If Engel & Volkers waives enforcement of a term, does that constitute a permanent waiver?
Engel_Volkers Franchise · 2025 FDDAnswer from 2025 FDD Document
No waiver or delay in Franchisor's or Franchisee's enforcement of any term, covenant or condition of this Agreement will be construed as a waiver by that party of such covenant or condition of this Agreement, or any claim of breach thereof. Without limiting any of the foregoing, the acceptance of any payment required under this Agreement will not constitute a waiver of any breach of any term, covenant or condition of this Agreement. No waiver or amendment of any other Franchise Agreement will be deemed to be a waiver or amendment of this Agreement. Franchisee also acknowledges that Franchisor may elect, in its sole discretion, not to enforce or to enforce selectively any provision of this Agreement against Franchisee or any other Franchisee. Franchisor may also make a different determination on enforcing provisions or apply different policies to different franchisees. Franchisor's exercise of these rights shall not result in liability or other obligation to Franchisee, nor will it limit or otherwise affect Franchisor's right to strictly enforce this Agreement.
Source: Item 22 — CONTRACTS (FDD page 88)
What This Means (2025 FDD)
According to Engel & Volkers' 2025 Franchise Disclosure Document, a waiver or delay in enforcing any term of the agreement will not be construed as a permanent waiver. This means that even if Engel & Volkers chooses not to enforce a specific condition or covenant at one point, it does not forfeit its right to enforce that same term in the future.
Engel & Volkers retains the right to selectively enforce provisions of the Franchise Agreement, meaning they can choose not to enforce a provision against one franchisee or even make different policy decisions for different franchisees. This discretion does not create any liability for Engel & Volkers, nor does it prevent them from strictly enforcing the agreement later on.
This clause protects Engel & Volkers' ability to adapt its enforcement strategy as needed without setting a precedent that weakens its contractual rights. For a franchisee, this means they cannot assume that leniency in one instance will guarantee similar treatment in the future. Franchisees must continue to adhere to all terms of the agreement, as Engel & Volkers reserves the right to enforce them at any time.