Can Degree Wellness terminate the franchise agreement if an unapproved transfer occurs?

According to Degree Wellness's 2025 Franchise Disclosure Document, Degree Wellness has the right to terminate the franchise agreement if a franchisee or their Principal Owners assign or transfer the agreement, any interest, the franchise, or assets of the franchise without complying with the provisions outlined in Section 14 of the agreement.

This means that franchisees must adhere to the specific procedures and requirements detailed in Section 14 when seeking to transfer ownership or any part of their franchise. Failure to obtain proper approval or meet the conditions set forth in the agreement can result in Degree Wellness exercising its right to terminate the franchise agreement.

This provision protects Degree Wellness by ensuring that any transfer of the franchise meets their standards and maintains the integrity of the brand. It also allows Degree Wellness to control who becomes a franchisee and ensures they are qualified and committed to upholding the brand's standards. Prospective franchisees should carefully review Section 14 to understand the specific requirements for transferring their franchise to avoid potential termination.