factual

What rights does Aerus have under agreements between the franchisee and any Outlet Licensees?

Aerus Franchise · 2025 FDD

Answer from 2025 FDD Document

Under the Standard Program, and only upon our prior written consent, you may be permitted to engage Outlet Licensee to establish, on a non-exclusive basis, Licensed Outlets within those parts of your Area of Responsibility that do not include any part of another franchisee's Protected Area The forms (and terms) used to engage Outlet Licensees must be acceptable to us and may not grant greater rights and must include at least the same restrictions and limitations as the Franchise Agreement. Licensed Outlets must be subject to all provisions of the Franchise Agreement and the Manuals concerning Approved Locations, except that (i) repair, maintenance and warranty service may be provided by or at an affiliated Approved Location rather than on-site and, (ii) provided that, so long as we receive prompt notice of the establishment and location of a Licensed Outlet, we will not require prior approval of the site or lease for any Licensed Outlet. Outlet Licensees will be solely and exclusively the responsibility of you for all purposes, including without limitation, all training and support. We will have no legal obligation whatsoever to or for the benefit of any Outlet Licensees; however, we will be a beneficiary of any of your rights under all agreements existing between you and any Outlet Licensees and may enforce such rights.

Franchisees under the Associate Program are not permitted to open additional locations, Satellites or Licensed Outlets. References and descriptions of Outlet Licensees and Licensed Outlets in this Disclosure Document are not applicable to the Associate Program.

Source: Item 12 — Territory (FDD pages 43–47)

What This Means (2025 FDD)

According to Aerus's 2025 Franchise Disclosure Document, franchisees under the Standard Program may, with Aerus's prior written consent, engage Outlet Licensees to establish Licensed Outlets within their Area of Responsibility, excluding any part of another franchisee's Protected Area. The agreements used to engage Outlet Licensees must be acceptable to Aerus, not grant greater rights than the Franchise Agreement, and include at least the same restrictions and limitations.

Aerus will have no legal obligation to Outlet Licensees, but Aerus will be a beneficiary of the franchisee's rights under all agreements between the franchisee and its Outlet Licensees. This means Aerus can enforce the franchisee's rights against the Outlet Licensees. The Outlet Licensees are the sole responsibility of the franchisee for all purposes, including training and support.

Licensed Outlets must adhere to all provisions of the Franchise Agreement and the Manuals concerning Approved Locations. However, repair, maintenance, and warranty service may be provided by or at an affiliated Approved Location rather than on-site. Additionally, Aerus does not require prior approval of the site or lease for any Licensed Outlet, provided they receive prompt notice of the establishment and location of the Licensed Outlet. Franchisees under the Associate Program are not permitted to open additional locations, Satellites, or Licensed Outlets.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.