Does the Healthsource Chiropractic Franchisor have the right to assign the agreement in whole or in part?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
- 14.3 Transfer by HealthSource Chiropractic. You represent that you have not signed this Agreement in reliance on any owner, officer, or employee remaining with us in that capacity. We may change our ownership or form at any time in our sole discretion. This Agreement is fully transferable by us, without restriction, and will inure to the benefit of any person or entity to whom it is transferred, or to any other legal successor to our interests in this Agreement. After our assignment of this Agreement to a third party who expressly assumes our obligations under this Agreement, we no longer will have any performance or other obligations or liabilities under this Agreement.
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
According to Healthsource Chiropractic's 2025 Franchise Disclosure Document, Healthsource Chiropractic has the right to transfer the franchise agreement without any restrictions. This means Healthsource Chiropractic can transfer the agreement to another person or entity at any time, and the agreement will still be in effect.
As a Healthsource Chiropractic franchisee, you acknowledge that you are not signing the agreement based on any specific owner, officer, or employee remaining with the company. Healthsource Chiropractic can change its ownership or form at any time, according to the FDD. The agreement is fully transferable by Healthsource Chiropractic, without any limitations, and it will benefit anyone to whom it is transferred or any legal successor to Healthsource Chiropractic's interests in the agreement.
After Healthsource Chiropractic assigns the agreement to a third party who agrees to take on Healthsource Chiropractic's obligations, Healthsource Chiropractic will no longer have any responsibilities or liabilities under the agreement. This is a standard clause in franchise agreements, allowing the franchisor flexibility in its business operations and potential exit strategies.