Upon expiration or termination of the Crowne Plaza license, will any monetary amount be assigned to goodwill associated with the licensee's use of the Brand System?

According to the 2025 Crowne Plaza Franchise Disclosure Document, upon the expiration or termination of the license agreement, no monetary amount will be assigned to the franchisee for goodwill associated with their use of the Brand System. IHG owns the rights to the Crowne Plaza brand, trademarks, and associated goodwill.

This means that any increase in brand recognition or customer loyalty generated by the franchisee's operation of the Crowne Plaza hotel ultimately benefits IHG. The franchisee will not be compensated for these contributions when the franchise agreement ends. This is a standard practice in franchising, as the brand and its associated goodwill are typically considered the franchisor's intellectual property.

Upon termination, the franchisee must also take action to ensure that the hotel is no longer associated with the Crowne Plaza brand. This includes removing signage, trademarks, and any other brand-specific elements from the property. This is to avoid any confusion among the public and to protect the integrity of the Crowne Plaza brand. The franchisee is responsible for the costs associated with de-identifying the hotel.

Prospective franchisees should consider this when evaluating the potential return on investment. While building a successful Crowne Plaza location can generate significant revenue during the term of the agreement, the franchisee will not receive any direct financial benefit from the goodwill they helped create once the agreement expires or is terminated.