How much advance notice must an Embassy Suites franchisee give that the hotel is ready to open?
Embassy_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
- 6.4.2 You will give us at least fifteen (15) days advance notice that you have complied with all the terms and conditions of this Agreement and the Hotel is ready to open. We will use reasonable efforts within fifteen (15) days after we receive your notice to visit the Hotel and to conduct other investigations as we deem necessary to determine whether to authorize the opening of the Hotel, but we will not be liable for delays or loss occasioned by our inability to complete our investigation and to make this determination within the fifteen (15) day period. If you fail to pass our initial opening site visit, we may, in our sole business judgment, charge you reasonable fees associated with any additional visits.
Source: Item 22 — CONTRACTS (FDD page 97)
What This Means (2025 FDD)
According to the 2025 Embassy Suites Franchise Disclosure Document, a franchisee must provide at least fifteen (15) days advance notice to Embassy Suites when the hotel has met all agreement terms and is ready for opening. This notification allows Embassy Suites to conduct a site visit and other necessary investigations to determine whether to authorize the hotel's opening. Embassy Suites will try to complete their assessment within that 15-day window.
If the Embassy Suites franchisee fails the initial opening site visit, they may be charged reasonable fees for any additional visits, at Embassy Suites's discretion. Consent to open the hotel can be withheld until the franchisee's architect, general contractor, or another certified professional provides certification that the premises comply with all laws related to accessibility for those with disabilities.
Embassy Suites also requires that the franchisee comply with all agreement terms, ensure staff receives adequate training, obtain necessary governmental authorization, and pay all outstanding fees. Opening the hotel before the authorized Opening Date constitutes a material breach of the agreement, potentially incurring liquidated damages of $5,000 per day, along with reimbursement for all costs and expenses, including legal fees, that Embassy Suites incurs enforcing their rights.