Who supervises the Fly Fitness outlet(s) and development schedule immediately after the death or permanent disability of the developer?
Fly_Fitness Franchise · 2024 FDDAnswer from 2024 FDD Document
Immediately after the death or permanent disability of such person, or while the rights granted under this Agreement is owned by an executor, administrator, guardian, personal representative or trustee of that person, the Developer's Fly Fitness outlet(s) and remaining development schedule shall be supervised by an interim successor manager satisfactory to Franchisor, or Franchisor, in its sole discretion, may provide interim management at a fee equal to twenty percent (20%) of the Gross Revenue generated by the Developer's Fly Fitness outlet(s) during Franchisor's operation thereof, plus any and all costs of travel, lodging, meals and other expenses reasonably incurred by Franchisor, pending transfer of the Developer's Fly Fitness outlet(s) and remaining development schedule to the deceased or disabled individual's lawful heirs or successors.
Source: Item 23 — RECEIPT (FDD pages 45–182)
What This Means (2024 FDD)
According to Fly Fitness's 2024 Franchise Disclosure Document, in the event of the death or permanent disability of a developer, the Fly Fitness outlet(s) and the remaining development schedule will be supervised by an interim successor manager who is satisfactory to Fly Fitness. Alternatively, Fly Fitness, at its sole discretion, may provide interim management.
If Fly Fitness provides interim management, the brand will collect a fee equal to 20% of the gross revenue generated by the developer's Fly Fitness outlet(s) during the period of Fly Fitness's operation. This is in addition to all costs of travel, lodging, meals, and other expenses reasonably incurred by Fly Fitness. This arrangement is temporary, pending the transfer of the Fly Fitness outlet(s) and the remaining development schedule to the deceased or disabled individual's lawful heirs or successors.
This clause ensures business continuity and protects Fly Fitness's interests by maintaining operational oversight during a transition period. The heirs or successors are required to transfer the developer's interest in the agreement within six months to a third party approved by Fly Fitness. Failure to do so constitutes a material default, leading to the termination of the agreement.