For Aira Fitness franchises in North Dakota, is the execution of a general release upon renewal, assignment, or termination applicable?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
This Addendum is to a Franchise Agreement dated by and between Aira Fitness Franchising, LLC and (Franchisee) to amend said Agreement as follows:
- Section 4.B. of the Franchise Agreement on "Renewal Term and Conditions of Renewal" and Section 12.C. of the Franchise Agreement on "Conditions of Transfer" are amended by the addition of the following language to the original language that appears therein:
"The execution of a general release upon renewal, assignment or termination shall be inapplicable to franchises operating under the North Dakota Franchise Investment Law."
Source: Item 17 — **RENEWAL, TERMINATION,TRANSFER AND DISPUTE RESOLUTION THE FRANCHISE RELATIONSHIP (FDD pages 48–54)
What This Means (2025 FDD)
According to Aira Fitness's 2025 Franchise Disclosure Document, a specific addendum addresses the applicability of general releases for franchises operating in North Dakota. This addendum modifies certain sections of the standard franchise agreement to align with North Dakota's Franchise Investment Law.
Specifically, the addendum states that the execution of a general release upon renewal, assignment, or termination is inapplicable to Aira Fitness franchises operating under the North Dakota Franchise Investment Law. This means that franchisees in North Dakota are not required to sign a general release to renew their franchise agreement, transfer it, or upon termination of the agreement. This provides additional protection to the franchisee, preventing them from inadvertently waiving rights or claims they may have against Aira Fitness.
This modification is important for prospective Aira Fitness franchisees in North Dakota as it ensures that their rights are protected under state law. It also reflects Aira Fitness's willingness to adapt its standard franchise agreement to comply with local regulations, which can be a positive sign for franchisees. Franchisees should consult with a legal professional to fully understand their rights and obligations under the franchise agreement and the North Dakota Franchise Investment Law.