Can Embassy Suites modify the System by adding, altering, or deleting elements?
Embassy_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
We may also: (a) modify the System by adding, altering, or deleting elements of the System; (b) use or license to others all or part of the System; (c) use the facilities, programs, services and/or personnel used in connection with the System in Other Businesses; and (d) use the System, the Brand, and the Marks in the Other Businesses. You acknowledge and agree that you have no
rights to, and will not make any claims or demands for, damages or other relief arising from or related to any of the foregoing activities, and you acknowledge and agree that such activities will not give rise to any liability on our part, including, but not limited to, liability for claims for unfair competition, breach of contract, breach of any applicable implied covenant of good faith and fair dealing, or divided loyalty. "Other Businesses" means any business activity we or our affiliates engage in, other than the licensing of your Hotel.
Source: Item 12 — TERRITORY (FDD pages 67–70)
What This Means (2025 FDD)
According to the 2025 Embassy Suites Franchise Disclosure Document, Embassy Suites retains the right to modify the System by adding, altering, or deleting elements. This means that Embassy Suites has the flexibility to change various aspects of the franchise system, which could include operational procedures, brand standards, or technology platforms.
This right extends to using or licensing the System to others, and using the System's facilities, programs, services, and personnel in other business ventures. Embassy Suites can also use the Brand and Marks in these other businesses. As a franchisee, you acknowledge that you have no rights to make claims for damages or other relief arising from these activities, and Embassy Suites will not be liable for claims of unfair competition, breach of contract, or divided loyalty.
For a prospective franchisee, this means that the operational and brand standards of their Embassy Suites hotel could change over time. While such changes could be beneficial, they could also require additional investment or adjustments to the business model. It is important for potential franchisees to understand that they bear the risk of these modifications and should factor this into their investment decision.
The FDD emphasizes that "Other Businesses" refers to any business activity that Embassy Suites or its affiliates engage in, other than the licensing of your Hotel. This broad definition underscores the extent to which Embassy Suites can diversify and integrate the System into other ventures, which may or may not directly benefit the franchisee.