What sections are removed from Exhibit B during a Springhill Suites By Marriott relicensing franchise agreement?
Springhill_Suites_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
DRAFTING NOTE: Change references from "Franchise Agreement" on the cover page, table of contents, first page and signature page to "Relicensing Franchise Agreement," and delete "Chain Acquisition," "Construction Start Deadline," "Opening Deadline" and "Restricted Territory" from Exhibit B.
Source: Item 16 — FINANCING OF THE HOTEL (FDD pages 206–257)
What This Means (2025 FDD)
According to Springhill Suites By Marriott's 2025 Franchise Disclosure Document, when a franchise agreement is relicensed, certain sections are removed from Exhibit B. Specifically, the sections "Chain Acquisition," "Construction Start Deadline," "Opening Deadline," and "Restricted Territory" are deleted from Exhibit B during a relicensing franchise agreement.
This adjustment reflects the nature of a relicensing agreement, which involves an existing hotel property continuing under the Springhill Suites By Marriott brand rather than a new construction or acquisition. Therefore, terms related to initial construction timelines and chain acquisition details become irrelevant and are removed to streamline the agreement.
Prospective franchisees should note that Exhibit B contains definitions of key terms used in the franchise agreement. The removal of these specific sections during relicensing simplifies the document by eliminating terms that do not apply to the continuation of an existing Springhill Suites By Marriott hotel. This ensures that the agreement focuses on the relevant aspects of operating the hotel under the franchise.