How long is the renewal period for a Remax franchise, and under what circumstances might it be extended?

aid in installments). If you pay in installments, you will be required to make 12 equal payments (by debit card or automatic withdrawal) with the first installment due immediately upon signing the renewal addendum, and the remaining installments due monthly thereafter.

Renewal of your franchise relationship will be conditioned on your and your Owners' continued compliance with all of the terms and conditions of this Agreement up to the date of expiration.

Renewal of your franchise relationship shall be for a 5-year period although under certain circumstances we may, in our sole discretion, allow you to renew for up to a 10-year period if you meet certain criteria. Factors we will consider in determining whether to grant a longer renewal term include, but are not limited to (a) whether you have fully complied with all conditions for renewal set forth in your expiring franchise agreement; (b) whether you have consistently paid in full and on a timely basis all fees, dues and other amounts owed under your franchise agreement throughout its term; (c) whether you have met the minimum agent count or quota set forth in your expiring franchise agreement; (d) your Office's market share; (e) whether you have a proven track record of participation in scheduled RE/MAX events such as annual conventions, Broker/Owner conferences, and educational seminars; (f) whether you have met our then current subjective and objective standards for new franchisees; and (g) whether you have

demonstrated a spirit of cooperation with us and within the RE/MAX System that, in our sole discretion, merits consideration for a longer renewal term.

If with our permission you continue to operate the Office as a RE/MAX office after the end of the Term without proper renewal, you understand, acknowledge and agree that the Term has expired and that you will be deemed to be operating on a month-to-month holdover basis under the terms and conditions of the franchise agreement then being used by us for the grant of franchises within the state in which the Office is located, provided, however, that (i) in addition to all other fees that you must continue to pay to REMAX Regional pursuant to the then-current franchise agreement we are using, you will be required to pay a $2,500 monthly holdover fee; and (ii) REMAX Regional reserves the right to terminate at any time, and without cause, your right to continue to operate the Office during this holdover period, upon 10 days prior written notice to you. You also understand, acknowledge, and agree that that any holdover is intended solely as a temporary arrangement and does not relieve you of your obligation to actively pursue renewal of—and to renew—the Agreement.

Source: Item 22 — Contracts (FDD pages 108–334)