For Aira Fitness, what conditions must a trustee meet to take over the franchise?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
as the fall due.
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- Other Conditions. You must have complied with any other conditions that we reasonably require from time to time as part of our transfer policies.
- D. Death, Disability or Incapacity. If any individual who is an Owner dies or becomes disabled or incapacitated and the decedent's or disabled or incapacitated person's heir or successor-in-interest wishes to continue as an Owner, such person or entity must apply for our consent under Section 12.B, comply with the training requirements of Section 7.B, pay the transfer fee, if applicable, under Section 12.C, and satisfy the transfer conditions under Section 12.C, as in any other case of a proposed transfer, all within one hundred eighty (180) days of the death or event of disability or incapacity. During any transition period to an heir or successor-in-interest, the Aira Fitness Business still must be operated in accordance with the terms and conditions of this Agreement. If the transferee of the decedent or disabled or incapacitated person is the spouse or child of such person, the transfer conditions in Section 12.C will apply; provided no transfer fee will be payable to us and we will not have a right of first refusal as stated in Section 12.E.
Upon request by your executor, administrator, or personal representatives, we, in our sole discretion, may agree to enter upon the premises and exercise complete authority with respect to the operation of the Business until such time as your executor, administrator or personal representative transfers your interest in the Business as provided herein. You acknowledge and agree that our agent or other representative we designate may take over, control and operate the Business, that you shall pay Franchisor a fee for such management service of up to three percent (3%) of Gross Sales or Five Hundred Dollars ($500.00) per day, whichever is higher, plus all travel expenses, room and board and other expenses actually incurred by such agent or representative so long as we are
operating the Business. You further acknowledge that if we temporarily operate the Business on your behalf under this Paragraph 12.D., you will indemnify and hold us and our agent or representative harmless respecting any and all claims arising out of our operation of the Business under this Paragraph 12.D. Nothing herein shall require us to operate the Business upon the request of your executor, administrator or personal representative.
E. Right of First Refusal.
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
According to the 2025 Aira Fitness Franchise Disclosure Document, if an owner dies, becomes disabled, or incapacitated, their heir or successor can apply to continue as an owner. To do so, they must apply for consent under Section 12.B, meet the training requirements of Section 7.B, pay the transfer fee (if applicable) under Section 12.C, and satisfy the transfer conditions under Section 12.C, all within 180 days of the event. During the transition, the Aira Fitness business must still operate under the existing agreement terms.
If the heir is the spouse or child of the deceased, disabled, or incapacitated person, the transfer conditions in Section 12.C still apply. However, the heir won't have to pay a transfer fee, and Aira Fitness will not have the right of first refusal, which they would normally have under Section 12.E.
In general, Aira Fitness conditions its consent to any transfer on several factors. The transferee must meet Aira Fitness's current requirements for franchisees. All outstanding amounts owed to Aira Fitness, its affiliates, suppliers, or the landlord must be paid. The franchisee must have provided all required reports to Aira Fitness per Section 10 and complied with modernization provisions in Section 5.F. In the case of an installment sale where the seller retains a financial interest, the seller and guarantors must guarantee performance under the agreement until the sale is final. Finally, all parties involved must sign Aira Fitness's required transfer documents, including a general release of claims.