Common use of Franchise Agreements; PIPs Clause in Contracts

Franchise Agreements; PIPs. Buyer will make application for the franchise license for the Hotel to the Franchisor (and will provide Seller written evidence thereof) no later than 10 days after receipt by Buyer of the applicable franchise disclosure document, provided that Buyer must request such document from the Franchisor no later than 5 Business Days after the effective date of this Contract. To the extent that Seller makes any capital repairs following the date of this Agreement, which repairs Franchisor requires (or would have required, but for their previous completion) in a Property Improvement Plan associated with the above application for the franchise license for the Hotel and which repairs and expenditures therefor have been previously approved in writing by Buyer, then, if Closing occurs, Buyer shall reimburse Seller for all reasonable and actual costs incurred by Seller in connection therewith at Closing. Seller shall submit to Buyer, for Buyer’s review and approval, a capital budget detailing specific repairs and the cost thereof. Seller shall not make any repairs or expend any funds in connection therewith, without first obtaining Buyer’s prior written approval, which shall not be unreasonably withheld.