Does the Sonesta Simply Suites franchise agreement include a waiver of class action?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
Further, you agree that we shall have no liability for any errors or omissions by you in connection with the Services.
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- Dispute Resolution. Any disputes arising under this Agreement will be resolved in accordance with the dispute resolution procedures under your Franchise Agreement, including but not limited to, the provisions concerning waiver of jury trial, consent to venue and personal jurisdiction, and choice of law.
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- No Warranty. WE MAKE NO REPRESENTION OR WARRANTY REGARDING THE VOLUME OF RESERVATIONS OR AMOUNT OF REVENUES THAT THE HOTEL WILL ATTAIN AS A RESULT OF THE SERVICES OR THAT YOUR RESERVATIONS OR REVENUE WILL INCREASE. WE MAKE NO REPRESENTATION OR WARRANTY REGARDING ANY SERVICE LEVEL FROM THE CALL CENTER, THAT THE SERVICES WILL BE AVAILABLE FOR ANY MINIMUM TIME PERIOD, OR THAT A MINIMUM NUMBER OF AGENTS WILL BE AVAILABLE AT THE CALL CENTER AT ANY GIVEN TIME. WE MAKE NO OTHER REPRESENTATIONS OR WARRANTIES, EXPRESS OR IMPLIED, INCLUDING WITHOUT LIMITATION, ANY IMPLIED WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, REGARDING THE SERVICE. YOU, ON BEHALF OF YOURSELF, YOUR SUCCESSORS AND ASSIGNS, HEREBY WAIVE, RELEASE AND RENOUNCE ALL CLAIMS OR CAUSES OF ACTION THAT YOU MAY HAVE AGAINST US, OUR AFFILIATES, OR OUR OR THEIR OFFICERS, DIRECTORS OR AGENTS, ARISING OUT OF THE SERVICES, UNLESS DUE TO OUR WILFULL MISCONDUCT.
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- Limitation on Liability. NEITHER PARTY SHALL BE LIABLE TO THE OTHER PARTY FOR CONSEQUENTIAL, INCIDENTAL, PUNITIVE, OR INDIRECT DAMAGES, INCLUDING, BUT NOT LIMITED TO, LOST PROFITS OR LOST REVENUE (COLLECTIVELY REFERRED TO AS "INDIRECT DAMAGES") ARISING FROM, RELATING TO, OR IN CONNECTION WITH THE SERVICE, EVEN IF SUCH PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF OR COULD HAVE FORESEEN SUCH DAMAGES. IN ADDITION, EACH PARTY'S DIRECT DAMAGES (AND ANY INDIRECT DAMAGES TO THE EXTENT THAT A COURT OF COMPETENT JURISDICTION OR OTHER AUTHORITY DOES NOT RECOGNIZE OR ENFORCE THE ABOVE WAIVER) SHALL BE LIMITED TO THE TOTAL FEES PAID BY YOU TO US DURING THE THEN CURRENT TERM OF THE FRANCHISE AGREEMENT.
9. Miscellaneous.
Source: Item 22 — CONTRACTS (FDD pages 79–80)
What This Means (2025 FDD)
The 2025 Franchise Disclosure Document for Sonesta Simply Suites does not explicitly state whether the franchise agreement includes a waiver of class action. However, the document does mention dispute resolution procedures under the Franchise Agreement, including provisions concerning waiver of jury trial, consent to venue and personal jurisdiction, and choice of law. These clauses dictate how disputes will be handled.
While a class action waiver is not explicitly mentioned, the presence of clauses addressing dispute resolution, jury trial waivers, and venue selection suggests that the Franchise Agreement carefully defines the legal processes for resolving conflicts. Prospective franchisees should carefully review the full Franchise Agreement, particularly the sections on dispute resolution, to understand their rights and obligations.
It is important for potential Sonesta Simply Suites franchisees to seek legal counsel to fully understand the implications of these provisions and how they might affect their ability to pursue legal claims against the franchisor. Understanding these clauses is crucial before entering into a franchise agreement. A lawyer can help interpret the scope and enforceability of these provisions in the franchisee's specific jurisdiction.
To gain clarity, a prospective franchisee should directly ask Sonesta Simply Suites about whether the Franchise Agreement contains a class action waiver. If it does, they should understand the implications of waiving this right and how it might affect their legal options in case of a dispute with the franchisor.