What conditions may Better Homes And Gardens Real Estate place on participation in its programs?
Better_Homes_And_Gardens_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
4.2 Excluded Businesses. If you or a Related Party intends to operate a Real Estate Related Excluded Business or an Other Real Estate Related Excluded Business (as these terms are defined below) other than the Business (as defined in Exhibit C) after the Effective Date, it shall be deemed an excluded business (individually and collectively referred to as an "Excluded Business"), and the following will apply.
4.2.1 Real Estate Related Excluded Businesses.
You must obtain our prior written consent for any Commercial Real Estate (not using the Marks), Property Management Services, or a separate referral company, other than the Business (individually and collectively referred to as a "Real Estate Related Excluded Business"), you or a Related Party intends to operate.
If we consent in writing to your operation of the Real Estate Related Excluded Business, you may operate the Real Estate Related Excluded Business, and no fees will be payable on the Real Estate Related Excluded Business's revenue, if you satisfy the following conditions:
- (i) You do not use or mention, directly or indirectly, our Marks or System in connection with the Excluded Business.
Source: Item 22 — CONTRACTS (FDD page 76)
What This Means (2025 FDD)
According to the 2025 Better Homes And Gardens Real Estate Franchise Disclosure Document, franchisees must obtain prior written consent from Better Homes And Gardens Real Estate to operate a Real Estate Related Excluded Business such as Commercial Real Estate (not using the Marks), Property Management Services, or a separate referral company.
If Better Homes And Gardens Real Estate provides written consent, the franchisee can operate the Real Estate Related Excluded Business without paying fees on its revenue, provided that the franchisee does not directly or indirectly use or mention Better Homes And Gardens Real Estate's Marks or System in connection with the Excluded Business.
This condition ensures that the Better Homes And Gardens Real Estate brand remains distinct and protected, and that the franchisee's other business ventures do not create confusion or dilute the brand's value. It is a fairly standard practice in franchising to prevent brand misuse and maintain consistency across the franchise system.