Are Aira Fitness franchisees allowed to use Confidential Information in any other business or capacity during the term of the agreement?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
- 6.3 Non-disclosure Agreement. You agree that your relationship with us does not vest in you any interest in the Confidential Information other than the right to use it in the development of Aira Fitness Centers under this Agreement, and that the use or duplication of the Confidential Information in any other business would constitute an unfair method of competition, a breach of this Agreement and copyright infringement. You acknowledge and agree that the Confidential Information belongs to us and our affiliate, is proprietary information, and may contain trade secrets belonging to us and our affiliate and is disclosed to you or authorized for your use solely on the condition that you agree, and you therefore do agree herein, that you: (1) will not use the Confidential Information during and after the term of this Agreement in any other business or capacity; (2) will maintain the absolute confidentiality of the Confidential Information during and after the term of this Agreement; (3) will not make unauthorized copies of any portion of the Confidential Information disclosed in written form; and (4) will adopt and implement all reasonable procedures we may prescribe from time to time to prevent unauthorized use or disclosure of the Confidential Information, including restrictions on disclosure to your employees and the use of non-disclosure and/or non-competition agreements we may prescribe for your employees who have access to the Confidential
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
According to Aira Fitness's 2025 Franchise Disclosure Document, franchisees are explicitly prohibited from using Confidential Information in any business or capacity other than operating their Aira Fitness Business, both during and after the term of the Franchise Agreement. Confidential Information includes member information, prospective and former member details, and proprietary information found in the Manual or communicated through various channels. This restriction is designed to protect Aira Fitness's proprietary methods and maintain a competitive advantage.
The FDD emphasizes that the relationship between Aira Fitness and its franchisees grants franchisees the right to use Confidential Information solely for developing Aira Fitness Centers under the agreement. Using or duplicating this information in any other business is considered an unfair method of competition, a breach of the agreement, and copyright infringement. Franchisees must also maintain the absolute confidentiality of the information and prevent unauthorized copies.
To ensure compliance, Aira Fitness requires franchisees to implement reasonable procedures to prevent unauthorized use or disclosure of Confidential Information. This includes restricting disclosure to employees and using non-disclosure and/or non-competition agreements for employees with access to this information. This obligation extends beyond the agreement's term, highlighting the enduring importance of protecting Aira Fitness's Confidential Information.