Where can I find a copy of the RLHC guaranty related to the Sonesta Select Sonesta Essential franchise?

According to the 2025 Sonesta Select Sonesta Essential Franchise Disclosure Document, a copy of the RLHC (Red Lion Hotels Corporation) guaranty is included as Exhibit C to the document. The guaranty ensures that RLHC will assume the duties and obligations of SRLHF (Sonesta RL Hotels Franchising Inc.), a wholly-owned subsidiary of RLHC, under the Franchise Agreements. This guaranty applies specifically while SRLHF is an affiliate of RLHC, providing a layer of financial security for franchisees.

This means that if SRLHF, as the direct franchisor, is unable to fulfill its obligations under the franchise agreement, RLHC, as the parent company, guarantees to step in and assume those responsibilities. This is a significant assurance for potential franchisees, as it mitigates some of the risk associated with the financial stability of the direct franchising entity. The guaranty is particularly relevant because SRLHF is a subsidiary, and parent company guarantees are common in franchising to provide additional security.

Prospective franchisees should carefully review Exhibit C to understand the full scope and limitations of the RLHC guaranty. It is important to understand what specific obligations are covered by the guaranty and under what circumstances RLHC would be required to step in. Consulting with a legal professional to review the guaranty is advisable to fully understand its implications.