Does the Springhill Suites By Marriott disclosure document have state-specific amendments for California?
Springhill_Suites_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
CALIFORNIA
STATUTORY AND REGULATORY PROVISIONS AND REQUIREMENTS OF THE STATE OF CALIFORNIA APPLICABLE TO THE FRANCHISE DISCLOSURE DOCUMENT
- THE CALIFORNIA FRANCHISE INVESTMENT LAW REQUIRES THAT A COPY OF ALL PROPOSED AGREEMENTS RELATING TO THE SALE OF THE FRANCHISE BE DELIVERED TOGETHER WITH THE DISCLOSURE DOCUMENT.
- Item 3 of the disclosure document is modified to include the following:
Neither we, nor any person identified in Item 2, is subject to any currently effective order of any national securities association or national securities exchange (as defined in the Securities and Exchange Act of 1934, 15 U.S.C. § 78a, et seq.) suspending or expelling such person from membership in such association or exchange.
Source: Item 11 — FINANCING OF THE HOTEL (FDD pages 265–285)
What This Means (2025 FDD)
Yes, according to the 2025 Springhill Suites By Marriott Franchise Disclosure Document, there are state-specific amendments for California.
The disclosure document includes a section that outlines statutory and regulatory provisions specific to California. This section modifies certain items within the disclosure document to ensure compliance with California law. For example, Item 3 of the disclosure document is modified to include a statement regarding orders of national securities associations or exchanges.
Additionally, Item 17 of the disclosure document is modified to include information about California Business and Professions Code Sections 2000 through 20043, which provide rights to the franchisee concerning termination, transfer, or non-renewal of a franchise. It also addresses the enforceability of provisions related to bankruptcy, liquidated damages, choice of law, binding arbitration, and general releases under California law. These modifications aim to protect the franchisee's rights and ensure that the franchise agreement complies with California's specific legal requirements.
Prospective franchisees in California should carefully review these state-specific amendments to understand their rights and obligations under California law. They should also consult with legal counsel to ensure that the franchise agreement complies with all applicable California laws and regulations.