What is the deadline for paying the Royalty Fee to Hyatt for The Standardx?

According to The Standardx's 2025 Franchise Disclosure Document, the Royalty Fee is due to Hyatt on or before the tenth (10th) day of each month, or such later day of the month that Hyatt periodically specifies. The Royalty Fee is a percentage of the Hotel’s Gross Rooms Revenue accrued during the preceding month, as detailed in Exhibit B-1.

This means that a The Standardx franchisee must ensure that the Royalty Fee payment reaches Hyatt by the 10th of each month, unless Hyatt provides a written notice of a later due date. The amount due is calculated from the previous month's Gross Rooms Revenue. Franchisees need to maintain accurate records of their monthly revenue to calculate the correct Royalty Fee and avoid potential discrepancies.

Failure to pay on time can result in a late fee of $225, and amounts that are more than seven days late will accrue interest at a rate of 1.5% per month or the highest commercial contract interest rate the law allows, whichever is less. Hyatt may also examine the franchisee's records and charge the franchisee for the costs of the examination if an underpayment of 3% or more is discovered during any six-month period, or if the franchisee willfully understated the Hotel's revenue. Therefore, it is crucial for franchisees to prioritize timely and accurate Royalty Fee payments to avoid these penalties and maintain a good financial standing with Hyatt.