Under what condition does the Virginia addendum apply to the Crowne Plaza Franchise Disclosure Document?

According to the 2025 Crowne Plaza Franchise Disclosure Document, the Virginia addendum applies only if the Virginia Retail Franchising Act would apply on its own. This means that even if Holiday Hospitality Franchising, LLC (the franchisor) didn't provide the addendum, the protections and regulations of the Virginia Retail Franchising Act would still be in effect.

This condition ensures that Crowne Plaza franchisees in Virginia receive the full protections afforded by Virginia law. The addendum serves to clarify and reinforce these existing legal rights, particularly concerning the cancellation of a franchise without reasonable cause, as stated in Article 13.1-564 of the Virginia Retail Franchising Act. The FDD highlights that any termination clauses in the franchise agreement that do not align with the "reasonable cause" definition under Virginia law may not be enforceable.

For a prospective Crowne Plaza franchisee in Virginia, this addendum provides an additional layer of security. It confirms that the franchisor must adhere to Virginia's franchise laws, preventing the franchisor from circumventing those laws through the franchise agreement. This is a beneficial provision for franchisees, as it reinforces their rights and protections under state law, especially regarding franchise termination and the application of reasonable cause standards.