Are the fees paid to Dermani Medspa refundable?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
All fees are imposed by and are payable to us. All fees are uniformly applied to new system franchisees and are non-refundable. However, in cases and circumstances in which it may be appropriate or necessary to do so, we reserve the right to modified some of these fees for a particular franchisee. It is your sole responsibility to ensure your full compliance with applicable federal and state laws and regulations, including, without limitation, those regarding the payment of fees to us. We reserve the right to obtain payment from you for all fees due to us by way of an electronic fund transfer (or EFT) procedures, described in Note 2 below.
Source: Item 6 — OTHER FEES (FDD pages 14–20)
What This Means (2025 FDD)
According to Dermani Medspa's 2025 Franchise Disclosure Document, all fees paid to the company by new system franchisees are generally non-refundable. However, Dermani Medspa retains the right to modify these fees for a particular franchisee if deemed appropriate or necessary. This means that while the standard policy is non-refundability, there may be circumstances where Dermani Medspa makes an exception.
It is important for prospective franchisees to understand that they are responsible for complying with all applicable federal and state laws and regulations regarding fee payments to Dermani Medspa. The company also reserves the right to obtain payments for all due fees through electronic fund transfer (EFT) procedures. This indicates that franchisees should be prepared to set up EFT to handle fee payments.
While most fees are non-refundable, the FDD specifies an exception regarding the transfer fee. If a franchisee seeks to transfer their Area Development Agreement, 50% of the then-current initial franchise fee ($10,000) must be paid as a transfer fee. One-half of this transfer fee is due when the transfer request is submitted and is non-refundable, even if the transfer does not ultimately occur. If the transfer is not completed after Dermani Medspa has approved it, the company has the right to require reimbursement for any out-of-pocket expenses, including attorney's fees, incurred during the process.