For a Christies International Real Estate franchise, do you understand the risks associated with operating a Business?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
tate of Maryland.
For Washington prospective franchisees: Do not sign this Affiliate Disclosure Questionnaire if you are a Washington resident or the Business will be located in Washington.
| QUESTIONS | YES | NO | |
|---|---|---|---|
| 1 | Have you received and personally reviewed the Licensor's Franchise Disclosure Document (the "Disclosure Document") provided to you? | ||
| 2 | Did you sign a receipt for the Disclosure Document indicating the date you received it? | ||
| 3 | Do you understand all of the information contained in the Disclosure Document? | ||
| 4 | Have you received and personally reviewed the Agreement and each exhibit or schedule attached to it? | ||
| 5 | Did you receive a copy of the Disclosure Document at least 14 days prior to signing the Agreement or paying Licensor any fees? | ||
| 6 | Did you receive a copy of the Agreement at least seven calendar days before signing? | ||
| 7 | Do you understand the terms of and your obligations under the Agreement? | ||
| QUESTIONS | YES | NO | |
| 8 | Have you discussed the benefits and risks of operating a Business with an attorney, accountant, or other professional advisor? | ||
| 9 | Do you wish to have more time to meet with an attorney, accountant, or other professional advisor? | ||
| 10 | Do you understand the risks associated with operating a Business? Do you agree that (a) you or the entity that you form to be an Affiliate will be the employer of all of your employees and will have sole discretion and authority to hire, fire, discipline, compensate and schedule working hours for, all of your employees; and (b) Licensor and Licensor's affiliates will have no control, or right to control, any of the employment actions or decisions in your Business? We recommend that you retain employment law counsel to advise you with your employment issues and questions. | ||
| 11 | Do you understand that any territorial rights you have been granted (which may be none) are subject to limitations and exceptions? | ||
| 12 | Do you understand that the success or failure of a Business will depend in large part upon your skills and abilities, competition, interest rates, the economy, inflation, labor and supply costs, lease terms and the marketplace? | ||
| 13 | Has any employee or other person speaking on behalf of the Licensor made any statement or promise regarding the amount of money you may earn in operating a Business? | ||
| 14 | Has any employee or other person speaking on behalf of the Licensor made any statement or promise concerning the total amount of revenue the Business will generate? | ||
| 15 | Has any employee or other person speaking on behalf of the Licensor made any statement or promise regarding the costs involved in operating Business that is contrary to, or different from, the information contained in the disclosure document? | ||
| 16 | Has any employee or other person speaking on behalf of the Licensor made any statement or promise concerning the actual, average, or projected profits or earnings or the likelihood of success that you should or might expect to achieve from operating the Business? | ||
| 17 | Has any employee or other person speaking on behalf of the Franchisor made any statement or promise or agreement, other than those matters addressed in your Agreement, concerning advertising, marketing, media support, market penetration, training, support service or assistance relating to the Business that is contrary to, or different from, the information contained in the disclosure document? | ||
| 18 | Do you acknowledge and agree that the Business may be impacted by many risks, including those outside Licensor's or your control, such as economic, political or social disruption, including epidemics or pandemics or similar events? QUESTIONS | YES | |
| 19 | Do you understand that the Agreement contains a number of provisions that may affect your legal rights, including required mediation, designated locations or states for any judicial proceedings, a waiver of a jury trial, a waiver of punitive or exemplary damages, limitations on when claims may be filed, and other waivers and limitations? | ||
| 20 | Optional Question: Are both of the following statements accurate for your company: (a) Your, or your parent, or at least one of your corporate affiliates, is an entity that has been in business for at least 5 years; and (b) You, or the parent or corporate affiliate that satisfies Condition 1, has a net worth of at least $7,348,000 according to its most recent financial statements. If you answered "Yes" to any of questions 10 through 15, please provide a full explanation of your answer in the following blank lines. (Attach additional pages, if necessary, and refer to them below.) If you have |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 47–53)
What This Means (2025 FDD)
According to the 2025 Christies International Real Estate Franchise Disclosure Document, prospective franchisees are asked to confirm their understanding of the risks associated with operating a business. Specifically, the Affiliate Disclosure Questionnaire includes the question: "Do you understand the risks associated with operating a Business?" This question is part of a broader set of inquiries designed to ensure that franchisees are fully aware of the challenges and responsibilities involved in owning and managing a Christies International Real Estate franchise.
The questionnaire also addresses related aspects of business operations, such as employment matters. Franchisees must acknowledge that they will be the employer of all their employees, with sole discretion over hiring, firing, and compensation. They must also understand that Christies International Real Estate has no control over these employment decisions. The document recommends that franchisees seek legal counsel on employment law issues.
Furthermore, the questionnaire highlights that the success of a Christies International Real Estate business depends on various factors, many of which are outside the franchisor's or franchisee's control. These factors include the franchisee's skills and abilities, competition, interest rates, economic conditions, inflation, labor and supply costs, and lease terms. Franchisees must acknowledge that economic, political, and social disruptions, such as epidemics or pandemics, can also impact their business. By addressing these points, Christies International Real Estate aims to ensure that franchisees enter the agreement with a clear understanding of the potential risks and challenges.