For Crowne Plaza, what happens to the pricing and terms of service at the end of the SOW Term?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
The prices listed in the Pricing Schedule are stabilized until the end of the SOW Term and will apply in lieu of the corresponding prices set forth in the applicable Service Publication.
No promotion, credit, discount, or waiver set forth in a Service Publication will apply.
Unless Pricing Schedule states otherwise, at the end of the SOW Term, Eligible Participant may continue Service (subject to any applicable notice or other requirements in a Service Publication for Eligible Participant to terminate a Service Component) under a month-to-month service arrangement at the prices, terms, and conditions in effect on the last day of the SOW Term.
Under the month-to-month services arrangement, any change in price and/or terms or conditions will be mutually agreed to with an amendment to Pricing Schedule.
Source: Item 23 — Receipts (FDD pages 100–424)
What This Means (2025 FDD)
According to the 2025 FDD, Crowne Plaza franchisees have the option to continue service under a month-to-month arrangement after the SOW Term ends. The prices, terms, and conditions in effect on the last day of the SOW Term will continue to apply under this arrangement.
However, any changes to the pricing or terms and conditions under the month-to-month service arrangement will require mutual agreement and an amendment to the Pricing Schedule. This means that while the franchisee can continue receiving services, Crowne Plaza can propose new pricing or terms, which the franchisee must agree to for them to take effect.
This arrangement provides flexibility for both parties. The franchisee can avoid service interruption, while Crowne Plaza can adjust pricing and terms to reflect current market conditions. It is important for prospective franchisees to understand that the initial pricing is only stabilized for the SOW Term, and subsequent pricing is subject to negotiation.