What is the definition of 'Additional Office' in the Christies International Real Estate agreement?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
- 1.4. Additional Offices.
You currently have [____] additional office[s] as listed in Exhibit 1 that do[es] not require approval from us.
You may open additional offices (each, an "Additional Office") as needed, so long as we receive prior written notification before you enter into any binding agreement to lease, purchase, or otherwise occupy the Additional Office.
We reserve the right to reject the location of your anticipated Additional Office.
Source: Item 23 — RECEIPT (FDD pages 54–177)
What This Means (2025 FDD)
According to the 2025 Christies International Real Estate FDD, an 'Additional Office' refers to any extra office a franchisee opens beyond their main location. The agreement states that franchisees may open additional offices as needed, but Christies International Real Estate requires prior written notification before the franchisee enters into any binding agreement to lease, purchase, or occupy the additional office space. Christies International Real Estate also reserves the right to reject the location of the anticipated Additional Office.
This means that while franchisees have the flexibility to expand their operations by opening additional offices, they must adhere to Christies International Real Estate's approval process. This process ensures that the new location aligns with the brand's standards and strategic objectives. The franchisee must seek approval before committing to any lease or purchase agreements, giving Christies International Real Estate the opportunity to assess the suitability of the proposed location.
Christies International Real Estate's right to reject a proposed location gives them control over brand consistency and market saturation. For a prospective franchisee, this highlights the importance of thorough location research and communication with Christies International Real Estate to ensure alignment on expansion plans. While the franchisee can open additional offices, they do not have complete autonomy in choosing the location.
Furthermore, the FDD states that franchisees must obtain prior written consent from Christies International Real Estate, which will not be unreasonably withheld, if they wish to relocate their Main Office and/or an Additional Office. The 'new' location must comply with all applicable provisions of this Agreement and with Christies International Real Estate's then-current specifications and standards for CHRISTIE'S INTERNATIONAL REAL ESTATE businesses.