factual

Does any goodwill attach to any secondary designator that a Dolce Hotels franchisee uses?

Dolce_Hotels Franchise · 2025 FDD

Answer from 2025 FDD Document

No good will shall attach to any secondary designator that you use.

Source: Item 23 — RECEIPTS (FDD pages 84–375)

What This Means (2025 FDD)

According to Dolce Hotels' 2025 Franchise Disclosure Document, no goodwill attaches to any secondary designator that a franchisee uses for their facility. While franchisees can adopt additional or secondary designations for their facility with the franchisor's prior written consent, any goodwill associated with these designations does not become the property of the franchisee.

This means that Dolce Hotels retains ownership of all goodwill associated with the Dolce brand and system, even if a franchisee develops a successful local marketing campaign using an approved secondary designator. The franchisor has the right to withhold, condition, or withdraw consent for the use of any secondary designator, further emphasizing their control over the brand's image and reputation.

For a prospective Dolce Hotels franchisee, this clause underscores the importance of building the Dolce brand itself, rather than relying on independent branding efforts. It also highlights the need to obtain and maintain franchisor approval for any secondary designators and to understand that the franchisor ultimately controls the goodwill associated with the Dolce brand.

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.