Is the franchisee considered an agent, legal representative, affiliate, joint venturer, partner, employee, joint employer, or servant of Aerus?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
This Agreement does not create a fiduciary relationship between the parties.
Franchisee is, and will at all times be, an independent contractor, and nothing in this Agreement is intended to constitute either party an agent, legal representative, Affiliate, joint venturer, partner, employee, joint employer or servant of the other for any purpose.
Company is not, and nothing in this Agreement or the Manuals is intended to make, Company the employer or joint- employer of Franchisee's employees.
Source: Item 23 — Receipts (FDD pages 74–305)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, the agreement explicitly states that the franchisee operates as an independent contractor. This means the franchisee has autonomy in running their business and is not considered an agent, legal representative, affiliate, joint venturer, partner, employee, joint employer, or servant of Aerus for any purpose. Aerus is also not considered the employer or joint-employer of the franchisee's employees. This distinction is crucial as it defines the legal and financial responsibilities of both parties.
As an independent contractor, the Aerus franchisee is responsible for their own business decisions, including hiring, firing, discipline, compensation, benefits, and scheduling of their employees. This independence allows the franchisee to manage their business according to their own strategies and in response to local market conditions. However, Aerus may set minimum staffing requirements and hours of operation for approved locations in the manuals, which the franchisee must adhere to.
This independent contractor status has several implications for a prospective Aerus franchisee. It means the franchisee is responsible for their own business's liabilities, taxes, and insurance. While Aerus provides a franchise system and brand recognition, the franchisee bears the risk and reward of their business's performance. This arrangement is typical in franchising, where franchisees invest in and operate their own businesses under a franchisor's brand and system.