For Itan, what are some examples of circumstances that are beyond a party's control that could be considered 'Force Majeure'?

According to Itan's 2025 Franchise Disclosure Document, a 'Force Majeure' event includes acts or circumstances beyond a party's control. Examples of these circumstances include fire, storm, flood, earthquake, explosion or accident, acts of war or terrorism, rebellion, insurrection, sabotage, epidemic, failures or delays of transportation, and strikes.

However, there are specific conditions and limitations. The non-performing party must promptly notify the other party of the Force Majeure event and must be without fault, meaning the delay or failure could not have been prevented by reasonable precautions. Importantly, Force Majeure does not excuse delays or failures to pay fees or other amounts owed to Itan on the due date. Additionally, insolvency, lack of required funds or financing, currency fluctuations, currency devaluations, foreign exchange controls, or inflation are never considered Force Majeure events.

Furthermore, an epidemic or pandemic of a contagious illness or disease, or economic or financial changes caused by such events, are generally not considered Force Majeure. The only exception is if a Governmental Authority mandates the closure (or prevents the opening) of the Salon as a direct result of such an epidemic or pandemic. This clause highlights the importance of understanding the specific conditions under which Itan will recognize a Force Majeure event, as many common business disruptions are explicitly excluded.