Under what conditions can the Dermani Medspa franchisee revise the Management Agreement?

According to the 2025 Dermani Medspa FDD, the Management Agreement template must be reviewed by local health law counsel and revised for use in the franchisee's state. This is explicitly stated in Exhibit J, emphasizing the importance of adhering to local regulations. This requirement acknowledges that healthcare laws vary significantly from state to state, and a standard agreement might not be compliant in every location.

For prospective Dermani Medspa franchisees, this means they will need to engage legal counsel to ensure the Management Agreement aligns with their state's specific healthcare laws. This will likely involve costs for legal review and revisions, which franchisees should factor into their initial investment. Failing to revise the agreement could result in legal issues, potentially impacting the franchisee's ability to operate.

Furthermore, the Illinois and Maryland Addenda to the Franchise Agreement include stipulations that may amend certain provisions. In Illinois, if a franchisee is not licensed/certified to provide the medical services described in the disclosure document, they must negotiate the terms of a management agreement with licensed professionals. Similarly, the Maryland Addendum states that representations requiring franchisees to waive liability do not act as a release of any liability incurred under the Maryland Franchise Registration and Disclosure Law. These addenda highlight the importance of understanding state-specific regulations and how they may necessitate revisions to the standard Management Agreement.