When are Franchise Fees due to Delta Hotels By Marriott after the end of each month?
Delta_Hotels_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
3.5 Timing of Payments and Performance of Services.
- A. Timing of Payments. Franchise Fees are due within 20 days after the end of each month. All other payments are due as invoiced. All payments will be made in immediately available funds, at the location and in the manner designated by Franchisor (which may include payment through electronic funds transfers or centralized payment processing programs as specified by Franchisor, in which case Franchisee will execute any documents, pay any fees and costs, and take any other action required by Franchisor to effect such payment).
- 3.6 Interest on Late Payments. Franchisee will pay interest on any amount that is not paid when due. Interest will accrue at a rate of 18% per annum (or, if less, the maximum interest rate permitted by Applicable Law) from the date such overdue amount was due until paid. Franchisor's right to receive interest is in addition to any other remedies Franchisor may have.
Source: Item 23 — RECEIPTS (FDD pages 134–251)
What This Means (2025 FDD)
According to Delta Hotels By Marriott's 2025 Franchise Disclosure Document, Franchise Fees are due within 20 days after the close of each month. This means that a franchisee must calculate their Gross Room Sales for the month, determine the corresponding Franchise Fee percentage as outlined in Item 11 of Exhibit A, and remit that amount to Delta Hotels By Marriott within 20 days of the month's end.
Delta Hotels By Marriott requires all payments to be made in immediately available funds, using the location and method they designate. This may include electronic funds transfers or centralized payment processing programs. Franchisees are obligated to execute any necessary documents, cover any associated fees and costs, and take any actions required by Delta Hotels By Marriott to facilitate these payment methods.
Failure to remit payments on time will result in interest charges. Delta Hotels By Marriott will charge interest on any overdue amounts at a rate of 18% per year, or the maximum rate permitted by applicable law if it is less than 18%. This interest accrues from the original due date until the payment is made, and it is in addition to any other remedies Delta Hotels By Marriott may pursue for non-payment.