Can Healthsource Chiropractic require franchisees to use a website controlled by the franchisor?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
tion over (i) the creative concepts, materials, endorsements, and media used therein, and (ii) the geographic, market, and media placement and allocation of the programs. HealthSource Chiropractic shall have the right to determine, in its sole discretion, the composition of all geographic territories and market areas for the development and implementation of such programs. You agree that the Ad Fund may be used to pay any and all costs of maintaining, administering, directing, and preparing national, regional or local advertising materials, programs, and promotional activities, including, without limitation, (a) costs for preparing and conducting television, radio, magazine, billboard, newspaper, internet and other media programs and activities, (b) costs associated with conducting marketing research, (c) costs associated with website development and marketing, including without limitation, search engine optimization and social media, (d) administering regional and multi-regional advertising programs, including, without limitation, purchasing direct mail and other media advertising, (e) employing advertising, program and marketing agencies, and vendors providing marketing services, (f) development, implementation and maintenance of online asset management tools, (g) marketing and advertising training programs and materials, and (h) costs for providing promotional brochures and advertising templates and materials to HealthSource Chiropractic Clinic franchises.
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
According to the 2025 HealthSource Chiropractic Franchise Agreement, HealthSource Chiropractic has the right to determine how the Ad Fund is used, including costs associated with website development and marketing. Specifically, the Ad Fund can cover costs related to website development and marketing, including search engine optimization and social media.
This means that HealthSource Chiropractic can use franchisee contributions to the Ad Fund to develop and maintain a website for the benefit of all franchisees. It also implies that franchisees may be required to participate in or utilize a website controlled or managed by HealthSource Chiropractic, as the franchisor has sole discretion over the advertising programs financed by the Ad Fund.
Furthermore, franchisees are required to pay a monthly Technology Fee for certain Website and technology-related services and expenses. This fee, along with the Ad Fund contributions, suggests that HealthSource Chiropractic has the ability to mandate the use of a specific website or technology platform as part of the franchise system. Prospective franchisees should clarify with HealthSource Chiropractic the extent to which they are required to use a company-controlled website and what control they have over their local online presence.