How should a Sonesta Select Sonesta Essential franchisee identify themselves as the independent owner of their Hotel?
Sonesta_Select_Sonesta_Essential Franchise · 2025 FDDAnswer from 2025 FDD Document
N. Employees, Agents, and Independent Contractors. You acknowledge and agree that you are solely responsible for all decisions relating to employees, agents, and independent contractors that
you may hire or engage to assist in the operation of your Hotel. You agree that any employee, agent or independent contractor that you hire or engage will be your or the Management Company's employee, agent, or independent contractor, and not our employee, agent, or independent contractor. You also agree that you are exclusively responsible for the terms and conditions of employment of your employees, including recruiting, hiring, firing, training, compensation, work hours and schedules, work assignments, safety and security, discipline, and supervision. You agree to manage the employment functions of your Hotel in compliance with applicable federal, state, and local employment laws. You must notify all your employees in writing that they are your employees and not our employees, and you must never contend otherwise.
Source: Item 22 — CONTRACTS (FDD page 84)
What This Means (2025 FDD)
According to the 2025 Franchise Disclosure Document, Sonesta Select Sonesta Essential franchisees are responsible for making it clear to their employees that they are employed by the franchisee, not by Sonesta Select Sonesta Essential. Franchisees must notify all their employees in writing that they are the franchisee's employees and not Sonesta Select Sonesta Essential's employees. Franchisees must never claim otherwise.
This requirement ensures that there is no confusion about the employer-employee relationship. It clarifies that the franchisee is responsible for all employment-related matters, including hiring, firing, training, compensation, and compliance with employment laws. This is a standard practice in franchising, where franchisees are independent business owners, and not agents of the franchisor.
By adhering to this requirement, Sonesta Select Sonesta Essential franchisees maintain their independence and avoid potential legal issues related to employment. It also reinforces the understanding that the franchisee is responsible for managing their own workforce and ensuring compliance with all applicable laws and regulations.