What happens if a Degree Wellness Licensed Provider becomes permanently disabled?

According to Degree Wellness's 2025 Franchise Disclosure Document, if a Licensed Provider, who is an individual, becomes permanently disabled, the Management Company has grounds to terminate the agreement. Specifically, the agreement can be terminated if the Licensed Provider is unable to operate the studio on a full-time basis for more than 10 scheduled business days within any 3 calendar month period due to the disability.

This clause protects the Management Company by ensuring that the Degree Wellness studio remains operational. Permanent disability leading to prolonged absence can disrupt the business and affect its performance. The termination clause allows the Management Company to find a replacement operator to maintain continuity.

It is important for prospective Degree Wellness Licensed Providers to understand the implications of this clause. They should consider obtaining disability insurance to protect themselves financially in case of permanent disability. Additionally, they should clarify with the franchisor what constitutes "full-time basis" and how the 10-day absence is calculated. Understanding these details can help a Licensed Provider prepare for unforeseen circumstances and potentially negotiate terms that offer more flexibility or protection.