Can Aira Fitness cancel the Membership Contract assignment agreement, and if so, under what conditions?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding the foregoing, Aira Fitness may, in its sole discretion and at any time prior to effectiveness of the assignment, declare this Agreement and the assignment contemplated
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
According to Aira Fitness's 2025 Franchise Disclosure Document, Aira Fitness has the right to cancel the Membership Contract Assignment Agreement. Specifically, Aira Fitness may declare the agreement "null and void." This action can be taken at Aira Fitness's "sole discretion" and at any time before the assignment becomes effective.
This clause in the Membership Contract Assignment Agreement provides Aira Fitness with a significant degree of control over the membership contracts in the event of the franchise agreement's expiration or termination. It allows Aira Fitness to back out of the agreement at any point before it takes effect, for any reason they deem appropriate.
For a prospective franchisee, this means that while they are required to execute the Membership Contract Assignment Agreement, Aira Fitness is not obligated to honor it. Aira Fitness could choose not to proceed with the assignment, potentially leaving the franchisee with the responsibility for the membership contracts and any associated liabilities upon termination or expiration of the franchise agreement. It would be prudent for a potential franchisee to seek clarification from Aira Fitness regarding the circumstances under which they would choose to cancel this agreement and what the franchisee's responsibilities would be in such a scenario.