When will Healthsource Chiropractic notify a franchise owner about their eligibility for renewal?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
nts satisfied. Renewal of the Franchise will be conditioned on your continued compliance with all the terms and conditions of this Agreement up to the date of expiration, and not just on those conditions set forth in our 6 month deficiency notice. If we send a notice of non-renewal, it will state the reasons for our refusal to renew.
c. Renewal Agreement; Releases. To renew the Franchise, HealthSource Chiropractic, you and your Principal Owners must execute the form of Franchise Agreement and any ancillary agreements we are then customarily using in the grant or renewal of franchises for the operation of Clinic Franchises (with appropriate modifications to reflect the fact that the agreement relates to the grant of a renewal franchise), except that no initial franchise fee will be payable upon renewal of the Franchise. The terms of the Franchise Agreement that you must execute upon renewal, and any other agreements we may require, may differ materially from those contained in this Agreement, including the possibility of increased Continuing Franchise Fees and Ad Fund contributions. Your right to renew will be contingent upon your acceptance of the new terms. You must pay to us a renewal fee equal to $10,000.00 concurrently with signing the renewal Franchise Agreement. You and your Principal Owners must also execute general releases, in a form satisfactory to us, of any and all claims against us and our affiliates, and our and their respective owners, officers, directors, employees, and agents.
3. DEVELOPMENT AND OPENING OF THE FRANCHISE
- 3.1 Site Selection Area; Site Approval; Lease or Purchase of Premises.
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
According to the 2025 Healthsource Chiropractic Franchise Disclosure Document, Healthsource Chiropractic will provide a notice of non-renewal to a franchisee if they are refusing to renew the franchise agreement. This notice will include the reasons for the non-renewal.
To renew their Healthsource Chiropractic franchise, the franchisee, Healthsource Chiropractic, and the franchisee's Principal Owners must execute the current form of the franchise agreement and any related ancillary agreements. The new franchise agreement may have terms that 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.
In addition to signing the renewal agreement, the franchisee must pay a renewal fee of $10,000.00. The franchisee and their Principal Owners must also sign general releases, in a form satisfactory to Healthsource Chiropractic, which waive any claims against Healthsource Chiropractic and its affiliates. Renewal is conditional on the franchisee's continued compliance with all terms of the existing agreement up to the expiration date, not just the conditions in the 6-month deficiency notice.