What is the length of the initial franchise term for a Christies International Real Estate license agreement?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
entified on Exhibit 1 of this Agreement (referred to as the "Minimum Performance Requirement(s)"). If you fail to satisfy any Minimum Performance Requirement during the term of this Agreement, we have the right to terminate this Agreement, or, in lieu of termination, modify or rescind any such territorial or protected rights.
2. TERM AND RENEWAL
- 2.1. Term. This Agreement will be effective for a ten (10) year term beginning on the Effective Date specified in this Agreement.
- 2.2. Renewal. You will have the right to renew the rights granted under this Agreement for one (1) additional term of ten (10) years, provided the following conditions are met:
- (a) we are still offering licenses or franchises under the Marks and System;
- (b) you meet our then-current standards for new CHRISTIE'S INTERNATIONAL REAL ESTATE Affiliates;
- (c) you have given us written notice of your intention to renew at least 365 days before the end of the then-existing term of this Agreement;
- (d) you are in compliance with all provisions of this Agreement, including all monetary obligations you owe to us or our affiliates, throughout the term of this Agreement;
- (e) you
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 43–47)
What This Means (2025 FDD)
According to the 2025 FDD, the initial term for a Christies International Real Estate license agreement is ten years, beginning on the effective date specified in the agreement. This means a franchisee can operate their Christies International Real Estate business for a decade, provided they adhere to the terms and conditions outlined in the agreement.
Christies International Real Estate offers an opportunity for renewal of the license for an additional ten-year term. However, this renewal is contingent upon meeting several conditions. These include Christies International Real Estate still offering licenses or franchises under the Marks and System, the franchisee meeting the then-current standards for new Affiliates, providing written notice of intent to renew at least 365 days before the end of the current term, and compliance with all agreement provisions, including monetary obligations.
Further conditions for renewal include paying a renewal fee of $1,000 at least six months before the existing term expires and signing the then-current broker Affiliate license agreement. This new agreement may contain terms and fees that differ materially from the original agreement. This is a fairly standard renewal structure in franchising, allowing the franchisor to update agreements and standards.