Does Aerus retain rights to businesses and systems not expressly granted to the franchisee?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
The right granted under this Agreement is only for the operation of the Franchised Business in accordance with this Agreement.
Franchisee is granted no rights of any kind in and to any other business or system that may now or hereafter be owned, operated or licensed by Company or any of its Affiliates.
Company and Company's Affiliates retain all rights not expressly granted herein.
Company reserves the right to provide new products and services under the System, and to require or permit new products and services to be provided, marketed, promoted, distributed or sold hereunder by Franchisee through the Franchised Business, and may, in connection therewith, without limitation (1) require Franchisee to execute an additional or supplemental agreement and (2) require the payment of a royalty.
Source: Item 23 — Receipts (FDD pages 74–305)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, Aerus and its affiliates retain all rights to businesses and systems not expressly granted to the franchisee. The franchise agreement grants the franchisee the right to operate a specific Aerus franchised business, but it does not grant any rights to other businesses or systems owned, operated, or licensed by Aerus or its affiliates.
This means that Aerus can operate other businesses, even those that are similar to the franchised business, under different names and trademarks. They can also grant licenses or franchises to third parties to do the same, even within the franchisee's Area of Responsibility, except as specifically limited by the rights granted to the franchisee in their franchise agreement.
Aerus also reserves the right to introduce new products and services under the Aerus system and may require franchisees to offer these new products and services, potentially requiring them to sign additional agreements and pay royalties. This clause ensures that Aerus maintains control over the brand and system, while franchisees are limited to the specific rights outlined in their franchise agreement.