or the liability of Pump It Up to its franchisees is completely discharged. The guarantee remains in effect even if a franchisee's claim against Pump It Up is still outstanding, providing a continued layer of security for the franchisee.

For a prospective Pump It Up franchisee, this aspect of the agreement offers reassurance that the financial commitments and responsibilities of the franchisor are backed by its parent company, and that this commitment will continue even if the parent company changes hands. It is a fairly standard practice in franchising to have a guarantee from a parent company, especially when the direct franchisor is a smaller entity or a special-purpose vehicle.