What is the purpose of the 'Traditional Hotel Operations Consulting Agreement' for Delta Hotels By Marriott?
Delta_Hotels_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 6: Obligations of Franchisee.** Franchisee agrees to the following:]
| THIS TRADITIONAL HOTEL OPERATIONS CONSULTING AGREEMENT ("Agreement") is made |
|---|
| and entered into on |
| day of, |
| ("Commencement Date") |
| By and between |
| ("Franchisee"), and |
| Marriott International Administrative Services, Inc. ("Franchisor"). |
| RECITALS: |
| WHEREAS, Franchisor and Franchisee are parties to a Franchise Agreement (as it may |
| be amended, modified, supplemented or restated from time to time, the "Franchise |
| Agreement"), which granted Franchisee the non-exclusive right and franchise to operate the |
| hotel, |
| located |
| at |
| (the "Hotel"); |
| WHEREAS, Franchisor provides certain operational |
| services to certain franchisees of its |
| hotels for a fee; |
[Item 6: Obligations of Franchisee.** Franchisee agrees to the following:]
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- Independent Contractor. This Agreement does not create a fiduciary relationship between Franchisor and Franchisee. All persons employed to furnish the Services are employees of Franchisor and not of Franchisee. Franchisor shall perform the Services as an independent contractor, except that Franchisor will have the right to act on Franchisee's behalf when taking Operational Actions. When Franchisor acts for Franchisee as set forth in the preceding clause, Franchisee retains all risk of loss for unsold inventory.
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- 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.
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- Notices. Notices, requests, demands and other communication hereunder shall be in writing and shall be forwarded by registered or certified mail as follows:
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- Entire Agreement. This Agreement contains the entire agreement between the parties with respect to its subject matter, superseding any prior agreements and writings, and it may not be changed other than by an agreement in writing signed by the parties.
IN WITNESS WHEREOF, the parties hereto have executed the Agreement the day and year first above written.
I am authorized to make commitments on behalf of the property owner or franchisee noted in Hotel Agreement. By electronically signing TRADITIONAL HOTEL OPERATIONS CONSULTING AGREEMENT, I acknowledge the enrollment in the APRC services selected; the terms contained, including the autorenewal terms; and the payment terms. The contents of this document are confidential and proprietary to Marriott International, Inc. and may not be reproduced, disclosed, distributed or used without the express permission of an authorized representative of Marriott. Any other use is expressly prohibited.
We look forward to our partnership with you and your hotel.
With this letter you will find the Above Property Rooms Control (APRC) operational consulting agreement, the cost for annual support, and our service specifications for review. At your earliest convenience, please electronically sign this document.
If you have any questions or concerns, please do not hesitate to contact us at APRC2@marriott.com.
Again, we look forward to partnering with you!
Sincerely,
Burke Giblin
Vice President, Partnership Services | Revenue Management Advisory Services
TRADITIONAL HOTEL OPERATIONS CONSULTING AGREEMENT
Schedule A APRC Operational Actions
Schedule B APRC Cost Matrix
Source: Item 6 — Obligations of Franchisee.** Franchisee agrees to the following: (FDD pages 363–513)
What This Means (2025 FDD)
According to the 2025 Franchise Disclosure Document, the Traditional Hotel Operations Consulting Agreement between Marriott International Administrative Services, Inc. (the Franchisor) and the franchisee outlines the terms under which the franchisor provides certain operational services to franchisees of its hotels for a fee. This agreement is tied to the Franchise Agreement, which grants the franchisee the right to operate a Delta Hotels By Marriott hotel at a specific location.
The agreement clarifies the relationship between Delta Hotels By Marriott and the franchisee, establishing that the franchisor acts as an independent contractor, although they have the right to act on the franchisee's behalf when taking Operational Actions. The franchisee retains the risk of loss for unsold inventory when the franchisor acts on their behalf. The agreement also states that it does not create a fiduciary relationship between the franchisor and franchisee.
Furthermore, the agreement addresses assignment, stating that the franchisee cannot assign the agreement without the franchisor's written consent, while the franchisor can transfer the agreement to another entity without the franchisee's consent, provided the new entity assumes the franchisor's obligations. The agreement also states that it constitutes the entire agreement between the parties, superseding any prior agreements, and can only be modified in writing signed by both parties. By electronically signing the agreement, the franchisee acknowledges enrollment in the APRC (Above Property Rooms Control) services selected, the terms including auto-renewal, and the payment terms.
Delta Hotels By Marriott includes schedules in the agreement, such as Schedule A for APRC Operational Actions and Schedule B for the APRC Cost Matrix. The agreement and related documents, including costs and service specifications, are provided for the franchisee's review, and questions can be directed to a specified email address. This agreement ensures that Delta Hotels By Marriott franchisees understand the operational support they will receive, the associated costs, and the terms governing the consulting services.