Is a Brightstar Care franchisee required to accept all sources of reimbursement that Brightstar Care specifies?

According to Brightstar Care's 2025 Franchise Disclosure Document, franchisees must adhere to the standards and specifications set by Brightstar Care. As part of the franchise agreement, Brightstar Care has the right to modify the Brightstar Care System, which includes the acceptance of new sources of reimbursement. Therefore, a Brightstar Care franchisee is required to accept new sources of reimbursement that Brightstar Care specifies.

This requirement means that Brightstar Care franchisees must be prepared to adapt their business practices to accommodate changes in reimbursement models. This could include accepting new insurance providers, government programs, or other payment methods as directed by Brightstar Care. Failure to comply with these changes could put a franchisee in breach of their franchise agreement.

While franchisees must accept new reimbursement sources, the FDD also states that Brightstar Care will notify franchisees of any changes to standards and specifications in writing, either through amendments to the Operations Manual or other written communication. Although franchisees may incur increased costs to comply with these changes, Brightstar Care states that no change will materially alter the franchisee's fundamental rights under the Franchise Agreement.

Prospective franchisees should consider the implications of this requirement and ensure they are comfortable with the level of control Brightstar Care has over reimbursement sources. It would be prudent to discuss with existing franchisees how these changes are typically implemented and what impact they have had on their businesses.