For what purposes can a Crowne Plaza franchisee use the services provided?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
The Brand System is designed to provide a distinctive, high quality hotel service to the public under the name "Crowne Plaza®". High standards established by IHG are the essence of the Brand System. Future investments may be required of Licensee under this License. Licensee desires to enter into this License in order to obtain a license to use the Brand System in the operation of a hotel located at the "Location" identified on Attachment "A" and defined in paragraph 2.A. below (the "Hotel").
Source: Item 23 — Receipts (FDD pages 100–424)
What This Means (2025 FDD)
According to the 2025 Crowne Plaza FDD, IHG (InterContinental Hotels Group) licenses the "Brand System," which Crowne Plaza franchisees can use to operate their hotels. The Brand System aims to deliver a distinctive, high-quality hotel service under the Crowne Plaza name. IHG may offer consultation and advice on operations, facilities, and marketing to the franchisee during the license term. IHG can also suggest suppliers for goods and services, but franchisees are generally not obligated to use them unless explicitly required by the license or standards.
Crowne Plaza franchisees must maintain high operational standards, including cleanliness, safety, and service quality. They must also comply with IHG's standards for goods and services used in the hotel's operation to protect the Brand System. This includes adhering to IHG's requirements for the types of services and products offered, signage, and other forms of identification.
IHG seeks to maintain high standards across all hotels within the Brand System to enhance the Crowne Plaza brand's public image and increase demand for its services. IHG's judgment in maintaining these standards is controlling, giving them significant latitude in decision-making. Franchisees benefit from the brand's reputation and IHG's efforts to uphold quality and service standards, but must also adhere to the franchisor's requirements.