Does the Crowne Plaza license require Holiday to engage in or continue voluntary purchasing activities?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
Your License does not require Holiday to engage in or continue these voluntary activities.
Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 59–68)
What This Means (2025 FDD)
According to the 2025 Crowne Plaza Franchise Disclosure Document, the license agreement does not mandate that Holiday engage in or continue voluntary purchasing activities. However, Holiday may furnish supplier or service provider information and make recommendations based on its business judgment regarding the long-term interests of the Brand System.
While Holiday may communicate with franchisees or their suppliers to improve performance or resolve complaints, it is not responsible for the financial condition or performance of any supplier. Suppliers may offer Holiday funds to support co-op marketing, training, and other services that benefit the Brand System. Holiday uses these funds as designated, benefiting its brands' systems. SCH and its affiliates may also enter into agreements with suppliers and receive revenue attributable to purchases by licensees and by SCH and its affiliates.
Furthermore, the Crowne Plaza license does not prevent Holiday from having an ownership interest in any other business, including firms providing products or services to franchisees or providing procurement services. If Holiday has or later acquires an ownership interest in a product or service provider, it has no obligation to maintain that interest or refrain from disposing of it as it sees fit. No officer of Holiday currently owns any interest in an approved supplier or service provider.