factual

Is compliance with Caption By Hyatt's System Standards mandatory?

Caption_By_Hyatt Franchise · 2025 FDD

Answer from 2025 FDD Document

r the Hotel if you choose to acquire them. (Field Marketing Program Schedule)

During your operation of the Hotel, we or another member of the Hyatt Group will:

  • (1) Continue to provide the System Services for the Hotel, as we periodically modify them (Section 4.1 of Franchise Agreement)
  • (2) Advise you periodically regarding the Hotel's operation, for example concerning System Standards and advertising and marketing materials and programs. If you request, and we agree to provide, additional or special guidance, assistance, or training, you must pay our then applicable charges and travel and living expenses. Any specific training, guidance or assistance that we provide does not create an obligation (whether by course of dealing or otherwise) to continue providing that specific training, guidance or assistance, all of which we may periodically modify. (Section 3.4 of Franchise Agreement)
  • (3) Let you use our Proprietary Marks. (Sections 11.1 to 11.4 of Franchise Agreement)
  • (4) Let you use our Confidential Information and Copyrighted Materials. (Sections 11.1, 11.5 and 11.6 of Franchise Agreement)
  • (5) Provide you access to the System Standards as we may modify them periodically. You must restrict (and ensure your management company restricts) access to the System Standards according to our policies, as we periodically modify them. If there is a dispute over their contents, our master copy of the System Standards controls. Because complete and detailed uniformity under many varying conditions might not be possible or practical, we may, as we deem best, vary the Hotel System and System Standards for any Brand Hotel based upon the peculiarities of any condition or factors that we consider important to that hotel's successful operation. We need not grant you a similar variation or accommodation. The table of contents for the System Standards in effect as of the issuance date of this disclosure document is Exhibit E and reflects that the System Standards comprise 3,334 pages. (Sections 3.2 and 4.3 of Franchise Agreement)
  • (6) Provide you access to the CRS and listings in advertising publications that we periodically specify during the Franchise Agreement's term.

Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 48–65)

What This Means (2025 FDD)

According to the 2025 Caption By Hyatt Franchise Disclosure Document, compliance with the brand's System Standards is generally mandatory, but there are some exceptions. Caption By Hyatt provides access to its System Standards, which it may modify periodically, and franchisees must restrict access to these standards according to the franchisor's policies. The franchisor's master copy of the System Standards controls in case of a dispute. The System Standards in effect as of the issuance date of the disclosure document comprise 3,334 pages, as reflected in Exhibit E. However, Caption By Hyatt may vary the Hotel System and System Standards for any Brand Hotel based on specific conditions or factors it considers important for that hotel's successful operation, without needing to grant similar variations to other franchisees.

Compliance with System Standards also extends to the Hotel System Website. Franchisees must comply with all System Standards related to the Hotel System Website, including providing requested information and promptly notifying Caption By Hyatt of any inaccuracies. Franchisees cannot develop their own websites using the "hyatt" name or Proprietary Marks for reservations or sales, except through approved links to the Hotel System Website. Any other websites or online presence promoting the hotel or displaying Proprietary Marks require Caption By Hyatt's approval and must comply with System Standards.

While initial training programs are mandatory, Caption By Hyatt also offers various optional brand standard training courses for Hotel personnel, updated annually to address current hotel and business needs. These optional offerings include discounted enrollment for eCornell courses and certificate programs, virtually-facilitated commercial services, and free self-paced courses via their learning platform. Additionally, materials, guidance, or assistance provided on employment-related policies or procedures, whether in the System Standards or otherwise, are for optional use and do not form part of the mandatory System Standards. Franchisees are responsible for determining the terms and conditions of employment for all Hotel employees.

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.