I. Here is the current franchise contract in which you can find nearly all the general phenomena of franchising business. Hope it will help you within your classes and future working process.



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I. Here is the current franchise contract in which you can find nearly all the general phenomena of franchising business. Hope it will help you within your classes and future working process.



DATE OF AGREEMENT PARTIES: (1) NORTH STARLIMITED (Company Number ), a company registered in England and Wales whose registered office is at ( ) ("Franchisor")   (2) EAGLE TRAVELLTD., a company registered in and existing under the laws of Russia whose registered office/principal place of business is at _____________________ ("Franchisee") RECITALS A. The Franchisor is the operator of the business of a Marine travel agency ("the Business") operating under the trade name Star International ("the Trade Name") and has developed a business System (as hereinafter defined as StarSYS) and established a high quality reputation within the industry.   B. The Franchisor is the owner of confidential information on the management and operation of the Business. C. The Franchisor has agreed to grant a license to the Franchisee to operate the Business in accordance with the terms of this Agreement. D. The Franchisee will provide the Franchisor with a business plan that indicates that the Franchise Business will generate a satisfactory investment return to the Franchisee. NOW IT IS AGREED AS FOLLOWS 1. DEFINITIONS In this Agreement the following words or phrases shall have the following meanings "Business" as defined above. "Business Plan" means the business plan and financial projections for the Franchise Business provided to the Franchisor prior to the Franchisee commencing the Franchise Business as it shall be updated from time to time. "Marine" the marine, offshore and cruise market sectors. "Computer Software" the customized bespoke software which has been written exclusively for the Business and which is to be licensed to the Franchisee on a non-exclusive basis under this Agreement, the full details of which are listed within the Franchise Service Pack.   "Commencement Date" means the date set out in Schedule 1 or such earlier date as the Franchisee and the Franchisor shall mutually agree. "Equipment" means computer hardware, office equipment and furnishings of such type, make or model and to such standard specified or approved by the Franchisor to enable the installation of the Computer Software at the earliest opportunity. "Expiry Date" shall mean the last day of the Term.     "Fees" means those fees which are payable for additional services which are required or authorized to be provided by the Franchisee as part of the Franchise Business as set out in the Manual from time to time. The full list of fees and costs payable under the franchise agreement are listed under Schedule 3. "Franchise Business» means the business carried on either by the Franchisee or within a separate limited company owned by the Franchisee, using the System in the Territory.   "Franchise Fee" means the annual fee payable to the Franchisor by the Franchisee for the use of the Franchise and is listed under Schedule 3 (Note: Due to tax and IATA regulations issues, we need to consider the establishment of a separate company as an option but not as an obligation) "Management" means the directors and shareholders of the Franchisee as set out in Schedule 1. "Manual" the confidential operating manual (StarSYS) of the Franchisor describing the way in which the Franchisee shall operate the Franchise Business in accordance with the System and other matters as amended by the Franchisor from time to time in it’s absolute discretion and which is deemed to form a part of this Agreement. "Marketing Materials" means not limited to literature, leaflets, brochures and other marketing advertising and promotional materials used in the Franchise Business as specified or approved by the Franchisor in writing.     "Premises" means those premises which are established by the Franchisee in the Territory for the purposes of the operation of the Franchise Business. "Services" the sale of airline travel documents and the making of travel arrangements which are specified or approved by the Franchisor together with all additional services specified by the Franchisor from time to time. "Stationery" means receipts, invoices, letter headings, compliment slips, business cards and other stationery used in the Franchise Company.   “Franchise Company” – shall mean North Star Ltd, the company which will be duly registered under the Laws of Russian Federation and in which the Franchisee will own not less then 1% of the share capital. "System" means the distinctive business format and methods developed or contracted by the Franchisor in connection with the Business which are confidential and valuable all of which may be changed, improved and further developed by the Franchisor as specified in the Manual (StarSYS). "Term" means the period specified in Clause 3. "Territory" means the territory set out in Schedule 1 as constituted on and with the geographical boundaries as defined at the date of signature of this Agreement. "Trade Marks" such registered and unregistered trade marks and logos set out in Schedule 2 and all others which my be additional to or in substitution for them as may from time to time be specified by the Franchisor. "Trade Name" as defined above which shall include any additional or substitute trade names specified by the Franchisor from time to time. "VAT" means Value Added Tax or any tax levied in substitution for or in addition to it or other similar sales tax in the Territory.   2. GRANT OF FRANCHISE 2.1. In consideration of the payment of the Franchise Fee by the Franchisee to the Franchisor on the due payment dates and subject to a) strict compliance by the Franchisee of the terms of this Agreement; and b) the Franchisor grants to the Franchisee with effect from the Commencement Date. (i) the right to operate the Franchise Business ; (ii) to operate the System (StarSYS); (iii) to use the Trade Mark specified by the Franchisor; (iv) under the Trade Name, in case a separate limited company hereunder named as Subsidiary in which Franchisee will own not less 1% of share capital provided that the Subsidiary is established in order to carry on the franchise business; (v) to customers who have a place of business within the Territory; (vi) for the Term Subject to the Franchisor's right of earlier termination under clause 15.   2.2. The Franchisee shall not grant any sub-franchise of the Franchise Businessor of any part of it or delegate any rights granted in the Agreement to a third party.   2.3. The Franchisee shall be permitted to open more than one location in the Territory apart from the Premises only with the prior written consent of the Franchisor, such consent not to be unreasonably with held or delayed.   2.4. The Franchise rights extend to the Territory only and the Franchisee shall not actively offer the Services to any customer who does not have a business address within the Territory. However, for the avoidance of doubt the Services may be performed for or in connection with travel in any part of the world. 3. COMMENCEMENT OF FRANCHISE AND TERM This Agreement shall commence on the Commencement Date and shall continue in force for a period of three years. 4. OPTION TO RENEW 4.1. Provided that this Agreement has not previously been terminated for any reason and subject to the conditions set out below the Franchisor grants to the Franchisee an option to renew the Franchise for a further period of five years with effect from the Expiry Date. The conditions are that:   (i) prior to entering into a new Franchise Agreement the Franchisee and the Subsidiary shall have substantially observed and performed all of their obligations under this Agreement throughout the Term and shall not be in breach of any material term hereof at the Expiry Date; (ii) The Franchisee shall exercise its option to renew the franchise by giving not less than 6 months nor more than 12 months notice in writing to the Franchisor before expiry of the Term requiring it to be renewed; (iii) No later than six months prior to the Expiry Date the Franchisee and the Management shall enter start negotiations to enter into a new franchise agreement. 4.2. On signing of the new franchise agreement the Franchisee and the Management shall be deemed to have released all claims against the Franchisor and any of its franchisees or any third party associated with the Franchisor provided that such claim shall have been presented to Franchisor before the day of receipt by Franchisor the notice described in the clause 4.1. (b). 4.3. Prior to the Expiry Date, if required by the Franchisor, the Management and such other employees as shall be nominated by the Franchisor shall attend such further training as may be required by the Franchisor in its absolute discretion. The costs and expenses of such further training shall be borne by the Franchisee together with all accommodation and travel expenses. 4.4. The Franchisee shall undertake at it's own expense within a period of [90] days (or such other period as may be reasonably specified by the Franchisor) from the date of notification of it's requirements, to refurbish the Premises to bring them in line with the Franchisor's then current corporate scheme and colours and standards where the Franchise Business premises are separate from other business premises operated by the Franchisee, and in all cases, to replace such of the Equipment as the Franchisor may require at the expense of the Franchisee. 4.5. Each party hereto shall bear its own legal costs (if any) relating to the grant of the new Franchise Agreement.   4.6. If after service of the notice on the Franchisor referred to in clause 0 (and prior to completion of the new Franchise Agreement) the Franchisee shall fail to comply with any of the provisions in this Clause 4 or commits a breach of this Agreement entitling the Franchisor to terminate this Agreement, or this Agreement is terminated, then the Franchise right to renew this Agreement shall automatically cease. 5. FRANCHISOR'S OBLIGATIONS 5.1. In order to assist the Franchisee in the commencement of the Franchise Business and in consideration of the payment of the Franchise Fee, the Franchisor shall: provide an initial training programme for the Management and such other employees as may mutually agreed at a place and time designated by the Franchisor in the operation of the System (InstoneSYS) and the provision of the Services. The cost of such training shall be included in the Franchise Fee. The Franchisee shall be responsible for traveling and subsistence and accommodation expenses; 5.2. Subject to full and complete compliance by the Franchisee with the terms of this Agreement at all times the Franchisor shall: (а) provide the Franchisee with the benefit of the Franchisor's knowledge and expertise and guidance (by way of updating and improvement of the Manual or otherwise) with regard to the application of the System (InstoneSYS) to the operation of the Franchise Business by such means at the Franchise expense as the Franchisor shall determine in agreement with the Franchisee. (comments - to which agreement is this reference? Should the parties conclude one more agreement? No definition of the Frinchise expenses) The Franchisee shall implement any reasonable proposals of the Franchisor in connection with the operation of the Franchise Business within an agreed time period. (b) inform the Franchisee of any improvements and developments (by way of updating and improvement of the Manual or otherwise) to the System (StarSYS) and the Services. The Franchisor shall only be entitled to add to, remove, and/or extend the range of Services with the written consent of the Franchisee. All Fees for additional Services shall be either set out in the Manual or otherwise agreed upon in writing with the Franchisee; (с) conduct such advertising and promotion of the Business in accordance with clause 9 below (d) respect of as it in it's absolute discretion deems fit both within and outside of the Territory; (e) make available to the Franchisee such further training as the parties hereto may agree. (f) make available to the Franchisee such standard services, facilities and other items on the same terms as it makes them available to all other franchisees at the expense of the Franchisee. 7. FRANCHISEE’s OBLIGATIONS In order to maintain the highest standards of service to be provided by the Franchisee and the Franchisor's other franchisees the Franchisee at it's expense during the Term of this Agreement shall: 7.1. Initial obligations: (a) Establish a separate company under the name of ‘Instone International” and the Premises for the operation of the Franchise Business and ensure they are forthwith refurbished, equipped decorated (both internally and externally) and fitted out as agreed by the parties hereto.   (b) register for Value added Tax purposes with the appropriate authorities in the Territory in case a separate limited company owned by the Franchisee is established, in order to carry on the franchise business;   © commence the Franchise Business ; (d) register and comply with all applicable laws in the Territory which are relevant to the Franchise Business including but not limited to an IATA licence and registrations and notifications which may be required in respect of personal data;   (e) Begin the process of ISO registration to ISO 9001/2000;   (f) Ensure that the franchise nature of the business is clearly stated on all correspondence and communication media as prescribed under clause 7.6(n) below. 7.2. Comply with the Manual and System (StarSYS) the Franchisee shall: (a) commence the Franchise Business on the Commencement Date and carry on the Franchise Business in all respects and at all times in accordance with the terms and conditions of the present Agreement and it’s integral parts and in particular in accordance with the Manual as the same may be amended from time to time to the best of their endeavours; (b) ensure that the Franchise Business at all times complies with the System (StarSYS) and with all other businesses providing the Services particularly with regard to service and quality, the Franchisee acknowledging that conformity to the highest standards of service and customer care are of the utmost importance in the successful operation of the Franchise Business and the protection of the goodwill attached to the System, and the Trade Mark for the benefit of the Franchisor; © not disclose the System (StarSYS) and/or any contents of the Manual to anyone other than persons authorised in writing by the Franchisor to receive such information or bona fide employees who shall have previously entered in to a confidentiality agreement with the Franchisor (d) use in the Franchise Business only the Equipment, Stationery and Marketing Materials mutually agreed with the Franchisor;   (e) use it's best endeavours to secure the highest number of air tickets sold for the Franchise Business ;   7.3. Records and Accounts. The Franchisee shall: (a) maintain accurate records of all transactions and make them available to the Franchisor and it's authorised representatives on demand at any time during the Term. The Franchisor at its expense shall be entitled to take copies from the same. (b) retain such full and proper books of account and records for a period as shall be required by law in the Territory;   © ensure that the Franchise business has at all times sufficient working capital to meet the Franchise obligations to the Franchisor and all of its creditors and expand and develop the Franchise Business 7.4. Trade Mark. (a) The Franchisee undertakes that it will not in any way infringe or harm the rights of the Franchisor to the Trade Name and the Trade Marks; (b) The Franchisee shall enter into a licence agreement in respect of the Trade Marks and any other trade marks or service marks which the Franchisor may require to be used in the Franchise Business if and when required by the Franchisor at the Franchise expense with the Franchisor; (с) The copyright property and goodwill in the Manual shall at all times be and remain the property of the Franchisor;   (d) The Franchisee recognises that the use by it of the Trade Name and Trade Marks exists for the benefit of the Franchisor and that any goodwill arising from such use by the Franchisee shall automatically vest in the Franchisor as proprietor in any event; (e) The Franchisee undertakes and agrees to protect and promote the goodwill associated with the name or mark or any part of it and to hold such goodwill generated by the Franchisee in the operation of the Franchise Business for the benefit of the Franchisor; (f) The Franchisee shall not use the Trade Name or any items bearing the words "Star International" or "Star" except in conjunction with the Franchise Business and shall not use any name or mark similar to or capable of being confused with any part of the Trade Name; (g) The information disclosed by the Franchisor pursuant to this Agreement uses the Know-how of the Franchisor which is a valuable trade secret. The Franchisee shall not disclose any of the System including but without prejudice to the generality thereof the Know-how or any other confidential information of the Franchisor or anyone connected with it whether contained in the Manual or otherwise disclosed to it by the Franchisor or otherwise obtained acquired or received by it to any person except as expressly provided in this Agreement;   (h) The Franchisee shall notify the Franchisor immediately of: (i) any breach or infringement or any suspected breach or infringement of the Trade Name, the Trade Marks or any intellectual property rights;   (ii) any breach or suspected breach of any obligation of confidentiality referred to herein; (iii) any suspected passing off; (iv) any claim that the Franchisee is in breach of the rights of any third party of which the Franchisee may become aware and promptly in consultation with and at the expense of the Franchisor take such action with regard thereto as the Franchisor shall reasonably require. The Franchisee shall not take any action with regard to the infringement of any Trade Name, the Trade Marks or any intellectual property rights in its own name without the express prior written consent of the Franchisor which it may withhold in their absolute discretion; (i) The Franchisor is currently applying for registration of the Trade Marks in the Territory. The Franchisee shall render to the Franchisor reasonable assistance to enable it to obtain registration of the trademarks if required. The Franchisee shall not apply for registration as proprietor of a trade mark or service mark which is or shall be used in the Franchise Business or any trade mark or service mark similar to or capable of being confused with any part of the System or the words "Star International" or "Star" or any imitation or similar sounding name;   (j) The Franchisee and the Management shall not register a domain name to include the URL "Star International" or "Star". (k) The Franchisee shall indemnify the Franchisor thereof against any unauthorised use or infringement of any patent mark copyright or other intellectual property by the Franchisee or his employees or agents;   (l) The Franchisee agrees and acknowledges that the copyright in any amendments to the System proposed or made by the Franchisee shall belong to the Franchisor absolutely. The Franchisee shall not have the right to file patent, copyright, design and/or trade mark applications and / or to acquire any other intellectual property rights concerning know how and/ or the System in any country in the world without the prior written consent of the Franchisor. 7.6. Control of Standards The Franchisee accepts and agrees the necessity in the public interest of achieving and maintaining the highest standards of quality skill and service in the provision of the Services and that all the clauses in this Agreement and the Manual are reasonably necessary in pursuance of these agreed objectives; The Franchisee undertakes and agrees to adhere strictly and continuously in the operation of the Franchise Business to the Franchisor's rules regulations and standards as to methods and operating procedures described in the Manual (as from time to time updated and improved by the Franchisor) which is hereby incorporated expressly in and made part of this Agreement; The Franchisor shall lend to the Franchisee and the Franchisee shall be entitled to borrow a copy of the Manual throughout the term of this Agreement. The Franchisee undertakes to note and insert into the Manual amendments thereto published by the Franchisor from time to time; The Franchisor shall keep a current updated copy of the Manual at its Head office. If the Manual kept by the Franchisor differs from that kept by the Franchisee then the copy maintained in the Franchisor's Head office shall prevail; The Franchisor is in the process of or has implemented system standards to ISO 9002 standard. The Franchisee shall be required at all times to adhere to such qualitative standards. The Franchisee shall within (12 months) of the Commencement Date obtain ISO 9002 accreditation or equivalent in the Territory at its own cost and expense and thereafter maintain and renew such accreditation at the Franchisee's expense. In achieving and maintaining accreditation the Franchisee shall engage consultants who have been previously approved or recommended by the Franchisor; The Franchisor shall have the right from time to time to remove change or add to the design quality range and diversity of the Services in order to incorporate at its discretion all pertinent new developments including procedures for improved efficiency and extend the range of Services; The Franchisee shall not give any representation warranty or guarantee whether oral or in writing in respect of the Services except as may be authorised by the Franchisor in writing; In order to promote and protect the reputation of the Franchisor and of all its franchisees and to maintain satisfactory public confidence the Franchisor or its nominees reserves the right to communicate with any of the clients, and customers of the Franchise Business at any time during the term of this Agreement to ascertain the quality and operating standards of the Franchise Business and the Franchisee shall upon request furnish the Franchisor with such particulars whether in writing or otherwise as are necessary to this end, such communication shall in no event harm the Franchisee’s reputation. The Franchisee shall forthwith give to the Franchisor full written details of any complaint received from a client relating to the operation of the Franchise Business and shall comply with the non-conformance procedure set out in the Manual. The Franchisee shall be responsible for all operating expenses (including losses) of the Franchise Business. The Franchisee shall indemnify the Franchisor against all actions claims demands damages or expenses whatsoever or howsoever arising by reason of any act, default or omission of the Franchisee in connection with the carrying on of the Franchise Business; The Franchisee shall not without the previous written consent of the Franchisor sell assign charge pledge or introduce or seek to introduce a partner or partners to or otherwise deal with or encumber in any way (whether voluntarily or by operation of law) the Franchise Business , this Agreement or any interest therein except as provided herein;   The Franchisee shall maintain the Premises at all times in good and substantial repair and condition, clean and sanitary and in accordance with the standards set out in the Manual notwithstanding the provisions of any lease or property interest of the Premises; The Franchisee shall not improve, alter, amend, change the colour scheme, the fixtures and fittings, signage, or depart from the Franchisor’s approved corporate image in respect of the Premises without the Franchisor's prior written consent which it may withhold in its absolute discretion;   Subject to regulation in force, if any, the Franchisee shall place on all Stationery in a distinctive and prominent way the following words "Star International”. In case a separate limited company owned by the Franchisee is established, in order to carry on the Franchise business, the Franchisee shall place on all Stationery the following words Star International. The Franchisee shall be contactable 24 hours, seven days a week. The Franchisee shall ensure that if there is no-one personally to answer the telephone, that the telephone number is diverted to a person able to take the call; The Franchisee irrevocably authorises the Franchisor to visit the Premises to inspect the Premises and any item on the Premises. 7.7. Employees The Franchisee shall: (a) procure that all staff enter into a formal contract of employment and a confidentiality undertaking with the Franchisor and the Franchisee and the Franchisee shall not permit or suffer disclosure of the Manual to any staff unless and until they have signed such a confidentiality undertaking. The Franchisee shall employ an adequate number of staff in the operation of the Franchise Business so as to ensure the highest standards of service shall ensure that all staff are properly and suitably qualified and trained and retrained as set out herein and in the Manual at the Franchisee's expense;     (b) ensure that there are an adequate number of employees allocated to the Franchise Business; (с) ensure that all working practices for its staff comply with the relevant health and safety regulations; (d) submit such of the Franchisee's employees for training as may be agreed between the parties from time to time at the Franchisee's expense which would only include travel and accommodations costs 7.8. Trade Name If the Franchisor during the term of this Agreement shall vary or amend it's corporate image including but not limited to changes in the design, colour, style, and layout of any logo or sign, Trade Name, Trade Mark, Marketing Materials, or Stationery the Franchisee at his expense shall effect such alterations within a reasonable period of time, but not earlier than 24 calendar months following the implementation of previous alterations.;   7.9 Non Competition The Franchisor, the Franchisee and the Management and each of them shall not during the Term (a) enter into a Franchise Agreement with a third party which may be in competition with the terms of the present agreement. : (b) engage in or be involved directly or indirectly in any business which shall compete with the Franchise Company or the Business or with the Franchise Company of any of the Franchisor's franchisees nor in any business which shall offer or provide a service identical thereto     © in case a separate limited company owned by the Franchisee is established in order to carry on the franchise business; offer any services through the Franchise Company other than the Services 7.10 Insurance The Franchisee shall during the Term maintain in full force and effect general liability insurance together with such other insurance cover as is normal for a business of a size and type similar to the Franchise Business according to the appropriate requirements of the Russian legislation, provided that such insurances to be effected through a reputable Russian insurance Company in such minimum sum and for such minimum risks as shall be prudent. The Franchisee shall obtain the Franchisor's prior approval to its level of insurance cover provided that such level should be determined in accordance with the Russian legislation, and thereafter produce evidence of subsequent renewals and payment of the relevant premiums. The Franchisee shall ensure that there shall be no breach of any policy of insurance or assurance relating to the Franchise Business; The Franchisee shall procure at its expense an insurance policy which shall indemnify the Franchisor and subsequent licensors against any claims made against the Franchisor and subsequent licensors resulting from an omissions or errors breach arising from the Franchise Business during and after the term of this agreement for a period of ( ) years. A copy of this policy shall be provided to the Franchisor for approval prior to issuance and subsequently upon each renewal. 7.11. Indemnity The Franchisee confirms that the Franchisor is in no way responsible or liable for any injury, loss or damage to any person or property of whatever kind whether direct or indirect or caused or contributed to by or in the course of the operation of the Franchise Business whether such injury, loss or damage be caused intentionally or by the negligence or breach of contract on the part of the Franchisee or it's employees agents or others. The Franchisee shall indemnify the Franchisor against all actions, claims, costs, damages, awards, expenses and demands made against the Franchisor during and after this agreement in respect of any claim and against all legal costs and expenses incurred by the Franchisor on any account whatsoever. The Franchisee shall similarly indemnify subsequent licensors of this Franchise.     7.12. Business and Marketing Plans (a) The Franchisee has prior to the date of this Agreement agreed with the Franchisor a Business Plan and marketing plan for the first two years of this Agreement on a month by month basis (with assistance to be provided by the Franchisor); (b) Not later than [1 ] months prior to the commencement of the second and subsequent years of this Agreement the Franchisee shall agree with the Franchisor its revised Business Plan and marketing plans for the following two years; (c) Notwithstanding agreement by the Franchisor to such Business Plan, the Franchisor shall have no liability to the Franchisor in respect of the contents of any Business Plan. 8. LANGUAGE 8.1. The language of communication between the parties shall be English. 8.2. All marketing and promotional materials and advertisements and Stationery shall be in the English Language and/or in the language of the territory. To the extent that the Franchisee translates any documents used in the Franchise Business into another language copyright in such translation shall belong to the Franchisor. 8.3. Where legal requirements prevent any documents from being issued and signed in English, the Franchisee shall upon request provide at the Franchisor’s cost an English translation to the Franchisor, in which case the (Russian) version shall prevail. 9. MARKETING, ADVERTISING AND PROMOTIONS 9.1. The Franchisor shall at his own expense promote national and international advertising by such marketing, advertising, research, press relations and promotion as may be agreed upon from time to time between the parties hereto   9.2. The Franchisee shall at his own expense actively market, advertise, research and promote the Franchise Business on a day to day basis throughout the Territory. The Franchisee shall only use a format that will be agreed between the parties hereto. 9.3. The Franchisee shall not without the Franchisor's prior consent depart with respect to the Franchise Business from the Franchisor's Internet policy set out in the Manual. The Franchisor may establish a web/multimedia presence for the Instone brand and all franchisees shall be entitled to participate or maintain a presence in the manner determined by the Franchisor to ensure the maintenance of standards and compliance with security procedures. However, this shall not prevent the Franchisee from establishing an internet/multimedia presence for any other business which is established in compliance with this Agreement providing it does not promote the Instone brand.   10. IMPROVEMENTS If at any time during the Term of this Agreement the Franchisee, the Management or its employees shall propose any improvements or enhancements to the Business or the System he shall forthwith inform the Franchisor of such proposed improvements or enhancements together with all details necessary for a proper understanding of such proposed improvements and enhancements and shall obtain the Franchisor's written consent prior to implementing any such improvements or enhancements and at the request of the Franchisor shall grant the Franchisor an exclusive license without cost which license will enable the Franchisor to sub-license the improvements to third parties and other franchisees. 14. TERMINATION 14.1. Upon the occurrence of a breach under this Agreement by any party hereto, the non defaulting party may at its option take such actions and pursue any and all remedies available to such non defaulting party, including, without limitation, termination of this Agreement, if the defaulting party has not cured such breach on or before the thirtieth (30th) day following delivery by non defaulting party to the defaulting party of a written notice describing such breach. A breach is defined as occurring: (a) if the Franchisee fails to pay any amounts to the Franchisor when due; (b) if the Franchisee shall fail to operate the Franchise Business in accordance with this Agreement, the Manual or the Franchisor's reasonable instructions;   © if the Franchisee shall attempt to transfer any of the rights licences or obligations contained in this Agreement other than in accordance with the terms of this Agreement; (d) if the Franchisee discloses or allows or suffers to be disclosed any part of the Manual or other confidential information relating to the Franchise Business otherwise than in accordance with the terms of this Agreement;   (e) if the Franchisee fails to obtain prior written approval or consent of the Franchisor whenever expressly required by this Agreement; (f) if the Franchisee or any officer, director or employee of the Franchisee gives to the Franchisor any false or misleading information or makes any misrepresentation in connection with the obtaining of this Agreement or at any time during the continuance of this Agreement in connection with the Franchise Business; (g) if the Franchisee shall have any licence or permission necessary for the operation of the Franchise Business revoked or terminated; (h) if the Franchisee or the Management is convicted of a criminal offence which directly or indirectly adversely affects the Franchisor or the Franchise Business ; 14.2. Upon the occurrence of a breach under this Agreement by a party hereto, the non defaulting party may at its option take such actions and pursue any and all remedies available to such non defaulting party, including, without limitation, termination of this Agreement, if the defaulting party has not cured such breach on or before the thirtieth (30th) day following delivery by non defaulting party to the defaulting party of a written notice describing such breach 14.3. The Franchisee shall have the right to terminate this Agreement if the Franchisor (a) approves or registers the transfer of any shares which result in a change of control of the Franchisor or   (b) issues new shares in its share capital (whether to its existing shareholders or to third parties) which result in a change of control of the Franchisor, or     © transfers the Trademark, Tradename or Client base. 14.5. For the purposes of this Clause 14.3 "control" means the control of 50% or more of the voting shares of the Franchisor or the ability to control the composition of its Board of Directors or otherwise the ability to control its management and operation and "controlling interest", "controlling shareholder" and "change of control" shall be construed accordingly.   14.6. The Franchisor shall notify the Franchisee of the occurrence of any of the events provided for in 14.3. above, within calendar 30 days following such event and the Franchisee shall have the right to terminate this Agreement within 60 calendar days following receipt of such notification. 17. FORCE MAJEURE 17.1. If either party shall be unable to perform any of its obligations hereunder by reason of fire explosion riot malicious damage theft lockout or trade dispute shortage or non-availability of materials or any other act omission or state of affairs whether or not of a like nature beyond that party's control then that party shall be relieved of their obligations incurred under this Agreement wherever and to the extent that the fulfillment of such obligations is prevented frustrated impeded or delayed as a consequence of any such event.   17.2. Both parties shall be relieved of their obligations hereunder in time of war national emergency or any other cause beyond the control of the parties which shall make performance hereunder impossible provided that this clause shall have effect when proper performance shall have been impossible for a continuous period of (twelve) months at the Franchisor's discretion.   18. INTERPRETATION 18.1. All rights and remedies of the parties hereunder shall be cumulative and may be exercised successively or concurrently and a waiver by one party of any breach hereof by the other party shall not constitute a waiver of any other breach nor shall any delay or omission of on party to exercise any rights arising from any breach by the other party affect or impair the other party’s rights in respect of the said breach or any other breach of any kind.   18.3. All clauses of this Agreement are distinct and severable and if any clause or part thereof shall be held unenforceable illegal or void by any arbitrator court or regulatory authority it shall not affect the validity or legality of the remaining clauses of this Agreement. If any clause or part thereof shall be held illegal or void or the Franchisor's and the Franchisee’s rights under this Agreement shall be adversely affected the parties shall negotiate in good faith a modification of such clause so as to maintain in so far as is practical and lawful the intent of such clause. Where the parties are unable to agree the necessary corrections and amendments as aforesaid the same shall be referred to senior specialist counsel agreed by both parties and the said counsel shall act as expert but shall receive written submissions from each party and shall give reasons in writing for his decision which shall be final and binding upon the parties including as to how his fees shall be borne between them.     18.4. Whilst the restrictions contained in this Agreement are considered reasonable by the parties in all the circumstances for the protection of the Franchisor and of the Franchisee and of the public in relation to the provision of the Services if any part of such restrictions may be adjudged void but would be valid if any part thereof were deleted or if the period or area of restrictions were reduced the said restrictions shall apply with such modification as may be necessary to make them valid and effective. 18.5. This Agreement and the Schedules and Manual referred to herein constitute the entire Agreement between the parties hereto and there are no other covenants promises or agreements written or oral other than those contained herein and the Franchisee acknowledges that in entering into this Agreement he has not relied on any representations made by the Franchisor other than those contained in this Agreement or attached hereto and initialed by the parties (save for those representations which are subsequently found to be fraudulent).     18.6. The Franchisee acknowledges and agrees that the Franchisor has made no representations of minimum or guaranteed profits from the Business or the Franchise Business upon which the Franchisee has relied in entering into this Agreement. The Franchisee acknowledges that he has been advised by the Franchisor to discuss his intention to enter into this Agreement with other franchisees of the Franchisor (if any) and to take independent legal advice and other professional advice and that he has decided on the basis of his own judgment and what he has been told by his legal or other professional adviser whether or not to enter into this Agreement. The Franchisee further acknowledges that he recognizes that the business venture contemplated by this Agreement involves business risks and that its success will be affected by the Franchisee’s ability and commitment as an independent business person. 18.7. This Agreement shall not constitute the Franchisee as an agent (except as expressly set out herein) employee contractor or partner of the Franchisor for any purpose whatsoever nor shall the Franchisee hold himself out as an agent, employee, contractor or partner of the Franchisor. It is understood between the parties that the Franchisee is an independent contractor and in no way authorized to make a contract, agreement, warranty or representation neither on behalf of the Franchisor nor to create any obligation express or implied on behalf of the Franchisor. 18.8. No agent of either party has authority to make oral representations prior to or after the date of this Agreement and neither party has relied upon any oral representations (save for fraudulent misrepresentation) in entering into this Agreement nor has any agent of either party any authority to make any agreements which may modify or vary the terms and conditions hereof. 18.9. In this Agreement words importing the feminine gender also include the neuter and masculine gender and words importing the singular number include also the plural number and where there are two or more parties or persons included in the term "the Franchisee" the covenants warranties or undertakings expressed to be made respectively by them shall be deemed to be made by such parties or persons jointly and severally. 18.10. All headings in this Agreement are for the purposes of identification only and they shall not form part of or affect the interpretation of all or any of the clauses herein. 18.11. This Agreement may be entered into in any number of counterparts each of which shall be deemed to constitute an original. 18.12. In this Agreement the word "person" means any person firm or company or any combination thereof. 18.13. This Agreement shall be governed by English law in every particular including formation and interpretation. 18.14. Any proceedings arising out of or in connection with this Agreement shall be brought in a court of competent jurisdiction within England and Wales.   18.15. If the Franchisee is late making any payments when due to the Franchisor such payments or part thereof as are unpaid shall bear interest at the rate of 5% per month over LIBOR both before and after judgment. 19. DISPUTE RESOLUTION 19.1. This Agreement is governed by English Law. 19.2. The place of arbitration shall be London, England. The language to be used in the arbitral proceedings shall be English. 19.3. Either party may, without inconsistency with this Agreement, seek from a court any interim or provisional relief that may be necessary to protect the rights or property of that party, pending settlement of this dispute in accordance with this Agreement or award or determination.   IN WITNESS of which the parties have signed this agreement on the date set out above. ДАТА ДОГОВОРА СТОРОНЫ ДОГОВОРА: (1) СЕВЕРНАЯ ЗВЕЗДА ЛТД.(номер Компании ____________), компания, зарегистрированная в Англии и Уэльсе, и чей зарегистрированный офис находится по адресу: ___________________ (в дальнейшем именуемая «Франчайзор»). (2) ИГЛ ТРЭВЕЛ ЛТД, компания, зарегистрированная и осуществляющая деятельность в соответствии с законами России, чей зарегистрированный офис/основное место осуществления деятельности находится по адресу: ________________________«Франчайзи») ДЕКЛАРАТИВНАЯ ЧАСТЬ ДОГОВОРА А. Франчайзор является владельцем Бизнеса Марин Трэвел Эйдженси (именуемого в дальнейшем «Бизнес»), осуществляющей коммерческую деятельность с использованием торговой марки «Стар Интернешнл» (в дальнейшем именуемой «Торговая марка») и разработал систему ведения Бизнеса (именуемую в дальнейшем «СтарСИС»), при помощи которой достиг высокой степени деловой репутации. В. Франчайзор является владельцем конфиденциальной информации в сфере управления и ведения Бизнеса.   С. Настоящим Франчайзор выражает согласие о передаче лицензии на ведение Бизнеса Франчайзи в соответствии с условиями настоящего Договора. D. Франчайзи при этом должен предоставить Франчайзору бизнес план, гарантирующий в результате ведения Франчайзинг Бизнеса приемлемый уровень возврата вложений Франчайзи. НАСТОЯЩИМ СТОРОНЫ ПРИШЛИ К СОГЛАШЕНИЮ О НИЖЕСЛЕДУЮЩЕМ: 1. ОПРЕДЕЛЕНИЯ В настоящем Договоре нижеследующие слова или выражения имеют следующее значение:   «Бизнес» как это определено выше. «Бизнес план» означает бизнес план и финансовые расчеты для ведения Фрайчайзинг Бизнеса, предоставляя при этом Франчайзору приоритетное право на начало ведения Франчайзинг Бизнеса, периодически корректируемое. «Морской участок» означает морской, прибрежный и круизный рыночные сектора. «Компьютерное обеспечение» означает специально созданные по заказу компьютерные программы, составленные исключительно для ведения Бизнеса, лицензия на которое передается Франчайзи на общих основаниях в соответствии с положениями настоящего Договора, полная детализация которых излагается в пакете программ франшизы. «Дата вступления в силу Договора» означает дату, указанную в Приложении 1 или более раннюю дату, взаимно согласованную между Франчайзи и Франчайзором. «Оборудование» означает компьютерную технику, офисное оборудование и оснастку такого типа, модификации или модели, которые отвечают стандартам, установленным или одобренным Франчайзором, позволяющим установку компьютерного обеспечения при первой необходимости. «Дата окончания Договора» означает последний день исполнения обязательств по настоящему Договору (окончание периода действия франшизы). «Расходы» означает ту часть расходов, которая связана с оплатой дополнительных услуг, требующихся или санкционированных Франчайзи и являющихся частью Франчайзинг Бизнеса, периодически устанавливаемых Руководством по ведению Бизнеса. Полный перечень расходов и издержек, оплачиваемых по настоящему Договору Франчайза указан в Приложении 3.   «Франчайзинг Бизнес» означает коммерческую деятельность, осуществляемую либо Франчайзи, либо самостоятельной компанией с ограниченной ответственностью (самостоятельная компания), принадлежащей Франчайзи, с использованием территориальной системы. «Плата за Фрайчайзинг» означает ежегодные выплаты Франчайзи Франчайзору, перечисленные в Приложении 3, за пользование франшизой. (Примечание; во исполнение положений налогового законодательства и правил Международной ассоциации воздушного флота создание самостоятельной компании является правом выбора, но не обязательством). «Управляющий аппарат (Дирекция)» означает директоров и акционеров Франчайзи в соответствии со списком согласно Приложения 1. «Руководство» означает руководство по ведению Бизнеса (СтарСИС) Франчайзора, описывающее способы ведения Франчайзинг Бизнеса в соответствии с Системой и другие вопросы, периодически дополняемые Франчайзором по его собственному усмотрению и образующей неотъемлемую часть настоящего Договора.     «Материалы по маркетингу» означает не лимитированное количество литературы, листовок, брошюр и других рекламных материалов, и иных материалов, способствующих сбыту продукции, используемых в процессе ведения Франчайзинг Бизнеса, письменно определенных или одобренных Франчайзором. «Помещения» означает помещения из числа объектов недвижимого имущества, возведенные Франчайзи на защищенной Территории в целях ведения Франчайзинг Бизнеса. «Услуги» означает продажу авиа проездных документов и предоставление проездных услуг, установленных или одобренных Франчайзором вместе со всем перечнем дополнительных услуг, периодически устанавливаемых Франчайзором.   «Канцелярские принадлежности» означает бланки квитанций, счетов, фирменные бланки, официальные бланки, визитные карточки и другие канцелярские принадлежности, используемые Франчайзинговой компанией. «Франчайзинговая компания (Компания)» означает компанию Северная Звезда Лтд, должным образом зарегистрированную в соответствии с Законами Российской Федерации и в которой Франчайзи владеет не менее 1% ее уставного капитала. «Система» означает определенный бизнес формат и методы, выработанные или приобретенные Франчайзором в связи с ведением Бизнеса, являющиеся конфиденциальными и стоимость которых может меняться, возрастать и в дальнейшем увеличиваться Франчайзором в соответствии с положениями Руководства (СтарСИС). «Срок действия Договора» означает срок, установленный Статьей 3. «Территория» означает район, указанный в Приложении 1, образованный и приобретающий географические границы с момента подписания настоящего Договора.   «Торговые марки» означает зарегистрированные или незарегистрированные торговые марки и эксклюзивные символы, указанные в Приложении 2, равно как и все иные символы или марки, периодически устанавливаемые Франчайзором дополнительно к имеющимся либо взамен их. «Название торговой фирмы (фирменное название)» как это определено выше включает в себя любые дополнительные или периодически устанавливаемые Франчайзором названия. «НДС» означает Налог на добавленную стоимость или любой иной заменяющий его налог или в дополнение указанного, равно как и другой подобный налог с оборота, применимые в пределах Территории. 2 ПРЕДОСТАВЛЕНИЕ ФРАНШИЗЫ. 2.1. Франшиза предоставляется в качестве компенсации, в обмен на плату за Франчайзинг, осуществляемую Франчайзи в адрес Франчайзора к согласованным дням оплаты и при условии а) строгого соблюдения Франчайзи условий настоящего Договора; и b) предоставления ее Франчайзором Франчайзи и начала ее действия со дня вступления в силу настоящего Договора (i) наличия права на ведение Франчайзинг Бизнеса; (ii) пользования Системой «СтарСИС»; (iii) пользования Торговой маркой, установленной Франчайзором; (iv) работы под маркой Торговой фирмы в случае учреждения самостоятельной компании, в дальнейшем именуемой «Дочерняя компания», в которой Франчайзи должно принадлежать не менее 1% (одного процента) уставного капитала, предусматривая, что Дочерняя компания создается для ведения Франчайзинг Бизнеса. (v) работы с клиентурой в пределах Территории;   (vi) расторжения настоящего Договора в соответствии с правом Франчайзора на досрочное расторжение Договора, предоставляемое ему положениями Статьи 15. 2.2. По условиям настоящего Договора Франчайзи не вправе передавать третьей стороне любую франшизу на ведение Франчайзинг Бизнеса в полном объеме или любой его части, равно как и делегировать любые права, предоставляемые настоящим Договором. 2.3. С предварительного письменного согласия Франчайзора Франчайзи разрешено создание более одного объекта ведения Бизнеса, расположенных отдельно от основного Помещения в пределах обозначенной Территории. Причем такое разрешение не должно беспричинно задерживаться или откладываться. 2.4. Права на Франшизу распространяются только в пределах Территории и Франчайзи не вправе оказывать услуги любому из числа клиентов, осуществляющих коммерческую деятельность вне пределов Территории. Тем не менее, во избежание двоякого толкования, Услуги могут оказываться в отношении или в связи с перевозками в любую часть мира. 3. ВСТУПЛЕНИЕ В СИЛУ ФРАНШИЗЫ И СРОК ЕЕ ДЕЙСТВИЯ. Настоящий Договор вступает в силу с Даты начала работ и продолжает действовать в течение трех лет. 4. ПРАВО НА ВОЗОБНОВЛЕНИЯ ДОГОВОРА 4.1. При условии, что настоящий Договор по любым причинам ранее не расторгался и в соответствии с нижеизложенными условиями Франчайзор предоставляет Франчайзи право возобновления Договора Франчайза сроком на дальнейшие 5 лет, начиная с даты окончания действующего Договора. При этом должны быть соблюдены следующие условия: (i) до заключения нового Договора Франчайза Франчайзи должен в основном следовать и выполнять свои обязательства по настоящему Договору в течении всего срока его исполнения и не иметь материальных нарушений на дату окончания срока действия настоящего Договора;     (ii) во исполнение права возобновления Договора Франчайзи направляет в адрес Франчайзора письменное уведомление не менее чем за 6 (шесть) и не более чем за 12 (двенадцать) месяцев до даты окончания срока действия настоящего Договора; (iii) не позднее, чем за 6 (шесть) месяцев до даты окончания срока действия настоящего Договора Франчайзи и Дирекция должны приступить к переговорам о заключении нового Договора Франчайза. 4.2. Настоящим предусматривается, что до момента подписания нового Договора Франчайза Франчайзи и Дирекция должны выставить все претензии в адрес Франчайзора и в отношении любого из числа его франчайзи, равно как и претензии в адрес любой третьей стороны из числа деловых партнеров Франчайзора, подразумевая при этом, что такая претензия должна быть выставлена Франчайзору до даты получения Франчайзором уведомления, описанного в Статье 4.1.(b). 4.3. По требованию Франчайзора до даты окончания срока действия настоящего Договора Дирекция и иные работники, отобранные Франчайзором должны пройти такое дополнительное обучение, какое Франчайзор единолично сочтет необходимым. Затраты и расходы на такое дополнительное обучение, равно как и на содержание офиса и транспортные расходы несет Франчайзи.   4.4. Франчайзи обязан за свой счет в течение срока в 90 (девяносто) дней (либо иного периода времени в соответствии с обоснованным его назначением Франчайзором) с даты получения уведомления, содержащего требования Франчайзора, реконструировать помещения, приведя их в состояние, тождественное помещениям Франчайзора, затем привести в соответствие текущие корпоративные и цветовые схемы и стандарты в том случае если помещения для ведения Франчайзинг бизнеса располагаются отдельно от других деловых помещений, эксплуатируемых Франчайзи, и при этом во всех случаях за свой счет сменить то оборудование, замену которого может потребовать Франчайзор. 4.5. Каждая из сторон настоящего Договора несет свои собственные судебные издержки, при наличии таковых, связанные с заключением нового Договора Франчайзинга. 4.6. Если после вручения Франчайзору извещения, указанного в Статье __(d) (и до истечения нового Договора Франчайза) Франчайзи не выполнит любое из положений настоящей Статьи 4 или нарушит положения настоящего Договора, наделяющих Франчайзора правами расторжения Договора, либо настоящий Договор будет расторгнут, то в этом случае право Франчайзи на возобновление настоящего Договора автоматически аннулируется.   5. ОБЯЗАННОСТИ ФРАНЧАЙЗОРА 5.1. В целях оказания помощи Франчайзи в ведении Франчайзинг бизнеса на начальном этапе и принимая во внимание получение п<


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