What is the applicant's obligation concerning the Embassy Suites manual they may receive from the Franchisor?
Embassy_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
-
- Certain information concerning Franchisor's system for the Brand, including the Disclosure Document (if required under applicable law), the manual and the Franchise Agreement (together, the "Franchise Information"), has been made available to Applicant. Applicant is generally familiar with the Franchise Information and its requirements and is applying for the form of Franchise Agreement provided. Applicant undertakes to treat the manual which it may receive from Franchisor as confidential. Applicant acknowledges and agrees that the Franchise Information is the property of Hilton Worldwide and/or the Entities, and that Applicant obtains no right, title or interest in or to any of the Franchise Information. Applicant agrees not to use the Franchise Information unless and until a Franchise Agreement is entered into and then in accordance with the terms and conditions of the Franchise Agreement.
Source: Item 23 — RECEIPTS (FDD pages 97–305)
What This Means (2025 FDD)
According to the 2025 Embassy Suites Franchise Disclosure Document, if an applicant receives a manual from Embassy Suites, they must treat it as confidential. The Franchise Disclosure Document states that the applicant acknowledges and agrees that the Franchise Information, including the manual, is the property of Hilton Worldwide.
The applicant does not gain any rights, title, or interest in the Franchise Information. The applicant is prohibited from using the Franchise Information unless and until a Franchise Agreement is officially entered into. If an agreement is in place, the applicant can only use the information in accordance with the terms and conditions outlined in the Franchise Agreement.
This means that prospective Embassy Suites franchisees must maintain the confidentiality of the manual and other proprietary information provided during the application process. They cannot use this information to operate a competing business or share it with unauthorized parties. This obligation exists to protect Embassy Suites's trade secrets and operational methods.