What is the 'License Agreement' referring to in the Christies International Real Estate general release?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
AGREEMENT
In consideration of the mutual covenants and promises below, and other good and valuable consideration, the parties hereby agree as follows:
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- Approval. Licensor hereby approves the opening of the Additional Office at the location set forth above. The Additional Office will commence operations under the CHRISTIE'S INTERNATIONAL REAL ESTATE system within 90 days of the Effective Date of this Agreement. The Additional Office will be subject to the terms and conditions in the Broker Affiliate License Agreement.
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- Release. Affiliate and all of Affiliate 's guarantors, members, employees, agents, successors, assigns and affiliates fully and finally release and forever discharge Licensor, its past and present agents, employees, officers, directors, members, licensees, franchisees, successors, assigns and affiliates (collectively "Released Parties") from any and all claims, actions, causes of action, contractual rights, demands, damages, costs, loss of services, expenses and compensation which Affiliate could assert against Released Parties or any of them up through and including the date of this Release. THIS IS A SPECIFIC RELEASE GIVING UP ALL RIGHTS WITH RESPECT TO THE TRANSACTIONS OR OCCURRENCES THAT ARE BEING RELEASED UNDER THIS AGREEMENT.
Source: Item 23 — RECEIPT (FDD pages 54–177)
What This Means (2025 FDD)
According to the 2025 Christies International Real Estate FDD, the 'License Agreement' in the context of the general release refers to the Broker Affiliate License Agreement. This agreement grants the franchisee a non-exclusive license to operate a Christies International Real Estate business within a defined protected territory, subject to the terms and conditions outlined in the agreement and the Operations Manual.
The general release, as described in Exhibit E of the FDD, is a standard form that Christies International Real Estate may require a licensee or transferor to sign during renewals, approved transfers, or other occasions deemed appropriate by the franchisor. By signing this release, the franchisee agrees to release Christies International Real Estate from any and all claims, actions, and liabilities up to the date of the release.
Specifically, paragraph 1 of the agreement states that the Additional Office will be subject to the terms and conditions in the Broker Affiliate License Agreement. Paragraph 2 states that the Affiliate and all related parties release the Licensor from any and all claims, actions, causes of action, contractual rights, demands, damages, costs, loss of services, expenses and compensation which Affiliate could assert against Released Parties or any of them up through and including the date of this Release. This release is a crucial aspect of the renewal process, as highlighted in section 2.2(g), which requires the franchisee and each Principal Owner to sign a general release of all claims against Christies International Real Estate as a condition for renewal. This ensures that Christies International Real Estate is protected from potential legal disputes arising from the franchisee's operation.