How does Embassy Suites By Hilton define 'Control' in the context of the franchise agreement?

According to Embassy Suites By Hilton's 2025 Franchise Disclosure Document, 'Control' is defined within the context of the franchise agreement. Specifically, the term 'Affiliate' is defined as any entity that directly or indirectly 'Controls, is Controlled by, or is under common Control with, the subject entity.'

This definition is important for prospective franchisees because it clarifies the scope of relationships that could be considered affiliated with the franchisee or the franchisor. Understanding 'Control' helps in determining potential conflicts of interest, assessing the financial stability and influence of related parties, and identifying who ultimately makes the decisions affecting the Embassy Suites By Hilton franchise.

For example, if a franchisee has a business partner or investor who holds significant decision-making power, that individual or entity could be deemed an affiliate under this definition. Similarly, if the franchisee owns other businesses that are managed by the same parent company as Embassy Suites By Hilton, those businesses could also be considered affiliates. This definition is relevant when assessing transfer requests or any changes of ownership.