Is any remedy referred to in this paragraph intended to be exclusive for Aira Fitness?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
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. will not apply in the geographic area that was removed from the Designated Area;
(2) suspend online enrollment;
(3) suspend our facilitation of the member billing process;
(2) refuse to provide any operation support that this Agreement required or we have elected to provide or suspend any other services that we or our affiliates provide to you under this Agreement or any other agreement; and/or
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
According to the 2025 Aira Fitness Franchise Disclosure Document, the franchisor has several remedies available in the event of a franchisee default, but none are explicitly stated to be exclusive. Specifically, Item 23 outlines Aira Fitness's rights to operate the business upon default, in addition to and without limiting their rights to terminate the agreement or pursue other legal remedies.
Aira Fitness can choose to enter the premises and take control of the Aira Fitness business if a franchisee fails to cure a default within 14 days of written notice. During this period, Aira Fitness may designate an agent or representative to manage the business, for which the franchisee must pay a fee not exceeding 15% of gross sales, plus all travel, room, board, and other incurred expenses. The franchisee is also responsible for indemnifying Aira Fitness and its representatives against any claims arising from their operation of the business during the default period.
Furthermore, Aira Fitness has the option to take actions such as reducing the designated area, suspending online enrollment or support, or refusing to provide operational support, without terminating the agreement. These remedies provide Aira Fitness with flexibility in addressing franchisee defaults while protecting the Aira Fitness brand and system standards. Prospective franchisees should note that these remedies are in addition to any other rights and remedies Aira Fitness may have under the agreement or applicable law, and are not intended to be the sole course of action.