Can Beem Light Sauna require franchisees or employees to repeat Initial Training?

r is otherwise terminated, you must secure our approval of another site and enter into a Site Lease for the new approved site within 90 days. You agree to pay us the Relocation Fee upon notifying us of your intent to relocate the Studio to a new Site, whether or not the new Site is approved. We reserve the right to terminate this Agreement if you fail to secure a new approved site within 90 days after you lose the Site Lease.

Section 5 Training and Assistance

• 5.1 Initial Training. Prior to opening the Studio, you (or your Operating Principal, if you are an Entity) and your Designated Manager (collectively, "Required Trainees") must personally attend and satisfactorily complete our initial training program ("Initial Training"). We will provide Initial Training as soon as practicable after the execution and delivery of this Agreement at our offices, at any other location that we designate, and/or remotely via recorded media, teleconference, videoconference, the Internet, webinar, or any other means, as we determine. We will determine the length, timing, location, and substance of Initial Training in our sole discretion. We may waive a portion of Initial Training or alter the training schedule if we determine that your Required Trainees have sufficient prior experience or training or have previously been trained at one of our Studios. Each subsequent Operating Principal and Designated Manager must attend our Initial Training unless we otherwise agree in writing.
• (a) Cost. We will provide instructors, facilities, and materials your Required Trainees as part of the Franchise Fee, provided that all of your trainees are trained during the same training session. We reserve the right to charge the Training Fee for each person who attends a subsequent Initial Training program, including (i) each person who is repeating the course or replacing a person who did not pass and (ii) each subsequent Operating Principal, Designated Manager, or employee who attends the course.
• (b) Completion of Initial Training. If your Required Trainees are unable to successfully complete, in our sole discretion, Initial Training for any reason, your Required Trainees must repeat Initial Training or you must send replacement Required Trainees to complete Initial Training. Your Required Trainees must successfully complete Initial Training at least 30 days before the earlier of the date you open the Studio or the Opening Deadline (or by such earlier deadline that we specify). We will not refund any initial franchise fees paid by you. If you and your personnel satisfactorily complete our Initial Training and you do not expressly

inform us at the end of Initial Training that you feel that you or they have not been adequately trained, then you and they will be deemed to have been trained sufficiently to operate a Studio.

• 5.2 Opening Advice. Prior to opening your Studio, we will advise you as to development of Session schedules and local marketing and networking efforts.
• 5.3 Additional Training. We may periodically conduct mandatory or optional training programs for your Required Trainees and/or your employees at our office or another location that we designate.

Source: Item 23 — RECEIPT (FDD pages 71–230)