What is the Engel & Volkers 'Franchise Agreement' related to?
Engel_Volkers Franchise · 2025 FDDAnswer from 2025 FDD Document
greement (if applicable) | | | | Appendix 7 | Limited Purpose Sales Location (if applicable) | | | | Appendix 8 | Limited Purpose Administrative Location (if applicable) | |
FRANCHISE AGREEMENT
| This | Franchise | Agreement | (the | "Agreement") | is | entered | into | and | made | effective | this |
|---|---|---|---|---|---|---|---|---|---|---|---|
| (the "Effective Date"), |
between
ENGEL & VÖLKERS AMERICAS, INC.
- the "Franchisor"
and
xxx
- the "Franchisee".
The parties agree as follows:
1. Nature and Scope of Agreement
- 1.1 The Franchisor**:** The Franchisor offers a franchise to operate a residential real estate brokerage under the ENGEL & VÖLKERS System.
- 1.2 The ENGEL & VÖLKERS Group: The distinctive characteristics of the ENGEL & VÖLKERS System and international network encompass the entire experience of the Engel & Völkers affiliated group of companies (the "Engel & Völkers Group") for the operation of a residential real estate brokerage. The ENGEL & VÖLKERS Group consists of Engel & Völkers U.S. Holding GmbH, its successor or assigns (the "Parent") and other affiliated companies.
- 1.3 The "ENGEL & VÖLKERS System" includes the following elements:
- Intellectual property rights, including the trademarks ENGEL & VÖLKERS®, E&V®, GG®, GG GLOBAL GUIDE® and related marks, designs and know-how, unregistered rights to designs, and licenses, marketing and selling rights (hereinafter called "Trademarks");
- Unpatented, practical knowledge and experience of operating local real estate brokerages by the Engel & Völkers Group through experience gathered over many years (hereinafter called "Know-how");
- System-compatible interior decorations and furnishings and external design elements giving the real estate brokerage an attractive appearance, installed in accordance with Franchisor's interior decoration plans and outfitting standards (hereinafter called "Brokerage Design");
Source: Item 22 — CONTRACTS (FDD page 88)
What This Means (2025 FDD)
According to the 2025 Engel & Volkers Franchise Disclosure Document, the Franchise Agreement grants the franchisee the right to operate a residential real estate brokerage under the Engel & Volkers System. The Engel & Volkers System includes intellectual property rights such as trademarks, unpatented knowledge from the Engel & Volkers Group, system-compatible interior decorations, and system documentation. The franchisee is granted the right to use the Engel & Volkers System to operate a residential real estate brokerage at a specific approved location.
The franchisee acknowledges they have independently investigated the business risks, market conditions, and competitive factors. They also confirm they have read the Engel & Volkers Franchise Disclosure Document and have not relied on any representations not set forth in the agreement. The franchisee agrees to bear the financial risk involved in operating the real estate brokerage.
The Engel & Volkers Franchise Agreement also outlines the relationship between the franchisee, franchisor, Engel & Volkers Group, and Parent company. The franchisee acknowledges that the Engel & Volkers Group and the Parent company are not parties to the agreement, and the franchisee will look only to the franchisor for performance of obligations under the agreement. However, the Engel & Volkers Group, its Parent, E&V Marken, Grund Genug Verlag and their affiliates are each intended to be a third party beneficiary of this Agreement.
The agreement also includes various provisions related to termination, renewal, and governing law. The franchisee cannot terminate or cancel the agreement, but the agreement can automatically terminate under certain conditions, such as bankruptcy. Any disputes will be governed by the law of the State of New York. The Franchise Agreement, along with its appendices, constitutes the entire agreement between the parties.