factual

How are potential conflicts between Sonesta Simply Suites franchisees identified?

Sonesta_Simply_Suites Franchise · 2025 FDD

Answer from 2025 FDD Document

0 | 1 | 0 | | Texas | 0 | 1 | 0 | | Total | 3 | 12 | 0 | <sup>1. These Brand Hotels are dual-branded under the Sonesta Essential Marks.

A list of the names, addresses and telephone numbers of all current franchisees as of December 31, 2024 is attached as Exhibit J-1 to this disclosure document.

A list of the names, cities, states, and telephone numbers of franchisees who had a Franchise Agreement terminated, cancelled, not renewed, or who otherwise voluntarily or involuntarily ceased to do business under a Franchise Agreement during the most recently completed fiscal year, or who had not communicated with us within 10 weeks of the issuance date of this Disclosure Document is attached as Exhibit J-2 to this disclosure document. If you buy this franchise, your contact information may be disclosed to other buyers when you leave the franchise system.

In some instances, current and former franchisees have signed provisions restricting their ability to speak openly about their experience with Sonesta Simply Suites-branded hotels. You may wish to speak with current and former franchisees, but be aware that not all such franchisees will be able to communicate with you.

We have established a brand advisory board (the "Brand Advisory Board") for hotels operated under the Marks, Sonesta Hotels and Resorts Marks, ES Suites Marks, Select Marks, and Essential Marks (the "Advisory Board Hotels"). The Brand Advisory Board is comprised of representatives (owners) of owned and franchised Advisory Board Hotels located in the United States and Canada. The purpose of the Brand Advisory Board is to consider, discuss and advise SRLHF on, among other things, the implementation of actions, initiatives, programs and standards relating to the Advisory Board Hotels. We may expand the Brand Advisory Board to include representatives from other Network Brands, or we may create one or more separate advisory boards for participants in other Network Brands. We have the right to change, merge or dissolve the Brand Advisory Board. You can reach the Brand Advisory Board by contacting Jordan Langlois at 400 Centre Street, Newton, Massachusetts 02458, (954) 254-3539 jordan.langlois@sonesta.com.

There are no other trademark specific franchisee organizations associated with the franchise system.

Source: Item 1 — of this disclosure document for all Network Brands and do not maintain physically separate offices and training facilities for each Network Brand. While we do not anticipate conflicts between franchisees of different brands, we will analyze any future conflict and take action (if any) that we deem appropriate. (FDD page 62)

What This Means (2025 FDD)

The 2025 Franchise Disclosure Document for Sonesta Simply Suites does not explicitly detail a specific process for identifying potential conflicts between franchisees. However, it does mention a Brand Advisory Board comprised of representatives from both owned and franchised hotels operating under various Sonesta brands, including Sonesta Simply Suites. This board serves as a platform to discuss and advise on the implementation of actions, initiatives, programs, and standards related to these hotels. While not directly addressing conflict identification, the Brand Advisory Board could potentially serve as a forum where franchisee concerns and potential conflicts could be raised and discussed.

Additionally, the FDD includes lists of current and former franchisees, which could allow prospective franchisees to contact them and inquire about their experiences within the Sonesta Simply Suites system. However, the document also notes that some former franchisees may have signed agreements restricting their ability to speak openly about their experiences, which could limit the information available to potential franchisees.

To gain a clearer understanding of how Sonesta Simply Suites identifies and manages potential conflicts between franchisees, a prospective franchisee should consider asking the franchisor directly about the specific procedures and mechanisms in place for addressing such issues. This inquiry should include the process for reporting conflicts, the methods used to resolve them, and the role of the Brand Advisory Board or other franchisee organizations in conflict resolution.

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.