Common use of Investigation and Qualification of Prospective Franchisees Clause in Contracts

Investigation and Qualification of Prospective Franchisees. (a) Each Location Franchise opened by a Franchisee pursuant to this Agreement shall be the subject of a separate Franchise Agreement with us, upon our then current form. Regional Developer shall have no right to modify or offer to modify any Franchise Agreement or other contract. (b) Regional Developer shall be responsible for disclosing (or re-disclosing, when there are updates or supplements) to prospects our most current form of the Franchise Disclosure Document. (c) If we shall approve a Franchisee and a prospective franchise location, Regional Developer shall transmit to such Franchisee for execution copies of our then-current Franchise Agreement pertaining to the approved site and providing for a protected territory surrounding said Location Franchise, as determined by us. (d) Regional Developer shall investigate the qualifications of each prospective Franchisee and the suitability of each prospective franchise location in the Development Area in accordance with our standards, policies and procedures relating to qualification of Franchisees then in effect, and shall obtain all information required of prospective Franchisees by us. (e) After Regional Developer is satisfied that a prospective Franchisee meets the standards established by us, Regional Developer may recommend to us the approval of such prospective Franchisee. Regional Developer shall then furnish to us all information relating to the prospective Franchisee which shall be required by us in the form and manner customarily required by us. (f) We may thereafter conduct or obtain such credit reports and background checks on prospective franchisees as we deem necessary or convenient. We may then approve or disapprove a prospective franchisee for any reason and may seek further information with respect to the prospective Franchisee. Regional Developer shall cooperate with us in any further investigation of the prospective Franchisee. If we shall reject a prospective Franchisee, we shall provide Regional Developer with a written explanation of the reasons therefor. (g) Regional Developer shall deliver to us a copy of all correspondence with Franchisees that is material to the franchise relationship, concurrently with its being sent or received by Regional Developer.

Investigation and Qualification of Prospective Franchisees. (a) Each Location Franchise opened by a Franchisee Subfranchisee pursuant to this Agreement shall be the subject of a separate Franchise Subfranchise Agreement with usbetween Subfranchisor and such Subfranchisee, upon our Company's then current form. Regional Developer Subfranchisor shall have no right to modify or offer to modify any Franchise Agreement Subfranchise Agreement, or other contractcontract without Company's prior written approval. (b) Regional Developer shall be responsible for disclosing (or re-disclosing, when there are updates or supplements) to prospects our most current form of the Franchise Disclosure Document. (c) If we Company shall approve a Franchisee Subfranchisee and a prospective franchise location, Regional Developer Subfranchisor shall transmit to such Franchisee Subfranchisee for execution execution, copies of our then-Company's then current Franchise Subfranchise Agreement pertaining to the approved site and providing for a protected an exclusive territory surrounding said Location Franchise, as determined by usCompany. (dc) Regional Developer Subfranchisor shall investigate the qualifications of each prospective Franchisee Subfranchisee and the suitability of each prospective franchise location in the Development Area in accordance with our Company's standards, policies policies, and procedures relating to qualification of Franchisees franchisees and franchise sites then in effect, and shall obtain all information required of prospective Franchisees franchisees by usCompany. (ed) After Regional Developer Subfranchisor is satisfied that a prospective Franchisee meets Subfranchisee and prospective franchise location meet the standards established by usCompany, Regional Developer Subfranchisor may recommend to us Company the approval of such prospective FranchiseeSubfranchisee and a prospective location or locations for such Subfranchisee. Regional Developer Subfranchisor shall then furnish to us Company all information relating to the prospective Franchisee Subfranchisee and any prospective franchise locations (including the terms and conditions of the proposed lease or purchase of each such location), which shall be required by us Company in the form and manner customarily required by usCompany. (fe) We Company may thereafter conduct or obtain such credit reports and background checks on prospective franchisees as we deem necessary or convenient. We may then approve or disapprove reject a prospective franchisee Subfranchisee or prospective franchise location for any reason reason, and may seek further information with respect to the prospective FranchiseeSubfranchisee and any such location or locations. Regional Developer Subfranchisor shall cooperate with us Company in any further investigation of the prospective FranchiseeSubfranchisee or any such locations. If we Company shall reject a prospective FranchiseeSubfranchisee or franchise location, we Company shall provide Regional Developer Subfranchisor with a written explanation of the its reasons therefor. (gf) Regional Developer Subfranchisor shall deliver to us Company a copy of all correspondence with Franchisees that Subfranchisees which asserts a breach or termination of a Subfranchise Agreement, and all other correspondence with Subfranchisees which is material to the franchise relationship, concurrently with its being sent or received by Regional DeveloperSubfranchisor. (g) Subfranchisor shall not terminate any Subfranchise Agreement with any Subfranchisee without the prior consent of Company. Subfranchisor shall, upon the request of Company, terminate any Subfranchise Agreement with respect to which the Subfranchisee has engaged in a gross, repeated, or continuous failure to comply with the terms of the Subfranchise Agreement.

Investigation and Qualification of Prospective Franchisees. (a) Each Location ESIO Franchise opened by a Franchisee pursuant to this Agreement shall be the subject of a separate Franchise Agreement with us, upon our then current formform of Franchise Agreement. Regional Developer shall have no right to modify or offer to modify any Franchise Agreement or other contract.; (b) Regional Developer shall be responsible for disclosing (or re-disclosing, when there are updates or supplements) to prospects our most current form of the Franchise Disclosure Document. (c) If we shall approve a Franchisee and a prospective franchise location, Regional Developer shall transmit to such Franchisee for execution copies of our then-current Franchise Agreement pertaining to the approved site and providing for a protected the territory surrounding associated with said Location Franchise, as determined by us.ESIO Franchise to any approved Franchisee; (dc) Regional Developer shall investigate the qualifications of each prospective Prospective Franchisee and the suitability of each prospective franchise Franchise location in the Development Area RDA in accordance with our standards, policies and procedures relating to qualification of Franchisees then in effect, and shall obtain all information required of prospective Prospective Franchisees by us.. Regional Developer Agreement 04/12 C-5 (ed) After Regional Developer is satisfied that a prospective Prospective Franchisee meets the standards established by us, Regional Developer may recommend to us the approval of such prospective Prospective Franchisee. Regional Developer shall then furnish to us all information relating to the prospective Prospective Franchisee which shall be required by us in the form and manner customarily required by us. (fe) We may thereafter may: (i) conduct or obtain such credit reports and background checks on prospective franchisees Prospective Franchisees as we deem necessary or convenient. We may then ; (ii) approve or disapprove a prospective franchisee Prospective Franchisee for any reason reason; and (iii) may seek further additional information from Developer with respect to the prospective Prospective Franchisee. Regional Developer shall cooperate with us in any further additional evaluation or investigation of the prospective Prospective Franchisee. If we shall reject a prospective Prospective Franchisee, we shall provide Regional Developer with a written explanation of the reasons therefortherefore. (gf) Regional Developer shall deliver to us a copy of all correspondence with Franchisees that which is material to the franchise relationship, concurrently with its being sent or received by Regional Developer.