Does the Springhill Suites By Marriott agreement create any third-party beneficiary rights?
Springhill_Suites_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
- C. No Third-Party Beneficiary. Nothing in this Agreement is intended to create any third-party beneficiary or give any rights or remedies to any Person except Franchisor or Franchisee and their respective permitted successors and assigns.
Source: Item 16 — FINANCING OF THE HOTEL (FDD pages 206–257)
What This Means (2025 FDD)
According to the 2025 Springhill Suites By Marriott Franchise Disclosure Document, the franchise agreement does not intend to create any third-party beneficiary rights. The agreement explicitly states that it does not give any rights or remedies to any person except Springhill Suites By Marriott or the franchisee and their respective permitted successors and assigns.
This clause is a standard legal provision designed to prevent outside parties from claiming rights under the franchise agreement. This means that suppliers, customers, or other entities who might benefit from the agreement have no legal standing to enforce its terms or claim damages if the agreement is breached.
For a prospective Springhill Suites By Marriott franchisee, this provision clarifies that the agreement is solely between the franchisee and franchisor. It limits potential legal complications by preventing third parties from asserting claims related to the franchise agreement. This ensures that the franchisee and Springhill Suites By Marriott maintain direct control over their contractual relationship without interference from external entities.