Can Aira Fitness establish businesses that are franchised, licensed, or owned by the Franchisor or any affiliate at any location the Franchisor deems appropriate?

According to Aira Fitness's 2025 Franchise Disclosure Document, Aira Fitness retains the right to establish businesses that are franchised, licensed, or owned by the Franchisor or any affiliate at any locations the Franchisor deems appropriate. Specifically, Aira Fitness also retains the right to distribute products or services similar to those offered under the Aira Fitness System under different trade names, trademarks, service marks, trade dress, or other commercial symbols other than the Marks.

This means that while a franchisee may have certain area protections, Aira Fitness can still operate or franchise similar businesses under different brands, potentially creating competition for franchisees. This also extends to alternative distribution channels, such as supermarkets, wholesale, catalogs, direct marketing, and the Internet, allowing Aira Fitness to market and sell products and services through these channels without compensating the franchisee.

This clause is important for potential franchisees to consider, as it clarifies that Aira Fitness reserves significant rights regarding the expansion and distribution of its services and products, which could impact a franchisee's market share and revenue. Franchisees should carefully evaluate the potential for competition from both Aira Fitness itself and other franchisees when assessing the viability of their investment.