For Embassy Suites, what agreements are considered part of the 'Relationship Agreement'?
Embassy_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
- 1.1 Use of Relationship Agreement. The provisions of this Agreement will be deemed to include all of the terms, requirements, covenants and conditions contained in either (i) the Customer's Franchise Agreement; or (ii) the Customer's Management Agreement, (the "Relationship Agreement"), with such modifications as are necessary to make them applicable to this Agreement and the Parties as if set out in full in this Agreement. In the event that both a Customer's Franchise Agreement and Customer's Management Agreement exist, without prejudice to Article 7 (Precedence and Interpretation) then only the terms, requirements, covenants and conditions contained in the Customer's Franchise Agreement will be deemed to be incorporated into this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 97–305)
What This Means (2025 FDD)
According to Embassy Suites's 2025 Franchise Disclosure Document, the 'Relationship Agreement' encompasses the terms, requirements, covenants, and conditions found in either the Customer's Franchise Agreement or the Customer's Management Agreement. These are incorporated into the agreement as if they were fully detailed within it.
In cases where both a Franchise Agreement and a Management Agreement exist, the Franchise Agreement takes precedence. Its terms, requirements, covenants, and conditions are the ones that are incorporated into the agreement. This ensures clarity and avoids potential conflicts between the two agreements.
This definition is important for Embassy Suites franchisees because it clarifies which underlying agreements govern their relationship with HSS (Hilton Systems Solutions, LLC) under the terms of the agreement. Franchisees should carefully review both their Franchise Agreement and any Management Agreement to understand how these documents are incorporated and prioritized within their agreements with HSS.