Under the Sonesta Simply Suites agreement, what does the individual signing represent and warrant?

According to the 2025 Sonesta Simply Suites Franchise Disclosure Document, the individual signing the agreement represents and warrants that they are authorized to bind the entity to fulfill its payment and performance obligations under the agreement. This means that the person signing on behalf of the franchisee assures Sonesta Simply Suites that they have the legal authority to commit the business to the terms outlined in the franchise agreement.

This representation is crucial for Sonesta Simply Suites because it ensures that the agreement is legally enforceable. If the individual signing lacks the proper authority, the entire agreement could be called into question, potentially leading to legal disputes and financial losses for Sonesta Simply Suites. Therefore, it is important for prospective franchisees to ensure that the person signing the agreement on their behalf has the explicit authority to do so, as confirmed by corporate resolutions or other legal documentation.

For a prospective Sonesta Simply Suites franchisee, this clause highlights the importance of understanding the legal structure of their business entity and ensuring that the correct individuals are authorized to sign legal documents. Failing to do so could result in the agreement being deemed invalid, which could have significant repercussions for the operation of the franchise. This is a fairly standard clause in franchise agreements across various industries, intended to protect the franchisor by ensuring the agreement is binding.