Under what condition does the Even Hotels Agreement become effective?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
This Agreement will become effective when signed by an authorized representative of each of Company and Customer (the "Agreement Effective Date"). The "Term Effective Date" will be January 1, 2020, provided this Agreement is signed on or before September 30, 2020; or (ii) if this Agreement is signed after September 30, 2020, the Term Effective Date will be the first day of the month in which this Agreement is signed by Customer. The term of the Agreement will continue from the Term Effective Date until the expiration or earlier termination of the beverage marketing agreement between Company and Six Continents Hotels, Inc. dated January 1, 2020 (the "Term").
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, the agreement becomes effective when signed by an authorized representative of both the company (franchisor) and the customer (franchisee). This date is referred to as the "Agreement Effective Date."
The "Term Effective Date," which marks the start of the agreement's term, is determined based on the signing date. If the agreement is signed on or before September 30, 2020, the Term Effective Date is January 1, 2020. However, if the agreement is signed after September 30, 2020, the Term Effective Date will be the first day of the month in which the agreement is signed by the franchisee.
The term of the Even Hotels agreement continues from the Term Effective Date until the expiration or earlier termination of the beverage marketing agreement between the company and Six Continents Hotels, Inc., dated January 1, 2020. This means the duration of the franchise agreement is tied to this separate beverage marketing agreement.