What are the restrictions on marketing and solicitation for a Goldfish Swim School franchise?

selfadminister the Cooperative Advertising program. Franchisee shall participate in the council according to the council's rules and procedures and Franchisee shall abide by the council's decisions. Nevertheless, Franchisor reserves the right, but not the obligation, to change, dissolve or merge such program(s) and/or council(s) at any time. Goldfish Swim Schools operated by us or our affiliates in an area covered by an Advertising Cooperative will contribute to the Advertising Cooperative on the same basis as comparable franchisees and have the same voting rights as any comparable franchisee.

11.5 Internet Advertising

Franchisee may not establish a presence on, or market using, the Internet or any social media, such as, without limitation, Facebook, Twitter, Four Square, Instagram, Tik Tok, and other social media platforms now existing or yet to be created, in connection with the Franchised Swim School without Franchisor's prior written consent. Franchisor has established and maintains an Internet website at the uniform resource locator www.goldfishswimschool.com that provides information about the System and the products and services that Franchisor and its franchisees provide. Franchisor will include at the Goldfish Swim School website an interior page containing information about the Franchised Swim School. If Franchisor includes such information on the Goldfish Swim School website, Franchisor has the right to require Franchisee to prepare all or a portion of the page, at Franchisee's expense, using a template that Franchisor provides. All such information shall be subject to Franchisor's approval prior to posting. Any websites or other modes of electronic commerce that we establish or maintain may – in addition to advertising and promoting products, programs or services available at the franchised swim schools – also be devoted in part to offering franchises for sale and be utilized by Franchisor to exploit the electronic commerce rights we alone reserve in this Agreement. Franchisor retains the sole right to advertise or use the Marks on the Internet, including the use of websites, domain names, uniform resource locators, keywords, linking, search engines (and search engine optimization techniques), banner ads, meta-tags, marketing, auction sites, e-commerce and cobranding arrangements. Franchisee may be requested to provide content for Franchisor's Internet marketing and shall be required to follow Franchisor's intranet and Internet usage rules, policies and requirements. Franchisor alone will be, and at all times will remain, the sole owner of the copyrights to all material which appears on any website we establish and maintain, including any and all material you may furnish to us as provided herein. Franchisor retains the sole right to approve any linking to, or other use of, the Goldfish Swim School website. In additions to these activities, we may also establish an intranet through which downloads of operations and marketing materials, exchanges of franchisee email, System discussion forums and system-wide communications (among other activities) can be effected. Designated Manager, on-site general manager if different from the Designated Manager, and Control Person shall comply with all communication requirements as set forth in the Confidential Brand Standards Manual.

11.6 Promotional Marketing

Franchisor may periodically conduct promotional campaigns on a national or regional or systemwide or partially system-wide basis to promote products, services, or marketing themes. You must participate in all promotional campaigns we establish for the region in which your Franchised Swim School is located. Franchisor may from time to time designate a "National

Sponsorship Program" with a specific charity or organization ("National Sponsor"). If Franchisor designates such an organization as a National Sponsor, Franchisee shall participate in the National Sponsor program according to its terms or as implemented through the Confidential Brand Standards Manual.

12. ACCOUNTING, RECORDS AND REPORTING OBLIGATIONS

12.1 Records

During the term of this Agreement, Franchisee shall maintain full, complete, and accurate books, records and accounts in accordance with the standard accounting system and standard chart of accounts prescribed by Franchisor in the Confidential Brand Standards Manual or otherwise in writing for at least the current fiscal year and the immediately three (3) preceding fiscal years. Franchisee shall retain during the term of this Agreement, and for three (3) years thereafter, all books and records related to the Franchised Swim School as provided herein, including, without limitation, purchase orders, invoices, payroll records, sales tax records, state and federal tax returns, bank statements, cancelled checks, deposit receipts, cash receipts and disbursement journals, general ledgers, and any other financial records designated by Franchisor or required by law. Franchisor may at any time require that Franchisee retain, at its sole cost and expense an Approved Supplier to perform certain bookkeeping/recordkeeping services on behalf of Franchisee.

12.2 Gross Sales Reports

Franchisee shall maintain an accurate record of monthly Gross Sales and shall deliver to Franchisor a signed and verified statement of Gross Sales ("Gross Sales Report") for each month within three (3) days of the close of each month in a form that Franchisor approves or provides in the Confidential Brand Standards Manual.

Source: Item 23 — RECEIPTS (FDD pages 77–389)