What is Even Hotels' Licensee's obligation regarding Hardware, Software, and Services provided by Service Providers?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
s of the License regarding term; proprietary intellectual property rights; notices; indemnification; insurance; compliance with laws; and dispute resolution.
- 2.2 In the event of a conflict between:
- 2.2.1 a provision in this Master Technology Schedule and a provision in an Order Form, the provision in the Order Form shall prevail;
- 2.2.2 a provision in this Master Technology Schedule and a provision in the Participation Agreement, the provision in this Master Technology Schedule shall control.
- 2.3 The foregoing order of priority shall be applied only after construing the applicable provisions to avoid any such conflict and/or to minimize the extent of such conflict.
3. Service Framework.
- 3.1 Core Services. IHG or an Affiliate of IHG has entered into Enabling Agreements with Service Providers to provide certain Hardware, Software, and Services. IHG will make available to Licensee the Hardware, Software, and Services for the core technology solutions set forth in Schedule 2 (Core Services) attached hereto (the "Core Services"). These Core Services are provided by IHG, an Affiliate of IHG, or Service Providers and are required to operate the Hotel in the Brand System. IHG and/or its Service Provider may modify or cause to be modified the features and functionality of the Core Services in the ordinary course of technology development, and IHG will notify Licensee of any such material modification. In addition, IHG reserves the right to add or remove Core Services or to replace any of the Core Services.
- 3.2 Additional Required Services. IHG or an Affiliate of IHG has entered into Enabling Agreements with Service Providers approved by IHG to provide certain Hardware, Software, and Services that are mandatory components of Licensee's technology configuration required to operate the Hotel in the Brand System ("Additional Required Services"). IHG will make available to Licensee the Additional Required Services as set forth in Schedule 3 (Additional Required Services) attached hereto, pursuant to an Order Form and/or a Participation Agreement. Licensee is obligated to purchase each of the Additional Required Services. IHG and/or its Service Provider may modify or cause to be modified the features and functionality of the Additional Required Services in the ordinary course of technology development, and IHG will notify
Licensee of any such material modification. IHG reserves the right (i) to change the Service Provider for any Additional Required Service, and (ii) to add or remove Core Services or to replace any of the Additional Required Services.
- 3.3 Optional Services. From time to time, IHG or an Affiliate of IHG may enter into an Enabling Agreement with a Service Provider to provide optional Hardware, Software, and Services that are not included in the Core Services or the Additional Required Services ("Optional Services"). As determined by IHG, Licensee may receive the benefits of the negotiated terms, conditions, and pricing for the Optional Services obtained by IHG in the Enabling Agreements with Service Providers, and may obtain the Optional Services, by entering into an Order Form and/or a Participation Agreement.
- 3.4 Supplemental Terms. The Core Services, Additional Required Services, and any Optional Services are provided subject to and in accordance with the supplemental terms set forth in Schedule 4 (Supplemental Terms) attached hereto (the "Supplemental Terms"). IHG may unilaterally modify or add to any component of the Supplemental Terms upon ten (10) days written notice to Licensee. Licensee acknowledges that the Supplemental Terms are based in part upon the terms and conditions contained in the Enabling Agreements.
- 3.5 Curated Solutions. The Core Services, Additional Required Services, and such Optional Services as Licensee may contract to receive, as such services may be in effect from time to time, are together referred to as the "Curated Solutions".
- 3.6 New Technologies. From time to time by mutual agreement, IHG will enable Licensee's access to new or enhanced technologies for use at the Hotel under a test, evaluation, pilot, proof of concept, or other temporary use arrangement ("Proof of Concept Projects").
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, franchisees have several obligations regarding hardware, software, and services provided by service providers. Even Hotels utilizes a tiered system consisting of Core Services, Additional Required Services, and Optional Services. For Core Services, IHG (or its affiliates) has agreements with service providers to supply hardware, software, and services that are essential for operating the hotel within the Even Hotels brand system. IHG can modify these services and will notify the franchisee of any material changes.
For Additional Required Services, franchisees are obligated to purchase hardware, software, and services that are mandatory for the hotel's technology configuration. These are detailed in Schedule 3 of the FDD and are secured through an Order Form or Participation Agreement. IHG can also change the service provider or modify these services, with notification to the franchisee. IHG may install a wide area network (WAN) and WAN hardware for the hotel's communication with IHG's systems. The franchisee must purchase broadband internet access to establish the primary WAN link. The franchisee is responsible for providing a suitable location for WAN hardware installation, including electrical connections and cable installation. The franchisee cannot move, service, alter, or damage the WAN hardware once installed. Upon termination of the license, the WAN hardware may need to be de-installed at the franchisee's expense.
Prior to the hotel opening, the franchisee must acquire the hardware, software, and communications capabilities specified in the Minimum Configuration at least 120 days before opening. They must also enter into Participation Agreements for the Additional Required Services within the same timeframe. The franchisee is responsible for site preparation for hardware installation, including electrical connections, power outlets, and network cable installation. If site preparation is not completed to IHG's satisfaction, the franchisee may be charged $2,600. The franchisee is also responsible for the costs of any hardware or software installation that is not part of the Minimum Configuration. IHG or a service provider will provide training for the property management system (PMS), and the franchisee must ensure staff participate and demonstrate proficiency, with a minimum attendance and passing score requirement. The franchisee will pay PMS training fees according to IHG's or the service provider's standard rates.