What is the Extension Fee for a Caption By Hyatt franchise?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee may request an extension of the Opening Deadline by submitting to Hyatt, at least three (3) months before the Opening Deadline, a written request for extension and an extension fee in the amount set forth in Exhibit B-1.
If Hyatt approves the extension, Hyatt will set a new Opening Deadline, the extension fee will be non-refundable, and Hyatt may (at its option) require Franchisee to modify any previously-approved plans, construction documents, or the PIP (as applicable), to comply with the then current design, equipment and other aspects of the Hotel System.
If Hyatt denies the extension, Hyatt will refund the extension fee.
Franchisee shall indemnify Hyatt for all costs and expenses that Hyatt incurs directly or indirectly as a result of Franchisee's failure to open the Hotel on or before the anticipated Opening Date specified by Franchisee or the Opening Deadline, whichever is earlier, including any amounts that Hyatt pays with respect to customers whose reservations at the Hotel are cancelled.
Source: Item 22 — Contracts (FDD page 85)
What This Means (2025 FDD)
According to the 2025 Caption By Hyatt Franchise Disclosure Document, a franchisee may request an extension of the opening deadline by submitting a written request to Hyatt at least three months before the deadline. This request must include an extension fee, the amount of which is detailed in Exhibit B-1.
If Caption By Hyatt approves the extension, they will set a new opening deadline. The extension fee is non-refundable. Caption By Hyatt may also require the franchisee to modify previously approved plans, construction documents, or the Property Improvement Plan (PIP) to comply with the current standards of the Hotel System.
If Caption By Hyatt denies the extension, the extension fee will be refunded to the franchisee. It is important to note that the franchisee must indemnify Caption By Hyatt for all costs and expenses incurred due to the franchisee's failure to open the hotel by the anticipated opening date or the opening deadline, whichever is earlier. This includes any amounts Caption By Hyatt pays regarding cancelled customer reservations.