Good Neighbor Pharmacy Premier

The franchise fee is $0 compared to the typical range of $39,500-$54,625 for pharmacy franchises. What are the reasons for eliminating the franchise fee, and does this reflect a change in the franchisor's business model or financial condition?

All 3 litigation cases over the past 3 years were initiated against the franchisor, with 1 case still pending. What are the details of these cases, what are the allegations, and what is the expected timeline and potential financial exposure for the pending case?

The one-year termination rate of 10.7% is significantly above the typical range of 0-1.95%. What are the primary reasons franchisees are being terminated, and what specific contract violations trigger terminations?

The system lost 115 net units over the past year (4.6% decline) and 154 units over three years (2.1% annual decline). What does the franchisor attribute this decline to, and what specific initiatives are in place to reverse negative unit growth?

Closure data shows 264 units closed in 2025 alone, a 25% increase from 2024. Does this represent a recent acceleration in closures, and what operational or market conditions drove this increase?

The initial contract term is 5 years with 2-year renewals, both significantly below the typical 10-year initial term and 5-10 year renewal options. Why are the contract terms shorter than industry standard, and what does this mean for long-term security?

There are zero non-compete restrictions (0 years, 0 miles) compared to the typical 2 years and 5.75-25 miles. Can a franchisee operate a competing pharmacy immediately after exit, and what limitations exist on using customer lists or operational knowledge?

Territory is non-exclusive with no encroachment protection. Can the franchisor or other franchisees open competing Good Neighbor Pharmacy locations within your territory, and has this occurred with existing franchisees?

Only 2 renewal conditions exist compared to the typical 6-9 for this franchise type. What are these 2 conditions, and are there any undisclosed conditions that could prevent renewal at contract expiration?

Only 8 termination causes are listed compared to the typical 15-21. What broad termination rights might the franchisor have beyond the stated 8 causes, and are there catch-all clauses allowing termination for 'good cause' or 'material breach'?

Item 19 financial performance data is available. What are the average and median gross sales, and what percentage of franchisees achieve or exceed those figures? How many franchisees are included in these averages?

The mandatory binding arbitration clause includes waivers of jury trial and class action rights. What fees are associated with arbitration, who bears the costs, and how many disputes have actually gone to arbitration in the past 3 years?

What is the renewal fee, if any, and are there conditions under which the franchisor can increase fees at renewal or refuse renewal even if all operating requirements are met?

What transfer approval process exists, and has the franchisor ever denied a franchise transfer? What are the criteria for approval, and are there fees or conditions imposed on transfers?

Given the high termination rate and no non-compete protection, what prevents a franchisor from terminating you strategically and opening its own competing location in your territory?

Renewal options are listed as 'N/A x 2 years,' suggesting unclear renewal terms. Are renewals guaranteed at market rate, or can the franchisor impose significantly higher fees or unfavorable terms?

What specific support, training, technology, or marketing does the franchisor provide to justify the business model, given no stated ongoing royalties or ad fund fees?

Of the 264 units that closed in 2025, how many were profitable at closure, and what percentage of closures were voluntary versus franchisor-initiated terminations?

What is the franchisor's financial condition and stability? Has there been any change in ownership, leadership, or strategic direction that might explain the declining unit count?