Who administers the Kidokinetics Brand Development Fund?

The Brand Development Fund may be administered by us or our affiliate or designees, at our discretion.

You agree that we may use the Brand Development Fund for any expenditure that we, in our sole discretion, deem necessary or appropriate to promote or improve the System or the Kidokinetics brand.

This includes, but is not limited to: (i) developing, maintaining, administering, directing, preparing or reviewing advertising and marketing materials, promotions and programs, including social media management; (ii) public awareness of any of the Marks; (iii) public and consumer relations and publicity; (iv) brand development; (v) research and development of technology, products and services; (vi) website development (including social media) and search engine optimization; (vii) development and implementation of quality control programs and other reputation management functions; (viii) conducting market research; (ix) changes and improvements to the System; (x) the fees and expenses of any advertising agency we engage to assist in producing or conducting advertising or marketing efforts; (xi) the proportionate salary share of our employees that devote time and provide services for advertising, promotion, collection, accounting or administration of the Brand Development Fund; (xii) preparing and distributing financial accountings of the Brand Development Fund; (xiii) training tools; and (xiv) our and our affiliates' expenses associated with direct or indirect labor, administrative, overhead, or other expenses incurred in relation to any of these activities.

We have sole discretion in determining the content, concepts, materials, media, endorsements, frequency, placement, location, and all other matters pertaining to any of the foregoing activities.

Any surplus of monies in the Brand Development Fund may be invested by us in our sole discretion and unused funds collected in any calendar year will be applied to the following year's funds.

We reserve the right to contribute or loan additional funds to the Brand Development Fund on any terms we deem reasonable.

The Brand Development Fund is not a trust, and we have no fiduciary obligations to you regarding our administration of the Brand Development Fund.

An unaudited financial accounting of the operations of the Brand Development Fund will be prepared annually and provided to you upon written request.

Source: Item 22 — CONTRACTS (FDD page 59)