How long is the term of the Caption By Hyatt franchise agreement, and when does it commence?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
- 1.2 Term. The term of this Agreement (the "Term") will commence on the Effective Date and expire without notice on the date which is twenty (20) years after the first (1st) day of the Opening Month, subject to its earlier termination as set forth in this Agreement.
Source: Item 22 — Contracts (FDD page 85)
What This Means (2025 FDD)
According to the 2025 Caption By Hyatt Franchise Disclosure Document, the franchise agreement's term commences on the Effective Date and extends until twenty years after the first day of the Opening Month. This means the agreement lasts for a substantial period, providing franchisees with a long-term business operation under the Caption By Hyatt brand.
The "Effective Date" and "Opening Month" are key milestones that determine the exact duration. The agreement will automatically expire at the end of this 20-year period unless terminated earlier under the conditions outlined in the agreement.
For prospective franchisees, understanding these dates is crucial for financial planning and long-term business strategy. It is also important to note that the agreement may be terminated earlier under certain circumstances, so franchisees should be aware of the conditions that could lead to early termination.