What aspects of opening a Remax franchise are covered in Section 3 and Subsection 13.B.(2) of the Franchise Agreement?
Remax Franchise · 2025 FDDAnswer from 2025 FDD Document
ditional franchises) based on your use of approved suppliers.
FRANCHISEE'S OBLIGATIONS
This table lists your principal obligations under the franchise and other agreements. It will help you find more detailed information about your obligations in these agreements and in other items of this disclosure document.
| Obligation | Section in agreement | Disclosure document item |
|---|---|---|
| a. Site selection and acquisition/lease | Subsections 2.A. and 2.C., Section 3, and Subsection 13.B.(1) of Franchise Agreement | Items 7, 11 and 12 |
| b. Pre-opening | Section 3 and Subsections 8.B., 8.D. and | Items 7 and 8 |
| purchases/leases | 8.L. of Franchise Agreement | |
| c. Site development and other pre-opening requirements | Section 3, Subsections 8.A., 8.B., 8.C., 8.D., 8.F., 8.G., 8.J. and Subsection 13.B.(2) of Franchise Agreement | Items 7, 11 and 12 |
| d. Initial and ongoing training | Subsections 8.G., 9.A., 9.D., 9.F., and 13.B.(3) of Franchise Agreement | Items 1, 6 and 11 |
| e. Opening | Section 3 and Subsection 13.B.(2) of Franchise Agreement | Items 1 and 11 |
| f. |
Source: Item 9 — FRANCHISEE'S OBLIGATIONS (FDD pages 53–56)
What This Means (2025 FDD)
According to Remax's 2025 Franchise Disclosure Document, Section 3 and Subsection 13.B.(2) of the Franchise Agreement relate to various obligations of the franchisee during site selection, pre-opening, site development, and meeting pre-opening requirements, as well as the actual opening of the Remax office. Specifically, Section 3 is referenced in the context of site selection and acquisition/lease, pre-opening purchases/leases, site development and other pre-opening requirements, the opening itself, on-going product/service purchases, and maintenance, appearance, and remodeling requirements.
Subsection 13.B.(2) of the Franchise Agreement is specifically related to site development and other pre-opening requirements, as well as the opening of the franchise. However, the FDD also states that Subsections 13.B.(1) and (2) of the Franchise Agreement, regarding failure to agree on an office location and failure to open the office, are deleted by the Commercial Office Addendum.
In practical terms, this means that while the Franchise Agreement initially outlines obligations related to securing a location and opening the office, these specific subsections are removed, likely indicating a modification or waiver of certain location-related stipulations. Prospective franchisees should pay close attention to the Commercial Office Addendum to understand the revised terms regarding site selection and opening procedures, as the standard Franchise Agreement terms are superseded in this case.