If a Counselor Realty franchisee fails to pay the Advertising Fee, what are the consequences?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
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| (1) Name of Fee | (2) Amount | (3) Due Date | (4) Remarks |
|---|---|---|---|
| Base Monthly Fee | $371 per month | Payable monthly by the 20th day of the month | See Note A |
| Continuing Agent Fee | $32 to $53 per licensed agent operating from or through your Office | Payable monthly by the 20th day of the month | See Note B |
| (1) | (2) | (3) | (4) |
| Name of Fee | Amount | Due Date | Remarks |
| Late Charges | Lesser of 8% per year or maximum contract rate of interest allowed by law | Payable when billed | See Note H |
| Insufficient Funds/ Return Fees | Amount of the insufficient funds or return fee charged by Counselor's bank | Payable when billed | See Note I |
| Training Fees | $175 per hour, plus all travel, living and incidental expenses | Payable when billed | See Note J |
| Legal Fees | As incurred | Payable when billed | See Note K |
| (1) | (2) | (3) | (4) |
| Name of Fee | Amount | Due Date | Remarks |
| Late Charges | Lesser of 8% per year or maximum contract rate of interest allowed by law | Payable when billed | See Note H |
| Insufficient Funds/ Return Fees | Amount of the insufficient funds or return fee charged by Counselor's bank | Payable when billed | See Note I |
| Training Fees | $175 per hour, plus all travel, living and incidental expenses | Payable when billed | See Note J |
| Legal Fees | As incurred | Payable when billed | See Note K |
Source: Item 6 — OTHER FEES (FDD pages 9–13)
What This Means (2025 FDD)
According to Counselor Realty's 2025 Franchise Disclosure Document, failing to pay amounts owed, including the Advertising Fee, can lead to significant financial and contractual repercussions. Counselor Realty will charge interest on any overdue amount from the date it was due until it is paid. The interest rate will be the lower of 8% per year or the maximum contract rate of interest allowed by law in the state where the Counselor Realty business operates.
In addition to interest, if Counselor Realty has to commence a lawsuit to collect the unpaid amounts, the franchisee will be responsible for covering Counselor Realty's costs, including reasonable attorney's fees, along with the original amount due. These interest and late payment fees are nonrefundable.
Most critically, the failure to pay any amounts owed to Counselor Realty, including Advertising Fees, constitutes sufficient grounds for Counselor Realty to terminate the Franchise Agreement. This could result in the franchisee losing their business and the rights associated with the Counselor Realty franchise.
| (1) Name of Fee | (2) Amount | (3) Due Date | (4) Remarks |
|---|---|---|---|
| Late Charges | Lesser of 8% per year or maximum contract rate of interest allowed by law | Payable when billed | See Note H |
| Legal Fees | As incurred | Payable when billed | See Note K |