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3. RIGHTS GRANTED TO SMGFB <br />A. SMG hereby grants to SMGFB (i) the sole and exclusive right to manage and <br />oversee the food and beverage concessions throughout the Facility, and (ii) the exclusive right to <br />provide (A) food and beverage concessions at the Facility and on the grounds around the Facility (in <br />such location(s) as SMG and SMGFB shall mutually agree) by selling food and alcoholic and non- <br />alcoholic beverages, (B) vending services at the Facility, and (C) Alcoholic Beverage Services, to the <br />extent permitted under SMGFB's liquor license and all applicable laws; provided, however, that <br />SMGFB shall not have the exclusive rights regarding concessions and food and beverage with respect <br />to the Cabarrus County Fair (the "Fair "). The provision of such services and the sale of such items <br />collectively shall be defined and referred to as the "Services ". SMGFB shall provide the Services in <br />accordance with the provisions of this Agreement. <br />4. REPRESENTATIONS, WARRANTIES, AND COVENANTS OF SMG <br />SMG hereby represents, warrants, and covenants to SMGFB that as of the date <br />hereof and continuing throughout the Term: <br />A. No agreement or understanding between the SMG and any person or entity shall <br />reserve or grant to such person or entity the rights granted to SMGFB hereunder. <br />B. SMG has been duly authorized to and may validly enter into this Agreement <br />with SMGFB. Each individual executing this Agreement on behalf of SMG is duly authorized to do <br />so. <br />C. The execution and delivery of this Agreement by SMG shall not cause SMG to <br />breach or be in default under any material agreement to which SMG is a party or may be bound <br />thereby. SMG is not in default under any agreements or understandings pertaining to its right to <br />construct, develop, use, or occupy the Facility. <br />D. No consents or approvals which have not been obtained are necessary under any <br />agreement to which SMG may be a party or be bound thereby in connection with the execution and <br />delivery of this Agreement by SMG. <br />5. REPRESENTATIONS AND WARRANTIES OF SMGFB <br />hereof: <br />SMGFB hereby represents and warrants to the County and SMG that as of the date <br />A. SMGFB has been duly authorized to and may validly enter into this Agreement <br />with SMG. Each individual executing this Agreement on behalf of SMGFB is duly authorized to do <br />so. <br />B. The execution and delivery of this Agreement by SMGFB shall not cause <br />SMGFB to breach or be in default under any material agreement to which SMGFB is a party or may be <br />bound thereby. <br />C. No consents or approvals are necessary under any agreement to which SMGFB <br />may be a party or may be bound thereby in connection with the execution and delivery of this <br />Agreement by SMGFB. <br />Attachment number 1 <br />F -3 Page 75 <br />