Protected Territory. 1. Subject to the terms and conditions of this Agreement and provided Franchisee is not otherwise in default of this Agreement and/or any other Agreement between Franchisor (or any parent, subsidiary or affiliate of Franchisor) and Franchisee (or any parent, subsidiary or affiliate of Franchisee), Franchisor shall not establish, nor franchise another to establish a restaurant under the Churchs System, for the term of this Agreement, within the area described in Exhibit "C" of this Agreement (the "Protected Area"), without Franchisees prior written consent. Notwithstanding the foregoing, Franchisor may, from time to time during the term hereof, reduce or modify the Protected Area to encompass a geographic area immediately surrounding the Franchised Unit which shall include a population (residential and/or daytime business or commercial) of no less than 50,000 people, which modification shall become effective upon Franchisee's receipt of written notice from Franchisor to Franchisee. 2. The provisions of Section 1.02 (A) hereof shall not apply if the Franchised Unit is operated in any of the following types of locations and/or with respect to such locations within the Protected Area, at which Franchisor retains the right, in its sole discretion, to franchise and/or operate Churchs Chicken restaurants, and to distribute by any means Churchs Chicken products: 1. Existing Franchised Units and/or Franchised Units for which Franchise Agreements were previously executed 2. Transportation facilities (including airports, train stations, bus stations, etc.) 3. Toll roads and major thoroughfares 4. Educational facilities (including schools, colleges and universities) 5. Institutional feeding facilities (including, but not limited to, airports, hospitals, hotels, and corporate or school cafeterias 6. Government institutions and facilities 7. Enclosed shopping malls 8. Military bases 9. Casinos 10. Amusement and/or theme parks
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Protected Territory. 1. Subject to the terms and conditions of this Agreement and provided Franchisee is not otherwise in default of this Agreement and/or any other Agreement between Franchisor (or any parent, subsidiary or affiliate of Franchisor) and Franchisee (or any parent, subsidiary or affiliate of Franchisee), Franchisor shall not establish, nor franchise another to establish a restaurant under the Churchs System, for the term of this Agreement, within the area described in Exhibit EXHIBIT "C" of this Agreement (the "Protected Area"), without Franchisees Franchisee's prior written consent. Notwithstanding the foregoing, Franchisor may, from time to time during the term hereof, reduce or modify the Protected Area to encompass a geographic area immediately surrounding the Franchised Unit which shall include a population (residential and/or daytime business or commercial) of no less than 50,000 people, which modification shall become effective upon Franchisee's receipt of written notice from Franchisor to Franchisee.
2. The provisions of Section 1.02 (A) hereof shall not apply if the Franchised Unit is operated in any of with respect to the following types of locations and/or with respect to such locations within the Protected Area, at which Franchisor retains the right, in its sole discretion, to franchise and/or operate Churchs Chicken restaurants, and to distribute by any means Churchs Chicken products:
1. Existing Franchised Units and/or Franchised Units for which Franchise Agreements were previously executed 2. Transportation facilities (including airports, train stations, bus stations, etc.)
3. Toll roads and major thoroughfares
thoroughfares 4. Educational facilities (including schools, colleges and universities) 5. Institutional feeding facilities (including, but not limited to, airports, hospitals, hotels, and corporate or school cafeterias 6. Government institutions and facilities 7. Enclosed shopping malls 8. Military bases 9. Casinos 10. Amusement and/or theme parksparks 1.
03. Except as otherwise set forth herein, (a) the franchise granted to Franchisee under this Agreement is non-exclusive, and grants to Franchisee the rights to establish and operate the Franchised Unit at only the specific location set forth hereinabove, (b) no exclusive, protected or other territorial rights in the contiguous area or market of such Franchised Unit or otherwise is hereby granted or to be inferred and (c) Franchisor and/or its affiliates have the right to operate and grant as many other franchises for the operation of Churchs Chicken restaurants, anywhere in the world, as they shall, in their sole discretion, elect.
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