Under the Springhill Suites By Marriott agreement, does the agreement create any third-party beneficiaries?
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, Franchisee and Owner and their respective permitted successors and assigns.
Source: Item 11 — FINANCING OF THE HOTEL (FDD pages 265–285)
What This Means (2025 FDD)
According to the 2025 Springhill Suites By Marriott Franchise Disclosure Document, the agreement does not intend to create any third-party beneficiaries. The agreement explicitly states that rights and remedies are only granted to the Franchisor, Franchisee, and Owner, along with their permitted successors and assigns.
This clause clarifies that no other party besides those directly involved in the agreement (Springhill Suites By Marriott, the franchisee, and the property owner) can claim any benefits or legal recourse under the agreement. This is a common provision in franchise agreements to limit potential liabilities and ensure that only the parties who have agreed to the terms can enforce them.
For a prospective Springhill Suites By Marriott franchisee, this means that customers, suppliers, or other third parties cannot use the franchise agreement as a basis for claims against the franchisee or Springhill Suites By Marriott. This helps protect the franchisee from potential lawsuits or disputes arising from interpretations of the agreement by uninvolved parties.