What is the purpose of the franchisor's involvement in location approval for a Sonesta Simply Suites franchise?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
You acknowledge and agree that any of our involvement in the approval of location is for our sole benefit. You further acknowledge that you have been advised to obtain the advice of your own professional advisors in connection with your purchase of the Premises or the Lease, as applicable.
Source: Item 22 — CONTRACTS (FDD pages 79–80)
What This Means (2025 FDD)
According to the 2025 Sonesta Simply Suites Franchise Disclosure Document, any involvement by Sonesta Simply Suites in the approval of a location is solely for their own benefit. The FDD also states that franchisees are advised to seek advice from their own professional advisors regarding the purchase or lease of the premises. This means that while Sonesta Simply Suites may offer input or approval on a potential location, their primary concern is protecting their brand and ensuring the location aligns with their strategic interests.
Sonesta Simply Suites's approval of plans and designs does not assume responsibility for the efficacy of the plans and designs, or the resulting construction work. Franchisees are responsible for ensuring their hotel and construction work comply with all applicable laws, bylaws, statutes, ordinances, orders, rules, regulations, permits, licenses, authorizations, directions, and requirements of all governments and governmental authorities. Sonesta Simply Suites has the right to participate in all progress meetings during construction work and to have access to the hotel during reasonable business hours to inspect the hotel, its construction, and renovations.
This arrangement places the onus on the franchisee to conduct thorough due diligence and seek independent expert advice to assess the suitability of the location for their business. While the franchisor's input can be valuable, franchisees must not rely solely on it and should make their own informed decisions. This is a common practice in franchising, where the franchisor focuses on brand consistency and system standards, while the franchisee bears the ultimate responsibility for the financial success of their individual unit.
In the case of converting an existing hotel into a Sonesta Simply Suites, the franchisee must provide either a deed reflecting ownership of the premises or a copy of the lease that allows them the right to enter into the Franchise Agreement. Failure to provide the deed or lease may result in immediate termination of the Franchise Agreement. The franchisee must also warrant that they are entitled to possession of the premises without restrictions that would interfere with their performance under the Franchise Agreement.