Does Dermani Medspa warrant the franchisee's ability to operate the Franchised Business in the jurisdiction?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
This Addendum is being entered into in connection with the Franchise Agreement. In the event of any conflict between this Addendum and the Franchise Agreement, the terms and conditions of this Addendum shall apply.
dermani MEDSPA® Franchising LLC Its: Its:
ILLINOIS ADDENDUM TO AREA DEVELOPMENT AGREEMENT
ILLINOIS PROHIBITS THE CORPORATE PRACTICE OF MEDICINE. UNLICENSED INDIVIDUALS AND ENTITIES ARE PROHIBITED FROM OWNING, OPERATING AND MAINTAINING AN ESTABLISHMENT FOR THE STUDY, DIAGNOSIS AND TREATMENT OF HUMAN AILMENTS AND INJURIES, WHETHER PHYSICAL OR MENTAL. See Medical Corporation Act, 805 ILCS 15/2, 5 (West 2018) and Medical Practice Act of 1987, 225 ILCS 60/ (West 2018).
IF YOU ARE NOT LICENSED/CERTIFIED IN ILLINOIS TO PROVIDE SERVICES OF THE NATURE DESCRIBED IN THIS DISCLOSURE DOCUMENT, YOU MUST NEGOTIATE THE TERMS OF A MANAGEMENT AGREEMENT WITH LICENSED PROFESSIONALS WHO WILL PROVIDE THE MEDICAL SERVICES THAT YOUR FRANCHISED BUSINESS OFFERS. RETAIN AN EXPERIENCED ATTORNEY WHO WILL LOOK OUT FOR YOUR BEST INTERESTS IN THIS BUSINESS VENTURE.
Source: Item 23 — RECEIPTS (FDD pages 66–311)
What This Means (2025 FDD)
According to the 2025 Dermani Medspa FDD, Dermani Medspa does not provide a blanket warranty for a franchisee's ability to operate in any jurisdiction. Instead, the FDD includes an Illinois addendum that highlights specific legal restrictions in Illinois concerning the corporate practice of medicine.
The Illinois addendum explicitly states that unlicensed individuals or entities are prohibited from owning, operating, and maintaining establishments for the study, diagnosis, and treatment of human ailments and injuries, whether physical or mental. It references the Illinois Medical Corporation Act and the Medical Practice Act of 1987. This means that if a Dermani Medspa franchisee is not licensed or certified to provide medical services in Illinois, they must negotiate a management agreement with licensed professionals who will provide the medical services offered by the franchised business.
This requirement underscores the importance of franchisees understanding and complying with local and state regulations regarding medical practices. Dermani Medspa advises prospective franchisees in Illinois to retain an experienced attorney to protect their interests in this business venture. This suggests that Dermani Medspa places the onus on the franchisee to ensure compliance with local laws, rather than providing a guarantee of operational legality. The FDD makes it clear that the franchisee bears the responsibility of ensuring they can legally operate the Dermani Medspa business within their specific jurisdiction.