System Restaurant Closure Sample Clauses

System Restaurant Closure. Franchisee may not cease to operate any System Restaurant without PHI's prior consent, except upon condemnation or expiration of a lease pursuant to its terms at execution. Franchisee acknowledges that the damages to PHI from unauthorized closure of a System Restaurant are difficult to calculate; therefore, if Franchisee violates this SectionE10.7, Franchisee will pay as liquidated damages, and not as a penalty, an amount equal to 24 times the average monthly service fees paid or due with respect to the closed System Restaurant during the calendar year before the closing. If the System Restaurant was not open for business for a full calendar year, the liquidated damages will be 24 times the highest monthly service fee during the period the System Restaurant was open.
Sample 1
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Related to System Restaurant Closure

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