What state's laws govern claims arising out of or relating to the Aira Fitness agreement?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
Section 1051 et. seq.), and except that all issues relating to arbitrability or the enforcement or interpretation of the agreement to arbitrate set forth in this Section shall be governed by the United States Arbitration Act (9 U.S.C. Section 1 et seq) and the federal common law relating to arbitration, this Agreement and the franchise shall be governed by the internal laws of the State of Illinois (without reference to its choice of law and conflict of law rules), except that the provisions of any franchise law of such state shall not apply unless the jurisdictional requirements ofsaid law have been met independently of this provision.
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
According to the 2025 Aira Fitness Franchise Disclosure Document, the franchise agreement and the franchise itself are governed by the internal laws of the State of Illinois. This is without regard to Illinois's rules about choice of law or conflicts of law. However, any franchise law of Illinois will not apply unless the jurisdictional requirements of that law have been met independently of this provision.
This means that if a dispute arises concerning the Aira Fitness franchise agreement, Illinois law will generally be used to interpret the agreement and resolve the dispute. This is a common practice in franchising, as it provides a consistent legal framework for the agreement, regardless of where the franchisee is located.
However, the FDD also specifies that issues relating to arbitrability or the enforcement or interpretation of the agreement to arbitrate will be governed by the United States Arbitration Act and the federal common law relating to arbitration. This indicates that while Illinois law applies generally, federal law takes precedence in matters of arbitration. A prospective franchisee should be aware of this dual governance and understand how both state and federal laws may impact dispute resolution.