Under what circumstances might Canopy Lawn Care delete the Dwelling Limit?

e amount and size of urban, suburban and rural areas. We will grant only one license to a franchisee for up to the Dwelling Limit, which equals 45,000 single family dwelling units in the designated geographical location. If you are granted a Territory in excess of the Dwelling Limit, then you will need to pay us an Additional Dwelling Fee, which equals $0.95 per single family dwelling unit in the Territory in excess of the Dwelling Limit. We will use the most recent population information available in the U.S. Census Data, or other population statistical sources of our choosing to determine single family dwelling units. Except as otherwise disclosed below, you will maintain rights to your Territory during the

term of your Franchise Agreement even though the single family dwelling count in your Territory may increase or decrease. We have the exclusive right to determine the boundaries of your Territory in our sole discretion. We reserve the right to change, modify, or delete the Dwelling Limit in our sole discretion. We will use our business judgment to determine whether the Dwelling Limit makes good business sense for us and all of our franchisees. Enforcing the Dwelling Limit may not be practical when considering limitations on geography, housing availability, natural physical boundaries and population and demographic shifts. In the event that utilizing a Dwelling Limit does not make good business sense as determined by us we may delete the Dwelling Limit in our sole discretion. In addition to all other rights and remedies available to Franchisor, Franchisor may reduce the size of the Territory and/or eliminate t

Source: Item 12 — TERRITORY (FDD pages 38–41)