What is the definition of a 'Cooler' as it pertains to the Even Hotels agreement?

According to Even Hotels' 2025 Franchise Disclosure Document, a "Cooler" is defined as a device provided by the Coca-Cola Company or its authorized bottlers. The cooler's purpose is to keep bottled and canned beverages cold. A key characteristic of a cooler, as defined in the agreement, is that it does not include a payment mechanism. This means it's a non-vending unit used for displaying and cooling beverages.

For a prospective Even Hotels franchisee, this definition is important because it clarifies the type of equipment that Coca-Cola or its bottlers might provide for beverage storage and display. Since the cooler does not have a payment mechanism, customers would need to pay for the beverages at a separate point of sale. This distinction is important for inventory management and sales tracking within the hotel.

The agreement also specifies that the Even Hotels franchisee, referred to as the "Customer" in this context, may be required to use Bottler-owned Cold Drink Equipment, which includes these coolers, exclusively for Bottler Bottle/Can Beverages. This could limit the franchisee's flexibility in offering competitive beverage brands within those specific coolers. The franchisee should carefully consider these restrictions and the potential impact on customer preferences and revenue.

Understanding the definitions of terms like "Cooler" and related concepts such as "Cold Drink Equipment" and "Bottler Bottle/Can Beverages" is crucial for an Even Hotels franchisee to ensure compliance with the beverage agreement and to make informed decisions about beverage offerings and equipment usage within their hotel. It is also important to note that the agreement specifies that the Hotels are located in the 50 United States and the District of Columbia.