factual

What does 'you' refer to in the Best Western Membership Agreement?

Best_Western Franchise · 2025 FDD

Answer from 2025 FDD Document

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 "you" in the context of the Membership Agreement refers to the individual or entity that signs the agreement, thereby becoming the "Member." If the member is a business entity, "you" encompasses both the business entity and its owners. The FDD also clarifies that the "Property" refers to the hotel that the member will operate under the Membership Agreement.

This definition is crucial for prospective franchisees as it clearly identifies who is bound by the terms and conditions of the Membership Agreement. Whether the franchisee is an individual or a corporation, understanding this definition ensures that all responsible parties are aware of their obligations and liabilities under the agreement. This also extends to the owners of the business entity, ensuring they are equally responsible.

Furthermore, the FDD specifies that "System Hotels" are those operating under the Best Western system, utilizing the brand's identifying marks. This distinction helps clarify the scope and application of the Membership Agreement, particularly in relation to other hotels within the Best Western network. Understanding these definitions is a fundamental step for any potential franchisee to fully grasp their role and responsibilities within the Best Western system.

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.