Are there any exceptions to the prohibition of Kidokinetics accepting rebates in Indiana?

According to Kidokinetics' 2024 Franchise Disclosure Document, Indiana law includes a specific exception to the prohibition of Kidokinetics accepting rebates. Kidokinetics is permitted to accept rebates if they are compensation for services rendered by Kidokinetics, or if the rebate is properly accounted for and submitted to the franchisee. This exception is outlined to comply with Indiana Code Section 23-2-2.7-1(4).

This means that while Kidokinetics is generally prohibited from accepting rebates from vendors or other parties you do business with, there are two specific scenarios where rebates are allowed. First, Kidokinetics can receive rebates as payment for services they provide. Second, they can accept rebates if they fully disclose and pass those rebates on to you, the franchisee.

For a prospective Kidokinetics franchisee in Indiana, this amendment ensures transparency and prevents Kidokinetics from profiting unfairly from your business relationships. It's important to ensure that any rebates Kidokinetics receives are either for their direct services or are properly credited back to you. This provision aims to protect franchisees from hidden costs and ensure fair dealing within the franchise system.