Under what conditions can the payment application terms for Brightstar Care franchisees be waived?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
All of your payments pursuant to this Article 4 will be applied in such order as we may designate from time to time. You may not designate an order for application of any fees different from that we designate and expressly acknowledge and agree that we may accept fees paid pursuant to different instructions without any obligation to follow such instructions, even if such payment is made by its terms conditional on such instructions being followed. This provision may be waived only by written agreement signed by us, which written agreement must be separate from the check or other document or medium constituting or transmitting payment.
Source: Item 22 — CONTRACTS (FDD pages 117–118)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, the standard application of payments outlined in the franchise agreement can only be waived under very specific conditions. Brightstar Care retains the right to designate the order in which franchisee payments are applied, and franchisees cannot alter this designated order.
The only way this provision can be waived is through a written agreement signed by Brightstar Care. This written agreement must be separate from any check or other payment document. This means that simply including a note on a check or other payment form specifying a different application of fees will not be sufficient to override Brightstar Care's designated order.
This requirement protects Brightstar Care by ensuring they maintain control over how payments are allocated, preventing franchisees from unilaterally deciding which fees to prioritize. For a prospective franchisee, this means understanding that any deviation from the standard payment application requires explicit, written approval from Brightstar Care, documented separately from the payment itself. This ensures clarity and avoids potential disputes over payment allocation.