From whom is Ledgers entitled to reimbursement for expenses incurred continuing Services after the franchisee's death or incapacity?

According to Ledgers' 2025 Franchise Disclosure Document, in the event of a franchisee's death or incapacity, Ledgers is entitled to reimbursement for reasonable expenses incurred while continuing the operation of the franchised business. This reimbursement is to come from the franchisee or the franchisee's estate.

In addition to reimbursement for expenses, Ledgers is also entitled to 10% of Gross Revenues for the period in which they operate or assist in the operation of the Franchised Business during this interim period. This arrangement is designed to cover Ledgers' costs and efforts in maintaining the business during the transition period following the franchisee's death or incapacity.

This provision ensures that Ledgers can continue providing services to clients without incurring losses due to the franchisee's inability to manage the business. It also provides a financial incentive for Ledgers to ensure a smooth transition, either to a new franchisee or to the closure of the business, while protecting the brand's reputation and client relationships.