Colorado-based RE/MAX International, one of the world’s largest real estate companies, has come under scrutiny for profiting from real estate sales in Israeli settlements in the occupied West Bank and East Jerusalem — developments that the international community, including Canada, considers contrary to international law.
A report by human rights organizations has documented RE/MAX franchise operations in Israeli settlements, where the company’s brand and network are used to market and sell residential properties built on occupied Palestinian territory. The findings have raised questions about corporate responsibility and the ethical obligations of multinational companies operating in contested territories.
The Business of Settlements
According to the report, RE/MAX Israel operates offices that actively market properties in settlements including Ma’ale Adumim, Ariel, and several others in the West Bank. These settlements are considered illegal under international law by the United Nations, the International Court of Justice, and the vast majority of the international community, including Canada’s official position.
“RE/MAX is lending its brand credibility and global marketing reach to the sale of properties in settlements that the entire international community considers illegal,” said a spokesperson for one of the human rights organizations behind the report. “That raises serious questions about corporate complicity.”
Corporate Response
RE/MAX International has maintained that its franchise operations are independently owned and operated, and that the company does not control the specific markets in which individual franchisees choose to operate. Critics argue that this position ignores the fact that RE/MAX International profits from franchise fees and brand licensing arrangements with its Israeli operations.
“You can’t claim the benefits of a global brand while disclaiming responsibility for how that brand is used,” said business ethics professor Dr. Michael Blowfield of the University of Oxford. “Corporate responsibility extends to franchise operations, particularly when those operations raise international law concerns.”
The Canadian Connection
The issue is particularly relevant for Canadian consumers, as RE/MAX is one of the most recognized real estate brands in Canada. Human rights advocates have called on Canadian RE/MAX franchisees and consumers to pressure the parent company to withdraw from settlement real estate. Canada’s official position is that Israeli settlements in the occupied territories are “a violation of the Fourth Geneva Convention” and constitute “a serious obstacle to peace.”
RE/MAX International, headquartered in Denver, Colorado, operates a network of over 120,000 agents in more than 100 countries and territories worldwide.
Copyright 2014 WestNet-HD Action News
