What must a Counselor Realty franchisee do to indicate their interest in a Territory Opportunity?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
provided, however, that if Counselor proposes to license another to establish or operate a "Counselor Office" with a territory that would include the location where such Extension Office is located (a "Territory Opportunity"), we will provide you with a right of first refusal for such Territory Opportunity on the following terms:
- (i) we will provide you with written notice of a Territory Opportunity, and you will have 30 days to advise us in writing that you wish to participate in the Territory Opportunity;
- (ii) if you do not notify us within such period, then we may pursue such Territory Opportunity and/or grant any other person or entity the right to participate in such Territory Opportunity without any liability to you; and
- (iii) if you timely notify us in writing that you wish to participate in the Territory Opportunity, then we may condition your participation on compliance with such terms and conditions as we consider appropriate to the particular Territory Opportunity, including: (i) execution of such franchise agreement and related agreements as are then generally used by us in connection with the award of the applicable Territory Opportunity; (ii) timely payment of all initial fees and any other fees charged by us or our affiliate in connection with the award or grant of the applicable Territory Opportunity; and (iii) meeting our then-current eligibility requirements applied by us to candidates for such Territory Opportunity.
Source: Item 22 — CONTRACTS (FDD page 32)
What This Means (2025 FDD)
According to the 2025 Counselor Realty FDD, if Counselor Realty intends to license a new Counselor Realty office in a territory that includes the location of a franchisee's Extension Office, the franchisee has a right of first refusal for that Territory Opportunity. To indicate interest in participating in the Territory Opportunity, the franchisee must advise Counselor Realty in writing within 30 days of receiving written notice of the Territory Opportunity.
If the franchisee does not provide written notification within the 30-day period, Counselor Realty can pursue the Territory Opportunity independently or grant the right to participate to another party without any liability to the existing franchisee. This means a franchisee must act quickly and decisively to secure the opportunity.
If the franchisee does notify Counselor Realty in writing within the specified timeframe, Counselor Realty may then set terms and conditions for the franchisee's participation. These conditions can include executing franchise agreements and related documents that Counselor Realty typically uses for such opportunities, making timely payments for all initial and other fees, and meeting Counselor Realty's current eligibility requirements for candidates pursuing that Territory Opportunity. Therefore, expressing interest is only the first step, and the franchisee must also be prepared to meet Counselor Realty's requirements to proceed further.