What happens if I don't sign a Franchise Agreement with Healthsource Chiropractic by the Deadline Date?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
c. If HealthSource and I do not sign a Franchise Agreement or I do not pay the entire remaining portion of the Initial Franchise Fee on or before the Deadline Date, I will not have the right to operate a HealthSource Chiropractic franchise in the Protected Territory or use any HealthSource marks, logos, information or materials, and HealthSource may grant all or any portion the Protected Territory to another person or entity.
d. HealthSource's acceptance of the Deposit does not constitute the grant of any rights to me to operate a HealthSource chiropractic clinic or use HealthSource's marks, logos, information or materials in practice or otherwise, and that such rights may only be granted through a Franchise Agreement that has been duly executed by both me and HealthSource.
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
According to Healthsource Chiropractic's 2025 Franchise Disclosure Document, if you and Healthsource Chiropractic do not sign a Franchise Agreement, or if you do not pay the entire remaining portion of the Initial Franchise Fee on or before the Deadline Date, you will lose certain rights. Specifically, you will not have the right to operate a Healthsource Chiropractic franchise in the Protected Territory or use any Healthsource marks, logos, information, or materials.
This means that Healthsource Chiropractic is free to grant the Protected Territory to another person or entity. The acceptance of the Deposit by Healthsource Chiropractic does not guarantee the right to operate a clinic or use their intellectual property. These rights are only granted through a duly executed Franchise Agreement.
This clause protects Healthsource Chiropractic by ensuring that prospective franchisees move forward in a timely manner. It also allows Healthsource Chiropractic to reassign the territory if the prospective franchisee is unable or unwilling to fulfill their obligations by the Deadline Date. As a prospective franchisee, it is important to be aware of the Deadline Date and ensure that you are prepared to sign the Franchise Agreement and pay the remaining Initial Franchise Fee by that date to secure your rights to the Protected Territory.