factual

Is an Even Hotels franchisee allowed to copy or reproduce the PMS Solution?

Even_Hotels Franchise · 2025 FDD

Answer from 2025 FDD Document

Except as expressly permitted by this Agreement, Hotel shall not, and shall not permit any third party to: (a) transmit the PMS Solution to any third party or third party network, or permit any third party to access or use the PMS Solution other than the Designated Users; (b) Use the PMS Solution, or any data derived from the PMS Solution, in a service bureau, time-sharing, multiple CPU, or multiple user arrangement; (c) copy, reproduce, store, sell, assign, pledge, sublicense, convey, transfer, redistribute, rent, transmit, grant other rights in, or permit any unauthorised use of the PMS Solution; (d) prepare or create, whether directly or through a third party, derivative works or incorporate the PMS Solution, in whole or part, into any other system or work; (e) reverse engineer, disassemble, decompile, decode, adapt or otherwise attempt to derive, discover, or gain access to the source code of the PMS Solution, in whole or in part; (f) bypass or breach any security device or protection used by the PMS Solution or access or use the PMS Solution other than by an authorised user through the use of his or her own then valid access credentials; (g) input, upload, transmit, or otherwise provide to or through the PMS Solution, any information or materials that are unlawful or injurious, or contain, transmit, or activate any harmful code; (h) remove, delete, alter, or obscure any warranties or disclaimers, or any Intellectual Property Rights notices from the PMS Solution, including any copy thereof; (i) access or use the PMS Solution in any manner or for any purpose that infringes, misappropriates, or otherwise violates any Intellectual Property Rights or other rights of any third party, or that violates any applicable Law; or (j) otherwise access or use the PMS Solution beyond the scope of the authorisation granted under this Agreement, including the Third Party Terms.

Source: Item 23 — RECEIPTS (FDD pages 99–438)

What This Means (2025 FDD)

According to Even Hotels' 2025 Franchise Disclosure Document, franchisees are explicitly restricted from copying or reproducing the PMS (Property Management System) Solution. The agreement specifies that franchisees cannot copy, reproduce, store, sell, assign, sublicense, convey, transfer, redistribute, rent, transmit, grant other rights in, or permit any unauthorized use of the PMS Solution. This restriction is in place to protect the intellectual property rights of HotelKey, who owns all Intellectual Property Rights in and to the PMS Solution and the Documentation.

This means that an Even Hotels franchisee must adhere strictly to the terms of the agreement regarding the use of the PMS Solution. They are only granted a limited, personal, revocable, nonexclusive, and non-transferable right for designated users to remotely access and use the PMS Solution for internal business purposes. Any deviation from these terms, such as attempting to reproduce the software, would be a breach of the agreement.

The franchisee is also responsible for ensuring that all designated users are aware of these restrictions and that they comply with industry best practices for password security and data protection. This includes implementing secure passwords and regularly changing them to protect the security and privacy of user logins and PMS data. The franchisee is solely responsible for any claims and losses resulting from unauthorized third-party access to the PMS Solution or PMS data due to a breach of these security measures.

Furthermore, Even Hotels franchisees may provide HotelKey or IHG with feedback regarding the PMS Solution; however, HotelKey and IHG have the right to use, copy, incorporate, distribute, perform, display, modify, and exploit any feedback without any obligation to compensate the franchisee. This ensures that HotelKey and IHG maintain control over the development and improvement of the PMS Solution while franchisees are expected to contribute to its functionality through feedback without expecting proprietary rights over their suggestions.

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.