Can an Atwell Suites franchisee charge a surcharge on card transactions?
Atwell_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
- (d) each Card transaction amount is only for respective merchandise or services (including taxes, but without any surcharge, except as required by Card Organization Rules) sold, leased, or rented by you pursuant to your business as indicated on the Application and, except for any delayed delivery or advance deposit Card transactions expressly authorized by the Agreement, that merchandise or service was actually delivered to or performed for the Cardholder entering into that Card transaction simultaneously upon your accepting and submitting that Card transaction for processing;
Source: Item 23 — Receipts (FDD pages 99–486)
What This Means (2025 FDD)
According to the 2025 Atwell Suites Franchise Disclosure Document, franchisees are generally prohibited from adding surcharges to card transactions. The agreement stipulates that the amount charged for each card transaction should not be subject to any surcharge, unless explicitly required by Card Organization Rules. This means that unless the card networks themselves mandate a surcharge in specific situations, Atwell Suites franchisees must not add extra fees for customers paying with cards.
This policy is designed to ensure transparent pricing and avoid deterring customers from using credit or debit cards. Franchisees must ensure their point-of-sale systems and practices comply with this rule to avoid violating the franchise agreement. Failure to comply could potentially lead to disputes or other repercussions from the franchisor.
It is important for prospective Atwell Suites franchisees to fully understand the Card Organization Rules and any potential exceptions that might allow surcharges. They should also clarify with the franchisor any specific circumstances where surcharges might be permissible to ensure full compliance and avoid any misunderstandings.