equitable remedies, may terminate this Agreement, refuse to renew the Franchise granted under this agreement, or reduce the geographic size of the Territory.

C. Performance Standard

Franchisee acknowledges and agrees that in order to remain in good standing and maintain the Territory right granted hereunder, the Franchised Business must achieve $20,000 Total Revenue per month after 12 months of operation or greater. Failure to meet the Performance Standards for 6 consecutive months is a material default of this Agreement, and Franchisor may grant a franchise to another to open a Punch King Fitness within the Territory.

Franchisee acknowledges that the Performance Standard amounts do not constitute and are not in the nature of "earnings claims" or "financial performance representations." Franchisor disclaims any representation, warranty, or guarantee that Franchisee can or will achieve levels of sales necessary to comply with the Performance Standard amounts above or any other level or range of sales, income, or other measures of performance. As a practical busine

Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD page 53)