factual

How long does an Embassy Suites By Hilton franchisee have to accept or reject 'Our Offer' from Hilton?

Embassy_Suites_By_Hilton Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 19.3 You will have twenty (20) days after receiving Our Offer to accept or reject Our Offer in writing.

If Our Offer is for a price equal to or greater than stated in the notice and is on substantially similar terms and conditions as (or is more favorable than) those stated in the ROFO Notice, then you must accept Our Offer.

If you do not accept Our Offer within twenty (20) days, it is deemed rejected.

Source: Item 22 — CONTRACTS (FDD page 97)

What This Means (2025 FDD)

According to the 2025 Franchise Disclosure Document, an Embassy Suites By Hilton franchisee has a limited time frame to respond to an offer from Hilton. Specifically, after receiving 'Our Offer' in writing from Hilton Franchise Holding LLC to purchase or lease the Marketed Interest, the franchisee has twenty (20) days to either accept or reject the offer. If the franchisee does not respond within this 20-day period, the offer is considered rejected.

This 20-day window is a critical period for the franchisee. During this time, they must carefully evaluate the terms of 'Our Offer', which should be equal to or greater than the price stated in the initial notice and on substantially similar or more favorable terms. If the offer meets these criteria, the franchisee is obligated to accept it. Failure to accept within the stipulated timeframe results in a rejection of the offer.

If the Embassy Suites By Hilton franchisee accepts 'Our Offer' within the 20-day period, both parties will then enter into an agreement to complete the transaction. This completion must occur within sixty (60) days of the franchisee's written acceptance, during which the franchisee is prohibited from offering the hotel or hotel site to any third party. This entire process underscores the importance of prompt and thorough evaluation of any offer received from Hilton.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.