Can Embassy Suites By Hilton modify its System by adding, altering, or deleting elements?
Embassy_Suites_By_Hilton Franchise · 2025 FDDAnswer from 2025 FDD Document
We may also: (a) modify the System by adding, altering, or deleting elements of the System; (b) use or license to others all or part of the System; (c) use the facilities, programs, services and/or personnel used in connection with the System in Other Businesses; and (d) use the System, the Brand, and the Marks in the Other Businesses. You acknowledge and agree that you have no rights to, and will not make any claims or demands for, damages or other relief arising from or related to any of the foregoing activities, and you acknowledge and agree that such activities will not give rise to any liability on our part, including, but not limited to, liability for claims for unfair competition, breach of contract, breach of any applicable implied covenant of good faith and fair dealing, or divided loyalty. "Other Businesses" means any business activity we or our affiliates engage in, other than the licensing of your Hotel.
Source: Item 12 — TERRITORY (FDD pages 67–70)
What This Means (2025 FDD)
According to Embassy Suites By Hilton's 2025 Franchise Disclosure Document, Embassy Suites By Hilton has the right to modify its System. The standard Franchise Agreement explicitly states that Embassy Suites By Hilton may add, alter, or delete elements of the System. This means that Embassy Suites By Hilton can change various aspects of the franchise system, which could include operational procedures, standards, or required services.
This provision in the Franchise Agreement also allows Embassy Suites By Hilton to use or license all or part of the System to others, and to use the System's facilities, programs, services, and personnel in other business ventures. Furthermore, Embassy Suites By Hilton can use the Embassy Suites By Hilton brand and marks in these other businesses.
For a prospective franchisee, this means that the System they initially invest in may change over time. While such modifications could enhance the System, they could also require additional investments or operational adjustments. The franchisee acknowledges that they have no rights to claim damages or other relief due to these changes and agrees that these activities do not create liability for Embassy Suites By Hilton, including claims of unfair competition or breach of contract.