What is the dependency between the Development Agreement and the Unit Franchise Agreement for B Bops?

at such location.

• 1. EXECUTION OF UNIT FRANCHISE AGREEMENT. Upon approval of a proposed site, Company shall grant Developer the right and license to own and operate a B-Bop's Restaurant at such site, provided that Developer is in compliance with the terms of this Agreement and the terms of all Unit Franchise Agreements between the parties. Subject to the foregoing, Company shall forward to Developer a Unit Franchise Agreement to be executed with respect to the approved site. The Unit Franchise Agreement shall be the standard form of franchise agreement being utilized by Company to grant franchises at the time of development of each Unit. Developer shall execute the Unit Franchise Agreement in accordance with Company's instructions within twenty (20) days of receipt thereof and return it, together with the initial franchise fee payable for the Unit (as specified in Appendix III), to Company. In the event Developer fails to return the Unit Franchise Agreement and the initial franchise fee to Company within such twenty (20) day period, Company's approval of the site shall be null and void and Developer shall have no rights with respect to such site. The parties hereby acknowledge and agree that the terms and conditions of the Unit Franchise Agreement executed for the Unit developed pursuant to this Agreement shall govern and control the franchise relationship for each such Unit, except to the extent that such terms and conditions conflict with the provisions of this Agreement, in which event the provisions of this Agreement shall control. The parties further acknowledge and agree that the terms and conditions of each Unit Franchise Agreement executed pursuant to this Agreement shall remain in full force and effect notwithstanding the expiration and termination of this Agreement.
• 1. PROCUREMENT OF SITE AND CONSTRUCTION OF UNIT. Upon receipt of Company's approval of a proposed site, Developer shall immediately take the necessary steps to acquire the site (by purchase, lease or sublease) and obtain the rights to construct and operate a Unit on the site. As soon as practicable after procuring the site, Developer agrees to commence construction of the Unit in accordance with the terms of the Unit Franchise Agreement executed for such Unit, provided, however, that the Development Schedule imposed herein shall be in lieu of the terms of such Unit Franchise Agreement governing the time periods for construction and opening of the Unit.

• 1. FINANCIAL INFORMATION. The parties acknowledge that the financial position of Developer is crucial to the timely performance of Developer's obligations hereunder and that Company has a legitimate interest in being informed from time to time regarding Developer's financial plans and status. Accordingly, Company shall be entitled from time to time to request that Developer: (a) submit its financial statements to Company for review; and (b) disclose to Company its proposals for financing development of the Units. The foregoing disclosure obligation is imposed solely for purposes of informing Company of Developer's proposals and progress in financing development of the Units, and shall not be construed as creating any joint venture, partnership, agency or other relationship between the parties with respect to Developer's financing activities.
• 1. LIMITATIONS OF AGREEMENT. Developer hereby acknowledges and agrees as follows:
  • A. This Agreement grants to Developer only the right to select sites for the construction of Units in the Trade Area and to submit such proposed sites to Company for its approval in accordance with the terms hereof. This Agreement does not grant a license to Developer of any rights to use the Licensed System, the Licensed Marks or to open or operate any Unit within the Trade Area. Developer shall obtain such rights with respect to a given Unit only upon the execution of a Unit Franchise Agreement for such Unit.

Source: Item 23 — RECEIPTS (FDD pages 53–145)