When is interest owed on past due amounts to Christies International Real Estate?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
| Fee (Note 1) | Amount (Note 2) | Due Date | Remarks |
|---|---|---|---|
| Interest | Lessor of 1.5% per month or the maximum permitted by law | Owed on past due amounts | |
| Late Payment Fee | $100 for each failure to pay each fee on time, and interest on the overdue amount at the rate of 1.5% per month (or the maximum rate permitted by applicable law, if less than 1.5%) from the date such amount was due until paid in full | Upon demand |
Source: Item 6 — OTHER FEES (FDD pages 14–17)
What This Means (2025 FDD)
According to Christies International Real Estate's 2025 Franchise Disclosure Document, interest is owed on past due amounts. The interest charged will be the lesser of 1.5% per month or the maximum rate permitted by law. This means that if a franchisee fails to pay any fees or amounts owed to Christies International Real Estate on time, they will incur interest charges on the outstanding balance.
This is a fairly standard practice in franchising, as it incentivizes franchisees to make timely payments. The specific interest rate is also within a typical range for late payment penalties. Franchisees should be aware of this provision and ensure they have systems in place to pay all fees on time to avoid these charges.
In addition to the general interest charge, Christies International Real Estate also charges a $100 late payment fee for each failure to pay each fee on time. This is in addition to the interest on the overdue amount at the rate of 1.5% per month (or the maximum rate permitted by applicable law, if less than 1.5%) from the date such amount was due until paid in full. Franchisees need to be aware of all the fees and their due dates to avoid incurring these additional costs.