What section of the Degree Wellness agreement specifies the provisions for which liquidated damages apply?

According to Degree Wellness's 2025 Franchise Disclosure Document, Section 17.8(b) and Section 9 of the franchise agreement outline the provisions for liquidated damages. It states that because precise damages are difficult to calculate for a breach or violation of Section 9, Degree Wellness would suffer actual damages of at least $50,000 if a franchisee breaches or violates this section.

In addition to these liquidated damages, the franchisee must also pay any actual damages exceeding the $50,000, along with all attorney's fees incurred by Degree Wellness as a direct or indirect result of the breach or violation. This means that a franchisee could potentially be liable for significantly more than the initial liquidated damages amount, depending on the extent of the damages and legal costs incurred by Degree Wellness.

This clause highlights the importance of understanding Section 9 of the Degree Wellness franchise agreement, as any breach could result in substantial financial penalties. Prospective franchisees should carefully review Section 9 with their legal advisors to fully understand their obligations and the potential consequences of non-compliance. It is also important to note that the $50,000 is a minimum, and the franchisee could be liable for additional damages and legal fees.