Under what condition can Atwell Suites immediately suspend or terminate an account even after it has been activated?

According to Atwell Suites's 2025 Franchise Disclosure Document, Atwell Suites reserves the right to immediately suspend or terminate a franchisee's account and the franchise agreement, even after the account has been activated for submitting transactions. This can occur if the franchisee fails to meet Atwell Suites's credit policies, even if the account was activated before the credit department's final approval.

This provision means that initial activation of an account for transaction submission does not guarantee the franchisee's long-term standing. Atwell Suites retains the authority to reassess and potentially terminate the agreement based on its credit policies. This is a significant risk for franchisees, as they could begin operations and then face termination if they don't meet the franchisor's credit standards.

Prospective franchisees should carefully review Atwell Suites's credit policies and ensure they fully understand and can comply with them. It would be prudent to seek clarification on what specific factors are considered in the credit review process and what recourse a franchisee has if their account is suspended or terminated under this clause. Understanding these terms is crucial before investing in an Atwell Suites franchise.