What software-related actions must an Embassy Suites franchisee take upon termination of the HITS Agreement?
Embassy_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise Agreement ("FA"), Spa Amendment and HITS Agreement | Summary |
|---|---|---|
| return all copies of the eforea spa Manual, cancel all assumed | ||
| name or equivalent registrations and transfer any domain name | ||
| listings and registrations that contain any reference to the eforea | ||
| name to us, and cease representing yourself or the hotel as then | ||
| or formerly operating an eforea spa. | ||
| HITS Agreement 4.2 | You must stop using our software and related documents, return | |
| all copies to us, and certify to us that you have done so. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 77–87)
What This Means (2025 FDD)
According to the 2025 Embassy Suites Franchise Disclosure Document, specifically Item 17, upon termination of the HITS Agreement, the franchisee must discontinue using the franchisor's software and related documents. Furthermore, the franchisee is obligated to return all copies of the software and documents to Embassy Suites.
In addition to returning the software and documents, the franchisee must provide certification to Embassy Suites confirming that they have indeed stopped using the software and have returned all copies. This certification serves as a formal assurance to the franchisor that the franchisee has complied with the termination requirements related to proprietary software and documentation.
This requirement ensures that upon termination of the HITS Agreement, the Embassy Suites franchisee no longer utilizes the franchisor's proprietary software and related materials, protecting the franchisor's intellectual property and confidential information. It is a standard practice in franchising to ensure that franchisees cease using the franchisor's systems and materials upon termination of the franchise agreement.