To what article does the Counselor Realty agreement refer regarding sublicensing?

According to Counselor Realty's 2025 Franchise Disclosure Document, the franchise agreement specifies that a franchisee cannot directly or indirectly sublicense, delegate, or transfer any of the rights licensed by the agreement, except as explicitly permitted in Article 9. This means that a Counselor Realty franchisee is generally prohibited from allowing another party to operate under their franchise rights unless they adhere to the conditions outlined in Article 9 of the franchise agreement.

Article 9 likely contains specific terms and conditions under which sublicensing, delegation, or transfer of franchise rights may be allowed. These conditions could include obtaining prior written consent from Counselor Realty, meeting certain qualifications or financial requirements, or paying a transfer fee. It is crucial for a prospective franchisee to carefully review Article 9 to understand the circumstances under which they might be able to transfer their rights and the procedures they would need to follow.

The restriction on sublicensing is a common provision in franchise agreements, designed to protect the integrity of the brand and ensure consistent quality across all franchise locations. By maintaining control over who can operate under the Counselor Realty name, the franchisor can safeguard its reputation and the value of the franchise system. A potential franchisee should consider this restriction and carefully evaluate their long-term plans for the business, including any potential need or desire to transfer ownership or delegate operational responsibilities.