What condition must be met for a Healthsource Chiropractic customer to terminate the agreement?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
ARTICLE 9 — TERM AND TERMINATION
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- TERM. This Agreement will commence as of the date of signing and shall continue thereafter until terminated in accordance with this Agreement.
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- TERMINATION BY HEALTHCORE. In addition to HealthCore's right to immediately suspend or terminate service as elsewhere provided in this Agreement, HealthCore shall have the right, upon thirty (30) days' prior written notice to Customer, to terminate this Agreement. Service shall terminate on the last day of the month following HealthCore's notice of termination.
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- TERMINATION BY CUSTOMER. Customer will have the right, after the first one hundred eighty (180) days this Agreement is in effect, to terminate this Agreement upon thirty (30) days' prior written notice to HealthCore if Customer's HealthSource Chiropractic franchise has terminated or expired. Service shall terminate on the last day of the month following Customer's notice of termination.
4.TERMINATION FOR CEASING TO BE A HEALTHSOURCE FRANCHISEE IN GOODSTANDING.
In the event that Customer ceases to be a franchisee in good standing with HealthSource Chiropractic, this Agreement is subject to suspension and/or termination upon notice to Customer, if HealthSource Chiropractic notifies HealthCore that Customer is not in good standing under their franchise agreement.
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
According to the 2025 Healthsource Chiropractic Franchise Disclosure Document, a customer's ability to terminate their agreement with HealthCore is contingent upon specific conditions related to the franchisee's status. Specifically, after the first 180 days of the agreement, the customer (which appears to be the franchisee) can terminate the agreement with 30 days' prior written notice to HealthCore, but only if the Healthsource Chiropractic franchise has been terminated or expired. The service termination will occur on the last day of the month following the notice. This indicates that the agreement between the franchisee (as a customer of HealthCore) and HealthCore is directly tied to the status of the franchise agreement with Healthsource Chiropractic.
Additionally, HealthCore has the right to terminate the agreement with the customer (franchisee) with thirty (30) days' prior written notice. Service will terminate on the last day of the month following HealthCore's notice of termination.
Furthermore, if the Healthsource Chiropractic franchisee ceases to be in good standing with Healthsource Chiropractic, the agreement with HealthCore is subject to suspension or termination. This is contingent upon Healthsource Chiropractic notifying HealthCore that the customer (franchisee) is not in good standing under their franchise agreement. This clause underscores the interconnectedness of the franchise agreement and the service agreement with HealthCore, placing the onus on Healthsource Chiropractic to inform HealthCore of any compliance issues with the franchisee.