Who is responsible for expenses incurred by Holiday in processing an extension request for Even Hotels?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
You may apply for an extension of the construction commencement or completion deadlines. Holiday will consider various factors which may influence your extension request, including the ability to obtain financing or building permits, zoning and local ordinances, weather conditions, shortages or delayed installation of equipment, fixtures and signs. Holiday's approval of extension requests is not automatic. You will be responsible for any expenses incurred by Holiday in processing the extension request. As Note 7 to Item 6 describes, there is a fee for extending these deadlines.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 70–82)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, the franchisee is responsible for expenses incurred by Holiday when processing an extension request.
Specifically, if an Even Hotels franchisee applies for an extension to construction deadlines, Holiday's approval is not automatic. Holiday will consider factors like financing, permits, zoning, weather, and equipment delays. The franchisee bears the financial burden for any expenses Holiday incurs while reviewing the extension request.
This means that if a franchisee needs more time to complete construction and seeks an extension, they should be prepared to cover Holiday's costs for assessing the request. These costs could include administrative work, legal reviews, or other related expenses. Additionally, Note 7 to Item 6 describes that there is a fee for extending these deadlines.