What must an Even Hotels franchisee do if they have knowledge of any fact that would indicate a card transaction is fraudulent?

According to Even Hotels' 2025 Franchise Disclosure Document, a franchisee must not proceed with a card transaction if they have knowledge or notice of any fact, circumstance, or defense that would indicate the transaction is fraudulent or not authorized by the cardholder. This also applies if anything would impair the validity or collectability of the cardholder's obligation or relieve the cardholder from liability.

This requirement is a standard practice in the franchise industry, as franchisors want to protect their brand's reputation and minimize financial risks associated with fraudulent transactions. By adhering to this requirement, Even Hotels franchisees help maintain the integrity of card transactions and reduce the likelihood of chargebacks or disputes.

The franchisee's responsibility extends to ensuring that each card transaction represents a valid obligation of the cardholder, is not subject to any dispute, and is only for merchandise or services actually delivered. This places a significant burden on the franchisee to be vigilant and proactive in preventing fraudulent activities. Failure to comply with these requirements could result in financial losses for the franchisee, as they are responsible for chargebacks and other fees arising from fraudulent activity.