factual

Is using electronic signatures optional when executing a Crowne Plaza License?

Crowne_Plaza Franchise · 2025 FDD

Answer from 2025 FDD Document

This License may, at IHG's option, be executed via electronic signature. In such event, Licensee acknowledges that conducting this transaction using electronic means is optional and is not a condition to executing this License. By electronically signing this paragraph, Licensee agrees to conduct this transaction using electronic means, which includes the transmittal of electronic communications and the execution of the agreement using an electronic signature. Licensee further agrees that the parties' electronic signatures are valid and create a binding and enforceable agreement. If Licensee does not agree to conduct the transaction electronically and does not agree to execute the agreement using an electronic signature, Licensee must promptly notify IHG and IHG will provide Licensee with a non-electronic License.

Source: Item 23 — Receipts (FDD pages 100–424)

What This Means (2025 FDD)

According to the 2025 Crowne Plaza FDD, using electronic signatures is optional when executing the license agreement. IHG's option to use electronic signatures means that Crowne Plaza franchisees are not required to use electronic signatures as a condition of executing the License.

The FDD states that if IHG chooses to use electronic signatures, the franchisee acknowledges that it is optional. By electronically signing the agreement, the franchisee agrees to conduct the transaction using electronic means, which includes transmitting electronic communications and executing the agreement with an electronic signature. The franchisee also agrees that the parties' electronic signatures are valid and create a binding and enforceable agreement.

However, if the franchisee does not agree to conduct the transaction electronically or use an electronic signature, they must promptly notify IHG. In this case, IHG will provide the franchisee with a non-electronic License. This ensures that franchisees have the option to sign the agreement in a traditional, paper-based format if they prefer.

For franchisees in California, Hawaii, Rhode Island and Virginia, amendments to the license agreement specify that signatures via Conga Sign, DocuSign, .PDF file, facsimile, or other electronic format have the same force and effect as originals. This provides additional clarity and legal standing to the use of electronic signatures in these states.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.