Under the Degree Wellness Development Agreement, what determines the length of the franchise term?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Development Agreement | Summary | |
|---|---|---|---|
| a. | Length of the franchise term | Section 6.1 | The term begins on the effective date and ends on the earlier of the date you open the last Studio you are required to open under your Development Schedule or the expiration of your Development Schedule. |
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 49–59)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, the length of the franchise term under the Development Agreement is determined by two possible conditions. The term begins on the effective date of the agreement. It concludes on the earlier of either the date the franchisee opens the last studio required by the Development Schedule, or the expiration date of the Development Schedule itself.
This means that a Degree Wellness franchisee's term can end either when they have fulfilled their obligations to open all required studios within the designated timeframe, or when the Development Schedule expires, whichever comes first.
Prospective franchisees should carefully review the Development Schedule outlined in their Development Agreement to understand the specific timelines and obligations for opening studios. Understanding these dates is crucial, as they directly impact the duration of the franchise term and the franchisee's rights and responsibilities under the agreement.