Are Engel & Volkers franchisees required to abide by United States government economic sanctions requirements?
Engel_Volkers Franchise · 2025 FDDAnswer from 2025 FDD Document
- 26.11.5 Franchisee and its Principals understand the requirements of, and will abide by, all United States government economic sanctions requirements throughout the Term.
Franchisee and its Principals represent and warrant that neither Franchisee nor any of its direct or indirect Principals, shareholders, owners, directors, managers, affiliates, employees or agents, nor any funding source Franchisee utilizes, is or will be identified on the list of the U.S.
Treasury's Office of Foreign Assets Control (OFAC) or is or will be a person subject to trade restrictions under United States law, including (without limitation) the International Emergency Economic Powers Act, 50 U.S.C. §§ 1701 et seq., the Trading with the Enemy Act, 50 U.S.C.
Source: Item 22 — CONTRACTS (FDD page 88)
What This Means (2025 FDD)
According to Engel & Volkers' 2025 Franchise Disclosure Document, franchisees and their principals must understand and abide by all United States government economic sanctions requirements throughout the term of their franchise agreement. This means that Engel & Volkers franchisees must comply with laws and regulations such as the International Emergency Economic Powers Act and the Trading with the Enemy Act.
Furthermore, Engel & Volkers franchisees and their principals must warrant that neither they nor any of their direct or indirect principals, shareholders, owners, directors, managers, affiliates, employees, or agents, nor any funding source they utilize, is or will be identified on the list of the U.S. Treasury's Office of Foreign Assets Control (OFAC) or is or will be a person subject to trade restrictions under United States law.
This requirement ensures that Engel & Volkers, as a company, remains in compliance with U.S. law and does not conduct business with individuals or entities that are subject to sanctions or trade restrictions. For a prospective franchisee, this means they must conduct thorough due diligence to ensure that their business operations and funding sources are fully compliant with these regulations. Failure to comply could result in legal penalties and termination of the franchise agreement.