What is the dependency between the Franchised Restaurant and Restaurant Premises and the Standards for a Hawaiian Bros Island Grill?

Company's approval of the Restaurant Premises and rendering of assistance in the selection of the Restaurant Premises does not constitute any representation, guaranty or warranty by Company that the Franchised Restaurant operated at that Restaurant Premises will be successful. Franchisee's Restaurant Premises must meet the following conditions:

• (1) Company has no responsibility for any lease; it is Franchisee's sole responsibility to evaluate, negotiate and enter into a lease or a purchase agreement for the Restaurant Premises in accordance with the terms of the Development Agreement. Franchisee must furnish Company with an executed lease within five days after its execution.
• (2) Franchisee must maintain and periodically refresh the building, equipment, fixtures, furnishings, signage and Trade Dress (including the interior and exterior appearance) used in the operation of the Franchised Restaurant in accordance with Company's requirements established periodically and any Inspections or other periodic evaluations of the Restaurant Premises by Company's representatives. From time to time as Company requires, Franchisee must modernize and/or replace aspects of the Restaurant Premises, Trade Dress and equipment as may be necessary for the Franchised Restaurant and Restaurant Premises to conform to the Standards

for similarly situated new Hawaiian Bros Island Grill franchisees, which modernization and/or replacement may include a comprehensive remodel of the Restaurant Premises.

• (3) Each transfer subject to Section 13 and each renewal under Section 11 are expressly conditioned upon Franchisee's compliance with Company's then-current modernization or replacement requirements.
• (c) Restaurant Construction.The Franchised Restaurant and Restaurant Premises must be designed, laid out, constructed or renovated, furnished, and equipped to meet the Standards, and Franchisee must satisfy any conditions to Company's approval of the development of the Restaurant Premises. Any deviations from the Standards must have Company's prior written approval. Any plans that Company provides to Franchisee, and Company's approval of any plans Franchisee submits to Company, relate solely to compliance with the Standards and should not be construed as a representation or warranty that the plans comply with applicable laws and regulations. Franchisee is solely responsible for ensuring that construction plans comply with applicable laws and regulations. At Company's request, Franchisee must promptly correct any unapproved deviations from the Standards in the development of the Franchised Restaurant or Restaurant Premises.
• (d) Construction and Operations.

Source: Item 23 — RECEIPTS (FDD pages 77–262)