Can a Sonesta Simply Suites franchisee contest the validity of the Marks during or after the term of the agreement?

According to the 2025 Sonesta Simply Suites Franchise Disclosure Document, franchisees are prohibited from contesting the validity of the brand's trademarks and service marks, both during and after the term of their franchise agreement. The FDD emphasizes that the right to use the Marks is derived solely from the franchise agreement and is contingent upon operating the hotel according to the agreement's terms and prescribed brand standards.

This restriction is a standard practice in franchising, designed to protect the franchisor's brand identity and goodwill. By agreeing to this clause, a Sonesta Simply Suites franchisee acknowledges the value and importance of the Marks to the franchise system. Unauthorized use of the Marks by the franchisee constitutes a breach of the agreement and an infringement of the franchisor's rights.

The franchisee also acknowledges that any goodwill established through their use of the Marks benefits Sonesta Simply Suites and its affiliates exclusively. This provision reinforces the franchisor's ownership and control over its brand assets, preventing franchisees from claiming any independent rights or interests in the Marks beyond the scope of the franchise agreement. This ensures brand consistency and protects the overall reputation of the Sonesta Simply Suites franchise system.