factual

What specific causes of action did the plaintiffs allege in their amended complaint against Remax in the Calabrese case?

Remax Franchise · 2025 FDD

Answer from 2025 FDD Document

Plaintiffs allege in their amended complaint: breach of the franchise agreements; breach of the duty of good faith and fair dealing; promissory estoppel; breach of contract pertaining to non-compete provisions; unfair competition/misappropriation; unjust enrichment; tortious interference with a contract and/or prospective contractual relations; fraudulent inducement; conversion/civil theft; and civil conspiracy. Plaintiffs seek rescission (of the new terms in the franchise agreements) and an unspecified amount of damages, including actual damages, consequential damages, special damages, statutory damages, attorneys' fees, punitive or exemplary damages, pre- and postjudgment interest and costs.

Source: Item 3 — LITIGATION (FDD pages 21–29)

What This Means (2025 FDD)

According to Remax's 2025 Franchise Disclosure Document, in the case of Salvatore Calabrese, Michael Calabrese, and Related Assets LLC d/b/a RE/MAX Metro v. RE/MAX, LLC, the plaintiffs' amended complaint included several causes of action. The plaintiffs alleged breach of the franchise agreements, indicating they believed Remax violated the terms of their franchise contracts. They also claimed breach of the duty of good faith and fair dealing, suggesting Remax acted unfairly or dishonestly in their dealings.

Additionally, the plaintiffs asserted promissory estoppel, which typically arises when a party relies on another's promise to their detriment. The complaint included a claim for breach of contract pertaining to non-compete provisions, likely related to restrictions on competition after the franchise relationship ended. Further causes of action included unfair competition/misappropriation, unjust enrichment, tortious interference with a contract and/or prospective contractual relations, fraudulent inducement, conversion/civil theft, and civil conspiracy.

The plaintiffs in this case sought rescission of the new terms in the franchise agreements, aiming to undo changes they felt were detrimental. They also sought an unspecified amount of damages, covering actual, consequential, special, and statutory damages, as well as attorneys' fees, punitive or exemplary damages, pre- and post-judgment interest, and costs. This wide range of claims and requested relief indicates a significant dispute between the former franchisees and Remax, with potentially substantial financial implications depending on the outcome of the litigation.

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.