Can the Franchisor's Affiliate cancel the Lease for an Aira Fitness franchise upon written notice after an Event of Default?

[Item 23: **RECEIPTS]

4. Default and Notice.

• (a) In the event there is a default or violation by Tenant under the terms of the Lease, Landlord agrees to give Tenant and Aira Fitness written notice of such default or violation within a reasonable time after Landlord knows of its occurrence. Landlord agrees to provide Aira Fitness the written notice of default as written and on the same day Landlord gives it to Tenant. Although Aira Fitness is under no obligation to cure the default, Aira Fitness will notify Landlord it intends to cure the default and unilaterally assume Tenant's interest in the lease as provided in Paragraph 3(c). Aira Fitness will have an additional fifteen (15) days from the expiration of Tenant's cure period in which to cure the default or violation.
• (b) All notices to Aira Fitness must be sent by registered or certified mail, postage prepaid, to the following address:

Aira Fitness Franchising LLC. 600 Route 59 Ingleside, Illinois 60041 (815) 529-7260

Aira Fitness may change its address for receiving notices by giving Landlord written notice of the new address. Landlord agrees to notify both Tenant and Aira Fitness of any change in Landlord's mailing address to which notices should be sent.

(c) Upon Tenant's default and failure to cure a default under either the Lease or the Franchise Agreement, Aira Fitness has the right (but not the obligation) to unilaterally assume Tenant's interest in the Lease in accordance with Paragraph 2.

4. Termination or Expiration.

[Item 23: **RECEIPTS]

4. Termination or Expiration.

• (a) Upon the expiration or termination of the Franchise Agreement, Aira Fitness has the right (but not the obligation) to unilaterally assume Tenant's interest in the Lease in accordance with Paragraph 2.
• (b) Upon the expiration or termination of the Lease, if Aira Fitness does not assume Tenant's interest in the Lease, Landlord agrees to cooperate and allow Aira Fitness to enter the Premises, without cost and without being guilty of trespass and without incurring any liability to Landlord, to remove all signs and all other items identifying the Premises as an Aira Fitness Business and to make such other modifications as are reasonably necessary to protect the marks and system, and to distinguish the Premises from Aira Fitness Businesses. In the event Aira Fitness exercises its option to purchase assets of Tenant, Landlord agrees to permit Aira Fitness to remove all such assets being purchased by Aira Fitness.

Source: Item 23 — **RECEIPTS (FDD pages 59–254)