When does the Chicken Guy Development Agreement expire, affecting the territory restrictions?

Except as described in the preceding paragraph, we will not, during the term of the Development Agreement (which expires on the date that you sign the lease for the last Franchised Restaurant that you are required to develop under the Development Schedule) operate, or license others to operate, restaurants identified in whole or in part by the name and mark "Chicken Guy!" in the Development Territory, provided you are in compliance with the terms of the Development Agreement and other agreements with us or our affiliates and you are current on all obligations due to us and our affiliates. This does not prohibit us or our affiliates from: (1) operating, and licensing others to operate, during the term of the Development Agreement, restaurants identified in whole or in part by the name and mark "Chicken Guy!" at any location outside of the Development Territory; (2) operating, and licensing others to operate, after the Development Agreement terminates or expires, restaurants identified in whole or in part by the name and mark "Chicken Guy!" at any location; and (3) operating, and licensing others to operate, at any location, during or after the

Development Term, any type of restaurant other than a restaurant identified in whole or in part by the name and mark "Chicken Guy!." The restrictions above apply only to Chicken Guy and do not apply to restaurants identified in whole or in part by the name and mark "Chicken Guy!" under construction or in operation in the Development Territory as of the date of the Development Agreement. We are not required to compensate you for exercising any rights reserved to us in the Development Territory.

There are no minimum sales quotas or other conditions that must be met in order to maintain your territorial rights in the Development Territory. However, if you are in default under the Development Agreement (which may include, but is not limited to, a default for failing to comply with the Development Schedule) or any Franchise Agreement, we may terminate the Development Agreement and your territorial rights in the Development Territory. You will not receive any exclusive territory under the Development Agreement. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control. You do not receive the right under the Development Agreement to develop or operate any Franchised Restaurants in addition to the number specified in the Development Schedule.

Source: Item 12 — TERRITORY (FDD pages 34–36)