factual

What Best Western document defines the terms 'Members' and 'Members with Conditions'?

Best_Western Franchise · 2025 FDD

Answer from 2025 FDD Document

"Member" means a member of the Corporation admitted pursuant to Article II of these Bylaws whose Membership has not been cancelled or terminated.

"Member with Conditions" means a new Member whose Property has been activated on the Corporation's reservation system subject to satisfying mutually agreed conditions after activation on the reservation system. Also, this means a Member whose Membership has been continued, rather than terminated after a hearing by the Board, subject to satisfying mutually agreed conditions. Members with Conditions are subject to termination without the right to a hearing or probation if they fail to complete the conditions as mutually agreed.

Source: Item 23 — Receipts (FDD pages 108–413)

What This Means (2025 FDD)

According to Best Western's 2025 Franchise Disclosure Document, the definitions for 'Member' and 'Member with Conditions' are found within Article II of the company's Bylaws. Specifically, a 'Member' is defined as an individual who has been admitted into the corporation according to Article II of these Bylaws and whose membership has not been canceled or terminated.

In contrast, a 'Member with Conditions' refers to either a new member whose property has been activated on Best Western's reservation system but is subject to fulfilling certain agreed-upon conditions after activation, or a member whose membership was continued (rather than terminated) after a hearing by the Board, again subject to satisfying mutually agreed conditions. The critical distinction is that 'Members with Conditions' face the risk of termination without the right to a hearing or probation if they fail to meet the agreed-upon conditions.

For a prospective Best Western franchisee, understanding these definitions is crucial. It clarifies the requirements and potential risks associated with maintaining good standing within the Best Western system. New members need to be aware of any conditions attached to their initial membership, while existing members should understand the circumstances under which their membership could be continued with conditions, and the potential consequences of failing to meet those conditions.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.