Can the Best Western Board direct that customary membership services to the Property remain uninterrupted during any contingency period?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
D. The Board may act upon other Membership Applications by approving such applications subject to one or more contingencies or conditions imposed by the Board in its sole discretion. If such contingent approval is given, the Applicant shall not be entitled to Membership until the Board has received proof, satisfactory to it, that all such conditions or contingencies have been timely satisfied. Such final approval, if granted, shall be effective from the date the final approval is granted. The Board may direct that customary membership services to the Property may commence during any contingency period, upon the Applicant's agreement to timely comply with the stated conditions and pay the established fees, dues and assessments for said period and the cost of all goods or services provided by or ordered through Best Western whether or not the application is ultimately approved. However, in no event shall this commencement of customary membership services be construed as granting Membership status to the Applicant.
Source: Item 23 — Receipts (FDD pages 108–413)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, the Board of Directors has the authority to allow customary membership services to begin for an applicant's property during a contingency period. This is contingent upon the applicant agreeing to comply with all stipulated conditions, as well as paying the necessary fees, dues, and assessments for the period. This also includes covering the costs of any goods or services obtained through Best Western, regardless of whether the application is ultimately approved.
However, the commencement of these customary membership services during the contingency period does not guarantee or imply that the applicant will be granted full membership status. The applicant is only considered a Best Western member once the Board has received and approved proof that all conditions or contingencies have been met to their satisfaction. Final approval is effective from the date it is granted by the Board.
This policy allows potential Best Western franchisees to start benefiting from some membership advantages while still fulfilling the final requirements for full membership. However, it's important to note that these services can be halted if the applicant fails to meet the conditions set by the Board, and that the initial fees paid are non-refundable even if the application is ultimately denied.