When does the Sonesta Simply Suites Franchisor have the right to effectuate the assignment of Online Presences?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
Upon termination or expiration of the Franchise Agreement (without extension), Franchisor shall have the right and is hereby empowered to effectuate the assignment of the Online Presences. In such event, Franchisee shall have no further right, title, or interest in the Online Presences, and shall remain liable to the Service Providers and the ISP for all past due fees owing to the Service Providers and the ISP on or before the effective date of the assignment hereunder.
Source: Item 22 — CONTRACTS (FDD pages 79–80)
What This Means (2025 FDD)
According to Sonesta Simply Suites's 2025 Franchise Disclosure Document, the franchisor has the right to effectuate the assignment of Online Presences upon the termination or expiration of the Franchise Agreement, without extension. Online Presences include websites, domain names, homepages, e-mail addresses, social media accounts, usernames, or other online presence associated with Sonesta Simply Suites's trademarks and service marks.
In such an event, the franchisee will relinquish all rights, title, or interest in these Online Presences. However, the franchisee remains responsible for any outstanding fees owed to the Service Providers and the ISP up to the effective date of the assignment.
To ensure a smooth transition, Sonesta Simply Suites includes a clause in the franchise agreement that addresses the transfer of online presences. This is a fairly standard practice in franchising, as it protects the brand's online identity and ensures consistency across all franchise locations. Prospective franchisees should be aware of this provision and factor it into their business planning, particularly when considering the potential resale value of the franchise.