factual

Can Holiday change the Services Contribution for Even Hotels from time to time?

Even_Hotels Franchise · 2025 FDD

Answer from 2025 FDD Document

Holiday can change the Services Contribution from time to time. Holiday may, on 30 days advance written notice, at any time during the term of your License, and from time to time, increase the Services Contribution by up to 1% of Gross Rooms Revenue. If Holiday increases the Services Contribution in this way, then Holiday cannot make another discretionary increase again for 24 months after the start of a prior increase. Holiday may increase the Services Contribution by a maximum of 2% of Gross Rooms Revenue over the term of your License.

Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 70–82)

What This Means (2025 FDD)

According to the 2025 Even Hotels Franchise Disclosure Document, Holiday can change the Services Contribution from time to time. Holiday may, on 30 days advance written notice, at any time during the term of your License, and from time to time, increase the Services Contribution by up to 1% of Gross Rooms Revenue.

However, if Holiday increases the Services Contribution in this way, then Holiday cannot make another discretionary increase again for 24 months after the start of a prior increase. Furthermore, Holiday may increase the Services Contribution by a maximum of 2% of Gross Rooms Revenue over the term of your License.

This means that while Even Hotels franchisees must pay the Services Contributions, Holiday retains the right to adjust these contributions under certain conditions. Franchisees should be aware of the potential for these increases and factor them into their financial planning. The limitations on the frequency and maximum amount of these increases provide some level of predictability, but franchisees should still budget for potential changes.

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.