For Atwell Suites, when does the obligation to pay for a Service Component begin?
Atwell_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
Unless a Service Publication specifies otherwise, Eligible Participant's obligation to pay for a Service Component begins upon availability of the Service Component to Eligible Participant.
Eligible Participant will pay AT&T without deduction, setoff, or delay for any reason (except for withholding taxes as provided in Section 4.2 - Additional Charges and Taxes or in Section 4.5 - Delayed Billing; Disputed Charges).
Source: Item 23 — Receipts (FDD pages 99–486)
What This Means (2025 FDD)
According to Atwell Suites' 2025 Franchise Disclosure Document, the obligation for an eligible participant to pay for a service component begins upon the availability of that service component. This means that once a particular service is accessible and ready for use by the franchisee, the payment obligation is triggered.
Atwell Suites franchisees are obligated to pay AT&T without any deductions, setoffs, or delays, except for withholding taxes as provided in Section 4.2, which covers additional charges and taxes, or Section 4.5, which addresses delayed billing and disputed charges. This underscores the importance of understanding when services become available to avoid disputes over billing.
It's important for prospective Atwell Suites franchisees to clarify with the franchisor and AT&T exactly when a service component is considered 'available.' This will help in budgeting and financial planning, ensuring that payments are made promptly to avoid any potential issues with AT&T or Atwell Suites. Franchisees should also be aware of the conditions under which they can dispute charges or delay billing, as outlined in the referenced sections.