Under what conditions related to overdue invoices will Best Western's AutoClerk service be suspended, and what is the reinstatement fee?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
n the notice unless Customer terminates this Agreement by providing written notice to AutoClerk on or before the date on which the increased Fees would otherwise go into effect.
- 7.3 Taxes. All Fees and other amounts payable by Customer under this Agreement are exclusive of taxes and similar assessments. Without limiting the foregoing, Customer is responsible for all sales, service, use and excise taxes, and any other similar taxes, duties and charges of any kind imposed by any federal, state or lo
Source: Item 23 — Receipts (FDD pages 108–413)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, if a Best Western franchisee's AutoClerk invoice is over sixty days past due, their use of the AutoClerk service will be suspended. To have the service reinstated, the franchisee will be subject to a $500.00 reinstatement fee.
In addition to the reinstatement fee, Best Western also charges interest on overdue amounts. Amounts over thirty days past due accrue interest from the due date at a rate of 1.5% of the outstanding balance or a $50.00 late fee, whichever is greater, billed monthly.
Furthermore, the franchisee is responsible for all fees and losses Best Western incurs while collecting past due amounts, including attorneys' fees, expenses, and court costs. This means that in addition to the reinstatement fee and interest, a franchisee could face significant additional costs if Best Western has to take legal action to recover the debt.