factual

Under what circumstances does Brightstar Care establish pricing structures for Brightstar Care franchisees?

Brightstar_Care Franchise · 2025 FDD

Answer from 2025 FDD Document

ow part of our system standards.

We retain all rights that are not expressly granted to you under the Franchise Agreement. The license granted to you under the Franchise Agreement does not include (i) any right to offer any product or service via e-commerce; (ii) any right to establish an independent website or to establish an URL incorporating the Marks or any variation of the Marks or the names or likeness of any of our or our affiliates' executives or employees; or (iii) any right to distribute, market, or implement our products and services in any channel of distribution or other manner not specifically authorized in the Franchise Agreement. Further, we may, among other things, on any terms and conditions we deem advisable, without compensation to any franchisee and without granting you any other rights:

  • (i) Establish and/or license others to establish franchised or company-owned Agencies at any location outside the Protected Territory regardless of the proximity of such agencies to your Protected Territory.
  • (ii) Grant permission to you to service clients within another franchisee's protected territory if the franchisee does not have the proper licensure or accreditation to provide services (or chooses not to provide services) and grant permission to other franchisees or company-owned locations to service clients within your Protected Territory if you do not have the proper licensure or accreditation to provide services (or choose to not provide services).
  • (iii) Offer, sell, operate or distribute and/or license others to offer, sell, operate and distribute through franchised or non-franchised businesses, at wholesale or retail, within and outside the Protected Territory, (a) BrightStar branded goods and services not then offered and sold through the BrightStar Care Agency Program, or (b) goods and services under another brand. These goods and services may be offered and sold through similar or dissimilar channels or methods of distribution, including the Internet and outlets that do business under the BrightStar name or another name. Examples of these outlets include durable medical equipment centers, assisted living facilities, care homes, adult daycare and/or child daycare facilities, therapy centers, Medicare home health agencies, and hospices, and businesses that are not in the healthcare industry. We or our affiliate may expand

  • our business as permitted under this subpart (iii) through the Merger/Acquisition Activity described in subpart (v) below.
  • Periodically designate National Accounts.

Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 80–81)

What This Means (2025 FDD)

Based on the 2025 Brightstar Care Franchise Disclosure Document, the franchisor retains rights not expressly granted to the franchisee, including the right to offer products and services through various channels and businesses. Brightstar Care may offer and sell goods and services through franchised or non-franchised businesses, at wholesale or retail, within and outside the Protected Territory. These goods and services may be offered through similar or dissimilar channels, including the Internet and outlets that do business under the Brightstar name or another name.

These outlets can include durable medical equipment centers, assisted living facilities, care homes, adult daycare and/or child daycare facilities, therapy centers, Medicare home health agencies, and hospices, and businesses that are not in the healthcare industry. This means Brightstar Care can set pricing for these alternative channels, potentially impacting a franchisee's market.

While Brightstar Care does not directly establish pricing structures for franchisees, their ability to offer services through other channels could create competitive pricing pressures. Prospective franchisees should discuss with Brightstar Care how these alternative distribution methods and pricing strategies might affect their agency's profitability and market position.

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.