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What are the obligations of a Degree Wellness franchisee regarding the maintenance of a safe and secure environment for customers and employees (Item 9), considering the lease and purchase specifications outlined in Item 8?

Degree_Wellness Franchise · 2025 FDD

Answer from 2025 FDD Document

Notwithstanding the existence of such insurance, you are and will be responsible for all loss or damage and contractual liability to third persons originating from or in connection with the operation of the Franchise, and for all claims or demands for damages to property or for injury, illness or death of persons directly or indirectly resulting therefrom; and you agree to defend, indemnify and hold us harmless of, from, and with respect to any such claims, loss or damage, which indemnity shall survive the termination or expiration and non-renewal of this Agreement.

  • h. In addition to the requirements of the foregoing paragraphs of this Paragraph 10.8, you must maintain any and all insurance coverage in such amounts and under such terms and conditions as may be required in connection with your lease or purchase of the Premises.

  • i. The insurance Degree Wellness requires is for its own protection. You should consult with your own insurance agents, brokers, and attorneys to determine what types of coverages and what level of insurance protection you may need or desire, in addition to the coverages and minimum limits specified by Degree Wellness. Your obligation to maintain insurance coverage as described in this Agreement will not be reduced in any manner by reason of any separate insurance we maintain on our own behalf, nor will our maintenance of that insurance relieve you of any obligations under this Agreement.

  • 9.1 The Parties hereto are independent contractors and nothing in this Agreement shall be deemed to create any association, partnership, joint venture, principal and agent relationship, master and servant relationship, or employer and employee relationship between the Parties or to provide either Party with the right, power or authority, whether express or implied, to create any such duty or obligation on behalf of the other Party.

  • 9.2 Licensed Provider further agrees not to be treated, or seek to be treated, as an employee of Management Company for any purpose, including for disability income, social security taxes and benefits, Federal unemployment compensation taxes, State unemployment insurance benefits and Federal income tax withholding. Licensed Provider hereby understands and agrees to maintain timely payments of all income taxes due to the Internal Revenue Service and all other government agencies.

  • 9.3 Notwithstanding the fact that Degree Wellness is made a third party beneficiary of Sections 10 and 11.1 and certain other provisions in this Agreement, Licensed Provider and Management Company acknowledge and agree that Degree Wellness is not a party to this Agreement, and that Licensed Provider has no contract or other rights against Degree Wellness with respect to any matter including, without limitation, the operation or profitability of the Studio business, any employee-related matters, and any marketing or other System materials, methods or guidelines.

  • e. You must establish any training programs for your employees and/or independent contractors that we may prescribe in writing from time to time. You are required to enroll in and maintain the human resources and payroll services provided by the vendor we designate for such services, including the payment of any fees and execution of any agreement required by such vendor. The required services consist of payroll processing, payroll tax filing, human resource solutions, benefits administration services, hiring and employee onboarding.

  • f. You must require all employees and independent contractors to maintain a neat and clean appearance and conform to the standards of dress that we specify in the Operations Manual, as updated from time to time.

  • (a) Acquiring the site for Management Company and Licensed Provider to provide their respective services for the operation of the Studio under this Agreement (the "Premises").

The Premises shall comply in all respects with Degree Wellness's System requirements.

Management Company shall perform all tenant responsibilities under the lease agreement for the Premises (or similar responsibilities if Management Company owns the Premises), including, but not limited to, paying rent, acquiring and maintaining connections to utilities, phone and internet services, and performing, or causing to be performed, maintenance, repair, replacement, and janitorial services;

  • (b) Acquiring all fixtures, equipment, and furnishings necessary for the operation of a Degree Wellness Studio Management Business and the operation of the Studio, and maintaining, repairing, and replacing such fixtures, equipment, and furnishings; If we grant you the right to open and operate multiple Studios under a Development Agreement, you may not enter into your Franchise Agreement for each subsequent Studio opened under your Development Schedule until contacted us and requested our approval in accordance in our Operations Manuals.

We estimate that your total expenditures in leasing or purchasing real estate, equipment, fixtures, products, marketing materials, services, and computer hardware and software from our approved suppliers will represent approximately 50% of your total purchases and expenses in connection with establishing and operating your Degree Wellness franchise. Virtually all of the goods and services that you must lease or purchase in establishing and operating your franchise must comply with our standards and specifications.

What This Means (2025 FDD)

Based on the 2025 FDD, Degree Wellness franchisees have several obligations related to maintaining a safe environment for customers and employees. The franchisee is responsible for all loss, damage, and contractual liability to third persons originating from the operation of the franchise, as well as claims for damages to property or injury, illness, or death of persons. Franchisees must defend, indemnify, and hold Degree Wellness harmless from such claims. This includes maintaining insurance coverage in amounts and under terms required in connection with the lease or purchase of the premises. Degree Wellness's insurance is for its own protection, and franchisees should consult their own insurance agents to determine necessary coverage. Franchisees must also ensure their premises comply with Degree Wellness's System requirements.

Furthermore, franchisees are responsible for hiring, training, scheduling, supervising, and managing all administrative and office staff, ensuring the business is sufficiently staffed. They must also establish any training programs for employees and/or independent contractors as prescribed in writing by Degree Wellness. Franchisees are required to enroll in and maintain human resources and payroll services from a designated vendor, which includes payroll processing, tax filing, HR solutions, benefits administration, and employee onboarding. All employees and independent contractors must maintain a neat and clean appearance and conform to the dress standards specified in the Operations Manual.

Regarding the physical location, franchisees must acquire a site that complies with Degree Wellness's System requirements and perform all tenant responsibilities under the lease agreement, including paying rent, maintaining utility connections, and performing maintenance, repair, replacement, and janitorial services. They are also responsible for acquiring and maintaining all necessary fixtures, equipment, and furnishings for the operation of the Degree Wellness studio. The FDD also states that virtually all goods and services that franchisees lease or purchase must comply with Degree Wellness's standards and specifications, with an estimated 50% of total expenditures related to establishing and operating the franchise going towards approved suppliers for real estate, equipment, fixtures, products, marketing materials, services, and computer hardware and software.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.