How will Even Hotels notify franchisees of changes to Third Party Based Fees?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
- 19.7 Amendment. We may modify any provision of the Agreement by providing written notice to you.
You may choose not to accept the requirements of any such change by terminating the Agreement within twenty (20) days of receiving notice.
For purposes of this section, an electronic or "click-wrap" notice intended to modify or amend the Agreement and which you check "I Accept" or "I Agree" or otherwise accept through an electronic process, shall constitute in writing as required herein.
This Section 19.7 does not apply to changes to Third Party Based Fees, which are governed by Section 6.2, or to changes made pursuant to Section 2.6.
For avoidance of doubt, you do not have any termination right with respect to any changes to Third Party Based Fees or with respect to any changes made in connection with our rights under Section 2.6
2 Third Party Based Fees
Client will pay Processor all fees, fines, assessments, penalties, obligations, liabilities, adjustments, and other charges and amounts a Card Organization, Issuer, or other Third Party imposes, establishes, or sets that are related to Client's transactions, and all related costs and expenses ("Third Party Based Fees"). Card Organizations and other Third Parties may modify their Third Party Based Fees during the Term of the Agreement. Modifications to Third Party Based Fees will be effective on the dates set by the Card Organizations or other third parties.
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, Even Hotels may modify any provision of the agreement with a franchisee by providing written notice. However, this does not apply to changes to Third Party Based Fees, which are governed by Section 6.2, or to changes made pursuant to Section 2.6.
The FDD states that Card Organizations and other Third Parties may modify their Third Party Based Fees during the Term of the Agreement. Modifications to Third Party Based Fees will be effective on the dates set by the Card Organizations or other third parties.
This means that Even Hotels franchisees are subject to changes in Third Party Based Fees as determined by the Card Organizations or other third parties. Franchisees do not have the right to terminate the agreement due to changes to Third Party Based Fees. It is important for a prospective franchisee to understand that these fees can change and to factor this into their financial planning.