What is the definition of 'Online Presence' in the context of the Sonesta Simply Suites Collateral Assignment?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
| THIS COLLATERAL ASSIGNMENT ("Assignment") is entered into and i | made effective as of the |
|---|---|
| Effective Date of the Franchise Agreement, in accordance with the terms of the | e Franchise Agreement |
| ("Franchise Agreement") between SONESTA RL HOTELS FRANCHISING INC. | ("Franchisor"), and |
| ("Franchisee"), executed concurrently with this A | ssignment, under which |
| Franchisor granted Franchisee the right to own and operate a Sonesta Simple | ly Suites ("Franchised |
| Business") located at | ("Hotel Premises"). |
FOR VALUE RECEIVED, Franchisee hereby assigns to Franchisor all websites, domain names, homepages, e-mail addresses, social media accounts, usernames, other online presence, or presence on any electronic, virtual, or digital medium of any kind (each an "Online Presence") associated with Franchisor's trademarks and service marks and used from time to time in connection with the operation of the Franchised Business at the address provided above. This Assignment is for collateral purposes only and, except as specified herein, Franchisor shall have no liability or obligation of any kind whatsoever arising from or in connection with this Assignment, unless Franchisor shall notify the companies managing the Online Presences (the "Service Providers") and Franchisee's Internet service provider ("ISP") to effectuate the assignment pursuant to the terms hereof.
Upon termination or expiration of the Franchise Agreement (without extension), Franchisor shall have the right and is hereby empowered to effectuate the assignment of the Online Presences.
Source: Item 22 — CONTRACTS (FDD pages 79–80)
What This Means (2025 FDD)
According to the 2025 Sonesta Simply Suites FDD, an 'Online Presence' in the context of the Collateral Assignment encompasses various digital assets associated with the franchisor's trademarks and service marks. These include websites, domain names, homepages, email addresses, social media accounts, usernames, and any other online presence on any electronic, virtual, or digital medium.
For a Sonesta Simply Suites franchisee, this means that any online asset used in connection with the operation of the franchised business that utilizes Sonesta Simply Suites's trademarks is subject to the Collateral Assignment. This assignment serves as security for Sonesta Simply Suites, allowing them to control these online assets, especially upon termination or expiration of the franchise agreement.
Upon termination or expiration of the franchise agreement, Sonesta Simply Suites has the right to effectuate the assignment of these Online Presences. The franchisee loses all rights, title, and interest in these online assets at that time. The franchisee remains responsible for any outstanding fees owed to service providers and internet service providers up to the date of the assignment. This arrangement ensures that Sonesta Simply Suites maintains brand consistency and control over its online representation, even after a franchise relationship ends.