factual

If a Delta Hotels By Marriott franchisee does not own the hotel, what agreement is generally required?

Delta_Hotels_By_Marriott Franchise · 2025 FDD

Answer from 2025 FDD Document

If you do not own the hotel, we generally require the owner of the hotel to enter into an Owner Agreement substantially in the form included in Exhibit C.

Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD pages 109–110)

What This Means (2025 FDD)

According to Delta Hotels By Marriott's 2025 Franchise Disclosure Document, if a franchisee does not own the hotel property, Delta Hotels By Marriott generally requires the hotel owner to enter into an Owner Agreement. This agreement is substantially similar to the form included as Exhibit C in the FDD.

The Owner Agreement ensures that the hotel's owner is legally bound to certain obligations and standards necessary for maintaining the Delta Hotels By Marriott brand's integrity and operational consistency. This is a common practice in the hotel franchising industry, as the physical property's condition and management directly impact the brand's reputation and customer experience.

Prospective Delta Hotels By Marriott franchisees should carefully review Exhibit C to understand the specific terms and conditions of the Owner Agreement. This will help them assess the responsibilities and potential liabilities of the hotel owner, and how those responsibilities align with the franchise agreement. Understanding this agreement is crucial for franchisees who plan to lease or manage a hotel property rather than own it outright.

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