Delta_Hotels_By_Marriott 2025 Franchise FAQ - FDD Ninja

Question 1

What is the applicant acknowledging and agreeing to when submitting the application for a Delta Hotels By Marriott franchise?

Accepted Answer

t are the subject of the Application.
- (d) Applicant has legal control over the site for each hotel (to the extent specified above), as set forth in the Application, through fee ownership, leasehold, or a purchase contract.
- (e) Applicant has received a Franchise Disclosure Document for each brand under which Applicant seeks to operate a hotel, is familiar with the franchise system(s) under which Applicant seeks to operate hotels, and understands the requirements for each such system as described in each respective brand's Franchise Disclosure Document.
- (f) Neither Applicant, nor any entity of which Applicant has held the position of general partner, managing member or beneficial owner, is or has been (i) a defendant in civil litigation alleging fraud, deceit or similar claims; (ii) convicted of a criminal offense or the subject of a pending criminal proceeding (other than minor traffic offenses); (iii) the subject of a petition for protection under any bankruptcy or similar insolvency laws; (iv) a defaulting party in a foreclosure proceeding; or (v) the subject of disciplinary action with respect to the suspension or revocation of a professional or gaming license; and all of the information contained in the Application is true, correct, complete and not misleading through omission of material information, as of the date hereof.
- (g) Neither Applicant nor any affiliate of Applicant (i) has any claims against Franchisor or any of Franchisor's affiliates or (ii) is a Competitor or a Restricted Person, as such terms are defined in the Agreements (see the form agreements attached to the FDD).

- 2. Applicant acknowledges and agrees that:
- (a) Applicant is submitting this Application either as the person or entity that will sign one or more Agreements, or as the person or entity that will control the proposed franchisee or area developer for each hotel, as applicable.
- (b) Franchisor reserves the right to approve or deny this Application with respect to one or more hotels, in its sole discretion. Applicant will not acquire any rights by virtue of the submission of the Application whether or not Franchisor approves the Application. Any expenses incurred by or on behalf of Applicant in connection with this Application or any approval of this Application (including without limitation any costs of constructing, renovating or operating the proposed hotel(s)) are at Applicant's sole risk and are not being made in reliance on any action of Franchisor.
- (c) Franchisor does not enter into oral agreements or understandings with respect to franchises or matters pertaining to the grant of a franchise. Accordingly, there are no agreements or understandings whatsoever between Applicant and Franchisor with respect to the Application or any franchise.
- (d) An Application Fee will be paid to Franchisor via wire transfer no earlier than 10 business days after Applicant has received a Franchise Disclosure Document. The fee may be invested, commingled with other funds of Franchisor or otherwise used by Franchisor, as it deems appropriate in its discretion. Franchisor will not enter into an Agreement with Applicant until it receives full payment of the Application Fee.
  - (e) For each proposed hotel under this Application:
    - i For single-unit franchise agreements, if Franchisor does not approve the Application for the hotel, it shall have no liability to Applicant for such hotel other than to return the Application Fee for the hotel, less Ten Thousand Dollars (\$10,000) and Franchisor's costs.
    - ii If the application for a development agreement or a single-unit franchise agreement is approved, the application fee for the hotel will not be refunded.
    - iii *MSB Only*: If Applicant and Franchisor have not executed a franchise agreement for the hotel within sixty (60) days after the issuance of the first draft of the franchise agreement for the hotel, Franchisor may withdraw its approval of the Application with respect to such hotel unless applicant pays an application extension fee of Ten Thousand Dollar (\$10,000). The grant of extension under a single unit franchise agreement will not constitute a waiver of Franchisor's rights under any Area Development Agreement.
    - iv If Applicant and Franchisor have not executed a franchise agreement for a hotel within sixty (60) days after an extension, Franchisor will have the right to withdraw its approval of the hotel.
    - v If the Application is approved for a hotel, such approval is conditioned on Applicant retaining legal control over the specific site described in the Application. If at any time prior to execution of the Franchise Agreement, Applicant loses legal control over the site of the hotel, our approval of the Application with respect to the hotel will no longer be effective. In such event, Franchisor shall have no liability to Applicant and the full Application Fee for the hotel will be retained by Franchisor*,* and Franchisor will withdraw its approval of the hotel. If Applicant subsequently regains legal control over such site or over a different site, a new Application for the hotel must be submitted.
- (f) Whether or not Franchisor approves the Application, Applicant does not have any exclusive territorial rights. Franchisor and its affiliates may operate or grant others the right to operate the same brand(s) of hotel or other lodging facilities and other businesses at any location including locations proximate, adjacent or adjoining the site specified above. Franchisor may consider applications from other applicants for any sites without liability to Applicant.

- (g) If Franchisor approves the Application, Applicant will not have any right to use the franchisor's trademarks, systems, or other intellectual property for each respective brand unless and until Franchisor and Applicant executes a franchise agreement authorizing Applicant to use the intellectual property associated with such brand at a particular hotel and the parties execute an Authorization to Open for the hotel.
- (h) Any financial information provided by Applicant in connection with this Application (including the proposed financing and debt structure) will be prepared by Applicant or its advisors.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 2

What are the cost considerations for the franchisee-managed network (FMN) for Delta Hotels By Marriott?

Accepted Answer

guestroom inventory management system that provides forecasting tools and makes inventory recommendations. The reservation system and yield management system will interface with your hotel's PMS. The initial costs associated with the reservation system and yield management system are included

in the PMS system costs described above. The ongoing costs of the reservation system and yield management system are covered by the Program Services Contribution.

(6) Marriott Communications Network ("MCN") and Property Network Standards. In order to securely connect to Marriott business applications and services that are hosted off-property, a connection to the Marriott Communications Network (MCN) is required. A Marriott router installed at your hotel provides end-to-end encryption to the MCN. All hotels are required to have primary and failover internet connections for MCN connectivity, for which you are strongly encouraged to use Marriottapproved Internet Service Providers (ISP). A secondary internet

Source: Item 10 — FINANCING (FDD pages 82–101)

Question 3

What are the cost considerations for internet connection costs for Delta Hotels By Marriott?

Accepted Answer

of \$17 to \$30 per month per POS workstation at the hotel, which includes the cost of patching services relating to the POS system. You must pay directly to Oracle a fee of \$379 per month for each additional POS system terminal at your hotel. The annual hardware support fee (recommended) is estimated to be approximately 15% of the cost to purchase the POS system hardware. The estimated third-party costs associated with the POS system are provided to us by our vendors and are subject to change. Add-on services may be available at an additional cost.

#### (5) Reservation System and Yield Management System.

You must use the reservation system and yield management system that we designate for Delta hotels. The reservation system assists with reservations, check-in, charge posting, accounts receivable, night audit, check-out, housekeeping, and guest history. The yield management system is a web-based guestroom inventory management system that provides forecasting tools and makes inventory recommendations. The reservation system and yield management system will interface with your hotel's PMS. The initial costs associated with the reservation system and yield management system are included

in the PMS system costs described above. The ongoing costs of the reservation system and yield management system are covered by the Program Services Contribution.

(6) Marriott Communications Network ("MCN") and Property Network Standards. In order to securely connect to Marriott business applications and services that are hosted off-property, a connection to the Marriott Communications Network (MCN) is required. A Marriott router installed at your hotel provides end-to-end encryption to the MCN. All hotels are required to have primary and failover internet connections for MCN connectivity, for which you are strongly encouraged to use Marriottapproved Internet Service Providers (ISP). A secondary internet connection for MCN connectivity is recommended to maintain full connectivity in the event the primary internet connection fails; the required failover connection only provides connectivity to critical Marriott applications. The ongoing Marriott support charge for MCN connectivity (including Marriott router) is covered by your Program Services Contribution. The internet connection costs are payable directly to third-party vendors.

You must also install and maintain a franchisee-managed network ("FMN") for hotel devices. The cost to implement an FMN will range from approximately \$25,000 to \$30,000. We cannot estimate the ongoing cost of the FMN because the cost will vary depending on the vendor you choose and the services rendered. Marriott will not access, control or manage the FMN.

An on-property Wi-Fi network for the benefit of the hotel and guests is also required. The estimated cost to implement a Wi-Fi network meeting our Global Property Network Standards (GPNS) ranges from approximately \$650 to \$1,000 per guestroom. The ongoing cost of the Wi-Fi network is estimated to be approximately \$2.50 to \$8.50 per month per guestroom. These amounts are payable directl

Source: Item 10 — FINANCING (FDD pages 82–101)

Question 4

How many Delta Hotels By Marriott outlets were reacquired by the franchisor in 2022?

Accepted Answer

| State | Year | Outlets at Start of Year | Outlets Opened1 | Termi- nations2 | Non- Renewals | Reacquired by Franchisor3 | Ceased Operations- Other Reasons | Outlets at End of the Year |
|---|---|---|---|---|---|---|---|---|
| Arizona | 2022 2023 2024 | 1 1 1 |  |  |  |  |  | 1 1 1 |
| Arkansas | 2022 2023 2024 | 1 1 1 |  |  |  |  |  | 1 1 1 |
| California | 2022 2023 2024 | 2 2 2 | 0 0 1 |  |  |  |  | 2 2 3 |
| Colorado | 2022 2023 2024 | 1 1 1 |  |  |  |  |  | 1 1 1 |
| Florida | 2022 2023 2024 | 3 4 5 | 1 1 1 |  |  |  |  | 4 5 6 |
| Illinois | 2022 2023 2024 | 1 1 1 |  |  |  |  |  | 1 1 1 |
| Indiana | 2022 2023 2024 | 2 2 2 |  |  |  |  |  | 2 2 2 |
| Kentucky | 2022 2023 2024 | 1 1 1 |  |  |  |  |  | 1 1 1 |
| Maryland | 2022 | 3 |  | 0 |  |  | 0 | 3 |
|  | 2023 | 3 |  | 1 |  |  | 1 | 1 |
|  | 2024 | 1 |  | 0 |  |  | 0 | 1 |
| Michigan | 2022 2023 2024 | 5 5 5 |  | 0 0 2 |  |  |  | 5 5 3 |
| Minnesota | 2022 2023 2024 | 1 1 1 |  |  |  |  |  | 1 1 1 |
| Montana | 2022 2023 2024 | 1 1 1 |  |  |  |  |  | 1 1 1 |
| New Jersey | 2022 2023 2024 | 2 3 3 | 1 0 0 |  |  |  |  | 3 3 3 |
| New York | 2022 2023 2024 | 1 1 2 | 0 1 0 |  |  |  |  | 1 2 2 |
| North Carolina | 2022 2023 2024 | 1 1 1 |  |  |  |  |  | 1 1 1 |
| Column 1 State | Column 2 Year | Column 3 Outlets at Start of Year | Column 4 Outlets Opened1 | Column 5 Termi- nations2 | Column 6 Non- Renewals | Column 7 Reacquired by Franchisor3 | Column 8 Ceased Operations- Other Reasons | Column 9 Outlets at End of the Year |
| North Dakota | 2022 2023 2024 | 1 1 1 |  |  |  |  |  | 1 1 1 |
| Ohio | 2022 2023 2024 | 1 2 2 | 14 0 0 |  |  |  |  | 2 2 2 |
| Oklahoma | 2022 2023 2024 | 0 0 1 | 0 1 0 |  |  |  |  | 0 1 1 |
| Pennsylvania | 2022 2023 2024 | 2 2 2 |  |  |  |  |  | 2 2 2 |
| South Carolina | 2022 2023 2024 | 1 1 1 |  |  |  |  |  | 1 1 1 |
| Tennessee | 2022 2023 2024 | 0 0 1 | 0 1 0 |  |  |  |  | 0 1 1 |
| Texas | 2022 2023 2024 | 1 1 2 | 0 1 0 |  |  |  |  | 1 2 2 |
| Vermont | 2022 2023 2024 | 1 1 1 |  |  |  |  |  | 1 1 1 |
| Virginia | 2022 2023 2024 | 4 5 6 | 1 14 0 |  |  |  |  | 5 6 6 |
| Washington | 2022 2023 2024 | 1 1 1 |  |  |  |  |  | 1 1 1 |
| West Virginia | 2022 2023 2024 | 2 2 2 |  |  |  |  |  | 2 2 2 |
| Wisconsin | 2022 2023 2024 | 3 3 3 |  |  |  |  |  | 3 3 3 |
| Canada | 2022 2023 2024 | 14 15 165 | 1 1 0 |  |  |  |  | 15 16 16 |
| TOTALS | 2022 | 57 | 5 | 0 |  |  | 0 | 62 |
|  | 2023 | 62 | 7 | 1 |  |  | 1 | 67 |
|  | 2024 | 67 | 2 | 2 |  |  | 0 | 67 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 123–131)

Question 5

What was the total number of Delta Hotels By Marriott franchise transfers in 2024 across all listed locations?

Accepted Answer

| State | Year | Number of Transfers |
|---|---|---|
| Florida | 2022 | 1 |
|  | 2023 | 0 |
|  | 2024 | 0 |
| Michigan | 2022 | 1 |
|  | 2023 | 0 |
|  | 2024 | 0 |
| New Jersey | 2022 | 1 |
|  | 2023 | 0 |
|  | 2024 | 0 |
| Vermont | 2022 | 1 |
|  | 2023 | 0 |
|  | 2024 | 0 |
| Virginia | 2022 | 1 |
|  | 2023 | 0 |
|  | 2024 | 0 |
| Canada | 2022 | 0 |
|  | 2023 | 0 |
|  | 2024 | 1 |
| TOTALS | 2022 | 5 |
|  | 2023 | 0 |
|  | 2024 | 1 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 123–131)

Question 6

What was the total number of Delta Hotels By Marriott outlets at the end of 2023?

Accepted Answer

| Outlet Type | Year | Outlets at the Start of the Year | Outlets at the End of the Year | Net Change |
|---|---|---|---|---|
| Franchised | 2022 | 57 | 62 | 5 |
|  | 2023 | 62 | 67 | 5 |
|  | 2024 | 67 | 67 | 0 |
| Company-Owned, Managed and Leased | 2022 2023 2024 | 25 25 25 | 25 25 25 | 0 0 0 |
| Total Outlets | 2022 | 82 | 87 | 5 |
|  | 2023 | 87 | 92 | 5 |
|  | 2024 | 92 | 92 | 0 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 123–131)

Question 7

What is the total projected number of new franchised Delta Hotels By Marriott outlets expected to open in the next fiscal year?

Accepted Answer

| State | Franchise Agreement Signed But Outlet Not Opened | Projected New Franchised Outlets in the Next Fiscal Year | Projected New Company-Owned, Managed and Leased Outlets in the Next Fiscal Year |
|---|---|---|---|
| California | 1 |  |  |
| Delaware | 1 |  |  |
| Illinois | 4 | 1 |  |
| Kentucky | 1 |  |  |
| Nevada | 1 |  |  |
| New Mexico | 1 |  |  |
| Oklahoma | 1 |  |  |
| Tennessee | 1 |  |  |
| Texas | 1 |  |  |
| Utah | 1 |  |  |
| Canada | 1 | 1 |  |
| TOTALS | 14 | 21 | 01 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 123–131)

Question 8

How does the application fee for a new-to-system Delta Hotels By Marriott hotel in Item 4 compare to the potential design and construction review service fees in Item 1?

Accepted Answer

is disclosure document.

#### INITIAL FEES

#### 1. Application Fees and Related Fees

#### A. Application Fees

- 1. New-to-System Delta Hotel. The franchise application fee for a new-to-system Delta hotel, including the conversion of a non-Company Brand Hotel to a Delta hotel, is \$100,000 plus \$400 per guestroom in excess of 250 guestrooms.
- 2. Existing Delta Hotel. The franchise application fee for an existing Delta hotel or to convert a hotel that is currently managed by us or one of our affiliates to a franchised Delta hotel is the greater of \$150,000 or \$500 per guestroom.

Franchise application fees are generally payable in full at the time you submit your franchise application and are non-refundable upon approval of your application. If you withdraw an application before it is approved, or if your application is not approved, we will refund the application fee for each unapproved hotel, less \$10,000 per unapproved hotel and our outside counsel fees and expenses.

#### B. Other Fees That May Apply to Your Transaction

- 1. Outside Counsel Costs. If you are submitting an application for an existing Delta hotel or converting a hotel that is currently managed by us or one of our affiliates to a franchised Delta hotel, we will engage outside counsel in connection with the transaction, and you will be required to pay our outside counsel costs directly to our outside counsel prior to closing. If your hotel project is approved with a residential, condominium, or multi-family component, we will engage outside counsel in connection with the transaction, and you will be required to pay our outside counsel costs directly to our outside counsel prior to closing. These costs are payable and non-refundable, regardless of whether the transaction closes.
- 2. Extension Fees. We may permit franchisees of new-build and conversion projects to automatically extend their construction start deadlines on a rolling 30-days basis, without assessing any extension fees. Any automatic extension of the construction start deadline will also extend the hotel opening deadline by the same amount of time. The automatic extensions will not apply to the term or duration of any restricted territory granted to you under the franchise agreement (see Item 12). We may freeze automatic extensions at any time with 60 days' notice to you.

Question 9

What are all the fees Delta Hotels By Marriott charges related to application and design review, as detailed in Items 1 and 4?

Accepted Answer

# BANKRUPTCY

No bankruptcy is required to be disclosed in this disclosure document.

#### INITIAL FEES

#### 1. Application Fees and Related Fees

#### A. Application Fees

- 1. New-to-System Delta Hotel. The franchise application fee for a new-to-system Delta hotel, including the conversion of a non-Company Brand Hotel to a Delta hotel, is \$100,000 plus \$400 per guestroom in excess of 250 guestrooms.
- 2. Existing Delta Hotel. The franchise application fee for an existing Delta hotel or to convert a hotel that is currently managed by us or one of our affiliates to a franchised Delta hotel is the greater of \$150,000 or \$500 per guestroom.

Franchise application fees are generally payable in full at the time you submit your franchise application and are non-refundable upon approval of your application. If you withdraw an application before it is approved, or if your application is not approved, we will refund the application fee for each unapproved hotel, less \$10,000 per unapproved hotel and our outside counsel fees and expenses.

#### B. Other Fees That May Apply to Your Transaction

- 1. Outside Counsel Costs. If you are submitting an application for an existing Delta hotel or converting a hotel that is currently managed by us or one of our affiliates to a franchised Delta hotel, we will engage outside counsel in connection with the transaction, and you will be required to pay our outside counsel costs directly to our outside counsel prior to closing. If your hotel project is approved with a residential, condominium, or multi-family component, we will engage outside counsel in connection with the transaction, and you will be required to pay our outside counsel costs directly to our outside counsel prior to closing. These costs are payable and non-refundable, regardless of whether the transaction closes.
- 2. Extension Fees. We may permit franchisees of new-build and conversion projects to automatically extend their construction start deadlines on a rolling 30-days basis, without assessing any extension fees. Any automatic extension of the construction start deadline will also extend the hotel opening deadline by the same amount of time. The automatic extensions will not apply to the term or duration of any restricted territory granted to you under the franchise agreement (see Item 12). We may freeze automatic extensions at any time with 60 days' notice to you. If you wish to extend the opening deadline after you have started construction, or if you wish to extend a construction start deadline after we have given you written notice freezing automatic extensions, you must submit a written request for an extension and pay a \$10,000 extension fee. No extension will be granted for more than six months. If we do not approve your request, we will refund the \$10,000 you submitted.

#### 2. Pre-Opening Fees

Listed below are certain estimated one-time non-refundable fees and reimbursements (excluding certain travel and related expenses) that you will pay to us on demand to open a Delta hotel. We may require you to prepay certain of these expenses. If you are acquiring or converting an existing hotel, your pre-opening fees and costs will vary depending upon, among other things, the systems in place and experience of personnel that are retained at the time of acquisition or conversion.

#### A. Computer Hardware and Software Systems

The amounts payable to us or our approved vendors for pre-opening technology planning and installation services associated with the implementation of the current, approved property management, reservation, yield management, and sales and catering systems generally ranges from approximately \$133,000 to \$225,000.

Question 10

If a Delta Hotels By Marriott franchisee desires to convert their hotel and an expedited opening date is agreed upon, what document are they required to sign regarding Marriott procuring hardware, software, and services before the franchise agreement is executed?

Accepted Answer

If you desire to convert your hotel to a Delta hotel and an expedited proposed opening date has been agreed to by us, you may request that Marriott procure certain hardware, software, and other computer systems on your behalf, and provide training and services before we execute a franchise agreement. In such event, you will be required to sign a letter agreement substantially in the form attached as Exhibit P.

Source: Item 4 — BANKRUPTCY (FDD pages 34–39)

Question 11

Under what circumstances would a Delta Hotels By Marriott franchisee be responsible for paying the franchisor's outside counsel costs related to a transfer, even if a transfer fee is not charged?

Accepted Answer

| TYPE OF FEE | AMOUNT | DUE DATE* | REMARKS |
|---|---|---|---|
| Costs and Attorneys’ Fees | Varies | On demand | Payable to us if you do not comply with the franchise agreement or related agreements. |

Source: Item 1 — Fees for Other Services (FDD pages 39–71)

Question 12

Under what circumstances would a Delta Hotels By Marriott franchisee be responsible for paying Marriott's outside counsel costs related to a transfer, even if a transfer fee is not charged?

Accepted Answer

| TYPE OF FEE | AMOUNT | DUE DATE* | REMARKS |
|---|---|---|---|
| Costs and Attorneys’ Fees | Varies | On demand | Payable to us if you do not comply with the franchise agreement or related agreements. |

Source: Item 1 — Fees for Other Services (FDD pages 39–71)

Question 13

Under what conditions does Delta Hotels By Marriott charge a one-time set-up fee, and when is this fee due?

Accepted Answer

If the Hotel did not participate in Franchisor's services during the previous calendar year, Franchisor will provide the set-up services described in this Schedule C and charge Franchisee the one-time fee described below.

A new-build hotel will not be assessed this fee if the Franchisee signed a letter prior to opening. The fee shall be due in full 60 days after the Commencement Date.

Source: Item 6 — Obligations of Franchisee.** Franchisee agrees to the following: (FDD pages 363–513)

Question 14

Under what financial condition is the Delta Hotels By Marriott franchise sale exempted from the Federal Trade Commission's Franchise Rule disclosure requirements?

Accepted Answer

NTURE CONTEMPLATED BY THIS AGREEMENT INVOLVES SUBSTANTIAL BUSINESS RISK, IS A VENTURE WITH WHICH FRANCHISEE HAS RELEVANT EXPERIENCE AND ITS SUCCESS IS LARGELY DEPENDENT ON FRANCHISEE'S ABILITY AS AN INDEPENDENT BUSINESS. FRANCHISOR DISCLAIMS THE MAKING OF, AND FRANCHISEE AGREES IT HAS NOT RECEIVED, ANY INFORMATION, WARRANTY OR GUARANTEE, EXPRESS OR IMPLIED, AS TO THE POTENTIAL REVENUES, PROFITS OR SUCCESS OF S

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 15

Under what financial condition is the sale of a Delta Hotels By Marriott franchise exempt from the Federal Trade Commission's Franchise Rule disclosure requirements?

Accepted Answer

NTURE CONTEMPLATED BY THIS AGREEMENT INVOLVES SUBSTANTIAL BUSINESS RISK, IS A VENTURE WITH WHICH FRANCHISEE HAS RELEVANT EXPERIENCE AND ITS SUCCESS IS LARGELY DEPENDENT ON FRANCHISEE'S ABILITY AS AN INDEPENDENT BUSINESS. FRANCHISOR DISCLAIMS THE MAKING OF, AND FRANCHISEE AGREES IT HAS NOT RECEIVED, ANY INFORMATION, WARRANTY OR GUARANTEE, EXPRESS OR IMPLIED, AS TO THE POTENTIAL REVENUES, PROFITS OR SUCCESS OF S

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 16

According to the Authority to Open letter for Delta Hotels By Marriott, what happens if the franchisee fails to complete the work specified in Attachment A by the agreed-upon date?

Accepted Answer

If Franchisor establishes an Opening Date but the letter agreement provides for additional construction, upgrading, renovation, or training (the "Additional Work"), Franchisee will be authorized to use the System and identify the Hotel as a System Hotel only for such time as Franchisee is diligently completing the Additional Work.

Failure to timely complete the Additional Work is a default under this Agreement.

Franchisor may review any Additional Work, and Franchisee must ensure that the Hotel complies with all requirements of Franchisor following such review. Franchisee, its contractors and subcontractors must cooperate fully with any inspections conducted by Franchisor.

If any site visits and inspections are necessary to ensure the Hotel complies with the Additional Work requirements, Franchisor may charge its then-current fee for the additional time spent inspecting the Hotel plus Travel Costs.

If Franchisor determines an additional test and inspection of the fire protection systems or life safety components of the Hotel is necessary, Franchisor may charge Franchisee its then-current fee for such site visits and inspections.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 17

According to the Delta Hotels By Marriott FDD, what information should be inserted regarding additional businesses if the hotel building is not contemplated to have third-party businesses not part of the hotel operations?

Accepted Answer

8. **Additional Businesses:** [**IF THE HOTEL BUILDING IS CONTEMPLATED TO HAVE THIRD PARTY BUSINESSES NOT PART OF THE HOTEL OPERATIONS, ADD THE FOLLOWING (OTHERWISE INSERT**: Not

> Applicable): Franchisee has informed Franchisor that there will be additional non-Hotel businesses (the "Additional Businesses") within the same building as the Hotel

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 18

According to the FDD, can Delta Hotels By Marriott revoke approval of a previously approved source or item, and if so, under what conditions?

Accepted Answer

We reserve the right, at our option, to revoke any approval if the source or the item fails to meet our then-current standards and specifications.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 72–77)

Question 19

According to the Delta Hotels By Marriott franchise agreement, what happens if the hotel building contains third-party businesses not part of the hotel operations?

Accepted Answer

8. **Additional Businesses:** [**IF THE HOTEL BUILDING IS CONTEMPLATED TO HAVE THIRD PARTY BUSINESSES NOT PART OF THE HOTEL OPERATIONS, ADD THE FOLLOWING (OTHERWISE INSERT**: Not

> Applicable): Franchisee has informed Franchisor that there will be additional non-Hotel businesses (the "Additional Businesses") within the same building as the Hotel

#### **[MODIFY TO ADD SPECIFICS REGARDING BUSINESS AND LOCATION IF KNOWN]**. All

Additional Businesses must be pre-approved by Franchisor, and Franchisee will ensure that: (i) the design, construction, renovation and operation of the Additional Businesses comply with Franchisor's fire protection and life safety Standards and the final Plans consented to by Franchisor and do not disrupt the operation of the Hotel, detract from the goodwill of the Proprietary Marks, adversely affect the overall appearance of the Hotel, or pose a threat to public health or safety; (ii) the Additional Businesses are presented to the public as separate and distinct from the System and not integrated into the Hotel's operations, including not using the Intellectual Property in any way with the Additional Businesses or their marketing; (iii) no signage for the Additional Businesses is displayed within the Hotel without Franchisor's approval; (iv) any parts of the Additional Businesses that are visible from or shared with

the Hotel comply with the Standards and their design is approved by Franchisor; and (v) the Additional Businesses are maintained and operated at a level consistent with the high standards of the Hotel and the System Franchisor may inspect the Additional Businesses to confirm compliance with this Agreement. The Additional Businesses are part of the Hotel for purposes of Section 14 and Franchisee will ensure that Franchisor is included as an additional named insured on all insurance policies for the Additional Businesses.]

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 20

According to the FTC's Franchise Rule, what is required for a Delta Hotels By Marriott franchisor to provide information about actual financial performance?

Accepted Answer

The FTC's Franchise Rule permits a franchisor to provide information about the actual or potential financial performance of its franchised and/or franchisor-owned outlets, if there is a reasonable basis for the information, and if the information is included in the disclosure document. Financial performance information that differs from that included in Item 19 may be given only if: (1) a franchisor provides the actual records of an existing outlet you are considering buying; or (2) a franchisor supplements the information provided in this Item 19, for example, by providing information about possible performance at a particular location or under particular circumstances.

Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD page 122)

Question 21

According to the FTC's Franchise Rule, what is required for a Delta Hotels By Marriott franchisor to provide information about potential financial performance?

Accepted Answer

The FTC's Franchise Rule permits a franchisor to provide information about the actual or potential financial performance of its franchised and/or franchisor-owned outlets, if there is a reasonable basis for the information, and if the information is included in the disclosure document. Financial performance information that differs from that included in Item 19 may be given only if: (1) a franchisor provides the actual records of an existing outlet you are considering buying; or (2) a franchisor supplements the information provided in this Item 19, for example, by providing information about possible performance at a particular location or under particular circumstances.

We do not make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised Delta Hotels by Marriott hotels. We also do not authorize our employees or representatives to make any such representations either orally or in writing. If you are purchasing an existing outlet, however, we may provide you with the actual records of that outlet. If you receive any other financial performance information or projections of your future income, you should report it to the franchisor's management by contacting Noah Silverman, Global Development Officer, 7750 Wisconsin Avenue Bethesda, Maryland 20814, (301) 380-5253, the Federal Trade Commission, and the appropriate state regulatory agencies.

Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD page 122)

Question 22

According to the Illinois Franchise Disclosure Act amendment for Delta Hotels By Marriott, what happens if Section 2.2 of the Franchise Agreement concerning nonrenewal is inconsistent with Section 705/20 of the Illinois Franchise Disclosure Act?

Accepted Answer

1. Section 2.2 ("Not Renewable") of the Agreement is supplemented by the following:

If any of the provisions of this Section 2.2 concerning nonrenewal are inconsistent with the provisions of Section 705/20 of the Illinois Franchise Disclosure Act, then such provisions of the Act will apply.

Source: Item 17 — , "Renewal, Termination, Transfer, and Dispute Resolution," is amended by the addition of the following paragraph(s) at the conclusion of the Item: (FDD pages 279–288)

Question 23

What must an applicant do before taking ownership, possession, control, or management of a Delta Hotels By Marriott hotel in a change of ownership scenario?

Accepted Answer

If this Application is in connection with a proposed change of ownership and if Franchisor approves the Application, the undersigned may not take any level of ownership, possession, control or management of a hotel listed on Schedule A or use any of Franchisor's proprietary marks or systems unless and until it has executed the Franchise Agreement (and any related agreements) and has received copies of the Franchise Agreement (and any related agreements) countersigned by Franchisor.

The undersigned may not take possession, ownership, control or management of a hotel prior to the Effective Date as stated in the Franchise Agreement.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 24

When applying for a Delta Hotels By Marriott franchise, if the deed is in the name of an affiliate, what documentation must be attached?

Accepted Answer

Unless the Hotel is subject to a lease as indicated in Item 17 of Exhibit A, Franchisee will deliver a copy of the recorded deed in Franchisee's name to Franchisor no later than the Construction Start Deadline.

#### **Instructions for Completing the Ownership Chart**

- Please attach or include the formation document for the Applicant Entity (e.g. Articles of Organization or Certificate of Formation for an LLC; Articles or Certificate of Incorporation for a corporation; Certificate of Limited Partnership for an LP)
- At a minimum, you must include any individual, group of individuals, or entity that collectively, directly or indirectly, "controls" Applicant Entity, or owns 25% or more of the Applicant Entity. "Control" is as defined in the form franchise agreement attached to the FDD.
- If no individual, group of individuals, or entity owns 25% or more, or if you are unsure, **list all individuals or entities with a direct or indirect ownership interest in Applicant Entity**.
- You must include the **ownership percentage** for each individual or entity.
- If your ownership structure includes **multiple entities and** you are unsure of the indirect ownership percentages of the Applicant Entity, provide a breakdown of their ownership below the Applicant Entity as needed to reflect cumulative ownership **or attach an organizational chart that illustrates the full ownership structure**.

*Providing complete and accurate information will help avoid delays in processing your application.*

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 25

When applying for a Delta Hotels By Marriott franchise, if the deed is in the name of an affiliate, is an intercompany lease with the proposed franchisee required?

Accepted Answer

Unless the Hotel is subject to a lease as indicated in Item 17 of Exhibit A, Franchisee will deliver a copy of the recorded deed in Franchisee's name to Franchisor no later than the Construction Start Deadline.

- B. *Transfer to Affiliates; Transfer for Estate Planning Purposes.* A Transfer of the Hotel or an Ownership Interest in Franchisee to an Affiliate of Franchisee, or a Transfer of an Ownership Interest in Franchisee for estate planning purposes to an immediate family member or to an entity owned by, or a trust for the benefit of, an immediate family member, in the case of each such Transfer, if the following requirements are met:

- 1.

Franchisee or its Control Affiliate owns, directly or indirectly, more than 50% of the economic interests of the proposed transferee (if the transferee is an entity), and such Transfer does not otherwise result in a change of Control of Franchisee or the Hotel;

- 2.

Franchisee provides the identity of the proposed transferee and its Interestholders, documentation acceptable to Franchisor evidencing the Transfer, and all other related information reasonably requested by Franchisor;

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 26

When applying for a Delta Hotels By Marriott franchise, if the deed is in the name of a third party not affiliated with the proposed franchisee, is a signed purchase contract required?

Accepted Answer

- 3. If this Application is in connection with a proposed change of ownership, the undersigned has executed a binding purchase contract for the purchase of the hotel(s) specified on Schedule A.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 27

When applying for a Delta Hotels By Marriott franchise, if there is a contribution agreement, and it is not signed, what information must be provided?

Accepted Answer

Unless otherwise stated in Item 17 of Exhibit A, Franchisee represents and warrants that either: (i) it is the sole owner of the Hotel and holds good and marketable fee title to the Approved Location; or (ii) the Approved Location is subject to a valid purchase, contribution, or similar agreement, and on closing of such agreement, Franchisee will be the sole owner of the Hotel and will hold good and marketable fee title to the Approved Location.

Unless the Hotel is subject to a lease as indicated in Item 17 of Exhibit A, Franchisee will deliver a copy of the recorded deed in Franchisee's name to Franchisor no later than the Construction Start Deadline.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 28

When applying for a Delta Hotels By Marriott franchise, what options are available to illustrate the full ownership structure if the ownership structure includes multiple entities and the indirect ownership percentages of the Applicant Entity are unclear?

Accepted Answer

[Item 23: RECEIPTS]

#### **Instructions for Completing the Ownership Chart**

- Please attach or include the formation document for the Applicant Entity (e.g. Articles of Organization or Certificate of Formation for an LLC; Articles or Certificate of Incorporation for a corporation; Certificate of Limited Partnership for an LP)
- At a minimum, you must include any individual, group of individuals, or entity that collectively, directly or indirectly, "controls" Applicant Entity, or owns 25% or more of the Applicant Entity. "Control" is as defined in the form franchise agreement attached to the FDD.
- If no individual, group of individuals, or entity owns 25% or more, or if you are unsure, **list all individuals or entities with a direct or indirect ownership interest in Applicant Entity**.
- You must include the **ownership percentage** for each individual or entity.
- If your ownership structure includes **multiple entities and** you are unsure of the indirect ownership percentages of the Applicant Entity, provide a breakdown of their ownership below the Applicant Entity as needed to reflect cumulative ownership **or attach an organizational chart that illustrates the full ownership structure**.

*Providing complete and accurate information will help avoid delays in processing your application.*

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 29

Can the 'Approved Location' for a Delta Hotels By Marriott be updated, and if so, how?

Accepted Answer

"Application Fee" is defined in Section 3.1.

"Approved Location" means the site, including all land and easements used for the Hotel, described in Item 2 of Exhibit A, as may be updated by the letter agreement issued by Franchisor described in Exhibit C.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 30

Can an arbitration proceeding under the Delta Hotels By Marriott Franchise Agreement be consolidated with other arbitration proceedings, and if so, under what conditions?

Accepted Answer

Any arbitration proceeding under this Agreement will be conducted on an individual (not a class-wide) basis and will not be consolidated with any other arbitration proceedings to which Franchisor is a party, except that Franchisor may join any current or former owner under an owner agreement related to the Hotel in any such proceeding.

Any Dispute to be settled by arbitration under this Section will at the request of any party to this Agreement be resolved in a single arbitration before a single tribunal together with any Dispute arising out of or relating to any other agreement between such parties or Franchisor's Affiliates.

A decision on a matter in another arbitration proceeding will not prevent a party from submitting evidence with respect to a similar matter or prevent the arbitral tribunal from rendering an independent decision without regard to such decision in such other arbitration proceeding.

Source: Item 11 — FINANCING OF THE HOTEL (FDD pages 259–279)

Question 31

Besides those listed in Item 6 under "Operations", are there other fees that Delta Hotels By Marriott franchisees may have to pay prior to opening their hotel?

Accepted Answer

Depending on the circumstances, certain of the fees discussed in Item 6 under the heading "Operations" may also apply to your hotel prior to opening. Such fees are noted with a statement in the "Remarks" column in Item 6.

We will make our standard design and construction criteria available to you and conduct up to three hotel assessments at no cost to you to ensure that your hotel is constructed and designed in accordance with our standards. If we determine that additional pre-opening hotel assessments are necessary, you may be required to pay our then-current charge per hotel assessment, presently $1,500. In

addition, if your hotel includes a residential, condominium, or multi-family component, we will conduct up to two additional pre-opening project assessments, and you must pay our then-current charge per project assessment, presently $1,500.

We will make available to you a list of interior design firms recommended for system hotels. If you propose an interior design firm that is not on our list of recommended design firms, then we will require you to pay a $2,500 fee to review your proposed design firm and its prior work experience on similar projects. We will consider up to two design firms. If we determine that your proposed firm does not possess similar experience or capabilities as those firms on our recommended list, we may still consent to your proposed firm, but we will charge an additional fee of $50,000 for the additional time spent by us during the design and construction or conversion process.

In 2025, we expect our procurement charges for these services will be: (i) for furniture, fixtures, and equipment, the greater of $3,500 or approximately 4.5% to 5% of the cost of the products and services provided; and (ii) for hotel opening operating supplies and equipment, the greater of $10,000 or approximately 4.5% to 5% of the cost of the products and services provided.

Source: Item 1 — Fees for Other Services (FDD pages 39–71)

Question 32

Besides the listed states, are there other states where Marriott International, Inc. has appointed an agent for service of process related to Delta Hotels By Marriott?

Accepted Answer

There may be states in addition to those listed above in which Marriott International, Inc. has appointed an agent for service of process.

Source: Item 7 — Franchisor reserves the right to challenge the applicability of any law that declares provisions in the Agreement void or unenforceable. (FDD pages 288–363)

Question 33

Besides the states listed, are there potentially other states where Marriott International, Inc. has appointed an agent for service of process related to Delta Hotels By Marriott franchises?

Accepted Answer

There may be states in addition to those listed above in which Marriott International, Inc. has appointed an agent for service of process.

Source: Item 7 — Franchisor reserves the right to challenge the applicability of any law that declares provisions in the Agreement void or unenforceable. (FDD pages 288–363)

Question 34

For the Delta Hotels By Marriott comfort letter, if a term is capitalized but not defined in the comfort letter, where can its meaning be found?

Accepted Answer

If not defined in this comfort letter **[or in Exhibit A to this comfort letter]**, capitalized terms have the meanings stated in the Franchise Agreement. **[NOTE: IF THE FORM OF THE FRANCHISE AGREEMENT PRE-DATES THE MARCH 31, 2025, FORM, ADD EXHIBIT A TO INCORPORATE NEW OR REVISED DEFINED TERMS.]**

Source: Item 6 — Obligations of Franchisee.** Franchisee agrees to the following: (FDD pages 363–513)

Question 35

What is the condition for the Franchisee to divulge confidential information to their employees or agents under the Delta Hotels By Marriott agreement?

Accepted Answer

whole or in part, any documentation, software or other confidential information, knowledge, or know-how associated with the Services provided under this Agreement which may be communicated or provided to Franchisee, or of which Franchisee may be apprised, by virtue of Franchisee's operation under this Agreement, or otherwise make the same available to any unauthorized person. Franchisee shall divulge such information only to such of Franchisee's employees or agents as must have access to it in order to operate the Hotel; all other persons shall be deemed "unauthorized" for purposes of this Agreement. All such information, including without limitation, aggregated, anonymized market data and recommendations by Franchisor regarding rates, pricing, inventory, room allocations and rate allocations, is confidential and provided by Franchisor to Franchisee solely for the purposes of operating the Hotel, and Franchisee expressly acknowledges that such information shall not be used or considered in any respect by the Franchisee in reaching decisions for any other hotels owned, operated or franchised by the Franchisee. Franchisee further acknowledges that it will not divulge to Franchisor any confidential information, including business strategies or pricing, about non-Marriott properties that Franchisee owns, operates, or franchises. The information that is the subject of this Section 2 shall be deemed "Confidential Information" for purposes of the Franchise Agreement. The obligations of Franchisee under this Section 2 shall survive the termination of this Agreement.

Source: Item 7 — Franchisor reserves the right to challenge the applicability of any law that declares provisions in the Agreement void or unenforceable. (FDD pages 288–363)

Question 36

For Delta Hotels By Marriott, what condition must be met for each provision of the Amendment to the Agreement to be effective?

Accepted Answer

f the Illinois Franchise Disclosure Act, then such provisions of the Act will apply.

- 3. Section 24.1 ("Governing Law, Arbitration, and Jurisdiction") of the Agreement is supplemented by the following:
  - C. If any of the provisions of this Section 24.l of the Agreement are inconsistent with the provisions of Section 705/4 or 705/41 of the Illinois Franchise Disclosure Act, then such Illinois law will apply to the extent such law is constitutional and the jurisdictional requirements of the Illinois Franchise Disclosure Act (as amended) are met, provided that the Agreement may provide for arbitration in a forum outside of Illinois.
- 4. Section 24.4 ("WAIVER OF PUNITIVE DAMAGES") and Section 24.5 ("WAIVER OF JURY TRIAL") of the Agreement are supplemented by the following:

If any of the provisions of this Section of the Agreement are inconsistent with the provisions of Section 705/41 of the Illinois Franchise Disclosure Act, then such provisions of the Act will apply to the extent such law is constitutional and the jurisdictional requirements of the Illinois Franchise Disclosure Act (as amended) are met.

- 5. Section 26.2 ("Additional Franchisee Acknowledgments and Representations") of the Agreement is supplemented by the following:
  - F. If any of the acknowledgments in this Section 26.2 of the Agreement are inconsistent with the provisions of Section 705/41 of the Illinois Franchise Disclosure Act, then such Illinois law will apply to the extent such law is constitutional and the jurisdictional requirements of the Illinois Franchise Disclosure Act (as amended) are met.
- 6. Each provision of this Amendment to the Agreement will be effective only to the extent that the jurisdictional requirements of the Illinois Franchise Disclosure Act are met independently with respect to each such provision and without reference to this Amendment to the Agreement.

Source: Item 17 — , "Renewal, Termination, Transfer, and Dispute Resolution," is amended by the addition of the following paragraph(s) at the conclusion of the Item: (FDD pages 279–288)

Question 37

What condition must occur for Grantors' privilege to receive any distribution to cease under the Delta Hotels By Marriott security agreement?

Accepted Answer

Upon the occurrence of any act, condition or event that is or would be, with notice and/or the passage of time, an Event of Default, Grantors' privilege to receive any payment from the Company in connection with any subordinated indebtedness shall immediately cease without the requirement of any notice from MICC and shall not be reinstated until such Event of Default is cured.

Source: Item 6 — Obligations of Franchisee.** Franchisee agrees to the following: (FDD pages 363–513)

Question 38

What condition triggers the provision of set-up services described in Schedule C for Delta Hotels By Marriott?

Accepted Answer

20% | MSB >5 | Low-Med | All |
| FS – Med |  | FS <20% | FS <10 |  |  |
| RMAS Provides Every Week: |  |  | Weekly Theme Rotation | Included w | ith Weekly Theme |
Analysis

- Weekly strategy meeting
- ✓ State of the art sales strategy packet
- ✓ Manage Inventory & Pricing (One Yield)
- ✓ Rate Loading (HPP)
- ✓ Parity research
- ✓ Emergency coverage for unexpected catastrophic events
- Projections (Monthly)
- Additional Time Spent from Tier II

#### Group:

- ✓ Maintain Monthly Group Theme offerings
- Business Evaluation (MSB only)
- Monthly Group Strategy Overview
  - Group Pace
  - Manage GPO (SFAWeb/CITY Hotels)Group Reporting

![](_page_341_Picture_22.jpeg)

![](_page_341_Picture_23.jpeg)

### **Schedule B 2025 Cost Matrix Revenue Management Advisory Service**

#### **2025 Cost for Tier III**

Annual Fee for 2025 of: **\$38,046.81 / \$41,703.95 CAD for Tier III Services**

*The fee is billed in equal payments of \$3,170.57 USD / \$3,475.33 CAD per month.*

#### **2025 Cost for Extended Hours Support (if applicable)**

*(Formerly known as Weekend Support)*

Annual Fee for 2025 of: **\$1,032 USD Tier III Extended Hours Support**

*The fee for the 2025

Source: Item 7 — Franchisor reserves the right to challenge the applicability of any law that declares provisions in the Agreement void or unenforceable. (FDD pages 288–363)

Question 39

What conditions might be placed on a Delta Hotels By Marriott franchise agreement executed in connection with a lender take-back?

Accepted Answer

Lenders may request a franchise agreement in connection with a foreclosure, deed in lieu of foreclosure, workout, or appointment of a receiver (a "lender take-back"). Such a request may be in connection with a comfort letter entered into with the lender similar to the form attached as Exhibit O. The specific terms of any franchise agreement executed in connection with a lender take-back will depend upon (i) the circumstances at the time of the lender take-back (for example, outstanding indebtedness under existing agreements with us or the status of the hotel under our quality assurance program), and (ii) the terms of any applicable comfort letter. The terms of such franchise agreement may vary materially from the terms contained in the form franchise agreement attached as Exhibit C. Some examples of such variations include the following:

- The term of the franchise agreement may be for months or for the term referenced in an applicable comfort letter
- The agreement may be conditioned upon issuance of a court order in connection with the appointment of a receiver

- Reserve account requirements may be changed or eliminated
- Cure of deficiencies and breaches under the existing franchise agreement or our standards with respect to the hotel may be required
- Transfers may be prohibited or limited
- In most cases, no restricted territory will be granted

Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 111–120)

Question 40

What are the conditions under which a controlling ownership interest in a Delta Hotels By Marriott franchise can be transferred if the person holding that interest becomes mentally incompetent or dies?

Accepted Answer

- C. *Mental Incompetency or Death.* If any Person holding a Controlling Ownership Interest in Franchisee becomes mentally incompetent or dies, the interest of such Person may be Transferred subject to the terms of this Section 17.4 and only if: (i) any such Transfer will be made within 12 months after such Person is deemed mentally incompetent or dies; and (ii) the obligations of Franchisee will be satisfied pending the Transfer and the Hotel is operated in compliance with this Agreement. If such Person was a Guarantor, Franchisor may require another party acceptable to Franchisor to execute a Guaranty substantially identical to the form in the then-current Disclosure

or
Document. If an executor, custodian, or other representative is appointed to oversee the management of Franchisee, Franchisee will give Franchisor notice of such appointment within 30 days and the appointee will cause the Hotel to be operated in compliance with this Agreement.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 41

What are the conditions under which any Dispute to be settled by arbitration under this Section be resolved in a single arbitration before a single tribunal together with any Dispute arising out of or relating to any other agreement between such parties or Delta Hotels By Marriott's Affiliates?

Accepted Answer

Any Dispute to be settled by arbitration under this Section will at the request of any party to this Agreement be resolved in a single arbitration before a single tribunal together with any Dispute arising out of or relating to any other agreement between such parties or Franchisor's Affiliates.

Source: Item 11 — FINANCING OF THE HOTEL (FDD pages 259–279)

Question 42

When is Delta Hotels By Marriott considered to have reserved 'sole discretion' and therefore not required to use 'Reasonable Business Judgment'?

Accepted Answer

- B. *Use of Reasonable Business Judgment.* Franchisor will use Reasonable Business Judgment when discharging its obligations or exercising its rights under this Agreement, including for any consents and approvals and the administration of Franchisor's relationship with Franchisee, except when Franchisor has reserved sole discretion.

Franchisee will not make any demand, serve any notice, institute any legal action or negotiate, litigate, compromise or settle any controversy about any such matter without first obtaining Franchisor's prior consent, which may be withheld in Franchisor's sole discretion.

if Franchisor believes, in its sole discretion, that Franchisee's use of the Intellectual Property does not conform with the Marriott Agreements or the Standards, then Franchisee will immediately stop the non-conforming use on notice from Franchisor;

- E. *Transition Accounting Period Franchise Fees*. For purposes of calculating the Franchise Fees due with respect to Gross Room Sales for the Transition Accounting Period, Franchisor may, in its sole discretion, apply the percentage rate that was in effect for the Hotel immediately before the Effective Date (the "Previous Rate") in lieu of the Franchise Fees re

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 43

In the context of the Illinois Franchise Disclosure Act amendment for Delta Hotels By Marriott, what condition must be met for each provision of the amendment to the Franchise Agreement to be effective?

Accepted Answer

Each provision of this Amendment to the Agreement will be effective only to the extent that the jurisdictional requirements of the Illinois Franchise Disclosure Act are met independently with respect to each such provision and without reference to this Amendment to the Agreement.

Source: Item 17 — , "Renewal, Termination, Transfer, and Dispute Resolution," is amended by the addition of the following paragraph(s) at the conclusion of the Item: (FDD pages 279–288)

Question 44

When converting a hotel to a Delta Hotels By Marriott franchise, might the franchisee be required to assume ancillary agreements?

Accepted Answer

In addition to these fees, you may be required to assume ancillary agreements related to the hotel.

Source: Item 1 — Fees for Other Services (FDD pages 39–71)

Question 45

In the definition of 'Average Monthly Fees' for Delta Hotels By Marriott, what is the minimum number of months a hotel must operate as a franchised System Hotel to use the standard calculation?

Accepted Answer

"Average Monthly Fees" means: (x) if the Hotel has been operating as a franchised System Hotel for at least 24 full months prior to termination, the average monthly Franchise Fees and Program Services Contributions payable for the Hotel during the immediately preceding 24 months (calculated using the Franchise Fees specified in this Agreement and the Program Services Contribution in effect at the time of termination, but without giving effect to any discounts or incentives); provided that, if Franchisor determines that such calculation does not fairly represent the Hotel's stabilized performance due to an Extraordinary Event, "Average Monthly Fees" will mean the average monthly Franchise Fees and Program Services Contributions payable for the Hotel during the immediately preceding 24 months during which an Extraordinary Event was not in effect, as determined by Franchisor (or, if fewer, the months since the Hotel has been operating as a franchised System Hotel) ("Hotel Average Fees"); and (y) if the Hotel has not operated as a franchised System Hotel for at least 24 months prior to termination, an amount equal to the greater of (a) the average monthly franchise fees and program services fund contributions payable for the previous 24 months for all franchised System Hotels on a per room basis multiplied by the number of Guestrooms at the Hotel or (b) Hotel Average Fees during the period the

Hotel was operating as a franchised System Hotel; provided that, if Franchisee submitted revenue projections in its application and either Franchisee or Franchisor believes that the calculation in (a) or (b) does not fairly represent the Hotel's projected stabilized performance, it will notify the other, in which case "Average Monthly Fees" will mean the average monthly Franchise Fees and Program Services Contributions that would have been payable based on the stabilized Hotel revenue projected by Franchisee in such application, without giving effect to any discounts or incentives.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 46

What is the dependency between an Event of Default and the Grantors' privilege to receive payments from the Company in the Delta Hotels By Marriott agreement?

Accepted Answer

Notwithstanding the foregoing, until the occurrence of any act, condition or event that is or would be, with notice and/or the passage of time, an Event of Default, MICC hereby permits Grantors to receive any payment from the Company in connection with any subordinated indebtedness free from MICC's security interest and any rights of MICC hereunder.

Upon the occurrence of any act, condition or event that is or would be, with notice and/or the passage of time, an Event of Default, Grantors' privilege to receive any payment from the Company in connection with any subordinated indebtedness shall immediately cease without the requirement of any notice from MICC and shall not be reinstated until such Event of Default is cured.

Source: Item 6 — Obligations of Franchisee.** Franchisee agrees to the following: (FDD pages 363–513)

Question 47

What is the dependency between MICC's agreement to credit enhance the Loan and the Obligors executing and delivering the Reimbursement Agreement for a Delta Hotels By Marriott franchise?

Accepted Answer

- **9.

MICC Documents**: As a condition to MICC providing the Credit Enhancement to Lender, the following documents shall be delivered to MICC in form acceptable to MICC: (i) Reimbursement Agreement executed by Borrower and *[Members / Partners]*; (ii) Equity Pledge executed by the *[Members / Partners]*; (iii) UCC Financing Statements; (iv) Guaranty Agreement (limited to non-recourse carveout acts identified in the Guaranty Agreement)

Source: Item 6 — Obligations of Franchisee.** Franchisee agrees to the following: (FDD pages 363–513)

Question 48

What is the dependency related to transfers of the Delta Hotels By Marriott franchise agreement?

Accepted Answer

will execute an amendment to this Agreement that updates the ownership information in Exhibit A, and pay Franchisor's outside counsel costs related to such documentation, if any. - B. *Transfer to Affiliates; Transfer for Estate Planning Purposes.* A Transfer of the Hotel or an Ownership Interest in Franchisee to an Affiliate of Franchisee, or a Transfer of an Ownership Interest in Franchisee for estate planning purposes to an immediate family member or to an entity owned by, or a trust for the benefit of, an immediate family member, in the case of each such Transfer, if the following requirements are met: - 1. Franchisee or its Control Affiliate owns, directly or indirectly, more than 50% of the economic interests of the proposed transferee (if the transferee is an entity), and such Transfer does not otherwise result in a change of Control of Franchisee or the Hotel; - 2. Franchisee provides the identity of the proposed transferee and its Interestholders, documentation acceptable to Franchisor evidencing the Transfer, and all other related information reasonably requested by Franchisor; - 3. each Guarantor acknowledges the Transfer and reaffirms its obligations under the Guaranty and, if required by Franchisor, another party acceptable to Franchisor executes a guaranty substantially identical to the form in the then-current Disclosure Document; - 4. Franchisee is not in breach or default under any of the Marriott Agreements, or if there is a breach or default, there is an agreement to cure such breach or default; - 5. each new Interestholder is a Qualified Person, and Franchisee pays the fees for any required background checks; and - 6. if Franchisor requests, Franchisee and such transferee will execute any documents required by Franchisor to reflect the Transfer, and Franchisee will pay Franchisor's outside counsel costs related to such documentation, if any. - **17.4 Transfers Requiring Notice and Consent.** Transfers of the Hotel or a Controlling Ownership Interest in Franchisee, a Control Affiliate or the Hotel may be made only with at least 45 days' advance notice to Franchisor and Franchisor's prior consent. - A. *Conditions to Transfer.* Franchisor's consent to a Transfer under this Section 17.4 will be subject to satisfaction of the following conditions: - 1. Franchisee provides Franchisor the identity of all parties and their Interestholders, a copy of the purchase agreement, the organizational documents of the transferee and its Interestholders, together with all other information reasonably requested by Franchisor; - 2. payment by Franchisee of the then-current non-refundable property improvement plan fee (including any fees related to an extension thereof), and payment of the then- current application fee for System Hotels to Franchisor by the transferee with its submission of the application. If Franchisor does not consent to the Transfer, Franchisor will refund the application fee, less \$10,000; - 3. transferee and any new Interestholder is a Qualified Person; - 4. retention of a management company consented to by Franchisor under Section 8.1 if Franchisor determines in its sole discretion that the transferee is not qualified to operate the Hotel; - 5. execution by the transferee of the t Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 49

What is the dependency between the transferee's capabilities and Delta Hotels By Marriott's right to assign the contract?

Accepted Answer

|    | PROVISION                                              | SECTION IN FRANCHISE OR OTHER AGREEMENT | SUMMARY1                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|----|--------------------------------------------------------|-----------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| j. | Assignment of contract by franchisor | Section 17.7 | No restriction on our right to assign if transferee is an affiliate of ours or has acquired substantially all of our rights to the System and agrees to assume our obligations to you under the franchise agreement and is capable of performing those obligations. |

Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 111–120)

Question 50

When discharging obligations or exercising rights under the Delta Hotels By Marriott franchise agreement, when is the Franchisor required to use Reasonable Business Judgment?

Accepted Answer

- B. *Use of Reasonable Business Judgment.* Franchisor will use Reasonable Business Judgment when discharging its obligations or exercising its rights under this Agreement, including for any consents and approvals and the administration of Franchisor's relationship with Franchisee, except when Franchisor has reserved sole discretion.

- C. *Burden of Proof.* Franchisee will have the burden of establishing that Franchisor failed to exercise Reasonable Business Judgment.

The fact that Franchisor or any of its Affiliates benefited from any action or decision, or that another reasonable alternative was available, does not mean that Franchisor failed to exercise Reasonable Business Judgment.

If this Agreement is subject to any implied covenant or duty of good faith and Franchisor exercises Reasonable Business Judgment, Franchisee agrees that Franchisor will not have violated such covenant or duty.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 51

Is the EMPOWER: Guest Experiences Reservations Add-On License required for all Delta Hotels By Marriott, or only those with on-property reservation agents?

Accepted Answer

EMPOWER: Guest Experiences software ("GxP") and EMPOWER: Guest Experiences Reservations Add-On License are required as part of Marriott's guest experience platform.

GxP is a cloud-based software that enables hotels to track and process mobile guest service requests and chats, as well as pre-arrival planning and guest complaints.

The software also tracks guests' preferences during their stays at Company Brand Hotels and makes such information available to your hotel.

The EMPOWER: Guest Experiences Reservations Add-On License allows hotels to identify guests and access guest profiles, performs reservation tasks (such as loyalty program redemption stays), interacts with limited group and inventory functions, and tracks and resolves customer complaints.

It is required for hotels that have on-property reservations agents.

The Program Services Contribution covers the cost of GxP licenses and GxP Add-On Licenses, and the Marketing Fund covers the cost of a supplemental license referred to as the EMPOWER/Sales ARM.

Source: Item 10 — FINANCING (FDD pages 82–101)

Question 52

In the event of an Employment Based Claim related to the Service Provider, under what conditions will Delta Hotels By Marriott reimburse Marriott, and vice versa?

Accepted Answer

vel to and from the Hotel and for meals and related travel expenses will be itemized separately and billed to the Franchisee. Marriott will bill Franchisee periodically for all such amounts and payment will be due upon receipt by Franchisee of the bill.
- I. Promptly, upon notice, (i) Franchisee shall reimburse Marriott for any Loss related to any Employment Based Claim of Service Provider for which Marriott shall be indemnified by Franchisee pursuant to Section 4.B, and (ii) Marriott shall reimburse Franchisee for any Loss related to any Employment Based Claim of the Service Provider for which Franchisee shall be indemnified by Marriott pursuant to Section 4.A.
- J. Franchisee acknowledges and agrees that Marriott has no responsibility for and has made no commitments, warranties or representations relating to the performance of the Hotel during the Term of this Agreement. Nothing contained herein should be considered a representation or warranty by Marriott that any recommendations made by, or actions taken by, the Service Provider will produce, increase or optimize profits of Franchisee.

#### **Section 3. Employee Rights.**

- A. Nothing herein expressed or implied shall confer upon Service Provider any rights or remedies, including any right to employment or continued employment for any specified period, of any nature or kind whatsoever under or by reason of this Agreement.
- B. Nothing in the Agreement shall be deemed to confer upon any person (or any beneficiary thereof) any rights under or with respect to any plan, program or arrangement to be provided by Marriott as part of its obligations under this Agreement, and each person (and any beneficiary thereof) shall be entitled to look only to the express terms of any such plan, program or arrangement, as the same may be amended from time to time in accordance with its terms, for his or her rights thereunder.
- C. Except to the extent inconsistent with this Agreement or any applicable law, nothing herein shall prohibit Marriott from establishing, amending or terminating any employee benefit plan, arrangement, program, practice, policy or procedure.

#### **Section 4. Indemnification.**

- A. Marriott agrees to indemnify and hold harmless Franchisee and its directors, officers, employees, affiliates, agents and assigns, as applicable, from and against any and all Losses based upon or arising from any Employment Based Claim of the Service Provider the basis of which is an act or omission in connection with or relating to the employment of the Service Provider other than during the Term.
- B.

Source: Item 6 — Obligations of Franchisee.** Franchisee agrees to the following: (FDD pages 363–513)

Question 53

In the event that a term of the Delta Hotels By Marriott agreement is deemed invalid, what action will the Franchisor, Franchisee, and Owner take?

Accepted Answer

A. *Partial Invalidity*. If any term of this Agreement, or its application to any Person or circumstance, is invalid or unenforceable at any time or to any extent, then (i) the remainder of this Agreement, or the application of such term to Persons or circumstances other than those as to which it is held invalid or unenforceable, will not be affected and each term of this Agreement will be valid and enforced to the fullest extent permitted by Applicable Law; and (ii) Franchisor, Franchisee and Owner will negotiate in good faith to modify this Agreement to implement their original intent as closely as possible in a mutually acceptable manner.

Source: Item 11 — FINANCING OF THE HOTEL (FDD pages 259–279)

Question 54

What factors might the continuation of Delta Hotels By Marriott territorial rights be contingent on?

Accepted Answer

The continuation of your territorial rights, if any, will not be contingent on your hotel achieving a particular sales volume or market penetration, but may be contingent on other factors such as the timely commencement of construction and opening of your hotel.

Source: Item 12 — TERRITORY (FDD pages 102–103)

Question 55

Does the Delta Hotels By Marriott FDD mention any potential variance in disclosure timelines based on state law?

Accepted Answer

## **STATE EFFECTIVE DATES**

The following states have franchise laws that require that the Franchise Disclosure Document be registered or filed with the states, or be exempt from registration: California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, and Wisconsin.

This document is effective and may be used in the following states, where the document is filed, registered, or exempt from registration, as of the Effective Date stated below:

Source: Item 6 — Obligations of Franchisee.** Franchisee agrees to the following: (FDD pages 363–513)

Question 56

What is the fee associated with the set-up services for revenue management at Delta Hotels By Marriott if the hotel did not participate in 2024?

Accepted Answer

- Weekly strategy meeting
- ✓ State of the art sales strategy packet
- ✓ Manage Inventory & Pricing (One Yield)
- ✓ Rate Loading (HPP)
- ✓ Parity research
- ✓ Emergency coverage for unexpected catastrophic events
- Projections (Monthly)
- Additional Time Spent from Tier II

#### Group:

- ✓ Maintain Monthly Group Theme offerings
- Business Evaluation (MSB only)
- Monthly Group Strategy Overview
  - Group Pace
  - Manage GPO (SFAWeb/CITY Hotels)Group Reporting

![](_page_341_Picture_22.jpeg)

![](_page_341_Picture_23.jpeg)

### **Schedule B 2025 Cost Matrix Revenue Management Advisory Service**

#### **2025 Cost for Tier III**

Annual Fee for 2025 of: **\$38,046.81 / \$41,703.95 CAD for Tier III Services**

*The fee is billed in equal payments of \$3,170.57 USD / \$3,475.33 CAD per month.*

#### **2025 Cost for Extended Hours Support (if applicable)**

*(Formerly known as Weekend Support)*

Annual Fee for 2025 of: **\$1,032 USD Tier III Extended Hours Support**

*The fee for the 2025

Source: Item 7 — Franchisor reserves the right to challenge the applicability of any law that declares provisions in the Agreement void or unenforceable. (FDD pages 288–363)

Question 57

For a Delta Hotels By Marriott franchise, what happens if the Franchisor does not respond to the Franchisee within 30 days regarding the architect, engineer, or interior designer?

Accepted Answer

If Franchisor does not respond to Franchisee within 30 days after Franchisor's receipt of such information, then Franchisee may retain such Person.

Neither Franchisor's failure to respond nor Franchisor's consent to the use of such Person will be deemed an endorsement or recommendation by Franchisor.

Franchisor is not liable for the unsatisfactory performance of any Person retained by Franchisee.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 58

Does the Delta Hotels By Marriott franchise have any requirements related to state law regarding the provision of the disclosure document?

Accepted Answer

|                   | Apartments by Marriott Bonvoy Autograph Collection Delta Hotels by Marriott                                                                                   |                   | JW Marriott / Marriott Hotels Le Méridien Renaissance Hotels                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |                           | Sheraton Hotels The Luxury Collection Tribute Portfolio Westin Hotels                                                                                                              |
|----------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                            | language. Read this disclosure document and all agreements carefully.                                                                                                  |                            | This disclosure document summarizes certain provisions of the franchise agreement and other information in plain                                                                                                                                                                                                                                                                                                                                                                                                                                |                                        |                                                                                                                                                                                             |
|  | proposed franchise sale. |  | If MIF, L.L.C. ("Marriott") offers you a franchise, it must provide this disclosure document to you 14 calendar days |  |  |
|  |  |  | before you sign a binding agreement with, or make a payment to, the franchisor or an affiliate in connection with the |  |  |
| law.                       |                                                                                                                                                                        |                            | Applicable state law may require Marriott to provide this disclosure document to you earlier than required by federal                                                                                                                                                                                                                                                                                                                                                                                                                           |                                        |                                                                                                                                                                                             |
|                            | particular state.                                                                                                                                                      |                            | Marriott authorizes the respective state agencies identified on Exhibit F to receive service of process for it in the                                                                                                                                                                                                                                                                                                                                                                                                                           |                                        |                                                                                                                                                                                             |
|  |  |  | If Marriott does not deliver this disclosure document on time or if it contains a false or misleading statement, or a |  |  |
|  |  |  | material omission, a violation of federal law and state law may have occurred and should be reported to the Federal |  |  |
|  |  |  | Trade Commission, Washington, D.C. 20580, and the applicable state agency identified on Exhibit G. |  |  |
|                            | this receipt)

Source: Item 6 — Obligations of Franchisee.** Franchisee agrees to the following: (FDD pages 363–513)

Question 59

As a Delta Hotels By Marriott franchisee, am I required to comply with standard Program business processes related to OM1.1 Local Catering Events?

Accepted Answer

- Comply with standard Program business processes including, but not limited to:
  - o OM1.1 Local Catering Events (if applicable)
  - o OM1.3 Affiliate Process
  - o OM2.5 Business Evaluation
  - o BE Express Job Aid (marriott.com)
  - o OM4.2 Letter of Intent (optional)
  - o OM8.2 Pop-Up Business for Property Sales & Sales Office
  - o OM8.3.2 Transient High Touch Bookings
  - o Opportunity Distribution (Front Office Team)
    - OM8.4 Full-Service

Source: Item 6 — Obligations of Franchisee.** Franchisee agrees to the following: (FDD pages 363–513)

Question 60

When must a Delta Hotels By Marriott franchisee deliver a copy of the recorded deed to the franchisor, assuming the hotel is not subject to a lease?

Accepted Answer

Unless the Hotel is subject to a lease as indicated in Item 17 of Exhibit A, Franchisee will deliver a copy of the recorded deed in Franchisee's name to Franchisor no later than the Construction Start Deadline.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 61

When must a Delta Hotels By Marriott franchisee honor prices, rates, or discounts?

Accepted Answer

- C. *Honoring Reservations.* Franchisee will provide its prices and rates for use in the Reservation System in accordance with the Standards. Franchisee will: (i) honor any prices, rates or discounts that appear in the Reservation System or elsewhere; (ii) honor all reservations made through the Reservation System or that are confirmed; and (iii) not charge any Hotel guest a rate higher than the rate specified for the Hotel guest's reservation in the Reservation System or, if not made through the Reservation System, in the reservation confirmation or contract. Franchisee will also honor all pricing and terms for any other product or service offered in connection with the Hotel.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 62

Is the Delta Hotels By Marriott franchisee required to obtain the franchisor's consent to assign the agreement, and under what conditions can that consent be withheld?

Accepted Answer

[Item 6: Obligations of Franchisee.** Franchisee agrees to the following:]

- 10. **Assignment.** This agreement may not be assigned by Franchisee in whole or part without the prior written consent of Franchisor which will not be unreasonably withheld. Franchisor shall have the right to transfer this Agreement to any person or entity without prior notice to, or consent of, Franchisee, provided the transferee assumes Franchisor's obligations to Franchisee under this Agreement. Franchisee hereby acknowledges and agrees that any such transfer by Franchisor shall constitute a release and novation of Franchisor with respect to this Agreement.

Source: Item 6 — Obligations of Franchisee.** Franchisee agrees to the following: (FDD pages 363–513)

Question 63

Is a Delta Hotels By Marriott franchisee required to upgrade the rest of the hotel to conform to current standards at the time of FF&E replacement?

Accepted Answer

A. *Replacement of FF&E*. Franchisee will timely start and complete the periodic renovation of all Guestrooms and Public Facilities to Franchisor's satisfaction in accordance with Section 4.4 and the Standards, including replacing Soft Goods and Case Goods periodically as required by the Standards ("Periodic Renovations"). At the time of any replacement of FF&E, Franchisor may require Franchisee to upgrade the rest of the Hotel to conform to the Standards applicable to similarly situated System Hotels.
- B. *Reserve Account.* Franchisee will fund the cost of all renovations at the Hotel. Franchisee will establish a reserve account at a financial institution (the "Reserve") so that funds are available to complete the Periodic Renovations.
- 1. The Reserve will be used only for renovations of Guestrooms and Public Facilities including replacement of Soft Goods and Case Goods. The Reserve will not be used for repairs or replacements to the structure of the Hotel building or to its mechanical, electrical, heating, ventilating, air conditioning, plumbing or vertical transportation systems, which structure and systems will be maintained in good condition with other funds.
- 2. Each month, Franchisee will transfer into the Reserve an amount equal to the percentage of Gross Revenues stated in Item 18 of Exhibit A applicable to such month. Such transfer will be made within 15 days after the end of each month.
- 3. At the end of each year, any amounts remaining in the Reserve will remain in the Reserve, and will not decrease the amount required to be deposited in the Reserve.

- 4.

Amounts required under Section 4.3.B.2 may be insufficient to maintain the Hotel in accordance with the Standards, and if so, Franchisee will provide additional funds to maintain the Hotel to the Standards.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Question 64

For Delta Hotels By Marriott franchisees, what action is required regarding the amendments to the disclosure document and franchise agreement contained in Exhibits D and E?

Accepted Answer

CERTAIN STATES REQUIRE SPECIFIC INFORMATION TO BE INCLUDED IN THE DISCLOSURE DOCUMENT. PLEASE REVIEW THE AMENDMENTS TO THIS DISCLOSURE DOCUMENT AND TO THE FRANCHISE AGREEMENT CONTAINED IN EXHIBITS D AND E.

Source: Item 23 — RECEIPTS (FDD pages 134–251)

Delta_Hotels_By_Marriott 2025 FDD FAQ