which of the Franchise Laws applies to its business and then comply with all such laws. The term
Applicable Laws includes all Franchise Laws.
3.2 Accuracy of Information. Following the Effective Date, Master shall take all reasonable
steps necessary to confirm that all information that will be included in any written materials it prepares
to solicit the sale of Franchises in the Development Area (a “Disclosure Document”), will be true, correct
and not misleading at the time of the offer or sale and comply with Applicable Law. Global shall take all
reasonable steps necessary to confirm that all information Global supplies to Master Licensee for use in
any Disclosure Document will be true, correct, and not misleading when it is provided. If Global notifies
Master Licensee of any error in any information in any Disclosure Document, Master Licensee shall have
a reasonable period of time to correct the errors in that information subject to the timing requirements
of Application Law.
All necessary translation of the Disclosure Document, Manual and other materials shall be
carried out and paid for by Master, with Global’s reasonable approval in writing. Global shall be the
owner of the original language and all translated versions.
3.3 Franchise Registration and Disclosure. Master Licensee shall not solicit Franchisees for
the purchase of franchises until Master Licensee has (i) prepared a current Franchise Disclosure
Document in compliance with the Applicable Laws, if any, in the jurisdiction(s) in the Development Area
that require disclosure, (ii) registered a current Disclosure Document with the Governmental Authorities
in the jurisdiction(s) in the Development Area that require registration, or file applications for
exemptions from registration. Throughout the Term, Master Licensee shall provide Global with copies of
every Disclosure Documents it intends to use in the Development Area for Global’s review and approval,
before the Disclosure Documents are used or submitted for registration or exemption. Master Licensee
shall bear all costs and expenses required to prepare, translate, amend, register and/or exempt its
Disclosure Documents in the various jurisdictions in the Development Area.
Throughout the Term Global shall have the option but not the obligation to provide Master with
templates for the current Disclosure Documents and related Exhibits (collectively, a “Template
Disclosure Document”) , which may change from time to time, which Master Licensee shall use as the
model for the preparation of Disclosure Documents. Global shall review and approve, Disclosure
Documents submitted to Global throughout the Term at Global’s expense.
3.4 Compliance and Sales Obligations. Master Licensee shall comply with all Applicable Laws
in the Development Area that govern the sale of the Franchises and franchise relationships affecting
both Master and Global. Master Licensee shall prepare and present to each applicant for the purchase
of a Franchise (a “Candidate”) with a Disclosure Document in accordance with the requirements of the
Applicable Laws in the jurisdictions in the Development Area, unless the Candidate or the sale
transaction is exempt. Master Licensee shall not make any misleading or untrue statements or any
representations inconsistent with the Disclosure Document in connection with the sale of any Franchise.
Further, Master Licensee shall not provide any Candidate with any document or information in
connection with the sale of a Franchise other than documents and information included within the
Disclosure Document. Master Licensee shall make no representations or commitments to any Candidate
in connection with the sale of a Franchise other than representations and commitments specifically
included in the Disclosure Document. If the applicable jurisdiction has no franchise disclosure law