What happens if Degree Wellness sends a notice of non-renewal to a franchisee?

According to Degree Wellness's 2025 Franchise Disclosure Document, if Degree Wellness sends a notice of non-renewal, the notice will state the reasons for the refusal to renew the franchise agreement. This means that Degree Wellness is obligated to provide a justification for their decision not to renew the agreement, offering the franchisee transparency regarding the non-renewal.

In the event of non-renewal or termination of the franchise agreement, the franchisee is obligated to cease using any confidential information related to Degree Wellness and must not use it for any business or other purpose. All copies of the operations manual and any written confidential information must be returned to Degree Wellness immediately. This is a standard practice in franchising to protect the franchisor's proprietary information and trade secrets.

Additionally, upon termination or expiration, the franchisee must promptly execute documents to remove their listings from telephone directories and online listings, disconnect or assign telephone numbers used for the franchised business to Degree Wellness, assign URLs, domain names, and social media names used in connection with the business to Degree Wellness, and terminate any references indicating affiliation with Degree Wellness. Degree Wellness is granted the power of attorney to take these actions if the franchisee fails to do so within 10 days after termination. These measures ensure a clean break and prevent any continued association or potential confusion in the marketplace after the franchise agreement ends.