What actions related to safety, security, or privacy at the Even Hotels location could lead to a default?

According to Even Hotels' 2025 Franchise Disclosure Document, a franchisee's failure to comply with safety, security, or privacy requirements can result in a default under the franchise agreement. Specifically, if a licensee knowingly fails to comply with the requirements of the license and/or the standards on safety, security, or privacy for its guests at the hotel, this can be grounds for default. This also applies to failures impacting the reputation of the management, employees, or the hotel's operation.

This provision highlights the critical importance Even Hotels places on maintaining brand standards related to guest safety and data protection. A breach in these areas could significantly damage the brand's reputation and IHG's (InterContinental Hotels Group) overall standing. The FDD emphasizes that the failure must significantly and adversely affect the hotel, the brand system, IHG, and/or its affiliates to trigger a default.

For a prospective Even Hotels franchisee, this underscores the need for rigorous adherence to all safety, security, and privacy protocols outlined in the franchise agreement and operational standards. Franchisees should invest in comprehensive training for their staff and implement robust systems to ensure compliance. Regular audits and assessments can help identify and address potential vulnerabilities before they escalate into serious breaches that could lead to default. Franchisees should also stay informed about updates to security practices and data protection requirements from IHG to maintain compliance and mitigate risks.