According to the Aerus agreement, what is the significance of the 'foregoing premises'?

According to Aerus's 2025 Franchise Disclosure Document, the phrase "foregoing premises" is a legal term that refers to the recitals stated earlier in the franchise agreement. These recitals outline the background and intentions of the parties entering into the agreement.

Specifically, the recitals in the Aerus franchise agreement typically cover key aspects such as the desire of Aerus to grant a franchise to the franchisee, the franchisee's desire to operate an Aerus business at an approved location, and the mutual agreement to abide by the terms and conditions outlined in the document. These recitals serve as the foundation upon which the agreement is built.

The "foregoing premises" are significant because they form part of the consideration for the agreement. In simpler terms, the promises and mutual understandings outlined in the recitals are part of what motivates each party to enter into the agreement. The agreement states that in consideration of the "foregoing premises and the promises set forth below and other good and valuable consideration, the receipt, sufficiency and adequacy of which are hereby acknowledged and confirmed, the parties agree as follows." This means that both Aerus and the franchisee are entering into the agreement not only for the specific terms outlined in the numbered sections but also based on the understandings and intentions described in the recitals.