What is the condition of Assignee being the sole owner of Assignee for Sonesta Simply Suites?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
- (b) Assignee Parties each, jointly and severally, represent and warrant that: (i) Assignee is a [corporation / limited liability company] that was formed and is in good standing under the laws of the State of
Source: Item 23 — RECEIPTS (FDD pages 80–246)
What This Means (2025 FDD)
According to the 2025 Sonesta Simply Suites FDD, if a franchisee seeks to transfer their existing franchise agreement to an assignee, Sonesta RL Hotels Franchising Inc. requires certain conditions to be met. One of these conditions pertains to the ownership of the assignee entity.
The FDD states that the assignee must be the sole owner of the assets. Specifically, the 'Assignee[s] [is/are] the sole owner[s] of Assignee.' This means that if the assignee is a corporation or limited liability company, the individual or individuals listed as Assignee must be the only owners of that corporation or LLC.
This condition ensures that Sonesta Simply Suites knows exactly who is in control of the franchise and that there are no hidden partners or investors who could potentially influence the operation of the hotel without being properly vetted by the franchisor. This requirement is in place to protect the integrity of the Sonesta Simply Suites brand and maintain consistent standards across all franchise locations.