factual

What was the effective date of self-termination for the Best Western Plus Dallas Hotel & Conference Center in the Best Western International, Inc. v. 1Nonly Phi Mar, LLC case?

Best_Western Franchise · 2025 FDD

Answer from 2025 FDD Document

21, 2022; Counterclaim filed July 8, 2022).

The Member for the Best Western Plus Dallas Hotel & Conference Center ("Former Member") terminated its Membership with us by self-termination, effective September 21, 2021. At the time of the self-termination, the Former Member had a large, outstanding balance owed to us. On March 21, 2022, we filed a complaint against the owner of the Former Member, 1Nonly Phi Mar, LLC, and its voting member, for their failure to pay the outstanding account and fees and dues owed following the self-termination. The Former Member filed a counterclaim against us for breach of contract and breach of the implied covenant of good faith and fair dealing. We denied any wrongdoing and disputed the allegations in the counterclaim. On January 12, 2023, the parties settled the case with mutual releases of all claims per a confidential settlement agreement, the disclosure of which is only allowed if required by applicable law or court order. The parties agreed that the Former Member would pay us $223

Source: Item 2 — Business Experience (FDD pages 12–21)

What This Means (2025 FDD)

According to Best Western's 2025 Franchise Disclosure Document, the Best Western Plus Dallas Hotel & Conference Center's membership was terminated through self-termination, effective September 21, 2021. This information is derived from the case Best Western International, Inc. v. 1Nonly Phi Mar, LLC. At the time of self-termination, the former member had a significant outstanding balance owed to Best Western.

Subsequently, Best Western filed a complaint on March 21, 2022, against 1Nonly Phi Mar, LLC, the owner of the former member, and its voting member, for failing to pay the outstanding account, fees, and dues. The former member then filed a counterclaim against Best Western, alleging breach of contract and breach of the implied covenant of good faith and fair dealing. Best Western denied any wrongdoing and disputed the allegations made in the counterclaim.

The parties reached a settlement on January 12, 2023, which included mutual releases of all claims under a confidential settlement agreement. The disclosure of this agreement is permitted only if required by law or court order. As part of the settlement, the former member agreed to pay Best Western $223,000 in installment payments over 13 months.

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.