What does 'Property' refer to in the Best Western Membership Agreement?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 1: The Franchisor and any Parents, Predecessors, and Affiliates]
ITEM 1
THE FRANCHISOR AND ANY PARENTS, PREDECESSORS, AND AFFILIATES
The Licensor
The licensor is Best Western International, Inc. ("we", "us", or "our"). "You" means the individual or entity that signs the Membership Agreement – the "Member". If you are a business entity, "you" means both the business entity and its owners. "System Hotels" refers to hotels operating under the System (as defined below) using the Best Western Identifying Marks (defined below). The "Property" refers to the hotel you will operate under a Membership Agreement. If we have an agent in your state for service of process, we disclose that agent in Exhibit B.
Source: Item 1 — The Franchisor and any Parents, Predecessors, and Affiliates (FDD page 8)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, the term 'Property' in the context of the Membership Agreement refers to the hotel that the member will operate under the agreement. Best Western, as the licensor, identifies 'you' as the individual or entity signing the Membership Agreement, also referred to as the 'Member'.
This definition is crucial because the Membership Agreement grants the member rights and imposes obligations specifically related to the identified hotel property. The agreement allows the member to affiliate their property with the Best Western brand, subject to the terms and conditions outlined in the agreement and other regulatory documents.
Prospective franchisees should understand that the term 'Property' is not just a general reference but a specific designation tied to the hotel they intend to operate under the Best Western brand. This designation carries legal and operational implications, as it defines the scope of the franchise relationship and the rights and responsibilities of both the franchisee and Best Western.