What is the meaning of 'Development Period' in the context of a Noodles & Company Area Development Agreement?

According to the 2025 Noodles & Company Franchise Disclosure Document, the 'Development Period' refers to specific timeframes outlined in Exhibit A of the Area Development Agreement. During these periods, an Area Operator has the right and obligation to construct, equip, open, and continuously operate Noodles & Company restaurants, adhering to the terms of the Area Development Agreement.

In essence, the Development Period defines the schedule within which the Area Operator must fulfill their commitment to establish a certain number of Noodles & Company restaurants in their designated territory. This period is crucial because it sets the expectations for the pace of expansion and the Area Operator's ability to meet the agreed-upon development milestones.

Prospective Area Operators should carefully review Exhibit A of the Area Development Agreement to understand the specific timelines and obligations associated with the Development Period. Failure to meet these obligations could potentially lead to a breach of the agreement, as noted in Section 2.03, although the franchisor's exclusive remedy for failing to meet the Development Schedule is termination of the agreement, except as provided in Section 3.04(e).