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Context processing in Body Area Networks (BANs) faces unique challenges due to the user and node mobility, the need of real-time adaptation to the dynamic topological and contextual changes, and heterogeneous processing capabilities and energy constraints present on the available devices. This paper proposes a service-oriented framework for the execution of context recognition algorithms. We describe and theoretically analyze the performance of the main framework components, including the sensor network organization, service discovery, service graph construction, service distribution and mapping. The theoretical results are followed by the simulation of the proposed framework as a whole, showing the overall cost of dynamically distributing applications on the network.