How frequently can Dermani Medspa require payments, or automatic debits, from me?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
If you fail or refuse to obtain and maintain the insurance we specify, in addition to our other remedies, we may obtain comparable insurance for you and the Franchised Business on your behalf, in which event you shall cooperate with us and reimburse us for all premiums, costs and expenses we incur in obtaining and maintaining the insurance, plus a ten percent (10%) administrative fee for our time incurred in obtaining the insurance.
Source: Item 23 — RECEIPTS (FDD pages 66–311)
What This Means (2025 FDD)
According to the 2025 Dermani Medspa FDD, if a franchisee fails to maintain the required insurance coverage, Dermani Medspa has the right to obtain comparable insurance on the franchisee's behalf. In such instances, the franchisee must cooperate with Dermani Medspa and reimburse them for all premiums, costs, and expenses incurred in obtaining and maintaining the insurance.
In addition to reimbursing the costs, Dermani Medspa will also charge a ten percent (10%) administrative fee for their time spent obtaining the insurance. The FDD does not specify a particular timeframe for these reimbursements, but it implies that these payments would be required promptly after Dermani Medspa incurs the expenses.
It is important for prospective franchisees to maintain the required insurance coverage to avoid these additional costs and fees. Franchisees should clarify with Dermani Medspa the exact payment terms and frequency for insurance-related reimbursements to ensure they are prepared for these potential expenses.