What rights does the Aira Fitness guarantor waive under the equipment lease guaranty?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
: (i) RECEIPT OF THE PURCHASED EQUIPMENT, (ii) THAT FRANCHISEE HAS HAD THE OPPORTUNITY TO INSPECT THE CONDITION OF THE PURCHASED EQUIPMENT, AND (iii) FRANCHISEE ACCEPTS THE CONDITION OF THE EQUIPMENT AS DELIVERED ON:
| Date: | |--------------| | Franchisee: | | By: | | (Print Name) |
EXHIBIT 1 TO PURCHASE AGREEMENT
Pod Specifications
EXHIBIT I POD PACKAGE LEASE
POD LEASE AGREEMENT
| THIS LEASE Premises"). | AGREEMENT (the "Agreement") is made on the day of, 20, (the "Effective Date") by and between Pure Gym Equipment LLC, an Illinois limited liability company ("Franchisor's Affiliate") and, a, (hereinafter called "You" or "Franchisee") for the lease of Pod (as hereinafter defined) Aira Fitness franchise business located at ("Business | for Franchisee's |
|---|---|---|
| WITNESSETH | ||
| Affiliate | WHEREAS, Franchisee is in the business of leasing and selling fitness equipment buildings ("Pods") to Aira Fitness franchisees; WHEREAS, Franchisee is leasing from Franchisor's Affiliate and Franchisor's Affiliate is leasing to Franchisee a Pod on the terms described in this Agreement. NOW THEREFORE, intending to be legally bound, the parties agree as follows: Basic Lease Terms. |
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
Based on the 2025 Aira Fitness Franchise Disclosure Document, a guarantor is required to execute and deliver a Guaranty in the form attached as Schedule 2, guaranteeing the franchisee's full performance under the equipment lease agreement. This guaranty is a condition of the affiliate franchisor's obligations under the lease agreement.
In simpler terms, Aira Fitness requires that a guarantor (often the franchisee themselves or a close associate) promises to cover all the franchisee's responsibilities outlined in the equipment lease. This guarantee is essential for Aira Fitness's affiliate to proceed with the lease agreement, ensuring that someone is ultimately responsible for the financial obligations.
Prospective Aira Fitness franchisees should carefully review Schedule 2 of the lease agreement to fully understand the scope of the guaranty and the specific obligations the guarantor will be responsible for. It is important to understand the potential financial risks and liabilities associated with providing such a guarantee, and consulting with a legal and financial advisor is recommended.