execution. If Pretzel Time approves the lease agreement for such location as meeting Pretzel Time's requirements, then Franchisee will (1) execute such lease agreement; (2) execute the franchise documents; and (3) pay Pretzel Time's reasonable out-of-pocket expenses incurred, if any, in locating such additional Site and negotiating the lease agreement, all within ten (10) business days after Pretzel Time's delivery to Franchisee of the lease agreement and the franchise documents. 2.F. TERM OF FRANCHISE. The term of this Agreement shall commence on the Effective Date of this Agreement and shall expire twenty (20) years from the effective date of this Agreement. References in this Agreement to the term of this Agreement mean the initial term and any renewal term. 3. OTHER DISTRIBUTION METHODS. 3.A. SPECIAL DISTRIBUTION ARRANGEMENTS. Franchisee acknowledges and agrees that (1) Franchisee is not granted any rights to operate Special Distribution Arrangements within or outside the Territory pursuant to this agreement; and (2) the right to operate or grant to others the right to operate Special Distribution Arrangements is reserved to Pretzel Time; and (3) Pretzel Time has no obligation to offer to Franchisee the right to operate Special Distribution Arrangements; and (4) Pretzel Time or its designees may instead operate or grant to others the right to operate Special Distribution Arrangements within and/or outside the Territory. 4. FRANCHISE AND OTHER FEES. 4.A. INITIAL FRANCHISE FEE. The initial franchise fee is Twenty-Five Thousand Dollars ($25,000.00). Upon execution of this Agreement by Franchisee, Franchisee shall pay to Pretzel Time, in consideration of the franchise granted herein, Twenty-Five Thousand Dollars ($25,000.00) payable by certified check or cashier's check in United States currency due upon execution of the Franchise Agreement. The franchise fee is fully earned by Pretzel Time upon the payment in full thereof and is nonrefundable (except as specifically