What is the franchisee's obligation regarding Innovations related to the Aira Fitness business?

According to Aira Fitness's 2025 Franchise Disclosure Document, franchisees are required to disclose fully and promptly any ideas, plans, improvements, concepts, methods, and techniques related to the development, operation, marketing, advertising, or promotions of the Aira Fitness business. These are referred to as "Innovations" and include anything conceived or developed by the franchisee, any owner, or their employees during the term of the Franchise Agreement.

Aira Fitness and its affiliates have the right to use these Innovations and authorize other Aira Fitness businesses to use them without providing any compensation to the franchisee, owner, or employees who conceived or developed them. This means that any successful innovation created within a franchise location can be adopted system-wide without any financial benefit to the originating franchisee.

This requirement does not change the franchisee's obligation to comply with the Aira Fitness system and the operations manual. Franchisees must still adhere to the standards and procedures set forth by Aira Fitness, even if they develop new ideas or methods. This clause ensures that Aira Fitness can leverage the collective knowledge and creativity of its franchisees to improve the overall system, while maintaining uniformity and brand consistency. Franchisees should be aware that their innovative ideas become the property of the franchisor for the benefit of the entire Aira Fitness system.