Must a Sonesta Select Sonesta Essential franchisee assign any claims they may have related to copyright matters?
Sonesta_Select_Sonesta_Essential Franchise · 2025 FDDAnswer from 2025 FDD Document
You must immediately notify us of any apparent infringement of or challenge to your use of any copyrighted materials. We may take any action we think appropriate (including no action), and at our option we may control any litigation or administrative proceeding.
You may not communicate with any other person regarding any such infringement, challenges or claims and only we and our affiliates will have the right to handle disputes
concerning the copyrighted materials. We and our affiliates will take the action we and they consider appropriate with respect to such challenges and claims. You must extend your full cooperation to us and our affiliates in these matters. You must sign any documents we believe are necessary to obtain protection for the copyrighted materials and assign to us any claims you may have related to these matters. Our decision as to the prosecution, defense and settlement of the dispute will be final. All recoveries made as a result of disputes with third parties regarding the copyrighted marks will be for our account. We are not obligated to indemnify you for damages related to use of our copyrighted materials but we will reimburse you for your costs of taking any action that we or our affiliates have asked you to take in any litigation or proceeding.
Source: Item 14 — PATENTS, COPYRIGHTS, AND PROPRIETARY INFORMATION (FDD pages 68–69)
What This Means (2025 FDD)
According to the 2025 FDD, a Sonesta Select Sonesta Essential franchisee is required to assign any claims they may have related to copyright matters to the franchisor. Specifically, if there is an apparent infringement or challenge to the franchisee's use of copyrighted materials, the franchisee must notify Sonesta Select Sonesta Essential immediately.
Sonesta Select Sonesta Essential retains the right to take any action they deem appropriate, including controlling any litigation or administrative proceedings. The franchisee is obligated to cooperate fully with Sonesta Select Sonesta Essential and must sign any documents that Sonesta Select Sonesta Essential believes are necessary to protect the copyrighted materials.
All recoveries resulting from disputes with third parties regarding the copyrighted materials will be for Sonesta Select Sonesta Essential's account. While Sonesta Select Sonesta Essential is not obligated to indemnify the franchisee for damages related to the use of copyrighted materials, they will reimburse the franchisee for costs incurred in taking action requested by Sonesta Select Sonesta Essential in any litigation or proceeding. This arrangement ensures that Sonesta Select Sonesta Essential maintains control over the protection and enforcement of its copyrighted materials, while the franchisee is expected to assist in these efforts.