How can a Crowne Plaza Equipment Lessee request the removal of dispensing equipment?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
Equipment Lessee may request the removal of any Equipment upon thirty (30) days prior written notice to Company, and in addition, Company may remove any piece of Equipment for any reason upon thirty (30) days prior written notice to Customer.
Removal of Equipment will not affect the term of any agreement between the parties.
If this Lease is terminated with respect to any piece of Equipment for any reason, other than Company removing a piece of Equipment without cause under this section, prior to 100 months from the Commencement Date for that piece of Equipment, Equipment Lessee will pay Company the actual cost of removal (including standard shipping and handling charges) and remanufacturing of that Equipment, as well as the unamortized portion of the costs of (i) installation, (ii) non-serialized parts (e.g., pumps, racks and regulators) and other ancillary equipment.
Collectively, removal costs and items (i) and (ii) are referred to as "unbundling costs." The terms of this Lease will continue in effect with respect to each piece of Equipment until the Equipment has been removed from Equipment Lessee's premises and will survive the expiration or termination of any agreement into which this Lease is incorporated.
Source: Item 23 — Receipts (FDD pages 100–424)
What This Means (2025 FDD)
According to the 2025 Crowne Plaza FDD, an Equipment Lessee can request the removal of any leased equipment by providing the company with written notice 30 days in advance. However, Crowne Plaza also retains the right to remove any piece of equipment for any reason, also with 30 days prior written notice to the customer.
If the equipment is removed before 100 months from the commencement date, and the removal is not due to Crowne Plaza removing the equipment without cause, the Equipment Lessee is responsible for covering the actual costs of removal, including shipping and handling, as well as the remanufacturing of the equipment. The Equipment Lessee will also be responsible for the unamortized portion of the costs of installation and non-serialized parts and other ancillary equipment.
These unbundling costs will be the responsibility of the Equipment Lessee. The terms of the lease will remain in effect for each piece of equipment until it has been removed from the premises, and these terms will continue even after the expiration or termination of any agreement into which the lease is incorporated. This means that even if the franchise agreement ends, the financial obligations related to equipment removal may still apply.