factual

What must a Hawthorn Suites By Wyndham franchisee do when a termination occurs?

Hawthorn_Suites_By_Wyndham Franchise · 2025 FDD

Answer from 2025 FDD Document

ondemnation is completed after the Notice Period expires. For the sake of clarity, you must continue to pay when due the fees, set forth in this Agreement, including under Section 7, and all other agreements with us or our affiliates pertaining to the Facility until Condemnation is completed.

13. Your Duties At and After Termination. When a Termination occurs for any reason whatsoever:

  • 13.1 System Usage Ceases. You must comply with the following "de-identification" obligations. You will immediately stop using the System to operate and identify the Facility. You will remove all signage and other items bearing any Marks and follow the other steps detailed in the System Standards Manual or other brand directives for changing the identification of the Facility. You will promptly paint over or remove the Facility's distinctive System trade dress, color schemes and architectural features. You shall not identify the Facility with a confusingly similar mark or name, or use the same colors as the System trade dress for signage, printed materials and painted surfaces. You will cease all Internet marketing using any Marks to identify the Facility. If you do not strictly comply with all of the de-identification requirements above, in the System Standards Manual and in our other brand directives, you agree to pay us a royalty equal to $2,000 per day until de-identification is completed to our satisfaction.
  • 13.1.1 Cancel Assumed Name Certificate. You shall take such action as may be necessa

Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 78–83)

What This Means (2025 FDD)

According to Hawthorn Suites By Wyndham's 2025 Franchise Disclosure Document, when a termination occurs for any reason, a franchisee must cease using the Hawthorn Suites By Wyndham System to operate and identify the Facility immediately. This includes complying with "de-identification" obligations. The franchisee is required to remove all signage and other items bearing any of the brand's Marks, following detailed steps in the System Standards Manual or other brand directives to change the Facility's identification.

Furthermore, the franchisee must promptly paint over or remove the Facility's distinctive System trade dress, color schemes, and architectural features. They are prohibited from identifying the Facility with a confusingly similar mark or name, or using the same colors as the System trade dress for signage, printed materials, and painted surfaces. All Internet marketing using any Marks to identify the Facility must also cease.

Additionally, the franchisee must take action to cancel any assumed name or equivalent registration that contains the name "Hawthorn" or any variation thereof or any other Mark. Evidence of compliance with this obligation must be provided to Hawthorn Suites By Wyndham within thirty (30) days after the termination or expiration of the Franchise Agreement. Failure to strictly comply with all de-identification requirements can result in a royalty payment of $2,000 per day until de-identification is completed to Hawthorn Suites By Wyndham's satisfaction.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.