What is the purpose of providing banking information to Christies International Real Estate?

According to Christies International Real Estate's 2025 Franchise Disclosure Document, Exhibit 2 is an Automatic Bank Draft Authorization form. While the FDD references this exhibit, it does not provide details about the specific circumstances or requirements for completing and submitting this form.

It is standard practice for franchisors to collect banking information for recurring payments such as royalty fees or advertising fees. The FDD mentions that Christie's International Real Estate reserves the right to require franchisees to pay a monthly advertising fee of up to 3% of gross revenue, though as of the issuance date of the FDD, they have not established an advertising fund. It is likely that the bank draft authorization would be used for this purpose, or for royalty payments.

A prospective Christies International Real Estate franchisee should inquire with the franchisor about when and why the Automatic Bank Draft Authorization form needs to be completed, what fees are collected via automatic bank draft, and what alternatives, if any, exist for making these payments.