How are conflicts resolved between The Standardx's Design and Construction Standards and local codes and regulations?
The_Standardx Franchise · 2025 FDDAnswer from 2025 FDD Document
Where the requirements of applicable country and local codes and regulations exceed the standards required by Hyatt with respect to a specific item or topic, those applicable country and local codes and regulations will apply to that item or topic. Where the country and local codes and regulations do not address a particular issue or standard or are less stringent than the Design and Construction Standards with respect to such issue or standard, the Design and Construction Standards will govern.
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 resolution of conflicts between its Design and Construction Standards and local codes and regulations depends on the stringency of the requirements. If local codes and regulations are more demanding than The Standardx's standards for a specific item or topic, the local codes and regulations will take precedence. Conversely, if the local codes and regulations do not address a particular issue or are less strict than The Standardx's Design and Construction Standards, then The Standardx's standards will govern.
This approach ensures that The Standardx hotels meet at least the minimum legal requirements while also adhering to The Standardx's brand standards where local regulations are less comprehensive. This is a fairly standard practice in franchising, as it allows for consistency across locations while respecting local laws.
For a prospective franchisee, this means they must be aware of both The Standardx's Design and Construction Standards and all applicable local codes and regulations. Franchisees will need to ensure their hotel design and construction comply with the stricter of the two. This may require additional due diligence and potentially higher costs if local regulations are more stringent than The Standardx's base requirements. The franchisee is responsible for obtaining all necessary licenses, permits, and authorizations and for complying with all legal requirements at their own cost.