In Washington, is Embassy Suites allowed to restrict a franchisee from soliciting or hiring employees of other Embassy Suites franchisees?
Embassy_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
RCW 49.62.060 prohibits a franchisor from restricting, restraining, or prohibiting a franchisee from (i) soliciting or hiring any employee of a franchisee of the same franchisor or (ii) soliciting or hiring
any employee of the franchisor. As a result, any such provisions contained in the franchise agreement or elsewhere are void and unenforceable in Washington.
Source: Item 23 — RECEIPTS (FDD pages 97–305)
What This Means (2025 FDD)
According to Embassy Suites's 2025 Franchise Disclosure Document, in the state of Washington, Embassy Suites is prohibited from restricting a franchisee from soliciting or hiring employees of another Embassy Suites franchisee.
This protection is explicitly stated under RCW 49.62.060, a Washington state statute. The statute makes any provisions within the franchise agreement or any other document that would prevent a franchisee from soliciting or hiring employees of another franchisee of the same franchisor void and unenforceable in Washington.
For a prospective Embassy Suites franchisee in Washington, this means that they have the freedom to recruit and hire employees from other Embassy Suites locations without facing legal repercussions from the franchisor. This can be a significant advantage in securing experienced and qualified staff, fostering competition among franchisees, and potentially improving overall service quality within the Embassy Suites system in Washington.
This provision aims to promote fair competition and employee mobility within the franchise network, ensuring that franchisees are not unduly restricted in their ability to build and maintain their workforce.