What actions can Christies International Real Estate take if a franchisee is in default of their agreement?

According to Christies International Real Estate's 2025 Franchise Disclosure Document, a franchisee will be in default if their properties listed in an area where another franchisee has protected territory exceeds 5% of their inventory, and they do not cease such listings promptly after receiving notice from Christies International Real Estate. In this case, Christies International Real Estate has the right to terminate the agreement.

This clause is important for prospective franchisees to understand, as it defines a specific scenario that can lead to the termination of their franchise agreement. It highlights the importance of adhering to territorial restrictions and inventory limitations set by Christies International Real Estate. Franchisees need to be vigilant about monitoring their property listings in other areas and promptly addressing any concerns raised by the franchisor to avoid default and potential termination.

Furthermore, this default condition underscores the significance of clear communication and adherence to the franchisor's policies. Franchisees should maintain open lines of communication with Christies International Real Estate to ensure they are aware of any potential issues and can take corrective action in a timely manner. Understanding and complying with these terms is crucial for maintaining a successful and compliant franchise operation with Christies International Real Estate.