factual

Can Body Brain Center change or dissolve the Advisory Council?

Body_Brain_Center Franchise · 2025 FDD

Answer from 2025 FDD Document

We may create an Advisory Council to provide us with suggestions to improve the System, including matters such as marketing, operations and new product or service suggestions. We would consider all suggestions from the advisory council in good faith, but we would not be bound by any such suggestions. The Advisory Council would be established and operated according to rules and regulations we periodically approve, including procedures governing the selection of representatives of the Advisory Council to communicate with us on matters raised by the Advisory Council. You would have the right to be a member of the Advisory Council as long as you are not in default under the Franchise Agreement and you do not act in a disruptive, abusive or counterproductive manner, as determined by us in our discretion. As a member, you would be entitled to all voting rights and privileges granted to other members of the Advisory Council. Any Body & Brain Center operated by us or our affiliates would also be a member of the Advisory Council. Each member would be granted one vote for each center that it owned and operated on all matters on which members would be authorized to vote. We would reserve the power to form, change or dissolve the Advisory Council in our discretion.

Source: Item 11 — FRANCHISOR'S ASSISTANCE**, ADVERTISING, **COMPUTER SYSTEMS AND TRAINING (FDD pages 20–29)

What This Means (2025 FDD)

According to Body Brain Center's 2025 Franchise Disclosure Document, Body Brain Center reserves the right to modify or eliminate the Advisory Council at its discretion. While the Advisory Council is intended to provide suggestions for improving the Body Brain Center system, such as marketing, operations, and new products or services, Body Brain Center is not obligated to follow these suggestions.

Franchisees in good standing have the right to be members of the Advisory Council, provided they are not in default under the Franchise Agreement and do not act disruptively. As members, franchisees are entitled to voting rights and privileges. Body Brain Center also has the right to have its own company-operated centers or those of its affiliates represented on the Advisory Council, with each member receiving one vote for each center they own and operate.

This unilateral control over the Advisory Council means that Body Brain Center can change the council's structure, operation, or even dissolve it entirely, without requiring franchisee consent. While franchisees have a right to participate if they meet certain conditions, the franchisor ultimately decides the council's fate. This is a fairly common practice in franchising, as franchisors typically want to maintain control over advisory bodies to ensure they align with the overall strategic direction of the brand.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.