If a Remax contractor has not affiliated with another Remax office upon termination, what notifications are they obligated to make?
Remax Franchise · 2025 FDDAnswer from 2025 FDD Document
- (3) unless you have affiliated with another RE/MAX office, immediately notify Contractor's state real estate commission, any professional organizations that Contractor belongs to, and Contractor's clients that Contractor is no longer affiliated with the RE/MAX Network;
Source: Item 22 — Contracts (FDD pages 108–334)
What This Means (2025 FDD)
According to Remax's 2025 Franchise Disclosure Document, a contractor who has terminated their agreement and has not affiliated with another Remax office must notify specific entities about their disaffiliation from the Remax network. Specifically, the contractor must immediately inform their state real estate commission, any professional organizations they belong to, and their clients that they are no longer associated with Remax.
This notification requirement ensures that all relevant parties are aware of the contractor's changed status. Clients need to know that the contractor is no longer part of the Remax network to avoid confusion and maintain transparency. Similarly, informing the state real estate commission and professional organizations helps maintain accurate records and compliance within the real estate industry.
This obligation is important for prospective franchisees to understand, as it highlights the responsibilities that come with terminating a Remax franchise agreement. Failing to make these notifications could potentially lead to legal or professional repercussions for the former contractor. Therefore, it is crucial for franchisees to be aware of and prepared to fulfill these requirements upon termination if they do not plan to join another Remax office.