What information must an Embassy Suites By Hilton franchisee treat as confidential?
Embassy_Suites_By_Hilton Franchise · 2025 FDDAnswer from 2025 FDD Document
- 5.1.14 treat as confidential the Standards, the Manual and all other Proprietary Information.
You acknowledge and agree that you do not acquire any interest in the Proprietary Information other than the right to utilize the same in the development and operation of the Hotel under the terms of this Agreement.
Source: Item 22 — CONTRACTS (FDD page 97)
What This Means (2025 FDD)
According to Embassy Suites By Hilton's 2025 Franchise Disclosure Document, franchisees must treat the Standards, the Manual, and all other Proprietary Information as confidential. This means an Embassy Suites By Hilton franchisee is obligated to keep sensitive business information secret.
The franchisee acknowledges they do not acquire any ownership interest in the Proprietary Information, only the right to use it for the hotel's operation under the terms of the Franchise Agreement. This underscores that the confidential information remains the property of Embassy Suites By Hilton, and the franchisee's right to use it is tied to their adherence to the agreement.
This is a common practice in franchising, as it protects the brand's competitive advantage and ensures consistency across all franchise locations. Franchisees should carefully review the definition of "Proprietary Information" in their Franchise Agreement to fully understand the scope of their confidentiality obligations.