What is the Healthsource Chiropractic franchisee's responsibility regarding compliance with laws related to chiropractic medicine and physical therapy?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
- e. Without limiting any other provisions in this Agreement, you acknowledge and agree that you have sole responsibility for operating your Franchise in compliance with all applicable laws, rules, and regulations relating to the practice of chiropractic medicine and physical therapy, including without limitation: licensure, marketing and advertising, use of medical equipment and devices, the sale or recommendation of dietary supplements, fee splitting prohibitions or restrictions, anti-kickback prohibitions and other laws or regulations governing the relationships between health care service providers and suppliers with physicians and clinicians, restrictions on self-referrals, medical benefit payment systems, including self-pay, private, and government insurance requirements and regulations, advertisement of chiropractic and related medical services, and patient privacy (the "Professional Laws"). You represent and warrant that you have independently investigated the Professional Laws applicable to the practice of chiropractic medicine, physical therapy and the operation of your Franchise in the Protected Territory, and that you have confirmed under the Professional Laws that you are permitted to
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
According to Healthsource Chiropractic's 2025 Franchise Disclosure Document, the franchisee is solely responsible for operating their franchise in compliance with all applicable laws, rules, and regulations pertaining to the practice of chiropractic medicine and physical therapy. This includes, but is not limited to, licensure, marketing and advertising, the use of medical equipment and devices, the sale or recommendation of dietary supplements, and adherence to laws governing relationships between healthcare providers and suppliers. Franchisees must also comply with restrictions on self-referrals, medical benefit payment systems, advertising regulations, and patient privacy laws.
Healthsource Chiropractic emphasizes that franchisees must independently investigate and confirm their ability to operate under these Professional Laws within their protected territory. Furthermore, franchisees are obligated to inform Healthsource Chiropractic immediately of any changes to these laws and propose methods to ensure continued compliance, potentially including entering into a Management Agreement. This proactive approach ensures that the franchise operation remains lawful and aligned with current regulations.
The FDD also states that Healthsource Chiropractic may modify the System, which could require the franchisee's General Manager and employees to obtain additional licenses or certifications, or require the franchisee to retain or establish relationships with additional professionals and specialists. The franchisee is responsible for modifying the operation of the franchise to comply with all such changes and for all related costs. This highlights the ongoing responsibility of the franchisee to stay informed and adapt to changes in the legal and regulatory landscape of chiropractic medicine and physical therapy.