What kind of continuing consultation and advice does Closet Storage Concepts provide?

ucts that Franchisor prescribes. Franchisee shall order the products from any manufacturer, supplier or other Closet and Storage Concepts franchisee recommended by or approved by Franchisor in writing. Franchisee shall comply with all rules and regulations prescribed by federal, state and local agencies. Subject to the requirements of Section 5.2, Franchisee shall have the right to suggest new products, services or other developments to Franchisor for use in Franchisee's and other Closet & Storage Concepts System businesses. Franchisee shall have no right to offer new products or services to the Franchised Business customers or use any new developments until Franchisor has had the opportunity to test the new services or developments and provide Franchisee written approval for their use and standards and specifications with respect to their use. All new services and developments, whether they be of Franchisee's original design or variations of existing services or techniques, shall be deemed works made for hire and Franchisor shall own all rights in them. If these products, services and developments do not qualify as works made for hire, by signing this Agreement Franchisee assigns to Franchisor ownership of any and all rights in these services and developments and the goodwill associated with them. Franchisee shall receive no payment or adjustment from Franchisor in connection with any new products, services or developments.

• 5.11.2 Franchisor may at any time and from time to time, in its sole discretion, require all of the franchisees in the System, including Franchisee, to discontinue the use of any products, if, in the opinion of Franchisor, the continued use of such product or products becomes unfeasible, unprofitable or otherwise undesirable; upon such discontinuance, the license herein granted with respect to such product or products shall terminate. Such discontinuance or termination of a product or product line by Franchisor is not "cause" for the termination of this Agreement by Franchisor or Franchisee.

• 5.11.3 Franchisee shall use in the operation of the Franchised Business and in the performance of services only the methods, procedures, services, supplies, equipment vehicles and computer software as are specified by Franchisor in the Operations Manual or otherwise in writing. Franchisee acknowledges and agrees that these may be changed periodically by Franchisor and that Franchisee is obligated to conform to the requirements as so changed.

• 5.11.4 Franchisor shall have the exclusive right in its sole discretion to vary from the products, services or merchandise in establishing the products, services and merchandise to be offered by the Franchised Business. Complete and detailed uniformity under many varying conditions may not always be possible or practical and Franchisor reserves the right and privilege, at its sole discretion, to vary not only the products, services and merchandise but other standards for any System franchisee based upon the customs or circumstances of a particular site or location, density of population, business potential, population of trade area, existing business practices, or any condition which Franchisor deems to be of importance to the operation of that franchisee's business.

• 5.11.5 Franchisee shall obtain and at all times use the equipment, vehicles, software, fixtures and supplies as Franchisor specifies. Prior to opening the Franchised Business, Franchisee shall obtain the equipment, vehicles, software, décor, fixtures and supplies as Franchisor specifies. As any equipment, vehicle, software, fixture or any supplies become obsolete or inoperable, Franchisee shall replace the item with the types and kinds of equipment, vehicles, software, décor, fixtures and supplies then being used by new Closet & Storage Concepts System franchises at the time of replacement.

Source: Item 22 — CONTRACTS (FDD page 59)