For Crowne Plaza, what bank services are provided, and what are the limits of the bank's obligations and liability?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
is caused by, results from, or arises out of: (a) your failure to use the Services as required under the Agreement; (b) your configuration, modification, or use of the Services in combination with other products or services (including software, equipment, or systems) that are not provided by Processor and that combination creates a process or method that is the causation for the infringement or misappropriation; (c) Processor's use of any designs, artwork, concepts, trademark specifications, or other copyrighted materials provided by you or on your behalf (including by IHG) in connection with the Agreement; or (d) Processor's custom development of the Services pursuant to a request by you or IHG and that development creates a process or method that is the causation for the infringement or misappropriation (the claims (or portions of claims) referred to in the foregoing clauses (a), (b), (c) and (d) are herein referred to collectively as the "Excluded Claims"). If any part of the Services is determined or reasonably suspected to be infringing, Processor, at its option and expense, shall: (w) procure for you the continued use of such Services; (x) replace such Services with non infringing Services that are a functional equivalent; (y) modify such Services so that they become non-infringing and remain functionally equivalent, provided that, if (x) or (y) is the option chosen by Processor, your intended use of such Services is not materially impaired; or (z) terminate such Services in their entirety upon written notice to you, and without further liability to you hereunder other than Processor's indemnification obligations hereunder and, subject to the Liability Cap, any direct damages incurred by you as a result of such termination.
16 SPECIAL PROVISIONS REGARDING NON-BANK CARDS
16.1 Services Provided by Bank, Conveyed Transactions, and Non-Bank Services.
(a) Services Provided by Bank. Bank only provides, and its obligations and liability are limited to, sponsorship, settlement, and related Bank services for certain Card transactions, which do not include Non-Bank Card transactions or Non-Bank Services. For avoidance of doubt, Bank is not a party to the Agreement with respect to, and does not have any responsibilities or liability with respect to, transactions that Processor sponsors and settles under the Agreement or Conveyed Transactions.
(b) Non-Bank Services. Non-Bank Services are provided to you by Processor, not by Bank. Bank is not responsible for, and has no liability to you in any way with respect to, Non-Bank Services. The provisions of the Agreement regarding Discover Card transactions, American Express Card transactions, and other Non-Bank Services are an agreement solely between you and Processor. Non-Bank Services are subject to all terms and provisions of these Terms and Conditions. To the extent terms specific to a Non-Bank Service directly conflict with another provision of the Agreement, the terms specific to the Non-Bank Service will control with respect to such Non-Bank Service.
(c) Conveyed Transactions. The following terms apply to Conveyed Transactions: (a) Processor (not Bank) will provide an Authorization response to Authorization requests; (b) Processor and Bank do not have any responsibility or liability for funding, sponsoring, or settling Conveyed Transactions; (c) you must enter into, and comply with the terms of, a separate agreement with the Card Organization or Issuer that settles Conveyed Transactions ("Issuer Agreement"), and must pursue directly with such Card Organization or Issuer all related claims and disputes; (d) the Card Organization or Issuer that settles Conveyed Transactions may charge additional fees and amounts, for which you are exclusively responsible and liable; and (e) if the Issuer Agreement has been terminated, suspended, or is not in effect, Processor does not have any obligation to provide any Services for Conveyed Transactions.
(d) Fees. You shall pay us the fees for Conveyed Transactions and other Non-Bank Services as set forth on your Application, MPA Addendum, Fee Schedule, and/or other Schedules, or as we otherwise disclose to you. Fees for Non-Bank Services may be charged and collected in any manner that other Servicers Fees, Third Party Based Fees, and other amounts may be charged and collected under the Agreement.
(e) Discover. Services provided for transactions made with Cards branded by Discover, Diners Club International JCB, Union Pay, BCcard, or any other Card Organizations subsequently designated by Discover (such Cards are "DNP Card Types" and such transactions are "DNP Transactions") are Non-Bank Services. Depending on your Merchant Account, DNP Transactions may be sponsored and settled by either Processor or Discover. DNP Transactions that Discover sponsors and settles are Conveyed Transactions.
Source: Item 23 — Receipts (FDD pages 100–424)
What This Means (2025 FDD)
According to the 2025 Crowne Plaza Franchise Disclosure Document, the bank provides sponsorship, settlement, and related banking services for card transactions, excluding Non-Bank Card transactions or Non-Bank Services. The bank is not a party to agreements regarding transactions that the Processor sponsors and settles or Conveyed Transactions. Non-Bank Services are provided to the franchisee by the Processor, not the Bank, and the bank has no liability regarding these services.
The bank's obligations and liability are limited to the services it directly provides. It is not responsible for Non-Bank Card transactions or Non-Bank Services, which are agreements solely between the franchisee and the Processor. For Conveyed Transactions, the Processor and Bank bear no responsibility for funding, sponsoring, or settling these transactions. The franchisee must have a separate agreement with the Card Organization or Issuer for settling Conveyed Transactions and is responsible for any additional fees charged by them.
There are limitations to the liability cap, which do not apply to claims and losses caused by gross negligence, willful misconduct, or fraud by the bank or its personnel. It also does not apply to obligations under Section 15.3, breaches of compliance with Applicable Laws or Card Organization Rules (excluding breaches involving a Data Security Event), or breaches of confidentiality obligations not involving personally identifiable consumer information. Similarly, the exclusion of consequential damages does not apply to claims and losses caused by gross negligence, willful misconduct, or fraud, obligations under Section 15.3, breaches of compliance with Applicable Laws or Card Organization Rules (excluding Data Security Event breaches), or breaches of confidentiality obligations not involving personally identifiable consumer information. The cumulative liability for all losses, claims, suits, controversies, breaches, and damages is capped at the lesser of $50,000 or the amount of fees received for services performed in the preceding twelve months.