Is Bernard Brozek currently employed by Healthsource Chiropractic?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
ation involves us:
Public Agency Orders
Commonwealth of Virginia v HealthSource Chiropractic, Inc. and Bernard Brozek; Case No. SEC-2019-00058. On January 29, 2020, we entered into and delivered a Settlement Order with the Virginia State Corporation Commission's Division of Securities and Retail Franchising (the "Division"). The Division alleged that our 2017 and 2018 disclosure documents failed to disclose a prior personal bankruptcy one of our officers, Bernard Brozek, and therefore, violated the Virginia Retail Franchising Act. We do not admit or deny the Division's allegation. In order to resolve this matter without the further cost and expense of formal proceedings, we agreed to make an offer to refund the initial franchise fees paid by the one purchaser during the subject time frame (up to a maximum of $80,000) and to pay the Division the sum of $9,000 in costs and civil penalties. We have completed making the refund to the designated purchaser and paying the required costs, Mr. Brozek reimbursed us for those payments, and Mr. Brozek is no longer employed by us.
The Commissioner of Financial Protection and Innovation of the State of California v. HealthSource Chiropractic, Inc. On July 20, 2021, we entered into a Consent Order with the California Commissioner of Financial Protection and Innovation (the "Commissioner"). The Commissioner determined that our 2017 and 2018 disclosure documents failed to contain a required disclosure concerning Mr. Brozek's personal bankruptcy and therefore violated Section 31200 of the California Franchise Investment Law. In order to resolve this matter we agreed to desist and refrain from the violation described ab
Source: Item 3 — Litigation (FDD pages 14–15)
What This Means (2025 FDD)
According to the 2025 Healthsource Chiropractic FDD, Bernard Brozek is no longer employed by Healthsource Chiropractic. The document states that Mr. Brozek's departure was related to issues identified by the Virginia State Corporation Commission's Division of Securities and Retail Franchising and the California Commissioner of Financial Protection and Innovation regarding the failure to disclose a prior personal bankruptcy in the 2017 and 2018 disclosure documents.
To resolve the issues with the Virginia State Corporation Commission, Healthsource Chiropractic agreed to offer a refund of initial franchise fees to a purchaser during the affected time frame, up to $80,000, and pay $9,000 in costs and civil penalties. Mr. Brozek reimbursed Healthsource Chiropractic for these payments. Similarly, to resolve the issues with the California Commissioner of Financial Protection and Innovation, Healthsource Chiropractic agreed to desist from further violations related to the disclosure documents.
Given that the FDD explicitly states that Mr. Brozek is no longer employed by Healthsource Chiropractic, a prospective franchisee can rely on this information as of the document's publication date. However, it is always prudent to confirm such information with the franchisor directly during the due diligence process to ensure that there have been no subsequent changes.