For Even Hotels, what monetary obligations must a licensee satisfy to IHG and its affiliates before a change of ownership application can be approved?

According to Even Hotels' 2025 Franchise Disclosure Document, a licensee seeking to transfer ownership must fulfill all outstanding financial obligations to IHG and its affiliates before the change of ownership application can be approved. This includes not only settling all accrued monetary debts but also providing a reasonable estimate of any costs and fees that have not yet been calculated or invoiced.

In addition to settling all monetary obligations, the licensee is required to execute a general release of all claims against IHG and its affiliates. This release must be in a form prescribed by IHG and covers the licensee, its affiliates, and their respective officers, directors, agents, and employees. This ensures that IHG and its affiliates are protected from any potential future legal claims arising from the previous ownership.

This requirement is standard practice in franchising to ensure a smooth transition and protect the franchisor's interests. By requiring the licensee to settle all outstanding debts and release any claims, IHG minimizes the risk of financial or legal disputes arising after the transfer of ownership. Prospective Even Hotels franchisees should be aware of these obligations and plan accordingly if they anticipate selling their franchise in the future.