Does the Aira Fitness agreement allow for cumulative remedies?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
e harmless and respecting any and all claims arising out of our operation of the Business under this Paragraph 14.D.. Nothing herein shall require us to operate the Business when you are in default.
- E. Other Remedies. In addition to and without limiting our rights and remedies under this Agreement, any other agreement and applicable law, upon any events upon which we may terminate this Agreement under this Article 14, we may, at our sole option and upon delivery of written notice to you, elect to take any or all of the following actions without terminating this Agreement:
- (1) temporarily or permanently reduce the size of the Designated Area, in which even the restrictions upon Paragraph 2.C. will not apply in the geographic area that was removed from the Designated Area;
- (2) suspend online enrollment;
- (3) suspend our facilitation of the member billing process;
- (2) refuse to provide any operation support that this Agreement required or we have elected to provide or suspend any other services that we or our affiliates provide to you under this Agreement or any other agreement; and/or
- (3) remove your Aira Fitness Business from any website we manage.
- F. Liquidated Damages.
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
According to Aira Fitness's 2025 Franchise Disclosure Document, the franchise agreement provides for cumulative remedies, meaning Aira Fitness can pursue multiple remedies for a franchisee's default without being limited to a single course of action. Specifically, in addition to Aira Fitness's rights to terminate the agreement, other agreements, and applicable law, Aira Fitness can elect to take actions without terminating the agreement.
These actions include temporarily or permanently reducing the size of the designated area, suspending online enrollment, suspending facilitation of the member billing process, and refusing to provide operational support. This allows Aira Fitness flexibility in addressing a franchisee's non-compliance, potentially allowing them to rectify the situation without resorting to immediate termination.
This approach is fairly common in franchising, as it gives the franchisor options beyond simply terminating the agreement, which can be a drastic step. It allows Aira Fitness to take corrective actions while still allowing the franchisee to potentially continue operating the business. However, it's important for a prospective franchisee to understand the conditions under which these remedies can be applied and their potential impact on the franchisee's business operations.