During the term of the franchise, can a Counselor Realty franchisee solicit agents of other Counselor Realty franchisees?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
- (d) During the term of this Agreement and for a period of twenty-four (24) months after it expires, is terminated or is transferred, you will not alone, or in any capacity
with another person or entity, within the United States and any other geographical area in which Counselor operates, solicit or cause to be solicited any person or entity that is (or was within the previous six (6) months) an agent, employee or independent contractor of Counselor or another Counselor franchisee, for the purpose of hiring or contracting such person or entity to work for you or any other party, or for the purpose of inducing them to leave such party's employment or contract with Counselor or another Counselor franchisee.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 25–29)
What This Means (2025 FDD)
According to Counselor Realty's 2025 Franchise Disclosure Document, during the term of the franchise agreement, a franchisee is restricted from soliciting agents, employees, or independent contractors of Counselor Realty or any of its other franchisees. This restriction is in place to prevent franchisees from poaching talent from within the Counselor Realty system.
Specifically, the franchisee is prohibited from soliciting or causing the solicitation of any person or entity that is, or was within the previous six months, an agent, employee, or independent contractor of Counselor Realty or another Counselor Realty franchisee. This restriction applies to hiring or contracting such individuals to work for the franchisee or any other party, or for the purpose of inducing them to leave their employment or contract with Counselor Realty or another franchisee.
This restriction extends not only during the term of the Franchise Agreement but also for a period of 24 months after the agreement expires, is terminated, or is transferred. The geographic scope of this restriction includes the entire United States and any other geographical area in which Counselor Realty operates. This non-solicitation clause is designed to protect the Counselor Realty network by preventing franchisees from actively recruiting personnel from each other, which could destabilize individual franchise operations and the overall brand.