Can the Holder of the Note for Sonesta Simply Suites waive any legal or equitable rights?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
Maker may prepay this Note at any time without penalty.
4. General.
- a. This Note is not intended to be exhaustive in nature, nor is it intended to set forth all of Holder's rights. It does not modify, replace, or affect any other rights, default or termination notices under the Agreement, or any other agreement with Holder regarding Maker's Hotel. Holder does not waive any of its legal or equitable rights (including the right to specify additional defaults) or remedies.
- b. No failure or delay by Holder to insist on strict performance of any term of this Note or exercise any right or remedy upon the occurrence of an Acceleration Event or any other breach of this Note, is a waiver of any term or agreement or of any breach, or precludes Holder from exercising any right or remedy at any later time unless in writing.
Source: Item 23 — RECEIPTS (FDD pages 80–246)
What This Means (2025 FDD)
According to the 2025 FDD, the Holder of the Note for Sonesta Simply Suites does not waive any legal or equitable rights unless it is explicitly stated in writing. This means that Sonesta Simply Suites retains all of its rights, even if they delay or fail to enforce them initially.
Specifically, the FDD states that no failure or delay by the Holder to insist on strict performance of any term of this Note or exercise any right or remedy upon the occurrence of an Acceleration Event or any other breach of this Note, is a waiver of any term or agreement or of any breach, or precludes Holder from exercising any right or remedy at any later time unless in writing. This protects Sonesta Simply Suites by ensuring that their rights are not unintentionally relinquished through leniency or oversight.
Furthermore, if the Holder accepts any payment after its due date, this act will not be a waiver of Holder's right to receive payment of all other amounts or to declare a default for the failure to make any other payment when due. This provision ensures that accepting late payments does not prevent Sonesta Simply Suites from enforcing timely payments in the future. Any modifications or amendments to the Note must be documented in writing and signed by the Holder to be binding.