How is 'Affiliate' defined in the Caption By Hyatt franchise agreement, and what constitutes 'control' in this definition?

According to Caption By Hyatt's 2025 Franchise Disclosure Document, an 'Affiliate' is defined as any person or entity directly or indirectly owned or controlled by, under common control with, or owning or controlling a party involved in the franchise agreement.

For the purposes of this definition, 'control' is explicitly defined as the power to direct or cause the direction of management and policies. This means that if an entity has the authority to dictate the operational and strategic decisions of another entity, it is considered to be in control of that entity.

This definition is important for Caption By Hyatt franchisees because it clarifies the scope of relationships that could be relevant to the franchise agreement. For example, it could impact transfer conditions, competitive restrictions, or other obligations outlined in the agreement. Franchisees should be aware of this definition and how it applies to their specific circumstances, including any related entities or individuals who may exert control over their business operations.