factual

What must a Sonesta Simply Suites franchisee do to have services restored after curing an Event of Default?

Sonesta_Simply_Suites Franchise · 2025 FDD

Answer from 2025 FDD Document

If you fully cure the Event of Default within the time provided in our notice, including payment of any amounts accruing to us under this Agreement after the date of our notice, and further including payment of our then applicable administrative fee for resumption of services, we will restore you to the Central Reservation System, and add you to all future directories we publish and to all advertising we subsequently disseminate (except advertising that was ordered before your reinstatement), but we will not be required to redirect to you any reservations previously made for your Hotel and diverted to other Network Hotels during the period of suspension or removal, and you will be entitled to no compensation in connection with our election to suspend or remove your Hotel from our directories, advertising or the Central Reservation System.

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

What This Means (2025 FDD)

According to Sonesta Simply Suites' 2025 Franchise Disclosure Document, if a franchisee has an Event of Default and wishes to have services restored, they must fully cure the default within the time frame specified in the notice. This includes paying any outstanding amounts owed under the Franchise Agreement that have accrued since the notice date.

In addition to curing the default and paying outstanding amounts, the franchisee must also pay Sonesta Simply Suites' then-applicable administrative fee for the resumption of services. Once these conditions are met, Sonesta Simply Suites will restore the franchisee to the Central Reservation System and include the hotel in future directories and advertising.

However, Sonesta Simply Suites is not required to redirect any reservations that were previously made for the franchisee's hotel but diverted to other Network Hotels during the period of suspension. Furthermore, the franchisee will not be entitled to any compensation for the period their hotel was removed from directories, advertising, or the Central Reservation System. This highlights the importance of addressing defaults promptly to minimize disruption and potential loss of business.

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.