Does a notice of termination from Sonesta Simply Suites relieve the franchisee of their obligations?

According to the 2025 Sonesta Simply Suites Franchise Disclosure Document, a notice of termination from Sonesta Simply Suites does not relieve the franchisee of their obligations under the Franchise Agreement or any of its attachments. This means that even if Sonesta Simply Suites terminates the agreement, the franchisee remains responsible for fulfilling all duties and responsibilities outlined in the agreement.

This provision protects Sonesta Simply Suites by ensuring that franchisees cannot escape their contractual obligations simply by receiving a termination notice. The franchisee is still liable for any outstanding payments, compliance requirements, and other responsibilities detailed in the agreement. This could include financial obligations such as royalties, brand promotion fees, and other amounts owed to Sonesta Simply Suites or its affiliates, as well as obligations to third parties related to the operation of the Brand Hotel.

For a prospective Sonesta Simply Suites franchisee, this underscores the importance of fully understanding the terms of the Franchise Agreement and the potential long-term financial and operational commitments involved. Franchisees should be prepared to meet all obligations even in the event of termination, which could have significant financial implications. It is advisable to seek legal counsel to fully comprehend the scope of these obligations and potential liabilities.