If Fly Fitness does not want the Telephone Listings, what must the Franchisee do?

Based on the 2024 Fly Fitness Franchise Disclosure Document, the franchisee has or will acquire rights to telephone numbers and listings related to the franchised business. Upon termination of the Franchise Agreement, or on periodic request of Fly Fitness, the franchisee must immediately transfer, assign, and convey to Fly Fitness all rights and interest in the Telephone Listings, without compensation. The franchisee must provide Fly Fitness with written evidence of the transfer. Additionally, the franchisee must authorize Fly Fitness to take any actions necessary to effectuate the transfer, including contacting telephone companies.

This means that during the franchise term, the franchisee controls the telephone listings but must relinquish them upon termination or at Fly Fitness's request. This transfer must be done without the franchisee receiving any payment for it. The franchisee is also obligated to provide proof that the transfer has occurred and allow Fly Fitness to take necessary actions to complete the transfer, such as contacting telephone companies directly.

For a prospective Fly Fitness franchisee, this highlights the importance of understanding that any investment made in establishing telephone listings for the business becomes the property of Fly Fitness under certain conditions. This could impact the franchisee's ability to maintain a customer base or brand recognition if they were to leave the Fly Fitness system and start a similar business independently.