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_ .► 3.07.4 Quarterly Review of Annual Plan. The Director and the Executive Director of LIFETIME TENNIS shall meet quarterly and discuss the operating results of LIFETIME TENNIS. The parties shall agree upon any amendments or revisions to the Annual Plan to take into consideration variables or events that did not exist,or could not be anticipated by LIFETIME TENNIS or CITY, at the time the Annual Plan was prepared. Any revisions to the Annual Plan shall require approval of the Director, who in their sole and absolute discretion, may require further approval by the Parks& Recreation Commission and/or City Council. 3.08 No Assignment. LIFETIME TENNIS acknowledges that CITY is entering into this Agreement in reliance on the unique skill and experience of LIFETIME TENNIS and its employees. LIFETIME TENNIS shall not subcontract or assign all or any part of its right or obligations under this Agreement, unless approved in writing in advance by Director. Any change in the control of LIFETIME TENNIS, including, without limitation, any transfer or acquisition of a controlling percentage of LIFETIME TENNIS's equity or stock shall constitute an assignment for purposes of this Agreement. 4.0 LIFETIME TENNIS'S SERVICE OBLIGATIONS. 4.01 Tennis Professional Services. Lifetime staff shall register tennis classes, leagues, tournaments and instructional services and handle all financial transactions for such registration, as well as all financial transactions for merchandise, through Lifetime's own register. 4.02 Pro Shop and Merchandise. The Pro Shop shall be open when the Facilities are open. There shall be a representative of LIFETIME TENNIS to answer questions and address customer concerns in the Pro Shop during all hours of operation. LIFETIME TENNIS shall procure and maintain in the Pro Shop such inventory of tennis merchandise as deemed appropriate to adequately meet public demand. 4.03 Tennis Instruction. LIFETIME TENNIS shall provide instructors,who shall be USPTA professionals or apprentices, unless otherwise approved by Director. LIFETIME TENNIS shall cause all tennis instructors to comply with the rules and regulations set forth in this Agreement. All instructors shall be employees of LIFETIME TENNIS, unless LIFETIME TENNIS proposes an alternative plan that is approved in advance by the Director. If subcontractors are allowed, then each subcontractor shall be required to obtain a City of Pleasanton business license and to comply with all terms of this Agreement. LIFETIME TENNIS shall be deemed responsible for such approved subcontractors. LIFETIME TENNIS may teach private and group lessons utilizing six(6)courts for a maximum of eight(8)hours per day, unless otherwise approved by the Director in advance. 4.04 Drop-In/Open Play. Of the ten (10)courts at Facilities, LIFETIME TENNIS shall maintain one(1) nonreservation courts at all regular hours of operation for residents of Pleasanton, and four(4) courts shall be shall be available for reservations during weekday evenings and weekend mornings. 6