Are Degree Wellness franchisees allowed to engage in transactions with individuals or entities involved in acts of terrorism?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
Under applicable federal law, including, without limitation, Executive Order 13224, signed on September 23, 2001 (the "Order"), you are prohibited from engaging in any transaction with any person engaged in, or with a person aiding any person engaged in, acts of terrorism as defined in the Order.
Accordingly, you represent to us that you do not, and hereafter will not, engage in any acts of terrorism or terrorist activity.
In addition, you represent to us that you are not affiliated with and/or do not support any individual or entity engaged in, contemplating, or supporting any acts of terrorism or terrorist activity.
Further, you represent to us that you are not acquiring the rights granted under this Agreement with the intent to generate funds to channel to any individual or entity engaged in, contemplating, or supporting terrorist activity, or to otherwise support or further any terrorist activity.
Source: Item 23 — Receipts (FDD pages 66–257)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, franchisees are strictly prohibited from engaging in any transactions with individuals or entities involved in acts of terrorism. The FDD references Executive Order 13224, signed on September 23, 2001, which defines acts of terrorism. Degree Wellness requires franchisees to represent that they will not engage in any acts of terrorism or support any individuals or entities involved in terrorist activities.
This requirement extends to ensuring that franchisees are not acquiring rights under the Franchise Agreement with the intention of generating funds to support any terrorist activity. This is a serious legal and ethical obligation for all Degree Wellness franchisees.
This provision is included to ensure Degree Wellness's compliance with federal law and to protect its brand reputation. Failure to comply with these regulations could result in severe penalties, including legal action and termination of the franchise agreement. Prospective franchisees should carefully consider this obligation and ensure they fully understand and can comply with these requirements.