☰
✕


HOTEL BUSINESS REVIEW

FOCUS:

 

Hotel Law: Emerging Issues for the Hospitality Industry

By Nelson Migdal Shareholder & Co-Chair Hospitality Practice, Greenberg Traurig LLP | May 2010

The hospitality industry as a whole, and various sectors within the industry in particular, continue to face challenges arising from changes in the local, regional, national and international marketplace. We will identify and briefly discuss some of these emerging issues. **The Hotel Management Agreement** The hotel management agreement is the primary document governing the relationship between the hotel owner and the hotel operator or manager. Even in the franchise arena there are often hotel management agreements that govern the management of the hotel for the owner. In this case the management agreement gives the owner a bit more flexibility by allowing the owner to add its own structure on top of the structure provided in the franchise agreement. Therefore, the hotel would be managed in accordance with both the management agreement and the franchise agreement. Because the management agreement is the vehicle for so much of what governs the parties, the agreement itself becomes important in considering emerging legal issues. **Which Party is the Employer of the Hotel Employees?** One of the big issues for hotel owners is which party is the employer - the owner or the manager? There are pros and cons to each scenario, and the terms and conditions of the hotel management agreement with respect to employees and employment matters must be well thought out and leave no room for error. Because so many owners these days are REITS, private funds, insurance companies, and other institutional owners, the entire employee and employer relationship must be closely examined. Surprisingly, economics do not play into this issue as much as one would think. Typically, the owner is responsible for the costs of employment as an operating expense of the hotel regardless of which party is the employer. Similarly, the issues of imputation of liability for the conduct of certain employees are often the same regardless of which party is the employer. What tips the scale will vary based upon many factors, and the applicable law of the jurisdiction in which the hotel is located. **Performance Test Termination** Another hot issue in hotel management agreements is the performance termination test. Without a performance test termination the owner may have no right to terminate a poorly performing hotel manager. For example, the hotel manager may not be managing as expected by the hotel owner, but the poor performance may not rise to the level of an "event of default" under the hotel management agreement which would trigger an owner termination right. More and more owners are insisting on some sort of performance test termination. Typically, the performance test does not kick in until the hotel has had a chance to stabilize and work out the kinks of a newly operating hotel. The length of time for stability varies from hotel to hotel, but typically it is anywhere between one and three full fiscal years after the opening date. After the stability period, the time period for the performance test may be one or more years. The performance test can contain as little as one element or as many as a series of elements which the manager must pass. One element which is typically in performance tests is the requirement that the actual gross operating profit reaches at least a certain percentage of the gross operating profit set forth in the annual budget for such performance test period. While this may seem "self selective" at first glance because the manager typically presents the annual budget to the owner for approval, the owner must approve the annual budget before it is effective; therefore, if the threshold is too low, the owner would not approve the annual budget. Another element which is often used in a performance test is that a certain profit must be distributed to owner during the performance test period. This profit often is characterized as owner's preferred return and is typically tied to the financing of the hotel. For hotels which are rated by rating agencies such as Smith Travel Research, an element typically used in the performance test is a comparative test to see how the hotel stacks up to similar hotels in the market in which the hotel is located. Typically, the set of similar hotels is specified in the hotel management agreement as the "competitive hotel set". For the comparative test, the revenue per available room ("RevPAR") for the hotel must be no less than a certain percentage of the annualized average RevPAR of the competitive hotel set for each fiscal year in the performance test period. In some cases the failure of one element is enough to trigger owner's right to terminate, and in other cases the manager must fail all elements in the performance test before the owner's right to terminate is triggered. As you can imagine, the performance test is heavily negotiated in the hotel management agreement. One interesting twist to the performance test is the "do over" clause. This is where the manager has the right to literally pay for its mistakes. This is typically only tied to the gross operating profit and owner's preferred return elements of the performance test. The way the "do over" clause works is once the owner has exercised its right to terminate the hotel management agreement, if the manager provides owner a payment for the deficit in the hotel's achievement of the element of the test which the manager failed, then the manager will be deemed to have passed the performance test and will continue to manage the hotel. So, literally the manager is able to pay for its mistakes and continue managing the hotel. **Licensing and Geographic Exclusivity** There are many very familiar "brand" names of hotels and national hotel operating companies. Whether or not a hotel carries a "flag" "franchise" or "brand" is one important factor to consider along with the location of the closest hotel with the same flag. The flag impacts everything. The financial health of the hotel today and in the future as a result of the management of day-to-day operations of the hotel, the inventory of personal property that is sold along with the physical structure of hotel, collective bargaining agreements with unions, such as UNITE-HERE, unfunded pension liability, and intellectual property rights are all relevant. The debate of geographic exclusivity is another emerging trend. Clearly an owner of a brand name hotel does not want the franchisor or licensor to license its brand to another hotel on the same block, down the street, or even in the same city. The location of the closest hotel with the same flag will greatly impact the value of the owner's hotel. Therefore, sophisticated hotel owners are requiring that that the franchisor or licensor provide the hotel owner comfort that its hotel will be the only hotel in that area - at least for a period of time. Exclusivity provisions generally have two components - time and distance. For example, the license agreement may provide that for a specific period of time the licensor may not license the brand name in connection with the ownership, development, sale, marketing, advertising, promotion or operation of any other hotel within a specific area. In fact, the exclusivity provision may be even exclude the mere announcement of any affiliation with any hotel within the exclusivity area. There are a variety of ways in which exclusivity provisions can be configured. In some instances once the time period is over, the exclusivity right terminates and the licensor may license the brand to a hotel right next door. In other instances, the exclusivity right may start with a large area and after a certain period of time the exclusivity right will only apply to a smaller area, but that exclusivity right would run as long as the license agreement is in full force and effect. In other instances, the type of exclusivity may be split into several different categories. For example, if the licensor is licensing its brand to the owner of a traditional hotel, the exclusivity provision may be split into three categories each with its own time and distance parameters: (1) traditional hotel, (2) condominium hotel, and (3) residential project. It is critical for both parties to be careful during the negotiation of the exclusivity provision. Without a strong exclusivity provision, there is no guaranty that the franchisor or licensor will not license its brand to the hotel next door or across the street. While the franchisor or licensor will argue that this would "cannibalize" their profits under the existing agreement with the owner, if a developer approaches the franchisor or licensor with a project with twice the number of room keys over the owner's hotel, the temptation for the licensor or franchisor may be too great. An exclusivity provision would protect the owner from just this chain of events -- at least for a certain time and within a certain distance. While the hospitality industry continues to face challenges arising from changes in marketplace, with each passing day hotel owners and managers are becoming more sophisticated in protecting their interests. ![alt text][1]
This article was co-authored by Tara Gorman. Ms. Gorman is a Shareholder at Greenberg Taurig. She focuses her practice on general commercial real estate transactions, including commercial real estate acquisitions and sales, hotel acquisitions, operations, development and finance, office leasing, various financing transactions involving lender and borrower representation and telecommunications and access matters on behalf of building owners and managers. ![alt text][2]
This article was co-authored by Sarah Davis, Associate, Greenberg Taurig. Ms. Davis focuses her practice in Real Estate. Sarah is experienced in various general commercial real estate transactions, including office and retail leasing, sales and acquisitions and lender representation. Other areas of experience include negotiation of telecommunication access agreements and various financing transactions involving commercial mortgage-backed securities. [1]: http://www.hotelexecutive.com/images/business_review/2a2c9_gorman_tara.jpg [2]: http://www.hotelexecutive.com/images/business_review/davis_sarah.jpg

Choose a Social Network!

The social network you are looking for is not available.

Close

Terms & Conditions

The following are terms of a legal agreement ("Agreement") between you and HotelExecutive. By accessing, browsing and/or otherwise using this web site, HotelExecutive, you acknowledge that you have read, understood and agreed to be bound by these terms and conditions, and to comply with all applicable laws and regulations, including U.S. export and re-export control laws and regulations. If you do not agree to all of these terms and conditions, you may not access, browse and/or use HotelExecutive. The material provided on HotelExecutive is protected by law, including, but not limited to, United States copyright law and international treaties.

These terms of access apply to your access to and use of HotelExecutive and do not alter in any way the terms and conditions of any other agreement you may have with HotelExecutive for products, software, services or otherwise, unless otherwise directed by HotelExecutive. If you breach any of these terms and conditions, your authorization to use HotelExecutive automatically terminates and you must immediately destroy any downloaded or printed materials and discontinue use of any hyperlinks to HotelExecutive.

1. USE RESTRICTIONS

Copyright. All Site materials, including, without limitation, text, pictures, graphics and other files and the selection and arrangement thereof are copyrighted materials of HotelExecutive © 1996-2016, ALL RIGHTS RESERVED, or by the original creator of the material. Permission is granted to display and use the materials on HotelExecutive for private individual, educational and noncommercial use only, provided you do not modify the materials and that you retain all copyright and other proprietary notices contained in the materials. You may not, however, distribute, copy, reproduce, display, republish, download, or transmit any material on HotelExecutive for commercial use without prior written approval from HotelExecutive. You may not "mirror" any material contained on HotelExecutive on any other server without prior written permission from HotelExecutive. Any unauthorized use of any material contained on HotelExecutive may violate copyright laws, trademark laws, the laws of privacy and publicity and communications regulations and statutes.

Trademarks

The trademarks, service marks, trade names and logos (the "Trademarks") used and displayed on HotelExecutive are registered and unregistered Trademarks of HotelExecutive. In addition, all page headers, custom graphics, icons and scripts are service marks, trademarks and/or trade dress of HotelExecutive, and may not be copied, imitated or used, in whole or in part, without the prior written permission of HotelExecutive. You acknowledge that the Trademarks used and displayed on HotelExecutive are and shall remain the sole property of HotelExecutive or the Trademark owner. Nothing in this Agreement shall confer any right of ownership of any of the Trademarks in you. Further, nothing in HotelExecutive shall be construed as granting, by implication, estoppel or otherwise any license or right to use any Trademark used or displayed on HotelExecutive, without the express written permission of HotelExecutive or the Trademark owner. The misuse of the trademarks displayed on HotelExecutive, or any other Content on HotelExecutive, is strictly prohibited.

Hyperlinks

You are granted a limited, nonexclusive right to create a hypertext link to HotelExecutive provided that such link is to the entry page of HotelExecutive and does not portray HotelExecutive or any of its products or services in a false, misleading, derogatory, or otherwise defamatory manner. This limited right may be revoked at any time for any reason whatsoever. You may not use framing techniques to enclose any Company trademark, logo or trade name or other proprietary information including the images found at HotelExecutive, the Content of any text or the layout/design of any page or any form contained on a page without HotelExecutive's express written consent. Links to third party sites on HotelExecutive are provided solely as convenience to you. If you use these links, you will leave HotelExecutive. HotelExecutive has not reviewed all of these third party sites and does not control and is not responsible for any of these sites, their Content or their policies, including, without limitation, privacy policies or lack thereof. HotelExecutive does not endorse or make any representations about third party sites or any information, software or other products or materials found there, or any results that may be obtained from using them. If you decide to access any of the third party sites linked to HotelExecutive, you do so entirely at your own risk. You acknowledge and agree that HotelExecutive shall not be responsible or liable, directly or indirectly, for any damage or loss caused or alleged to be caused by, or in connection with the use of or reliance on any such third party sites.

Downloadable Materials

Any software, including codes or other materials that are made available to download from HotelExecutive, is the copyrighted work of HotelExecutive and/or its suppliers and affiliates. If you download software from HotelExecutive, use of the software is subject to the license terms in the software license agreement that accompanies or is provided with the software. You may not download or install the software until you have read and accepted the terms of the applicable software license agreement. Without limiting the foregoing, copying or reproduction of the software to any other server or location for further reproduction or redistribution is expressly prohibited unless otherwise provided for in the applicable software license agreement in the case of software, or the express written consent of HotelExecutive in the case of codes or other downloadable materials.

Limited Access

Except as otherwise expressly permitted by HotelExecutive, any access or attempt to access other areas of HotelExecutive computer system or other information contained on the system for any purposes is strictly prohibited. You agree that you will not use any robot, spider, other automatic device, or manual process to "screen scrape," monitor, "mine," or copy the Web pages on HotelExecutive or the Content contained therein without HotelExecutive's prior, express, and written permission. You will not spam or send unsolicited e-mail to any other user of HotelExecutive for any reason. You agree that you will not use any device, software or routine to interfere or attempt to interfere with the proper working of HotelExecutive. You agree that you will not take any action that imposes an unreasonable or disproportionately large load on HotelExecutive's infrastructure.

Additional Use Restrictions

You shall not post, transmit, e-mail, re-transmit or store material on or through any of the services provided by HotelExecutive (the "Services") which, in the sole judgment of HotelExecutive: (i) is in violation of any local, state, federal or non-United States law or regulation, (ii) is threatening, obscene, indecent, defamatory or that otherwise could adversely affect any individual, group or entity (collectively, "Persons") or (iii) violates the rights of any person, including rights protected by copyright, trade secret, patent or other intellectual property or similar laws or regulations including, but not limited to, the installation or distribution of "pirated" or other unauthorized photos or software products that are not appropriately licensed for use by you. You shall be responsible for determining what laws or regulations are applicable to its use of the Services. In addition, you may only use the Services in a manner that, in HotelExecutive's sole judgment, is consistent with the purposes of such Services. If you are unsure of whether any contemplated use or action is permitted, please contact HotelExecutive at editor@HotelExecutive By way of example, and not limitation, the following uses described below of the Services are expressly prohibited:

A. upload, post, e-mail or otherwise transmit any information, data, text, software, music, sound, photographs, graphics, video, messages or other materials (collectively, "Content") that is unlawful, harmful, threatening, abusive, harassing, tortious, defamatory, vulgar, obscene, libelous, invasive of another's privacy, hateful, sexually intolerant or racially, ethnically or otherwise objectionable;

B. impersonate any person or entity, including, but not limited to, a Company official, forum leader, guide or host, or falsely state or otherwise misrepresent your affiliation with a person or entity;

C. forge headers or otherwise manipulate identifiers in order to disguise the origin of any Content transmitted through the Services or develop restricted or password-only access pages, or hidden pages or images (those not linked to from another accessible page);

D. upload, post, e-mail or otherwise transmit any Content that you do not have a right to transmit under any law or under contractual or fiduciary relationships such as inside information, proprietary and confidential information learned or disclosed as part of employment relationships or under nondisclosure agreements;

E. upload, post, e-mail or otherwise transmit any Content that infringes any patent, trademark, trade secret, copyright or other proprietary rights of any party;

F. upload, post, e-mail or otherwise transmit any unsolicited or unauthorized advertising, promotional materials, "junk mail," "spam," "chain letters," "pyramid schemes" or any other form of solicitation;

G. upload, post, e-mail or otherwise transmit any material that contains software viruses, worms or any other computer code, files or programs designed to interrupt, destroy or limit the functionality of any computer software or hardware or telecommunications equipment;

H. interfere with or disrupt the Services or servers or networks connected to the Services, or disobey any requirements, procedures, policies or regulations of networks connected to the Services;

I. intentionally or unintentionally violate any applicable local, state, national or international law, including, but not limited to, regulations promulgated by the U.S. Securities and Exchange Commission, any rules of any national or other securities exchange, including, without limitation, the New York Stock Exchange, the American Stock Exchange or the NASDAQ, and any regulations having the force of law;

J. 'stalk' or otherwise harass another user of HotelExecutive or Company employee or official;

K. promote or provide instructional information about illegal activities, promote physical harm or injury against any group or individual, or promote any act of cruelty to animals. This may include, but is not limited to, providing instructions on how to assemble bombs, grenades and other weapons, and creating "Crush" sites; and

L. effecting security breaches or disruptions of Internet communication. Security breaches include, but are not limited to, accessing data of which you are not an intended recipient or logging into a server or account that you are not expressly authorized to access.

M. advertising to, or soliciting any user of HotelExecutive to buy or sell any products or services through the unauthorized or impermissible use of the Services. You may not transmit any junk email or chain letters to other users. If you breach this Agreement and send unsolicited bulk email, instant messages or other unauthorized commercial communications of any kind through the Services, you acknowledge that you will have caused substantial harm to HotelExecutive, but that the amount of such harm would be extremely difficult to ascertain. As a reasonable estimation of such harm, you agree to pay HotelExecutive $500 for each such unsolicited email or other unauthorized commercial communication you send to each user through the Services.

2. DISCLAIMER WARRANTY

HotelExecutive, including all software, functions, materials, and information is provided "as is" without warranties of any kind, either express or implied. HotelExecutive disclaims all warranties, express or implied, including, but not limited to, warranties of non-infringement and implied warranties of merchantability, fitness for a particular purpose, non-infringement, title, merchantability of computer programs, data accuracy, system integration, and informational Content. HotelExecutive does not warrant or make any representations regarding the operation of HotelExecutive, the use, validity, accuracy or reliability of, or the results of the use of the materials on HotelExecutive or any other sites linked to HotelExecutive. The materials of HotelExecutive may be out of date, and HotelExecutive makes no commitment to update the materials at HotelExecutive. HotelExecutive does not and cannot guarantee or warrant that the files available for downloading from HotelExecutive, if any, will be free from infection, viruses, worms, Trojan horses, or other code that manifest contaminating or destructive properties. HotelExecutive does not warrant that HotelExecutive, software, materials, products, or services will be uninterrupted or error-free or that any defects in HotelExecutive, software, materials, products, or services will be corrected.

3. LIMITATION OF LIABILITY

In no event will HotelExecutive, its suppliers or other third parties mentioned at or in HotelExecutive be liable for any damages, including, without limitation direct, indirect, special, incidental, or consequential damages, damages resulting from lost profits, lost data or business interruption arising out of relating to the use, inability to use, or resulting from the use of HotelExecutive, any web sites linked to HotelExecutive, the materials, software or other information contained in any or all such sites, whether based on warranty, contracts, statutes, regulations, tort (including but not limited to, negligence) or any other legal theory and whether or not advised of the possibility of such damages. If your use of the materials or information from HotelExecutive results in the need for servicing, repair or correction of equipment or data, you assume all costs thereof.

4. REVISIONS TO THIS AGREEMENT

HotelExecutive may revise this Agreement at any time without notice by updating this posting. By using HotelExecutive you agree to be bound by any such revisions and should therefore periodically visit HotelExecutive and page to determine the then current Terms of Access and Use conditions of use to which you are bound.

5. TRANSMISSIONS

Any idea you transmit to or post on HotelExecutive by any means will be treated as non-confidential and non-proprietary and may be disseminated or used by HotelExecutive or its affiliates for any purpose whatsoever, including, but not limited to, developing and marketing products. You are prohibited from posting or transmitting to or from HotelExecutive any unlawful, threatening, libelous, defamatory, obscene, scandalous, inflammatory, pornographic, profane material or any other material, including but not limited to any material that could give rise to any civil or criminal liability under both domestic and international law.

6. YOUR WARRANTIES

You warrant to HotelExecutive that:

You are the sole owner of all rights in the materials posted or uploaded by you (including all related copyrights) or that you have the absolute right to license their use as provided in this section. While you will retain ownership of the copyright in the materials posted or uploaded by you, you agree that all materials posted or uploaded by you shall become part of a database, and that HotelExecutive will own the compilation copyright in that database. In addition, you hereby grant HotelExecutive a perpetual, worldwide, irrevocable license to use, reproduce, modify, publish, publicly perform, publically display and distribute such materials, and portions of such materials and any derivative works created from such materials, in print, electronic and other media, by any means now known or developed in the future. We may sublicense all of our rights and licenses or assign them to third parties. Neither HotelExecutive nor any third party using the materials in accordance with this section will be obligated to pay you any royalties or other compensation for use of the materials.

You will comply with these Terms of Access and Use including, without limitation, the USE RESTRICTIONS set out in Section 3 above;

You agree to indemnify and hold HotelExecutive harmless from any claim or damages (including any legal fees in relation to same) made by a third party in respect of any matter in relation to or arising from your use and/or membership arising from any breach or suspected breach of these Terms of Access and Use by you or your violation of any law or the rights of any third party.

7. ACTIONS WE MAY TAKE AT OUR SOLE DISCRETION

HotelExecutive may take any or all of the following actions at our sole discretion:

Remove any member profile (including photographs) or other material that, in our sole discretion may be inappropriate or we suspect to be illegal, subject us to liability or which may violate these Terms of Access and Use or where required to do so by law;

Issue members with verbal or written warnings and may take such further action as we deem appropriate if such warnings are not heeded;

Suspend or terminate a member's access to the members's area of HotelExecutive or a member's account without notice at any time;

Inform the appropriate authorities and provide them with information regarding any suspected illegal activity; or bring legal action against a member or other user of HotelExecutive in relation to any breach of these Terms of Access and Use or any illegal or suspected illegal activity.

8. GOOD SAMARITAN CONTENT AND COMPLAINT PROCEDURES POLICY

A. Policy

We have provided opportunities for you to contribute Content to our Site. It is our policy, however, not to allow any Content which may constitute intellectual property infringement; violations of federal, state, or local law; obscene or defamatory material, or may otherwise be unacceptable or inappropriate. Upon learning of such Content, we will attempt, and you hereby give HotelExecutive the right, to delete, edit, remove, disable, change, or restrict access to or the availability of the Content, which in our sole discretion, is otherwise unacceptable or objectionable. We may or may not notify you about what action we take with respect to the disputed Content. The provisions of this section are intended to implement this policy but are not in any way intended to impose a contractual obligation upon us to undertake, or refrain from undertaking, any particular course of conduct.

B. Complaint Procedures

If you believe that another user or other third party has posted Content which violates this policy or specifically the USE RESTRICTIONS in Section 3 above, you may notify HotelExecutive via e-mail at editor@HotelExecutive . In order to allow HotelExecutive to respond effectively, please provide HotelExecutive with as much information as possible in your correspondence, including: (1) the nature of the right infringed or violated (including any applicable registration numbers of the federally-registered intellectual property allegedly infringed), if applicable, or the unacceptable or inappropriate Content; (2) all facts which lead you to believe that a right has been violated or infringed, if applicable; (3) the precise location where the offending Content is located; (4) any grounds to believe that the party or user which posted the Content was not authorized to do so or did not have a valid defense (including the defense of fair use), if applicable; (5) if known, the identity of the party or user who posted the infringing, offending, or inappropriate Content; and (6) in the case of alleged copyright infringement claims, information sufficient to identify the work and your claims to ownership.

C. Indemnification/Waiver of Certain Rights

By contacting HotelExecutive and complaining of an alleged violation, you agree that the substance of your complaint shall constitute a representation made under the pains and penalties of perjury pursuant to the laws of the State of California. In addition, you agree, at your own expense, to defend and indemnify HotelExecutive and hold HotelExecutive harmless against all claims which may be asserted against HotelExecutive, and all losses incurred, as a result of your complaint and/or our response to it.

D. Waiver of Claims and Remedies

We expect all users of our Site to take responsibility for their own actions and cannot and do not assume liability for any acts of third parties which take place at our Site. By utilizing the Good Samaritan procedures set forth herein, you waive any and all claims or remedies which you might otherwise be able to assert against hotelexecutive under any theory of law (including, but not limited to, intellectual property laws) that arise out of or relate in any way to the content at hotelexecutive or our response, or failure to respond, to a complaint.

E. Investigation/Liability Limitation

You agree that we have the right, but not the obligation, to investigate any complaint received. By reserving this right, we do not undertake any responsibility in fact to investigate complaints or to remove, edit, disable or restrict access to or the availability of Content. We will not act on complaints that we believe, in our sole discretion, to be deficient, incomplete, or otherwise questionable. If you believe that Content remains on HotelExecutive which violates your rights, Your sole and exclusive remedy shall be against the user or other party responsible for said content, not against HotelExecutive. your sole and exclusive remedy against HotelExecutive shall be to terminate your use of HotelExecutive and service.

Digital Millennium Copyright Act Compliance. As set forth in Subsection (b), you must contact our agent if you believe that a work protected by a U.S. Copyright which you own has been posted on our Site without authorization or that our Site, in some material way, contributes to its infringement. It is our policy in appropriate circumstances, if possible, to terminate the access rights of repeat infringers and other users who use HotelExecutive in an inappropriate or objectionable manner.

9. COOPERATION WITH LAW ENFORCEMENT

HotelExecutive reserves the right to fully cooperate with any law enforcement authorities or court order requesting or directing HotelExecutive to disclose the identity or other information regarding any user or member alleged by any governmental entity to be using HotelExecutive or any Content or materials available in, at, through or in association with HotelExecutive in violation of any law or regulation, or in violation of this Agreement, including, without limitation, the posting of e-mail messages, or publishing or otherwise making available any such materials. By accepting this agreement you waive and hold harmless HotelExecutive from any claims resulting from any action by HotelExecutive during, or as a result of, its investigations, and from any actions taken as a consequence of investigations by either HotelExecutive or law enforcement authorities

10. APPLICABLE LAWS, VENUE, JURISDICTION & MANDATORY ARBITRATION

If any provision(s) of this Agreement is held by a court of competent jurisdiction to be contrary to law, then such provision(s) shall be construed, as nearly as possible, to reflect the intentions of the parties with the other provisions remaining in full force and effect. HotelExecutive's failure to exercise or enforce any right or provision of this Agreement shall not constitute a waiver of such right or provision unless acknowledged and agreed to by HotelExecutive in writing. The section titles in this Agreement are solely used for the convenience of the parties and have no legal or contractual significance. This Agreement may be assigned in whole or in part by HotelExecutive. This Agreement may not be assigned in any manner by you without the express, prior written permission of HotelExecutive.

Any and all disputes or controversies of any kind, including but not limited to any performance, duty, obligation or liability arising under or related to this Agreement which are not first resolved informally, shall be determined by binding arbitration in San Francisco, California, in accordance with the rules of the American Arbitration Association. The final award in any such arbitration proceeding shall be subject to entry as a judgment by any court or competent jurisdiction, provided that such judgment does not conflict with the terms and provisions hereof. The jurisdiction of the arbiter (or arbiters) with respect to legal matters shall be limited only by the statutory and common law of the State of California and the United States.

Notwithstanding the foregoing, any and all disputes, which the parties cannot informally resolve, regarding the scope of issues or matter with the jurisdiction of the arbitrator, shall be resolved by a separate dispute resolution process whereby HotelExecutive, in its sole discretion shall elect the dispute to be resolved by either (1) a court of competent jurisdiction in the State of California or (2) a panel of three new arbitrators.

This Agreement shall be governed by and construed in accordance with the laws of the State of California notwithstanding any conflict of laws provisions. You and HotelExecutive agree that the venue for all legal disputes, controversies, actions of any kind arising under or related to this Agreement shall be San Francisco, California. You and HotelExecutive further agree that in case of any litigation regarding this Agreement, you irrevocably and unconditionally (i) consent to submit to the exclusive jurisdiction of the state and federal courts in the County of San Francisco, California for any litigation or dispute arising out of or relating to this Agreement, (ii) agree not to commence any litigation arising out of or relating to this Agreement except in the California Courts, (iii) agree not to plead or claim that such litigation brought therein has been brought in an inconvenient forum, and (iv) agree the California Courts represent the exclusive jurisdiction for all litigation relating to this Agreement.

11. MEMBERSHIP FEES

Hotel Business Review Subscriptions

If you choose to purchase a subscription, member subscription payments can be made in U.S. Dollars, as well as a variety of international currencies. Membership terms are Annual Recurring, and Monthly Recurring. The Annual Recurring subscription is an annual commitment and subscribers will be charged each consecutive billing cycle. Annual Recurring subscriptions can be cancelled after the first billing cycle and within 30-days of the billing date for a full refund. Monthly Recurring subscriptions are ongoing and subscribers will be charged each consecutive monthly billing cycle. Monthly Recurring subscriptions can be cancelled after the first month and within 7 days of the monthly billing cycle for a full refund.

12. PAYMENT AUTHORIZATION

Payment for the services provided to you in, at, through or in association with HotelExecutive may be made by automatic credit card, debit card, direct debit, bankwire or Paypal and other approved payment means offered in, at, through or in association with HotelExecutive, and you hereby authorize HotelExecutive and its agents to transact such payments on your behalf.

You hereby authorize HotelExecutive's Internet Payment Service Provider to charge your credit card to pay for your membership to HotelExecutive. You further authorize HotelExecutive's Internet Payment Service Provider to charge your credit card for any and all purchases of products, services in association with HotelExecutive. You agree to be personally liable for all charges incurred by you in association with your access or other use of any content provided by HotelExecutive or any third party in association with HotelExecutive. You acknowledge and agree that your liability for all such charges shall continue after termination of your access or any type of membership arrangement with HotelExecutive.

In the event that you have chosen to have your membership automatically rebilled, unless and until you notify HotelExecutive that you wish to cancel or terminate your membership to HotelExecutive, you hereby agree and authorize HotelExecutive's Internet Payment Service Provider to automatically renew your membership to HotelExecutive on a continuing basis and to charge your credit card (or other payment means you have selected) to pay for the ongoing cost of your membership. You hereby further authorize HotelExecutive's Internet Payment Service Provider to charge your credit card (or other approved payment means you have selected) for any and all purchases of products, services and entertainment provided to in, at, through or in association with HotelExecutive.

13. PRIVACY POLICY

The following is the Privacy Policy for HotelExecutive

We can be reached via telephone, email, or online at our contact page. When you visit our site we do not log any information regarding your domain or email address. Information Sharing: We do not share user information with any third parties other than via press release distribution as described below.

Hotel Newswire is a newswire service that distributes press releases on behalf of our users. If you decide to submit a press release for distribution through our system we will transmit your entire press release including any personal information therein contained to our media contacts and online distribution points including search engines. This is the only redistribution of your information that we engage in. Your submission of press releases through our system indicates consent with this policy. The information we collect during your registration process is used to notify users about updates to our service and inform users of any special events hosted by Hotel Newswire. This information is not shared with other organizations for commercial or non-commercial purposes.

Cookies: Our system requires the use of cookies to enable the user to log back into our website to access information from the newswire, without having to log in each time using the required username and password.

If you do not want to receive email from us in the future, please let us know by following instructions included in our communication with you. Users who supply us with telephone numbers online may receive telephone contact from us regarding their account, or informing them of new products and services available on the HotelExecutive website. If you do not wish to receive such telephone calls, please edit your account and remove your phone number from your account profile. This can be done from your user account menu.

Ad Servers: We do not partner with or have any relationship with any ad server companies. From time to time, we may use customer information for new uses not previously disclosed in our privacy notice. If our information practices change at any time, we will post the policy changes to our website to notify you of these changes and provide you with the ability to opt out of these new uses. If you are concerned about how your information is used, you should check back at our website periodically.

Upon request we provide site visitors with access to all information (including proprietary information) that we maintain about them. Users can access this information by logging in to their account.

Security: We always use industry-standard encryption technologies while transferring and receiving user data exchanged with our site. We have appropriate security measures in place in our physical facilities to protect against the loss, misuse, or alteration of information that we have collected from you on our site. We do not store credit card information in our systems.

If you feel that this site is not following its stated information policy, you may contact us.

Cheryl Mason What Hotel Job Seekers Consider Before Accepting An Offer
  • By Cheryl Mason, Keynote Speaker & Chief Catalyst, Catalyst Leadership Management

    • What comes to mind when you think of jobs in the hotel industry? Most people will say guest services, such as front desk clerks, reservations, or housekeeping services because these are the people they interact with the most. I refer to these people as hotel ambassadors, as they are the first impression of the hotel. But there is much more to the hotel industry. The hotel industry has more opportunities than most realize as job seekers are beginning to discover. These include administrative, budget, operations, marketing, management, technology service and support, maintenance, and food service; and all provide...

    READ MORE
Josh Cavallin Transparency and Industry Specialization: Keys to Securing Insurance for Hotel Operators
  • By Josh Cavallin, Principal, Oakbridge Insurance

    • As the hospitality industry evolves, securing comprehensive and cost-effective insurance for hotel operators has become increasingly complex. The dynamic nature of risks associated with hotels, from liability and property damage to data breaches, makes insurance a critical operating component. An increasingly litigious society only exacerbates matters. Additionally, with this growing need comes a challenging landscape in which standard insurance solutions often fall short. To effectively navigate this market, two essential factors emerge as fundamental: transparency and industry specialization. Understanding the Insurance Landscape for Hotels In the complex landscape of the hospitality industry, securing adequate insurance coverage is paramount for...

    READ MORE
Mark Lynch Don't Let Water Be the Reason for a Negative Review
  • By Mark Lynch, Director of Business Development, Water Management, Inc.

    • When booking a hotel for a family vacation, it is not uncommon to scroll through reviews of hotels in that area. Clean, comfortable, accommodating, and affordable guestrooms are typical terms that are frequently mentioned. After conducting research and reading several reviews, the level of confidence in the booking a particular hotel increases… or decreases. Three authentic hotel reviews from Tripadvisor were compiled that highlight three different, common, but sometimes complex, water-related issues. A complimentary and successful case study is being provided alongside of each problem to encourage and map out a potential path forward for hotels that may be experiencing...

    READ MORE
Ian Renton Unforgettable Meeting Spaces: Atlantis, the Palm Where Luxury Meets Adventure
  • By Ian Renton, Director Sales, Atlantis Dubai

    • Atlantis, The Palm, located in Dubai, is the ultimate entertainment destination to host an upcoming gathering or event. From spectacular rooms and suites, vibrant entertainment settings, captivating backdrops and extraordinary activities, every occasion is designed to deliver an unforgettable experience. Atlantis, The Palm boasts an impressive 13 meeting rooms, three ballrooms and one boardroom, perfect for corporate events, conferences, galas or celebrations. From small and informal to spectacularly bold - and everything in between - these venues will no doubt wow any attendee. Meeting spaces are spread throughout the resort with a mix of indoor and outdoor options to...

    READ MORE
Frank Vertolli How AI Will Transform Your Hotel Guest Experience in 2024 and Beyond
  • By Frank Vertolli, Co-Founder, Net Conversion

    • In today’s evolving marketing landscape, the integration of artificial intelligence (AI) will impact customer engagement and is poised to change the travel industry significantly. Armed with unprecedented opportunities, marketers can leverage AI technologies throughout the customer journey to deliver personalized experiences and optimize interactions at every touchpoint. As we explore how AI will reshape consumer experiences in 2024, its impact on the travel industry becomes evident. Whether through generative AI or other established forms, AI streamlines travel discovery by simplifying itinerary planning. For travel suppliers, encompassing airlines, hotels, cruises, car rentals, and rideshare providers, the promise of AI lies in...

    READ MORE
Jacqueline Villamil Financing That Closes: How Hotel Owners Can Win in Today's Tight Lending Market
  • By Jacqueline Villamil, Chief Executive Officer, Strategic Solution Partners

    • The hospitality industry is resilient, but the current lending environment is testing even the most seasoned hotel owners. Across the board, lenders are reviewing more deals, more carefully, and with a sharper eye toward risk. Loan-to-cost ratios on traditional debt have dropped into the 50–55% range. Equity—already the slowest piece of the capital stack—is taking longer to secure. Meanwhile, lenders are scrutinizing everything from sponsor experience to operational strategy before moving a deal forward. In a high-volume market, this scrutiny is understandable. Lenders have more applications on their desks than they can handle. They are prioritizing those that...

    READ MORE
David Mollov Business Travel Reinvented: What Hotels Must Do to Win in 2025 and Beyond
  • By David Mollov, Senior Product Manager, Emburse

    • In 2025, business travel has moved decisively from recovery to reinvention. What began as a cautious rebound has matured into a stable yet highly scrutinized market. According to the latest Emburse Business Travel Snapshot, based on booking data from North America, EMEA, and APAC, travel demand has steadied, but expectations have shifted dramatically. Companies are traveling with more purpose, finance teams are applying sharper oversight, and sustainability has become a baseline requirement rather than a differentiator. For the hotel industry, this is both a challenge and an opportunity. Procurement leaders are negotiating harder, buyers expect measurable ESG commitments, and travelers...

    READ MORE
Coming up in March 1970...

Click here to Subscribe






Copyright © 1996-2026. All content on HotelExecutive.com. All Rights Reserved.