Under what condition related to termination of service will a Crowne Plaza Eligible Participant NOT be liable for termination charges as outlined in Section 8.4?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
- (a) If Eligible Participant terminates this Agreement or an affected Service or Service Component for cause in accordance with the Agreement or if AT&T terminates a Service or Service Component other than for cause, Eligible Participant will not be liable for the termination charges set forth in this Section 8.4.
Source: Item 23 — Receipts (FDD pages 100–424)
What This Means (2025 FDD)
According to Crowne Plaza's 2025 Franchise Disclosure Document, an Eligible Participant will not be responsible for termination charges as outlined in Section 8.4 under specific circumstances related to the termination of the AT&T agreement.
Specifically, if the Eligible Participant terminates the agreement or an affected service or service component due to 'cause' as defined within the agreement, they will not be liable for termination charges. Similarly, if AT&T terminates a service or service component for any reason other than 'cause', the Eligible Participant is also exempt from these charges.
This provision protects Crowne Plaza franchisees from incurring termination fees if the service termination is due to a breach or fault on the part of AT&T. It is important for franchisees to understand what constitutes 'cause' within the agreement to ensure they can appropriately exercise their rights without incurring unnecessary charges.