Besides laws and regulations, the Remax Franchise Agreement, and the Brand Standards Manual, what else determines the activity within a Remax office?
Remax Franchise · 2025 FDDAnswer from 2025 FDD Document
You understand and agree that neither we nor REMAX, LLC shall have any authority to exercise control over the day-to-day conduct of your business and the Office, including but not limited to the time and manner in which you obtain listings and sell or purchase properties, the commission rates charged by the Office, the commission splits negotiated between you and your Sales Associates, the details of the work performed by you or your employees and Sales Associates, the hiring or termination of your employees and Sales Associates, the compensation, working hours or conditions, or the day-to-day activities of such persons except to the extent necessary to protect the RE/MAX Marks and the mandatory elements (set forth in the Brand Standards Manual) of the System and the goodwill associated with the RE/MAX Marks and the System. You understand and agree that your employees and Sales Associates are under your sole control, that neither REMAX Regional nor REMAX, LLC are the employer or joint employer of your employees or Sales Associates, and that neither REMAX Regional nor REMAX, LLC will exercise direct or indirect control of your employees' or Sales Associates' working conditions. You must notify and communicate clearly with your employees in all dealings, including, without limitation, your written and electronic correspondence, paychecks, and other materials, that you (and only you) are their employer and that we are not their employer. All activity within the Office, including those described above, will be determined by you in your own judgment, subject only to the laws and regulations of the state in which the Office is located, the terms of this Agreement, and the Brand Standards Manual prescribed by REMAX, LLC for the preservation of the goodwill associated with the RE/MAX Marks.
Source: Item 22 — Contracts (FDD pages 108–334)
What This Means (2025 FDD)
According to Remax's 2025 Franchise Disclosure Document, franchisees have significant control over their office's day-to-day operations. Subject to laws and regulations, the Franchise Agreement, and the Brand Standards Manual, the franchisee's own judgment determines the activity within the office. This includes aspects such as how listings are obtained, how properties are sold or purchased, commission rates charged, and commission splits negotiated with sales associates.
This autonomy extends to the franchisee's employees and sales associates. The Remax franchisee has sole control over these individuals, including hiring, termination, compensation, working hours, and conditions. Remax Regional and Remax, LLC do not act as employers or joint employers of the franchisee's personnel and will not directly or indirectly control their working conditions. The franchisee is responsible for clearly communicating to employees that they (the franchisee) are the employer, and Remax is not.
This operational independence is subject to the franchisee's responsibility to protect the RE/MAX Marks and the goodwill associated with the RE/MAX System. The Brand Standards Manual outlines the mandatory elements of the System, which franchisees must adhere to. These standards are not fixed and may be modified by Remax, LLC to reflect changes in the real estate services marketplace, ensuring the continued protection of the RE/MAX Marks and goodwill. This balance between franchisee autonomy and brand protection is a key aspect of the Remax franchise model.