6. COMPUTER SOFTWARE LICENSING AGREEMENT
6. COMPUTER SOFTWARE LICENSING AGREEMENT
Whole Doc.
This contract made as of this day, by and between ,
a Chinese enterprise legal person duly organized and registered under the
laws of the People's Republic of China on behalf of , a Chinese
entity duly organized and registered under the laws of the People's
Republic of China (both of the foregoing parties are hereinafter
collectively referred to as "Buyer") and , a corporation
organized and existing under the laws of ("Seller") as follows:
1.
The agreement between the parties ("Contract") consists of the terms
and conditions set forth herein and the following schedules incorporated
by reference:
Annex A System Components
Annex B Delivery and Installation Timetable
Annex C Price and Payment Terms
Annex D Product Description and Specifications
Annex E Seller's Software License Agreement
Annex F End-user Software sublicense Agreement
2. Definitions
The following terms shall have the following meanings in this
Contract:
(a) Commercial system. (sketch)
(b) Consumer system. (sketch)
(c) Control Computer: A component of the System used by
Buyer for .
(d) System
3. Provision of The System
Seller shall provide the System in accordance with the Product
Description and Specifications (Annex D) and Delivery and Installation
Timetable (Annex B) incorporated herein and Buyer shall pay for the System
in accordance with the Price and Payment Terms (Annex C) incorporated
herein. In addition, Seller will provide the System to the Buyer
in accordance with Annex C. For the avoidance of doubt, the term "System"
as used in this Contract shall solely refer to the Seller's
system.
4. Payment
(a) In full consideration for providing the System and all related
items to be provided under this Contract, Buyer shall pay to Seller the
amount set forth in Annex C as the purchase price for the System.
(b) Payments shall be made in accordance with Annex C.
5. Delivery and Installation
(a) Delivery of the System will be made in accordance with the
delivery schedule set forth in Annex B. Shipping charges are specified in
Annex C. Buyer shall have the right to specify the carrier and shall
instruct Seller of its choice in writing. In the absence of such
instructions, Seller will select the carrier, but shall not thereby assume
any liability in connection with shipment, nor shall the carrier be
considered the agent of Seller. Unless requested by Buyer, Seller shall
have no obligation to obtain insurance for Buyer or assist the Buyer with
any shipping claims.
(b) The Seller shall, immediately upon the completion of the loading
of the goods, advise the Buyer by cable/telex of the loading of the goods,
the contract number, commodity, quantity, invoiced value and gross weight.
(c) Seller or its designated service provider shall install the
System at Buyer's designated facility in the People's Republic
of China. Installation charges are specified in Annex C. Buyer shall be
responsible for timely completion, in accordance with the Installation
Timetable herein (Annex B), of any necessary on-site preparations and
modifications of Buyer's facilities based on the specifications set forth
in the Site Preparation Guidelines previously provided to Buyer. Buyer
shall provide additional test equipment and resources (including but not
limited to floor space, power outlets, interconnecting cables, racks,
satellite facilities and the like), if needed, in accordance with the Site
Preparation guidelines. Buyer shall have the responsibility for and shall
pay for all such facilities, preparations, equipment, resources, licenses
and permits required thereof.
6. Compliance with Export Control Laws of the Seller's Country
(a) Seller agrees to apply for all Government export
licenses, permits and approvals required for the exportation from
to China of the products and technology to be purchased by
Buyer from Seller. In the event that, despite Seller' s best efforts,
Seller is unable to obtain any and all license, permits and approvals
needed to lawfully export such products and technology from to
China, this Contract is immediately terminated, the Seller and Buyer are
excused from performance, and each Party agrees to hold the other Party
harmless.
(b) Buyer hereby undertakes to comply with the export laws and
regulations of and agrees that, without obtaining the necessary
license of approval from the Government, Buyer will not knowingly (i)
export, directly or indirectly, any origin technical data or software
acquired from Seller, or any direct product of that technical data, to any
country for which the Government or any agency thereof at the time of
export requires an export license or other governmental approval; or (ii)
disclose any origin technical data or software acquired from Seller to any
national of any country for which the Government or any agency thereof
requires an export license or other governmental approval.
(c) Within months of the signing of this contract, the
Seller agrees to inform the Buyer of the status of the Seller's
application for the Government export licenses, permits and approvals
required for the exportation from to China of the products and
technology to be purchased by Buyer from Seller.
7. Title and Risk of Loss
The items purchased by the Buyer shall be delivered C.I.F.
in accordance with INCOTERMS 1990. Therefore, the risk of loss for the
items purchased by the Buyer shall be borne by the Seller until the items
are delivered to the export carrier. After delivery of the items purchased
by the Buyer to the export carrier, the title and risk of loss for the
items purchased by the Buyer shall pass to the Buyer.
8. Acceptance Tests and Acceptance
(a) Acceptance testing of the System shall be in accordance with
Seller's Acceptance Test Procedure. Seller or its designated service
provider shall conduct the acceptance tests in accordance with said Test
Procedure. If any such test is not Successfully Completed (as defined
below), Seller or its designated service provider shall evaluate the test
and make any adjustments or corrections of the System as will result in
performance of the System in accordance with the Specifications. Buyer
shall be given reasonable prior notice of the commencement of, and the
reasonable opportunity to observe, all such tests.
(b) The term "Successful Completion", when used in this Contract with
respect to any test, means successful completion of such test as defined
in the particular test procedure and all references to test denote the
tests in Seller's Acceptance Test Procedure.
(c) Acceptance of the System ("Acceptance") for purposes of Annex C
shall be deemed to have occurred when all tests set forth in the
Acceptance Test Procedure for the system at Buyer's facility have been
Successfully completed.
(d) Seller represents and warrants that it will deliver to Buyer a
complete, correct and valid system, capable of accomplishing the technical
targets specified in Product Description and Specifications, as
demonstrated by Successful Completion of the Acceptance testing of the
System. Successful Completion shall be deemed as conclusive proof that the
System is complete, correct and valid, and capable of accomplishing the
technical targets set forth in the Specifications.
9. Shipment in Place and Qualified Acceptance
(a) In the event that the System or any part thereof is ready for
shipment or installation in accordance with the dates set forth in Annex B
and such shipment or installation is delayed more than calendar
days pursuant to Buyer's request or because Buyer is unable to provide the
necessary facilities, test equipment or resources for receipt or
installation of the System, Seller may, at Seller's option, notify Buyer
that the System or any part thereof is being treated as though actually
shipped, delivered and installed ("Shipped in Place"). In addition, Buyer
shall reimburse Seller for all storage or other expenses which Seller
incurs by reason of such delay.
(b) days following notice of Shipment in Place Seller shall
be entitled to invoice Buyer in accordance with the payment terms set
forth in Annex C hereto (i) for one hundred percent of the purchase price
for commercial system Shipped in Place, and (ii) with respect
to Systems, the amount that would have been due had the System actually
been shipped, with the balance to be invoiced upon Acceptance.
(c) Qualified acceptance by Buyer of the System or any portion thereof
("Qualified Acceptance") shall occur at any time, either before or after
the scheduled shipment or installation dates set forth in Annex B,
i) upon determination by Buyer, and written notification to
Seller, that the System, is suitable to commence the operations for which
Buyer intends to use it; or
ii) that the System has commenced the operations for which Buyer
intends to use it.
(d) Qualified Acceptance shall have the same consequences as those set
forth in Section 8 (b) above except that the amount due for Systems shall
be the difference between the amount paid to date and percent of
the amount that would have been due upon Acceptance, with the balance to
be invoiced upon Acceptance.
(e) Neither Shipment in Place nor Qualified Acceptance shall relieve
Seller from any of its responsibilities under this Contract, including
Successful Completion of the Acceptance Tests and correction of defects or
deficiencies in accordance with the terms and conditions hereof.
10. Taxes
(a) Any and all taxes, levies, customs duties, sales, use, excise,
value added and similar taxes to be levied on the Buyer in connection with
the performance of this Contract for the sale of goods and repair and
installation services, which are now existing or which may be hereinafter
imposed by any People's Republic of China governmental entity, shall be
borne and paid by the Buyer.
(b) All taxes in connection with the execution of this Contract
imposed by any People's Republic of China governmental entity on the
Seller, and all taxes in connection with the execution of this Contract
imposed by any governmental entity on the Buyer, in accordance
with the tax laws which are now existing or which may be hereinafter
imposed and the Agreement between the Government of and the
Government of the People's Republic of China for the Avoidance of Double
Taxation and the Prevention of Fiscal Evasion with Respect to Taxes on
Income, shall be borne and paid by the Seller and Buyer, respectively.
(c) With regard to Section 10 (b) above, the Seller shall remit
payment for such taxes to the relevant Chinese tax authorities through the
Buyer within working days after the Seller is in receipt of one
(1) original certificate (invoice) for the taxes levied by the Chinese
taxation authorities. The Buyer shall remit payment for such taxes to the
relevant tax authorities through the Seller within
working days after the Buyer is in receipt of one (1) original certificate
(invoice) for the taxes levied by the taxation authorities.
(d) Any and all taxes, levies, customs duties, sales, use, excise,
value added and similar taxes to be levied on the Seller in connection
with the performance of this Contract for the sale of goods and repair and
installation services, which are now existing or which may be hereinafter
imposed by any governmental entity, shall be borne and paid by
the Seller.
11. Operating Manuals and Other Materials/Training
(a) Seller shall provide with each Commercial system , one
(1) User's Guide.
(b) Seller shall provide Buyer with three (3) copies of all operating
manuals and installation instructions for the System, as well as
maintenance manuals.
(c) Prior to installation of the System, Seller shall provide Buyer's
employees with a training course in the use of the System , as well as in
computer management techniques.
Furthermore, these employees shall observe the Acceptance Test
Procedure (ATP).
The training course and ATP described in this Article 11 (c) shall
take place over a day period at the Seller's facilities in
, and all related expenses shall be borne by the Seller.
(d) Following installation of the System, Seller or its designated
service provider shall provide to Buyer's employees a training course of
up to days in duration on-site at Buyer's facility.
12. System Warranties
(a) Seller represents and warrants that it is the owner, or beneficial
licensee, of all intellectual property rights herein licensed, leased or
sold to Buyer, and that it has the right to license, lease or sell the
same to Buyer. Seller warrants that the System and all equipment and
related software furnished under this Contract (except for the Control
Computer (s) and Control Computer (s) operating system software), shall be
free from defects in material and workmanship for a period of one (1) year
after date of Acceptance, except with respect to Commercial and Consumer
system, for which the period shall extend for one (1) year after
date of shipment. During such period Seller shall repair or replace and
reinstall at Buyer's premises the System or any defective portion thereof
without charge. Seller's warranty does not cover the Control Computer or
the Control Computer's operating system software included in the System,
but Seller shall assign any outstanding manufacturer's warranty thereof to
Buyer, to the extent assignable. If there is no such assigned warranty
that extends one (1) year beyond Acceptance, Seller shall purchase, in
lieu of warranty, for the benefit of Buyer and as part of the purchase
price, an extended hardware and software maintenance contract for such
Control Computer and operating system software which maintenance contract
shall extend for a one (1) year period after acceptance. If any repair or
replacement results from a defect not covered by the warranty or from
causes other than normal usage and regular installation, Buyer shall pay
Seller for all labor and materials (including travel expenses) provided by
Seller in its attempt to remedy such deficiency.
(b) The warranties set forth herein shall apply only to items which,
after regular installation and under normal usage, are found to have been
defective within the warranty period. Such warranties shall not apply to
items that have been modified or altered without Seller's written
approval, or have been subjected to abuse, accident, negligence or
improper application.
(c) The warranties set forth herein are in lieu of all other
warranties as to performance of the system, express or implied, including
without limitation any implied warranties of merchantability or fitness
for a particular purpose. Buyer's sole and exclusive remedy for any breach
by Seller of any of the warranties set forth herein shall be for Seller to
make such repairs and/or replacements necessary to fulfill such
warranties. in no event shall seller be liable for any loss of audio,
video or data signals, interruption of business, or special, indirect or
consequential damages of any kind or nature whatsoever. Seller shall not
be responsible for delays in performing its obligations under this Article
resulting from Buyer's negligence or fault.
13. Nonwarranty Repairs and Spares Support
(a) Until the earlier of (i) years from the Acceptance of the
System, or (ii) the date Buyer Ceases to Operate the System, Seller shall
offer to provide repair services and/or spare parts for the System
("Support Period"), it being understood that Seller's charges for spare
parts and/or repairs not covered by warranty shall be at Seller's then
current time and material rates or spare parts prices and shall be
invoiced as soon as work involved is completed. Seller shall have no
obligation hereunder or otherwise to provide further spare parts or repair
services to any person that has failed to pay promptly for any such spare
parts or repairs.
(b) Subsequent to the Support Period, Seller may discontinue offering
spare parts and/or repair services for the System upon months
prior written notice to Buyer of Seller's intended discontinuance,
provided however, that Seller, at Seller's option, either (i) grants to
Buyer a nonexclusive license to make or have made for Buyer's own use and
not for sale any such System components (exclusive of the Control Computer
and its operating system software) and furnishes Buyer all necessary
documentation, specifications, drawings and other data, or (ii) allows
Buyer the opportunity to purchase sufficient quantities of spare parts as
Buyer deems necessary to maintain and support the System.
(c) For purposes of this Contract, Buyer shall cease to operate the
system if Buyer does not use the System furnished by Seller as part of the
regular use on a regularly used satellite transponder to encode and decode
signals.
14. Extended Maintenance
Prior to the expiration of the warranty period for the System set
forth in this Contract, Seller and/or its designated service provider
shall offer to Buyer the opportunity to enter into an extended maintenance
contract with respect to the System (including the related Control
Computer software but excluding the Control Computer hardware platform),
renewable for successive and consecutive year periods. Seller and
Buyer shall discuss proposals for establishing a service center in ,
with the participation of Buyer, for the servicing of the system. Seller
and Buyer shall also discuss proposals for future joint cooperation on
other projects within China.
15. System Licenses and Condition Precedent to Effectiveness
(a) The Control Computer's operating system software is provided to
Buyer under the terms and conditions of a sublicense from the operating
system licensor, as set forth in Annex F herein.
(b) All Seller's software required for operation of the System and the
system is provided to Buyer under the license set forth in Annex E herein.
(c) No technology transfer or assignment is granted under this
Contract with respect to any products, or systems owned by Seller or any
proprietary rights owned or sublicensed by Seller. No right to grant
sublicenses is granted or is to be inferred or implied under this
Contract.
(d) Relevant PRC regulations may require Buyer to obtain the approval
of the Ministry of Foreign Trade and Economic Cooperation ("MOFTEC") as a
precondition for the effectiveness of (a) the sublicense of the Control
Computer's operating system software to Buyer from the operating system
licensor, as set forth in Annex F herein and (b) the license of Seller's
software which is required for operation of the System, to Buyer as set
forth in Annex E herein (collectively, the "Annexes"). Within
working days of the execution of the Contract, Buyer and Seller will
jointly confer with MOFTEC to determine whether MOFTEC's approval is
required for the effectiveness of the Annexes. If MOFTEC informs Buyer and
Seller to the satisfaction of Buyer and Seller that the Annexes do not
require its approval, the Contract shall become effective upon such
communication. If, on the other hand, MOFTEC informs Seller and Buyer that
the issuance of its approval is a precondition for the effectiveness of
the Annexes, then this Contract shall become effective only upon the
issuance of such approvals.
If the foregoing conditions are not fulfilled within days
after the Contract execution date and Buyer and Seller do not agree in
writing to waive such condition or to extend the time for its fulfilment,
the Seller shall in such event be entitled to terminate the Contract
forthwith and neither Party shall have any further obligations or
liability towards the other Party under this Contract.
16. System Security Requirements
The parties shall agree to institute a System security plan for the
System, which plan outlines security procedures that will be established
and maintained in order to prevent theft or other compromise of the System
during the shipment, storage, operation or any other phase of the parties'
activities in connection with this Contract, including the warranty and
post-warranty periods. Buyer agrees to adopt and comply with and/or cause
its agents to adopt and comply with reasonable alternate or additional
security requirements Seller may from time to time recommend.
17. Equipment Order Lead Times
Delivery dates for the equipment which is the subject of this Contract
appear in Annex B. Order lead times required for additional equipment are
as follows: (sketch)
Buyer will provide a rolling month forecast of equipment
desired for delivery. The first months of this forecast are to be
considered firm orders, subject to cancellation penalties set forth in
Annex C.
18. Mutual Representations
Each party represents and warrants that:
(a) It is duly organized and registered and in good standing in its
state or country and has power and authority to enter into and perform
this Contract and any other agreements and documents executed or delivered
by it in connection herewith (collectively, with this Contract, "the
Documents").
(b) Its execution, delivery and performance of the Documents have been
duly authorized by all necessary action.
19. Confidentiality
(a) Buyer agrees that any information or data such as Seller' s
drawings and software (including, without limitation, designs, reports,
software documentation, manuals, models, and the like), revealed by Seller
to Buyer and containing proprietary information marked or identified as
"proprietary" or "confidential" shall be maintained in confidence by Buyer
with at least the same care and safeguards as are applied to Buyer's own
proprietary information, but in no event with less than reasonable care.
Such information or data shall not be duplicated, disclosed to others, or
used without the written permission of Seller. These obligations shall not
apply to any information or data which is in or comes into the public
domain without violation of this provision; or is received lawfully by
Buyer from a third party; or is developed by Buyer independently and
without benefit of the information or data received from Seller. Seller
shall have no obligation to provide confidential or proprietary
information.
(b) Buyer's obligations under this clause shall remain in effect for
years after this Contract is signed by the Seller and Buyer. All
tangible forms of Seller's proprietary information delivered by Seller to
Buyer shall be and remain the property of Seller, and shall be returned to
Seller upon Seller's request.
(c) Except as expressly provided herein, it is agreed that no license
under any patents, trade secrets or copyrights of Seller is granted to
Buyer by the disclosure of Seller's confidential or proprietary
information.
(d) Neither party shall use the name or the name of any trademark or
trade name (or symbolic representation thereof) of the other party or its
parent, subsidiaries or other affiliates, in marketing, advertising,
public relations efforts or in any other manner without the express
written consent of such other party in each instance, which consent shall
not unreasonably be withheld or delayed.
20. Indemnification
(a) Each party shall indemnify and hold harmless the other party, its
shareholders, directors, officers, employees, agents, designees and
assignees, or any of them, from and against all losses, damages,
liabilities, expenses, costs, claims, suits, demands, actions, causes of
actions, proceedings, judgments, assessments, deficiencies and charges
(collectively, "Damages") caused by, relating to or arising from the
performance by such party in accordance with this Contract of its
obligations hereunder, and Buyer shall also indemnify Seller, without
limiting the foregoing, for any such item caused by, relating to or
arising from (a) the programming services which are authorized for viewing
using the System, including any assertion that any such programming
service involves copyright infringement, (b) any disputes between Buyer
and any of its program distributors or other distributors or affiliates,
(c) any disputes or claims involving the subscribers for Buyer's
programming services, or (d) any assertion that Buyer has been involved
in, that Buyer's conduct of subscription involves, or that Buyer's use of
the System involves, any unfair competition or violations of laws, rules
or regulations.
(b) In the event of a third-party claim, with respect to which a party
is entitled to indemnification hereunder, a party (the "Indemnified
Party") shall notify the other party (the "Indemnifying Party") in writing
as soon as practicable, but in no event later than days after
receipt of such claims. The Indemnified Party's failure to provide such
notice shall not preclude it from seeking indemnification hereunder unless
such failure has materially prejudiced the Indemnifying Party's ability to
defend such claim. The Indemnifying Party shall promptly defend such claim
(with counsel of its own choosing) and the Indemnified Party shall
cooperate with the Indemnifying Party in the defense of such claim,
including the settlement of the matter on the basis stipulated by the
Indemnifying Party (with the Indemnifying Party being responsible for all
costs and expenses of such settlement). If the Indemnifying Party within a
reasonable time after notice of a claim fails to defend the Indemnified
Party, the Indemnified Party shall be entitled to undertake the defense,
compromise or settlement of such claim at the expense of the Indemnifying
Party. Upon the assumption of the defense of such claim, the Indemnifying
Party may settle, compromise or defend as it sees fit.
Notwithstanding anything to the contrary set forth in this Section,
Seller will defend any suit, claim, action or proceeding brought against
Buyer to the extent that such suit, claim, action or proceeding is based
on a claim that goods manufactured and sold by Seller to Buyer infringe
patent, copyright, mask work, trademark, trade secret or any other
intellectual property rights of any third party and Seller shall pay all
damages and costs awarded by final judgment (from which no appeal may be
taken) against Buyer, as well as its actual expenses and costs, on
condition that Seller (i) is promptly informed and furnished a copy of
each communication, notice or other action relating to the alleged
infringement, (ii) is given sole control of the defense (including the
right to select counsel), and the sole right to compromise and settle such
suit or proceeding; provided however, that Seller's liability hereunder,
if any, shall be strictly and solely limited to the amount of royalties
which would be payable in respect of revenues derived by Seller from Buyer
from sales of the infringing goods. Seller shall not be obligated to
defend or be liable for costs and damages if the infringement arises out
of a combination with, an addition to, or modification of the goods after
delivery by Seller, or from use of the goods, or any part thereof, in the
practice of a process.
If any goods manufactured and supplied by Seller to Buyer are held to
infringe any valid patent and Buyer is enjoined from using the same, or if
Seller believes such infringement is likely, Seller will exert all
reasonable efforts at its option and expense (i) to procure for Buyer the
right to use such goods free of any liability for such infringement, or
(ii) replace or modify such goods with a noninfringing substitute
otherwise complying substantially with all the requirements of this
Contract, or (iii) upon return of the goods, refund the purchase price and
the transportation costs of such goods (less reasonable allowance for
their use and benefit derived therefrom for the period of time from
delivery to Buyer, such allowance being based on a straight-line
depreciation period of years from the date of shipment by Seller).
If the infringement is alleged prior to completion of delivery of the
goods, Seller has the right to decline to make further shipments without
being in breach of contract. If Seller has not been enjoined from selling
such goods to Buyer, Seller may (at Seller's sole election), at Buyer's
request, supply such goods to Buyer, in which event Buyer shall be deemed
to extend to Seller the same patent indemnity hereinabove stated.
The same patent indemnity shall be deemed to be extended to Seller by
Buyer if any suit or proceeding is brought against Seller based on a claim
that the goods manufactured by Seller in compliance with Buyer's
specifications infringe any valid patent.
Buyer shall promptly notify Seller of any infringement by a third
party of intellectual property rights licensed to Buyer under this
Contract. In the event that a third party infringes such intellectual
property rights, the Parties shall cooperate with one another to take
appropriate action to cause such infringement to cease.
The foregoing states the sole and exclusive liability of the parties
hereto for infringement of patents, copyrights, mask works, trade secrets
trademarks, and other proprietary rights, whether direct or contributory,
and is in lieu of all warranties, express, implied or statutory, in regard
thereto, including, without limitation, the warranty against infringement
specified in the uniform commercial code.
21. Limitation of Liability
Buyer agrees that in no event shall Seller be liable for damages
hereunder, or for any claim of any kind as to any System or System
components delivered or for nondelivery of such System or components,
regardless of the form of the action, in an amount greater than the
purchase price of the System or components in respect of which such claim
is made.
In no event shall Seller be liable for any loss of profits, loss of
use, interruption of business, or indirect, special or consequential
damages of any kind.
22. Force Majeure
The term "Force Majeure" means acts of God, fire, casualty, flood,
earthquake, strikes or lockouts, riots, insurrections or civil disorders,
embargoes, war, any future law, order, regulation, or other act of
government, and other delays beyond Seller's reasonable control. If
Seller's performance of this Contract is prevented, restricted, delayed or
interfered with by reason of Force Majeure, Seller's performance shall be
excused to the extent delayed or prevented by Force Majeure, provided,
however, that Seller take reasonable steps to avoid or remove such causes
of nonperformance and shall continue performance whenever and to the
extent such causes are removed.
If, due to a Force Majeure event, the Buyer and/or Seller cannot
accomplish its contractual obligations for a period of consecutive
months, the Buyer and Seller shall meet and come to an agreement within
the shortest possible period of time upon the conditions on which they
could continue the execution of this contract.
Should the Buyer and Seller fail to agree on the conditions of such
continuation, the matter shall be referred to arbitration in accordance
with Article 26 hereof.
23. Termination
(a) Buyer or Seller shall have the right to terminate this Contract if
the other makes an assignment for the benefit of creditors, or a receiver,
trustee in bankruptcy or similar officer is appointed to take charge of
all or any part of the party's property or business or is adjudicated a
bankrupt.
(b) Seller shall have the right to terminate this Contract if Buyer
neglects or fails to make payment in accordance with the terms hereof and
such condition is not remedied within business days after
written notice to Buyer. Seller may, at Seller' s option, extend the time
for Buyer's cure.
24. Nonwaiver of Rights
Neither the waiver by a party hereto of a breach of, or a default
under, any of the provisions of this Contract, nor the failure of a party
on one or more occasions, to enforce any of the provisions of this
Contract or to exercise any right or privilege hereunder shall thereafter
be construed as a waiver of any subsequent breach or default, or as a
waiver of any of such provisions, rights or privileges hereunder.
25. Notices
All notices, requests, or other communications which may be sent by
either party to the other party pursuant to this Contract shall be in
writing and shall be addressed as follows:
If to Seller: If to Buyer:
All communications between the parties in the course of the present
Contract shall be made in language by registered airmail
letter sent to the addresses set forth herein or by facsimile. The date of
receipt of notice shall be deemed to be days after its postmark in
the case of registered mail or the date of dispatch of a facsimile.
26. Applicable Law and Resolution of Disputes
This Contract is made in accordance with the Foreign Economic Contract
Law of the People's Republic of China and the laws of
(country). The laws of (country) shall be applied to the
settlement of any disputes arising from this Contract.
(a) Consultations. In the event any dispute arises in connection with
the validity, interpretation, or implementation of this Contract or any of
its annexes, the Parties shall attempt in the first instance to resolve
such dispute through friendly consultations. If the dispute is not
resolved in this manner within days after the date on which one
Party has served written notice on the other Party for the commencement of
consultations, then either party may refer the dispute to arbitration in
accordance with the provisions of this Section 26.
(b) Arbitration. (sketch)
27. Binding Effect
These terms and conditions shall be binding upon and inure to the
benefit of the parties hereto, their successors and permitted assigns.
28. Entire Contract
The terms and conditions incorporated herein contain the entire
agreement and understanding between the parties with respect to the
subject matter hereof and merge and supersede all prior agreements,
understandings and representations. No additions or modifications shall be
effective unless in writing signed by the parties hereto. The present
Contract shall be made in Language in four (4) originals, two
(2) for each party.
In witness whereof, the parties have duly executed this Contract on
the date first above written.
SELLER: BUYER:
By: By:
Annex A System Components (sketch)
Annex B Delivery and Installation Timetable (sketch)
Annex C Price and Payment Terms (sketch)
Annex D Product Description and Specifications (sketch)
Annex E Seller's Software License Agreement
The terms and provisions of this Annex E (License Contract) provide
for the licensing by Seller to Buyer of certain computer software
specified below where such software is used either as part of or in
conjunction with the System to be provided by Seller under this Contract,
or which this Annex E forms a part thereof.
1. Grant of License
Seller (hereinafter Licensor) hereby grants to Buyer (hereinafter
Licensee) and Licensee hereby accepts, a nontransferable, nonexclusive
license to use and copy, on the terms and conditions set forth herein, the
software program (s) listed in Article 10 of this License Contract and
described in the product specifications. Said program (s) listed in
Article 10 of this License Contract together with any copies or
reproductions thereof or excerpts therefrom, are herein collectively
referred to as the "Program". No license, expressed or implied, is granted
except as specifically provided herein.
2. Restriction on Use
Licensee may use the Program solely and exclusively on the computer
(s) furnished by the Seller under terms of this Contract, as part of each
System, except that the Program may also be used on Licensee's backup
computer if the System computers are inoperative because of malfunction or
during the performance of preventive maintenance, engineering changes or
changes in features or model, until the System control computer (s) is
restored to operative status. Licensee shall use the Program only in
connection with its immediate internal operations, and shall not offer or
supply the use of the Program to others under any circumstance.
No other software program can be installed, operated, or configured on
the System Control Computer hardware without prior written approval by
Seller. This includes operating or application software that may be
available from Seller that is not covered by this License Contract.
3. Restriction on Copying
Licensee shall make no copies of the Program, or any part thereof,
except that Licensee may make copies of the Program solely for the
purposes of backup, archival storage and placing the Program in a form
suitable for execution. All permitted copies shall be clearly marked with
the same Licensor proprietary and copyright restrictions which appear on
the Program originally supplied to Licensee. Permitted copies shall be
stored in a secure manner.
4. Restriction on Transfer
Licensee shall not sell, assign, sublicense, transfer, or otherwise
make available the Program, except as may be permitted by this Contract
and only with written prior consent by Seller.
5. Buyership Rights
Title to the Program shall be and remain in Licensor, and no title to
or ownership of or technology transfer of the Program or any portion
thereof is conveyed or transferred to the Licensee hereby. Licensee
acknowledges the Program constitutes confidential and proprietary
information and trade secrets of Licensor, whether or not the Program, or
any portion of it, is or may be copyrighted or copyrightable and/or
patented or patentable, and that disclosure of the Program to Licensee is
on the basis of the confidential relationship between Licensee and
Licensor under this Contract.
6. Restriction on Disclosure
Except as expressly permitted herein, Licensee shall not disclose or
otherwise make available the Program, or any portion thereof, to any third
party or to any employee of Licensee who is not of necessity authorized by
Licensee to use the Program in Licensee's business. Licensee shall take
all reasonable steps necessary to insure the Program, or any portion
thereof, is not disclosed or otherwise made available by Licensee (or
employees of Licensee) to any third party.
7. Warranty
Licensor warrants it has the right to grant the license herein
granted, and for a period of one (1) year from the date of Acceptance
(herein the "warranty Period"), the Program will perform substantially in
the manner set forth in the specifications. Licensor's sole obligation
under this warranty shall be to correct or replace any Program found to be
defective from normal usage. This warranty is expressly in lieu of all
other warranties, express or implied, including but not limited to, the
implied warranties of merchantability and fitness for a particular
purpose. Licensor does not warrant that the program and/or its associated
documentation, if any, will meet licensee's requirements, be error free,
or operate without interruption, and licensee assumes the entire risk as
to its quality and performance. In no event will licensor be liable for
special, incidental, or consequential damages (including, without
limitation, damages for loss of business profits, business interruption,
loss of business information or other pecuniary loss) even if licensor has
been advised of the possibility that such damages may arise.
8. Patent and copyright Indemnity
Licensor agrees that it will, at its own expense, defend any action
brought against Licensee, and indemnify Licensee against any award of
damages and costs made against Licensee by a final judgment of a court of
competent jurisdiction in any such action, insofar as the same are based
on a claim that the Program used within the scope of the license herein
granted constitutes an infringement of any patent or copyright; provided
Licensee shall have given Licensor prompt notice in writing of the claim
and institution of such action, and permits Licensor, through its counsel,
to defend the same and give Licensor all reasonably available information,
assistance and authority to enable Licensor to so defend and further
provided, that Licensor's liability hereunder, if any, shall be strictly
and solely limited to the amount of royalties which would be payable in
respect to revenues derived by Licensor from Licensee from sales of the
infringing goods. Licensor shall have control of the defense of any such
action including appeals, and of all negotiations thereof, including the
right to effect any settlement or compromise. In case the Program is, in
any action, held to constitute an infringement and its use is enjoined,
Licensor shall, at its option and expense (a) procure for Licensee the
right to continue using the Program, or (b) replace or modify the same so
that it becomes noninfringing and performs the same service with
substantially the same quality, or (c) grant Licensee a credit, less
reasonable depreciation for use, damage and obsolescence, upon return of
the Program to Licensor. Licensor shall have no liability for any claim of
copyright or patent infringement based on: (1) use of other than a current
unaltered release of the Program; or (2) use of a current unaltered
release of the Program with non-Licensor Programs or data. The foregoing
states the entire liability with respect to infringement of any copyrights
or patents with regard to the Program.
9. Terms and Termination
The term of this License Contract and the license granted hereunder
shall commence on the date hereof, and shall terminate on the earlier of:
(a) when Licensee Ceases to Operate the System; or (b) the failure of
Licensee to pay any License fee or to comply with any of the terms and
provisions hereof, which failure continues for a period of days
after written notice to cure such failure and avoid termination.
Upon any termination of this Contract, pursuant to (a) or (b) above,
Licensee shall promptly return the Program and all copies thereof to
Licensor, and shall, within months after any such termination
furnish Licensor a written statement certifying that the original and all
copies and extracts (including partial copies and extracts) of the Program
and any related material received from Licensor or made in connection with
such license have been returned to Licensor or destroyed.
10. Licensed Programs
Program(s) licensed under this License Contract: .
11. Configuration and Installation
In the event of any conflict between this License Agreement and the
terms of the Contract, this License Agreement shall prevail.
In witness whereof, the parties have executed this Seller's Software
License Agreement on the date first above written.
SELLER: BUYER:
By: By:
Annex F End-user Software Sublicense Agreement
Seller, ("Company") and ("Customer"), have entered
into the Contract for the acquisition by Customer of certain equipment and
software from Company.
All or a portion of the software is subject to a license granted by
Corporation to Company.
Under the terms of the Original Equipment Manufacturer's (OEM)
Contract between Corporation and Company, Company is
authorized to approve Sublicense Contracts to End-Users of
Software Programs ("Software"). Accordingly, Company agrees to grant, and
Customer agrees to accept a Sublicense in accordance with the following
terms and conditions:
I. Standard License Terms
A. Grant of Software License
Upon full payment with respect to Customer's order, Company will be
deemed to have granted to Customer a Software license as provided below.
Customer's license shall continue unless terminated as provided herein.
These Terms and Conditions govern the license granted by Company to
Customer and Customer's obligations thereunder. Company grants no Software
licenses whatsoever, either explicitly or implicitly, except as provided
in this Contract.
B. Software Execution
1. Attachment 1 to this Software License identifies the Software and
the processor or equipment configuration on which the Software may be
executed. The term "Licensed Processor" shall mean a processor or
equipment configuration of the type specified in the license:
i. the serial number of which is specified in the Company license
certificate furnished by Company or in the Software license order
acknowledgement by Company or, if none is so specified;
ii. on which the Software is first executed pursuant to the
license grant.
2. Customer may execute the Software on the Licensed Processor, and
may load, copy or transmit the Software, in whole or in part, only as
necessary for execution on the Licensed Processor, except that:
i. Customer may execute the Software (except diagnostic Software)
on another single processor or equipment configuration on a temporary
basis during a malfunction which prevents execution of the Software on the
Licensed Processor, and may load, transmit, or copy the Software as
necessary for such temporary execution; and,
ii. Customer may make archival copies of the Software as provided
in the Copyright Law of country.
C. Modification and Merger
Customer may (i) modify the Software (in machine readable form only)
or (ii) merge modified Software or unmodified Software into other
software, to form adaptations intended solely for execution by Customer on
the Licensed Processor. Any part of the Software included in such
adaptations will continue to be subject to these Terms and Conditions.
D. Access to Software
1. Customer may make the Software available to its employees and
agents to the extent needed to exercise its sublicense hereunder. Customer
shall not make the Software available in any form to any parties except
those identified in this Subparagraph D.
2. To the extent that the Software contains any confidential or trade
secret information, the Software and the information it contains are
licensed to Customer pursuant to a confidential relationship. Customer
expressly acknowledges this confidential relationship and agrees to keep
the Software and information in confidence as provided herein.
E. Personal, Nonexclusive Licenses
Customer's sublicense is personal and nonexclusive and may not be
transferred without Corporation's express consent.
F. Record Keeping
1. Customer shall keep complete and accurate records (i) uniquely
identifying the Software and the licensed Processors; and (ii) indicating
where the Software is located. If requested by Company, Customer shall
provide copies of the applicable records to Company and if Company
reasonably believes that the Software has been made available to any third
party or executed (except as permitted by these Terms and Conditions) on
any other processor or equipment configuration during the term of the
license, Customer shall provide an explanation.
2. Customer agrees to reproduce Corporation's copyright
and all other legal notices, including but not limited to other
proprietary notices and notices mandated by governmental entities, on all
complete or partial copies, adaptations, or transmissions of the Software.
G. License Limitation, Reverse Engineering
Company transfers no title to or ownership of any Software to Customer
or any third party. Except as explicitly set forth in these Terms and
Conditions, Customer shall not execute, use, copy or modify the Software
or take any action inconsistent with Corporation's intellectual
property rights in the Software. Customer shall not decompile or reverse
assemble the Software, or analyze or otherwise examine it for reverse
engineering the Software or for reverse engineering any hardware or
firmware implementation of the Software.
II. License Termination
A. Company or Corporation may terminate any licenses
granted and any Software orders placed hereunder if Customer neglects or
fails to perform or observe any of its obligations to Corporation
or Company under these Terms and Conditions, and such condition is not
remedied within days after written notice has been given to
Customer.
B. Termination, whether by Company, Corporation or
Customer, shall apply to all versions of the Software licensed for
execution on the Licensed Processor.
C. Before any termination by Customer becomes effective, and in the
event of any termination by Company or Corporation, Customer
shall (i) return to Company or Corporation any license
certificate furnished by Company or Corporation, (ii) destroy
all copies of all versions of the Software in Customer's possession. (iii)
remove all portions of all versions of the Software from any adaptations
made by Customer and destroy such portions, and (iv) certify in writing
that all copies including all those included in Customer's adaptations
have been destroyed.
In witness whereof, the parties have executed this End-User Software
Sublicense Agreement on the date above first written.
SELLER: BUYER:
By: By:
ssments, deficiencies and charges
(collectively, "Damages") caused by, relating to or arising from the
performance by such party in accordance with this Contract of its
obligations hereunder, and Buyer shall also indemnify Seller, without
limiting the foregoing, for any such item caused by, relating to or
arising from (a) the programming services which are authorized for viewing
using the System, including any assertion that any such programming
service involves copyright infringement, (b) any disputes between Buyer
and any of its program distributors or other distributors or affiliates,
(c) any disputes or claims involving the subscribers for Buyer's
programming services, or (d) any assertion that Buyer has been involved
in, that Buyer's conduct of subscription involves, or that Buyer's use of
the System involves, any unfair competition or violations of laws, rules
or regulations.
(b) In the event of a third-party claim, with respect to which a party
is entitled to indemnification hereunder, a party (the "Indemnified
Party") shall notify the other party (the "Indemnifying Party") in writing
as soon as practicable, but in no event later than days after
receipt of such claims. The Indemnified Party's failure to provide such
notice shall not preclude it from seeking indemnification hereunder unless
such failure has materially prejudiced the Indemnifying Party's ability to
defend such claim. The Indemnifying Party shall promptly defend such claim
(with counsel of its own choosing) and the Indemnified Party shall
cooperate with the Indemnifying Party in the defense of such claim,
including the settlement of the matter on the basis stipulated by the
Indemnifying Party (with the Indemnifying Party being responsible for all
costs and expenses of such settlement). If the Indemnifying Party within a
reasonable time after notice of a claim fails to defend the Indemnified
Party, the Indemnified Party shall be entitled to undertake the defense,
compromise or settlement of such claim at the expense of the Indemnifying
Party. Upon the assumption of the defense of such claim, the Indemnifying
Party may settle, compromise or defend as it sees fit.
Notwithstanding anything to the contrary set forth in this Section,
Seller will defend any suit, claim, action or proceeding brought against
Buyer to the extent that such suit, claim, action or proceeding is based
on a claim that goods manufactured and sold by Seller to Buyer infringe
patent, copyright, mask work, trademark, trade secret or any other
intellectual property rights of any third party and Seller shall pay all
damages and costs awarded by final judgment (from which no appeal may be
taken) against Buyer, as well as its actual expenses and costs, on
condition that Seller (i) is promptly informed and furnished a copy of
each communication, notice or other action relating to the alleged
infringement, (ii) is given sole control of the defense (including the
right to select counsel), and the sole right to compromise and settle such
suit or proceeding; provided however, that Seller's liability hereunder,
if any, shall be strictly and solely limited to the amount of royalties
which would be payable in respect of revenues derived by Seller from Buyer
from sales of the infringing goods. Seller shall not be obligated to
defend or be liable for costs and damages if the infringement arises out
of a combination with, an addition to, or modification of the goods after
delivery by Seller, or from use of the goods, or any part thereof, in the
practice of a process.
If any goods manufactured and supplied by Seller to Buyer are held to
infringe any valid patent and Buyer is enjoined from using the same, or if
Seller believes such infringement is likely, Seller will exert all
reasonable efforts at its option and expense (i) to procure for Buyer the
right to use such goods free of any liability for such infringement, or
(ii) replace or modify such goods with a noninfringing substitute
otherwise complying substantially with all the requirements of this
Contract, or (iii) upon return of the goods, refund the purchase price and
the transportation costs of such goods (less reasonable allowance for
their use and benefit derived therefrom for the period of time from
delivery to Buyer, such allowance being based on a straight-line
depreciation period of years from the date of shipment by Seller).
If the infringement is alleged prior to completion of delivery of the
goods, Seller has the right to decline to make further shipments without
being in breach of contract. If Seller has not been enjoined from selling
such goods to Buyer, Seller may (at Seller's sole election), at Buyer's
request, supply such goods to Buyer, in which event Buyer shall be deemed
to extend to Seller the same patent indemnity hereinabove stated.
The same patent indemnity shall be deemed to be extended to Seller by
Buyer if any suit or proceeding is brought against Seller based on a claim
that the goods manufactured by Seller in compliance with Buyer's
specifications infringe any valid patent.
Buyer shall promptly notify Seller of any infringement by a third
party of intellectual property rights licensed to Buyer under this
Contract. In the event that a third party infringes such intellectual
property rights, the Parties shall cooperate with one another to take
appropriate action to cause such infringement to cease.
The foregoing states the sole and exclusive liability of the parties
hereto for infringement of patents, copyrights, mask works, trade secrets
trademarks, and other proprietary rights, whether direct or contributory,
and is in lieu of all warranties, express, implied or statutory, in regard
thereto, including, without limitation, the warranty against infringement
specified in the uniform commercial code.
21. Limitation of Liability
Buyer agrees that in no event shall Seller be liable for damages
hereunder, or for any claim of any kind as to any System or System
components delivered or for nondelivery of such System or components,
regardless of the form of the action, in an amount greater than the
purchase price of the System or components in respect of which such claim
is made.
In no event shall Seller be liable for any loss of profits, loss of
use, interruption of business, or indirect, special or consequential
damages of any kind.
22. Force Majeure
The term "Force Majeure" means acts of God, fire, casualty, flood,
earthquake, strikes or lockouts, riots, insurrections or civil disorders,
embargoes, war, any future law, order, regulation, or other act of
government, and other delays beyond Seller's reasonable control. If
Seller's performance of this Contract is prevented, restricted, delayed or
interfered with by reason of Force Majeure, Seller's performance shall be
excused to the extent delayed or prevented by Force Majeure, provided,
however, that Seller take reasonable steps to avoid or remove such causes
of nonperformance and shall continue performance whenever and to the
extent such causes are removed.
If, due to a Force Majeure event, the Buyer and/or Seller cannot
accomplish its contractual obligations for a period of consecutive
months, the Buyer and Seller shall meet and come to an agreement within
the shortest possible period of time upon the conditions on which they
could continue the execution of this contract.
Should the Buyer and Seller fail to agree on the conditions of such
continuation, the matter shall be referred to arbitration in accordance
with Article 26 hereof.
23. Termination
(a) Buyer or Seller shall have the right to terminate this Contract if
the other makes an assignment for the benefit of creditors, or a receiver,
trustee in bankruptcy or similar officer is appointed to take charge of
all or any part of the party's property or business or is adjudicated a
bankrupt.
(b) Seller shall have the right to terminate this Contract if Buyer
neglects or fails to make payment in accordance with the terms hereof and
such condition is not remedied within business days after
written notice to Buyer. Seller may, at Seller' s option, extend the time
for Buyer's cure.
24. Nonwaiver of Rights
Neither the waiver by a party hereto of a breach of, or a default
under, any of the provisions of this Contract, nor the failure of a party
on one or more occasions, to enforce any of the provisions of this
Contract or to exercise any right or privilege hereunder shall thereafter
be construed as a waiver of any subsequent breach or default, or as a
waiver of any of such provisions, rights or privileges hereunder.
25. Notices
All notices, requests, or other communications which may be sent by
either party to the other party pursuant to this Contract shall be in
writing and shall be addressed as follows:
If to Seller: If to Buyer:
All communications between the parties in the course of the present
Contract shall be made in language by registered airmail
letter sent to the addresses set forth herein or by facsimile. The date of
receipt of notice shall be deemed to be days after its postmark in
the case of registered mail or the date of dispatch of a facsimile.
26. Applicable Law and Resolution of Disputes
This Contract is made in accordance with the Foreign Economic Contract
Law of the People's Republic of China and the laws of
(country). The laws of (country) shall be applied to the
settlement of any disputes arising from this Contract.
(a) Consultations. In the event any dispute arises in connection with
the validity, interpretation, or implementation of this Contract or any of
its annexes, the Parties shall attempt in the first instance to resolve
such dispute through friendly consultations. If the dispute is not
resolved in this manner within days after the date on which one
Party has served written notice on the other Party for the commencement of
consultations, then either party may refer the dispute to arbitration in
accordance with the provisions of this Section 26.
(b) Arbitration. (sketch)
27. Binding Effect
These terms and conditions shall be binding upon and inure to the
benefit of the parties hereto, their successors and permitted assigns.
28. Entire Contract
The terms and conditions incorporated herein contain the entire
agreement and understanding between the parties with respect to the
subject matter hereof and merge and supersede all prior agreements,
understandings and representations. No additions or modifications shall be
effective unless in writing signed by the parties hereto. The present
Contract shall be made in Language in four (4) originals, two
(2) for each party.
In witness whereof, the parties have duly executed this Contract on
the date first above written.
SELLER: BUYER:
By: By:
Annex A System Components (sketch)
Annex B Delivery and Installation Timetable (sketch)
Annex C Price and Payment Terms (sketch)
Annex D Product Description and Specifications (sketch)
Annex E Seller's Software License Agreement
The terms and provisions of this Annex E (License Contract) provide
for the licensing by Seller to Buyer of certain computer software
specified below where such software is used either as part of or in
conjunction with the System to be provided by Seller under this Contract,
or which this Annex E forms a part thereof.
1. Grant of License
Seller (hereinafter Licensor) hereby grants to Buyer (hereinafter
Licensee) and Licensee hereby accepts, a nontransferable, nonexclusive
license to use and copy, on the terms and conditions set forth herein, the
software program (s) listed in Article 10 of this License Contract and
described in the product specifications. Said program (s) listed in
Article 10 of this License Contract together with any copies or
reproductions thereof or excerpts therefrom, are herein collectively
referred to as the "Program". No license, expressed or implied, is granted
except as specifically provided herein.
2. Restriction on Use
Licensee may use the Program solely and exclusively on the computer
(s) furnished by the Seller under terms of this Contract, as part of each
System, except that the Program may also be used on Licensee's backup
computer if the System computers are inoperative because of malfunction or
during the performance of preventive maintenance, engineering changes or
changes in features or model, until the System control computer (s) is
restored to operative status. Licensee shall use the Program only in
connection with its immediate internal operations, and shall not offer or
supply the use of the Program to others under any circumstance.
No other software program can be installed, operated, or configured on
the System Control Computer hardware without prior written approval by
Seller. This includes operating or application software that may be
available from Seller that is not covered by this License Contract.
3. Restriction on Copying
Licensee shall make no copies of the Program, or any part thereof,
except that Licensee may make copies of the Program solely for the
purposes of backup, archival storage and placing the Program in a form
suitable for execution. All permitted copies shall be clearly marked with
the same Licensor proprietary and copyright restrictions which appear on
the Program originally supplied to Licensee. Permitted copies shall be
stored in a secure manner.
4. Restriction on Transfer
Licensee shall not sell, assign, sublicense, transfer, or otherwise
make available the Program, except as may be permitted by this Contract
and only with written prior consent by Seller.
5. Buyership Rights
Title to the Program shall be and remain in Licensor, and no title to
or ownership of or technology transfer of the Program or any portion
thereof is conveyed or transferred to the Licensee hereby. Licensee
acknowledges the Program constitutes confidential and proprietary
information and trade secrets of Licensor, whether or not the Program, or
any portion of it, is or may be copyrighted or copyrightable and/or
patented or patentable, and that disclosure of the Program to Licensee is
on the basis of the confidential relationship between Licensee and
Licensor under this Contract.
6. Restriction on Disclosure
Except as expressly permitted herein, Licensee shall not disclose or
otherwise make available the Program, or any portion thereof, to any third
party or to any employee of Licensee who is not of necessity authorized by
Licensee to use the Program in Licensee's business. Licensee shall take
all reasonable steps necessary to insure the Program, or any portion
thereof, is not disclosed or otherwise made available by Licensee (or
employees of Licensee) to any third party.
7. Warranty
Licensor warrants it has the right to grant the license herein
granted, and for a period of one (1) year from the date of Acceptance
(herein the "warranty Period"), the Program will perform substantially in
the manner set forth in the specifications. Licensor's sole obligation
under this warranty shall be to correct or replace any Program found to be
defective from normal usage. This warranty is expressly in lieu of all
other warranties, express or implied, including but not limited to, the
implied warranties of merchantability and fitness for a particular
purpose. Licensor does not warrant that the program and/or its associated
documentation, if any, will meet licensee's requirements, be error free,
or operate without interruption, and licensee assumes the entire risk as
to its quality and performance. In no event will licensor be liable for
special, incidental, or consequential damages (including, without
limitation, damages for loss of business profits, business interruption,
loss of business information or other pecuniary loss) even if licensor has
been advised of the possibility that such damages may arise.
8. Patent and copyright Indemnity
Licensor agrees that it will, at its own expense, defend any action
brought against Licensee, and indemnify Licensee against any award of
damages and costs made against Licensee by a final judgment of a court of
competent jurisdiction in any such action, insofar as the same are based
on a claim that the Program used within the scope of the license herein
granted constitutes an infringement of any patent or copyright; provided
Licensee shall have given Licensor prompt notice in writing of the claim
and institution of such action, and permits Licensor, through its counsel,
to defend the same and give Licensor all reasonably available information,
assistance and authority to enable Licensor to so defend and further
provided, that Licensor's liability hereunder, if any, shall be strictly
and solely limited to the amount of royalties which would be payable in
respect to revenues derived by Licensor from Licensee from sales of the
infringing goods. Licensor shall have control of the defense of any such
action including appeals, and of all negotiations thereof, including the
right to effect any settlement or compromise. In case the Program is, in
any action, held to constitute an infringement and its use is enjoined,
Licensor shall, at its option and expense (a) procure for Licensee the
right to continue using the Program, or (b) replace or modify the same so
that it becomes noninfringing and performs the same service with
substantially the same quality, or (c) grant Licensee a credit, less
reasonable depreciation for use, damage and obsolescence, upon return of
the Program to Licensor. Licensor shall have no liability for any claim of
copyright or patent infringement based on: (1) use of other than a current
unaltered release of the Program; or (2) use of a current unaltered
release of the Program with non-Licensor Programs or data. The foregoing
states the entire liability with respect to infringement of any copyrights
or patents with regard to the Program.
9. Terms and Termination
The term of this License Contract and the license granted hereunder
shall commence on the date hereof, and shall terminate on the earlier of:
(a) when Licensee Ceases to Operate the System; or (b) the failure of
Licensee to pay any License fee or to comply with any of the terms and
provisions hereof, which failure continues for a period of days
after written notice to cure such failure and avoid termination.
Upon any termination of this Contract, pursuant to (a) or (b) above,
Licensee shall promptly return the Program and all copies thereof to
Licensor, and shall, within months after any such termination
furnish Licensor a written statement certifying that the original and all
copies and extracts (including partial copies and extracts) of the Program
and any related material received from Licensor or made in connection with
such license have been returned to Licensor or destroyed.
10. Licensed Programs
Program(s) licensed under this License Contract: .
11. Configuration and Installation
In the event of any conflict between this License Agreement and the
terms of the Contract, this License Agreement shall prevail.
In witness whereof, the parties have executed this Seller's Software
License Agreement on the date first above written.
SELLER: BUYER:
By: By:
Annex F End-user Software Sublicense Agreement
Seller, ("Company") and ("Customer"), have entered
into the Contract for the acquisition by Customer of certain equipment and
software from Company.
All or a portion of the software is subject to a license granted by
Corporation to Company.
Under the terms of the Original Equipment Manufacturer's (OEM)
Contract between Corporation and Company, Company is
authorized to approve Sublicense Contracts to End-Users of
Software Programs ("Software"). Accordingly, Company agrees to grant, and
Customer agrees to accept a Sublicense in accordance with the following
terms and conditions:
I. Standard License Terms
A. Grant of Software License
Upon full payment with respect to Customer's order, Company will be
deemed to have granted to Customer a Software license as provided below.
Customer's license shall continue unless terminated as provided herein.
These Terms and Conditions govern the license granted by Company to
Customer and Customer's obligations thereunder. Company grants no Software
licenses whatsoever, either explicitly or implicitly, except as provided
in this Contract.
B. Software Execution
1. Attachment 1 to this Software License identifies the Software and
the processor or equipment configuration on which the Software may be
executed. The term "Licensed Processor" shall mean a processor or
equipment configuration of the type specified in the license:
i. the serial number of which is specified in the Company license
certificate furnished by Company or in the Software license order
acknowledgement by Company or, if none is so specified;
ii. on which the Software is first executed pursuant to the
license grant.
2. Customer may execute the Software on the Licensed Processor, and
may load, copy or transmit the Software, in whole or in part, only as
necessary for execution on the Licensed Processor, except that:
i. Customer may execute the Software (except diagnostic Software)
on another single processor or equipment configuration on a temporary
basis during a malfunction which prevents execution of the Software on the
Licensed Processor, and may load, transmit, or copy the Software as
necessary for such temporary execution; and,
ii. Customer may make archival copies of the Software as provided
in the Copyright Law of country.
C. Modification and Merger
Customer may (i) modify the Software (in machine readable form only)
or (ii) merge modified Software or unmodified Software into other
software, to form adaptations intended solely for execution by Customer on
the Licensed Processor. Any part of the Software included in such
adaptations will continue to be subject to these Terms and Conditions.
D. Access to Software
1. Customer may make the Software available to its employees and
agents to the extent needed to exercise its sublicense hereunder. Customer
shall not make the Software available in any form to any parties except
those identified in this Subparagraph D.
2. To the extent that the Software contains any confidential or trade
secret information, the Software and the information it contains are
licensed to Customer pursuant to a confidential relationship. Customer
expressly acknowledges this confidential relationship and agrees to keep
the Software and information in confidence as provided herein.
E. Personal, Nonexclusive Licenses
Customer's sublicense is personal and nonexclusive and may not be
transferred without Corporation's express consent.
F. Record Keeping
1. Customer shall keep complete and accurate records (i) uniquely
identifying the Software and the licensed Processors; and (ii) indicating
where the Software is located. If requested by Company, Customer shall
provide copies of the applicable records to Company and if Company
reasonably believes that the Software has been made available to any third
party or executed (except as permitted by these Terms and Conditions) on
any other processor or equipment configuration during the term of the
license, Customer shall provide an explanation.
2. Customer agrees to reproduce Corporation's copyright
and all other legal notices, including but not limited to other
proprietary notices and notices mandated by governmental entities, on all
complete or partial copies, adaptations, or transmissions of the Software.
G. License Limitation, Reverse Engineering
Company transfers no title to or ownership of any Software to Customer
or any third party. Except as explicitly set forth in these Terms and
Conditions, Customer shall not execute, use, copy or modify the Software
or take any action inconsistent with Corporation's intellectual
property rights in the Software. Customer shall not decompile or reverse
assemble the Software, or analyze or otherwise examine it for reverse
engineering the Software or for reverse engineering any hardware or
firmware implementation of the Software.
II. License Termination
A. Company or Corporation may terminate any licenses
granted and any Software orders placed hereunder if Customer neglects or
fails to perform or observe any of its obligations to Corporation
or Company under these Terms and Conditions, and such condition is not
remedied within days after written notice has been given to
Customer.
B. Termination, whether by Company, Corporation or
Customer, shall apply to all versions of the Software licensed for
execution on the Licensed Processor.
C. Before any termination by Customer becomes effective, and in the
event of any termination by Company or Corporation, Customer
shall (i) return to Company or Corporation any license
certificate furnished by Company or Corporation, (ii) destroy
all copies of all versions of the Software in Customer's possession. (iii)
remove all portions of all versions of the Software from any adaptations
made by Customer and destroy such portions, and (iv) certify in writing
that all copies including all those included in Customer's adaptations
have been destroyed.
In witness whereof, the parties have executed this End-User Software
Sublicense Agreement on the date above first written.
SELLER: BUYER:
By: By:
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