What payments must be current for a Degree Wellness franchisee to maintain the right to use the Degree Wellness Marks?

According to Degree Wellness's 2025 Franchise Disclosure Document, a franchisee's right to use the brand's marks is contingent upon several financial obligations. Specifically, the franchisee must ensure timely payment of the Initial Franchise Fee, Continuing Franchise Fees, contributions to the Fund, and all other sums due to Degree Wellness. This requirement underscores the importance of maintaining good financial standing with the franchisor to fully benefit from the brand's intellectual property.

Failure to keep these payments current constitutes a breach of the franchise agreement, potentially leading to the loss of the right to use the Degree Wellness marks. This can severely impact the franchisee's ability to operate, as the brand's recognition and reputation are key components of the business model. The agreement emphasizes that the right to use the marks is derived solely from the franchise agreement and is contingent upon compliance with its terms.

Degree Wellness retains the authority to regulate the use of its marks, including in electronic media such as websites and domain names. Unauthorized use of the marks, whether during or after the term of the agreement, is considered an infringement of Degree Wellness's rights. All goodwill established through the franchisee's use of the marks inures exclusively to the benefit of Degree Wellness.

Degree Wellness reserves the right to modify its marks and specifications, and franchisees are obligated to promptly conform to these changes at their own expense. This provision highlights the franchisor's control over the brand's image and the franchisee's responsibility to maintain consistency with the franchisor's standards. Overall, the franchise agreement places a strong emphasis on the proper and authorized use of the Degree Wellness marks, with financial obligations playing a critical role in maintaining those rights.