Regarding the sale of a Remax franchise, what is the deadline for RE/MAX Integrated Regions, LLC to provide the disclosure document before any payment is made to them or their affiliates?

According to Remax's 2025 Franchise Disclosure Document, RE/MAX Integrated Regions, LLC must provide the disclosure document to a prospective franchisee at least 14 calendar days before the earlier of two events. The first is signing a binding agreement with Remax or its affiliates related to the franchise sale. The second is any payment made to Remax or its affiliates. This regulation ensures that potential franchisees have sufficient time to review the FDD and make informed decisions before committing to the franchise.

This 14-day review period is a standard practice in the franchise industry, mandated by the Federal Trade Commission (FTC) and various state laws to protect franchisees. It allows individuals to carefully consider the terms and conditions of the franchise agreement, assess the risks and benefits, and seek professional advice if needed. The FDD contains crucial information about the franchise system, including fees, obligations, financial performance, and litigation history.

If Remax fails to deliver the disclosure document on time or if the document contains false or misleading statements, or a material omission, it may constitute a violation of federal and state laws. In such cases, the FDD states that the violation should be reported to the Federal Trade Commission in Washington, DC, and the state agencies listed in Exhibit H of the FDD. This provision underscores the importance of accurate and timely disclosure in the franchise sales process and provides avenues for recourse if violations occur.