What responsibility does the Engel & Volkers franchisee have for ensuring their employees' compliance with the franchise agreement?

According to Engel & Volkers' 2025 Franchise Disclosure Document, the franchisee is responsible for ensuring that their employees, contractors, and Sales Advisors observe the obligations outlined in the franchise agreement. This means the franchisee must take active steps to make sure their staff adheres to the terms and conditions set forth in the agreement. Engel & Volkers franchisees must ensure their staff, contractors, and advisors comply with the franchise agreement.

Engel & Volkers emphasizes that the franchisee has full control and responsibility for their franchised business, including personnel-related decisions. The franchisor's support and resources are aimed at protecting the Engel & Volkers system and assisting the franchisee, not at controlling the franchisee's operational decisions. The franchisee is solely responsible for fulfilling employment contracts with their staff and Sales Advisors, including all related financial obligations like income taxes and social security contributions.

This arrangement underscores the independent contractor relationship between Engel & Volkers and its franchisees. The franchisee is responsible for the actions and compliance of their employees, contractors, and Sales Advisors. This includes ensuring that all personnel involved in real estate activities have the necessary licenses and have attended appropriate training courses conducted by Engel & Volkers and passed related tests. The franchisee's active management and oversight are crucial for maintaining the integrity of the Engel & Volkers system and brand standards.