What is the Delta Hotels By Marriott franchisee's obligation regarding the protection of the reputation of the System?
Delta_Hotels_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee will not, and will ensure that its employees and agents do not, take any action or engage in any conduct that is likely to adversely affect the reputation, goodwill, or business of the Hotel, the System, any Franchisor Product or Franchisor.
Franchisee will comply with the Standards regarding protection of the reputation of the System, including protection of Intellectual Property, and promptly notify Franchisor of any event that has occurred that is likely to receive or is receiving significant negative public attention, and Franchisee will cooperate with Franchisor in the resolution of, and the public response to, any such matters.
Source: Item 23 — RECEIPTS (FDD pages 134–251)
What This Means (2025 FDD)
According to the 2025 Delta Hotels By Marriott Franchise Disclosure Document, franchisees have specific obligations to protect the reputation, goodwill, and business of the Hotel, the System, any Franchisor Product, or Franchisor. This includes ensuring that neither the franchisee nor their employees or agents take any action or engage in any conduct that could adversely affect the reputation, goodwill, or business of the aforementioned entities.
Delta Hotels By Marriott franchisees must comply with the brand's standards regarding the protection of the System's reputation, including the protection of intellectual property. Franchisees are also required to promptly notify Delta Hotels By Marriott of any event that has occurred that is likely to receive or is receiving significant negative public attention. Furthermore, franchisees must cooperate with Delta Hotels By Marriott in the resolution of, and the public response to, any such matters.
These stipulations highlight the importance Delta Hotels By Marriott places on maintaining a positive brand image and ensuring consistent quality across all its franchised locations. For a prospective franchisee, this means understanding and adhering to the brand's standards, proactively managing potential reputational risks, and maintaining open communication with the franchisor regarding any issues that could impact the brand's image. Failing to meet these obligations could result in penalties or termination of the franchise agreement.