Is the license granted to a Christies International Real Estate franchisee transferable?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
- 1.1. Grant. Subject to the provisions contained in this Agreement, including all exhibits and related documents, and Operations Manual, we grant you a non-exclusive license to own and operate a CHRISTIE'S INTERNATIONAL REAL ESTATE business (the "Business"). The physical address of your Business ("Main Office") must be located within the Protected Territory and approved by us in writing before you can begin to operate your Business. Your Main Office and the Protected Territory are identified in Exhibit 1 to this Agreement. You may not relocate your Main Office without our prior written consent, as described in Section 5.2 of this Agreement.
- 1.2 Nature of the Protected Territory. Except as described below, and except as modified by Exhibit 1 (if applicable), neither we nor our affiliates will establish and operate, or grant licenses or franchises to others to establish and operate a CHRISTIE'S INTERNATIONAL REAL ESTATE business within the Protected Territory during the term of this Agreement, so long as you are in compliance with this Agreement. The license granted to you under this Agreement is personal in nature and shall only be used from the Main Office and any Additional Office authorized by us. Notwithstanding the preceding sentence, and subject to the terms of this Agreement, you shall have the right to offer and sell real estate brokerage services identified by the Marks through any other channels of distribution, including the Internet but excluding the metaverse. We reserve, maintain, and control all rights with respect to said metaverse. As used herein, "metaverse" means any 3D virtual space powered by technologies – including virtual reality, augmented reality, artificial intelligence, the Internet of Things, and blockchain – that allows people to interact with each other and to have lifelike experiences online. The rights granted under this Agreement are subject to the limitations set forth in the Operations Manual or as we otherwise periodically prescribe, which may include certain territorial policies that we establish or modify from time to time. You may not establish or operate any CHRISTIE'S INTERNATIONAL REAL ESTATE office outside the Protected Territory, unless we permit you to do so under a separate broker Affiliate license agreement. You may not subfranchise or sublicense any of your rights under this Agreement.
Source: Item 23 — RECEIPT (FDD pages 54–177)
What This Means (2025 FDD)
According to the 2025 Christies International Real Estate Franchise Disclosure Document, the license granted to a franchisee is personal and cannot be subfranchised or sublicensed. Specifically, the agreement states that the license is to be used only from the approved Main Office and any Additional Offices authorized by Christies International Real Estate.
This restriction on transferability means that a franchisee cannot independently sell, assign, or otherwise transfer their rights to another party without the explicit permission of Christies International Real Estate. This is a common practice in franchising, as franchisors typically want to maintain control over who operates under their brand to ensure quality and consistency.
For a prospective Christies International Real Estate franchisee, this lack of transferability has important implications. If the franchisee wishes to exit the business, they cannot simply sell the franchise to a third party. Instead, they would likely need to work with Christies International Real Estate to find a suitable buyer or explore other options for terminating the franchise agreement. This limitation should be carefully considered as part of the franchisee's long-term business plan.