factual

Under the Remax agreement, what constitutes an 'Unreported Agent'?

Remax Franchise · 2025 FDD

Answer from 2025 FDD Document

For purposes of the provisions of this Section 6 of this Agreement "Unreported Agent" means each person who possesses a state real estate license that is not registered with the Office or any Team Office, who is not shown in the RE/MAX Roster as an affiliate of the RE/MAX Network and is otherwise not authorized to use the RE/MAX Marks, but who is providing any real estate related services on a regular basis that benefit any Sales Associate or the Office or any Team Office or who is linked or tied to any Sales Associate or the Office or any Team Office in such a way that they make unauthorized use of or benefit directly or indirectly from the RE/MAX Marks. Examples of licensed agents who are not licensed with the Office or any Team Office who shall be deemed to be linked or tied to a given Sales Associate or to the Office or to any Team Office through such Sales Associate and thus, Unreported Agents attributable to such Sales Associate include, but are not limited to, those who:

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

What This Means (2025 FDD)

According to Remax's 2025 Franchise Disclosure Document, an 'Unreported Agent' is defined as someone with a state real estate license who isn't registered with the Remax office or any affiliated team office. This individual isn't listed on the RE/MAX Roster and lacks authorization to use RE/MAX Marks. However, they regularly provide real estate-related services that benefit a Sales Associate, the office, or a team office. They might also be linked to a Sales Associate, the office, or a team office in a way that allows them to benefit from unauthorized use of the RE/MAX Marks.

Examples of 'Unreported Agents' include licensed agents not directly associated with the Remax office or a team office but are connected to a Sales Associate. These agents are considered linked if they are tied to a Sales Associate or the office through such Sales Associate.

Remax mandates that franchisees either convert these 'Unreported Agents' into official Sales Associates or sever their connections to the RE/MAX Marks, the franchisee, the office, or any affiliated team. Franchisees should be aware that tolerating 'Unreported Agents' for more than 10 days after receiving a written demand from REMAX Regional to address the situation constitutes a material breach of the agreement and could lead to termination.

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.