Must an Engel & Volkers franchisee comply with the specifications contained in the System Documentation regarding the design of all signage?
Engel_Volkers Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee agrees and acknowledges that it must only have a Residential Real Estate Brokerage location and exterior brokerage designs (renderings) that are compliant with the ENGEL & VÖLKERS' System and System Documentation and that failure to do so will be a material breach of this Agreement.
Franchisee hereby agrees not to encourage or permit any activities in its Residential Real Estate Brokerage which are incompatible with this Agreement, the ENGEL & VÖLKERS System or with the type of properties covered by this Agreement.
Source: Item 22 — CONTRACTS (FDD page 88)
What This Means (2025 FDD)
According to Engel & Volkers' 2025 Franchise Disclosure Document, franchisees must adhere to the specifications outlined in the System Documentation, which includes signage. The System Documentation details the Engel & Volkers System, and franchisees agree to operate their real estate brokerage in accordance with the mandatory instructions within this documentation, as it may be updated. Engel & Volkers aims to maintain uniform standards and protect its brand reputation through this compliance.
Engel & Volkers will provide franchisees with access to the System Documentation, potentially through a secure internet link. This documentation contains mandatory and suggested standards, methods, procedures, and specifications applicable to the Engel & Volkers System. Franchisees are required to follow the most recent versions of the System Documentation, with the master version kept at Engel & Volkers' head office taking precedence in case of any discrepancies.
Engel & Volkers retains the right to modify the System Documentation at its discretion. This includes adaptations and modifications to the Engel & Volkers System, the Integrated Product Suite, and the Trademarks, as well as required equipment, technology, signs, trade dress, and other business characteristics. Franchisees are required to adhere to these changes, although Engel & Volkers states that the cost to franchisees for these adaptations and modifications will not be unreasonable. Franchisees are responsible for updating their versions of the System Documentation upon receiving notification of amendments and must comply with the revised requirements.