How does the Development Agreement mentioned in Item 5 relate to the franchisee's obligations for site selection and acquisition/lease outlined in Item 9, considering the franchisor's approval process for Churchs Chicken restaurants?

In addition to a Franchise Agreement, you must sign a Development Agreement regardless of the number of Restaurants you commit to develop. A copy of our standard Development Agreement is attached as Exhibit G. Under the Development Agreement, you are granted the right and you accept the responsibility to develop a specific number of Restaurants in a specific geographic area (the "Development Area"). In some instances, we will sign an Amendment to the Development Agreement which provides limited exclusivity for the Development Area. A copy of our standard Amendment to Development Agreement is attached as Exhibit H. The Development Agreement also specifies the number of Restaurants that you must open and operate and the dates by which they must open and be in operation in a development schedule (the "Development Schedule") to the Development Agreement.

During the Development Term, Developer shall develop and open in the Development Area the number of Franchised Restaurants specified in the Development Schedule in Schedule 2. For each Franchised Restaurant to be developed during the Development Term, Developer must first obtain Cajun's acceptance of the site by the site acceptance date listed in the Development Schedule in Schedule 2. Developer's strict compliance with the Development Schedule is essential to this Agreement. If Developer fails to fulfill its obligations to develop and open any Franchised Restaurant when required by the Development Schedule or to obtain site acceptance by the date specified in the Development Schedule, such failure shall constitute a non-curable breach of this Agreement permitting Cajun immediately to terminate this Agreement by giving notice of termination to Developer. Time is of the essence.

This Agreement is not a license or a franchise agreement. This Agreement does not give Developer the right to open or operate Church's Restaurants or use the System. This Agreement does not give Developer any right to license othersto open or operate Church's Restaurants or use the System. This Agreement only gives Developer the opportunity to enter into Church's Texas Chicken franchise agreements ("Franchise Agreements") for the operation of Franchised Restaurants at locations in the Development Area accepted by Cajun.

If Cajun hasthe right to terminate this Agreement under Section 15.A., then Cajun may take any one or more of the following actions prior to or in lieu of termination:

• (3) withhold evaluation or acceptance of site proposal packages and refuse to permit the opening of any Franchised Restaurant then under construction or not otherwise not ready to commence operations, pending satisfactory cure of any such default;