Can the Holder assign the Note for Sonesta Select Sonesta Essential?
Sonesta_Select_Sonesta_Essential Franchise · 2025 FDDAnswer from 2025 FDD Document
- d.
As used in this Note, the term "Holder" shall include any subsequent holder of or participant in this Note.
Holder may assign this Note in whole or in part.
Holder may make available to any proposed assignee or participant all credit and financial data with respect to Maker as may be in the possession of Holder.
Maker agrees to provide any additional information that any proposed assignee or participant may reasonably request.
Source: Item 23 — RECEIPTS (FDD pages 84–261)
What This Means (2025 FDD)
According to Sonesta Select Sonesta Essential's 2025 Franchise Disclosure Document, the Holder of the Note has the right to assign it. The term "Holder" includes any subsequent holder of or participant in the Note. Sonesta Select Sonesta Essential specifies that the Holder may assign the Note in whole or in part.
Additionally, the Holder is permitted to share credit and financial data about the Maker (the franchisee) with potential assignees or participants. The franchisee agrees to provide any additional information reasonably requested by a proposed assignee or participant.
This clause provides flexibility for Sonesta Select Sonesta Essential (as the Holder) to manage its financial interests by transferring the Note to another party, while also ensuring that potential assignees have access to the necessary information to evaluate the investment.