Maui Wowi

Of the 15 total litigation cases, what are the primary dispute categories (e.g., payment defaults, operational standards, territory disputes, franchise agreement violations)?

What is the current status and expected resolution timeline for the 1 pending litigation case?

Can you provide a detailed breakdown of the 10 cases where the franchisor was defendant, including the nature of claims, outcomes, and any settlements reached?

How do you justify the 15% advertising fund rate when the typical range for this franchise type is 2-4%, and what specific marketing activities does this fund support?

Given the 10% termination rate far exceeds typical rates, what are the most common reasons franchisees are being terminated, and can you provide specific examples?

The system has declined from 98 units (3 years ago) to 80 units (current), a loss of 18 units or 18.4%. How do you plan to reverse this contraction and grow the system?

Can you explain why 10 cases in the past 3 years have named the franchisor as defendant, which is more than 3 times the typical range for this franchise category?

What specific support improvements are planned to address the System Health score of 15/100, which is significantly below the typical 50-75 range?

The non-renewal rate is 2.5% over 1 year. How many franchisees have chosen not to renew their agreements in the past 2 years, and what reasons have they cited?

The $5,000 annual minimum purchase requirement represents what percentage of typical unit revenue, and is this requirement flexible based on location or unit performance?

Can you clarify the cure period for failing to meet the minimum $5,000 annual product purchase requirement and under what circumstances this leads to termination?

Given the 15% ad fund contribution required, how is this fund allocated between national campaigns, digital marketing, local marketing, and administrative costs?

What is the average unit volume (AUV) or median gross sales for operating units, and has this metric changed over the past 3 years as the system has contracted?

Of the 10 units closed in 2024, how many were franchisor-initiated terminations versus voluntary closures, and what were the primary factors (e.g., location issues, low sales, operational non-compliance)?

The agreement includes 5 curable defaults and 15 non-curable defaults. Can you provide examples of defaults that trigger termination with less than 24-hour cure periods?

Are there any ongoing legal disputes with current franchisees or groups of franchisees that could impact the system's future performance or franchise terms?

The non-compete clause restricts competition for 2 years within 10 miles post-exit. How aggressively does the franchisor enforce this, and are there documented cases of enforcement actions?

What percentage of the 80 current units are owned by the franchisor versus franchisees, and how has franchisor ownership changed over the past 3 years?

Can you provide context on the 5 cases where the franchisor was plaintiff? What were these cases attempting to recover or enforce?

What is included in the $99.95 monthly technology fee, and is this fee mandatory or optional for franchisees?