For how long after the expiration, termination, or transfer of a Healthsource Chiropractic franchise agreement are principal owners prohibited from soliciting patients?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise Agreement | Summary |
|---|---|---|
| franchisees, or any of their respective | ||
| products, | ||
| services, | ||
| businesses | ||
| or | ||
| business practices, or (b) the actions, | ||
| operations | ||
| or | ||
| character | ||
| of | ||
| the | ||
| Franchisor | ||
| or | ||
| the | ||
| Franchise's | ||
| respective owners, officers, directors, | ||
| employees, consultants or agents. | ||
| The | ||
| Franchise | ||
| Agreement | ||
| also | ||
| prohibits | ||
| each | ||
| Principal | ||
| Owner, | ||
| during the term of the Franchise | ||
| Agreement | ||
| and for a period of two (2) | ||
| years | ||
| following | ||
| the | ||
| expiration, | ||
| termination | ||
| or | ||
| Transfer | ||
| of | ||
| the | ||
| Franchise | ||
| Agreement, | ||
| from | ||
| (a) | ||
| soliciting for chiropractic, physical | ||
| therapy, | ||
| rehabilitation, | ||
| function | ||
| restoration, weight loss or related | ||
| services or products with any person | ||
| who was a patient of the Franchise | ||
| within the two year period prior to the | ||
| expiration, termination or Transfer of | ||
| the Franchise Agreement; or (b) | ||
| interfering | ||
| with | ||
| the | ||
| Franchisor's | ||
| relationship | ||
| with | ||
| any | ||
| of | ||
| the | ||
| Franchisor's | ||
| franchisees, | ||
| Regional | ||
| Developer | ||
| franchisees, | ||
| vendors, | ||
| suppliers or referral sources. |
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 53–64)
What This Means (2025 FDD)
According to Healthsource Chiropractic's 2025 Franchise Disclosure Document, principal owners face restrictions on soliciting patients for two years following the expiration, termination, or transfer of the franchise agreement. Specifically, the agreement prohibits principal owners from soliciting individuals who were patients of the Healthsource Chiropractic franchise within the two-year period leading up to the expiration, termination, or transfer. This restriction applies to solicitation for chiropractic, physical therapy, rehabilitation, function restoration, weight loss, or related services and products.
This non-solicitation clause prevents former franchisees from directly competing for patients they served while operating under the Healthsource Chiropractic brand. It aims to protect the goodwill and customer base that Healthsource Chiropractic has established. The clause ensures that departing franchisees cannot immediately leverage their existing patient relationships to establish a competing practice or divert business away from the remaining Healthsource Chiropractic network.
In addition to patient solicitation, the franchise agreement also restricts principal owners from interfering with Healthsource Chiropractic's relationships with its other franchisees, regional developer franchisees, vendors, suppliers, or referral sources for the same two-year period. This broader restriction is designed to prevent former franchisees from disrupting the Healthsource Chiropractic network or undermining its business relationships.
Prospective franchisees should carefully consider these post-term restrictions, as they could impact their ability to operate a similar business or engage with former patients and business contacts after leaving the Healthsource Chiropractic system. Understanding the scope and duration of these covenants is crucial for planning future business endeavors after the franchise agreement ends.