factual

How does the Atwell Suites FDD define 'Competitive Beverage'?

Atwell_Suites Franchise · 2025 FDD

Answer from 2025 FDD Document

    1. "Competitive Beverage" means any Beverage that is not a Company Beverage, and any Beverage marketed under Beverage trademarks that are not Company or Bottler trademarks.

Source: Item 23 — Receipts (FDD pages 99–486)

What This Means (2025 FDD)

According to the 2025 Atwell Suites FDD, a 'Competitive Beverage' is defined as any beverage that is not a Company Beverage, or any beverage marketed under beverage trademarks that are not Company or Bottler trademarks. In this context, 'Company' refers to The Coca-Cola Company. This definition is important for Atwell Suites franchisees as it outlines which beverages they are restricted from selling or promoting due to agreements with Coca-Cola.

This restriction impacts the franchisee's ability to choose beverage suppliers freely. The franchisee must prioritize Company Beverages and those marketed under Company or Bottler trademarks. This could potentially limit the franchisee's ability to cater to specific customer preferences or to source beverages from local or regional suppliers that might offer better pricing or unique products.

However, the FDD also outlines some exceptions where Competitive Beverages may be served, such as at individual events or functions if the booking party requires it as a condition of booking. Additionally, third-party tenants renting space at the hotel may be allowed to serve Competitive Beverages under certain conditions. These exceptions provide some flexibility for the franchisee to accommodate specific situations while still adhering to the overall beverage agreement.

It is important for prospective Atwell Suites franchisees to carefully review the beverage agreement and understand the implications of the Competitive Beverage definition. They should also inquire about any potential limitations on beverage selection and the process for requesting exceptions or serving Competitive Beverages in specific circumstances. Understanding these details will help franchisees make informed decisions about their beverage offerings and manage their relationships with beverage suppliers.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.