What System Standards must a Caption By Hyatt franchisee comply with regarding electronic payments?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Electronic Payments. You must make all payments for Royalty Fees, System Services Charges, and other amounts due to us or any member of the Hyatt Group under the Franchise Agreement or relating to the Hotel by electronic funds transfer ("EFT") in compliance with System Standards. We periodically may change the procedure for payments. You must make funds available in your account to cover payments when due. You may not change your bank, financial institution, or account used in the operation of the Hotel without first telling us.
Source: Item 6 — Other Fees (FDD pages 20–36)
What This Means (2025 FDD)
According to Caption By Hyatt's 2025 Franchise Disclosure Document, franchisees must adhere to specific System Standards when making electronic payments. All payments for Royalty Fees, System Services Charges, and any other amounts owed to Caption By Hyatt or its affiliates must be made via electronic funds transfer (EFT). These payments must comply with the System Standards set forth by Caption By Hyatt.
The specific procedures for these electronic payments may change periodically, and Caption By Hyatt franchisees are responsible for ensuring that funds are available in their account to cover payments when they are due. This means franchisees need to stay informed about any updates to the payment procedures and maintain sufficient funds in their designated account.
Furthermore, franchisees are restricted from changing the bank, financial institution, or account used for hotel operations without first notifying Caption By Hyatt. This requirement ensures that Caption By Hyatt is aware of any changes that could affect the electronic payment process and can maintain accurate records for financial transactions. This level of control helps Caption By Hyatt maintain financial oversight and stability within its franchise system.