In The Standardx agreement, what do 'Party' and 'Parties' refer to?
The_Standardx Franchise · 2025 FDDAnswer from 2025 FDD Document
he financial terms of this Agreement, product and business plans, unpublished financial information, trade secrets, know-how and information regarding processes, information regarding customers, information concerning both successful and unsuccessful tests and ideas and technologies, and any reports, materials, program materials, software, flowcharts, notes, outlines and the like, used, created or developed by Hyatt or its affiliates in connection herewith ("Work Product") shall be deemed to be the confidential and proprietary information ("Confidential Information") of the Disclosing Party. The Receiving Party agrees (i) to hold all Confidential Information in strict confidence; (ii) to disclose Confidential Information only to employees of the Receiving Party who have a need to know such Confidential Information and who are advised to hold such Confidential Information in strict confidence; and (iii) not to copy, reproduce, sell, assign, license, market, transfer or otherwise dispose of, give or disclose such Confidential Information to third parties, or to use such Confidential Information for any purposes whatsoever other than in connection with the Receiving Party's performance under this Agreement. Notwithstanding anything in this Agreement, the Receiving Party shall not copy, reproduce, sell, assign, license, market, transfer or otherwise dispose of, give or disclose the Disclosing Party's Confidential Information to a competitor of the Disclosing Party without the prior written consent of the Disclosing Party. In addition, Owner acknowledges it does not have right, title, interest or copyright in any Work Product or Hyatt Confidential Information, nor any license to use, sell, exploit, copy or further develop such Work Product or Confidential Information.
Source: Item 18 — OTHER INCOME (LOSS), NET (FDD pages 187–399)
What This Means (2025 FDD)
According to The Standardx's 2025 Franchise Disclosure Document, the terms "Party" and "Parties" generally refer to the entities entering into an agreement. Specifically, in the context of the provided excerpts, "Party" refers to either Hyatt or the Owner (franchisee) in various agreements and obligations.
The FDD excerpt highlights this in sections discussing indemnification and confidentiality. For instance, it states that Hyatt and the Owner have indemnification obligations to each other, and in no event shall either party be liable to the other for special, incidental, or consequential damages. This indicates that "Party" can be either Hyatt or the franchisee depending on the context of the specific clause.
In the section regarding confidentiality, each party is referred to as either a "Receiving Party" or a "Disclosing Party," further clarifying that "Party" refers to either of the two entities involved in the agreement. Understanding this definition is crucial for a prospective franchisee to comprehend their rights, responsibilities, and potential liabilities under various agreements with The Standardx.