Does the Healthsource Chiropractic amendment specify any deadlines related to the Development Agreement?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
Development Schedule. The Development Schedule referred to in Section 5 of the Development Agreement is as follows: Expiration of Development Period (each, a "Development Period") No. of New Clinics Opened Within Development Period Cumulative No. of Clinics that Must Be Open and Operating 12 Months from Effective Date 1 1 Months 13 through 36 of the 1 2 Development Agreement Months 37 through 48 of the 1 3 Development Agreement
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
The 2025 Healthsource Chiropractic Franchise Disclosure Document includes amendments to the Development Agreement for several states. These amendments themselves do not specify any particular deadlines. However, Attachment A to the Development Agreement does reference a "Development Schedule" in Section 5 of the Development Agreement. The Development Schedule outlines the "Expiration of Development Period", the "No. of New Clinics Opened Within Development Period", and the "Cumulative No. of Clinics that Must Be Open and Operating".
Specifically, the Development Schedule includes deadlines such as 12 Months from the Effective Date, Months 13 through 36 of the Development Agreement, and Months 37 through 48 of the Development Agreement. These deadlines are tied to the number of new clinics a developer is expected to have opened and operating within the specified timeframes. For example, 1 clinic is expected to be open 12 months from the effective date.
Prospective Healthsource Chiropractic developers should carefully review the Development Agreement and its attachments to understand the specific deadlines and obligations for opening new clinics. Failing to meet these deadlines could have consequences, so it's crucial to have a clear plan and adequate resources to meet the development schedule outlined in the agreement.