Can a Crowne Plaza Hotel assign or transfer the Next-Gen Payments Solution Agreement?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
- 2.2 Right to Use the Next-Gen Payments Solution.
During the Term, IHG hereby grants Hotel a limited, personal, revocable, nonexclusive, and non-transferable right to access and use the Next-Gen Payments Solution solely for the internal business purposes of Hotel and subject to the terms of this Agreement, including the Third Party Terms.
- 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, the agreement for the Next-Gen Payments Solution includes specific stipulations regarding transferability. IHG grants the hotel a limited, personal, revocable, nonexclusive, and non-transferable right to access and use the Next-Gen Payments Solution. This right is strictly for the hotel's internal business purposes and is subject to the terms outlined in the agreement, including any third-party terms.
This means that a Crowne Plaza franchisee cannot transfer or assign their rights to use the Next-Gen Payments Solution to another party. This restriction is typical in franchise agreements to maintain control over the brand's technology and standards. The non-transferable nature of the license ensures that only authorized franchisees, who have agreed to the terms and conditions, can utilize the payment solution.
Furthermore, the agreement explicitly prohibits the hotel from actions such as selling, assigning, pledging, sublicensing, conveying, transferring, redistributing, or granting other rights in the Next-Gen Payments Solution. This reinforces IHG's ownership and control over the solution and prevents unauthorized use or distribution. Any attempt to bypass these restrictions could result in a breach of contract and potential legal consequences for the franchisee. Therefore, Crowne Plaza franchisees must adhere to these restrictions and ensure that the Next-Gen Payments Solution is used solely for their hotel's internal business operations as intended by IHG.