If I default on the Aira Fitness franchise agreement, how long do I have to cure the default after receiving written notice?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
ement for six (6) consecutive months, or *(xv)*any default by you that is the second same or similar default within any 12 month consecutive period or the third default of any type within any 24-month consecutive period.
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- Immediate Termination After No More than 24 Hours to Cure. In the event that a default under this Agreement occurs that materially impairs the goodwill associated with any of the Marks, violates any health, safety or sanitation law or regulation, or if the operation of the Aira Fitness Business presents a health or safety hazard to your members or to the public: (i) you will have no more than 24 hours after we provide written notice of the default to cure the default; and (ii) this Agreement will terminate effective immediately on our issuance of written notice of termination.
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- Effect of Other Laws. The provisions of any valid, applicable law or regulation prescribing permissible grounds, cure rights or minimum periods of notice for termination of this franchise supersede any provision of this Agreement that is less favorable to you.
B. Cross Default. Where there is more than one agreement in existence between you and us (including agreements guaranteed by the Owners), you agree that we have the right to treat a material breach or default of any one agreement between the parties as a material breach or default of all or any of the other agreements between the parties, and any such material breach or default of any one agreement shall be treated, in respect of any of the other agreements, as a material breach or default of each such agreement in accordance with its own terms.
C. Termination by You. You may terminate this Agreement as a result of a breach by us of a material provision of this Agreement provided that: (i) you provide us with written notice of the breach that identifies the grounds for the breach; and (ii) we fail to cure the breach within a reasonable time, which will in no event be less than ninety (90) days after our receipt of the written notice. If we fail to cure the breach, the termination will be effective sixty (60) days after our receipt of your written notice of breach. Your termination of this Agreement under this Section will not release or modify your post-term obligations under Section 11.D and Section 15 of this Agreement.
D. Right to Operate Upon Default. In addition to our right to terminate this Agreement and not in lieu of such right or any other rights, in the event that you have not cured a default under this Agreement within fourteen (14) days after receipt of a written notice of default, we may, at our option, enter upon the premises and exercise complete authority with respect to the operation of the Aira Fitness Business until such time as we determine that the default has been cured and that there is compliance with the requirements of this Agreement. You acknowledge and agree that our agent or other representative we designate may take over, control and operate the Business, that you shall pay us a fee for such management service, not to exceed fifteen percent (15%) of Gross Sales plus all travel expenses, room and board and other expenses actually incurred by such agent or representative so long as it shall be required to enforce compliance with this Agreement. You further acknowledge that if we temporarily operate the Business on your behalf under this Paragraph 14.D., you will indemnify us and hold us and our agent or representative harmless and respecting any and all claims arising out of our operation of the Business under this Paragraph 14.D.. Nothing herein shall require us to operate the Business when you are in default.
E. Other Remedies. In addition to and without limiting our rights and remedies under this Agreement, any other agreement and applicable law, upon any events upon which we may terminate this Agreement under this Article 14, we may, at our sole option and upon delivery of written notice to you, elect to take any or all of the following actions without terminating this Agreement:
- (1) temporarily or permanently reduce the size of the Designated Area, in which even the restrictions upon Paragraph 2.C.
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
According to the 2025 Aira Fitness Franchise Disclosure Document, the cure period for a default varies depending on the nature of the default. In some instances, a franchisee may have the opportunity to cure the default, while in other cases, termination can be immediate without any opportunity to cure.
For defaults that materially impair the goodwill associated with Aira Fitness's marks, violate health, safety, or sanitation laws, or present a health or safety hazard, the franchisee has no more than 24 hours after written notice to cure the default. In contrast, if a franchisee fails to cure a default under the Franchise Agreement, Aira Fitness has the option to enter the premises and operate the business until the default is resolved, which occurs after a 14-day written notice of default.
Certain defaults, such as failing to identify an acceptable site, misrepresentations in the franchise application, abandonment of the agreement, loss of lease, unauthorized use of confidential information, bankruptcy, conviction of a felony, underreporting sales, unauthorized transfer, failure to use the approved payment processor, or failing to meet minimum membership or gross sales requirements, result in immediate termination without any opportunity to cure. Additionally, a second similar default within 12 months or a third default of any type within 24 months also leads to immediate termination. A franchisee should carefully review the franchise agreement with legal counsel to fully understand their obligations and the potential consequences of any default.