Certain Obligations, Rights and Duties of NSK. In addition to its --------------------------------------------- other obligations under this Agreement, NSK agrees, among other things: (1) to maintain, at its sole cost and expense, such facilities and other places of business within the Territory necessary to effect the purposes and intentions of this Agreement and to bear all costs and expenses it incurs in the negotiation, memorialization, execution and performance of all leases, rentals, equipment, salaries, taxes, licenses, insurance, permits, telephone, telegraph, promotional, advertising, travel, accounting, legal and such similar expenses, relating to the business of NSK under the terms and conditions of this Agreement, unless otherwise agreed in writing by the Parties; (2) to manage its business affairs in such a manner that the reputation of NSI is not damaged; (3) to sell Starter Kits to potential NSI Independent Distributors in accordance with all applicable laws and industry standards; (4) to collect requests for Distributor Contracts from potential NSI Independent Distributors and forward these contracts to NSI in a timely fashion (provided that all such requests for Distributor Contracts shall be reviewed for acceptance or rejection by NSI in the United States and in no instance shall NSK accept such Distributor Contracts,); (5) to train and lend assistance to NSI Independent Distributors in the Territory; (6) to transmit information regarding Net Sales to NSI Independent Distributors and such other information as NSI may reasonably request; (7) to pay Bonus Payments to Resident Distributor subject to settlement as set forth in Section 3.1 hereof; (8) to use its best efforts to monitor and supervise the activities of Resident NSI Distributors; (9) to use its best efforts to cause the enforcement of the Distributor Contracts to ensure compliance therewith and with NSI's policies and procedures and to any action against Resident NSI Distributors for violation of the terms and conditions of the Distributor Contract, NSI's policies and procedures, or any other rules and regulations of NSI or NSK as NSI shall reasonably request; and, (10) to perform any other function or provide support as NSI shall reasonably request to enable NSI to fully perform its obligations to the NSI Independent Distributors under the Sales Compensation Plan and their Distributor Contracts.
