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

According to Christies International Real Estate's 2025 Franchise Disclosure Document, a royalty fee waiver is granted under a specific condition related to converting an existing brokerage. 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 to transactions that close after the agreement's effective date.

This provision is beneficial for franchisees converting existing brokerages as it prevents them from paying royalty fees on deals they had already secured under their previous brand. It allows for a smoother transition into the Christies International Real Estate system without immediately incurring additional costs on pre-existing contracts. This can be a significant incentive for established brokerages considering joining the Christies International Real Estate franchise network.

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 expiration, termination, or transfer of the agreement. This means that franchisees are responsible for paying royalty fees on deals secured during their time as a Christies International Real Estate franchisee, even if those deals close after they leave the system. This ensures that Christies International Real Estate receives its share of revenue generated during the franchisee's tenure.