Can a Christies International Real Estate franchisee be directly or indirectly controlled by Sotheby's Inc.?

According to the 2025 Christies International Real Estate Franchise Disclosure Document, a franchisee cannot be directly or indirectly controlled by Sotheby's Inc. The FDD explicitly states this restriction, ensuring that franchisees maintain independence from specified competitors. This condition is part of the franchisee's obligations under the Trademark License Agreement.

This requirement aims to prevent conflicts of interest and maintain the integrity of the Christies International Real Estate brand. By prohibiting control by competitors like Sotheby's, Christies International Real Estate seeks to ensure that franchisees are fully committed to promoting and upholding the standards of the Christies International Real Estate brand. This also extends to Phillips Auctioneers Limited, Beijing Poly International Auction Co. Ltd., China Guardian Auctions Co. Ltd., or their successors.

Furthermore, the agreement specifies that franchisees must market the Christies International Real Estate marks as a leading luxury brand and cannot position other trademarks as being associated with more luxurious services or properties. This reinforces the brand's commitment to luxury real estate and prevents franchisees from diluting the brand's image by associating with competitors or downplaying the Christies International Real Estate brand's exclusivity.