Can Sonesta Select Sonesta Essential revoke a waiver of obligation at any time?
Sonesta_Select_Sonesta_Essential Franchise · 2025 FDDAnswer from 2025 FDD Document
B. Waiver of Obligations. We and you may by written instrument unilaterally waive or reduce any obligation of or restriction upon the other under this Agreement, effective upon delivery of written notice to the other or another effective date stated in the notice of waiver. Any waiver granted will be without prejudice to any other rights we or you have, will be subject to continuing review, and may be revoked at any time and for any reason effective upon delivery of 10 days' prior written notice. We and you will not waive or impair any right, power, or option this Agreement reserves (including our right to demand exact compliance with every term, condition, and covenant or to declare any breach to be a default and to terminate this Agreement before its term expires) because of any custom or practice at variance with this Agreement's terms; our or your failure, refusal, or neglect to exercise any right under this Agreement or to insist upon the other's compliance with this Agreement, including any Brand Standard; our waiver of or failure to exercise any right, power, or option, whether of the same, similar, or different nature, with other Brand Hotels; the existence of franchise agreements for other Brand Hotels which contain provisions different from those contained in this Agreement; or our acceptance of any payments due from you after any breach of this Agreement. No special or restrictive legend or endorsement on any check or similar item given to us will be a waiver, compromise, settlement, or accord and satisfaction. We are authorized to remove any legend or endorsement, which then will have no effect.
Source: Item 22 — CONTRACTS (FDD page 84)
What This Means (2025 FDD)
According to Sonesta Select Sonesta Essential's 2025 Franchise Disclosure Document, both Sonesta Select Sonesta Essential and the franchisee can issue a written waiver or reduction of obligations under the Franchise Agreement. Any waiver is subject to ongoing review and can be revoked at any time, for any reason.
To revoke a waiver, Sonesta Select Sonesta Essential must provide the franchisee with 10 days' prior written notice. This allows the franchisee time to adjust to the reinstatement of the original obligation.
Sonesta Select Sonesta Essential's right to demand strict compliance with the terms of the agreement is also protected. The agreement specifies that the brand's failure to enforce a term or standard does not waive its right to do so later, nor does it establish a precedent. This ensures Sonesta Select Sonesta Essential retains its authority to enforce all aspects of the Franchise Agreement, even if it has previously been lenient.