edge_case

If a provision of the Even Hotels agreement is declared illegal, what happens to the rest of the agreement?

Even_Hotels Franchise · 2025 FDD

Answer from 2025 FDD Document

If any provision of this Agreement is declared to be illegal or unenforceable, the remainder of the Agreement shall not be affected by such illegality or unenforceability.

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

What This Means (2025 FDD)

According to Even Hotels' 2025 Franchise Disclosure Document, if any provision within the agreement is deemed illegal or unenforceable, the remaining portions of the agreement will still remain in effect. This means that even if a specific clause is invalidated, the rest of the contract between Even Hotels and the franchisee remains binding and enforceable.

This clause is fairly standard in franchise agreements. It protects the overall validity of the agreement by ensuring that a single point of contention does not nullify the entire contract. This is particularly important in complex agreements like franchise contracts, which cover numerous aspects of the business relationship.

For a prospective Even Hotels franchisee, this illegality clause offers a degree of assurance. It means that if a court finds a particular term unfair or unlawful, the entire franchise agreement will not be thrown out. Instead, the franchisee and Even Hotels will still be bound by the remaining provisions, allowing them to continue their business relationship under the franchise agreement. Franchisees should still seek legal counsel to understand their rights and obligations under the agreement, especially concerning any provisions that may be questionable under local laws.

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.