factual

What are the prohibited uses and disclosures of PHI by the Degree Wellness Business Associate?

Degree_Wellness Franchise · 2025 FDD

Answer from 2025 FDD Document

Business Associate shall not use or disclose PHI for fundraising or marketing purposes.

In accordance with 45 C.F.R. § 164.522(a)(1)(B)(6), Business Associate shall not disclose PHI to a health plan for payment or Health Care Operations purposes if a patient has requested this special restriction, and has paid out of pocket in full for the healthcare item or service to which the PHI solely relates.

Business Associate shall not sell PHI as provided in 45 C.F.R. § 164.502.

Source: Item 23 — Receipts (FDD pages 66–257)

What This Means (2025 FDD)

According to Degree Wellness's 2025 Franchise Disclosure Document, as a Business Associate, franchisees are restricted in how they can use and disclose Protected Health Information (PHI). Specifically, Degree Wellness franchisees are prohibited from using or disclosing PHI for fundraising or marketing purposes.

Furthermore, if a patient has requested a special restriction and has paid out-of-pocket in full for a healthcare item or service, the franchisee cannot disclose PHI to a health plan for payment or healthcare operations purposes. The franchisee is also prohibited from selling PHI. These restrictions are in place to comply with HIPAA regulations and protect patient privacy.

Degree Wellness franchisees must also ensure they limit their disclosure of PHI to the minimum amount necessary to accomplish the intended purpose. They must also implement appropriate safeguards to prevent unauthorized use or disclosure of PHI and report any unauthorized access, use, or disclosure of PHI to the Covered Entity in writing.

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.