Can Caption By Hyatt form, change, and dissolve advertising councils?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
There currently are no franchisee advertising councils that advise us on advertising and marketing policies. However, we may form, change, and dissolve these councils.
We may identify a region in which 2 or more Brand Hotels are located (including, if applicable, those that we or our affiliates own or operate) to establish a local or regional advertising cooperative (a "Cooperative"). We may form, change, dissolve and merge Cooperatives. The Cooperative's purpose will be to collect funds from its members and to plan, discuss, organize, develop, utilize, produce, disseminate, and implement marketing, advertising and promotional programs and materials on a collective basis (and to cover related expenses) for participating Brand Hotels. We will not require you to participate in a Cooperative. However, if you choose to participate in the Cooperative, you must do so according to the Cooperative's rules, including by paying your Hotel's allocable share for any advertising, marketing, promotional and other
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 48–65)
What This Means (2025 FDD)
According to Caption By Hyatt's 2025 Franchise Disclosure Document, while there are currently no franchisee advertising councils that advise on advertising and marketing policies, Caption By Hyatt retains the right to form, change, and dissolve these councils. This indicates that Caption By Hyatt has the discretion to establish advertising councils in the future and to modify or eliminate them as it sees fit.
Caption By Hyatt may also identify a region with two or more Brand Hotels to establish a local or regional advertising cooperative. Caption By Hyatt can form, change, dissolve, and merge these cooperatives. The purpose of these cooperatives is to collect funds from members and collectively plan, discuss, organize, develop, utilize, produce, disseminate, and implement marketing, advertising, and promotional programs for participating Brand Hotels, as well as cover related expenses.
While participation in a Cooperative is not mandatory for Caption By Hyatt franchisees, if a franchisee chooses to participate, they must adhere to the Cooperative's rules. This includes paying the Hotel's allocable share for any advertising, marketing, promotional, and other programs and materials. This gives Caption By Hyatt flexibility in how advertising and marketing are managed and funded, both at the brand level and at the local or regional level.