Under what conditions can Degree Wellness or the franchisee unilaterally waive an obligation under the Degree Wellness Agreement?

According to Degree Wellness's 2025 Franchise Disclosure Document, neither Degree Wellness nor the franchisee is deemed to have waived their right to demand exact compliance with the terms of the agreement at a later time if they do not exercise a right or power available to them under the agreement, or do not insist on strict compliance with the terms of the agreement, or if there develops a custom or practice that is at variance with the terms of the agreement.

Degree Wellness's waiver of any particular breach or series of breaches under the agreement, or of any similar term in any other agreement between Degree Wellness and any other Degree Wellness franchisee, will not affect Degree Wellness's rights with respect to any later breach. Degree Wellness's acceptance of payments that are due under the agreement is also not deemed a waiver of any breach of the agreement.

This section of the FDD is very common in franchise agreements. It means that Degree Wellness retains all of its rights under the agreement even if it does not strictly enforce them at all times. This protects Degree Wellness from inadvertently losing rights due to leniency or temporary deviations from the agreement terms. For a franchisee, this underscores the importance of adhering to the agreement's terms, as past flexibility from Degree Wellness does not guarantee future flexibility.