For Even Hotels, what is required regarding alterations or improvements to the Equipment?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
- 6. Use of Equipment.
Hotel shall (a) ensure that the equipment is kept in good and proper working condition, normal wear and tear excepted, (b) not make any alterations or improvements to the equipment without the prior written approval of the manufacturer, and (c) operate and maintain the goods in accordance with the user manuals and documentation, and any instructions issued by the manufacturer from time to time.
- 7. Equipment Warranty Pass-Through.
Equipment is manufactured by a third party and is subject to a warranty provided by that third party, and without limiting any other representations, warranties or covenants of IHG, IHG hereby assigns such warranty to Hotel or, if such warranty cannot be so assigned, IHG shall pass through the benefit of such warranties to Hotel, and otherwise cooperate with Hotel in this respect.
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, franchisees are restricted from making alterations or improvements to the equipment used in their hotels without first obtaining written approval from the manufacturer. Franchisees must ensure that the equipment is kept in good working condition, with allowances made for normal wear and tear. Additionally, franchisees are obligated to operate and maintain the equipment according to the user manuals, documentation, and any instructions provided by the manufacturer.
This requirement ensures that the equipment functions correctly and safely, and that any modifications do not compromise its performance or warranty. By adhering to the manufacturer's guidelines and obtaining prior approval for alterations, Even Hotels aims to maintain consistency and quality across all its franchised locations. This also helps to protect the brand's reputation and avoid potential liabilities associated with unauthorized equipment modifications.
This stipulation is fairly standard in the franchise industry, particularly when specific equipment is integral to the service offering. It is important for prospective Even Hotels franchisees to understand the implications of this requirement, including the potential costs and time involved in seeking approval for any desired alterations or improvements. Franchisees should factor these considerations into their business planning and budget.
Furthermore, Even Hotels facilitates a warranty pass-through for the equipment, assigning the manufacturer's warranty to the franchisee or cooperating to ensure the franchisee benefits from it. This arrangement offers some protection to the franchisee in case of equipment failure or defects, but it also underscores the importance of adhering to the manufacturer's maintenance and usage guidelines to keep the warranty valid.