Is Even Hotels permitted to create derivative works from the Next-Gen Payments Solution?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
on to the GDPR in effect from time to time); and (e) all applicable Laws in effect from time to time similar to those Laws listed in subsections (a) through (d) above or otherwise governing the transmission, storage, distribution, sale, or other use of Personal Data.
"Tax" means any income, gross receipts, franchise, sales, use, transfer, value-added, excise, customs, duties, property, withholding or any other tax, charge, or fee, including any interest, penalties, or other additions to tax, imposed by a governmental authority.
"Transaction" means each of (i) an on-line authorization request, (ii) a captured request that does not have a corresponding on-line authorization (examples include verbal authorizations, below floor limit or offline requests), (iii) a return request, and (vi) a void request.
2.0 SERVICE FRAMEWORK.
- 2.1 Next-Gen Payments Solution. During the Term, IHG will provide to Hotel the Next-Gen Payments Solution pursuant to the terms of this Agreement.
- 2.2 Right to Use the Next-Gen Payments Solution. During the Term, IHG hereby grants Hotel a limited, personal, revocable, nonexclusive, and non-transferable right to access and use the Next-Gen Payments Solution solely for the internal business purposes of Hotel and subject to the terms of this Agreement, including the Third Party Terms.
- 2.3 Restrictions on Use. Except as expressly permitted by this Agreement, Hotel shall not, and shall not permit any third party to: (a) transmit the Next-Gen Payments Solution to any third party or third party network, or permit any third party to access or use the Next-Gen Payments Solution; (b) use the Next-Gen Payments Solution, or any data derived from the Next-Gen Payments Solution, in a service bureau, time-sharing, multiple CPU, or multiple user arrangement; (c) copy, reproduce, store, sell, assign, pledge, sublicense, convey, transfer, redistribute, transmit, grant other rights in, or permit any unauthorized use of the Next-Gen Payments Solution; (d) prepare derivative works or incorporate the Next-Gen Payments Solution, in whole or part, into any other system or work; (e) reverse engineer, disassemble, decompile, decode, adapt or otherwise attempt to derive or gain access to the source code of the Next-Gen Payments Solution, in whole or in part; (f) bypass or breach any security device or protection used by the Next-Gen Payments Solution or access or use the Next-Gen Payments Solution other than by an authorized user through the use of his or her own then valid access credentials; (g) input, upload, transmit, or otherwise provide to or through the Next-Gen Payments Solution, any information or materials that are unlawful or injurious, or contain, transmit, or activate any harmful code;
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, franchisees are explicitly restricted from creating derivative works or incorporating the Next-Gen Payments Solution into any other system or work. This restriction is part of the broader terms governing the use of the Next-Gen Payments Solution. IHG, the owner of Even Hotels, retains all intellectual property rights, including modifications, enhancements, and derivative works of the Next-Gen Payments Solution.
This means that Even Hotels franchisees must use the Next-Gen Payments Solution as provided and cannot alter, modify, or integrate it with other systems without violating the franchise agreement. This limitation ensures consistency and standardization across all Even Hotels locations, as well as protecting IHG's intellectual property.
Even Hotels franchisees are, however, permitted to provide feedback to IHG regarding the Next-Gen Payments Solution. This feedback can include suggestions for modifications, corrections, improvements, or enhancements. While franchisees can offer input, IHG has the right to use, copy, modify, and exploit any feedback without any obligation to compensate the franchisee. This allows IHG to leverage the experience of its franchisees to improve the system while maintaining control over its intellectual property.