What relationship is created between the parties under the Surestay Hotel By Best Western agreement?
Surestay_Hotel_By_Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
xpiration or termination of this Agreement.
16.0 RELATIONSHIP OF THE PARTIES
16.1 No Agency or Joint Employer Relationship. You are an independent contractor and this Agreement does not create a fiduciary, agency, partnership, joint venture, joint employer, employment or similar relationship. Neither party is the legal representative nor agent of, or has the power to obligate (or has the right to direct or supervise the daily affairs of) the other for any purpose whatsoever. You acknowledge and agree, and will never contend otherwise, that you alone will exercise day-to-day control over all operations, activities and elements of the Hotel and that under no circumstance shall we do so or be deemed to do so. You further acknowledge and agree, and will never contend otherwise, that the various requirements, restrictions, prohibitions, specifications and procedures of the System which you are required to comply with under this Agreement, whether set forth in the Standards or otherwise, do not directly or indirectly constitute,
suggest, infer or imply that we control any aspect or element of the day-to-day operations of you or the Hotel, which you alone control, but only constitute standards you must adhere to when you are exercising control of the day-to-day operations of the Hotel.
You acknowledge and agree that we have no control (direct or indirect) over, or responsibility for, any decision related to or affecting the employment or supervision of any person employed at or providing services in connection with the Hotel, including but not limited to recruitment, hiring, termination, discipline, supervision, performance evaluation, payroll, setting of wages, schedules, workflow, qualifications, or productivity; the maintenance of personnel records; the provision of employment benefits; employee taxes; or the assignment of responsibilities.
16.2 Notices to Public Concerning Your Independent Status. All contracts for the Hotel's operations and services at the Hotel will be in your name or in the name of your management company. You will not enter into or sign any contracts in our name or any Entity's name or using the Marks or any acronyms or variations of the Marks.
Source: Item 23 — Receipts (FDD pages 88–286)
What This Means (2025 FDD)
According to the 2025 Surestay Hotel By Best Western Franchise Disclosure Document, the relationship between Surestay, Inc. and the franchisee is that of independent contractors. The franchise agreement explicitly states that it does not create a fiduciary, agency, partnership, joint venture, joint employer, employment, or similar relationship. This means that franchisees are not considered employees or agents of Surestay Hotel By Best Western, and they operate their hotels independently.
Surestay Hotel By Best Western emphasizes that the franchisee has day-to-day control over all aspects of the hotel's operations. While franchisees must adhere to the standards set forth in the franchise agreement, these standards do not imply that Surestay Hotel By Best Western controls the daily operations of the hotel. The franchisee is solely responsible for decisions related to employment, supervision, and all personnel matters, including hiring, termination, and compensation.
The agreement also requires franchisees to disclose their independent status in all dealings with the public, suppliers, and third parties. Franchisees must ensure that all contracts for the hotel's operations and services are in their name, not in Surestay Hotel By Best Western's name. This reinforces the understanding that the franchisee is a separate and distinct entity, and Surestay Hotel By Best Western is not liable for the franchisee's debts.