The terms of this supply agreement are as follows: .JJI made tive of its Smoothtreats recipes available to The Tasty Spoon. The Tasty Spoon is only permitted to use these recipes in the making of Smoothtreats using JJI concentrated juice. This is so that .JJI can control the quality of the inputs because all smoothies are sold under its name. As well. this provision prevents The Tasty Spoon from taking the recipes and making its own smoothies. JJI's legal counsel spent a lot of time on this clause to ensure that the recipes could only be used in the manner intended by .JJI. Upon delivery of the Smoothtreats recipes. The Tasty Spoon paid an up-front non- refundable tee of $25.[t[t[t which JJI recorded as revenue. The Tasty Spoon restaurants order .JJI concentrated juices directly from .JJI's manufacturing plant. The rst shipments were delivered in late August. The Tasty Spoon negotiated a general right of return because it was uncertain as to how much product it would be able to sell. From date of shipment. The Tasty Spoon has three months to return the product. Payments are to be made on the 10th of each month for the juice used in the previous month. On the lth of the month. The Tasty Spoon restaurants notity .JJI as to juice used and payment becomes due. The initial agreement covers the period from September 1. EUKE. to August 31. 203425. Upon expiry of the initial agreement. it can be renewed tor an additional ve years upon agreement by both parties