What agreements are attached to the Exit Disclosure Document?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
(F) EXIT Formula: "EXIT Formula" means the system of fees and dues described in Schedule 2 attached to this Agreement.
(H) Franchise Agreement: "Franchise Agreement" means that agreement between Subfranchisor and Franchisee, which grants to Franchisee the right to use and be a part of the EXIT System, as amended from time to time.
19. THE EXIT FORMULA
See Schedule 2 attached to and incorporated in this Agreement.
- (B) All individuals executing this Agreement shall remain personally liable for the performance of all obligations under this Agreement, irrespective of the formation of the entity and all equity holders of the assignee entity who have not signed this Agreement shall execute the Personal Guaranty in the form attached as Schedule 4.
The Franchise described in this Disclosure Document is a license, as a "Franchisee" pursuant to a Franchise Agreement, to a specific geographic territory for the purpose of owning and operating a real estate office using the EXIT System (as defined below) for a specific time period pursuant to the terms of a Franchise Agreement in the form of Exhibit A-2 attached to this Disclosure Document.
Exhibit B lists the state agencies also authorized to receive service of process.
- (1) Train you as provided in Training Manual Vol. 2 Broker Training and Training Manual Vol. 3 – Presentation Process, the Table of Contents of which are attached to this Disclosure Document as Exhibit C. See Franchise Agreement, Sections 8.8 and 9.11.
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, several schedules and exhibits are attached to the agreement. Schedule 2, which outlines the EXIT Formula, a system of fees and dues, is attached to and incorporated into the agreement. Additionally, the Personal Guaranty is included as Schedule 4. Exhibit A-2 contains the Franchise Agreement form. Exhibit B lists the state agencies authorized to receive service of process. Exhibit C contains the Table of Contents for Training Manual Vol. 2 Broker Training and Training Manual Vol. 3 – Presentation Process.
These attachments provide crucial details for prospective Exit franchisees. Schedule 2 details the financial obligations and how fees are structured within the Exit franchise system. Schedule 4, the Personal Guaranty, clarifies the personal liability assumed by equity holders who have not signed the agreement, ensuring they are responsible for the franchise's obligations. Exhibit A-2 gives franchisees access to the exact terms and conditions they will be bound by under the Franchise Agreement.
Exhibit B is important for legal purposes, as it identifies the state agencies authorized to receive service of process, which is essential for legal compliance and communication. Exhibit C gives an overview of the training materials provided, which can help potential franchisees understand the scope and content of the training they will receive to operate their Exit franchise effectively. Reviewing these documents is essential for any prospective franchisee to fully understand their rights, responsibilities, and the overall structure of the Exit franchise system.