Does Degree Wellness have an obligation to reimburse franchisees for any Computer System costs?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
We have no obligation to reimburse you for any Computer System costs.
You will have sole responsibility for: (1) the acquisition, operation, maintenance, repairing and upgrading of your Computer System; (2) the manner in which your Computer System interfaces with our computer system and those of other third parties; and (3) any and all consequences that may arise if your Computer System is not properly operated, maintained and upgraded.
However, the estimated annual expense in maintaining or replacing your computer system is $355 per year.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 32–42)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, Degree Wellness is not obligated to reimburse franchisees for any costs related to the Computer System. The franchisee is responsible for purchasing and using the designated Computer System to operate their Degree Wellness franchise. This includes obtaining the necessary hardware, software licenses, maintenance, and support services from suppliers specified by Degree Wellness, which may include Degree Wellness or its affiliates.
Degree Wellness may periodically modify the specifications and components of the Computer System, potentially requiring franchisees to purchase, lease, or license new or modified hardware and software, and obtain related services. The Franchise Agreement does not limit the frequency or cost of these changes, improvements, upgrades, or updates. The franchisee is solely responsible for the acquisition, operation, maintenance, repair, and upgrades of their Computer System, as well as ensuring it properly interfaces with Degree Wellness's system and those of third parties.
The franchisee also bears all consequences arising from the improper operation, maintenance, or upgrading of the Computer System. While Degree Wellness has independent, unlimited access to the information generated by the Computer System, including gross revenues and other stored data, they assume no responsibility for the franchisee's Computer System. The estimated annual expense for maintaining or replacing the computer system is $355 per year.