What does an Atwell Suites franchisee represent and warrant regarding each card transaction?
Atwell_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
8.1 Your Representations and Warranties. Without limiting any other warranties hereunder, you represent, warrant to, and covenant with us, and with the submission of each Sales Draft reaffirm that:
(a) each Card transaction is genuine and arises from a bona fide transaction permissible under the Card Organization Rules by the Cardholder directly with you, represents a valid obligation for the amount shown on the Sales Draft, preauthorized order, or Credit Draft, and does not involve the use of a Card for any other purpose;
(b) each Card transaction represents an obligation of the related Cardholder for the amount of the Card transaction;
(c) the amount charged for each Card transaction is not subject to any dispute, set-off or counterclaim;
(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;
(e) with respect to each Card transaction, you have no knowledge or notice of any fact, circumstance, or defense which would indicate that such Card transaction is fraudulent or not authorized by the related Cardholder or which would otherwise impair the validity or collectability of that Cardholder's obligation arising from that Card transaction or relieve that Cardholder from liability with respect thereto;
(f) each Card transaction is made in accordance with these Terms and Conditions, Card Organization Rules, the Your Payments Acceptance Guide, and Applicable Law;
(g) each Sales Draft is free of any alteration not authorized by the related Cardholder;
(h) you have completed one Card transaction per sale;
Source: Item 23 — Receipts (FDD pages 99–486)
What This Means (2025 FDD)
According to Atwell Suites' 2025 Franchise Disclosure Document, when submitting each sales draft, the franchisee represents and warrants several conditions to Atwell Suites. These include assurances that each card transaction is genuine, arising from a legitimate transaction between the cardholder and the franchisee, and permissible under card organization rules. The franchisee confirms the transaction represents a valid obligation for the amount shown and does not involve using the card for any unauthorized purpose.
Additionally, the franchisee warrants that each card transaction represents the cardholder's obligation for the transaction amount, is not subject to any dispute or counterclaim, and is exclusively for merchandise or services sold, leased, or rented by the franchisee as indicated in their application. This includes taxes but excludes surcharges unless required by card organization rules. The franchisee also confirms that the merchandise or service was delivered or performed simultaneously with the acceptance and submission of the card transaction, except for explicitly authorized delayed delivery or advance deposit transactions.
Furthermore, the Atwell Suites franchisee must not have any knowledge or notice of facts indicating the transaction is fraudulent or unauthorized, which could impair the validity or collectability of the cardholder's obligation. Each card transaction must comply with the terms and conditions, card organization rules, the Your Payments Acceptance Guide, and applicable laws. The franchisee also warrants that each sales draft is free of unauthorized alterations and represents only one card transaction per sale. These representations and warranties ensure the integrity and legality of all card transactions processed at the Atwell Suites hotel, protecting both the franchisee and franchisor from potential fraud and financial risk.