Is the Business Associate of Degree Wellness allowed to use PHI for fundraising purposes?

According to Degree Wellness's 2025 Franchise Disclosure Document, a Business Associate is explicitly prohibited from using or disclosing Protected Health Information (PHI) for fundraising purposes. This restriction is outlined within the agreement governing the use and disclosure of PHI. This is to ensure compliance with privacy regulations and protect patient information.

This prohibition means that Degree Wellness franchisees operating as Business Associates cannot leverage any patient health information they access or manage to solicit donations or support for any cause, including their own business operations. This restriction is in place to safeguard the privacy of individuals and maintain ethical standards in handling sensitive health data. The Business Associate must adhere strictly to these limitations to avoid violating privacy rules and the agreement with the Covered Entity.

For a prospective Degree Wellness franchisee, this underscores the importance of understanding and adhering to HIPAA regulations and the specific terms outlined in the franchise agreement regarding PHI. Failure to comply with these restrictions could result in legal repercussions and damage to the franchisee's reputation. Therefore, franchisees must implement robust policies and procedures to ensure that PHI is handled appropriately and not used for any prohibited purposes, such as fundraising or marketing.