What is the geographic scope of the Atwell Suites license granted to the licensee?
Atwell_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
License Agreement
| This License Agreement (this "License"), | dated as of, 20_ (the "Effective Date"), is |
|---|---|
| between HOLIDAY HOSPITALITY FRANCHISING, | a Delaware limited liability company ("IHG"), and |
| LLC, | |
| [LICENSEE | NAME], a [ENTITY STATE/TYPE OR AN INDIVIDUAL AND STATE OF RESIDENCE] |
| ("Licensee"), whose address is | |
RECITALS
- A. IHG owns and licenses the "Brand System" (as defined in paragraph 1.B. below). Licensee is the owner of the Hotel and has requested a license to use the Brand System to operate the Hotel as a Brand System Hotel (as defined in paragraph 1.B. below).
- B. IHG shall grant to Licensee a non-exclusive license to operate the Hotel as a Brand System Hotel, subject to the terms of this License.
- C. Guarantor(s) will provide the Guaranty.
- D. In granting this non-exclusive license, IHG has relied upon the business skill, financial capacity, and character of Licensee and the Guaranty to be provided by the Guarantor(s).
NOW, THEREFORE, in consideration of the promises and covenants in this License, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, IHG and Licensee agree as follows:
1. The License:
The Brand System is designed to provide a distinctive, high quality hotel service to the public under the name Atwell Suites™. High standards established by IHG are the essence of the Brand System. Future investments may be required of Licensee under this License. Licensee desires to enter into this License in order to obtain a license to use the Brand System in the operation of a hotel located at the "Location" identified on Attachment "A" and defined in paragraph 2.A. below (the "Hotel").
**A.
Source: Item 23 — Receipts (FDD pages 99–486)
What This Means (2025 FDD)
According to the 2025 Atwell Suites Franchise Disclosure Document, IHG grants the licensee a non-exclusive license to operate a hotel as an Atwell Suites Brand System Hotel. The hotel's location is identified on Attachment "A" of the license agreement and defined in paragraph 2.A. The hotel comprises all structures, facilities, and areas located on the land identified by the licensee to IHG or approved by IHG for additions and signs.
The licensee must obtain IHG's written approval for any changes to the number of approved guest rooms or any other significant change to the hotel or the manner in which hotel rooms and services are offered to the public. The licensee represents that they are entitled to possession of the hotel during the entire license term without restrictions that would interfere with anything contemplated in the license.
Several amendments to the standard license agreement address specific state laws, including those of California, Hawaii, Maryland, Minnesota, and North Dakota. These amendments indicate that the standard agreement is modified to comply with local franchise regulations in those states. This suggests that the license is generally granted for a specific location, but the terms can vary based on the state in which the hotel is located.