Corcoran Real Estate

All 6 pending litigation cases are against the franchisor—can you provide details on the nature of these cases, their status, and expected resolution timeline?

What is the primary reason franchisees are voluntarily exiting (the 4.3% annual closure rate), and are there specific geographic regions or unit types with higher closure rates?

The agreement provides zero renewal options after the 10-year initial term—what happens to existing franchisees at contract expiration, and what is the expectation for contract renewal negotiations?

Given the non-exclusive territory with no encroachment protection, how does the franchisor manage competitor density and prevent internal cannibalization of unit sales?

Can you explain the significant difference between 2022 (80 terminations recorded) and 2023-2024 (zero terminations)—did this represent a one-time system restructuring or data reporting change?

What specific support and resources does the franchisor provide to help franchisees achieve the median/average sales figures, given Item 19 financial performance data is not provided?

The termination clause allows immediate termination for 7 non-curable defaults—can you clarify which specific breaches constitute non-curable defaults and provide examples?

All owners and spouses must sign personal guarantees—are there any circumstances under which this requirement can be waived or modified?

How many of the 18 units added in the past year were new franchise sales versus acquisitions of failed units, and what support is provided to convert closed locations?

The indemnification clause covers 'all expenses, claims, losses, damages, liabilities or actions of any kind'—are there any caps or limitations on the franchisor's indemnification obligations?

What is the historical approval rate for franchise applications, and have any pending litigation cases involved applicants denied franchises or disputes over franchise approval criteria?

Given strong unit growth of 15.5% annually, what are the franchisor's expansion targets for the next 3-5 years, and how will this be managed without exclusive territories?

Can you provide the average time a franchisee remains in the system before closure or non-renewal, and what percentage of franchisees have historically renewed at contract expiration?

How are technology fees (listed as N/A) and other operational costs charged to franchisees, and are these billed separately from the stated royalty and ad fund rates?

What training and ongoing support does the 6.0% royalty and 1.0% ad fund fee provide, and is there a breakdown of how the ad fund is allocated and accounted for?

Are there any disputes among the pending litigation cases related to royalty calculations, territory disputes, or the ad fund usage?