In the Corcoran FDD, where can I find the definition of "Excluded Business"?
Corcoran Franchise · 2025 FDDAnswer from 2025 FDD Document
For your reference, the capitalized terms used in the Agreement will have the meaning set forth below.
- "Anywhere" means our parent company, Anywhere Real Estate Inc. (f/k/a Realogy Holdings Corp.), its successors and assigns.
- "Approved Supplier" means all suppliers we approve in the P&P Manual or other written communication with you.
- "ASP" has the meaning in Section 23.10.1.
- "Branch Office" is any approved Corcoran® Office you operate, other than the Main Office or a Limited Purpose Office.
- "Business" means the performance of real estate brokerage services for Residential Real Estate, Commercial Real Estate and New Development Services (as approved by us), and specifically excludes any businesses that you operate as an Excluded Businesses.
- "Commercial Real Estate" means services relating to the listing, offering, selling, leasing, renting or consulting of commercial real estate and any ancillary personal property related to a commercial real estate transaction authorized under applicable commercial broker licensing laws, which may vary, from time to time based on state laws. Commercial Real Estate excludes any and all structuring of debt or other involvement in capital markets, making syndicated loans or syndicated equity financing or similar financing business, or the listing, offering or selling of real estate investment shares ("Excluded Commercial Real Estate").
Source: Item 23 — RECEIPTS (FDD pages 75–276)
What This Means (2025 FDD)
According to Corcoran's 2025 Franchise Disclosure Document, the definition of "Excluded Business" can be found within the Glossary of Terms in Exhibit C of the Real Estate Franchise Agreement. The term "Business" is defined as the performance of real estate brokerage services for Residential Real Estate, Commercial Real Estate, and New Development Services, as approved by Corcoran. However, this definition specifically excludes any businesses that the franchisee operates as Excluded Businesses.
Additionally, the definition of "Commercial Real Estate" excludes any and all structuring of debt or other involvement in capital markets, making syndicated loans or syndicated equity financing or similar financing business, or the listing, offering or selling of real estate investment shares, which are categorized as "Excluded Commercial Real Estate".
For a prospective franchisee, this means that while you are granted the right to perform real estate brokerage services, there are explicit limitations on the types of businesses you can operate under the Corcoran franchise. Specifically, certain financial activities related to commercial real estate are off-limits. It is important to carefully review Exhibit C and understand these exclusions to ensure compliance with the franchise agreement.