If a Best Western property is leased, what happens to the Best Western membership?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
- (A) Except as provided in Article II, Section 7(B) of these Bylaws, a Membership shall automatically terminate on the date of the occurrence of any one of the following events:
- (1) The Best Western Property is leased or subleased;
Source: Item 23 — Receipts (FDD pages 108–413)
What This Means (2025 FDD)
According to the 2025 Best Western FDD, a Best Western membership will automatically terminate if the Best Western property is leased or subleased. This is according to Article II, Section 7(A)(1) of the Best Western Bylaws.
This means that if a Best Western franchisee decides to lease their property to another party, the Best Western membership associated with that property will be terminated. The new lessee would not automatically inherit the Best Western franchise rights. They would need to apply for a new membership themselves if they wish to operate the property under the Best Western brand.
This automatic termination is subject to some exceptions. According to Article II, Section 7, a member may request a hearing with the Board of Directors to argue why the termination should not occur, provided they submit their reasons in writing at least 30 days prior to the effective date of the lease. The Board has sole discretion to determine whether the termination will occur. Prospective franchisees should carefully consider these implications before leasing their Best Western property, as it could result in the loss of their franchise affiliation.