[Item 8: RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES]

Generally

We have the right to require you to purchase or lease all goods, services, supplies, fixtures, equipment, inventory, computer hardware and software, real estate, or comparable items related to establishing or operating your business (1) either from us or our designee, or from suppliers approved by us, or (2) according to our specifications.

Specific Obligations

The following are our current specific obligations for purchases and leases:

• D. Food Products and Inventory. You must purchase required food product from our affiliate, TAR Distributors, Inc. and our approved vendors as prescribed. See our Brand Standards/Operations Manual for details.
• E. Operating Equipment, Furniture, Fixtures. You will be required to purchase the furniture, fixtures and equipment needed to open and operate your Eatery and Market location from our approved vendors and according to our standards and specifications.
• F. Branding, Signage and Marketing Materials. You will be required to purchase the signage, branded items and marketing materials from our Affiliate and approved vendors and suppliers and according to our brand standards and specifications.

Alternative Suppliers

If you want to use a supplier that is not on our list of approved suppliers, you must request our approval in writing. We will grant or revoke approvals of suppliers based on criteria appropriate to the situation, which may include evaluations of the supplier's capacity, quality, financial stability, reputation, and reliability; inspections; product testing, and performance reviews. Our criteria for approving suppliers are not available to you. We permit you to contract with alternative suppliers who meet our criteria only if you request our approval in writing, and we grant approval. There is no fee for us to review or approve an alternate supplier. We will provide you with written notification of the approval or disapproval of any supplier you propose within 30 days after receipt of your request. We may grant approvals of new suppliers or revoke past approvals of suppliers on written notice to you, or by updating our Manual.

We do negotiate purchase arrangements with suppliers, including price terms, for the benefit of franchisees.

We will receive payments from designated suppliers from franchisee purchases based on the following:

Referral Fee Received:

We receive a referral fee from the Attorneys who will support lease negotiations and contract negotiations

Kitchen/Grocery Equipment purchases

Architect Services for Building Design and Development

We estimate that the required purchases and leases to establish your business are 50% to 80% of your total purchases and leases to establish your business.

We estimate that the required purchases and leases of goods and services to operate your business are 50% to 80% of your total purchases and leases of goods and services to operate your business.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 26–29)