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Significant Hospitality Contract

Total questions: 10

Worksheet time: 5mins

Name
Class
Date
1.

Which pathway option allows you to own a business, under the guidance and licensing of a large business's head office.

a)

Buying an existing business

b)

Opening a new business

c)

Entering into a franchise agreement

2.

When entering into a franchise agreement what is already established?

a)

employees

b)

business name

c)

organisational culture of the business

d)

business reputation

e)

polices and procedures

3.

Who provides all marketing materials for the other party including branding, packaging and signage

a)

Franchisor

b)

Franchisee

4.

Are Hilton Hotels considered a franchise?

a)

Yes

b)

No

5.

Which party needs to undertake training and coordinate staffing needs of the business?

a)

Franchisee

b)

Franchisor

6.

Which party is the company that sets up the franchise arrangement and grants the licensing rights?

a)

The franchisor

b)

The franchisee

7.

What is a Management Operating Agreement?

a)

A group of professionals that plan and organize meetings and events for their employers and clients

b)

A Contract between a parent company and operating company to allow to run the business with the brand name of the parent company

c)

A contract that details the areas of responsibilities of the owner of a business and the entity selected by the owner to operate the business.

8.

What are the common issues in a Franchise Agreement?

a)

Brand

b)

Duration

c)

Permit and Licenses

d)

All the above

9.

When a Hospitality Manager negotiates for a supply of new bedsheets in his Hotel, what are the essential clauses he needs to ensure in the said contract?

a)

Licenses and Permits, Identification of Who Is Authorized to Modify the Contract

b)

Allowable Attrition, Deposit, and Cancellation Policies, Performance Standards

c)

Payment Terms

d)

Payment Terms, Delivery Date, Quality of Products, Indemnification, Non Performance Clause

10.

What are not Exculpatory Clauses?

a)

Swim at Your Own Risk

b)

Pullman Hotel is not responsible for materials left in meeting rooms overnight

c)

this clause seeks not to exculpate, or excuse, the hospitality operator from blame in certain situations.

d)

Park at your own risk