What are prospective Aerus franchisees encouraged to consult regarding venue restrictions in the franchise agreement?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
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").
Source: Item 23 — Receipts (FDD pages 74–305)
What This Means (2025 FDD)
According to the 2025 Aerus Franchise Disclosure Document, prospective franchisees are encouraged to consult Schedule 1 of the franchise agreement to understand venue restrictions. Schedule 1 outlines the Protected Area granted to the franchisee, within which Aerus will not establish or authorize other physical locations for Aerus businesses. This provision ensures a degree of territorial exclusivity for the franchisee.
However, this exclusivity is subject to certain limitations outlined in the franchise agreement. Aerus retains the right to operate or license other businesses, including Aerus businesses, under different names and trademarks, even within the franchisee's Area of Responsibility. These businesses may offer similar products and services, potentially creating competition within the same territory.
Additionally, the franchisee is restricted from selling products from any location other than an Approved Location or through authorized representatives. They are also prohibited from selling non-approved products or services from the Approved Location. These restrictions are designed to maintain brand consistency and control over the products and services offered under the Aerus name. Therefore, a careful review of Schedule 1 and the franchise agreement is crucial for understanding the scope and limitations of the Protected Area and other venue-related restrictions.