REQUIRED ESTABLISHMENT OF GRAND HAVANA ROOM Sample Clauses

REQUIRED ESTABLISHMENT OF GRAND HAVANA ROOM. If the Territory Rights Holder (i) fails to meet the development schedule set forth in the preceding paragraph, or (ii) after opening at least nine (9) Grand Havana Rooms, allows the closure of one or more Grand Havana Rooms such that the total number is less than nine (9), and if in either case such delay or closure continues for at least six (6) months, then the rights of the parties under this Agreement are subject to modification as provided in the following sentence. Upon the occurrence of an event as specified in clause (i) or (ii) of the preceding sentence after the expiration of the grace period, Grand Havana Room shall notify Territory Rights Holder of its intention to impose the penalty specified in this Section 5.5. Thereafter, unless the reasons for delay or closure is force majeure or another cause reasonable beyond the control of Territory Rights Holder. Territory Rights Holder shall within six month (6) after receipt of such notice either open or reopen the locations specified in the notice from Grand Havana Room, or Territory Rights Holder shall forfeit all rights to establish a Grand Havana Room in any jurisdiction in the Territory in which it has not yet established a Grand Havana Room prior to notice from Grand Havana Room. Such forfeiture shall not affect the Territory Rights Holders payment, reporting and other obligations under this agreement with respect to the already opened Grand Havana Rooms. Nothing herein contained shall obligate the Territory Rights Holder to continue to keep open any Grand Havana Room in any of the Territories if such opening is prevented by any act of god, fire, flooding or other catastrophes, any changes in any law and insurrection riots or civil disturbance or other causes beyond the reasonable control of the Territory Rights Holder. Failure by the Territory Rights Holder to open for any of the above reasons for any period of time shall not be a default. It is understood and agreed that section 8.1 shall not apply to the obligation to open locations, and the penalty imposed under this section 5.5 shall be Grand Havana Room's exclusive remedy for such failure to open or maintain Grand Havana Room locations, and that the loss of one or more locations shall not affect the Territory Right Holder's exclusive rights in any other locations. Territory Rights Holder shall have the right to substitute an opening of a Grand Havana Room in any location. SERVICES OF GRAND HAVANA ROOM 6.1 OBLIGATIONS OF GRAND HAVANA ROOM...
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