Under what conditions can Remax terminate the Franchise Agreement with 30 days' written notice?
Remax Franchise · 2025 FDDAnswer from 2025 FDD Document
D. 30 DAYS NOTICE.
We have the right to terminate this Agreement effective 30 days after providing written notice to you if:
- (1) you or your Owners fail to meet and maintain your Minimum Agent Count as provided in Section 7 of this Agreement;
- (2) you or your Owners fail to obtain the insurance coverage identified in Subsection 8.D. of this Agreement; or
- (3) you or your Owners fail to comply with any other provision of this Agreement or any standard, procedure, policy, or guideline prescribed by us or REMAX, LLC.
This notice will advise you, and you hereby understand and agree, that if the default is not cured within 30 days, this Agreement automatically terminates at the end of such 30 days without further notice from us.
Source: Item 22 — Contracts (FDD pages 108–334)
What This Means (2025 FDD)
According to Remax's 2025 Franchise Disclosure Document, Remax can terminate the Franchise Agreement with 30 days' written notice if certain conditions are not met. Specifically, this applies if the franchisee or their Owners fail to maintain the Minimum Agent Count as outlined in Section 7 of the agreement. This means a franchisee must consistently have a certain number of agents affiliated with their office to meet Remax's standards.
Additionally, Remax can terminate with 30 days' notice if the franchisee or their Owners fail to secure and maintain the required insurance coverage as detailed in Subsection 8.D of the agreement. This highlights the importance of adhering to Remax's insurance requirements to protect both the franchisee and the Remax brand from potential liabilities.
Finally, Remax can terminate the agreement with 30 days' notice if the franchisee or their Owners fail to comply with any other provision of the agreement, or any standard, procedure, policy, or guideline prescribed by Remax, LLC. This broad clause underscores the necessity for franchisees to diligently follow all rules and guidelines set forth by Remax to avoid potential termination. The franchisee has 30 days to correct the issues, or the agreement will automatically terminate.