conditional

Under what condition can Healthsource Chiropractic require a franchisee to choose a new General Manager?

Healthsource_Chiropractic Franchise · 2025 FDD

Answer from 2025 FDD Document

Moreover, changes in, or interpretations of, laws regulating the services offered by HealthSource Chiropractic franchises may (a) require us to restructure our franchise program, (b) require your General Manager (if any) and employees to obtain additional licenses or certifications, (c) require you to retain or establish relationships with additional professionals and specialists in the chiropractic, physical therapy, and/or healthcare industries, and/or (d) require you to modify your ownership or organizational structure. You agree, at our request, to modify the operation of the Franchise to comply with all such changes, and to be solely responsible for all related costs.

Source: Item 23 — Receipts (FDD pages 77–282)

What This Means (2025 FDD)

Based on the 2025 Healthsource Chiropractic Franchise Disclosure Document, Healthsource Chiropractic may require a franchisee to modify their ownership or organizational structure due to changes in, or interpretations of, laws regulating the services offered by Healthsource Chiropractic franchises. These changes may also require the franchisee's General Manager (if any) and employees to obtain additional licenses or certifications, or require the franchisee to retain or establish relationships with additional professionals and specialists in the chiropractic, physical therapy, and/or healthcare industries. The franchisee is responsible for modifying the operation of the franchise to comply with all such changes and for all related costs.

This means that if new laws or interpretations of existing laws impact the services Healthsource Chiropractic franchises offer, Healthsource Chiropractic can mandate changes to the franchise's structure. This could include requiring a franchisee to bring in a new General Manager who meets specific licensing or certification requirements mandated by the updated laws. The franchisee bears the financial burden of these changes, including any costs associated with hiring a new General Manager or obtaining necessary licenses or certifications.

For a prospective franchisee, this highlights the importance of staying informed about changes in healthcare laws and regulations that could affect their Healthsource Chiropractic franchise. It also emphasizes the need to be prepared for potential costs associated with complying with these changes, including the possibility of needing to replace or retrain staff. It is important to note that the FDD does not specify the exact process or criteria Healthsource Chiropractic will use to determine when a new General Manager is required, so prospective franchisees should seek clarification on this point during their due diligence.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.