Does the Hosting Services Agreement for The Standardx apply to hotels that will be owned in the future?
The_Standardx Franchise · 2025 FDDAnswer from 2025 FDD Document
WHEREAS, Owner owns a property known as [Insert Hotel Name] located at [Insert Owner Address] ("Property"), and the Property is operated pursuant to a franchise agreement with Hyatt or its affiliate (as it may be amended, "Franchise Agreement");
WHEREAS, Owner has requested that Hyatt provide certain Services, as defined below, to Owner in connection with the Property, pursuant to one or more of the following programs offered by Hyatt to Hyatt branded and affiliated hotels: the Field Marketing Program, the Central Sales Services Program, the Revenue Management Services Program, the Global Property Guest Services Program, the Digital Ancillary Services Program, or any similar program offered by Hyatt in the future (each individually, a "Program" and collectively, the "Programs"); and
Source: Item 18 — OTHER INCOME (LOSS), NET (FDD pages 187–399)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the Central Hotel Services by Hyatt Master Agreement applies to a property owned by the franchisee, referred to as the "Owner," and operated under a franchise agreement with Hyatt or its affiliate. The agreement is specific to the property identified as [Insert Hotel Name] located at [Insert Owner Address] ("Property"). Hyatt will provide services in connection with the Property, pursuant to programs such as the Field Marketing Program, the Central Sales Services Program, the Revenue Management Services Program, the Global Property Guest Services Program, the Digital Ancillary Services Program, or any similar program offered by Hyatt in the future.
This agreement is made between the Owner and Hyatt Corporation and outlines the terms and conditions under which Hyatt will provide services to the specified property. The services are detailed in schedules attached to the agreement, and Hyatt may update these services and related prices by providing an updated attachment. The franchisee is responsible for the fees set forth on Hyatt's then-current applicable Schedules as of the Service Effective Date, and any subsequently updated Fees as listed on an Updated Services Schedule.
Given that the agreement explicitly refers to a specific property identified by name and address, it appears that a separate agreement would need to be established for each new The Standardx hotel acquired or developed by the franchisee. The agreement does not seem to automatically extend to future properties. A prospective franchisee should confirm with The Standardx whether the Central Hotel Services by Hyatt Master Agreement is property-specific and what the process is for establishing such agreements for additional hotels acquired in the future.