When is the Tax Indemnity due to Christies International Real Estate?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
| Fee (Note 1) | Amount (Note 2) | Due Date | Remarks |
|---|---|---|---|
| Tax indemnity | Actual amount incurred | Upon demand | If required by the federal, state or locality in which your Business is located. Including sales, excise or gross receipts tax or similar type tax on the initial fee, royalty, and other fees and costs. |
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 Tax Indemnity is due 'upon demand.' This fee covers the actual amount incurred by Christies International Real Estate if they are required to pay federal, state, or local taxes related to your business. These taxes can include sales, excise, gross receipts, or similar taxes on the initial fee, royalty, and other fees and costs.
In practical terms, this means that if a taxing authority assesses Christies International Real Estate for taxes related to your franchise operations, they will pass those costs on to you. The 'upon demand' clause indicates that you'll be responsible for paying this indemnity as soon as Christies International Real Estate requests it.
Franchisees should be aware that tax obligations can vary significantly depending on the location of their business. It is important to understand the potential tax liabilities in your specific area and factor those into your financial planning. Because the tax indemnity is passed on to the franchisee, it is essential to maintain accurate records and comply with all applicable tax laws to minimize the risk of triggering this indemnity.