Can Aira Fitness's affiliate assign the lease without notifying the franchisee?

According to the 2025 Aira Fitness Franchise Disclosure Document, the tenant (franchisee) has the right to assign their interest in the lease to Aira Fitness or its successor, or either company's affiliates, at any time during the lease term, including extensions or renewals, without the landlord's consent. However, such assignment is not effective until Aira Fitness or its successor or designated affiliate provides the landlord with written notice of its acceptance of the assignment.

If Aira Fitness elects to assume the lease, the franchisee remains liable for responsibilities and obligations, including amounts owed to the landlord, prior to the assignment date. Aira Fitness then has the right to sublease the premises to another Aira Fitness franchisee without further landlord approval, provided the new franchisee agrees to operate the Aira Fitness Business under a franchise agreement with Aira Fitness. Aira Fitness assumes responsibility for lease obligations incurred after the assignment's effective date.

This arrangement benefits Aira Fitness by providing flexibility in managing locations and potentially mitigating losses from struggling franchises. However, the franchisee remains liable for any outstanding obligations before the assignment, which could pose a financial risk if the business is underperforming. Franchisees should ensure they understand their obligations and liabilities under the lease agreement and seek legal counsel if needed.