Chargeable Mandatory Contracts Sample Clauses

Chargeable Mandatory Contracts. Select from time to time negotiates contracts with vendors or providers of services that necessitate mandatory participation by all Hyatt Place Hotels (such as credit card acceptance commissions and processing fees, music license agreements, telecommunications agreements, benefits administration services by Hxxxxx Associates, payroll processing by ADP, workers compensation and employee practices insurance) or by certain Hyatt Place Hotels (e.g. hotels in a certain business segment) provided, however, that the Hotel shall not be subject to any contract to the extent its term extends beyond the Term. In addition to the flat rate for Shared Services Costs set forth herein, the costs of these contracts are billed back to each hotel directly or based upon Select’s reasonable determination of the appropriate allocation for such hotel. While Select does not receive any fees, rebates or commissions under, or with respect to, Chargeable Mandatory Contracts, certain of the Chargeable Mandatory Contracts may provide for promotional or other allowances that are then allocated among participating Hyatt Place Hotels as determined by Select (or as required by the vendor or supplier in question) or utilized for promotional activities benefiting all or substantially all Hyatt Place Hotels. Specifically with respect to employee benefits plan administration, Select has an outsourcing agreement with Hxxxxx Associates for plan administration at a pass through cost of $7.10 per employee per month as follows: