Can the Christies International Real Estate franchisor assign its option to purchase the business?

According to the 2025 Christies International Real Estate Franchise Disclosure Document, Christies International Real Estate has the option to purchase a franchisee's business under certain conditions, and it may assign this option to another party. Specifically, this condition applies if the franchisee was new to the real estate brokerage business before signing the agreement and did not convert an existing real estate brokerage to the Christies International Real Estate brand.

If the agreement expires or is terminated, Christies International Real Estate has the option, but not the obligation, to purchase all tangible and intangible assets related to the business, excluding unsalable inventory, cash, short-term investments, and accounts receivable. This option is exercisable upon 60 days' written notice from the date of expiration or termination. The FDD explicitly states that Christies International Real Estate may assign this option to purchase the business to another party, separate from the rest of the agreement.

The purchase price for the business will be the book value of the purchased assets. However, Christies International Real Estate can exclude any products or items not compliant with the agreement and any goodwill or similar value attributable to intangible property like the Marks and Confidential Information. If the parties cannot agree on the fair market value, an independent appraiser may be designated to determine the value, with the costs of the appraisal divided equally between the franchisee and Christies International Real Estate. The purchase price will be paid in cash at closing, which will occur within 60 days after the fair market value is determined. Christies International Real Estate can also reduce the purchase price by any amounts the franchisee owes to them or their affiliates.