What happens to payments arising from intellectual property created by the Degree Wellness Licensed Provider?

According to Degree Wellness's 2025 Franchise Disclosure Document, all payments received by the Licensed Provider for services rendered, including those arising from intellectual property, inventions, and teaching revenues, are assigned to and belong to the Management Company. This applies to intellectual property created or carried out by the Licensed Provider while performing their services.

This means that if a Degree Wellness Licensed Provider develops a new technique, training program, or any other form of intellectual property during their work, any income generated from it will go to the Management Company, not the Licensed Provider. This includes payments from teaching engagements or other activities related to the intellectual property.

For a prospective Degree Wellness Licensed Provider, this is a crucial point to consider. It implies that while they may be involved in creating valuable intellectual property, they will not directly benefit financially from it. The financial benefits will accrue to the Management Company. This arrangement might influence a candidate's decision to join the Degree Wellness system, especially if they have entrepreneurial aspirations or a desire to profit directly from their innovations.

It is important for potential Licensed Providers to fully understand this aspect of the agreement and to weigh it against the other benefits and obligations of the franchise. They should also seek clarification from Degree Wellness regarding the specific types of intellectual property covered by this clause and the potential for any exceptions or revenue-sharing arrangements.