What standards must the franchisee and their lessees adhere to when developing, maintaining, and operating Non-Hotel Components within the Mixed-Use Site for The Standardx?
The_Standardx Franchise · 2025 FDDAnswer from 2025 FDD Document
You must and must cause your lessees and your affiliates and their respective lessees to: (a) develop, maintain and operate all Non-Hotel Components within the Mixed-Use Site (as defined in Item 16) in accordance with quality, design and operational standards consistent with the quality, design and operational standards applicable to the Hotel, (b) refrain from advertising, marketing or promoting the Non-Hotel Components as being associated with or part of the Hotel, the "The StandardX" brand or any other Proprietary Marks, except in connection with the Hotel, advertisement and promotion approved pursuant to Section 5 of the Franchise Agreement; and (c) operate the Non-Hotel Components in a way that, in our reasonable judgment, does not damage or reflect adversely on the goodwill associated with any Proprietary Mark.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 48–64)
What This Means (2025 FDD)
According to The Standardx's 2025 Franchise Disclosure Document, franchisees and their lessees must adhere to specific standards when developing, maintaining, and operating Non-Hotel Components within a Mixed-Use Site. These standards are designed to ensure consistency and protect the brand's reputation.
Specifically, franchisees must ensure that all Non-Hotel Components are developed, maintained, and operated in accordance with quality, design, and operational standards that are consistent with those applicable to the Hotel itself. This means that the Non-Hotel Components should reflect the same level of quality and design as the Hotel.
Additionally, franchisees must prevent the advertising, marketing, or promotion of the Non-Hotel Components in a way that suggests they are associated with or part of the Hotel, The Standardx brand, or any other Proprietary Marks. The only exception is in connection with Hotel advertisements and promotions approved under Section 5 of the Franchise Agreement. Finally, franchisees must operate the Non-Hotel Components in a manner that does not, in The Standardx's reasonable judgment, damage or negatively impact the goodwill associated with any Proprietary Mark.