What is the effect of renewing the Franchise Agreement on the Guarantor's liability to Aira Fitness?

According to Aira Fitness's 2025 Franchise Disclosure Document, if a franchisee decides to renew their franchise agreement, the guarantor's obligations are addressed in the renewal terms. To renew the Aira Fitness franchise, the franchisee and their owners and guarantors must execute a general release in a form prescribed by Aira Fitness, which favors Aira Fitness, its affiliates, and their respective present and former officers, directors, managers, and employees. This release, however, must not be inconsistent with any state law regulating franchising.

In simpler terms, when renewing the franchise agreement, the guarantor is required to sign a release, which means they are giving up certain rights to make claims against Aira Fitness. This is a standard practice in franchising to ensure that Aira Fitness is protected from potential future liabilities related to the franchisee's operations. The guarantor needs to be aware that they will be bound by the terms of the renewed agreement and any new obligations it may contain.

This requirement protects Aira Fitness from potential legal issues arising from the previous term of the franchise agreement. However, the guarantor should carefully review the release and understand its implications before signing, as it could affect their rights and obligations. It is advisable for the guarantor to seek legal counsel to fully understand the terms of the release and how it impacts their liability to Aira Fitness.