What is the duration of the non-solicitation period for Degree Wellness franchisees after the agreement terminates?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree that during the Term of this Agreement, and thereafter for a period of two (2) years following any Transfer, termination or expiration of this Agreement, neither you, nor any Principal Owner, nor any member of your immediate family or of the immediate family of any Principal Owner, will directly or indirectly (a) solicit for wellness or related services or products with any person who was a member or client of the Franchise within the two year period prior to such Transfer, termination or expiration; or (b) interfere with our relationship with any of our franchisees, vendors, suppliers or referral sources.
Source: Item 23 — Receipts (FDD pages 66–257)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, the non-solicitation period lasts for two years following any transfer, termination, or expiration of the franchise agreement. During this period, neither the franchisee, any principal owner, nor any member of their immediate family can directly or indirectly solicit wellness or related services or products from anyone who was a member or client of the franchise within the two-year period prior to the transfer, termination, or expiration. They are also prohibited from interfering with Degree Wellness's relationships with its other franchisees, vendors, suppliers, or referral sources.
This restriction means that a former Degree Wellness franchisee cannot actively seek business from the franchise's existing client base or disrupt the franchisor's established business relationships for a full two years after leaving the system. This is a fairly standard non-solicitation clause in franchising, designed to protect the brand's customer relationships and business network.
For a prospective franchisee, this clause highlights the importance of understanding the long-term implications of the franchise agreement. Even after the agreement ends, the franchisee remains bound by certain obligations, including the non-solicitation provision. Failing to comply with this provision could result in legal action from Degree Wellness. Therefore, it is crucial to carefully consider the potential impact of these restrictions on future business endeavors before investing in a Degree Wellness franchise.