Is a Better Blend franchisee required to use only 'Approved Vendors' for Inputs?

ARTICLE 8. SUPPLIERS AND VENDORS

• 8.1 Generally. Franchisee shall acquire all Inputs required by BBF from time to time in accordance with System Standards. BBF may require Franchisee to purchase or lease any Inputs from BBF, BBF's designee, Required Vendors, Approved Vendors, and/or under BBF's specifications. BBF may change any such requirement or change the status of any vendor. To make such requirement or change effective, BBF shall issue the appropriate System Standards.
• 8.2 Alternate Vendor Approval. If BBF requires Franchisee to purchase a particular Input only from an Approved Vendor or Required Vendor, and Franchisee desires to purchase the Input from another vendor, then Franchisee must submit a written request for approval and any information, specifications and/or samples requested by BBF. BBF may approve or disapprove the alternative vendor in its sole discretion. BBF may condition its approval on such criteria as BBF deems appropriate, which may include evaluations of the vendor's capacity, quality, financial stability, reputation, and reliability; inspections; product testing, and performance reviews. BBF

shall provide Franchisee with written notification of the approval or disapproval of any proposed new vendor within 30 days after receipt of Franchisee's request.

• 8.3 Alternate Input Approval. If BBF requires Franchisee to purchase a particular Input, and Franchisee desires to purchase an alternate to the Input, then Franchisee must submit a written request for approval and any information, specifications and/or samples requested by BBF. BBF may approve or disapprove the alternative Input in its sole discretion. BBF shall provide Franchisee with written notification of the approval or disapproval of any proposed alternate Input within 30 days after receipt of Franchisee's request.
• 8.4 Purchasing. BBF may negotiate prices and terms with vendors on behalf of the System. BBF may receive rebates, payments or other consideration from vendors in connection with purchases by franchisees. BBF has the right (but not the obligation) to collect payments from Franchisee on behalf of a vendor and remit the payments to the vendor and to impose a reasonable markup or charge for administering the payment program. BBF may implement a centralized purchasing system. BBF may establish a purchasing cooperative and require Franchisee to join and participate in the purchasing cooperative on such terms and conditions as BBF may determine.
• 8.5 No Liability of Franchisor. BBF and its affiliates shall not have any liability to Franchisee for any claim, loss or other Action related to any product provided or service performed by any Approved Vendor or Required Vendor (unless BBF or its affiliate, as applicable, is the vendor) including without limitation for defects, delays, unavailability, failure, or breach of contract related to such products or services.
• 8.6 Product Recalls. If BBF or any vendor, supplier, or manufacturer of an item used or sold in Franchisee's Business issues a recall of such item or otherwise notifies Franchisee that such item is defective or dangerous, Franchisee shall immediately cease using or selling such item, and Franchisee shall at its own expense comply with all instructions from BBF or the vendor, supplier, or manufacturer of such item with respect to such item, including without limitation the recall, repair, and/or replacement of such item.

Source: Item 22 — CONTRACTS (FDD page 43)