Does Brightstar Care have the exclusive right to negotiate agreements with National Accounts customers on behalf of Brightstar Care franchisees?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
- 1.6.4 We have the exclusive right, unless otherwise specifically delegated in writing, on behalf of ourselves, you, and/or other franchisees utilizing the Licensed Marks, to negotiate and enter into agreements or approve forms of agreement to provide services to "National Accounts" customers (as defined in Section 1.6.2(d)), including any affiliated, company-owned, or franchised locations within the Protected Territory.
(d) Periodically designate in the Operations Manual or elsewhere National Accounts. The term "National Accounts" means any customer which on its own behalf or through agents, franchisees, or other third parties owns, manages, services, controls or otherwise has responsibility for a business in more than one (1) franchisee's protected territory, including, but not limited to, institutional customers such as hospital chains, insurance companies, referral services, nursing homes, senior citizen centers, hospice facilities, facilities for the mentally and physically impaired, and elder and/or child daycare facilities or facilities providing homecare services to individuals, whose presence is not confined within any one particular franchisee's protected territory, regardless of the aggregate contract amount of the services you wish to perform. We may designate an account as a National Account at any time and we, in our sole discretion, will resolve any dispute as to whether a particular customer is a National Account; our determination will be final and binding. As described in Section 1.6.4, we have the exclusive right to negotiate and enter into agreements or approve forms of agreements providing supplemental healthcare staff or healthcare and homecare services to institutional clients and comprehensive care to any business which owns, manages, controls, services or otherwise has responsibility for services in more than one protected territory of our franchisees, regardless of the aggregate contract amount of the services you want to perform. As described in Section 1.6.5 below, you must sign-up to receive National Accounts business and (except as provided in the Operations Manual) service any National Accounts we refer to you in accordance with the terms of the National Accounts contract and the guidelines set forth in the Operations Manual. You may not solicit business from, provide services to, or negotiate rates directly with any National Accounts client without our prior written consent, which consent will not be unreasonably withheld. The restrictions in this section (d) apply anywhere, including within your Protected Territory.
Source: Item 22 — CONTRACTS (FDD pages 117–118)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, Brightstar Care has the exclusive right to negotiate and enter into agreements with National Accounts customers on behalf of its franchisees, unless this right is specifically delegated in writing. This applies to providing services to National Accounts customers, including any affiliated, company-owned, or franchised locations within a franchisee's protected territory.
A "National Account" is defined as any customer who, either directly or through agents, franchisees, or other third parties, manages or controls a business in more than one franchisee's protected territory. This includes institutional customers like hospital chains, insurance companies, referral services, nursing homes, senior citizen centers, hospice facilities, facilities for the mentally and physically impaired, and elder and/or child daycare facilities, or facilities providing homecare services to individuals. Brightstar Care retains the sole discretion to designate an account as a National Account and resolve any related disputes.
Brightstar Care requires franchisees to sign up to receive National Accounts business after completing their initial training and to service any National Accounts referred to them, following the terms of the National Accounts contract and the guidelines in the Operations Manual. Franchisees are restricted from soliciting business from, providing services to, or negotiating rates directly with any National Accounts client without Brightstar Care's prior written consent, although such consent will not be unreasonably withheld. These restrictions apply everywhere, including within the franchisee's Protected Territory.