For Bombs Away, what is the required action of each owner of the franchise entity?

• 7.19 No Other Activity Associated with the Business. Franchisee shall not use the assets of the Business for any purpose other than the Business.

Franchisee shall not "co-brand" or associate

any other business activity with the Bombs Away Business in a manner which is likely to cause the public to perceive it to be related to the Bombs Away Business. If Franchisee is an entity, the entity shall not own or operate any other business except Bombs Away businesses.

• 2.3 Franchisee Control. Franchisee represents that it will identify each owner, officer and director of Franchisee, and describes the nature and extent of each owner's interest in Franchisee.

If any of this information changes, Franchisee shall notify Franchisor within 10 days.

• 2.4 Principal Executive. Franchisee agrees that the person designated as the "Principal Executive" on the Summary Page is the executive primarily responsible for the Business and has decision-making authority on behalf of Franchisee.

The Principal Executive must have at least 10% ownership interest in Franchisee.

The Principal Executive must participate in the direct operation of the Business and must devote substantial time and attention to the Business.

If the Principal Executive dies, becomes incapacitated, transfers his/her interest in Franchisee, or otherwise ceases to be the executive primarily responsible for the Business, Franchisee shall promptly designate a new Principal Executive, subject to Bombs Away Franchising's reasonable approval.

• 15.3 Transfer for Convenience of Ownership. If Franchisee is an individual, Franchisee may Transfer this Agreement to a corporation or limited liability company formed for the convenience of ownership after at least 15 days' notice to Bombs Away Franchising, if, prior to the Transfer: (1) the transferee provides the information required by Section 2.3; (2) Franchisee provides copies of the entity's charter documents, by-laws (or operating agreement) and similar documents, if requested by Bombs Away Franchising, (3) Franchisee owns all voting securities of the

corporation or limited liability company, and (4) Franchisee provides a guaranty in accordance with Section 2.5.

• (vii) the proposed assignee and its owners and employees undergo such training as Bombs Away Franchising may require;

• (viii) Franchisee, its Owners, and the transferee and its owners execute a general release of Bombs Away Franchising in a form satisfactory to Bombs Away Franchising; and

Source: Item 1 — THE FRANCHISOR AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 7–8)