factual

What sections of the agreement survive any termination or expiration of the Remax agreement?

Remax Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 10.3 Effect of Expiration or Termination. Upon expiration or earlier termination of this Agreement, the license granted hereunder will also terminate, and, without limiting Customer's obligations under Section 4, Customer shall cease using the Software, delete or destroy all Documentation and certify in writing to the Licensor that the Documentation has been deleted or destroyed. No expiration or termination will affect Licensor's entitlement to all Fees that may have become due before such expiration or termination, or entitle Customer to any refund. This Section 10.3 and Sections 1, 2.5, 4, 5, 7.3, 8, 9, and 11 survive any termination or expiration of this Agreement. No other provisions of this Agreement survive the expiration or earlier termination of this Agreement.

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

What This Means (2025 FDD)

According to the 2025 Remax Franchise Disclosure Document, several sections of the agreement survive any termination or expiration. Specifically, Section 10.3, along with Sections 1, 2.5, 4, 5, 7.3, 8, 9, and 11, remain in effect even after the agreement ends. This means that certain obligations and rights outlined in these sections continue to apply to both the franchisee and Remax, even after the franchise relationship has formally concluded.

The sections that survive termination likely cover essential aspects such as confidentiality, non-compete clauses, payment obligations, and intellectual property rights. For instance, Remax's entitlement to fees that became due before the termination remains valid, and the franchisee must cease using the software and documentation provided by Remax. These surviving clauses are designed to protect Remax's interests and ensure a smooth transition after the franchise agreement ends.

For a prospective franchisee, understanding which sections survive termination is crucial. It highlights the enduring responsibilities and restrictions that will remain in place even after the franchise term is over. Franchisees should carefully review these sections to fully grasp their post-termination obligations, which may include ongoing confidentiality requirements, restrictions on operating a competing business, and the continued use or return of proprietary materials.

It is important to note that no other provisions of the agreement survive the expiration or earlier termination, meaning that any sections not explicitly listed do not extend beyond the agreement's end date. This clear demarcation helps both parties understand their rights and obligations during and after the franchise relationship, providing a framework for a predictable and orderly conclusion to the agreement.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.