Are there any existing agreements that significantly limit Aerus's rights to use or license patents or copyrights in a way that is material to Aerus franchisees?

According to Aerus's 2025 Franchise Disclosure Document, there are no agreements currently in effect that significantly limit Aerus's rights to use or license the use of patents or copyrights in any manner material to its franchisees. This means that Aerus is not currently bound by any existing agreements that would prevent them from utilizing or licensing their patents or copyrights in a way that would negatively impact a franchisee's business operations. This provides assurance to potential franchisees that Aerus has the freedom to operate and grant rights related to its intellectual property without significant external constraints.

This statement is important for prospective franchisees because it addresses a potential risk factor. If Aerus were subject to agreements that limited their rights, it could impact the franchisee's ability to fully utilize the Aerus system, technology, or brand elements. For example, if Aerus was restricted from using certain marketing materials due to a copyright agreement, it could hinder the franchisee's marketing efforts.

The FDD also states that Aerus does not own any registered patents that are material to the franchise, but claims copyrights on the Manuals and all materials used in the System. Aerus also requires franchisees to notify them immediately of any apparent infringement or challenge to the use of any patents, copyrighted material, or proprietary information. Aerus retains the right to take action they deem appropriate, including controlling any settlement, litigation, or proceeding. Franchisees must also assist Aerus in protecting their interests in any litigation or other proceeding related to patents, trademarks, or proprietary information.

Overall, this section of the FDD aims to clarify Aerus's position regarding intellectual property and to assure potential franchisees that there are no known existing limitations that would materially affect their franchise operations. However, it is important to note that the absence of current limitations does not guarantee that such limitations will not arise in the future. It is advisable for prospective franchisees to seek legal counsel to fully understand the implications of these statements and the potential risks associated with intellectual property rights.