What is the Degree Wellness Business Associate's responsibility regarding mitigating the harmful effects of unauthorized PHI uses or disclosures?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
- (i) Mitigation of Unauthorized Uses or Disclosures.
Business Associate agrees to mitigate, to the extent practicable, any harmful effect that is known to Business Associate of a use or disclosure of PHI by Business Associate or one of its agents or subcontractors in violation of the requirements of this Agreement.
Source: Item 23 — Receipts (FDD pages 66–257)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, as a Business Associate, the franchisee must mitigate any harmful effects resulting from the use or disclosure of Protected Health Information (PHI) by the franchisee or their agents or subcontractors that violates the agreement. This mitigation is required to the extent practicable, meaning the franchisee should take reasonable steps to minimize the negative consequences of any unauthorized PHI use or disclosure that they are aware of.
This obligation extends not only to the franchisee's direct actions but also to the actions of their agents and subcontractors. Therefore, Degree Wellness franchisees must ensure that all parties who have access to PHI through their business are also aware of and adhere to these mitigation requirements. This includes implementing procedures to identify and address potential harmful effects promptly.
In practical terms, if a Degree Wellness franchisee discovers that PHI has been improperly disclosed, they must take action to minimize the damage. This could involve contacting the individuals affected, correcting inaccurate information, or implementing additional security measures to prevent future breaches. The franchisee's responsibility is to act proactively and reasonably to reduce any harm caused by the unauthorized use or disclosure of PHI.