factual

What is the Healthsource Chiropractic customer's obligation if they breach the agreement for non-payment of fees?

Healthsource_Chiropractic Franchise · 2025 FDD

Answer from 2025 FDD Document

ted on an invoice in accordance with the terms and conditions set forth in this Article. HealthCore shall electronically invoice Customer as set forth in this Article prior to making an electronic transfer of funds from Customer to pay said invoice, as authorized by Customer on Schedule "B", the Checking Account Authorization, attached hereto and made a part hereof. In the event such an electronic transfer of funds shall fail, for any reason, a $35 service fee will be assessed and the account re-drafted within 5 banking days from the first draft.

If the draft fails a second time, a second service fee, in the amount of $50, will be due and owing by the Customer in addition to the outstanding invoice amount and prior service fee. Customer's access to the HealthCore Business Services may be immediately suspended without notice and access shall not be restored until all outstanding amounts due are paid in full. If the current monthly amount due is not paid in full within 10 calendar days after the initial ACH draft for that month, in addition to all other fees that may be due, a late fee of $50 will also be due and payable. In the event Customer breaches this Agreement, for non-payment of fees due, or fails to remain a HealthSource Chiropractic franchisee in good standing, and HealthCore suspends service and Customer then requests to restart services, Customer shall pay a restart fee to HealthCore equal to $100 for Customer's office for the first suspension reactivation and $500 for all subsequent suspension reactivations.

  1. TAXES. Customer will pay or reimburse HealthCore for all sales, use, transfer, privilege, excise and all other taxes and all duties, whether internatio

Source: Item 23 — Receipts (FDD pages 77–282)

What This Means (2025 FDD)

According to the 2025 Healthsource Chiropractic Franchise Disclosure Document, if a customer breaches their agreement due to non-payment of fees, several financial obligations and service adjustments come into effect. If an initial Automated Clearing House (ACH) draft fails, the customer is subject to a $50 service fee. Should the draft fail a second time, another $50 service fee is applied, in addition to the outstanding invoice amount and the initial service fee. Furthermore, the customer's access to HealthCore Business Services may be immediately suspended without notice until all outstanding amounts, including fees, are paid in full.

If the monthly payment is not made within 10 calendar days after the first ACH draft, a late fee of $50 is also charged. In the event that HealthCore suspends service due to non-payment or failure to remain a HealthSource Chiropractic franchisee in good standing, the customer will be required to pay a restart fee to reactivate services. This restart fee is $100 for the first suspension reactivation and $500 for all subsequent reactivations.

In addition to these fees, the customer is responsible for all sales, use, transfer, privilege, excise, and other taxes and duties related to HealthCore's performance under the agreement, excluding income taxes on HealthCore's profits. These taxes may be reflected on customer invoices, and if any such tax is not initially assessed but later required by a taxing authority, the customer must reimburse HealthCore for the tax amount, though not for any penalties or interest.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.