Does Chicken Guy have the right to change the standards and specifications of each item?

**A.

System Modifications.** Chicken Guy, in its sole discretion, shall be entitled from time to time to change or modify the System, including modifications to the Manual, the menu and menu formats, the required equipment, the signage, the building and premises of the Franchised Restaurant (including the trade dress, décor and color schemes), the presentation of the Proprietary Marks, the adoption of new administrative forms and methods of reporting and of payment of any monies owed to Chicken Guy (including electronic means of reporting and payment) and the adoption and use of new or modified Proprietary Marks or copyrighted materials.

B. Approved Products, Distributors and Suppliers.

(1) Franchisee acknowledges that the reputation and goodwill of Chicken Guy! Restaurants are based upon, and can only be maintained by, the sale of distinctive, high quality food products and beverages, and the presentation, packaging and service of such products and beverages in an efficient and appealing manner. Chicken Guy may develop certain proprietary food products that will be

prepared by or for Chicken Guy according to Chicken Guy's proprietary special recipes and formulas (collectively "proprietary products"). Chicken Guy also has developed standards and specifications for other food products, ingredients, seasonings, mixes, beverages, materials and supplies incorporated or used in the preparation, cooking, serving, packaging and delivery of prepared food products authorized for sale at Chicken Guy! Restaurants. Franchisee agrees that it will: (a) purchase those proprietary products only from Chicken Guy or a third party designated and licensed by Chicken Guy to prepare and sell such products (collectively "designated suppliers"); (b) use the proprietary products only in accordance with the Manual and for items sold at the Franchised Restaurant; and (c) purchase from manufacturers, distributors, vendors and suppliers approved by Chicken Guy (collectively "approved suppliers") all other goods, food products, ingredients, spices, seasonings, mixes, beverages, materials and supplies used in the preparation of products (collectively "goods"), as well as advertising materials furniture, fixtures, equipment, smallwares, menus, menu boards, forms, paper and plastic products, packaging or other materials (collectively "materials") that meet the standards and specifications promulgated by Chicken Guy from time to time. Chicken Guy has the right to require that Franchisee use only certain brands and to prohibit Franchisee from using other brands. Chicken Guy may from time to time modify the list of approved brands (including certain brands of soft drinks and bottled beverages), and Franchisee shall not, after receipt of such modification in writing, reorder any brand that is no longer an approved brand. Chicken Guy may from time to time modify the list of designated suppliers and/or approved suppliers, and Franchisee shall not, after receipt of such modification in writing, order any proprietary products from a supplier who is no longer a designated supplier or order any goods or materials from a supplier who is no longer an approved supplier.

Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD page 40)