Common use of Minimum Development Obligation Clause in Contracts

Minimum Development Obligation. II.1.1 Developer shall construct, equip, open and thereafter continue to operate at Venues within the Development Area not less than the cumulative number of Coffeehouses within each of the Development Periods specified in Exhibit "B". II.1.2 Developer shall have the right to close any Coffeehouse opened pursuant to this Agreement if Developer demonstrates to Company's reasonable satisfaction that the site has not operated profitably and is unlikely in the future to operate profitably, provided that Developer obtains Company's prior written consent to such closure, which Company shall grant or withhold based upon Company's reasonable business judgment. For purposes of Developer's Minimum Development Obligation, such closed Coffeehouse shall continue to be counted as an operating Coffeehouses for a period of 12 months following closure, and Developer shall be deemed in breach of the Minimum Development Obligation if immediately after said 12 month period the cumulative number of Coffeehouses then-operating is not equal to or greater than the cumulative number required to have been in operation as of the end of the immediately preceding Development Period. Developer shall execute a new Franchise Agreement pursuant to Section 6.1 for each subsequently opened Restaurant, even if opened as a "replacement" for the closed Restaurant. II.1.3 If a Coffeehouse opened and operated by Developer is destroyed or damaged, other than by a voluntary act of Developer, so that such Coffeehouse cannot continue to operate, the destroyed or damaged Coffeehouse shall continue to count toward satisfaction of the Minimum Development Schedule (during the period until such substitute location opens), BUT ONLY IF (i) Developer shall repair and restore such Coffeehouse to Company's then approved plans and specifications within 120 days after the occurrence of such destruction or damage, subject to delays permitted by Section 2.2, or (ii) Developer shall, within 120 days after the occurrence of such destruction or damage, open a Coffeehouse at a substitute location within the Development Area in accordance with Company's then approved plans and specifications (any such substitute location and the lease for such location must be approved in writing in advance by Company pursuant hereto and Developer shall execute a new Franchise Agreement therefor, pursuant to Section 6.1).

Minimum Development Obligation. II.1.1 2.1.1 Developer shall construct, equip, open and thereafter continue to operate at Venues within the Development Area not less than the cumulative number of Full Service Coffeehouses within each of the Development Periods specified in Exhibit "“B"”. II.1.2 2.1.2 Within any 12 month period, Developer shall have the right to close any one “▇▇▇▇▇▇▇▇ Coffee” Coffeehouse opened pursuant to this Agreement if Developer demonstrates to Company's ’s reasonable satisfaction that the site has not operated profitably and is unlikely in the future to operate profitably, provided that Developer obtains Company's ’s prior written consent to such closure, which Company shall grant or withhold based upon in Company's ’s reasonable business judgment. Upon Company’s request, Developer shall promptly provide such substantiating financial data concerning the “▇▇▇▇▇▇▇▇ Coffee” Coffeehouse’s historical performance and its future prospects as Company may require, and which may include market studies prepared by qualified, reputable and independent third parties or other objective evidence satisfactory to Company. For purposes of Developer's ’s Minimum Development Obligation, such any Full Service Coffeehouse closed Coffeehouse pursuant to this Section 2.1.2 with Company’s consent shall continue to be counted as an operating Coffeehouses Full Service Coffeehouse for a period of 12 months following closure, and Developer shall be deemed in breach of the Minimum Development Obligation if immediately after said 12 month period the cumulative number of Full Service Coffeehouses then-operating is not equal to or greater than the cumulative number required to have been in operation as of the end of the immediately preceding Development Period. Developer shall execute a new Franchise Agreement pursuant to Section 6.1 for each subsequently opened Restaurant“▇▇▇▇▇▇▇▇ Coffee” Coffeehouse, even if opened as a "“replacement" ” for the closed Restaurant“▇▇▇▇▇▇▇▇ Coffee” Coffeehouse. II.1.3 2.1.3 If a Full Service Coffeehouse opened and operated by Developer is destroyed or damaged, other than by a voluntary act of Developer, so that such “▇▇▇▇▇▇▇▇ Coffee” Coffeehouse cannot continue to operate, the destroyed or damaged Full Service Coffeehouse shall continue to count toward satisfaction of the Minimum Development Schedule Obligation (during the period until such substitute location opens), BUT ONLY IF but only if (i) Developer shall repair and restore such Full Service Coffeehouse to Company's ’s then approved plans and specifications within 120 days after the occurrence of such destruction or damage, subject to delays permitted by Section 2.2, or (ii) Developer shall, within 120 days after the occurrence of such destruction or damage, open a Full Service Coffeehouse at a substitute location within the Development Area in accordance with Company's ’s then approved plans and specifications (any such substitute location and the lease Lease for such location must be approved in writing in advance by Company pursuant hereto and Developer shall execute a new Franchise Agreement therefor, pursuant to Section 6.1).