factual

When is Margaritaville liable for the costs of comparable accommodations for a Camp Margaritaville guest?

Camp_Margaritaville Franchise · 2025 FDD

Answer from 2025 FDD Document

Margaritaville acknowledges and agrees that, to the extent any such discrepancy in availability is due to a failure of Margaritaville's or its CRS Supplier's interface or other breach of Margaritaville's or its CRS Supplier's obligations, Margaritaville shall be liable for the costs of such comparable accommodations and reasonable expenses.

Source: Item 23 — RECEIPTS (FDD pages 72–406)

What This Means (2025 FDD)

According to Camp Margaritaville's 2025 Franchise Disclosure Document, Margaritaville is liable for the costs of comparable accommodations and reasonable expenses for a guest if the discrepancy in availability is due to a failure of Margaritaville's or its CRS Supplier's interface or other breach of their obligations. This means that if a guest's reservation cannot be honored due to an error or failure on the part of Margaritaville's reservation system or its supplier, Camp Margaritaville will cover the costs of finding the guest alternative accommodations.

However, the franchisee is generally responsible for honoring confirmed reservations made through the CR System at the agreed-upon rate, terms, and duration. The franchisee is obligated to secure comparable accommodations, goods, or services at a cost not exceeding the original reservation for any guest whose booking was confirmed but cannot be accommodated upon arrival. The franchisee is also responsible for covering any reasonable expenses the guest incurs while obtaining these alternative accommodations and services.

This arrangement highlights the importance of maintaining accurate and up-to-date property information within the reservation system. Franchisees must ensure that availability, rates, and descriptive content are correctly entered and kept current to avoid discrepancies. Furthermore, franchisees should understand the specific circumstances under which Margaritaville assumes liability, as outlined in the agreement, to effectively manage potential guest accommodation issues and associated costs.

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.