factual

Can a Basecamp Fitness customer claim a counterclaim against rent payments for any reason?

Basecamp_Fitness Franchise · 2025 FDD

Answer from 2025 FDD Document

NON-CANCELABLE LEASE: CUSTOMER'S OBLIGATION TO MAKE PAYMENTS, TO PAY OTHER SUMS WHEN DUE AND TO OTHERWISE PERFORM AS REQUIRED UNDER THE AGREEMENT IS ABSOLUTE AND UNCONDITIONAL AND SHALL NOT BE SUBJECT TO ANY ABATEMENT, REDUCTION, SETOFF, DEFENSE, OR COUNTERCLAIM WHICH CUSTOMER MAY HAVE AGAINST ANY PERSON FOR ANY REASON WHATSOEVER OR ANY MALFUNCTION, DEFECT OR INABILITY TO USE ANY ITEM OF EQUIPMENT.

Source: Item 23 — RECEIPTS (FDD pages 62–248)

What This Means (2025 FDD)

According to Basecamp Fitness's 2025 Franchise Disclosure Document, a customer's obligation to make payments is absolute and unconditional. The customer cannot subject payments to any abatement, reduction, setoff, defense, or counterclaim for any reason. This applies regardless of any malfunction, defect, or inability to use any item of equipment.

This clause strongly favors the Owner (likely the equipment lessor) by ensuring consistent payment regardless of issues the customer might face with the equipment. This is a significant point for a prospective Basecamp Fitness franchisee because it means they are still obligated to make payments even if equipment is faulty or unusable.

Such clauses are not uncommon in equipment leasing agreements, as lessors want to ensure a predictable income stream. However, franchisees should be aware of this strict obligation and carefully inspect and maintain equipment to minimize potential issues. It would be prudent for a potential Basecamp Fitness franchisee to seek legal counsel to fully understand the implications of this clause and explore options for equipment maintenance and insurance to mitigate risks associated with equipment failure.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.