What does the HITS Agreement govern for an Embassy Suites franchise?

According to Embassy Suites's 2025 Franchise Disclosure Document, the HITS (Hilton Information Technology System) Agreement governs a franchisee's access to and use of OnQ, which is Hilton's proprietary computerized business system. This system is an integral part of the overall system that Embassy Suites licenses to its franchisees. The HITS Agreement is provided to the franchisee before the hotel opens and is countersigned by HSS (Hilton Shared Services).

In addition to governing access to the OnQ system, the HITS Agreement also covers the installation, ongoing support, and maintenance of the Guest Internet Access (StayConnected) system. This ensures that guests have internet access in all guest rooms, meeting rooms, and public spaces, in accordance with Embassy Suites's standards. The cost for OnQ connectivity is billed to the franchisee by HSS and typically ranges from $400 to $600 per month, with billing commencing approximately 45 days before the hotel's opening. These fees are non-refundable.

The HITS Agreement also addresses potential start-up delays. If the hotel opening is delayed, the franchisee may incur costs of $700 per System Implementation Consultant (SIC) per day for each additional day, along with the SICs' travel expenses. Furthermore, if the delay necessitates rescheduling the SICs' on-site service period, a $2,000 rescheduling fee, plus additional travel expenses for the SICs, would be charged. These fees are also non-refundable. The franchisee must sign the HITS Agreement approximately 90 to 120 days before the hotel opens.