factual

How is the limit for garage-keeper's liability insurance determined for a Sonesta Simply Suites franchise?

Sonesta_Simply_Suites Franchise · 2025 FDD

Answer from 2025 FDD Document

  • garage-keeper's liability to the extent that hotel operations include parking operations, with a limit adequate to cover the full actual value of all automobiles that are in your care, custody, and control at any one time;

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 42–46)

What This Means (2025 FDD)

According to Sonesta Simply Suites's 2025 Franchise Disclosure Document, if the hotel operations include parking, the garage-keeper's liability insurance must be adequate to cover the full actual value of all automobiles that are in the franchisee's care, custody, and control at any one time. This means the franchisee needs to assess the maximum potential value of all vehicles parked at the hotel at any given moment and secure insurance coverage accordingly.

This requirement ensures that Sonesta Simply Suites franchisees are financially protected against potential losses or damages to customer vehicles while they are parked on the property. It is the franchisee's responsibility to determine the appropriate coverage limit based on the value of the vehicles they are responsible for.

Prospective franchisees should carefully evaluate the potential value of vehicles parked at their location to determine the necessary coverage. They may want to consult with an insurance professional to assess their specific needs and ensure they have adequate coverage to meet the franchisor's requirements and protect their business from potential liabilities.

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.