Will Aerus establish or authorize any other physical locations for Aerus Businesses within the franchisee's Protected Area?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
oyment matters, including without limitation, hiring, firing, discipline, compensation, benefits, and scheduling. Notwithstanding the generality of the foregoing, Company may from time to time set minimum staffing requirements and hours of operation for Approved Locations in the Manuals.
- F. Except as provided in this Agreement, Company will not establish, permit or authorize any person or entity other than Franchisee to establish a physical location for the operation of any Aerus Business under any of the Programs listed in Recital C within the area identified as the Protected Area in Schedule 1, attached hereto (the "Protected Area").
- G. Notwithstanding anything herein to the contrary, without Company's prior written approval, Franchisee shall not (1) conduct the Franchised Business under any actual or assumed name other than the Approved Name, (2) sell to any person or entity that is not an Approved Customer, (3) advertise, market or solicit sales outside of the Area of Responsibility, (4) sell to any person not residing within the Area of Responsibility, (5) conduct any aspect of the Franchised Business by, through, over or on the internet or world wide web, including without limitation, advertising, marketing and solicitation, unless or until Company establishes a Company sponsored program for such conduct by Fra
Source: Item 23 — Receipts (FDD pages 74–305)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, Aerus will not establish, permit, or authorize any person or entity other than the franchisee to establish a physical location for the operation of an Aerus Business within the franchisee's Protected Area. This protection applies to Aerus Businesses operating under any of the four Programs listed in Recital C of the franchise agreement. This clause ensures that franchisees have a defined territory where Aerus will not directly compete with them by opening additional locations or authorizing others to do so.
However, the FDD also states that this exclusivity is subject to exceptions provided within the franchise agreement. Additionally, the franchisee's right is specifically for operating the franchised business according to the agreement's terms. Aerus and its affiliates can operate existing businesses and systems, and may in the future establish new businesses, including Aerus Businesses, under the same or other names and trademarks, potentially offering similar products and services within any part of the Area of Responsibility, except as limited by the rights granted to the franchisee.
This means that while Aerus agrees not to authorize another franchisee within the Protected Area, they (or their affiliates) could still operate a competing business under a different brand or name. The franchisee's protected area is defined in Schedule 1 of the franchise agreement, which is an important document to review carefully. A prospective franchisee should seek clarification from Aerus regarding any potential competition from other businesses owned or operated by Aerus or its affiliates within or near their Area of Responsibility to fully understand the scope of their protected area and potential competitive pressures.