Who owns the intellectual property developed by IHG in the provision of services to Even Hotels?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
- 6.0 IHG INTELLECTUAL PROPERTY As between the Parties, IHG owns all Intellectual Property Rights in and to the Next-Gen Payments Solution and the Documentation, including all modifications, enhancements, and derivative works of the Next-Gen Payments Solution and the Documentation.
IHG will own all right, title and interest (including all Intellectual Property Rights) in and to all ideas, concepts, plans, creations or work product developed in connection with the Next-Gen Payments Solution and the Documentation, including, without limitation, any writings, drawings, computer programs, source code, and object code (collectively, the "Work Product").
The Work Product are not works made for hire.
Hotel hereby unconditionally and irrevocably grants, transfers, and assigns to IHG in perpetuity any and all worldwide right, title, and
interest (including all Intellectual Property Rights) in and to the Work Product. Hotel may, in its sole discretion and option, provide IHG with input, comments or suggestions regarding the business and technology of IHG or the possible creation, modification, correction, improvement or enhancement of the Next-Gen Payments Solution ("Feedback"). Hotel hereby grants IHG a perpetual, irrevocable, fully-paid worldwide, sublicensable, transferable license and right to use, copy, incorporate, distribute, perform, display, modify and exploit any Feedback without any compensation, obligation to report on such use, or any other restriction. Feedback will not be considered Confidential Information or a trade secret of Hotel.
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, IHG (InterContinental Hotels Group) owns all intellectual property rights related to the Next-Gen Payments Solution and its documentation. This includes any modifications, enhancements, and derivative works. IHG also retains ownership of all ideas, concepts, plans, creations, or work products developed in connection with the Next-Gen Payments Solution, including writings, drawings, computer programs, and source/object code.
This means that as an Even Hotels franchisee, you will not own any of the intellectual property associated with the payment solutions or related documentation provided by IHG. Any improvements, modifications, or additions made to the Brand System automatically become the property of IHG.
Furthermore, if a franchisee provides IHG with feedback or suggestions regarding the Next-Gen Payments Solution, IHG has the right to use, copy, modify, and exploit that feedback without any obligation to compensate the franchisee. This feedback is not considered confidential information or a trade secret of the franchisee. This clause ensures that IHG maintains complete control over the intellectual property and can freely use franchisee input to improve the system without legal restrictions.
This is a fairly standard practice in franchising, where the franchisor typically owns all intellectual property related to the brand and its systems. It allows Even Hotels to maintain consistency and control across all franchise locations, and to benefit from improvements and innovations made to the system.