For Counselor Realty, what section of the agreement specifies the time required to open the office?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
1.2 Site Selection. You must select a site for your Office within 180 days after you sign this Agreement. After you notify us of a proposed site for your Office, we will have 30 days to review the site and to notify you whether or not we consent to your operation of the Business at that site. If we reject the site you propose, you will have an additional 60 days to locate a site that is acceptable to us. If you fail to do so, this Agreement will automatically terminate and we will refund your Initial Franchise Fee, less our expenses associated with reviewing the proposed site(s). After we consent to an Office site you propose (if at all), you must open your Business at that site within six months. If you fail to do so, this Agreement will automatically terminate and your Initial Franchise Fee will not be refunded. We may, in our sole discretion, grant extensions of the deadlines described above. Our consent to a site is not a guarantee or assurance as to the availability, suitability or prospects of an Office or Business.
Source: Item 22 — CONTRACTS (FDD page 32)
What This Means (2025 FDD)
According to Counselor Realty's 2025 Franchise Disclosure Document, Section 1.2 of the Franchise Agreement details the timeframe for opening an office. A franchisee has 180 days from signing the agreement to select a site. Once a site is proposed, Counselor Realty has 30 days to review and approve or reject it. If the initial site is rejected, the franchisee has an additional 60 days to find an acceptable location.
After Counselor Realty approves a site, the franchisee must open their Counselor Realty business within six months. Failure to meet these deadlines can result in automatic termination of the Franchise Agreement. In the event of termination due to site selection issues, the initial franchise fee will be refunded, minus any expenses Counselor Realty incurred while reviewing the proposed sites. However, if termination occurs due to failure to open within six months of site approval, the initial franchise fee is not refunded.
Counselor Realty may, at its discretion, grant extensions to these deadlines. It is important to note that Counselor Realty's approval of a site does not guarantee the availability, suitability, or future success of the office or business. This section clearly outlines the franchisee's responsibilities and the potential financial consequences of failing to meet the specified timelines, which is a fairly standard practice in franchising to ensure timely business launch and operational compliance.