Does any agreement between IHG and another party provide any benefit to the Even Hotels licensee?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
This License is exclusively for the benefit of the parties hereto, and it may not give rise to liability to a third party. No agreement between IHG and anyone else is for the benefit of Licensee.
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, the license agreement is exclusively for the benefit of the parties involved, which are IHG and the licensee. The agreement explicitly states that no agreement between IHG and any other party is intended to benefit the Even Hotels licensee. This means that any separate deals or partnerships IHG has with vendors, suppliers, or other entities do not automatically extend special rights or advantages to the franchisee.
This clause clarifies that the franchisee cannot claim third-party beneficiary status under any agreement IHG has with another party. The Even Hotels franchisee's rights and obligations are solely defined by the license agreement they sign with IHG. This is a standard provision in franchise agreements to prevent franchisees from attempting to leverage IHG's other business relationships for their own gain.
However, the FDD also mentions that IHG or its affiliates may enter into "Enabling Agreements" with service providers to offer optional hardware, software, and services. Licensees may benefit from the negotiated terms, conditions, and pricing IHG secures in these agreements if they choose to participate by entering into an order form or participation agreement. While not a direct benefit from a third-party agreement, this does allow Even Hotels franchisees to take advantage of IHG's negotiated rates for certain optional services.