Can Americas Best Value Inn increase the Travel Agency Commission Settlement Fee?
Americas_Best_Value_Inn Franchise · 2025 FDDAnswer from 2025 FDD Document
our breach before the authorized opening of your Hotel.
Note 12 – We may use, or require you to use, a travel agent commission settlement program operated by a third-party provider selected by us. We currently estimate that settlement fees will be no more than $0.85 per transaction. These settlement fees may be paid directly to the third-party provider or we may collect them and further remit your payment to the third-par
Source: Item 6 — OTHER FEES (FDD pages 24–32)
What This Means (2025 FDD)
According to the 2025 Americas Best Value Inn Franchise Disclosure Document, the brand may use a third-party travel agent commission settlement program. Currently, Americas Best Value Inn estimates settlement fees to be no more than $0.85 per transaction. These fees can be paid directly to the third-party provider, or Americas Best Value Inn may collect them and remit payment to the third party, less an administrative fee per transaction. However, the FDD does not explicitly state whether Americas Best Value Inn can increase this fee.
While the FDD does not directly address the ability to increase the travel agency commission settlement fee, it does state that Americas Best Value Inn may periodically increase certain other fees by something called the "Fee Adjustment." These fees include Groups, Meetings, and Events fees, Corporate Transient and Consortia Account Support Subscription and Services fees, PIP fees and reinspection fees, Insurance fees, Photography Expenses, PMS-to-CRS Enhanced Connectivity Fee, and Reservation System Maintenance Fee.
Since the FDD does not explicitly state whether Americas Best Value Inn can increase the travel agency commission settlement fee, it would be prudent for a prospective franchisee to seek clarification from the franchisor regarding the potential for increases in this fee and the factors that could influence such adjustments. Understanding the terms and conditions associated with the travel agent commission settlement program is essential for making an informed investment decision.