Is an Even Hotels franchisee permitted to allow third-party access to the PMS Solution?
Even_Hotels Franchise · 2025 FDDAnswer 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.
Hotel shall inform each Designated User of this Agreement's terms and restrictions and shall enforce such restrictions.
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to the 2025 FDD, an Even Hotels franchisee is generally prohibited from allowing third-party access to the PMS Solution. The agreement specifies that the franchisee, referred to as 'Hotel,' cannot transmit the PMS Solution to any third party or network, nor can they permit any third party to access or use the PMS Solution, except for 'Designated Users' as explicitly permitted within the agreement. This restriction is in place to protect the integrity, security, and intellectual property of the PMS Solution.
The FDD emphasizes that the franchisee must inform all Designated Users of the agreement's terms and restrictions and ensure they adhere to these limitations. This includes preventing unauthorized use, copying, reverse engineering, or any other actions that could compromise the PMS Solution. The franchisee is responsible for enforcing these restrictions and must notify HotelKey and IHG if they become aware of any violations by Designated Users.
Furthermore, the franchisee is responsible for implementing and maintaining commercially reasonable and industry-standard security measures to prevent unauthorized access to the PMS Solution. This includes ensuring that all Designated Users use secure passwords, change them regularly, and protect their user logins and PMS Data. Failure to comply with these security obligations can result in the franchisee being held liable for any claims and losses resulting from unauthorized third-party access to the PMS Solution or PMS Data.