Franchise Laws and Hotel Management Relationships: A Rose by Any Other Name …
As the role of hotel management companies has evolved over time from the leasing and ownership of hotels, to entering into agency management agreements, to now entering into management agreements with no agency disclaimers, the relationship between the hotel owner and hotel management company has adopted several of the attributes of a franchise relationship. If the substance of these relationships are not kept distinct from that of a franchise, they may become subject to the obligations of franchise laws.
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