Does a Caption By Hyatt franchise require a spa?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
s Hyatt reasonably specifies to protect Hyatt's (and its Affiliates') intellectual property and other rights. At Hyatt's option, Franchisee must submit to Hyatt for its prior approval any proposed lease or other agreement between Franchisee (or its Affiliate or the Management Company) and the F&B Operator pursuant to which the F&B Operator will conduct F&B Operations, in which case Franchisee may not sign (or permit its Affiliate or the Management Company to sign) any such lease or other agreement that Hyatt has not approved.
- (b) Spa Operations. If the Hotel has Spa Operations, Franchisee may subcontract the management of the Spa Operations to a Spa Operator only if (i) Hyatt (in its sole judgment) approves of the Spa Operator, the spa concept and the terms of the lease or other arrangement between Franchisee and the Spa Operator; (ii) the Spa Operator complies with all applicable System Standards; and (iii) the spa does not use the Proprietary Marks in any manner (unless Hyatt authorizes such use in writing).
- 2.4 Pre-Opening Sales Office. Promptly after the Technology System is installed at the Hotel, at Hyatt's option, Franchisee must open and begin operating a Pre-Opening Sales Office at the Site, staffed by the Hotel's director of sales.
- 2.5 Opening the Hotel. Franchisee may not open or begin operating the Hotel in affiliation with the Proprietary Marks until Hyatt has notified Franchisee in writing that Franchisee has satisfied all of the pre-opening conditions set forth in the System Standards or otherwise in writing. Franchisee must open and begin operating the Hotel under the Hotel System and in affiliation with the Proprietary Marks on or before the Opening Deadline. 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.
Source: Item 22 — Contracts (FDD page 85)
What This Means (2025 FDD)
According to the 2025 Caption By Hyatt Franchise Disclosure Document, a spa is not necessarily required for a Caption By Hyatt hotel. The document refers to "Spa Operations" and "Spa Operator" in the context of hotels that may have these services. Specifically, if a Caption By Hyatt hotel includes spa operations, the franchisee may subcontract the management of these operations to a Spa Operator, subject to Hyatt's approval of the operator, the spa concept, and the terms of the lease or other arrangement.
The FDD states that if the Hotel has Spa Operations, the franchisee must ensure that the Spa Operator complies with all applicable System Standards and does not use the Proprietary Marks without written authorization from Hyatt. The document also defines "Spa Operations" as all spa and related operations and services for Hotel guests and patrons, consisting of all therapy, massage and other treatments, salon services and other sparelated services, if applicable for the Hotel.
Furthermore, the franchisee is responsible for ensuring that all Spa Operations (if the Hotel has Spa Operations) operate in full compliance with all applicable laws, rules, regulations, and System Standards. The franchisee must also provide all training programs to the Spa Operator that Hyatt specifies. If the Spa Operator fails to comply with these standards or any agreement with Hyatt, Hyatt may revoke its approval, and the franchisee must terminate the arrangement with the Spa Operator and either assume direct control of the Spa Operations or engage another approved Spa Operator.