What document defines the conditions for disbursement related to Hawthorn Suites By Wyndham?
Hawthorn_Suites_By_Wyndham Franchise · 2025 FDDAnswer from 2025 FDD Document
Simultaneous with the execution of this Addendum, Hawthorn Franchisor and Franchisee shall execute that certain Hawthorn Franchise Agreement dated as of , 20 (including all Attachments, Schedules and Addenda thereto, the "Hawthorn Agreement") for the establishment and operation of a Hawthorn Chain Facility (the "Hawthorn Facility", and the guest rooms operated thereunder, the "Hawthorn Rooms") at the same Location, upon the terms and conditions described in the Hawthorn Agreement.
Source: Item 23 — RECEIPTS (FDD pages 92–402)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the conditions for disbursement related to Hawthorn Suites By Wyndham are detailed within the "Hawthorn Franchise Agreement".
Specifically, when a La Quinta by Wyndham and a Hawthorn Suites by Wyndham are operated as a dual-branded hotel, an addendum modifies certain terms of both the La Quinta Franchise Agreement and the Hawthorn Franchise Agreement. This addendum becomes a binding part of both agreements upon execution by all parties, and in case of conflicts, the addendum takes precedence. This setup ensures that both facilities operate under common control, and failure to maintain this control constitutes a default under both agreements.
For prospective franchisees considering a dual-brand operation, it's crucial to carefully review the La Quinta Agreement, the Hawthorn Agreement, and any associated addenda to fully understand the conditions for disbursement, operational requirements, and potential default scenarios. Understanding these agreements is essential for managing the financial and operational aspects of a dual-branded franchise effectively.