After termination of the Brightstar Care Franchise Agreement, what obligations does the Business Associate have regarding Protected Health Information (PHI)?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
- 6.2 Effects of Termination. Covered Entity acknowledges that due to the relationship with Business Associate, it will not be feasible for Business Associate to return or destroy PHI after the termination of the Franchise Agreement. Business Associate will continue extend the protections of this Agreement to PHI and limit further Uses and Disclosures of such PHI to those purposes that make the return or destruction infeasible or contrary to the Privacy Laws, for so long as Business Associate maintains such PHI.
Source: Item 22 — CONTRACTS (FDD pages 117–118)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, after the termination of the Franchise Agreement, it will not be feasible for Brightstar Care as the Business Associate to return or destroy Protected Health Information (PHI). Instead, Brightstar Care will continue to protect the PHI under the terms of the Business Associate and Confidentiality Agreement.
Brightstar Care is obligated to limit further uses and disclosures of PHI to only those purposes that make the return or destruction of the information infeasible or contrary to Privacy Laws. This obligation continues for as long as Brightstar Care maintains the PHI.
This means that even after a franchisee's relationship with Brightstar Care ends, Brightstar Care must still adhere to privacy regulations and protect sensitive health information. This ensures continuity of care and compliance with legal requirements, even after the franchise agreement is no longer in effect.