On what date does the initial term of the Bw Premier Collection agreement end?
Bw_Premier_Collection Franchise · 2025 FDDAnswer from 2025 FDD Document
This Agreement has a term that ends on December 31st of the year that is the tenth (10th) anniversary of the date of the Hotel's activation on BWI Reservation Channels (e.g., bestwestern.com, the BWI reservations call center, and BWI connections to GDS systems) (the "Term"). The Term shall automatically renew for successive ten (10) year Terms unless a Party provides the other with notice of its intent not to renew at least six (6) months prior to the end of the then- current Term.
- b. Other than as provided above in paragraph 1.a., either Party may cancel this Agreement without cause only upon giving one (1) year's prior written notice to the other Party. In the event Hotel cancels this Agreement without cause, Hotel will pay BWI liquidated damages in an amount calculated by taking the average of the prior twelve (12) months fees owed to BWI (but if fees have been owed to BWI for less than twelve (12) months, the average of all prior months) and multiplying that average by the lesser of: (i) twelve (12), or (ii) the remaining number of months in the Term.
Source: Item 23 — Receipts (FDD pages 54–203)
What This Means (2025 FDD)
According to the 2025 Bw Premier Collection FDD, the agreement term ends on December 31st of the year that marks the tenth anniversary of the hotel's activation on BWI Reservation Channels. These channels include bestwestern.com, the BWI reservations call center, and BWI connections to GDS systems.
This means that the initial term length is largely dependent on when the hotel is activated on BWI's reservation systems. For example, if a hotel is activated on July 1, 2026, the initial term would end on December 31, 2036.
The agreement automatically renews for successive ten-year terms unless either party provides notice of non-renewal at least six months before the end of the current term. This provides an opportunity for both Bw Premier Collection and the franchisee to reassess their relationship and decide whether to continue the agreement. However, either party can cancel the agreement without cause by giving one year's prior written notice. If the hotel cancels without cause, it will owe BWI liquidated damages based on the average of the prior twelve months' fees, multiplied by the lesser of twelve or the remaining months in the term.