When must a Christies International Real Estate Affiliate pay the Renewal Fee?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
m Performance Requirement during the term of this Agreement, we have the right to terminate this Agreement, or, in lieu of termination, modify or rescind any such territorial or protected rights.
2. TERM AND RENEWAL
- 2.1. Term. This Agreement will be effective for a ten (10) year term beginning on the Effective Date specified in this Agreement.
- 2.2. Renewal. You will have the right to renew the rights granted under this Agreement for one (1) additional term of ten (10) years, provided the following conditions are met:
- (a) we are still offering licenses or franchises under the Marks and System;
- (b) you meet our then-current standards for new CHRISTIE'S INTERNATIONAL REAL ESTATE Affiliates;
- (c) you have given us written notice of your intention to renew at least 365 days before the end of the then-existing term of this Agreement;
- (d) you are in compliance with all provisions of this Agreement, including all monetary obligations you owe to us or our affiliates, throughout the term of this Agreement;
- (e) you have paid a renewal fee of $1,000 (the "Renewal Fee") to us at least six months before the then-existing term of this Agreement expires;
Source: Item 23 — RECEIPT (FDD pages 54–177)
What This Means (2025 FDD)
According to Christies International Real Estate's 2025 Franchise Disclosure Document, an affiliate must pay the Renewal Fee at least six months before the expiration of their current agreement term. The initial term of the agreement is ten years, and affiliates have the option to renew for one additional ten-year term. The Renewal Fee itself is $1,000.
To renew their agreement, Christies International Real Estate Affiliates must meet several conditions, including being in compliance with all agreement provisions, especially monetary obligations. They must also meet the then-current standards for new affiliates and sign the current affiliate license agreement, which may have different terms and fees than the original agreement. Additionally, affiliates must provide written notice of their intent to renew at least 365 days before the end of the current term and sign a general release of all claims against Christies International Real Estate.
Missing the renewal deadline or failing to meet any of the renewal conditions would mean the affiliate does not get to renew their franchise agreement. This could lead to a loss of the right to operate under the Christies International Real Estate brand. Therefore, it is crucial for franchisees to mark the deadlines and ensure they meet all requirements well in advance to secure their renewal.