What happens to the Additional Office upon termination of a Counselor Realty franchise?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
12. TERMINATION CONSEQUENCES.
Upon termination or expiration of this Agreement, all rights licensed herein, and your interest herein, revert to Counselor automatically, and you must immediately:
- (a) stop using the Marks and System, any materials containing or depicting the Marks or System, and any other name or mark confusingly similar to the Marks, including domain names;
- (b) pay all sums due to Counselor or its affiliates or which we have guaranteed;
- (c) return the Franchise Policy Guidelines and all other confidential or trade secret information to us, and stop using distinctive, proprietary or confidential items, methods or other techniques, systems or know-how we disclosed to you. Counselor or its affiliate may access and remove any confidential or proprietary information and materials, either at the Office (including any Additional Office and Extension Office) or remotely by electronic means ; and
- (d) remove all distinctive inventory, trade dress, and leasehold improvements to eliminate any similarity in design, structure, signage, trade dress, decor, color or layout to the distinctive appearance of other Counselor businesses.
Source: Item 22 — CONTRACTS (FDD page 32)
What This Means (2025 FDD)
According to Counselor Realty's 2025 Franchise Disclosure Document, upon termination or expiration of the Franchise Agreement, all rights revert to Counselor Realty automatically, and the franchisee must immediately stop using the Marks and System, including any materials or names confusingly similar to the Marks, including domain names. The franchisee must also pay all sums due to Counselor Realty or its affiliates.
Additionally, the franchisee is required to return the Franchise Policy Guidelines and all other confidential or trade secret information, ceasing the use of distinctive, proprietary, or confidential items, methods, or techniques disclosed by Counselor Realty. Counselor Realty or its affiliate has the right to access and remove any confidential or proprietary information and materials from the Office, including any Additional Office, either physically or remotely.
Finally, the franchisee must remove all distinctive inventory, trade dress, and leasehold improvements to eliminate any similarity in design, structure, signage, trade dress, decor, color, or layout to the distinctive appearance of other Counselor Realty businesses. This ensures that the terminated or expired franchise location no longer represents or resembles a Counselor Realty franchise, protecting the brand's image and preventing confusion among customers.