factual

Is an Atwell Suites franchisee allowed to use any part of the hotel to promote a competing business?

Atwell_Suites Franchise · 2025 FDD

Answer from 2025 FDD Document

You must provide the Hotel services described in Attachment "A" to your License and must ensure that no part of the Hotel or the Brand System is used to facilitate or promote a competing business.

Source: Item 16 — Restrictions on What the Franchisee May Sell (FDD page 92)

What This Means (2025 FDD)

According to the 2025 Atwell Suites FDD, franchisees are explicitly prohibited from using any part of the hotel or the Brand System to promote a competing business. This restriction is in place to protect the integrity and uniformity of the Atwell Suites brand and to prevent franchisees from diverting business to other ventures. This requirement is fairly standard in the franchise industry, as franchisors seek to maintain control over their brand and protect their market position.

This restriction means that franchisees must be vigilant about ensuring that all activities within the hotel align with the Atwell Suites brand. Franchisees need to ensure that all marketing materials, services, and offerings are consistent with the Atwell Suites standards and do not promote any competing business, directly or indirectly. This includes ensuring that staff are trained to represent only Atwell Suites and its offerings.

Failure to comply with this restriction could result in penalties, including termination of the franchise agreement. Therefore, it is crucial for prospective franchisees to fully understand and adhere to this requirement to maintain a successful and compliant Atwell Suites franchise.

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.