Regarding human resources, is a Degree Wellness franchisee required to prepare employment or independent contractor forms for Placed Employees?

According to Degree Wellness's 2025 Franchise Disclosure Document, Exhibit A, titled "Staffing Services" indicates that a third party, referred to as "Staffer", prepares employment/independent contractor forms for Placed Employees at the direction of the Group. The Group is not defined in this exhibit.

This suggests that Degree Wellness franchisees may not be directly responsible for preparing these forms themselves. Instead, this responsibility may fall to a designated staffing service or another entity within the Degree Wellness system. However, the franchisee is responsible for the terms of employment, compensation, training, hiring, and firing decisions for their employees and independent contractors.

Prospective franchisees should clarify with Degree Wellness the exact roles and responsibilities of the "Staffer" and the "Group" mentioned in Exhibit A, as well as the franchisee's specific obligations regarding employment and independent contractor forms. Understanding the relationship between the franchisee, Degree Wellness, and any third-party staffing services is crucial for managing human resources effectively and ensuring compliance with labor laws.