factual

With whom must Even Hotels enter into a merchant processing application and agreement for payment processing?

Even_Hotels Franchise · 2025 FDD

Answer from 2025 FDD Document

SCH administers a computerized payment card processing program, NextGen Payments ("NGP") (formerly referred to as Secured Payment Solutions ("SPS")). NGP is a data security process designed to protect certain credit card information. Using PCI certified payment terminals, credit card data will be encrypted and converted to tokens before entering the PMS. SCH has contracted with FreedomPay to provide the tokenization application services. All hotels are required to use NGP or such successor payments program as may be implemented by SCH. Hardware and software systems required to connect must be fully operational when the hotel opens, with appropriate management and staff trained and competent to operate NGP at all times. Each licensee will be required to enter into a merchant processing application and agreement with Fiserv, the SCH-approved merchant service provider, and a participation agreement with FreedomPay and SCH (see Exhibit G-4).

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS AND AFFILIATES (FDD pages 8–14)

What This Means (2025 FDD)

According to Even Hotels' 2025 Franchise Disclosure Document, franchisees are required to participate in a computerized payment card processing program called NextGen Payments (NGP), formerly known as Secured Payment Solutions (SPS). This system is designed to protect credit card information through encryption and tokenization using PCI certified payment terminals. FreedomPay provides the tokenization application services for this program.

As a requirement, all Even Hotels locations must use NGP or any successor payment program implemented by SCH (Six Continents Hotels). The hardware and software systems necessary for NGP must be fully operational when the hotel opens. Furthermore, the hotel's management and staff must be trained and competent in operating the NGP system at all times.

To comply with these requirements, each Even Hotels franchisee must enter into a merchant processing application and agreement with Fiserv, who is the SCH-approved merchant service provider. Additionally, franchisees must also enter into a participation agreement with both FreedomPay and SCH. These agreements ensure that the hotel adheres to the standards and protocols set forth for payment processing and data security within the Even Hotels brand.

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.