What happens if a Degree Wellness Licensed Provider dies or becomes permanently disabled?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
ovision of this Agreement, any other agreement with Management Company, or any mandatory specification, program, standard or operating procedure within 10 days after written notice of such failure to comply is given to Licensed Provider; or
- (i) Licensed Provider, if an individual, dies, becomes permanently disabled, or is temporarily disabled such that he/she fails to operate the Studio on a full-time basis for more than 10 scheduled business days in any 3 calendar month period.
- 12.2 This Agreement may be terminated by either Party (a) in its sole and absolute discretion upon sixty (60) days' written notice to the other Party, or (b) immediately by written notice to the other Party if such Party reasonably believes, based upon an opinion of qualified legal counsel, that this Agreement is in violation of applicable law;
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 63–66)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, if the Licensed Provider is an individual and dies or becomes permanently disabled, or is temporarily disabled such that they fail to operate the studio on a full-time basis for more than 10 scheduled business days in any 3 calendar month period, the agreement may be terminated.
Upon termination of the agreement, the Licensed Provider must immediately pay Degree Wellness any and all fees and amounts then due and owing, including the management fee. They must also return all confidential information and cease the use of all marks and other elements of the system. The Licensed Provider must also provide Degree Wellness's designee with the patient records and vacate the premises, returning all keys, pass cards, and codes.
This clause protects Degree Wellness by ensuring that the brand's operations and confidential information are not jeopardized if the Licensed Provider is unable to continue operating the studio. It also outlines the specific steps the Licensed Provider must take to properly terminate the agreement and transfer control back to Degree Wellness.