Under what circumstances does Christies International Real Estate have a right of first refusal?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
- **1.3.
Rights Reserved to Us.** We reserve (for ourselves and our affiliates) reserve all rights to engage in all activities associated with CHRISTIES INTERNATIONAL REAL ESTATE Marks, and all rights to engage in any business, licensing, franchising, or other activities associated with other brands, marks, and real estate brokerage systems, anywhere in the world, not specifically granted to you under this Agreement or expressly prohibited under this Agreement, or expressly prohibited from us engaging in under this Agreement.
Without limiting the preceding sentence, we (for ourselves and our affiliates) specifically
reserve the right, from any location at any time, without any compensation to you or any other Affiliate and regardless of whether it competes with the Business, the following rights:
(a) To own and operate, and grant licenses or franchises to others to own and operate, CHRISTIE'S INTERNATIONAL REAL ESTATE offices outside of the Protected Territory;
(b) To own and operate, and grant licenses or franchises to others to own and operate, any business of any kind (other than an office located within your Protected Territory selling the same services as a CHRISTIE'S INTERNATIONAL REAL ESTATE businesses) under the Marks at any locations within or outside of your Protected Territory, including by electronic means such as the Internet, applications, by websites we may establish, catalog sales, telemarketing, or other direct marketing sales;
(c) To own and operate, and grant licenses or franchises to others to own and operate, any business of any kind, including a real estate business selling the same or similar services as CHRISTIE'S INTERNATIONAL REAL ESTATE businesses, under any names, trademarks, service marks, logos and other commercial symbols other than the Marks, regardless of where such businesses are located, including within the Protected Territory;
Source: Item 23 — RECEIPT (FDD pages 54–177)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, Christies International Real Estate retains significant rights regarding the brand and business operations, but the document does not explicitly describe a right of first refusal. Instead, it outlines specific rights that Christies International Real Estate reserves for itself and its affiliates.
Christies International Real Estate reserves the right to engage in any activities associated with the Christies International Real Estate Marks and to engage in any business, licensing, franchising, or other activities associated with other brands, marks, and real estate brokerage systems, anywhere in the world, that are not specifically granted to the franchisee or expressly prohibited in the agreement. This broad reservation of rights allows Christies International Real Estate to operate and franchise businesses outside the franchisee's protected territory, use the Marks through various channels of distribution, and even operate competing businesses under different brands within the protected territory.
Specifically, Christies International Real Estate reserves the right to own and operate, and grant licenses or franchises to others to own and operate, Christies International Real Estate offices outside of the Protected Territory. They also reserve the right to own and operate, and grant licenses or franchises to others to own and operate, any business of any kind (other than an office located within the franchisee's Protected Territory selling the same services as a Christies International Real Estate business) under the Marks at any locations within or outside of the Protected Territory.
Prospective franchisees should be aware that Christies International Real Estate retains considerable control over the brand and business model, and can engage in activities that may compete with the franchisee's business, provided they do not violate the specific terms of the agreement. A franchisee should seek clarification from Christies International Real Estate regarding any potential scenarios where the franchisor might enter into agreements or activities that could impact the franchisee's business, and how those situations would be handled.