Common use of Local Advertising Clause in Contracts

Local Advertising. 4.4.1 Franchisee shall spend each calendar year a minimum of two and one-half percent (2.5%) of the Gross Sales of Franchisee’s Restaurant on local advertising and promotion (the “Minimum Local Advertising Expenditure”). 4.4.2 In the event HOA establishes a Local Advertising Cooperative that encompasses the Franchisee’s Restaurant, Franchisee shall contribute up to one-half (½) of the Minimum Local Advertising Expenditure described above to such Cooperative, so that the Cooperative actually receives such payment (the “Cooperative Contribution”) by the end of ten (10) days after the end of each month. HOA shall designate Franchisee’s Cooperative Contribution from time to time.