Does the Remax Franchise Agreement's severability clause ensure that the entire agreement is invalidated if one term is deemed unlawful?
Remax Franchise · 2025 FDDAnswer from 2025 FDD Document
T. INDEPENDENT PROVISIONS.
The provisions of this Agreement are deemed to be severable. In other words, the parties agree that each provision of this Agreement will be construed as independent of any other provision of this Agreement.
Source: Item 22 — Contracts (FDD pages 108–334)
What This Means (2025 FDD)
According to the 2025 Remax Franchise Disclosure Document, the franchise agreement contains a severability clause. This means that if one or more provisions of the agreement are found to be unenforceable or invalid, the remaining provisions will still remain in full effect.
For a prospective Remax franchisee, this is a standard clause that protects both the franchisee and franchisor. It ensures that a single issue with one part of the agreement does not void the entire contract, which could lead to significant disruptions for both parties. This clause is designed to maintain the agreement's overall integrity and enforceability to the greatest extent possible.
It is important for a franchisee to understand that this clause does not excuse compliance with the valid parts of the agreement. Even if a specific clause is successfully challenged, the franchisee is still obligated to adhere to all other terms and conditions outlined in the franchise agreement. Franchisees should seek legal counsel to fully understand their rights and obligations under the agreement, especially concerning the implications of the severability clause.