Is a Crowne Plaza hotel allowed to reverse engineer the Next-Gen Payments Solution?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
- 2.3 Restrictions on Use.
Except as expressly permitted by this Agreement, Hotel shall not, and shall not permit any third party to: (a) transmit the Next-Gen Payments Solution to any third party or third party network, or permit any third party to access or use the Next-Gen Payments Solution; (b) use the Next-Gen Payments Solution, or any data derived from the Next-Gen Payments Solution, in a service bureau, time-sharing, multiple CPU, or multiple user arrangement; (c) copy, reproduce, store, sell, assign, pledge, sublicense, convey, transfer, redistribute, transmit, grant other rights in, or permit any unauthorized use of the Next-Gen Payments Solution; (d) prepare derivative works or incorporate the Next-Gen Payments Solution, in whole or part, into any other system or work; (e) reverse engineer, disassemble, decompile, decode, adapt or otherwise attempt to derive or gain access to the source code of the Next-Gen Payments Solution, in whole or in part; (f) bypass or breach any security device or protection used by the Next-Gen Payments Solution or access or use the Next-Gen Payments Solution other than by an authorized user through the use of his or her own then valid access credentials; (g) input, upload, transmit, or otherwise provide to or through the Next-Gen Payments Solution, any information or materials that are unlawful or injurious, or contain, transmit, or activate any harmful code; (h) remove, delete, alter, or obscure any warranties or disclaimers, or any Intellectual Property Rights notices from the Next-Gen Payments Solution, including any copy thereof; (i) access or use the Next-Gen Payments Solution in any manner or for any purpose that infringes, misappropriates, or otherwise violates any Intellectual Property Rights or other rights of any third party, or that violates any applicable Law; or (j) otherwise access or use the Next-Gen Payments Solution beyond the scope of the authorization granted under this Agreement, including the Third Party Terms.
Source: Item 23 — Receipts (FDD pages 100–424)
What This Means (2025 FDD)
According to the 2025 Crowne Plaza Franchise Disclosure Document, a Crowne Plaza hotel is explicitly prohibited from reverse engineering the Next-Gen Payments Solution. The agreement specifies that the hotel "shall not" reverse engineer, disassemble, decompile, decode, adapt, or otherwise attempt to derive or gain access to the source code of the Next-Gen Payments Solution. This restriction is in place to protect IHG's intellectual property rights and the security of the payment system.
This restriction is a significant point for prospective franchisees. The Next-Gen Payments Solution is a critical component for processing card payments at the hotel, and franchisees must rely on IHG and its third-party providers for its functionality. Any attempt to modify or tamper with the system is strictly forbidden and would likely constitute a breach of the franchise agreement. This also means that franchisees cannot hire external developers or IT specialists to customize or troubleshoot the payment system without violating the agreement.
The FDD also states that IHG owns all Intellectual Property Rights in and to the Next-Gen Payments Solution. The hotel grants IHG rights to any feedback related to the Next-Gen Payments Solution. This further emphasizes IHG's control over the technology and limits the franchisee's ability to alter or modify it. The Next-Gen Payments Solution replaces the secure payment solution previously in use by IHG and Hotel and is supported by key third party providers including FreedomPay, Inc., Oracle Corporation, Hewlett-Packard, Inc., Hewlett-Packard Financial Services Company, and Fiserv, Inc.
For a prospective Crowne Plaza franchisee, this means understanding and accepting the limitations on their ability to control or modify the payment processing system. They must rely on IHG for updates, maintenance, and support. While franchisees can provide feedback and report issues, they cannot independently alter the system. This is a common practice in franchising, where franchisors maintain control over key technologies and systems to ensure brand consistency and protect intellectual property.