Does the Aira Fitness Disclosure Document include a sample Fitness Equipment Lease for Aira Fitness?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
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Notes:
(1) You must purchase or lease the Initial Fitness Equipment Package fromus. You can pay the purchase price for the initial fitness equipment in full or we will lease you the initial fitness equipment. You will sign the standard formInitialFitnessEquipmentPurchase Agreement alongwith the PersonalGuaranty that is attached to this Disclosure Document as Exhibit F or you will sign the standard form Fitness Equipment Lease along with the Personal Guaranty that is attached to this Disclosure Document as Exhibit G. We do not require any partieswho do not have ownership interest in the franchise to sign the Personal Guaranty. Under the Fitness Equipment Lease, you waive (i) rights and remedies under Sections 2A-508 through 12A-522 of the Uniform Commercial Code (UCC); (ii) rights to require our affiliate to mitigate damages; and (iii) the right to trial by jury. Additionally, under the Fitness Equipment Lease, the statute of limitations for breach of warranty is limited to 1 year.
(2) At the end of the first 3-year term, the Fitness Equipment Lease will continue on a month-to-month basis unless you request or we require that certain pieces of equipment be replaced because said
equipment no longer meetssystem standards. Additionally, at the end of the 3-year term, you will have the option to purchasethe fitnessequipmentin the InitialFitnessEquipmentPackage for 50%ofMSRP.
Source: Item 22 — **CONTRACTS (FDD page 59)
What This Means (2025 FDD)
According to the 2025 Aira Fitness Franchise Disclosure Document, a standard form Fitness Equipment Lease is included as Exhibit G. This lease is relevant if a franchisee chooses to lease the Initial Fitness Equipment Package from Aira Fitness instead of purchasing it outright. The FDD also states that if a franchisee chooses to lease the equipment, they will also sign a Personal Guaranty, which is attached to the Disclosure Document along with the Fitness Equipment Lease.
The Fitness Equipment Lease includes specific conditions that a prospective Aira Fitness franchisee should carefully consider. These conditions include waiving certain rights and remedies under the Uniform Commercial Code (UCC), such as Sections 2A-508 through 12A-522. Franchisees also waive the right to require Aira Fitness's affiliate to mitigate damages and the right to a jury trial. Additionally, the statute of limitations for breach of warranty is limited to one year under the Fitness Equipment Lease.
At the end of the initial three-year term, the Fitness Equipment Lease automatically continues on a month-to-month basis unless the franchisee requests or Aira Fitness requires replacement of equipment that no longer meets system standards. The franchisee also has the option to purchase the fitness equipment in the Initial Fitness Equipment Package for 50% of the Manufacturer's Suggested Retail Price (MSRP) at the end of the three-year term. The monthly lease payment is equal to 1.5% of the MSRP for the Initial Fitness Equipment Package.