Real Estate Franchisees Turn on Each Other

Three franchisee partners in South Africa are suing each other over lost revenues after their franchise was terminated eight years early.

Graham Howell, who owned 40 percent of Half Point Properties, the corporation which secured the sought-after franchise, blames his former partners Heather Tyson and Anthony Fuller for the franchisor’s early cancellation of the franchise, and is suing them for R3.1 million in profits he claims were lost to him as a result.  The agreement was terminated in September 2006, just a year after the estate agency opened its doors in Port Alfred. Tyson had been a 50 percent shareholder while Fuller held 10 percent. Howell claims they were in breach of their obligations to act honestly and in good faith with regard to the estate agency. – Dispatch Online

The Lew Geffen/Sotheby’s franchise license was terminated after the franchisees set up a competing real estate franchise, Half Point Properties.