In litigation relating to a Crowne Plaza license, what rights do IHG and the licensee waive?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
t of Georgia, Atlanta Division or the State and Superior Courts of DeKalb County, Georgia, which shall be the sole and exclusive forums for any Licensee Action whether based on contract, tort, statute or any other basis; provided, however, the foregoing
will not constitute a waiver of any of Licensee's rights under any applicable franchise law of the state in which the Hotel is located. Notwithstanding the foregoing, IHG shall be entitled to seek injunctive relief in the federal or state courts either of Georgia or of the state of the Hotel's Location or of IHG's principal place of business.
2. No Jury Trials.
TO THE EXTENT EITHER IHG OR LICENSEE INITIATES LITIGATION RELATING TO THIS LICENSE OR ANY MATTER RELATING TO THEIR RELATIONSHIP, IHG AND LICENSEE IRREVOCABLY AND UNCONDITIONALLY WAIVE THEIR RIGHTS TO A TRIAL BY JURY. THIS WAIVER WILL APPLY TO ALL CAUSES OF ACTION THAT ARE OR MIGHT BE INCLUDED IN SUCH ACTION, INCLUDING CLAIMS RELATED TO THE ENFORCEMENT OR INTERPRETATION OF THIS LICENSE, ALLEGATIONS OF STATE OR FEDERAL STATUTORY VIOLATIONS, FRAUD, MISREPRESENTATION, OR SIMILAR CAUSES OF ACTION, AND IN CONNECTION WITH ANY LEGAL ACTION INITIATED FOR THE RECOVERY OF DAMAGES BY EITHER PARTY.
**3.
Source: Item 23 — Receipts (FDD pages 100–424)
What This Means (2025 FDD)
According to the 2025 Crowne Plaza Franchise Disclosure Document, both IHG (Holiday Hospitality Franchising, LLC) and the licensee waive specific rights if they initiate litigation related to the license agreement or their relationship. Specifically, both parties irrevocably and unconditionally waive their rights to a trial by jury. This waiver applies to all causes of action, including claims related to the enforcement or interpretation of the license, allegations of state or federal statutory violations, fraud, misrepresentation, or similar causes of action, as well as any legal action initiated for the recovery of damages by either party.
Additionally, IHG and the licensee also waive any right to claim punitive, exemplary, incidental, indirect, consequential, or other similar damages in any litigation, action, claim, suit, arbitration, mediation, or proceeding arising out of or associated with the license. The agreement specifies that only actual damages can be sought as relief, excluding all other types of damages.
These waivers are significant for a prospective Crowne Plaza franchisee because they limit the legal recourse available in case of a dispute with IHG. By agreeing to these terms, a franchisee forgoes the right to a jury trial and the possibility of receiving punitive or other non-direct damages, potentially reducing the leverage they have in any legal proceedings against the franchisor. Franchisees should carefully consider the implications of these waivers and consult with legal counsel to understand their rights and obligations under the franchise agreement.