Under what condition is the transfer fee waived by Christies International Real Estate?

According to the 2025 Christies International Real Estate FDD, a royalty fee is not required on real estate transactions under a specific circumstance. If a franchisee is converting an existing brokerage to a Christies International Real Estate franchise, they will not be required to pay royalty fees on real estate transactions that were already under contract at the time the Broker Affiliate License Agreement became effective. However, this waiver only applies if the transactions close after the effective date of the agreement.

This condition provides a financial benefit to franchisees who are converting existing brokerages, as it exempts them from paying royalty fees on deals that were already in progress when they joined the Christies International Real Estate franchise system. This can ease the transition and reduce initial costs for converting franchisees.

However, the agreement also stipulates that royalty fees are applicable to real estate transactions that are under contract during the term of the Broker Affiliate License Agreement but close after the agreement expires, terminates, or is transferred. This ensures that Christies International Real Estate receives royalty fees for transactions that occur under the franchise's umbrella, even if the closing happens after the franchise relationship ends.