Is a Caption By Hyatt franchisee required to participate in cooperative advertising programs?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
Hyatt will not require Franchisee to participate in a Cooperative.
However, if Franchisee chooses to participate in the Cooperative, Franchisee must do so according to the Cooperative's
rules, including paying the Hotel's allocable share of any advertising, marketing, promotional and other programs that the Cooperative conducts. All restrictions under this Agreement relating to any advertising, marketing or promotional programs that Franchisee conducts also apply to any such programs that the Cooperative conducts.
Source: Item 22 — Contracts (FDD page 85)
What This Means (2025 FDD)
According to Caption By Hyatt's 2025 Franchise Disclosure Document, franchisees are not required to participate in cooperative advertising programs. However, Caption By Hyatt may identify a region with two or more Brand Hotels to establish a local or regional advertising cooperative. The purpose of the Cooperative is for members to collectively plan, organize, develop, and implement marketing and advertising programs.
While participation is optional, if a Caption By Hyatt franchisee chooses to participate in a Cooperative, they must adhere to the Cooperative's rules. This includes paying the hotel's allocable share of any advertising, marketing, promotional, and other programs the Cooperative conducts.
All restrictions under the franchise agreement relating to advertising, marketing, or promotional programs that the franchisee conducts also apply to any programs the Cooperative undertakes. This ensures that even within a cooperative framework, the Caption By Hyatt brand standards and guidelines are maintained.