For Hawthorn Suites By Wyndham, what are the 'Fees' referring to in the context of the Service Offering?
Hawthorn_Suites_By_Wyndham Franchise · 2025 FDDAnswer from 2025 FDD Document
You shall not: (i) make the Products and/or Services available to anyone other than your Permitted Users, unless expressly permitted in an applicable Service Offering; (ii) sell, resell, rent or lease the Products and/or Services; (iii) use the Products and/or Services to store or transmit infringing, libelous, or otherwise unlawful or tortious material, or to store or transmit material in violation of the privacy rights of any Third Party; (iv) use the Products and/or Services to store or transmit software viruses, malicious code or other harmful files; (v) interfere with or disrupt the integrity or performance of the Products and/or Services or the data of any Third Party contained therein; or (vi) attempt to gain unauthorized access to the Products and/or Services or any related networks.
4. FEES AND PAYMENTS
- 4.1 Fees. You shall pay all amounts specified in the applicable Service Offering for the Products and/or Services ("Fees"), for the duration of the applicable Service Offering Term and in accordance with this Agreement. If your franchise or membership involves the transfer of an existing Chain Facility to you or changing affiliation of the Facility from one Wyndham Hotels & Resorts, Inc. owned franchise or membership system to another, you may be charged a transfer fee, which transfer fee shall be set forth in an applicable Service Offering ("Transfer Fee").
- 4.2 Payments. Unless otherwise set forth in an applicable Service Offering, you shall pay us the Fees each month of the Service Offering Term. Except as otherwise noted, all Fees and charges described in this Agreement are expressed and payable in U.S. dollars (or such other currency as we may direct if the Facility is outside the United States). All Fees are payable by you three (3) days after the month in which they accrue, without billing or demand. We may apply any amounts received to
Source: Item 22 — CONTRACTS (FDD page 92)
What This Means (2025 FDD)
According to Hawthorn Suites By Wyndham's 2025 Franchise Disclosure Document, the term "Fees" refers to the amounts a franchisee must pay as specified in the applicable Service Offering for the Products and/or Services provided. These fees are applicable for the duration of the Service Offering Term, as outlined in the agreement. Additionally, if a franchise involves the transfer of an existing Chain Facility or a change in affiliation from one Wyndham Hotels & Resorts, Inc. owned franchise system to another, a transfer fee may be charged, as detailed in the applicable Service Offering.
In practical terms, this means that as a Hawthorn Suites By Wyndham franchisee, you will be obligated to pay specific fees for the services and products you receive under the franchise agreement. These fees cover the ongoing support, resources, and systems that Hawthorn Suites By Wyndham provides to help you operate your franchise. The exact amount and payment schedule for these fees will be detailed in the Service Offering documents specific to your franchise agreement.
It's important to note that these fees are in addition to other fees outlined elsewhere in the Franchise Disclosure Document, such as the Marketing/Reservation Contribution, Loyalty Program Fees, and other charges for specific services like customer care costs, Wyndham Response Fees, and Best Rate Guarantee Processing Fees. Understanding all these potential fees is crucial for assessing the overall financial investment and ongoing costs associated with operating a Hawthorn Suites By Wyndham franchise.
Prospective franchisees should carefully review the applicable Service Offering and the broader franchise agreement to fully understand all the fees they will be responsible for, including when they are due and how they may change over time. Consulting with a franchise attorney or financial advisor can help clarify these obligations and ensure a well-informed investment decision.