How does the assistance provided by Remax in Item 11 depend on the franchisee meeting certain obligations outlined in Item 9?
Remax Franchise · 2025 FDDAnswer from 2025 FDD Document
Neither RE/MAX Regional nor REMAX, LLC is obligated by the Franchise Agreement or any other agreement to provide any other assistance or services in connection with the ongoing operation of the Office. RE/MAX Regional shall have the right to suspend some or all of the assistance, benefits and services noted above or set forth in the Franchise Agreement or otherwise afforded to you as a franchisee if you fail to make any payments to RE/MAX Regional as required under the Franchise Agreement. (Franchise Agreement - Subsection 5.H.)
What This Means (2025 FDD)
According to Remax's 2025 Franchise Disclosure Document, Remax Regional has the right to suspend assistance, benefits, and services if a franchisee fails to make payments as required by the Franchise Agreement. This means that the support outlined in Item 11, which includes consultation, system standards, marketing, and training opportunities, is contingent upon the franchisee fulfilling their financial obligations to Remax Regional.
Specifically, Item 9 of the FDD details the franchisee's obligations, which include site selection, pre-opening purchases, site development, training, opening procedures, fee payments, compliance with standards, trademark adherence, and various other operational requirements. Failure to meet the financial obligations listed in Item 9, such as paying fees, directly impacts the franchisee's access to the support and services described in Item 11.
This dependency highlights the importance of maintaining good financial standing with Remax. A franchisee should be aware that any payment defaults could lead to a suspension of crucial support services, potentially hindering their ability to effectively operate the franchise. This condition is a standard practice in franchising, where franchisors often tie ongoing support to the franchisee's compliance with the franchise agreement, especially regarding financial obligations.