Under what condition is the Transfer Fee not required for a Christies International Real Estate franchise?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
| Fee (Note 1) | Amount (Note 2) | Due Date | Remarks |
|---|---|---|---|
| Transfer Fee | $5,000 | Before you complete the transfer | Subject to state law, you pay the transfer fee when the License Agreement, the Business, or a material interest in you is transferred. You do not pay the transfer fee if the transferee is an entity controlled by you. |
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, a transfer fee of $5,000 is generally required before completing the transfer of the License Agreement, the Business, or a material interest in the franchisee. However, this fee is waived if the transferee is an entity controlled by the franchisee. This condition is subject to state law.
This means that if a Christies International Real Estate franchisee wants to transfer their franchise to a company they own and control, they will not have to pay the $5,000 transfer fee. This provides flexibility for franchisees who may want to restructure their business for tax or liability purposes without incurring additional costs.
It's important for prospective Christies International Real Estate franchisees to understand the conditions under which this transfer fee is applied or waived, as it can impact their long-term business planning and potential exit strategies. Franchisees should also be aware that state laws may affect the transfer process and associated fees.