How long are the renewal terms for a Healthsource Chiropractic franchise, assuming eligibility?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
s judgment, waive or modify comparable provisions of any of those franchise agreements in a non-uniform manner, so long as we do so on a reasonably non-discriminatory basis.
2. GRANT OF FRANCHISE.
- 1 Term; Reference to Exhibit 1. You have applied for a franchise to own and operate a HealthSource Chiropractic Clinic, and we have approved your application in reliance on all of the representations you made in that application. As a result, and subject to the provisions of this Agreement, we grant to you a Franchise to operate a Clinic offering all products, services, and proprietary programs of ours in accordance with all elements of the System, that we may require for HealthSource Chiropractic Clinics. You must operate the Franchise at a mutually agreeable site (the "Premises") to be identified after the signing of this Agreement, and to use the System and the Marks in the operation of that Franchise, for an "Initial Term" of 10 years. The Initial Term will begin on the Agreement Date, unless you are assuming the Franchise pursuant to a Transfer, in which case the length of the Initial Term shall be determined by the applicable Transfer Agreement. To avoid uncertainty, the expiration date of the Initial Term is listed on Exhibit 1. Termination or expiration of this Agreement will constitute a termination or expiration of your Franchise and the rights you received in connection with the Franchise, including your rights to use the Marks or any portion of the Confidential Information (defined below). All
references to the "Term of this Agreement" refer to the period from the Agreement Date to the date on which this Agreement actually terminates or expires.
- 2.2 Full Term Performance. You specifically agree to be obligated to operate the Franchise, perform the obligations of this Agreement, and continuously exert your best efforts to promote and enhance the business of the Franchise for the entire Initial Term, and any subsequent renewal or extension of the Term of this Agreement.
- 2.3 **Protected Territory; Reference to Exhibit 1;
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
According to the 2025 Healthsource Chiropractic Franchise Disclosure Document, the initial franchise term is 10 years. The document does not specify the length of renewal terms.
To renew the Healthsource Chiropractic franchise, the franchisee and their Principal Owners must execute the then-current form of the franchise agreement and any associated agreements. The terms in the renewal agreement may differ significantly from the original agreement, potentially including increased Continuing Franchise Fees and Ad Fund contributions. The franchisee's right to renew is contingent upon accepting these new terms and paying a renewal fee of $10,000.00 when signing the renewal Franchise Agreement. Additionally, the franchisee and their Principal Owners must provide general releases of claims against Healthsource Chiropractic and its affiliates.
Because the length of the renewal term is not specified in the FDD, prospective franchisees should inquire with Healthsource Chiropractic about the typical length of renewal terms offered to existing franchisees. Understanding the renewal term length is essential for long-term business planning and financial forecasting.