What does 'ADS' refer to in the Caption By Hyatt franchise agreement?

According to the 2025 Caption By Hyatt Franchise Disclosure Document, ADS refers to specific distribution channels that Caption By Hyatt may authorize or require franchisees to use. Specifically, ADS means the online travel agencies and other alternative distribution systems that Hyatt may periodically authorize or require for Franchisee's Hotel and other similarly situated Brand Hotels, subject to reasonable deviations.

This definition indicates that Caption By Hyatt has the right to mandate certain online travel agencies (OTAs) or alternative distribution systems for franchisees. These systems are channels through which hotel rooms and services are sold to customers, such as Expedia, Booking.com, or other similar platforms. The inclusion of "other similarly situated Brand Hotels" suggests that these requirements will be consistent across hotels within the Caption By Hyatt brand, ensuring a unified approach to distribution.

The phrase "subject to Reasonable Deviations" provides some flexibility, suggesting that franchisees may be able to negotiate or request exceptions to these requirements under certain circumstances. However, the ultimate decision rests with Caption By Hyatt. For a prospective franchisee, this means they need to be prepared to utilize the distribution channels that Caption By Hyatt deems necessary, which could impact their marketing and sales strategies. Understanding which specific ADS Caption By Hyatt typically requires or authorizes is a crucial part of evaluating the franchise opportunity.