What is a 'Site Cancellation' under the IHG Direct Participation Agreement for Crowne Plaza?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
In addition, if the Participating Property cancels the required installation for the provision of Services hereunder ("Site Cancellation"), the Participating Property may be assessed a cancellation fee in connection with the Site Cancellation ("Cancellation Fee"), and the Participating Property shall be responsible for the payment of such Cancellation Fee to IHG when due.
Source: Item 23 — Receipts (FDD pages 100–424)
What This Means (2025 FDD)
According to the 2025 Crowne Plaza FDD, a 'Site Cancellation' refers to when a Participating Property cancels the required installation for the provision of services under the IHG Direct Participation Agreement. If a Crowne Plaza franchisee cancels the installation, they may be assessed a cancellation fee.
The FDD states that the franchisee is responsible for paying this cancellation fee to IHG when it is due. This means that franchisees need to carefully consider their readiness for the installation of services and any potential impacts of canceling the installation, as it could result in additional costs.
This clause in the IHG Direct Participation Agreement highlights the importance of proper planning and communication between the Crowne Plaza franchisee, IHG, and any suppliers involved in the installation of services. Franchisees should ensure they are fully prepared for the installation process to avoid incurring cancellation fees.