Regarding AT&T Equipment used for services at Even Hotels, who retains the title to the equipment?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
- 2.2 AT&T Equipment. Services may be provided using equipment owned by AT&T that is located at the Site ("AT&T Equipment"), but title to the AT&T Equipment will remain with AT&T. Eligible Participant must provide adequate space and electric power for the AT&T Equipment and keep the AT&T Equipment physically secure and free from liens and encumbrances. Eligible Participant will bear the risk of loss or damage to the AT&T Equipment (other than ordinary wear and tear), except to the extent caused by AT&T or its agents.
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, when AT&T provides services to an Even Hotel using equipment located at the hotel site, AT&T retains the title to that equipment. However, the franchisee is responsible for providing adequate space and electrical power for the equipment. The franchisee must also ensure the equipment remains physically secure and free from any liens or encumbrances.
Furthermore, the Even Hotels franchisee bears the risk of loss or damage to the AT&T equipment, except for ordinary wear and tear or damage caused by AT&T or its agents. This means that if the equipment is damaged or lost due to reasons other than normal use or actions by AT&T, the franchisee will be responsible for the associated costs.
This arrangement is fairly common in franchise agreements where specific equipment is required to deliver services but is owned and maintained by a third-party provider. It is important for the prospective franchisee to understand their responsibilities regarding the security and condition of this equipment, as they could incur costs related to loss or damage.