Can Counselor Realty change the fees for non-technology tools and services at any time?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
- 6.5 Additional Tools and Services. We may provide you with or require you to utilize such non-technology related tools and services relating to the franchised business as we determine from time to time in our sole discretion. We will not be obligated to provide you with any such non-technology related tools or services, and reserve the right to discontinue providing any such non-technology related tools and services that we may decide to provide at any time. We also reserve the right to modify the terms and conditions regarding any such non-technology related tools and services that we may decide to provide at any time. You will be obligated to pay us fees associated with such non-technology related tools and services that we decide to provide in such amounts, and at such times, as we shall determine from time to time in our sole discretion.
Source: Item 22 — CONTRACTS (FDD page 32)
What This Means (2025 FDD)
According to Counselor Realty's 2025 Franchise Disclosure Document, Counselor Realty has the right to modify the terms and conditions regarding non-technology related tools and services at any time. The franchisee is obligated to pay fees associated with these non-technology related tools and services in amounts and at times determined by Counselor Realty in its sole discretion. This gives Counselor Realty considerable latitude in setting and changing these fees.
This policy means that a Counselor Realty franchisee's costs for non-technology related tools and services could fluctuate throughout the term of the franchise agreement. While the franchisee is obligated to pay these fees, they have limited control over the amounts charged or the timing of changes. It is important to note that Counselor Realty is not obligated to provide any specific non-technology related tools or services and can discontinue offering them at any time.
This type of fee structure is not uncommon in franchising, where franchisors often retain the flexibility to adjust fees to respond to market conditions or changes in the cost of providing services. However, it introduces an element of uncertainty for the franchisee, who must budget for these potential changes. Prospective franchisees should carefully consider this aspect of the agreement and discuss with Counselor Realty how these fees are determined and how frequently they have been adjusted in the past to better understand the potential financial impact.
It would be prudent for a potential Counselor Realty franchisee to inquire about the specific non-technology related tools and services that are currently offered, the typical costs associated with them, and the frequency with which these fees have been adjusted historically. Understanding these factors can help a franchisee better assess the potential financial risks and rewards of investing in a Counselor Realty franchise.