the grant of this franchise and Franchisor's undertakings and agreements contained in the Franchise Agreement constitute the sole and only consideration for the payment of the initial franchise fee and that the initial franchise fee shall be fully earned by us upon the parties' execution of the Franchise Agreement and this Addendum and shall be non-refundable. If the term of the Franchise Agreement is less than then (10) years, then the initial franchise fee may be reduced accordingly.

5. 1-800-FLOWERS MARKETING FUND.

• a. Marketing Fund Contribution. Upon notification from Franchisor that the 1-800- Flowers Marketing Fund has been reinstated, Franchisee shall contribute two percent (2%) of the Franchised Unit's Gross Sales to the 1-800-Flowers Marketing Fund. Such contribution shall be payable on the tenth (10th) day of each month based on Gross Sales generated in the previous calendar month (or the next business day if the tenth (10th) of any month is not a business day).
• b. Maintenance of Marketing Fund. The 1-800-Flowers Marketing Fund shall be maintained and administered by Franchisor or its designee as follows. All references herein to "Franchisor" shall be deemed to include any designated party to which Franchisor has delegated the rights and responsibilities described herein.
• (i) Franchisor shall direct all national and regional marketing programs with sole discretion over the creative concepts, materials and media used in such programs and the placement and allocation thereof.

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 72–77)