Does a Sonesta Simply Suites franchisee need consent to lease commercial space in the hotel?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
tly and severally liable with you for all your obligations under this Agreement, except with respect to the actual payments of any amounts due to any third parties, our affiliates or pursuant to this Agreement. You must obtain our prior written consent to any change of the Management Company or if you wish to engage a Management Company after the Effective Date, which consent may be withheld in our sole discretion, and will be subject to the proposed Management Company demonstrating the capability to manage your Hotel pursuant to this Agreement and the Brand Standards. In the event we approve a change in the Management Company, the new Management Company must execute the Management Company Joinder to this Agreement.
You are solely responsible for the management, direction, and control of your Hotel, regardless of whether you retain a Management Company. We reserve the right to revoke our approval of the Management Company if, in our discretion, the Management Company fails to remain qualified to manage your Hotel. The management agreement between you and the Management Company shall be subject and subordinate to this Agreement and, in the event of any conflict between the management agreement and this Agreement, the controlling contract shall be this Agreement.
E. Approved Products, Services, and Suppliers. We and our affiliates reserve the right to periodically designate and approve standards and specifications of the FF&E and the products and services that we periodically authorize for use at your Hotel.
Source: Item 22 — CONTRACTS (FDD pages 79–80)
What This Means (2025 FDD)
The 2025 Franchise Disclosure Document for Sonesta Simply Suites indicates that franchisees need prior written consent from Sonesta RL Hotels Franchising Inc. to engage a management company after the effective date of the franchise agreement. This consent can be withheld at Sonesta Simply Suites's discretion. The management company must demonstrate the capability to manage the hotel according to the franchise agreement and brand standards. If a change in the management company is approved, the new management company must agree to the Management Company Joinder to the agreement.
Even if a franchisee retains a management company, they remain solely responsible for the management, direction, and control of their Sonesta Simply Suites hotel. Sonesta Simply Suites reserves the right to revoke approval of a management company if it fails to remain qualified. The management agreement between the franchisee and the management company is subordinate to the franchise agreement; in case of any conflict, the franchise agreement controls.
The FDD does not specifically address whether a Sonesta Simply Suites franchisee needs consent to lease commercial space within the hotel. However, the franchise agreement does state that the franchisee cannot be party to any agreement with a third party that grants the right to operate a business at the premises of the hotel under a brand or trademark.
To fully understand the requirements for leasing commercial space, a prospective Sonesta Simply Suites franchisee should directly ask the franchisor about the specific policies and procedures related to leasing commercial space within the hotel premises. This will clarify whether consent is needed and what conditions apply.