Under what circumstances will the provisions of the Degree Wellness franchise agreement not run for purposes of prohibitions on competition and solicitation?

According to Degree Wellness's 2025 Franchise Disclosure Document, the provisions of the franchise agreement, specifically those related to prohibitions on competition and solicitation, will not run or be reduced at any time that a party to the agreement is in effect. This also applies to the statute of limitations or for laches. This ensures that Degree Wellness receives the full benefit of the agreement throughout its term.

In practical terms, this means that the time during which a franchisee is in violation of the agreement (e.g., engaging in competitive activities without authorization) does not count towards any legal time limits for Degree Wellness to take action. The tolling provision essentially pauses the clock on these restrictions, preventing a franchisee from benefiting from delays in enforcement or claiming that the time to bring a claim has expired due to their ongoing non-compliance.

This provision is designed to protect Degree Wellness's interests by ensuring that franchisees cannot circumvent their contractual obligations through prolonged periods of non-compliance. Franchisees should be aware that any breach of the non-competition or non-solicitation clauses could have long-lasting consequences, as the franchisor retains the right to enforce these provisions even after a significant period has passed since the initial violation.