What constitutes a default under the Aira Fitness agreement if the developer fails to comply with any other term and condition of this Agreement?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
- 7.3 If you (i) fail to meet any of the deadlines set forth in the Development Schedule; (ii) fail to comply with any other term and condition of this Agreement; (iii) make or attempt to make a transfer, sale or assignment of this Agreement in violation of this Agreement; or (iv) you or other entity owned by the Owners are in default under any individual Franchise Agreement with us, or of any other agreement to which we are parties; any such event shall constitute a default under this Agreement.
Upon any such default, we, in our sole discretion, may do any one or more of the following:
(a) Terminate this Agreement and all rights granted hereunder to you without affording you any opportunity to cure the default effective immediately upon delivery to you of a written notice from us;
(b) Reduce the number of Aira Fitness Centers which you have the right to establish and open pursuant to this Agreement; or
(c) Exercise any other rights and remedies which we may have under applicable law.
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
According to the 2025 Aira Fitness Franchise Disclosure Document, failing to comply with any term or condition of the Development Agreement constitutes a default. Specifically, if a developer fails to meet deadlines in the Development Schedule, attempts to transfer, sell, or assign the agreement against its terms, or defaults on any individual Franchise Agreement or other agreement with Aira Fitness, it is considered a default.
Upon such a default, Aira Fitness has the discretion to take several actions. These include terminating the agreement immediately with written notice, reducing the number of Aira Fitness Centers the developer is authorized to establish, or exercising any other legal rights and remedies available to them.
This clause is significant for potential Aira Fitness developers as it highlights the importance of adhering to all aspects of the Development Agreement. Non-compliance can lead to serious repercussions, including termination of the agreement and loss of development rights. Developers should carefully review and understand all terms and conditions to avoid potential defaults and ensure a successful partnership with Aira Fitness.