Is Crowne Plaza allowed to restrict a franchisee in Washington from soliciting or hiring employees of other Crowne Plaza franchisees or employees of the franchisor?

According to the 2025 Crowne Plaza Franchise Disclosure Document, Washington state law RCW 49.62.060 prohibits Crowne Plaza from restricting a franchisee from soliciting or hiring employees of either other Crowne Plaza franchisees or Crowne Plaza itself. This means that any clause in the franchise agreement that attempts to prevent a franchisee in Washington from hiring employees from these sources is void and unenforceable. This protection is specifically provided under Washington state law to promote employee mobility and opportunity.

For a prospective Crowne Plaza franchisee in Washington, this is a significant benefit. It allows them to freely recruit and hire experienced staff who may already be familiar with the Crowne Plaza system or the hospitality industry in general. This can reduce training costs and improve the quality of their workforce. It also means that Crowne Plaza cannot penalize or otherwise restrict a franchisee for hiring employees from other franchisees or from the corporate entity.

However, franchisees should be aware that this protection applies specifically to soliciting and hiring. It does not necessarily prevent Crowne Plaza from enforcing other types of agreements, such as non-disclosure agreements or agreements related to the protection of trade secrets. Franchisees should also ensure that their hiring practices comply with all other applicable labor laws and regulations.

In summary, the FDD clearly states that Crowne Plaza cannot enforce any restrictions on a Washington franchisee's ability to solicit or hire employees from within the Crowne Plaza system, providing a valuable advantage in building their workforce.