What is the length of the Initial Term of the Even Hotels agreement?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
Term and Extension. This Agreement is effective upon signing, and the term of 48 months will begin upon activation of the PMS Solution at the Hotel (the "Initial Term"). The Agreement will automatically renew for successive renewal terms of 12 months (each, a "Renewal Term") upon the expiration of the Initial Term and each Renewal Term, unless a Party gives written notice of non-renewal to the other Parties at least 90 days prior to the end of the Initial Term or then-current Renewal Term, as applicable. The Initial Term and Renewal Terms shall collectively be referred to as the "Term".
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to the 2025 FDD, the length of the Initial Term for the PMS Solution agreement for Even Hotels is 48 months. This term begins once the PMS Solution is activated at the hotel.
After the Initial Term, the agreement automatically renews for additional 12-month periods, referred to as Renewal Terms. This automatic renewal continues unless either party provides written notice of non-renewal at least 90 days before the end of the current term, whether it's the Initial Term or a Renewal Term.
This means that an Even Hotels franchisee can expect a commitment of 4 years from the activation date of the PMS Solution, with yearly renewals thereafter unless a timely notice of non-renewal is given. It is important for the franchisee to mark these dates and deadlines to avoid unwanted automatic renewals.