Under what conditions does the RE/MAX, LLC guarantee terminate?
Remax Franchise · 2025 FDDAnswer from 2025 FDD Document
For value received, RE/MAX, LLC, a Delaware limited liability company (the "Guarantor"), located at 5075 S. Syracuse Street, Denver, Colorado, 80237, absolutely and unconditionally guarantees the performance by RE/MAX Integrated Regions, LLC, located at 5075 S. Syracuse Street, Denver, Colorado, 80237, (the "Subfranchisor"), of all of the obligations of the Subfranchisor under its franchise registrations in Indiana, Minnesota, Rhode Island, and Wisconsin, and all of its obligations under the Franchise Agreements entered into after April 2, 2025 pursuant to its 2025 Franchise Disclosure Document (the "Franchise Agreements"). This guarantee continues until all such obligations of the Subfranchisor under such franchise registrations and its obligations under such Franchise Agreements are satisfied, or until the liability of the Subfranchisor to its franchisees under the Franchise Agreements has been completely discharged, whichever first occurs. The Guarantor is not discharged from liability if a claim by a franchisee against the Subfranchisor remains outstanding. Notice of acceptance is waived. The Guarantor does not waive receipt of notice of default on the part of the Subfranchisor. This guarantee is binding on the Guarantor and its successors and assigns.
The Guarantor signs this guarantee at Denver, Colorado on April 2, 2025.
Guarantor:
RE/MAX, LLC
Name: Karri Callahan
Title: Chief Financial Officer
Source: Item 1 — Business and Organization (FDD pages 334–464)
What This Means (2025 FDD)
According to the 2025 Remax Franchise Disclosure Document, RE/MAX, LLC guarantees the performance of RE/MAX Integrated Regions, LLC under its franchise registrations in Indiana, Minnesota, Rhode Island, and Wisconsin, as well as its obligations under Franchise Agreements entered into after April 2, 2025, pursuant to its 2025 Franchise Disclosure Document. This guarantee specifically pertains to the obligations of the Subfranchisor, RE/MAX Integrated Regions, LLC, to its franchisees.
The guarantee remains in effect until all obligations of the Subfranchisor under the specified franchise registrations and Franchise Agreements are satisfied. Alternatively, the guarantee terminates when the liability of the Subfranchisor to its franchisees under the Franchise Agreements has been completely discharged.
However, RE/MAX, LLC remains liable if a franchisee's claim against RE/MAX Integrated Regions, LLC is still outstanding, meaning the guarantee does not terminate simply because the Subfranchisor's obligations are purportedly fulfilled if there are unresolved claims. This guarantee, signed on April 2, 2025, in Denver, Colorado, is binding on RE/MAX, LLC and its successors and assigns.