Does Dermani Medspa consider itself a joint employer with its franchisees?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
- 10.1.2. At all times during the term of this Agreement, you shall hold yourself out to the public as an independent contractor operating pursuant to this Agreement. You shall take such action as may be necessary to do so, including, without limitation, exhibiting a notice of that fact in a conspicuous place in your offices, the content of which we reserve the right to specify.
- 10.1.3. You hereby irrevocably affirm, attest, and covenant your understanding that your employees are employed exclusively by you and in no fashion are any such employee employed, jointly employed or co-employed by us.
- 10.1.4. We and you may not make any express or implied agreements, warranties, guarantees, or representations, or incur any debt, in the name or on behalf of the other or represent that our respective relationship is other than that of franchisor and developer. We will not be obligated for any damages to any person or property directly or indirectly arising out of the Development Schedule or the business you conduct under this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 66–311)
What This Means (2025 FDD)
According to the 2025 Dermani Medspa FDD, Dermani Medspa does not consider itself a joint employer with its franchisees. The franchise agreement explicitly states that the franchisee is an independent contractor and must hold themselves out to the public as such.
The FDD includes a clause where the franchisee affirms that their employees are employed exclusively by them and not jointly or co-employed by Dermani Medspa. This is further reinforced by stating that neither Dermani Medspa nor the franchisee can make agreements or incur debt on behalf of the other, clarifying that their relationship is solely that of franchisor and franchisee.
This distinction is important because it means the franchisee is solely responsible for all employment-related obligations, including compliance with labor laws, wage and hour laws, and tax laws. The franchisee is also responsible for obtaining and maintaining all necessary permits, certificates, and licenses. Furthermore, the franchisee is required to indemnify Dermani Medspa from any claims arising from the operation of the franchisee's business.