Can Degree Wellness change its ownership or form at any time?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
14.3 Transfer by Degree Wellness. You represent that you have not signed this Agreement in reliance on any owner, officer, or employee remaining with us in that capacity. We may change our ownership or form at any time in our sole discretion. This Agreement is fully transferable by us, without restriction, and will inure to the benefit of any person or entity to whom it is transferred, or to any other legal successor to our interests in this Agreement. After our assignment of this Agreement to a third party who expressly assumes our obligations under this Agreement, we no longer will have any performance or other obligations or liabilities under this Agreement.
Source: Item 23 — Receipts (FDD pages 66–257)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, Degree Wellness has the right to change its ownership or business structure at any time and at its sole discretion. This means that the company can undergo changes in ownership, merge with another entity, or alter its legal form without requiring the franchisee's consent.
This clause also states that Degree Wellness can transfer the Franchise Agreement to another party without any restrictions. This transfer will benefit the person or entity to whom it is transferred, or any other legal successor to Degree Wellness's interests in the agreement. If Degree Wellness assigns the agreement to a third party who assumes their obligations, Degree Wellness will no longer have any responsibilities or liabilities under the agreement.
As a prospective franchisee, it is important to recognize that Degree Wellness has broad latitude to restructure its business. While the new ownership would be bound by the existing Franchise Agreement, there is a risk that the vision, strategy, or support provided by the franchisor could change. It is advisable to evaluate Degree Wellness's history of ownership changes and assess the potential impact on the franchise system before investing.