FDD Items 3 & 4 · 2026 filing

DoubleTree by Hilton litigation history

What DoubleTree by Hilton disclosed about lawsuits, arbitrations and bankruptcy in the 2026 Franchise Disclosure Document. Item 3 lists the material legal actions a franchisor must report; Item 4 covers bankruptcy. This is the franchisor's own disclosure, not a court record, and not legal advice.

Items 3 (litigation) & 4 (bankruptcy) at a glance

What the filing discloses

Cases disclosed: 15; Item 3, as counted in the filing

Largest settlement, franchisor's own cases: None stated

Bankruptcy (Item 4): None; Franchisor, parent, predecessor or officer

Filing year: 2026; Disclosures cover the prior ten years

Extracted from the 2026 Franchise Disclosure Document

Item 3: litigation

Pending: Bow Hospitality (franchise termination), In re Extended Stay Hotel Antitrust Litigation (Sherman Act), Hanson Dai v. SAS Institute (Sherman Act, hotel rate-setting), Ryan Segal v. Amadeus IT Group (Sherman Act), Jeanette Portillo v. CoStar Group (Sherman Act). Concluded: AAAA Property Partners (breach of contract, settled), State of Texas v. Hilton (deceptive trade practices, settled $2.1M), State of Nebraska v. Hilton (consumer protection, settled $300K), Hilton v. Portland Hotel Ownership (breach/fraudulent inducement, settled), San Pedro Inn v. Hilton (wrongful termination NJ, settled), U.S. v. HHC (1970 Sherman Act, injunction). Collection suits against franchisees also disclosed.

Item 3 (litigation) · 15 matters disclosed · 6 pending listed

Litigation cases

The franchisor

Pending (2)

Bow Hospitality LLC v. Hilton Franchise Holding LLC
pending
Brought by a franchisee · filed 2025-01-24 · Superior Court of Kent County, Rhode Island · KC-2025-1291
“… (Superior Court of Kent County, Rhode Island), Case No. KC-2025-1291. On January 24, 2025, the plaintiff filed suit against us alleging breach of contract and breach of the covenant of good faith and fair dealing under the Rhode Island Dealership Act”Page 21 of the 2026 FDD, Item 3
Outcome: “We intend to vigorously defend our interests in this matter.”
In re: 177 BFP, LLC
pending
Brought against a franchisee · filed 2025-08-14 · US Bankruptcy Court, E.D. Penn. · 25-13225-amc
“… (US Bankruptcy Court, E.D. Penn., Case No. 25-13225-amc). On August 14, 2025, we filed a petition in this Chapter 7 bankruptcy action to collect an unpaid judgment against a former Embassy Suites franchisee for amounts past due, liquidated damages, and attorneys’ fees.”Page 25 of the 2026 FDD, Item 3
Outcome: “The Court appointed a trustee on October 7, 2025 and a meeting of the creditors is scheduled for April 8, 2026.”

Concluded (4)

AAAA Property Partners LLC v. Hilton Franchise Holding LLC
dismissed
Brought by a franchisee · filed 2025-01-24 · United States District Court for the Middle District of Florida (removed from Orange County, Florida) · 6:25-cv-00132-CEM-RMN
“… (M.D. Fla. Case No. 6:25-cv-00132- CEM-RMN). On January 24, 2025, the plaintiff filed suit against us in Orange County, Florida (Filing No. 215324302) alleging breach of contract arising in connection with our termination of plaintiff’s franchise for the Hilton Garden Inn Orlando I-4 Millenia Boulevard Mall.”Page 23 of the 2026 FDD, Item 3
Outcome: “The parties resolved the case on March 5, 2025 by agreeing to terminate the Franchise Agreement as of January 27, 2025, and the plaintiff agreed to dismiss the lawsuit and sell the property within 150 days. We also agreed not to enforce the former franchisee’s post-termination obligations, including the payment of liquidated damages.”
Hilton Franchise Holding LLC v. Empower Metro Center LLC
settled
Brought against a franchisee · filed 2025-02-28 · Circuit Court of Fairfax County, Virginia · CL-2025-0003051
“… (Cir. Ct. of Fairfax County, Virginia, Case No. CL-2025-0003051). On February 28, 2025, we filed a complaint against a former Hampton brand franchisee for damages and fees arising from the early termination of the franchise agreement for failure to commence or complete the construction of the hotel.”Page 25 of the 2026 FDD, Item 3
Outcome: “On January 14, 2026, the parties agreed to a settlement that was favorable to us and we agreed to dismiss the case.”
Hilton Franchise Holding LLC v. Portland Hotel Ownership, et al.
settled
Brought against a franchisee · filed 2020-09-17 · Fairfax County Circuit Court · 2020-14233
“… (Fairfax County Circuit Court, Case Number, Case Number 2020-14233). On September 17, 2020, we filed suit against Portland Hotel Ownership, LLC, a former franchisee of a Curio brand hotel, for breach of contract arising from the early termination of the franchise agreement.”Page 24 of the 2026 FDD, Item 3
Outcome: “On July 28, 2022, the parties settled this case by agreeing to dismiss all claims and exchange general releases.”
San Pedro Inn, LP v. Hilton Franchise Holding LLC
settled
Brought by a franchisee · filed 2019-08-28 · Superior Court of New Jersey Chancery Division General Equity Part, Union County · UNN-C- 121 19
“… (Superior Court of New Jersey Chancery Division General Equity Part, Union County Docket No. UNN-C- 121 19). On July 18, 2019, we sent a notice to terminate plaintiff’s franchise for a Hampton hotel for failure to cure a material breach of the franchise agreement.”Page 24 of the 2026 FDD, Item 3
Outcome: “The parties settled the case on September 25, 2020. The parties agreed to dismiss all claims, exchange general releases, and terminate the franchise on April 28, 2021 without the payment of any termination damages or litigation costs by either party.”

Status not stated in the filing (2)

Hilton Franchise Holding LLC v. ML Plaza Owner LLC
Brought against a franchisee · filed 2026-02-27 · Circuit Court of Fairfax County, Virginia · CL-2026-0003448
“… (Cir. Ct. of Fairfax County, Virginia), Case No. CL-2026-0003448. On February 27, 2026, we filed a complaint against a former Hilton brand franchisee for amounts past due and liquidated damages arising from the early termination of the franchise agreement for failing to pay monthly fees.”Page 25 of the 2026 FDD, Item 3
Hilton Franchise Holding LLC v. Unique Crowne Hospitality LLC et al.
Brought against a franchisee · filed 2025-08-25 · United States District Court for the Eastern District of Virginia · 1:25-cv-01604-MSN-WEF
“… (E.D. Va.) Case No. 1:25- cv-01604-MSN-WEF. On August 25, 2025, we filed a complaint against a former DoubleTree brand franchisee and its guarantor for damages and fees arising from the early termination of the franchise agreement for failing to comply with DoubleTree brand standards.”Page 25 of the 2026 FDD, Item 3

Parent, affiliates, master franchisor and subfranchisor

Pending (4)

Hanson Dai v. SAS Institute Inc.
pending
Hilton Worldwide Holdings Inc. ('Hilton Worldwide', parent of our parent) · filed 2024-04-26 · United States District Court for the Northern District of California · 4:24-cv-02537
“… (N.D. Cal.), Civil Case No. 4:24-cv-02537 (Class Action). On April 26, 2024, a putative class action complaint captioned Dai v. SAS Institute Inc., Civil Case No. 4:24-cv-02527, was filed in the United States District Court for the Northern District of California”Page 22 of the 2026 FDD, Item 3
Outcome: “The hotel defendants filed a motion to dismiss which has been fully briefed and pending before the court since October 20, 2025.”
In re Extended Stay Hotel Antitrust Litigation
pending
Hilton Worldwide Holdings Inc. ('Hilton Worldwide', parent of our parent) · filed 2024-07-24 · United States District Court for the Northern District of California (transferred from the Northern District of Illinois) · 4:24-civil-09060
“… (N.D. Cal.), Civil Case No. 4:24-civil-09060 (Class Action). On July 24, 2024, a putative class action complaint captioned Au v. Integrated Decisions and Systems, Inc., Civil Case No. 1:24-civil-06324, was filed in the United States District Court for the Northern District of Illinois”Page 21 of the 2026 FDD, Item 3
Outcome: “The hotel defendants filed a motion to dismiss which has been fully briefed and pending before the Court since October 24, 2025.”
Jeanette Portillo, et. al. v. CoStar Group, Inc., et. al.
pending
Hilton Worldwide Holdings Inc. ('Hilton Worldwide', parent of our parent); Hilton Domestic Operating Company Inc. substituted as defendant April 16, 2024 · filed 2024-02-20 · United States District Court for the Western District of Washington · 2:24-cv-00229
“… (W.D. Wash.), Civil No. 2:24-cv-00229 (Class Action). On February 20, 2024, plaintiffs filed a class action lawsuit against the CoStar Group, Inc. and its subsidiary STR, Inc., together with several hotel companies including Hilton Worldwide.”Page 22 of the 2026 FDD, Item 3
Outcome: “Plaintiffs filed an amended complaint on September 29, 2025. The hotel defendants filed a motion to dismiss which has been fully briefed and pending before the court since January 6, 2026.”
Ryan Segal v. Amadeus IT Group, S.A., et. al.
pending
Hilton Worldwide Holdings Inc. ('Hilton Worldwide', parent of our parent); Hilton Domestic Operating Company, Inc. substituted as defendant March 25, 2024 · filed 2024-03-01 · United States District Court for the Northern District of Illinois · 1:24-civil-01783
“… (N.D. Ill.), Civil No. 1:24-civil-01783 (Class Action). On March 1, 2024, plaintiff filed a class action lawsuit against Amadeus IT Group, S.A., Amadeus Hospitality Americas, Inc., and several hotel companies including Hilton Worldwide.”Page 22 of the 2026 FDD, Item 3
Outcome: “On April 28, 2025, Plaintiff filed a third Amended Complaint. The hotel defendants filed a motion to dismiss which has been fully briefed and pending before the court since August 27, 2025.”

Concluded (3)

State of Texas v. Hilton Domestic Operating Company Inc.
settled
Government or regulatory action · Hilton Domestic Operating Company Inc. ('Hilton', our parent company) · filed 2023-05-23 · District Court of Collin County, Texas · 296-02595-2023
“… (District Court of Collin County, Texas, CAUSE NO. 296-02595-2023). On May 23, 2023, the plaintiff filed suit against Hilton alleging the violations of the Texas Deceptive Trade Practices Act in relation to how mandatory guest fees are disclosed to consumers.”Page 23 of the 2026 FDD, Item 3
Outcome: “In January 2025, the parties settled the case. Without admitting any fault, Hilton agreed to pay Texas $2.1 million and to disclose, display, and sort guest rooms by their total cost on its hotel reservation websites,”
State of Nebraska v. Hilton Domestic Operating Company Inc.
settled
Government or regulatory action · Hilton Domestic Operating Company Inc. ('Hilton', our parent company) · filed 2019-07-23 · District Court of Lancaster County, Nebraska · D02CI190002366
“… (District Court of Lancaster County, Nebraska, Case No. D02CI190002366). On July 23, 2019, the plaintiff filed suit against Hilton alleging the violations of the Nebraska Consumer Protection Act and Uniform Deceptive Trade Practices Act in relation to how mandatory guest fees are disclosed to consumers.”Page 23 of the 2026 FDD, Item 3
Outcome: “In February 2024, without admitting any fault, Hilton entered into a settlement agreement with Plaintiff and agreed to pay $300,000 and clearly disclose all mandatory fees and the total price for a booking.”
U.S. v. Hilton Hotels Corporation, et al.
judgment
Government or regulatory action · Hilton Hotels Corporation (HHC); Item 1 says references to 'Hilton' (our parent) include HHC · filed 1970-05-12 · United States District Court, District of Oregon · 70-310
“… (United States District Court, District of Oregon, Case No. 70-310). On or about May 12, 1970, the United States filed a civil complaint against HHC (among other defendants), alleging the violation of Section 1 of the Sherman Act”Page 24 of the 2026 FDD, Item 3
Outcome: “On or about November 29, 1971, pursuant to a stipulation filed October 26, 1971, the court entered a final judgment against HHC enjoining and restraining it from engaging in any agreement, understanding, combination, conspiracy or concert of action”

Item 3 lists the litigation the franchisor must disclose; a matter against a parent, an affiliate or a named officer is not a matter against the franchisor, and pending claims are allegations, not findings.

Disclosure signals that moved the score

How this shows up in the verdict

Multiple active antitrust litigations alleging price-fixing and improper rate-setting software create legal/reputational risk and potential for franchisor liability
Breach of contract termination lawsuits indicate aggressive enforcement and compliance standards that may expose franchisees to termination risk
Consumer protection litigation regarding mandatory guest fee disclosure suggests potential brand reputation damage and guest dissatisfaction

The verdict grade is FranchiseVerdict's editorial assessment across SBA loan performance, unit growth, revenue and disclosure signals. It is not investment advice.

Before you weigh a lawsuit

How to read Item 3

A franchisor must disclose pending actions and any material civil action involving the franchise relationship, plus convictions or civil judgments for fraud, unfair or deceptive practices, or franchise-law violations, going back ten years. A case the franchisor brought against a franchisee counts too. Item 3 does not include every dispute: settled claims below the materiality line and matters resolved in private arbitration can be absent.

Questions worth asking current and former franchisees, using the contact list in Item 20:

Were you, or anyone you know in the system, party to a dispute with the franchisor?
Was it resolved by settlement, arbitration or a court, and on what terms?
Has the number of disputes gone up or down since you signed?

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