What is the 'Franchise Agreement' referring to in this Brightstar Care addendum?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
f which together will constitute one and the same instrument.
IN WITNESS WHEREOF the undersigned duly authorized representatives of the parties hereby execute this Business Associate Agreement as of COVERED ENTITY: BUSINESS ASSOCIATE: BrightStar Franchising, LLC Its: Its: Its:
EXHIBIT O
STANDARD RESALE ADDENDUM TO FRANCHISE AGREEMENT
STANDARD RESALE ADDENDUM TO BRIGHTSTAR FRANCHISING, LLC AGENCY FRANCHISE AGREEMENT
| This addendum (the "Addendum") to the BrightStar Franchising, LLC Agency Franchise Agreement is made and entered into as of (the "Execution Date") by and between BrightStar Franchising, LLC, an Illinois limited liability company with its principal place of business at 2275 Half Day Road, Suite 210, Bannockburn, IL 60015 ("we," "us," or "our"), and , with an address at (""you" or "your""). |
|---|
| BACKGROUND |
| A. |
| On |
| , we entered into a BrightStar Franchising, LLC Agency |
| Franchise Agreement (the "Original Franchise Agreement") with d/b/a |
| BrightStar Care of ("Seller") pursuant to which Seller was granted the right |
| to open and operate a BrightStar Care agency in the Protected Territory defined in Exhibit A to |
| the Original Franchise Agreement (the " |
| Agency"). |
| B. |
| Seller wishes to sell you its right to open and operate the [] Agency. As part |
| of that sale, you have agreed to sign our current form of Agency Franchise Agreement (the "2025 |
| Franchise Agreement") to govern your operation of the [] Agency during your Initial term. |
| Consistent with the parties' intent, the 2025 Franchise Agreement will be effective for 10 years |
| beginning (the "Effective Date") [insert the day of the transfer of the Agency]. |
| C. |
| The parties wish to amend the terms of the 2025 Franchise Agreement pursuant to |
| the terms and conditions of this Addendum. |
| D. |
| All references in the 2025 Franchise Agreement to the "Effective Date" of such |
| Agreement will mean the "Effective Date" as defined in this Addendum. |
| AGREEMENT |
| NOW THEREFORE, in consideration of the agreements, covenants and promises |
| contained in this Addendum and the 2025 Franchise Agreement, and for other consideration, the |
| receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: |
| 1. |
| Incorporation. The "Background" provisions above are incorporated into and made |
is deleted in its entirety and the following is inserted in its place. Sections 1.5.1 and 1.5.2 remain unchanged.
- Section 1.5 Performance Standards. Section 1.5 of the 2025 Franchise Agreement
a part of this Addendum by this reference.
Source: Item 23 — RECEIPTS (FDD pages 118–387)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, the 'Franchise Agreement' referenced in the addendum refers to the BrightStar Franchising, LLC Agency Franchise Agreement. This agreement grants the franchisee the right and obligation to open and operate a Brightstar Care agency within a defined protected territory. The addendum serves to amend or supplement the terms of this primary Franchise Agreement.
Specifically, the addendum clarifies that the Franchise Agreement relates to either a 'Small' or 'Medium Density Market' territory, and the franchisee must adhere to the obligations outlined in both the Franchise Agreement and the addendum. For franchisees operating in a Medium Density Market, their right to continue operating the agency and retain franchise rights depends on the continued operation of their Primary Agency, as the termination or expiration of the Primary Franchise Agreement will result in the automatic termination or expiration of the Agency's Franchise Agreement, including the addendum.
Furthermore, the addendum outlines conditions under which Brightstar Care grants the franchisee an option to expand into an additional territory. Exercising this option requires fulfilling specific conditions, including meeting certain performance standards, complying with all existing agreements, and not being in default of any provisions of the Franchise Agreement. The addendum also states that until the franchisee exercises the expansion option and signs a separate franchise agreement for the expansion territory, they are not considered a franchisee with respect to the expansion territory.