What is the Step-In Management Fee charged by Christies International Real Estate?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
| Fee (Note 1) | Amount (Note 2) | Due Date | Remarks |
|---|---|---|---|
| Step-In Management Fee | Currently $500 per day plus costs and expenses | Upon demand | In the event of your death or incapacity, we are entitled to a per diem amount, currently $500 per day, plus reimbursement for any reasonable expenses we incur in managing your Business. |
Source: Item 6 — OTHER FEES (FDD pages 14–17)
What This Means (2025 FDD)
According to Christies International Real Estate's 2025 Franchise Disclosure Document, the Step-In Management Fee is currently $500 per day, plus reimbursement for any reasonable expenses incurred while managing the business. This fee is applicable in the event of the franchisee's death or incapacity, during which time Christies International Real Estate is entitled to compensation for managing the business. This fee is paid upon demand.
This means that if a Christies International Real Estate franchisee becomes unable to manage their business due to death or incapacity, Christies International Real Estate will step in to manage the business. The franchisee (or their estate) will be responsible for paying Christies International Real Estate $500 per day, in addition to covering any reasonable expenses incurred during the management period. This could include travel, lodging, meals, and other costs associated with overseeing the business operations.
It is important for prospective Christies International Real Estate franchisees to understand the implications of this fee. While it provides a safety net in unforeseen circumstances, it also represents a potentially significant expense. Franchisees should consider this potential cost when evaluating the overall financial viability of the franchise and ensure they have adequate insurance or estate planning in place to cover such an eventuality. Franchisees should also clarify what constitutes 'reasonable expenses' to avoid potential disputes.