Jamba Juice 2008 Annual Report Download - page 154

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7.4 Key Drop Deliveries.
(a) Delivery Procedures. For Stores participating in Key Drop Deliveries, Distributor’s driver will be responsible for delivering all freezer and
chilled Products into the respective walk-ins via dolly, and shall stock Products on the shelves. All dry Products are to be placed together in the storage
areas located in the back of each Store. Store management is responsible for preparing walk-in units for deliveries by moving all existing merchandise to
the front of the walk-ins. When space is not available or Product has not been properly rotated prior to the delivery, Distributor’s driver may place
Product on the floor of the walk-in. If Distributor’s driver is not able to make a scheduled delivery to a Store due to the fault of a JJC employee (i.e.,
locks or security codes changed without informing Distributor in advance), JJC will be responsible for any applicable non-scheduled delivery surcharge
for returning to the Store to make the delivery.
All “key-drop” deliveries, in which the driver has missed their delivery window, will continue to be subject to the above requirements.
(b) Honor System. Stores participating in Key Drop Deliveries will receive Product on an honor system. Any invoice or delivery discrepancies
shall be brought to the attention of Distributor within four hours after the Store opening on the following day, and any credits due must be issued within
5 business days.
(c) Access Security . If a Store experiences theft, burglary, vandalism or other loss as a result of a driver’s failure to secure a Store, Distributor will
be liable for any resulting losses or damages to person or property. In addition, Distributor will reimburse JJC for “false alarm” fees resulting from
driver error.
7.5 Delivery Access. JJC shall ensure that Company Stores shall provide reasonable delivery access for Distributor’s drivers. For all new opening stores
except in malls, airports, university and military bases, reasonable delivery access shall include parking for a truck with a minimum twenty-eight (28) foot
trailer within fifty (100) feet of the Store’s receiving door and the ability to utilize a standard ice cream cart and/or dolly for making deliveries. All existing
store’s delivery access will be within the original contract of one hundred and fifty (150) feet of the store’s receiving door. Any Store that does not provide the
aforementioned access is subject to a fair and reasonable delivery surcharge that is to be negotiated with JJC prior to the Store opening. Distributor shall inspect
all new Store locations prior to accepting the Store’s opening Order and notify JJC Manager of Supply Chain and Logistics if a delivery surcharge is
applicable.
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