Does SCH commit to perform post-sale obligations for Crowne Plaza?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
censee access to reservation service for the Hotel under the terms of the Master Technology Services Schedule set forth in Attachment "D" hereto. However, IHG has no obligation to afford Licensee access to reservation service for the Hotel regarding reservations for any date after the expiration date of this License or for any date after the termination date established by IHG, following any applicable notice period or any applicable opportunity to cure.
C. Consultation on Operations, Facilities and Marketing.
During the License Term, IHG shall have the right (but not the obligation) to make available to Licensee consultation and advice in connection with operations, facilities and marketing. IHG may from time to time furnish to Licensee names of suppliers or recommend to Licensee suppliers of goods and services required or useful in the operation of the Hotel; however, IHG is not obligated to furnish any such names or to continue doing so, and Licensee is under no obligation to use any such supplier, unless expressly required to do so by the terms of this License, the Standards or otherwise. In identifying or recommending suppliers, IHG exercises its business judgment based on its information as of that date and its sense of the long-term interests of the Brand System. IHG's identification or recommendation of a supplier is not a warranty of the financial condition or performance of any supplier or of any other factor. Licensee's use of an identified or recommended supplier that sells products or services meeting IHG's standards and specifications may facilitate compliance with those standards and specifications, but it is not a substitute for Licensee's compliance obligations.
**D.
Source: Item 21 — Financial Statements (FDD page 99)
What This Means (2025 FDD)
According to Crowne Plaza's 2025 Franchise Disclosure Document, IHG has the right, but not the obligation, to provide consultation and advice regarding operations, facilities, and marketing during the license term. IHG may suggest suppliers for goods and services but is not obligated to do so or to continue doing so. The franchisee is not required to use any suggested supplier unless explicitly stated in the license or standards. IHG's recommendations are based on its business judgment and the brand system's long-term interests, but it does not guarantee the supplier's financial condition or performance. Using a supplier that meets IHG's standards may help with compliance, but it does not replace the franchisee's own compliance responsibilities.
IHG aims to maintain high standards for quality, cleanliness, appearance, design, and service across all hotels within the Crowne Plaza brand system. This is intended to promote and protect the brand's public image and increase demand for its services. IHG has broad discretion in making judgments related to these standards.
In summary, while IHG commits to maintaining brand standards and may offer support and recommendations, it does not guarantee ongoing consultation or supplier performance, placing the ultimate responsibility for operational compliance and supplier selection on the franchisee.