What happens to the Even Hotels agreement if the Hotel Agreement terminates or expires?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
- 8.2 Termination or Expiration of the Hotel Agreement. In the event that the Hotel Agreement terminates or expires, then this Agreement shall automatically terminate.
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, if the Hotel Agreement terminates or expires, then the agreement with IHG shall automatically terminate. This means that the franchisee's rights to operate the Even Hotels franchise will cease upon the termination or expiration of the overarching Hotel Agreement.
This provision is standard in franchising, as the franchise agreement is typically contingent on the franchisee's ability to operate the specific business location under a valid agreement. The franchisee must be aware that any issues leading to the termination or expiration of the Hotel Agreement will directly impact their franchise rights with Even Hotels.
Prospective franchisees should carefully review the terms of the Hotel Agreement and understand the conditions under which it can be terminated or expire. Maintaining compliance with the Hotel Agreement is crucial for preserving the Even Hotels franchise rights.