Where can I find more detailed information about my obligations as a Crowne Plaza licensee?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
r approved supply source.
ITEM 9
LICENSEE'S OBLIGATIONS
This table lists your principal obligations under the License and other agreements. It will help you find more detailed information about your obligations in these agreements and in other Items of this disclosure document.
| Obligation | Section In Agreement | Item in Disclosure Document |
|---|---|---|
| a. Site selection and acquisition/lease | License: 1.A, Attachment "A" | Items 7 & 11 |
| b. Pre-opening purchases/leases | License: 3.A & 8.B and Attachment "B" MTSS: 4.3, 4.4 & Attachment 4-3 to Schedule 4 | Items 5, 6 & 7 |
| c. | License: 13.J | Items 7 & 11 |
| Site development and | & Attachment "B" | |
| other pre-opening | MTSS: 4.3, 4.4 & Attachment 4-3 to | |
| requirements | Schedule 4 | |
| d. Initial and ongoing training | License: 3.A & 4.A MTSS: Attachments 4-1 and 4-3 to Schedule 4 | Items 5, 6, 7, 8 & 11 |
| e. | License: 13.J & Attachments "A" & "B" | Items 5 & 11 |
| Opening | ||
| f. Fees | License: 3.B and 3.C, Attachment "A" MTSA: 5.0 & Attachment 4-3 to Schedule 4 | Items 5, 6 & 7 |
| g. | License: 3.A, 4.E, 4.F & 5 | Item 11 |
| Compliance with the | ||
| Standards and policies | ||
| h. Trademarks and proprietary information | License; 3.A, 6 & 12.B MTSS: 4.2(h), 6.0 | Items 13 & 14 |
| i. Restrictions on products/services offered | License; 3.A MTSS: 3, 4, Schedules 2 and 3 & Attachments 4-1 and 4-3 to Schedule 4 | Items 8 & 16 |
| j. | License; | Item 11 |
| Warranty and customer | 3.A | |
| service requirements | MTSS: 9.2.1 | |
| k. | None | |
| Territorial development and | ||
| sales quotas | ||
| l. | License: 3.A, 8.B and 13.O | Item 8 |
| Ongoing product/service | MTSS: 4.3 & Attachment 4-1 to Schedule | |
| purchases | 4 | |
| m. Maintenance, appearance, and remodeling requirements | License: 3.A, 4.D, 4.E, 10, 13.J and 13.O and Attachment "B" MTSS: 4 & Attachments 4-1 and 4-2 to Schedule 4 | Items 5, 6 & 11 |
| n. | License: 8.B & 8.C | Item 7 |
| Insurance | MTSS: 2.1 | |
| o. | License: 3.A & 3.B | Items 5, 6 & 11 |
| Advertising |
| Obligation | Section In Agreement | Item in Disclosure Document |
|---|---|---|
| p. | License: 8.A | Item 6 |
| Indemnification | MTSS: 2.1 | |
| q. | License: 9.H | Items 6, 11 & 15 |
| Owner's participation/ | ||
| management/staffing | ||
| r. | License: 7 | Item 6 |
| Records/reports | ||
| s. | License: 3.A, 7.C & 13.J | Items 6 & 11 |
| Inspections/audits | MTSS: 12 | |
| t. | License: 9 | Item 17 |
| Transfer | ||
| u. | None | Item 17 |
| Renewal | ||
| v. | License: 11.D & E | Item 17 |
| Post-termination | MTSS: 13.1 & Attachment 4-1 to | |
| obligations | Schedule 4 | |
| w. | License: 3.A | Items 16 & 17 |
| Non-competition covenants | (14) | |
| x. |
Source: Item 9 — Franchisee's Obligations (FDD pages 68–69)
What This Means (2025 FDD)
According to Crowne Plaza's 2025 Franchise Disclosure Document, Item 9 provides a comprehensive overview of a licensee's obligations. This item serves as a roadmap, directing prospective franchisees to specific sections within the License Agreement, MTSS (presumably a manual or set of standards), and other relevant items within the FDD itself where more detailed information can be found. The table format allows for quick reference, linking each obligation to its corresponding section in the legal agreements and relevant FDD items.
For example, the table outlines obligations such as site selection and acquisition/lease, pre-opening purchases/leases, initial and ongoing training, fees, and compliance with standards and policies. Each of these obligations is cross-referenced with specific sections in the License Agreement or MTSS, as well as other Items in the Disclosure Document, such as Items 5, 6, 7, 8, 11, 13, 14, 15, 16, and 17. This allows a potential Crowne Plaza franchisee to easily navigate the legal and operational requirements.
Item 9 also covers obligations related to trademarks and proprietary information, restrictions on products/services offered, warranty and customer service requirements, ongoing product/service purchases, maintenance and remodeling, insurance, advertising, indemnification, owner's participation/management/staffing, record keeping, inspections/audits, transfer, renewal, post-termination obligations, non-competition covenants, dispute resolution, capital reserve, and the guaranty. By consulting the referenced sections, prospective franchisees can gain a deeper understanding of what is expected of them under the Crowne Plaza franchise agreement, allowing them to make a more informed decision.