Does Christies International Real Estate make any representations not expressly stated in the agreement?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
In addition, any recommendations, suggestions, or approvals of a proposed site are not a warranty, guarantee or representation that the site will achieve any level or amount of sales, revenue or profit as a CHRISTIE'S INTERNATIONAL REAL ESTATE business location.
You acknowledge and agree that your acceptance of the obligation to develop the CHRISTIE'S INTERNATIONAL REAL ESTATE business is based on your own independent investigation of the suitability of the site for the CHRISTIE'S INTERNATIONAL REAL ESTATE business.
Source: Item 23 — RECEIPT (FDD pages 54–177)
What This Means (2025 FDD)
According to Christies International Real Estate's 2025 Franchise Disclosure Document, the franchisor does not provide any guarantees regarding the suitability of a site, or that the site will achieve any level or amount of sales, revenue or profit as a Christies International Real Estate business location. Any recommendations, suggestions, or approvals of a proposed site are not a warranty, guarantee, or representation that the site will achieve any level or amount of sales, revenue or profit as a Christies International Real Estate business location.
Christies International Real Estate emphasizes that the franchisee's decision to develop the business should be based on their own independent investigation of the site's suitability. This means that Christies International Real Estate is not liable if a franchisee selects a location that underperforms, even if the franchisor initially approved or recommended the site. The franchisee bears the ultimate responsibility for assessing the market, demographics, and other factors to determine if the location is viable for their Christies International Real Estate business.
This disclaimer is a standard practice in franchising. Franchisors typically avoid making guarantees about potential revenue or profit because market conditions, local competition, and the franchisee's management skills can significantly impact performance. By explicitly stating that site approvals are not a guarantee of success, Christies International Real Estate aims to manage expectations and avoid potential disputes with franchisees who might claim they were misled about a location's potential.