Which items in the C12 Group Disclosure Document relate to advertising obligations?

operation, Franchisor will make available for Franchisee's purchase C12 meeting process forms, cards, stationery items, and promotional materials.

• 1. Advertising and Publicity Program. Franchisor will maintain a program of C12 brand advertising and publicity to help drive leads through Franchisor's website and home office to franchisees across the C12 franchise System. Leads for Franchisee's Territory will be shared with Franchisee as they are received through Franchisor's website, emails, sponsorships and telephone inquiries. Franchisor will also provide Franchisee with sample formats and artwork to assist with Franchisee's local marketing and advertising efforts via Franchisor's online resources or dedicated outside contractors.
• 1. Prepaid Marketing Fund. After Franchisee commences operation, Franchisor will support Franchisee's marketing and promotions in Franchisee's Territory by reimbursing amounts from the Prepaid Marketing Fund to Franchisee for initiatives that directly promote the formation of new C12 Forums in Franchisee's Territory. Franchisee shall incur expenses for such initiatives and submit receipts and other evidence as Franchisor may require to Franchisor. Upon Franchisee's submission of written requests with applicable documentation, Franchisor will reimburse Franchisee for Franchisee's out-of-pocket expenditures relating to qualified expenditures or make payments directly to vendors in the case where Franchisor administers a particular marketing initiative. Franchisor's reimbursement is limited to the Prepaid Marketing Fund that Franchisee must pay Franchisor upon executing this Agreement. Prepaid Marketing Fund expenditures that qualify for reimbursement include Direct Mail Campaigns related to C12 introductory events or meetings, procurement of qualifying lists of leads, local advertising, banners, and other displays for exhibiting event sponsorships, and e-marketing including email delivery systems. Franchisee must follow the C12 Brand Standards Guide in all advertising and marketing efforts. Items which do not qualify for reimbursement include software related to contact or customer relationship management, recurring subscriptions (e.g., Constant Contact), food and beverage, catering, organizational membership dues, space rental for events or meetings, audio-visual equipment, and general supplies. Franchisee is not precluded from spending on non-qualifying marketing items, but such expenses will be at Franchisee's own additional cost and not subject to reimbursement. Franchisor will provide Franchisee with a periodic accounting of the amounts expended from and remaining in Franchisee's Prepaid Marketing Fund. For the purpose of promoting the formation of new C12 Forums, Franchisee must spend the full Prepaid Marketing Fund within eighteen (18) months of the execution of this Agreement. Any unspent amounts of the Prepaid Marketing Fund as of such time will be forfeited to Franchisor.
• 1. C12 Marketing Co-op Expenses. In addition to administering the Prepaid Marketing Fund, Franchisor will pay a share of the cost of certain of Franchisee's marketing expenses (the "C12 Marketing Co-op Expenses") at a rate equal to Franchisee's applicable monthly Royalty Fee (17.5-30%). The C12 Marketing Co-op Expenses are those initiatives specifically approved and administered by Franchisor, which may include C12 Direct Mail Campaigns and Franchisor-endorsed lead lists . Franchisee must submit a request form to Franchisor for C12 Marketing Co-op Expenses. Upon Franchisee's submission of this form with applicable documentation, Franchisor will review, approve, and make payment accordingly.
• 1. Semi-Annual Chair Training. Franchisor will host semi-annual training workshops for the entire C12 community ("Semi-Annual Chair Training"), which Franchisee must attend. Franchisor will cover the cost of the meeting locations and meals for the Semi-Annual Chair Training, but Franchisee will be responsible for its own costs for travel and lodging. To cover the cost of attending the Semi-Annual Chair Training, Franchisee shall pay Franchisor a monthly fee, which is currently $110 per month. Franchisor may, in its sole discretion, increase the monthly fee for Semi-Annual Chair Training. Franchisee will also pay Franchisor $110 per month for each Associate Chair engaged by Franchisee to cover the registration fees for these two events for such Associate Chairs.
• 1. Local Marketing Event Assistance. Franchisor will, at Franchisee's request, assist Franchisee with

equipping local C12 events, seminars, and awards banquets in the Territory and may provide formats, banners, selected support materials, and possibly a speaker (when mutually scheduled in advance). Franchisee may set pricing as Franchisee deems appropriate for these events. These events are generally delivered in half-day and full-day formats, either with a live speaker or a pre-recorded video. Franchisor may, subject to availability, provide Franchisee with the event speaker. If Franchisor provides the event speaker, Franchisor will pay the cost for the speaker's travel and accommodations and supply Franchisee with the necessary seminar materials. Franchisee will be responsible for reimbursing Franchisor for the cost of the materials. Franchisee will be responsible for the marketing of such event(s), which may be partially subsidized under the C12 Marketing Co-op Expenses, and Franchisee will be responsible for the costs of hosting (i.e., meals, room, etc.) attendees.

Source: Item 9 — FRANCHISEE'S OBLIGATIONS (FDD pages 20–21)