Can The Standardx Franchise Agreement be modified, and if so, what are the requirements for modification?
The_Standardx Franchise · 2025 FDDAnswer from 2025 FDD Document
Subject to Hyatt's right to modify the Hotel System, System Standards, System Services and System Services Charges (including the methods of allocating costs for System Services), from time to time, this Agreement may not be modified except by a written agreement signed by both Hyatt's and Franchisee's duly-authorized officers.
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 Franchise Agreement may only be modified by a written agreement. This written agreement must be signed by authorized officers of both The Standardx and the franchisee. This requirement ensures that any changes to the original agreement are formally documented and agreed upon by both parties, preventing misunderstandings or disputes later on.
This clause is standard in franchise agreements to maintain clarity and enforceability. It protects both The Standardx and the franchisee by requiring a formal process for any modifications. Oral agreements or informal understandings are not sufficient to alter the terms of the Franchise Agreement.
Prospective franchisees should pay close attention to this provision. It means that any promises or representations made by The Standardx during the negotiation phase that are not included in the final, signed agreement are not binding. Franchisees should ensure that all important terms and conditions are clearly stated in the written agreement to avoid future issues.