According to the Sonesta Simply Suites agreement, when is a waiver effective?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
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 pages 79–80)
What This Means (2025 FDD)
According to Sonesta Simply Suites's 2025 Franchise Disclosure Document, a waiver of obligations, whether by Sonesta Simply Suites or the franchisee, becomes effective upon delivery of written notice to the other party. Alternatively, the waiver can become effective on another date specifically stated in the notice of waiver.
It's important to note that any waiver granted is not a permanent release. It is subject to continuing review and can be revoked at any time, for any reason. To revoke a waiver, the revoking party must provide 10 days' prior written notice to the other party. This means that even if Sonesta Simply Suites waives a certain requirement, they can reinstate it with just 10 days' notice.
The franchise agreement also specifies that certain actions or inactions do not constitute a waiver. For example, if either party fails to exercise a right under the agreement, or if Sonesta Simply Suites accepts payments from the franchisee after a breach of the agreement, these actions do not waive the right to demand exact compliance with the agreement's terms in the future. This protects Sonesta Simply Suites's ability to enforce the agreement even if they have been lenient in the past.
Furthermore, any special or restrictive legends or endorsements on checks or similar items given to Sonesta Simply Suites will not be considered a waiver, compromise, settlement, or accord and satisfaction. Sonesta Simply Suites is authorized to remove any such legend or endorsement, rendering it ineffective. This provision ensures that the franchisee cannot unilaterally alter the terms of the agreement through notations on payments.