What rights does the Holder reserve regarding the terms of this Note for Americas Best Value Inn?
Americas_Best_Value_Inn Franchise · 2025 FDDAnswer from 2025 FDD Document
Each maker, endorser, guarantor, or accommodation party liable for this Note waives presentment, demand, notice of demand, protest, notice of protest, notice of non-payment, notice of dishonor and diligence in collection.
Holder reserves the right to modify the terms of this Note, grant extensions, renewals, releases, discharges, compositions, and compromises with any party liable on this Note, with or without notice to or the consent of, or discharging or affecting the obligations of any other party liable under this instrument.
This Note is being delivered in, is intended to be performed in, shall be construed and interpreted in accordance with, and be governed by the internal laws of, the Commonwealth of Massachusetts, without regard to principles of conflict of laws.
Any legal action necessary to enforce the terms of this Note may be brought by the Holder in the Commonwealth of Massachusetts and the Maker hereby submits to the jurisdiction of any federal or state court in the Commonwealth of Massachusetts.
Any default under the terms of the Agreement or this Note shall be deemed a default of the Agreement and this Note, and the Holder may pursue its remedies as available under the Agreement and this Note.
- f.
THE MAKER AND THE HOLDER HEREBY WAIVE TRIAL BY JURY IN ANY ACTION OR PROCEEDING TO WHICH THE MAKER AND THE HOLDER MAY BE PARTIES, ARISING OUT OF OR IN ANY WAY PERTAINING TO THIS NOTE.
Source: Item 22 — CONTRACTS (FDD page 71)
What This Means (2025 FDD)
According to the 2025 Franchise Disclosure Document, the Holder of the Note for Americas Best Value Inn possesses significant rights regarding the terms and enforcement of the note. The Holder has the right to modify the terms of the Note, grant extensions, renewals, releases, discharges, compositions, and compromises with any party liable on the Note. This can be done without notice to or the consent of, or discharging or affecting the obligations of any other party liable under the instrument.
Additionally, the Holder can assign the Note in whole or in part and may share credit and financial data of the Maker with potential assignees or participants. The Maker is obligated to provide any additional information reasonably requested by these proposed assignees or participants. If the Note requires collection through an attorney, the Holder is entitled to collect reasonable attorneys' fees and all costs of collection.
Furthermore, the Maker waives several legal protections, including presentment, demand, notice of demand, protest, notice of protest, notice of non-payment, notice of dishonor, and diligence in collection. The Note is governed by the laws of the Commonwealth of Massachusetts, and any legal action to enforce the Note can be brought by the Holder in Massachusetts, with the Maker submitting to the jurisdiction of the courts there. Any default under the Note is also considered a default under the Agreement, allowing the Holder to pursue remedies available under both documents. Both the Maker and the Holder waive their right to a jury trial in any action pertaining to the Note.
In practical terms, these provisions grant the Holder extensive flexibility and control over the Note, while limiting the Maker's defenses and rights. A prospective Americas Best Value Inn franchisee should carefully consider these terms and seek legal counsel to fully understand their implications before entering into such an agreement.