factual

What is the effect of a failure to exercise any right under the Sonesta Simply Suites agreement?

Sonesta_Simply_Suites Franchise · 2025 FDD

Answer from 2025 FDD Document

If we exercise any of these rights, the exercise will not be a waiver of any breach by you of any term, covenant, or condition of this Agreement.

Source: Item 22 — CONTRACTS (FDD pages 79–80)

What This Means (2025 FDD)

According to the 2025 Sonesta Simply Suites Franchise Disclosure Document, if Sonesta Simply Suites chooses to exercise any of its rights under the franchise agreement, it does not constitute a waiver of any breach by the franchisee of any term, covenant, or condition of the agreement. This means that even if Sonesta Simply Suites takes action on one issue, it still retains the right to address any other violations of the agreement by the franchisee.

For a prospective franchisee, this clause is significant because it underscores the comprehensive nature of the franchise agreement and the franchisor's commitment to enforcing all its terms. It clarifies that Sonesta Simply Suites's actions or inactions regarding one breach do not limit their ability to act on other breaches, ensuring consistent enforcement of the agreement.

This provision is fairly standard in franchising, as franchisors need to maintain the ability to address multiple issues without inadvertently relinquishing their rights. Franchisees should be aware that Sonesta Simply Suites's leniency on one matter does not set a precedent or excuse other non-compliance issues. Franchisees must, therefore, ensure they adhere to all aspects of the franchise agreement to avoid potential penalties or termination.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.