factual

Does the Even Hotels licensee acquire any ownership interest in the WAN hardware installed at the hotel?

Even_Hotels Franchise · 2025 FDD

Answer from 2025 FDD Document

IHG may install or cause to be installed a wide area network (WAN) and WAN Hardware for Hotel's use in communicating with IHG's systems.

IHG shall have the right to determine the optimal method of access based upon the Software and Hardware located at the Hotel and the telecommunications and other services available to Licensee.

Licensee acknowledges that Licensee will not acquire any ownership interest in the Hardware related to or installed in connection with the WAN.

Licensee hereby irrevocably authorizes IHG or its agents, or the agents of any WAN Hardware lessor or supplier, to enter upon the Hotel property for the purpose of installing, inspecting, maintaining, and removing the WAN Hardware.

IHG requires that Licensee, at Licensee's cost, purchase broadband Internet access at the Hotel in order to establish the primary WAN link.

IHG's WAN link will be used as a backup if the primary WAN link fails.

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

What This Means (2025 FDD)

According to Even Hotels' 2025 Franchise Disclosure Document, the licensee does not acquire any ownership interest in the Wide Area Network (WAN) hardware installed for the hotel's communication with IHG's systems. IHG has the right to determine the optimal method of access based on the software and hardware at the hotel and the available telecommunications services. IHG or its agents, or the agents of any WAN hardware lessor or supplier, are irrevocably authorized to enter the hotel property to install, inspect, maintain, and remove the WAN hardware.

The franchisee is responsible for purchasing broadband Internet access at their own cost to establish the primary WAN link, while IHG's WAN link serves as a backup. The franchisee must ensure that only WAN hardware meeting IHG's specifications is installed or connected to the reservation system. The franchisee is also responsible for providing a suitable location for the WAN hardware installation, including the required electrical connections and any necessary cable installation.

Once the WAN hardware is installed, the franchisee cannot move, service, alter, or damage it. Upon expiration, termination, or default, the WAN hardware may need to be de-installed from the hotel at the franchisee's expense by a service provider acceptable to IHG. This arrangement ensures that IHG maintains control over the communication infrastructure and standards, while the franchisee bears the costs of installation, maintenance, and internet access.

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.