After the Aira Fitness franchise is terminated or expires, what geographic areas are covered by the non-competition covenant?

According to the 2025 Aira Fitness Franchise Disclosure Document, the geographic scope of the non-competition covenant after termination is not explicitly detailed in the provided addenda. However, the addendum for North Dakota states that "Covenants not to compete such as those mentioned above are generally unenforceable in the State of North Dakota." This suggests that while a non-compete agreement may exist, its enforceability is questionable within North Dakota.

For prospective Aira Fitness franchisees, this means that the standard non-compete clauses might not be applicable in North Dakota. The enforceability of such clauses can vary significantly by state, so franchisees should be aware of the specific regulations in their area. This could provide more flexibility for franchisees in North Dakota after the termination or expiration of their franchise agreement, as they may face fewer restrictions on starting a competing business.

It is important for potential franchisees to seek legal counsel to fully understand the implications of non-compete agreements in their specific state or territory. The FDD addenda highlight that certain state laws can supersede the standard franchise agreement, and franchisees should be well-informed about their rights and obligations in these cases. For states other than North Dakota, the FDD excerpts do not provide specific modifications to the non-compete covenant's geographic scope, so the standard agreement would likely apply. Franchisees should carefully review the full franchise agreement and any applicable state laws to determine the exact restrictions they would face.