Who are the parties to the Exit Franchise Agreement?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
You may become a Franchisee by entering into a Franchise Agreement with EXIT Realty Upper Midwest, which sets forth your obligations and the obligations of EXIT Realty Upper Midwest. The EXIT Franchise Agreement is attached to this Disclosure Document as Exhibit A-2. EXIT Realty Upper Midwest and you are the only two parties to the Franchise Agreement.
Source: Item 1 — THE FRANCHISOR AND SUBFRANCHISOR, AND ANY PARENTS, PREDECESSORS AND AFFILIATES (FDD pages 6–8)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, the parties to the Franchise Agreement are EXIT Realty Upper Midwest, acting as the subfranchisor, and the franchisee. Specifically, the agreement is executed between EXIT Realty Upper Midwest and "you," which refers to the individual or entity purchasing the franchise.
EXIT Realty Upper Midwest is responsible for offering and managing the franchises within its designated territory, operating independently from EXIT Realty Corp. International. The franchisee, on the other hand, is granted a license to operate a real estate office using the Exit system within a specific geographic area for a defined period, as outlined in the Franchise Agreement.
It's important to note that the contractual relationship for franchisees is solely with EXIT Realty Upper Midwest. Franchisees must look only to EXIT Realty Upper Midwest for performance under the individual Franchise Agreements. This distinction clarifies that while EXIT Realty Corp. International establishes the overall system, the subfranchisor, EXIT Realty Upper Midwest, is the direct point of contact and contractual party for franchisees in its region.