What are the Aira Fitness franchisee's obligations regarding the purchase of Pods in Item 8, and how does this relate to the franchisor's assistance with operations in Item 11?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
| ay of, | |
|---|---|
| 20, (the "Effective Date") by and between Pure Gym Equipment, LLC, an Illinois limited liability | |
| company | a |
| ("Franchisor's | |
| Affiliate") | |
| and | |
| , | |
| , (hereinafter called "You" or "Franchisee") for the purchase of the Pod | |
| Package for | |
| Franchisee's Aira Fitness franchise business | |
| located at | |
| ("Business Premises"). |
1. EQUIPMENT TO BE PURCHASED.
Franchisee is purchasing from Franchisor's Affiliate and Franchisor's Affiliate is selling to Franchisee the pre-fabricated modular building ("Pod"), the specifications of which are listed on Exhibit 1 to this Agreement ("Equipment") for a purchase price of Forty Thousand Dollars ($40,000.00) ("Equipment Purchase Price") on the terms described in this Agreement. Franchisee must arrange for and is responsible for payment for delivery of the Equipment to Franchisee's Business Premises.
- PAYMENT TERMS. Franchisee shall pay the Equipment Purchase Price in cash, due upon signing this Agreement. The Equipment Purchase Price is not refundable.
3. TERMS OF SALE
Condition of Equipment: The Equipment is accepted by Franchisee "AS IS."
No Warranties: FRANCHISOR'S AFFILIATE MAKES NO WARRANTIES TO THE FULLEST EXTENT PERMITTED BY LAW, EITHER EXPRESS OR IMPLIED, AND NO REPRESENTATION OR WARRANTY AS TO FITNESS, DESIGN, CONDITION OR QUALITY OF EQUIPMENT OR THE EQUIPMENT MATERIAL OR WORKMANSHIP.
Indemnification: Franchisor's Affiliate shall have no liability to Franchisee for, and Franchisee shall indemnify and hold Franchisor's Affiliate harmless in connection with, any third party claims involving or relating to the Equipment, its use and/or its performance and any costs, expenses, damages, and other liabilities of any kind or nature arising out of or relating to any such claims.
Taxes: Franchisee shall pay all personal property and sales and use taxes and
What This Means (2025 FDD)
According to the 2025 Aira Fitness Franchise Disclosure Document, franchisees are required to purchase a pre-fabricated modular building referred to as a "Pod" from Pure Gym Equipment LLC, which is the franchisor's affiliate. The purchase price for the Pod is $40,000, payable in cash upon signing the agreement, and is non-refundable. The franchisee is responsible for arranging and paying for the delivery of the Pod to their business premises. The Pod is accepted "AS IS," and the franchisor's affiliate provides no warranties regarding its fitness, design, condition, or quality. The franchisee is also responsible for all taxes associated with the equipment.
Regarding the franchisor's assistance, Item 11 outlines pre-opening obligations, including providing site selection criteria, approved supplier lists, the initial fitness equipment package, and a manual detailing operational procedures. However, the purchase of the Pod itself is separate from this assistance. The franchisee's obligation to purchase the Pod is a condition for operating an Aira Fitness Business, but the franchisor's assistance primarily focuses on guidance and support in setting up and running the business, rather than direct involvement in the Pod acquisition process beyond specifying it as a required purchase.
In the event that the franchisee does not meet their payment obligations for the Pod, they will be in default, and the franchisor's affiliate is entitled to pursue legal and equitable remedies, including the recovery of collection and enforcement costs and reasonable attorney's fees. This financial obligation is a critical aspect of the franchise agreement, separate from the operational assistance provided by Aira Fitness. Prospective franchisees should carefully consider the financial implications and responsibilities associated with purchasing the Pod, as it is a significant upfront investment with specific terms and conditions.