According to the 2025 Counselor Realty Franchise Disclosure Document, upon termination or expiration of the Franchise Agreement, the franchisee must remove all distinctive inventory, trade dress, and leasehold improvements. This removal is necessary to eliminate any similarity in design, structure, signage, trade dress, decor, color, or layout to the distinctive appearance of other Counselor Realty businesses. This requirement ensures that after the franchise agreement ends, the location does not continue to appear as if it is still a Counselor Realty franchise.

This obligation is part of the broader consequences of termination, which include ceasing the use of Counselor Realty's marks and systems, paying all outstanding sums to Counselor Realty, and returning all confidential information. The franchisee's interest in the franchise automatically reverts to Counselor Realty upon termination or expiration.

For a prospective franchisee, this means that any investments made in leasehold improvements to conform to Counselor Realty's brand standards must be reversed at the end of the franchise term. This could involve significant costs for demolition, reconstruction, and disposal of materials. It is important for franchisees to factor in these potential end-of-term expenses when evaluating the overall profitability and long-term financial implications of the franchise. Franchisees should also clarify with Counselor Realty what specific elements constitute 'distinctive' leasehold improvements to better understand the scope of this obligation.

This requirement is fairly standard in the franchise industry, as franchisors typically want to maintain a consistent brand image and prevent confusion after a franchise agreement ends. Franchisees should carefully review the franchise agreement and related documents to fully understand their obligations regarding leasehold improvements and other post-termination requirements.