Does the Healthsource Chiropractic General Release Agreement define 'Parties'?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
| THIS GENERAL RELEASE AGREEMENT ("Release") is made and entered into this day of, 20, by and between HealthSource Chiropractic, LLC, an Ohio limited liability company ("Franchisor"), and |
|---|
| , |
| a |
| corporation/limited |
| liability |
| company/partnership |
| (circle |
| one) |
| ("Franchisee"), |
| and |
| each |
| shareholder/member/partner of Franchisee (individually, an "Owner," |
| and collectively, |
| the "Owners") (collectively, Franchisor, Franchisee, and the Owners are referred to |
| hereinafter as the "Parties"). |
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
According to the 2025 Healthsource Chiropractic Franchise Disclosure Document, the General Release Agreement specifies who the 'Parties' are. The agreement defines the 'Parties' as HealthSource Chiropractic, LLC (the Franchisor), the Franchisee (identified as a corporation, limited liability company, or partnership), and each shareholder, member, or partner of the Franchisee, who are individually referred to as an 'Owner' and collectively as the 'Owners'.
This definition is important because it clarifies who is bound by the terms of the General Release Agreement. It ensures that not only the franchisee entity but also the individuals who own or are partners in the franchise are included in the agreement. This is a common practice in franchising to ensure that all relevant parties are legally bound by the release, preventing future claims or disputes.
For a prospective Healthsource Chiropractic franchisee, this means that if they sign a General Release Agreement, they are doing so on behalf of their business entity and as individuals if they are shareholders, members, or partners. It is crucial for franchisees to understand the implications of this agreement and how it affects their rights and obligations, as well as those of their business partners or shareholders.