Is a new Distribution Agreement required upon renewal of a Bw Premier Collection franchise?
Bw_Premier_Collection Franchise · 2025 FDDAnswer from 2025 FDD Document
| PROVISION | SECTION IN DISTRIBUTION AGREEMENT | SUMMARY |
|---|---|---|
| a. Length of the franchise term | Section 1(a) of the Distribution Agreement. | The Effective Date of the Distribution Agreement is the date of execution. The Term of the Distribution Agreement begins on the first day the Hotel is activated on our reservations system and ends on December 31st of the year that is the 10th anniversary (“Term”). |
| b. Renewal or extension of the term | Section 1(a) of Distribution Agreement. | The Term automatically renews for successive 10-year terms unless one party provides the other party with written notice of its intent not to renew at least 6 months before the end of the then-current Term. |
| c. Requirements for Hotel Owner to renew or extend | Section 1(a) of Distribution Agreement. | The Term automatically renews for successive 10-year terms unless one party provides the other party with notice of its intent not to renew at least 6 months before the end of the then-current Term. You are not required to sign a new Distribution Agreement upon renewal. |
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 41–44)
What This Means (2025 FDD)
According to Bw Premier Collection's 2025 Franchise Disclosure Document, a new Distribution Agreement is not required upon renewal. The franchise term automatically renews for successive 10-year terms unless either party provides written notice of intent not to renew at least 6 months before the current term ends.
This automatic renewal provision offers a significant benefit to Bw Premier Collection franchisees, as it avoids the potential costs and uncertainties associated with negotiating a new agreement. Franchisees can continue operating under the same terms and conditions, provided they meet the renewal requirements. This can provide stability and predictability for their business operations.
It is important for prospective Bw Premier Collection franchisees to understand the conditions for renewal, including the notification period and any other requirements outlined in the Distribution Agreement. Franchisees should also be aware of their rights and obligations regarding termination and non-renewal, as detailed in Item 17 of the FDD. Understanding these provisions can help franchisees make informed decisions about their investment and ensure a smooth renewal process.