Is Buona allowed to acquire or be acquired by another franchisor that establishes businesses identical or similar to the Buona Business, even if the other business operates competitive businesses in the Development Area?

As long you are in compliance with the Development Schedule and otherwise in compliance with the Area Development Agreement, during the term of the Area Development Agreement, we will not establish, nor license anyone other than Developer the right to establish any Buona Business in the Development Area. We (and any affiliate) reserve the right:

• 1. To distribute products and services which are part of the System through any alternative distribution channels including, but not limited to, supermarkets and other retail facilities, wholesale sale, catalogs, direct marketing, the Internet or similar electronic media, using the Marks;
• 1. To establish businesses which are franchised, licensed or owned by us or any affiliate at any locations we deem appropriate or distribute products or services which are similar to the products and services offered under the System under trade names, trademarks, service marks, trade dress or other commercial symbols other than the Marks;
• 1. To acquire or be acquired by another franchisor establishing businesses identical or similar to the Buona Business, even if the other business operates, franchises, and/or licenses competitive businesses anywhere, including the Development;
• 1. To implement and maintain multi-area marketing programs at any time, including internet and regional or national accounts. We reserve the right to establish mandatory policies and procedures for these multi-area marketing programs;
• 1. to engage in any other business activities not expressly prohibited by the Area Development Agreement.
• 1. Your continued exclusive rights to the Development Area are dependent upon you meeting all of the deadlines in the Development Schedule.

Source: Item 12 — TERRITORY (FDD pages 46–48)