Is Hawthorn Suites By Wyndham liable for expenses resulting from Mark changes?
Hawthorn_Suites_By_Wyndham Franchise · 2025 FDDAnswer from 2025 FDD Document
em Standards, only from suppliers we approve. You may purchase other items for the Facility from any competent source you select, so long as the items meet or exceed System Standards.
- 3.11 Good Will. You will use reasonable efforts to protect, maintain and promote the name "Hawthorn" the other Marks, and the System's distinguishing characteristics. You will not permit or allow your officers, directors, principals, employees, representatives, or guests of the Facility to engage in conduct that is unlawful or damaging to the good will or public image of the Chain or System. You agree that, in event that you or any of your principals or guarantors is or is discovered to have been, convicted of a felony or any other offense likely to reflect adversely upon us, the System or the Marks, such conviction is material breach of this Section. You will follow System Standards for identification of the Facility and for you to avoid confusion on the part of guests, creditors, lenders, investors and the public as to your ownership and operation of the Facility, and the identity of your owners. You will participate in good faith in all Chain-wide guest service and satisfaction guarantee programs we require for all Chain Facilities. You shall use your best efforts to promote usage of other Chain Facilities by members of the public.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 78–83)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the FDD does not explicitly state whether Hawthorn Suites By Wyndham is liable for expenses related to changes to the Marks. However, the document does state the franchisee's responsibilities regarding the use of the 'Hawthorn' name and Marks.
The franchisee is responsible for protecting, maintaining, and promoting the 'Hawthorn' name and other Marks, and must follow System Standards for identifying the Facility. Upon termination of the franchise agreement, the franchisee must immediately stop using the System, remove all signage and items bearing the Marks, and change the identification of the Facility. Failure to comply with these de-identification requirements results in a penalty of $2,000 per day until compliance is achieved.
Because the FDD does not specify who bears the costs of Mark changes, prospective franchisees should seek clarification from Hawthorn Suites By Wyndham regarding responsibility for expenses related to changes in the Marks, including potential updates to signage, marketing materials, and other branded items. This information is crucial for understanding the potential financial obligations and liabilities associated with the franchise agreement.