factual

What restrictions are placed on The Standardx franchisee regarding making material changes to the Hotel's construction?

The_Standardx Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchisee may not make any material changes to plans approved by Hyatt (including any changes to any structural or life safety equipment or systems, the number and/or type of guest rooms or common areas, or any architectural features) without Hyatt's prior written consent.

Any changes in or departures from the agreed plans, or such other items must be Approved by Hyatt, unless such changes are so minor as to have no impact on the quality, character and operation of the Hotel (and in the case of such minor changes, no Approval by Hyatt is necessary). Hyatt may withhold its consent to any and all departures from the Approved concepts, plans, layout specifications, drawings or designs, or such other items to be Approved by Hyatt, in its sole discretion, if Hyatt determines that such departure will cause the Hotel to fail to adhere to the Design and Construction Standards.

To the extent that any of the matters in this Section 3 involve compliance with the Design and Construction Standards, Franchisee shall cause its Consultants and contractors to implement the direction provided by Hyatt during the review process in order to ensure that the Project complies with the Design and Construction Standards.

Franchisee's contracts with all Consultants and contractors shall provide that all concepts, plans, specifications and designs, and any changes thereto or departures therefrom subsequently made, shall be submitted for Approval to Franchisee and Hyatt prior to implementation.

Upon completion of the Project, Franchisee shall give Hyatt a written certificate or opinion from Franchisee's architect, licensed professional engineer, or recognized expert consultant stating that the Hotel conforms to all applicable Legal Requirements (including, without limitation, requirements governing public accommodations for persons with disabilities).

The scope of Hyatt's review and Approval of plans, designs and specifications is limited solely to brand adequacy and relationship of spaces, quality standards, and the aesthetics of the building for use as a hotel of the applicable brand (a "Brand hotel").

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, franchisees are significantly restricted from making changes to approved hotel construction plans. Franchisees must obtain The Standardx's prior written consent before implementing any material changes to the plans. This includes alterations to structural or life safety equipment/systems, the number and/or type of guest rooms or common areas, or any architectural features. The Standardx retains the right to withhold approval if it determines that the changes will cause the Hotel to fail to adhere to the Design and Construction Standards.

Even for changes that seem minor, franchisees must still seek approval from The Standardx, unless the changes are so insignificant that they have no impact on the quality, character, and operation of the hotel. The Standardx's review of plans, designs, and specifications is focused on brand adequacy, space relationships, quality standards, and the aesthetics of the building as a Brand hotel. Franchisees are responsible for ensuring their consultants and contractors implement The Standardx's directions during the review process to comply with the Design and Construction Standards.

Franchisees must also ensure that all concepts, plans, specifications, and designs, along with any subsequent changes or departures, are submitted for approval to both the franchisee and The Standardx before implementation. Upon project completion, the franchisee must provide The Standardx with a written certificate or opinion from their architect, licensed professional engineer, or recognized expert consultant, confirming that the hotel meets all applicable legal requirements, including those related to public accommodations for persons with disabilities. These measures ensure that all construction aligns with The Standardx's brand standards and legal requirements, protecting brand consistency and quality across all franchise locations.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.