Under what conditions will the Caption By Hyatt Schedule automatically terminate?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
This Schedule may be terminated as follows:
- a. Either party may terminate this Schedule for any reason or no reason by notifying the other party in writing at least days ninety (90) days in advance. Notwithstanding the foregoing, in the event of termination by Owner pursuant to this subsection a. the effective date of such termination shall be no earlier than [Insert Date]2 ;
- b. This Schedule shall automatically terminate if (i) the Franchise Agreement expires or is terminated and Owner does not enter into a franchise agreement, hotel management agreement or hotel services agreement with Hyatt or its affiliate such that the Property continues to operate under a Hyatt brand or affiliation immediately following termination, or (ii) the Central Hotel Services by Hyatt Master Agreement expires or is terminated; and/or
- c. If either party commits a material breach of any provision of this Schedule and has failed to cure such breach within ten (10) days of receiving written notice, the other party may terminate this Schedule immediately upon written notice.
Source: Item 23 — Receipts (FDD pages 85–349)
What This Means (2025 FDD)
According to the 2025 Caption By Hyatt Franchise Disclosure Document, the Digital Ancillary Services Program Schedule to Central Hotel Services by Hyatt Master Agreement will automatically terminate under specific circumstances. The schedule terminates automatically if the Franchise Agreement expires or is terminated, and the owner does not enter into a franchise agreement, hotel management agreement, or hotel services agreement with Hyatt or its affiliate. This ensures the property continues to operate under a Hyatt brand or affiliation immediately following the termination of the initial agreement.
Additionally, the schedule will also automatically terminate if the Central Hotel Services by Hyatt Master Agreement itself expires or is terminated. This provision ensures that the ancillary services schedule remains tied to the overarching master agreement, preventing it from continuing independently if the master agreement is no longer in effect.
These automatic termination conditions protect Hyatt's interests by ensuring that properties either remain within the Hyatt brand family through a new agreement or that all related service agreements cease when the primary franchise or master agreement ends. For a prospective Caption By Hyatt franchisee, this means understanding the importance of maintaining a continuous relationship with Hyatt to keep the Digital Ancillary Services Program Schedule active.