Does Engel & Volkers have the right to freely assign its right of first refusal?

According to Engel & Volkers' 2025 Franchise Disclosure Document, the rights and remedies of Engel & Volkers under the agreement with the recipient are fully assignable and transferable. This means Engel & Volkers can transfer its rights, including the right of first refusal, to another party without needing the recipient's consent. This is a standard practice in franchising, allowing the franchisor flexibility in business operations.

For a prospective Engel & Volkers franchisee, this clause implies that if they decide to sell their franchise, Engel & Volkers could assign its right of first refusal to another entity. This other entity would then have the option to purchase the franchise under the same terms offered by the potential buyer. The franchisee would need to be aware that the ultimate decision of who they sell to could be influenced by this assigned right.

This assignability benefits Engel & Volkers by providing flexibility in managing its franchise network and potentially facilitating strategic partnerships or acquisitions. However, it introduces an element of uncertainty for the franchisee, as the franchisor's rights can be transferred to another party, potentially impacting the franchisee's exit strategy.