What happens if the Best Western application is not ultimately approved after customary membership services have commenced?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
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 commencement of customary membership services does not guarantee membership status to the applicant. Even if Best Western allows a property to begin using some membership services during the application process, the applicant must still comply with all stated conditions and pay all established fees, dues, and assessments for the period in which those services were provided. This obligation to pay for services rendered exists regardless of whether the application is ultimately approved.
Best Western's Board of Directors can approve applications subject to specific conditions or contingencies. The applicant isn't considered a member until they've provided satisfactory proof that all conditions have been met. The Board may allow customary membership services to begin while these contingencies are being addressed, but again, this doesn't guarantee final approval. The applicant is still responsible for all associated costs during this period.
In essence, Best Western ensures that applicants pay for any services they use during the approval process, even if their application is eventually denied. This policy protects Best Western's revenue stream and ensures that only fully approved members receive the complete benefits of membership. Prospective franchisees should be aware that commencing customary membership services is not a guarantee of membership and that they will be responsible for all costs incurred during the application process, regardless of the outcome.