Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each of the following shall be deemed to constitute a CPI Material Contract: (i) any Contract relating to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits); (ii) any Contract that provides for indemnification of any officer, director, employee or agent; (iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities; (iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal; (v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract; (vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract; (vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and (viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933. (b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto. (c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI. (d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions. (e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Merger Agreement (Tseng Labs Inc)
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes 5.12(a) sets forth a "CPI Material Contract." For purposes list of this Agreement, each all of the following shall Contracts to which the Company or any of its Subsidiaries is a party or by which it or any of its assets or properties is bound as of the date hereof (collectively, the Contracts required to be deemed to constitute set forth on Schedule 5.12(a), together with the Real Property Leases set forth on Schedule 5.10(a), the “Material Contracts”), organized under a CPI Material Contractheader for each subsection:
(i) each Contract with any Contract relating to labor union, works council, labor organization or association representing any employee of the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment Company or any other payment (other than payments in respect of salary and the grant of standard benefits)its Subsidiaries;
(ii) each Contract involving net license fee revenues in excess of $1,000,000 or the equivalent in other currencies paid to the Company or any Contract that provides for indemnification of any officer, director, employee or agentits Subsidiaries during the twelve-month period ending on the Balance Sheet Date;
(iii) any each Contract (A) relating to the acquisition, issuance, voting, registration, sale acquisition or transfer disposition by the Company or any of its Subsidiaries of any securitiesbusiness, (B) providing division or product line or the capital stock of any other Person with since January 31, 2010, in each case pursuant to which any preemptive right, right earn-outs or deferred or contingent purchase price or indemnification obligations of participation, right of maintenance the Company or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesits Subsidiaries remain outstanding;
(iv) any Contract requiring that CPI give any noticethe ten (10) Contracts (based on maintenance revenue) pursuant to which the Company and its Subsidiaries have recognized the most maintenance revenue during the fiscal year ended January 31, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal2014 (regardless of the fiscal year when the underlying orders resulting in such revenue were booked);
(v) each Contract providing for the incurrence, assumption, guarantee or securing of Indebtedness or the making of any Contract loans (not otherwise identified other than routine advances to employees for travel expenses and/or sales commissions in this Section) that (A) has a term the ordinary course of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractbusiness);
(vi) any each Contract creating, controlling or governing a joint venture, partnership or similar arrangement (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI than distribution agreements and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) reseller agreements in the payment or delivery ordinary course of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractbusiness);
(vii) license agreements pursuant to which the Company or any of its Subsidiaries is a named party and licenses in Intellectual Property or licenses out Intellectual Property (other than non-exclusive license agreements granted to customers in the ordinary course of business , “open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; andsource” Software agreements, and/or licenses for generally commercially available “off-the-shelf” Software);
(viii) any agreement concerning the provision of co-location and related services to the Company or any of its Subsidiaries, which services are used by the Company or Subsidiary as applicable to fulfill obligations to provide Software and data hosting services to customers;
(ix) each Contract (not otherwise identified in this SectionA) containing a covenant expressly limiting the freedom of the Company or any of its Subsidiaries (or that would be required limit the freedom of Parent, the Surviving Corporation and their respective Subsidiaries after the Closing) to engage in any business with any Person or in any geographic area or to compete with any Person, (B) expressly limiting the ability of the Company or any of its Subsidiaries to incur indebtedness for borrowed money, (C) obligating the Company or any of its Subsidiaries to purchase or otherwise obtain any product or service exclusively from a single party or sell any product or service exclusively to a single party or (D) containing any provision that grants any Person a right of first refusal, first offer or similar right to purchase any right, asset or property of, or equity interest in, the Company or its Subsidiaries;
(x) each Contract creating a Lien (other than Permitted Liens) upon any property or assets of the Company or any of its Subsidiaries, other than purchase money security interests in connection with the acquisition of equipment in the ordinary course of business;
(xi) each Contract reflecting a settlement of any threatened or pending Legal Proceedings, other than (A) releases entered into with former employees or independent contractors of the Company and its Subsidiaries, on an individual (and not class or collective basis), in the ordinary course of business in connection with the routine cessation of such employee’s employment or independent contractor’s engagement with the Company and its Subsidiaries that do not involve the payment of any amounts other than post-termination benefits afforded to such Person in any written agreement in effect prior to such termination, (B) settlement agreements for cash and/or the provision of products and/or services only (which have been paid or provided) and the value of which does not exceed $100,000 as to each such settlement or (C) settlement agreements entered into more than three (3) years prior to the date of this Agreement under which none of the Company or its Subsidiaries have any continuing obligations, liabilities or rights (excluding releases);
(xii) all operating leases (as lessor or lessee) of tangible personal property (other than any such lease calling for payments of less than $100,000 per year);
(xiii) each Contract for the pending sale, assignment or other transfer of any assets of the Company or any of its Subsidiaries for consideration in excess of $100,000, other than in the ordinary course of business;
(xiv) each employment, consulting or similar Contract with any current director, officer, employee or individual consultant of the Company or any of its Subsidiaries requiring an exhibit annual payment of cash base salary (or, in the case of individual consultants, expected payments in any year) in excess of $200,000 for each person or that otherwise provide for severance, retention, change in control or similar payments (excluding customary garden leave notice periods for non-U.S. employees);
(xv) other than (x) ordinary course customer agreements and (y) non-exclusive license agreements granted to customers in the ordinary course of business, each Contract with any Governmental Body;
(xvi) each Agreement which creates a registration statement under future payment obligation by the Securities Act Company or any of 1933its Subsidiaries of more than $750,000 or the equivalent in other currencies in aggregate in any calendar year;
(xvii) each other Contract not entered into in the ordinary course of business that involved the expenditure by the Company and its Subsidiaries of more than $750,000 or the equivalent in other currencies in the aggregate during the twelve-month period ending on the Balance Sheet Date; and
(xviii) each Contract that provides for “most favored nation,” “preferred status pricing” or similar terms or conditions with respect to the Company’s and is Subsidiaries’ products or services.
(b) Each CPI True and correct copies of each Material Contract (including all amendments or modifications thereto) have been made available to Parent prior to the date hereof. Each Material Contract (i) is a valid and binding agreement of the Company or a Subsidiary, as the case may be, and, to the Company’s Knowledge, the other parties thereto, and (ii) is in full force and effect, effect and is enforceable in accordance with its terms, except to the extent any Material Contract terminates in accordance with its terms after the date hereof and prior to the Closing (subject to (i) laws of general application relating to applicable bankruptcy, insolvency insolvency, reorganization, moratorium or other laws affecting generally the enforcement of creditors’ rights and subject to general principles of equity). The Company or its Subsidiary and, to the relief Knowledge of debtorsthe Company, (ii) rules each of law governing specific performancethe other parties thereto, injunctive relief are not in breach of, default or violation under, any of such Contracts in any material respect and other equitable remedies and (iii) no event has occurred that with notice or lapse of time, or both, would constitute such a breach, default or violation in such a material respect. Neither the case Company nor any Subsidiary has received any written notice of any Contract termination, default or event that with notice or lapse of time, or both, would constitute a Governmental Body, laws applicable theretodefault by the Company and its Subsidiaries under any Material Contact.
(c) Except as set forth Since January 31, 2010, the Company and each Subsidiary have complied in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any all material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurredrespects with all terms and conditions of, and no circumstance or condition existsin all material respects with all Laws relating to, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contracteach Government Contract and Government Bid, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has and have not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, Company or any other material term Subsidiary has breached or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed violated in any material respect orany Law, to CPI's knowledge, where a dispute as representation or requirement relating to any such Government Contract or Government Bid. All invoices or other demands for payment submitted by the Company and each Subsidiary pursuant to any Government Contract were current, accurate and complete in all material matter respects as of the date submitted. Neither the Company nor any Subsidiary has (a) been threatenedsuspended or debarred from bidding on government contracts; (b) been audited or investigated with respect to any Government Contract or Government Bid; (c) conducted or initiated any internal investigation or made any disclosure to any Governmental Body or other customer with respect to any alleged or potential material irregularity, misstatement or omission relating to any Government Contract; (d) received any written notice of material breach, cure, show cause or default with respect to any Government Contract; or (e) had any Government Contract terminated for default or failure to perform by the Company or any of its Subsidiaries. Neither the Company nor any Subsidiary has delivered any software or data under any license providing any Governmental Body greater rights than a restricted rights license as defined in 48 C.F.R. 27.401 or the Company’s standard commercial software license.
Appears in 1 contract
Material Contracts. (aSection 3.1(r) The CPI of the Disclosure Schedule identifies each CPI Contract that constitutes sets forth a "CPI Material Contract." For purposes list of this Agreement, each of the following shall be deemed types of Contracts (with each such Contract being of one or more of the following types) to constitute which the Company or any of its Subsidiaries is a CPI party as of the date of this Agreement (each, a “Material Contract:”):
(i) any Contract relating to involving the employment ofpurchase, lease, use or occupancy of real property by the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment Company or any other payment (other than payments in respect of salary and the grant of standard benefits)its Subsidiaries;
(ii) any Contract involving the lease of personal property by the Company or any of its Subsidiaries that provides for indemnification rent payable by the Company or any of any officer, director, employee its Subsidiaries in an annual period in excess of $5,000,000 as of the date of this Agreement (or agentits foreign currency equivalent as of the date of this Agreement);
(iii) any Contract (A) relating with a customer involving the future sale of goods by the Company or any of its Subsidiaries that provides for a price, fee or similar consideration payable to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance Company or any similar right of its Subsidiaries in an annual period in excess of $5,000,000 as of the date of this Agreement, excluding routine purchase orders and related releases occurring in the ordinary course of business consistent with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiespast practice;
(iv) any Contract requiring with a supplier or licensor that CPI give provides for future expenditures by the Company or any notice, obtain any consent of its Subsidiaries in an annual period in excess of $5,000,000 as of the date of this Agreement (or provide any information to any Person prior to accepting any Acquisition Proposalits foreign currency equivalent as of the date of this Agreement);
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value evidencing outstanding Indebtedness in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract5,000,000;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract collective bargaining or other Contract between CPI and with any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash labor union or other consideration on or after the date hereof in an amount or having representative of a value in excess group of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractemployees;
(vii) any open Contract under which the Company or any of its Subsidiaries will have any material obligation with respect to an “earn out,” contingent purchase order placed by CPI requiring future aggregate payments in excess of $300,000; andprice, or similar contingent payment obligation or material indemnification obligation;
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.joint venture, partnership, shareholder, franchise or similar Contract;
(bix) Each CPI any Contract containing any capital expenditure obligations of the Company or any of its Subsidiaries in excess of $5,000,000;
(x) any Contract containing any non-competition, non-solicitation, most-favored-nation, exclusivity or similar covenant that restricts the future business activity of the Company or any of its Subsidiaries or Affiliates with respect to their respective businesses;
(xi) all Contracts of the Company or any of its Subsidiaries with any customers or suppliers involving aggregate amounts in excess of $5,000,000 in any twelve (12) month period;
(xii) any Contract with any Governmental Entity or that contains outstanding material obligations relating to the settlement of any Action or other proceeding;
(xiii) any Contracts pursuant to which the Company or any of its Subsidiaries is licensee or licensor with respect to material Intellectual Property (excluding “shrink-wrap”, “click-wrap” and other agreements that are generally commercially available on standard terms and that are not material to the conduct of the business of any member of the Group); and
(xiv) any Affiliate Contract. Parent has made available to Buyer a correct and complete copy of each Material Contract, including all amendments and supplements thereto. Assuming the due authorization, execution and delivery thereof by the other party or parties thereto, each Material Contract is valid and in full force and effect, effect and is a legal, valid and binding agreement that is enforceable against the Company or a Subsidiary of the Company (as applicable) and, to the knowledge of Parent, the other party or parties thereto in accordance with its terms, subject to (i) laws of general application relating to except as such may be limited by bankruptcy, insolvency and the relief of debtorsinsolvency, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice reorganization or other written communication regarding any actual Laws affecting creditors’ rights generally and by general equitable principles. The Company or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication one of its Subsidiaries (Aas applicable) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwiseand, to the knowledge of CPIParent, taken any action each other party thereto are in compliance, in all material respects, with respect to such party's complaint for a period all material terms of more than six months following receipt each Material Contract. None of the communication; and (iv) CPI has not waived Parent, the Company nor any of the Company’s Subsidiaries has received prior to the date hereof written or, to the knowledge of Parent, non-written notice of (x) material default or noncompliance by the Company or its material rights Subsidiaries under any CPI Material Contract, in each case where such breach, default, violation (y) early termination of any Material Contract or waiver would have a Material Adverse Effect on CPI.
(dz) To the best intent of the knowledge counterparty to materially alter the provisions of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Section 2.14(a) of the Disclosure Schedule identifies each CPI any Material Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each in effect as of the following date hereof to which the Company or any Subsidiary is a party or by which the Company or any Subsidiary or any of their assets is bound or under which the Company or any Subsidiary has any obligation. As used herein, the Contracts described below, whether or not set forth in Section 2.14(a) of the Disclosure Schedule, shall constitute the “Material Contracts” provided, to the extent any Contract entered into between the date hereof and Closing would otherwise have been deemed a Material Contract under the terms herein, such Contract will be deemed to constitute a CPI Material Contract:
(i) any that is a Contract relating to the employment of, with (1) a Substantial Customer or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)2) a Substantial Supplier;
(ii) pursuant to which the Company or any Contract that provides for indemnification Subsidiary has expressly appointed another party as dealer, distributor, sales representative, value added reseller, remarketer, channel partner, referrer, reseller or any other similar appointment of any officerof the Company Products (collectively, director“Reseller Agreements”) under which the Company or such Subsidiary has paid fees or shared revenue with the counterparty to such Contract in the fiscal year ending December 31, employee or agent2019 in excess of $10,000;
(iii) any Contract (A) relating pursuant to which the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance Company or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect Subsidiary is bound to, or right has committed to repurchase provide or redeemlicense, any securitiesCompany Product to any third party on an exclusive basis;
(iv) imposing any Contract requiring that CPI give express restriction on the right or ability of the Company or any noticeSubsidiary: (A) to compete with any other Person or to engage in any line of business in any market or geographic area, obtain or to sell, license, manufacture or otherwise distribute any consent Company Products, or to provide any information services, to any Person prior customers or potential customers or any class of customers, in any geographic area, during any period of time, or in any segment of the market; or (B) to accepting acquire any Acquisition ProposalTechnology, or any services, from any other Person, to sell any Company Product to or perform any services for any other Person; provided that the foregoing shall not require the disclosure of any non-disclosure agreements entered into in the ordinary course of business or any agreements between the Company and its Subsidiaries or among its Subsidiaries restricting the decision-making authority of any Employee or Adviser of the Company or any such Subsidiary or otherwise imposing any of the above express restrictions on the Company or any of its Subsidiaries;
(v) that grants any Contract (not otherwise identified in this Section) that (A) has a term right of more than sixty (60) days first refusal, right of first offer or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash similar rights with respect to any material assets, rights, securities or other consideration on interests (including any Company Capital Stock or after Company Options) or properties of the date hereof in an amount Company or having a value in excess any of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractSubsidiaries;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in constitutes an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractInbound License;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; andthat constitutes an Outbound License;
(viii) pursuant to which the Company has engaged a Person (other than a Subsidiary of the Company) to develop any Contract material Company IP on terms that are not substantially equivalent to the Company’s standard terms for engaging independent contractors, and excluding Inbound Licenses or Outbound Licenses and the agreements excluded therefrom;
(not otherwise identified in this Sectionix) that would be required as an exhibit in is a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Bodyany union, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated works council or breached, similar labor entity or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contractlabor organization; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (Ax) that has subsequently been revoked; or (B) has been received from is a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.Lease Agreement;
Appears in 1 contract
Samples: Merger Agreement (Medallia, Inc.)
Material Contracts. (a) The CPI Section 3.19(a) of the Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, lists each of the following shall be deemed to constitute a CPI Contracts of the Acquired Companies (such Contracts, including all material amendments, modifications, extensions, renewals, guarantees, schedules, exhibits or ancillary agreements with respect thereto, collectively, the “Material ContractContracts”) as of the date of this Agreement:
(i) any Contract relating to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI any Acquired Company is or may become obligated to make any severancepay, terminationor is entitled to receive, bonus an amount in excess of $50,000 individually or relocation payment or any other payment ($200,000 in the aggregate other than payments any contingent liability under a survival clause in respect a terminated Contract for which the Acquired Companies do not expect to have any actual Liability and which otherwise would not be required to be disclosed on Section 3.07 of salary and the grant of standard benefits)Disclosure Schedule;
(ii) any Contract that provides for indemnification of partnership, joint venture or similar agreement or arrangement to which any officer, director, employee or agentAcquired Company is a party;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registrationacquisition or disposition of any business (whether by merger, sale of stock, sale of assets or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesotherwise);
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposaleach Lease;
(v) any Contract relating to Indebtedness, whether incurred, assumed, guaranteed or secured by any asset, except any such agreements with an aggregate outstanding principal amount (taking all such agreements together) not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of exceeding $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract50,000;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contracteach IP License;
(vii) any open purchase order placed by CPI requiring future aggregate payments Contract that materially limits (or purports to materially limit) the ability of any Acquired Company from engaging or competing in excess any line of $300,000; andbusiness or with any Person, or from soliciting for employment or hiring any Person;
(viii) any Contract with any Governmental Authority;
(ix) any Affiliate Contract;
(x) any Contract requiring any Acquired Company (A) to co-invest with any other Person, (B) to provide seed capital or similar investment or (C) to invest in any investment product;
(xi) any Contract that contains (A) a “clawback” or similar undertaking requiring the contribution, reimbursement or refund by an Acquired Company of any prior distribution, return of capital or fees (whether performance based or otherwise) paid to any such Person or (B) a “most favored nation” or similar provision;
(xii) any Contract that contains key person provisions pertaining to employees of any Acquired Company;
(xiii) any placement agent agreement, or other similar Contract for the distribution or sale of notes, shares, units or interests of a CLO Entity, which CLO has not otherwise identified closed and which placement agent agreement has not terminated as of the date of this Agreement;
(xiv) each CLO Document;
(xv) any Contract with any CLO Entities to which an Acquired Company is a party and by which an Acquired Company or any of its assets is bound;
(xvi) any Side Letter;
(xvii) any Contract entered into by a Seller Party or an Affiliate in this Sectionconnection with the acquisition of an interest in an Acquired Company or a predecessor entity or the acquisition of an investment management agreement or collateral management agreement now held by an Acquired Company; and
(xviii) any other Contract not made in the ordinary course of business that would be required as an exhibit in a registration statement under is material to the Securities Act of 1933Acquired Companies.
(b) Each CPI As of the date of this Agreement, (i) each Material Contract is valid and binding on the Acquired Company party thereto and is in full force and effect, effect and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules no Acquired Company or, to the Knowledge of law governing specific performancethe Seller Parties, injunctive relief and any other equitable remedies and (iii) party thereto, is in default or breach in any material respect under the case terms of any such Material Contract, nor to the Knowledge of the Seller Parties, has any event occurred that, with notice or lapse of time or both, would constitute a material breach of any Material Contract with a Governmental Body, laws applicable by any Acquired Company party thereto.
(c) Except as As of the Closing Date, after giving effect to the Transactions, and subject to receipt of the CLO Manager Required Consents and the other consents set forth in on Section 3.05 of the CPI Disclosure Schedule, and the satisfaction of any notice requirement with respect to each Material Contract set forth on Section 3.04 of the Disclosure Schedule and Section 3.05 of the Disclosure Schedule: (i) CPI has not materially violated each Material Contract will be valid and binding on the Acquired Company party thereto and will be in full force and effect and (ii) no Acquired Company or, to the Knowledge of the Seller Parties, any other party thereto, will be in default or breached, or committed breach in any material default under, respect under the terms of any CPI such Material Contract, andnor, to the best Knowledge of the knowledge of CPISeller Parties, no other Person has materially violated or breachedwill any event have occurred that, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in time or both, would constitute a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Section 3.10(a) of the Disclosure Schedule identifies lists each CPI Contract that constitutes described below (the Contracts required to be listed on Section 3.10(a) of the Disclosure Schedule, each a "CPI “Material Contract." For purposes of this Agreement, each of the following shall be deemed ”) to constitute which any Acquired Entity is a CPI Material Contractparty or by which any Acquired Entity or its assets or properties is bound:
(i) any Contract relating related to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment Indebtedness for borrowed money or any other payment (other than payments in respect of salary and the grant of standard benefits)obligation to purchase, redeem, retire or otherwise acquire for value any Equity Interests;
(ii) any Contract related to an acquisition, divestiture, merger or similar transaction that provides for indemnification of any officerincludes representations, directorcovenants, employee indemnities or agentother obligations (including payment, indemnification, “earnout” or other contingent obligations) that are in effect on the date hereof;
(iii) any Contract, except for a Contract related to an acquisition subject to Section 3.10(a)(ii), that obligates any Acquired Entity to make any capital commitment or capital expenditure (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect including pursuant to any securities, or (Cjoint venture) providing CPI with any right in excess of first refusal with respect to, or right to repurchase or redeem, any securities$50,000;
(iv) any Contract requiring that CPI give with any noticecovenant limiting or prohibiting the right of any Acquired Entity (A) to engage in any line of business or conduct business in any geographic area, obtain (B) to distribute or offer any consent products or provide services, (C) to solicit any information employees, customers or suppliers of any other Person, or (D) to compete with any other Person prior to accepting in any Acquisition Proposalline of business or in any geographic area;
(v) any Contract (not otherwise identified in this Section) that (A) has a term grants any right of more than sixty (60) days first refusal, right of first offer or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery similar right with respect to any assets, rights or properties of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractany Acquired Entity;
(vi) any Contract (A) relating to which Equity Interests in any Governmental Body is a party business or under which enterprise, including investments in any Governmental Body has any rights or obligationsjoint venture, strategic alliance, or involving partnership agreements (excluding, for the avoidance of doubt, any management agreements or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractparticipating provider agreements);
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; andContract with any Government Program pursuant to which an Acquired Entity has ongoing material obligations;
(viii) any Contract pursuant to which any Acquired Entity (A) has granted or agreed to assign or transfer to any other Person any right, title or interest to any material IP Rights (including any license agreements, coexistence agreements and covenants not otherwise identified to sue) or (B) has received or agreed to receive from any other Person any license in this Sectionor to any material IP Rights, excluding (1) Contracts concerning commercially available shrink-wrap, online or off-the-shelf software, (2) Contracts for the assignment of IP Rights from employees or independent contractors in the Ordinary Course of Business, (3) rights granted under non-disclosure agreements, and (4) license grants incidental to the provision of products or services to the Acquired Entities or by the Acquired Entities to any customers;
(ix) any Contract relating to any settlement or related Claims with outstanding performance obligations (other than with respect to confidentiality);
(x) any Contract that would is a Related-Party Transaction;
(xi) any Contract related to leases of equipment, vehicles or other personal property that, in each case, involves annual payments by any Acquired Entity in excess of $75,000 in any fiscal year;
(xii) any Contract with a Key Vendor, Key Customer or Key Third-Party Payor;
(xiii) any Contract that constitutes a Provider Participation Agreement that covers more than seven hundred and fifty hundred (750) lives (each, a “Key Provider”);
(xiv) any Contract for the employment or engagement of any officer, individual employee, or other individual on a full-time, part-time, consulting, independent contractor or other basis that cannot be required as terminated upon 30 days’ notice or less or without penalty, and any other Contract providing for severance or other termination payments or change of control payments or benefits; and
(xv) any Contract that contains (i) “most favored nation” or equivalent preferential pricing terms for the benefit of any Person (other than an exhibit in Acquired Entity), or (ii) a registration statement under the Securities Act grant of 1933“exclusivity” or agreement to deal exclusively with, or a grant of exclusive rights or rights of first refusal to, any Person that restricts an Acquired Entity other than any agreement with CMS or a Government Program.
(b) Each CPI Except as disclosed on Section 3.10(b) of the Disclosure Schedule, the Acquired Entities have made available to Buyers true and complete copies of each Material Contract, together with all amendments and other changes thereto (all of which are disclosed on Section 3.10(a) of the Disclosure Schedule).
(c) Except as disclosed on Section 3.10(c) of the Disclosure Schedule: (i) no Material Contract has been terminated or, to the Company’s Knowledge, is in a default or breached by the other party thereto, (ii) no Acquired Entity is in default under, or in breach of, any Material Contract, and, to the Company’s Knowledge, no event or condition has occurred or arisen which with the passage of time or the giving of notice or both would result in a default or breach thereunder and (iii) each Material Contract is valid and in full force and effect, is the legal, valid and is binding obligation of the Acquired Entity party thereto, and (A) to the Company’s Knowledge, the other parties thereto, enforceable against each of them in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency the Bankruptcy and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies Equity Exceptions and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, andB), to the best Company’s Knowledge as of the knowledge of CPIdate hereof, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to will continue as such following the best consummation of the knowledge of CPI, no event transactions contemplated hereby. No Acquired Entity has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwiseor, to the knowledge of CPICompany’s Knowledge, taken any action with respect to such party's complaint for a period of more than six months following receipt oral notice of the communication; and (iv) CPI has not waived intention of any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have other party to a Material Adverse Effect on CPI.
(d) To Contract to terminate any Material Contract prior to the best expiration of the knowledge of CPI, no Person is renegotiatingterm (including renewal terms) thereof, or has to amend the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision terms of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatenedoutside of the ordinary course of business consistent with past practice.
Appears in 1 contract
Samples: Securities Purchase Agreement (Astrana Health, Inc.)
Material Contracts. (a) The CPI Except for this Agreement or as set forth in Section 4.12(a) of the Company Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes Schedule, as of the date of this Agreement, each neither the Company nor any of the following shall be deemed its Subsidiaries is a party to constitute a CPI Material Contractor bound by:
(i) any Contract relating that is reasonably expected to require either annual payments to or from the employment ofCompany and its Subsidiaries of more than $500,000, which are not cancelable (without penalty, cost or the performance other liability) by giving notice of services by, any officer, director ninety (90) days or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)less;
(ii) any Contract that provides for indemnification of any officer, director, employee with a Top Customer or agentTop Supplier;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesCompany Government Contract;
(iv) any Contract requiring that CPI give provides for Indebtedness of the Company or any noticeof its Subsidiaries having an outstanding principal or notional amount (or, obtain in the case of capital leases, the amount capitalized and reflected as a liability on the balance sheet) in excess of $500,000 (and, for the avoidance of doubt, excluding any consent or provide any information to any Person prior to accepting any Acquisition Proposalpayment terms on purchases in the Ordinary Course Of Business);
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days evidencing financial or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates commodity hedging or involves (I) the payment similar trading activities, including any interest rate swaps, financial derivatives master agreements or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contractconfirmations, or (II) the performance of services on futures account opening agreements and/or brokerage statements or after the date hereof having a value in excess of $300,000 in aggregate payments under such similar Contract;
(vi) any Contract (A) to which any Governmental Body is a party lease, rental or under which any Governmental Body has any rights or obligationsoccupancy agreement, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract real property license, or other Contract between CPI for, in each case, the lease of Leased Real Property that involves annual payments from the Company and any contractor or subcontractor to any Governmental Body) its Subsidiaries in excess of $100,000 and that (B) contemplates or involves (I) the payment or delivery of cash lease, rental agreement, installment and conditional sale agreement, or other consideration on Contract that, in each case in this clause (B), (x) provides for the ownership of, leasing of, title to, use of, or any leasehold or other interest in any personal property and (y) involves annual payments from the Company and its Subsidiaries in excess of $500,000;
(vii) any Contract pursuant to which the Company or any of its Subsidiaries (A) grants any license, sublicense, covenant not to xxx, release, waiver, option or other right under any Intellectual Property Rights material to the business of the Company and its Subsidiaries as a whole, or (B) receives any license, sublicense, covenant not to xxx, release, waiver, option or other right under any Intellectual Property Rights material to business of the Company and its Subsidiaries as a whole, other than non-exclusive licenses for non-customized, commercially available off-the-shelf Software entered into in the Ordinary Course of Business, for which the annual fee does not exceed $150,000 individually;
(viii) any Contract related to a collective bargaining arrangement or with a labor union, labor organization, works council or similar organization;
(ix) any Contract related to any settlement of any Proceeding pursuant to which the Company or any of its Subsidiaries will be required after the date hereof of this Agreement to pay consideration in an amount excess of $500,000;
(x) any partnership, limited liability company, joint venture or having other similar agreement or arrangement relating to the formation, creation, operation, management or control of any partnership, limited liability company or joint venture, except for any such agreements or arrangements solely between the Company and its Wholly Owned Subsidiaries or solely among the Company’s Wholly Owned Subsidiaries;
(xi) any Contract relating to the, direct or indirect, acquisition or disposition of any capital stock or other securities, assets or business (whether by merger, sale of stock, sale of assets or otherwise) in each case with a purchase price in excess of $500,000 and
(A) which was entered into since December 31, 2020 or (B) pursuant to which the Company or any of its Subsidiaries reasonably expects to be required to pay or receive any earn-out, deferred or other contingent payments following the consummation of the acquisition or disposition;
(xii) any Contract that contains a put, call, right of first refusal, right of first offer or similar right or obligation or any other obligation pursuant to which the Company or any of its Subsidiaries could be required to, directly or indirectly, purchase or sell, as applicable, any securities, capital stock or other assets reasonably expected to result in payments to or from the Company and its Subsidiaries with a value in excess of $300,000 250,000 in aggregate payments under such Contract, any twelve-month period;
(xiii) any Contract that on its face (A) purports to restrict the ability of the Company or any of its Affiliates (II) the performance of services on including Parent at or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;Effective Time) from
(vii1) directly or indirectly, engaging in any open purchase order placed by CPI requiring future aggregate payments business or competing in excess of $300,000; and
any business with any Person (viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtorsincluding soliciting clients or customers), (ii2) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of operating its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed business in any material respect manner or location or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Merger Agreement
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of Except for this Agreement, each Section 3.17 of the following shall be deemed Company Disclosure Letter contains a complete and correct list, as of the date hereof, of each Contract described below in this Section 3.17(a) under which the Company or any Company Subsidiary has any current or future rights, responsibilities, obligations or liabilities (in each case, whether contingent or otherwise) or to constitute which the Company or any Company Subsidiary is a CPI party or to which any of their respective properties or assets is subject, in each case as of the date hereof other than Company Benefit Plans listed on Section 3.10(a) of the Company Disclosure Letter (all Contracts of the type described in this Section 3.17(a), whether or not set forth on Section 3.17 of the Company Disclosure Letter, being referred to herein as the “Material Contract:”):
(i) each Contract that limits in any Contract relating to material respect the employment of, or freedom of the performance of services byCompany, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment Company Subsidiary or any other payment of their respective affiliates (other than payments including Parent and its affiliates after the Effective Time) to compete or engage in respect any line of salary business or geographic region or with any Person or sell, supply or distribute any product or service or that otherwise has the effect of restricting the Company, the Company Subsidiaries or any of their respective affiliates (including Parent and its affiliates after the grant Effective Time) from the development, marketing or distribution of standard benefits)products and services, in each case, in any geographic area;
(ii) any each Contract that provides limits the freedom of the Company, any Company Subsidiary or any of their respective affiliates to negotiate or, except for indemnification provisions requiring notice or consent to assignment by the counterparty thereto, consummate any of any officer, director, employee or agentthe Transactions;
(iii) any Contract material legal partnership, joint venture, strategic alliance, limited liability company agreement (Aother than any such agreement solely between or among the Company and its wholly owned Subsidiaries) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesmaterial Contract;
(iv) each acquisition or divestiture Contract that contains representations, covenants, indemnities or other obligations (including “earnout” or other contingent payment obligations) that would reasonably be expected to result in the receipt or making by the Company or any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition ProposalCompany Subsidiary of future payments in excess of $1,000,000;
(v) each Contract that gives any Contract Person the right to acquire any assets of the Company or any Company Subsidiary (not otherwise identified in this Sectionexcluding ordinary course commitments to purchase Company Products) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess with consideration of more than $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract1,000,000;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such each IP Contract;
(vii) any open purchase order placed Contract to provide Source Code for any Company Product to any third Person, including any Contract to put such Source Code in escrow with a third Person on behalf of a licensee or contracting party, other than Contracts with employees and contractors of the Company or any Company Subsidiary pursuant to which such employee or contractor is provided Source Code for use solely in connection with such employee’s or contractor’s performance of services for the Company or a Company Subsidiary;
(viii) any settlement agreement or similar Contract restricting in any material respect the operations or conduct of the Company or any Company Subsidiary or any of their respective affiliates (including Parent and its affiliates after the Effective Time);
(ix) any Contract providing for (i) any severance, termination payment, or advance notice of termination to any employee or individual independent contractor (or any other Person contracted to provide services that is controlled by CPI requiring future aggregate an individual independent contractor) of the Company or any Company Subsidiary (except for Contracts providing for no greater notice nor greater statutory severance pay than is required by applicable Law and Contracts with individual independent contractors providing for an advance notice period of thirty (30) days or less that can be terminated without material liability to the Company or any Company Subsidiary) or (ii) retention payments, change of control payments, accelerated vesting or any other payment or benefit that may or will become due as a result of the Merger or any other transaction contemplated by this Agreement;
(x) each Contract not otherwise described in any other subsection of this Section 3.17(a) pursuant to which the Company or any Company Subsidiary is obligated to pay, or entitled to receive, payments in excess of $300,0003,500,000 in the twelve (12) month period following the date hereof;
(xi) any Contract that obligates the Company or any Company Subsidiary to make any capital investment or capital expenditure outside the ordinary course of business and in excess of $1,000,000;
(xii) each Contract with a Material Customer, a Material Supplier or a Material Reseller, excluding non-disclosure agreements, purchase or service orders, sales acknowledgements, and other similar documents entered into or provided in the ordinary course of business consistent with past practice;
(xiii) each Contract that grants any right of first refusal or right of first offer or that limits the ability of the Company, any Company Subsidiary or any of its affiliates (including Parent or any of its affiliates after the Effective Time) to own, operate, sell, transfer, pledge or otherwise dispose of any businesses or material assets;
(xiv) each Contract that contains any exclusivity rights or “most favored nations” provisions or minimum use, supply or display requirements that are binding on the Company or its affiliates (including Parent or its affiliates after the Effective Time);
(xv) each Company Government Contract (except for customer contracts pursuant to which the Company receives annual revenue below $1,000,000 and which are on the Company standard form which has been made available to Parent);
(xvi) each Company Lease;
(xvii) each Contract relating to outstanding or potential Indebtedness (or commitments in respect thereof) of the Company or the Company Subsidiaries (whether incurred, assumed, guaranteed or secured by any asset) in an amount in excess of $100,000 or relating to any Liens on the assets of the Company or any Company Subsidiary;
(xviii) each Contract involving derivative financial instruments or arrangements (including swaps, caps, floors, futures, forward contracts and option agreements) for which the aggregate exposure (or aggregate value) to the Company and the Company Subsidiaries is reasonably expected to be in excess of $100,000 or with a notional value in excess of $100,000;
(xix) each Contract between the Company or any Company Subsidiary, on the one hand, and any officer, director or affiliate (other than a wholly owned Company Subsidiary) of the Company or any Company Subsidiary, any beneficial owner, directly or indirectly, of more than five percent (5%) of the number or voting power of the shares of Company Common Stock or any of their respective “associates” or “immediate family” members (as such terms are defined in Rule 12b-2 and Rule 16a-1 of the Exchange Act), on the other hand, including any Contract pursuant to which the Company or any Company Subsidiary has an obligation to indemnify such officer, director, affiliate, beneficial owner, associate or immediate family member;
(xx) each Contract (including any side letters) governing or amending, modifying, supplementing or otherwise relating to any of the Convertible Notes Indentures or any of the Convertible Notes Hedge Obligations; and
(viiixxi) any Contract (not otherwise identified described in any other subsection of this SectionSection 3.17(a) that would be required constitute a “material contract” (as an exhibit such term is defined in a registration statement under Item 601(b)(10) of Regulation S-K of the Securities Act of 1933SEC) with respect to the Company.
(b) Each CPI True and complete copies of each Material Contract in effect as of the date hereof have been made available to Parent or publicly filed with the SEC prior to the date hereof. Neither the Company nor any Company Subsidiary is in breach of or default under the terms of any Material Contract, except as has not had and would not reasonably be expected to have, individually or in the aggregate, a Company Material Adverse Effect. To the Company’s Knowledge, as of the date hereof, no other party to any Material Contract is valid in breach of or default under the terms of any Material Contract where such breach or default has had or would reasonably be expected to have, individually or in the aggregate, a Company Material Adverse Effect. Except as has not had and would not reasonably be expected to have, individually or in the aggregate, a Company Material Adverse Effect, each Material Contract is a valid, binding and enforceable obligation of the Company or the Company Subsidiary which is party thereto and, to the Company’s Knowledge, of each other party thereto, and is in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable theretoEnforceability Limitations.
(c) Except as set forth True and complete copies of each Government Contract Bid that, if accepted, would be a Material Contract of the type specified in the CPI Disclosure Schedule: Section 3.17(a)(xv) (ia “Material Government Bid”) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, have been made available to Parent prior to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPIdate hereof.
(d) To Except as has not been, and would not reasonably be expected to be, individually or in the best aggregate, material to the Company and the Company Subsidiaries, taken as a whole, (i) each Company Government Contract is binding on the Company or the Company Subsidiary party thereto and is in full force and effect, subject to the Enforceability Limitations, (ii) no Company Government Contract or offer, quotation, bid or proposal to sell products or services made by the Company or any Company Subsidiary to any Governmental Entity or any prime contractor (a “Government Contract Bid”) is the subject of bid or award protest proceedings resulting from the conduct of the knowledge Company or any of CPIits Subsidiaries, and (iii) neither the Company nor any Company Subsidiary is in breach of or default under the terms of any Company Government Contract. The Company and the Company Subsidiaries are in compliance, and have been in compliance since January 1, 2019, in all material respects with the terms and conditions of each Company Government Contract and Government Contract Bid, including all clauses, provisions and requirements incorporated expressly by reference or by operation of Law therein. Except as has not been, and would not reasonably be expected to be, individually or in the aggregate, material to the Company and the Company Subsidiaries, taken as a whole, since January 1, 2019, neither any Governmental Entity nor any prime contractor or subcontractor has notified the Company or any Company Subsidiary in writing that the Company or any Company Subsidiary has, or is alleged to have, breached or violated in any material respect any Law, representation, certification, disclosure, clause, provision or requirement pertaining to any Company Government Contract or Government Contract Bid. Except as has not been, and would not reasonably be expected to be, individually or in the aggregate, material to the Company and the Company Subsidiaries, taken as a whole, since January 1, 2019, no Person is renegotiating, or has costs incurred by the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, Company or any other Company Subsidiary pertaining to any Company Government Contract have been proposed for disallowance or deemed finally disallowed in writing by a Governmental Entity, and no material term payment due to the Company or provision of any CPI Material ContractCompany Subsidiary pertaining to any Company Government Contract has been withheld or set off, including termination provisionsnor has any claim been made to withhold or set off any such payment.
(e) The CPI Disclosure Schedule sets forth Except as has not been, and would not reasonably be expected to be, individually or in the aggregate, material to the Company and the Company Subsidiaries, taken as a list whole, since January 1, 2019, (i) none of all claims made the Company, any Company Subsidiary or any of their respective Principals (as defined in Federal Acquisition Regulation 52.209-5) has been debarred, suspended or excluded, or to the Company’s Knowledge, proposed for debarment, suspension or exclusion, from participation in or the award of Contracts or subcontracts for or with any Governmental Entity or doing business with any Governmental Entity, (ii) none of the Company or any Company Subsidiary has received any request to show cause (excluding for this purpose ineligibility to bid on certain Contracts due to generally applicable bidding requirements), (iii) none of the Company or any Company Subsidiary, to the Company’s Knowledge, is the subject of a finding of non-compliance, nonresponsibility or ineligibility for government contracting, (iv) none of the Company or any Company Subsidiary is for any reason listed on the List of Parties Excluded from Federal Procurement and Nonprocurement Programs, (v) neither the Company nor any Company Subsidiary, nor any of their respective directors, officers, employees or Principals (as defined in Federal Acquisition Regulation 52.209-5), nor to the Company’s Knowledge, any consultants or agents of the Company or any Company Subsidiary, is or has been under administrative, civil or criminal investigation, indictment or information by any CPI Material Contract that are disputed in Governmental Entity with respect to the award or performance of any material respect Company Government Contract, the subject of any actual or, to CPI's knowledgethe Company’s Knowledge, where threatened in writing, “whistleblower” or “qui tam” lawsuit, or audit (other than a dispute as routine contract audit) or investigation of the Company or any Company Subsidiary with respect to any Company Government Contract, including any alleged material matter irregularity, misstatement or omission arising thereunder or relating thereto, and to the Company’s Knowledge, there is no basis for any such investigation, indictment, lawsuit or audit and (vi) neither the Company nor any Company Subsidiary has been threatenedmade any voluntary disclosure (A) to any Governmental Entity with respect to any alleged material irregularity, misstatement, omission, fraud or price mischarging, or other violation of Law, arising under or relating to a Company Government Contract or (B) under the Federal Acquisition Regulation mandatory disclosure or payment provisions to any Governmental Entity and, to the Company’s Knowledge, there are no facts that would require mandatory disclosure thereunder.
Appears in 1 contract
Material Contracts. (a) The CPI Disclosure Except as set forth on Schedule identifies each CPI Contract that constitutes 3.15(a), neither the Company nor any Company Subsidiary is a "CPI Material Contract." For purposes of this Agreementparty to, each of the following shall be deemed to constitute a CPI Material Contractor bound by, any executory:
(i) any Contract relating to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)collective bargaining agreement;
(ii) employment contract providing for (A) an annual salary in excess of $250,000 or (B) severance payments or any Contract that provides for indemnification written obligation to provide payment in lieu of any officer, director, employee or agentnotice of termination in excess of $150,000;
(iii) any Contract (A) relating to the acquisitionbonus, issuancepension, votingprofit sharing, registrationretirement or other form of deferred compensation plan, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesother than as described on Schedule 3.10(a);
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information contract relating to any Person prior to accepting any Acquisition ProposalIndebtedness for Borrowed Money;
(v) license or royalty contract with respect to any Contract Proprietary Rights to which the Company or any Company Subsidiary is a party as licensee or licensor (not otherwise identified in this Section) that (A) has a term of more other than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contractcontracts relating to unmodified, commercially available off-the-shelf software, or (II) licenses granted to customers in the performance ordinary course of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractbusiness);
(vi) trade allowance, trade in, billback, rebate, discount or similar program of or for the Company or any Contract (A) to which Company Subsidiary for the benefit of or with any Governmental Body is a party customer or under which supplier of the Company or any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or Company Subsidiary other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) than in the payment or delivery ordinary course of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractbusiness;
(vii) contract containing an outstanding power of attorney with respect to the Company or any open Company Subsidiary;
(viii) contract for the shipping or distribution of the goods of the Company or any Company Subsidiary that resulted in payments by the Company or any Company Subsidiary in excess of $150,000 for fiscal year 2015;
(ix) contract with a Governmental Entity;
(x) joint venture, partnership or other agreement (however named) involving a sharing of profits, losses, costs or liabilities or obligations by the Company or any Company Subsidiary with any other Person;
(xi) contract which prohibits the Company or any of the Company Subsidiaries from freely engaging in any line of business anywhere in the world, competing with any Person, soliciting customers or suppliers of any other Person, or selling or purchasing any product, in each case if such prohibition is material to the Company and the Company Subsidiaries;
(xii) contract (other than purchase order placed by CPI requiring future aggregate orders) with any customer of the Company or a Company Subsidiary that resulted in revenue in excess of $2,500,000 for fiscal year 2015;
(xiii) contract the performance of which involved payments in excess of $300,000; and1,000,000 during fiscal year 2015 that cannot be terminated upon notice of 90 days or less without penalty;
(viiixiv) lease or agreement under which it is lessee of, or holds or operates, (A) any Contract personal property owned by any other party, for which the annual rental exceeds $250,000, or (not otherwise identified B) any real property owned by any other party, for which the annual rental exceeds $500,000 or is used or operated as a manufacturing facility regardless of annual rental;
(xv) lease or agreement under which it is lessor of or permits any third party to hold or operate any of its personal property, for which the annual rental exceeds $250,000;
(xvi) contract relating to the purchase or sale of real property;
(xvii) agreement relating to any completed business acquisition or divestiture by the Company or any Company Subsidiary since March 29, 2014;
(xviii) guaranty of any obligation for borrowed money or other material guaranty;
(xix) any agreement or group of related agreements for capital expenditures or the acquisition of fixed assets in this Sectionexcess of $500,000 (other than agreements relating to business acquisitions);
(xx) agreement that would be required as an exhibit provides for the indemnification by the Company or any Company Subsidiary of any Person, other than any such agreements entered into in a registration statement under the Securities Act ordinary course of 1933business;
(xxi) contract involving the settlement of any Action or threatened Action; or
(xxii) any amendment, supplement or modification of any of the foregoing.
(b) Each CPI Material Contract is valid and in full force and effectExcept as specifically disclosed on Schedule 3.15(b), and is enforceable in accordance with its terms, subject to (i) laws each contract listed on Schedule 3.15(a) (each, a “Material Contract”) is binding on the Company or the applicable Company Subsidiary, as the case may be, and, to the Knowledge of general application relating the Company, each other party thereto, except to the extent enforceability may be subject to or limited by bankruptcy, insolvency insolvency, reorganization, moratorium or other similar laws affecting the enforcement of creditors’ rights generally and the relief of debtorsby general equitable principles, (ii) rules of law governing specific performancethe Company or a Company Subsidiary, injunctive relief and other equitable remedies and as applicable, has performed in all material respects all obligations required to be performed by it to date under the Material Contracts, (iii) neither the Company nor any Company Subsidiary has received written notice that it is in breach or default in any material respect under any Material Contract; and (iv) to the case Knowledge of the Company, no other party is in breach or default in any Contract with a Governmental Bodymaterial respect under any Material Contract. For the avoidance of doubt, laws applicable thereto“Material Contracts” shall not include any contract that will be fully performed or satisfied as of or prior to Closing.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) Parent has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiatingsupplied with, or has the right to renegotiatebeen given access to, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list true and correct copy of all claims made under any CPI Material Contract that are disputed in any material respect orContracts, to CPI's knowledge, where a dispute as to any material matter has been threatenedtogether with all amendments thereto.
Appears in 1 contract
Samples: Merger Agreement (Jarden Corp)
Material Contracts. Except as set forth on Schedule 4.11, none of the Contracts includes:
(a) The CPI Disclosure Schedule identifies each CPI Contract Any agreement, contract or commitment that constitutes a "CPI Material Contract." For purposes of this Agreement, each of the following shall be deemed to constitute a CPI Material Contract:
(i) any Contract relating to the employment of, or involves the performance of services byby the Company or any Subsidiary of an amount or value (as measured by the revenue reasonably expected to be derived therefrom during the 12 months ended December 31, 2007) in excess of $100,000 annually;
(b) Any agreement, contract or commitment that involves the payment by the Company or any officerSubsidiary of more than $50,000 annually;
(c) Any agreement, director indenture or employee and any Contract pursuant other instrument which contains restrictions with respect to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment of dividends or any other payment (other than payments distribution in respect of salary and the grant Company’s capital stock;
(d) Any written employment contracts or independent contractor agreements (including any collective bargaining contract or union agreement) relating to employees or independent contractors which may not be immediately terminated without penalty (or any augmentation or acceleration of standard benefits);
(iie) any Contract that provides for indemnification of any officer, director, employee or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right Any leases with respect to any securitiesproperty, real or (C) providing CPI with any right personal, except for leases of first refusal with respect to, or right to repurchase or redeem, any securitiespersonal property involving less than $100,000 per year;
(ivf) any Contract requiring that CPI give any noticeAny agreement, obtain any consent contract or provide any information commitment to any Person prior be performed relating to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value capital expenditures in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract100,000;
(vig) Any agreement, indenture or instrument relating to indebtedness of the Company or any Contract Subsidiary for borrowed money or the deferred purchase price of property (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) excluding trade payables in the payment or delivery ordinary course of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractbusiness;
(viih) Any loan or advance to or investment in, any open purchase order placed by CPI requiring future aggregate payments in excess Person, or any agreement, contract or commitment relating to the making of $300,000; andany such loan, advance or investment or any agreement, contract or commitment involving a sharing of profits;
(viiii) Any guarantee or other contingent liability in respect of any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act indebtedness or obligation of 1933.any Person;
(bj) Each CPI Material Contract is Any agreement, contract or commitment that grants any person or entity the exclusive right to sell products or services;
(k) Any agreement, contract or commitment that purports to limit the freedom of the Company or any Subsidiary to compete in any line of business or to conduct business in any geographic location;
(l) Any agreement, contract or commitment entered into outside the Company or the Subsidiaries, as applicable, Ordinary Course of Business;
(m) Any agreement, contract or commitment that involves interest rate swaps, cap or collar agreements, commodity or financial future or option contracts or similar derivative or hedging contracts; or
(n) Any agreement, contract or commitment related to profit sharing, stock option, stock purchase, stock appreciation, deferred compensation, severance, “golden parachute” or other similar agreement for the benefit of its current or former directors, officers, employees or other service provider. The Company made available to Parent complete and accurate copies of all of the foregoing Contracts. All of the Contracts are legal, valid and binding obligations of the Company or one of the Subsidiaries, and is in full force and effect. The Company or applicable Subsidiary has duly performed all of its material obligations under each Contract to the extent those obligations have accrued and no material default, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breachedviolation, or committed any material default underbreach by the Company or such Subsidiary, any CPI Material Contract, andor, to the best Knowledge of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default underCompany, any CPI Material Contract; (ii) to the best of the knowledge of CPIother party, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person Contract has occurred which affects the right to accelerate the maturity or performance enforceability of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI such Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contractparties’ rights thereunder, including termination provisionsrights of termination, modification and acceleration.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Merger Agreement (Comverge, Inc.)
Material Contracts. (a) The CPI Section 3.21(a) of the Company Disclosure Schedule identifies each CPI Contract that constitutes sets forth a "CPI Material Contract." For purposes of this Agreement, each complete and accurate list of the following shall be deemed to constitute a CPI Material ContractContracts:
(i) any Contract relating (A) research, development or license agreement with respect to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment material Company Proprietary Rights (other than feasibility study agreements entered into by the Company or any of its subsidiaries in the ordinary course of business), (B) agreement granting a right of first refusal, or right of first offer or comparable right with respect to Company Proprietary Rights, (C) joint venture, partnership or similar agreement involving a sharing of profits, losses, costs, or liabilities with another person 18 or entity, (D) agreement providing for the payment or receipt by either the Company or one of its subsidiaries of milestone payments or royalties (other than feasibility study agreements entered into by the Company or any of its subsidiaries in respect the ordinary course of salary and business), or (E) agreement that individually requires aggregate expenditures by any of the grant Company or its subsidiaries in any one year of standard benefits)more than $250,000;
(ii) any Contract indenture, trust agreement, loan agreement or note that provides involves or evidences outstanding Liabilities for indemnification borrowed money in excess of any officer, director, employee or agent$250,000;
(iii) any Contract (A) relating to the acquisitionagreement of surety, issuance, voting, registration, sale guarantee or transfer indemnification that involves potential obligations in excess of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities$250,000;
(iv) any Contract requiring agreement that CPI give limits or restricts the Company, any noticeof its subsidiaries or any of their affiliates or successors in competing or engaging in any line of business, obtain in any consent therapeutic area, in any geographic area or provide with any information to any Person prior to accepting any Acquisition ProposalPerson;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash interest rate, equity or other consideration on swap or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractderivative instrument;
(vi) any Contract (A) agreement obligating the Company to which any Governmental Body is a party or register securities under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;Securities Act; or
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess other Contract of $300,000; and
(viii) any Contract (not otherwise identified in this Section) the Company or its subsidiaries that would be required as an exhibit in a registration statement under is material to the Securities Act of 1933Company or its subsidiaries.
(b) Each CPI The Company has delivered to Parent or has made available to Parent a correct and complete copy of each Contract (as amended to the date of this Agreement) listed in Section 3.21(a) of the Company Disclosure Schedule. With respect to each Contract so listed, except as would not have a Company Material Adverse Effect: (i) the Contract is valid legal, valid, binding and enforceable and in full force and effect, and is enforceable in accordance effect with its terms, subject respect to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in Company or the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contractsubsidiary, and, to the best knowledge of the knowledge Company, the written arrangement is legal, valid, binding and is enforceable and in full force and effect with respect to each other party thereto, in each case except as such enforcement may be limited by bankruptcy, insolvency, fraudulent conveyance, reorganization, moratorium and other similar laws affecting the enforcement of CPIcreditors' rights generally, no other Person has materially violated or breachedand except that the availability of equitable remedies, or committed including specific performance, is subject to the discretion of the court before which any material default under, any CPI Material Contractproceeding therefore may be brought; (ii) the Contract will continue to be legal, valid, binding and enforceable and in full force and effect immediately following the Closing in accordance with the terms thereof as in effect prior to the best Closing and does not require the consent of any party to the Transactions; and (iii) none of the Company or the applicable subsidiary is in breach or default, and to the knowledge of CPIthe Company, no event has occurred, and no circumstance or condition exists, that (occurred which with or without notice or lapse of time) could reasonably be expected to (A) result in time would constitute a material violation breach or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contractpermit termination, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contractmodification, or (D) give any Person the right to cancelacceleration, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to thereunder. To the knowledge of CPIthe Company, taken any action with respect to such party's complaint for a period of more than six months following receipt none of the communication; and (iv) CPI has not waived Company or any of its material rights under subsidiaries is a party to any CPI Material Contractoral contract, in each case where such breachagreement or other arrangement which, defaultif reduced to written form, violation or waiver would have a Material Adverse Effect be required to be listed on CPI.
(dSection 3.21(a) To the best of the knowledge Company Disclosure Schedule. There are no outstanding powers of CPI, no Person is renegotiating, or has attorney executed on behalf of the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, Company or any other material term or provision of any CPI Material Contract, including termination provisionsits subsidiaries.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Merger Agreement (Zonagen Inc)
Material Contracts. (a) The CPI Section 4.15(a) of the Disclosure Schedule identifies each CPI Contract that constitutes lists the following Contracts to which the Company or any of its Subsidiaries is a "CPI Material Contract." For purposes party or by which the Company or of its Subsidiaries is bound as of the date of this Agreement (other than this Agreement, each the WC Minority Purchase Agreement, the Indemnification Agreement, the Voting Agreement, the Escrow Agreement, Real Property Leases, Benefit Plans, Policies, Contracts set forth in Section 4.13(b)(ii) of the following shall be deemed Disclosure Schedule, Contracts set forth in Section 4.13(f) of the Disclosure Schedule, Contracts set forth in Section 4.18 of the Disclosure Schedule and Contracts that have been filed as of or prior to constitute the date hereof by the Company as a CPI Material Contract:material contract pursuant to Item 601(b)(10) of Regulation S-K):
(i) any each Contract relating that is required to be, but has not been, filed by the employment of, or the performance of services by, any officer, director or employee and any Contract Company as a material contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect Item 601(b)(10) of salary and the grant of standard benefits)Regulation S-K;
(ii) each Contract (other than this Agreement) that contains a non-competition provision or other covenant restricting in any Contract that provides for indemnification material respect the ability of the Company or any officer, director, employee of its Subsidiaries to engage or agentcompete in any manner in the business presently conducted by the Company or any of its Subsidiaries;
(iii) any each Contract (A) relating to the acquisition, issuance, voting, registration, sale that creates a partnership or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance joint venture or any similar right arrangement with respect to the Company or any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesits Subsidiaries;
(iv) any Contract requiring that CPI give any noticeeach indenture, obtain any consent credit agreement, loan agreement, security agreement, guarantee, note, mortgage or provide any information other agreements and instruments relating to any Person prior to accepting any Acquisition Proposalthe borrowing of money or extension of credit or other evidence of indebtedness or agreement providing for indebtedness in excess of $100,000;
(v) each Contract that relates to the acquisition or disposition of any material business (whether by merger, sale of stock, sale of assets or otherwise) other than this Agreement and the Primrose Agreement;
(vi) each Contract (not otherwise identified in this Section) that (A) has a term involves performance of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment services or delivery of cash goods or other consideration on materials by or after to the date hereof Company or any of its Subsidiaries in an amount or having with a value in excess of $300,000 in aggregate payments under such Contract, any 12-month period (which period may extend past the Closing);
(vii) each Contract that is not cancelable by the Company or (II) any of its Subsidiaries on notice of 90 days or less and that requires payment by the performance Company or any of services on or its Subsidiaries after the date hereof having a value of more than $300,000;
(viii) each Contract entered into other than in the ordinary course of business consistent with past practice involving aggregate payments by or to the Company or any of its Subsidiaries in excess of $300,000 per year or $600,000 in aggregate payments under such Contractthe aggregate;
(viix) each Contract providing for the indemnification of any Contract officer, director, employee, manager or independent contractor of the Company or any Subsidiary of the Company (A) to which other than the certificate or articles of incorporation, as applicable, and bylaws of the Company or any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000its Subsidiaries); and
(viiix) any each Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under requiring the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated Company or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under Subsidiaries to make any CPI Material Contractinvestment (in the form of a loan, capital contribution or otherwise) in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
any Person (d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, other than WC Holdings or any other material term or provision of any CPI Material Contract, including termination provisionsits Subsidiaries).
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Section 4.10(a) of the Company Disclosure Schedule identifies sets forth (grouped by each CPI Contract that constitutes a "CPI Material Contract." For purposes clause of this Agreement, each of Section 4.10(a)) the following shall be deemed to constitute a CPI Material Contract:
contracts (i) any Contract relating collectively, along with each Lease and each other contract which is material to the employment ofGroup Entities, taken as a whole, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits);
(ii) any Contract that provides for indemnification of any officer, director, employee or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any conduct of its material rights under any CPI Material Contract, in each case where such breach, default, violation business or waiver the absence of which would have a Material Adverse Effect on CPIthe Company, "Material Contracts") in effect as of the date of this Agreement to which any Group Entity is a party:
(i) any contract (excluding any customer, provider or employment contract) that the Company reasonably anticipates will, in accordance with its terms, involve aggregate annual payments after the date hereof by any Group Entity of more than $100,000 and that is not cancelable without liability within 60 days;
(ii) any contract, note or other instrument with any customer of the Company;
(iii) each provider contract or other contract with an individual, facility, program or entity rendering professional health care services as a contractor to any Group Entity under which $100,000 has been paid in calendar year 1996 or is reasonably likely to be paid in calendar year 1997 and that is not cancelable without payment to a third party or liability within 90 days;
(iv) any employment or consulting contracts (including without limitation any arrangements or obligations with respect to severance, change in control or termination pay) with any member of the Board of Directors, officer or employee of any Group Entity;
(v) all partnership, joint venture or similar contracts of any Group Entity;
(vi) any note, loan, letter of credit, contract relating to indebtedness for borrowed money or capitalized leases, or other contract in respect of which any Group Entity is obligated in any way to provide funds in respect of, or to guarantee or assume, any debt, obligation or dividend of any person or entity involving aggregate obligations of the Group Entities of more than $50,000;
(vii) any indemnity arrangement arising in connection with any sale or disposition of assets (other than sales of assets in the ordinary course of business);
(viii) any acquisition or disposition contracts of any Group Entity under which a party thereto remains obliged to pay monies or perform;
(ix) all contracts with any Governmental Authority or with any labor union;
(x) contracts for capital expenditures requiring payments by any Group Entity after the date hereof in excess of $100,000 for any single project;
(xi) all patent, trademark, service xxxx, trade name, copyright and franchise licenses, royalty agreements or similar contracts;
(xii) any material contracts relating to the licensure or ownership of the hardware or software utilized in any Group Entity's information systems; and
(xiii) each contract to which any Group Entity is a party (i) limiting the right of any Group Entity prior to or after the Closing Date, or Parent or any of its subsidiaries or Affiliates at or after the Closing Date, (A) to engage in, or to compete with any person in, any business, including each contract or agreement containing exclusivity provisions restricting the geographical area in which, or the method by which, any business may be conducted by any Group Entity prior to or after the Closing Date, or Parent or any of its subsidiaries or Affiliates after the Closing Date or (B) to solicit any customer, client or patient or (ii) containing "most favored nations" or similar provisions affecting the pricing terms of contracts to which it is a party. The Company has made available to Parent true and complete copies of all written Material Contracts (including all amendments thereto). Without limiting the generality of the foregoing, the Company has provided to Parent a true and complete copy of the amendment to its existing contract with Physician Health Services ("PHS") relating to the Connecticut Medicaid business, extending the terms of such existing contract through December 31, 1998. Set forth in Section 4.10(a)(xiv) of the Company Disclosure Schedule is a true and complete list of base compensation as reported on Form W-2 for each person disclosed as being the beneficiary of a contract or obligation pursuant to Section 4.10(a)(iv) hereof, since and including calendar year 1991, or with respect to any person whose employment with the Company commenced subsequent to 1991, since and including the first calendar year of such person's employment.
(b) Each Material Contract which is a customer contract, and each other material contract of any Group Entity which is a customer contract which would have been required to be disclosed in Section 4.10(a) of the Company Disclosure Schedule had such contract been entered into prior to the date of this Agreement, is in full force and effect and is a legal, valid and binding obligation, and there is not (i) any material default (or any event which, with the giving of notice or lapse of time or both, would be a material default) by any Group Entity or, to the knowledge of the Company, any other party, in the timely performance of any obligation to be performed or paid under any such Material Contract or any such other material contract, (ii) to the Company's knowledge, any threat of cancellation or termination of any such Material Contract or other such material contract, (iii) any contract that has been canceled or otherwise terminated within the last 12 months which would have been such a Material Contract had such contract not been canceled or terminated, or (iv) to the Company's knowledge, any material amendment to any such Material Contract, which amendment has been entered into or became effective in the last twelve months, except, in each case, as specifically described in Section 4.10(b) of the Company Disclosure Schedule.
(c) Each Material Contract which is not a customer contract, and each other material contract of any Group Entity which is not a customer contract and which would have been required to be disclosed in Section 4.10(a) of the Company Disclosure Schedule had such contract been entered into prior to the date of this Agreement, is in full force and effect and is a legal, valid and binding obligation, and there is (i) no material default (or any event which, with the giving of notice or lapse of time or both, would be a material default) by any Group Entity or, to the knowledge of the Company, any other party, in the timely performance of any obligation to be performed or paid under any such Material Contract or any such other material contract, or (ii) to the knowledge of the Company, no threat of cancellation or termination of any such Material Contract or other such material contract, except, in each case, as specifically described in Section 4.10(c) of the Company Disclosure Schedule.
(d) To the best of the knowledge of CPIAs used herein, no Person is renegotiating(1) "contract" means any written agreement and any legally binding oral agreement, commitment or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision arrangement and (2) "customer contract" means a contract with a customer of any CPI Material Contract, including termination provisionsGroup Entity.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Section 3.18(a) of the Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes Letter includes, as of the date of this Agreement, each a true, complete and correct list of all of the following shall Contracts to which Sellers, the Companies or any of their respective Subsidiaries is a party or under which any of the Business Assets are bound (but solely to the extent such Contract relates to the Business), excluding any Classified Contracts and Real Property Leases (the Contracts listed on Section 3.18(a) of the Disclosure Letter, or that would be deemed required to constitute a CPI be listed therein if entered into after the date hereof, the “Material Contract:Contracts”).
(i) any Contract relating to the employment of, material joint venture or the performance of services by, partnership agreement with any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)unaffiliated third party;
(ii) any material Contract with a Material Customer, Material Partner or Material Supplier, in each case other than (A) Classified Contracts, (B) Contracts for open source or free software; and (C) Contracts that provides for indemnification of any officer, director, employee or agentare Excluded Contracts;
(iii) any Contract exclusively or primarily relating to the Business whose term exceeds one (1) year and that (A) relating to is not cancelable by any of Sellers, the acquisition, issuance, voting, registration, sale Companies or transfer their respective Subsidiaries on notice of any securities, 120 or fewer days without payment by such Person and (B) providing involves aggregate annual payments to or expenditures by any Person with any preemptive rightof Sellers, right the Companies or their respective Subsidiaries in excess of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities$10,000,000;
(iv) any Contract requiring that CPI give Contract, other than a Real Property Lease, in respect of Indebtedness of the Business or Indebtedness of the Companies or their Subsidiaries for which the Companies or their Subsidiaries would be liable immediately after the Closing in an amount in excess of $10,000,000, other than any notice, obtain any consent Indebtedness owed by a Transferred Subsidiary or provide any information the Companies to any Person prior to accepting any Acquisition Proposalother Transferred Subsidiary or the Companies;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days with respect to any future disposition or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery granting of a termination notice by CPI and right of first refusal, first negotiation or similar right or restriction with respect to the sale of any of the Company Units, the Transferred Subsidiary Equity or any material portion of the Business Assets (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractrights thereto);
(vi) any Contract for the sale of any of the Business Assets (whether by merger, sale of stock, sale of assets or otherwise) or for the grant to any Person of any preferential rights to purchase any of the Business Assets (whether by merger, sale of stock, sale of assets or otherwise), in each case, for consideration in excess of $50,000,000;
(vii) any Contract containing a provision that materially restricts the Business from engaging or competing in any line of business with any Person or in any geographical area or offering or selling any product or service of the Business to any Person or class of Persons that would apply immediately after the Closing to the Company Group;
(viii) any Contract with a Material Customer granting such Material Customer exclusive rights or “most favored nation” or similar rights;
(ix) any Contract granting any of Sellers, the Companies, or their respective Subsidiaries any licenses to, rights in, or covenant not to xxx any Intellectual Property of any other Person (A) material to which any Governmental Body is a party or and exclusively relating to the operation of the Business (other than non-exclusive licenses to commercially available off-the-shelf Software granted under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract “shrink-wrap,” “click-wrap,” or other Contract between CPI and any contractor standard internal use license agreements) or subcontractor to any Governmental Body) and that (B) contemplates where the loss of which such licenses, rights or involves covenants not to xxx under such Contract would reasonably be expected to cause a Material Adverse Effect;
(Ix) any Contract granting any Person any licenses to, rights in, or covenant not to xxx any Transferred IP, other than non-exclusive licenses granted in the payment ordinary course of business;
(xi) any Contract solely related to the Business entered into since September 28, 2020 for the settlement of any Action that has not been satisfied or delivery discharged in full;
(xii) any Contract involving any resolution or settlement of cash any actual or other consideration on or after the date hereof in an amount or having threatened Action with a value in excess of $300,000 1,000,000;
(xiii) any material Contract with any Governmental Authority, other than Contracts entered in aggregate payments under such Contractthe ordinary course of business and any Government Contract with, or pertaining to work for, a foreign Governmental Authority;
(IIxiv) any Contract relating to the performance acquisition by the Business of services on or after assets outside the date hereof having a value ordinary course of business for an amount in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,00050,000,000; and
(viiixv) leases of any Contract (not otherwise identified personal property constituting Business Assets under which any of Sellers, the Companies or the Transferred Subsidiaries are obligated to make payments of more than $2,000,000 in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933any calendar year.
(b) True, correct and complete copies of each Material Contract (including any material amendment, supplement, and modification) in effect as of the date hereof other than Classified Contracts have been made available by or on behalf of the Companies to the Purchaser. Each CPI Material Contract is valid and in full force and effect, and is enforceable (except for those that terminate in accordance with its their terms) a legal, subject to (i) laws valid and binding obligation of general application relating to bankruptcySellers, insolvency and the relief of debtorsCompanies or their respective Subsidiaries, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contractapplicable, and, to the best Knowledge of Sellers, of each counterparty thereto, and is in full force and effect except for such failures to be valid, binding or in full force and effect as has not had a Material Adverse Effect. None of Sellers, the knowledge Companies or their respective Subsidiaries, as applicable, on the one hand nor, to the Knowledge of CPI, no other Person has materially violated or breached, or committed any material default underSellers, any CPI other party to a Material Contract; , on the other hand, is in default under any Material Contract (ii) to the best of the knowledge of CPIin each case, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in time or both), except for such breaches and defaults as have not had a material violation Material Adverse Effect. None of the Sellers, the Companies, or breach the Companies’ Subsidiaries have received written notice of any termination, default or event that with notice or lapse of the provisions of time, or both, would constitute a default by a Seller or its Affiliates under any CPI such Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has except as would not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best Effect. The terms and conditions of the knowledge of CPIClassified Contracts would not have a Material Adverse Effect, no Person and each Classified Contract is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI in full force and effect except as would not have a Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisionsAdverse Effect.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Contribution and Equity Purchase Agreement (McAfee Corp.)
Material Contracts. (a) The CPI Schedule 2.12(a)(i) – (xi) of the Company Disclosure Schedule identifies each CPI Contract sets forth all Contracts (except for purchase or service orders executed in the Ordinary Course of Business) to which the Company and its Subsidiaries is a party or the Company, or its Subsidiaries or any of their respective assets or properties are otherwise bound or that constitutes otherwise relate to the business of the Company or its Subsidiaries, of the type described below (each, a "CPI “Material Contract." For purposes of this Agreement, each of the following shall be deemed to constitute a CPI Material Contract:”):
(i) any Contract relating to Any contract, agreement or purchase order providing for the employment ofsale of products, or the performance provision of services byor warranty liability in excess of $150,000, in any officersuch case, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment by the Company or any of its Subsidiaries to any other payment (other than payments in respect of salary and the grant of standard benefits)Person;
(ii) Any single contract or purchase order providing for an expenditure by the Company or any Contract that provides of its Subsidiaries in excess of $150,000 or any contracts or purchase orders with the same or affiliated vendor(s) providing for indemnification an expenditure by the Company or any of any officer, director, employee or agentits Subsidiaries in excess of $150,000;
(iii) Any contract pursuant to which the Company or any of its Subsidiaries is the lessee or sublessee of, or holds or operates, any personal property owned or leased by any other Person or entity (other than leases of personal property leased in the Ordinary Course of Business with annual lease payments no greater than $50,000);
(iv) Any loan agreement, factoring agreement, indenture, promissory note, conditional sales agreement, mortgage, security agreement, pledge, letter of credit arrangement, guarantee, assumption, surety, support, endorsement, foreign exchange contract, commodity contract, interest rate or other derivative contract, accommodation or other similar type of Contract; in each case, in an amount in excess of $25,000.
(v) Any Contract containing outstanding obligations relating to the settlement of any Action;
(vi) All partnership, limited liability company, joint venture or similar Contracts relating to the Company and or its Subsidiaries;
(vii) Any sales agency, sales representation, consulting, distributorship or franchise agreement that is (i) projected to provide for the Company and/ or its Subsidiaries to make or receive payments in excess of $150,000 in a calendar year or (ii) are not terminable on ninety (90) days or less without penalty;
(viii) Any Contract (A) relating to prohibiting competition by the acquisition, issuance, voting, registration, sale Company or transfer any of any securitiesthe Company’s Subsidiaries, (B) providing binding any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect party to any securitiesexclusive business arrangement, or (C) providing CPI prohibiting the Company or any of its Subsidiaries or their employees from freely engaging in any business anywhere in the world, in each case, excluding Contracts governing exclusive license and distribution relationships which are set forth in Schedule 2.12(a)(ix) of the Company Disclosure Schedule entered into in the Ordinary of Business which generally contain standard exclusivity provisions along with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesother restrictive covenants;
(ivix) Any license, consent, permission, covenant not to sxx or other agreement by which the Company or any Contract requiring Subsidiary licenses from a third party Intellectual Property that CPI give is material to the conduct of the business of the Company or Subsidiary (and, for the avoidance of doubt, expressly excluding any noticelicense of commercial Software licensed on non-discriminatory terms), obtain or by which the Company or any consent or provide Subsidiary permits a third party to use any information to any Person prior to accepting any Acquisition ProposalCompany Intellectual Property;
(vx) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) Any contract pursuant to which the Company or any Governmental Body is a party of its Subsidiaries has entered into or under which has agreed to enter into any Governmental Body has any rights hedging or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000similar transactions; and
(viiixi) Any commitment to do any Contract of the foregoing described in clauses (not otherwise identified in this Sectioni) that would be required as an exhibit in a registration statement under the Securities Act of 1933through (x).
(b) Each CPI Material Contract is valid For the purpose of this Agreement, a “Contract” and in full force and effectcollectively, and is enforceable in accordance with its termsthe “Contracts” shall mean, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to a Person, each written or oral contract, agreement, commitment, license, lease, indenture, or evidence of indebtedness to which such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, a party or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisionsis otherwise obligated.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Except for this Agreement, Section 3.21 of the Gatos Disclosure Schedule identifies each CPI Contract that constitutes Letter contains a "CPI Material Contract." For purposes complete and correct list, as of the date of this Agreement, of each Contract described below in this Section 3.21(a) to which Gatos or a Gatos Subsidiary is a party or by which their respective properties or assets are bound (all Contracts of the following shall be deemed type described in this Section 3.21(a) being referred to constitute a CPI herein as the “Gatos Material Contract:Contracts”):
(i) (A) any material joint venture, partnership or other similar Contract relating to the employment offormation, creation, operation, management or the performance control of services byany joint venture, any officer, director partnership or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment limited liability company or any other payment research and development project Contract, and (other than payments in respect of salary and the grant of standard benefits)B) any stockholders, investors rights, registration rights or similar agreement;
(ii) any Contract that provides for indemnification expressly limiting or restricting the ability of Gatos or any officer, director, employee of the Gatos Subsidiaries to make distributions or agentdeclare or pay dividends to its stockholders;
(iii) any Contract that (A) relating to provides for the acquisition, issuance, voting, registrationacquisition or divestiture of any material asset (other than Contracts covered by clause (x) below and other than acquisitions or dispositions of inventory in the ordinary course of business) or business (whether by merger, sale of stock, sale of assets or transfer otherwise), in each case, in excess of any securities, $500,000 and (B) providing any Person with any preemptive rightcontains outstanding obligations that are material to Gatos and the Gatos Subsidiaries, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiestaken as a whole;
(iv) any Contract requiring that CPI give (excluding non-exclusive licenses for uncustomized, commercially available “off the shelf” Software or IT Systems licensed pursuant to standard terms and conditions) under which Gatos or any notice, obtain Gatos Subsidiary is granted any consent license or provide any information other rights with respect to any Person prior Intellectual Property or IT Systems of a third party (including by means of covenants not to accepting any Acquisition Proposalsue or software-as-a-service agreements), which Contract or Intellectual Property is material to the business of Gatos or the Gatos Subsidiaries, taken as a whole;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value with any Governmental Entity involving annual aggregate payments in excess of $300,000 500,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractfiscal year 2023;
(vi) each Contract that limits in any Contract (A) material respect the freedom of Gatos to which compete in any Governmental Body is a party line of business or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractgeographic region;
(vii) any open purchase order placed Contract with (A) any Person that, by CPI requiring future aggregate payments itself or together with its affiliates or those acting in excess concert with it, beneficially owns, or has the right to acquire beneficial ownership of, at least five percent (5%) of $300,000; andthe shares of Gatos Common Stock or (B) any affiliates of Gatos (other than Gatos Subsidiaries);
(viii) any Contract entered into since December 31, 2022, involving the settlement of any Action or threatened Action (or series of related Actions) (A) which (1) will involve payments after the Effective Time in excess of $500,000 or (2) will impose monitoring or reporting obligations after the Effective Time to any other Person outside the ordinary course of business or material restrictions after the Effective Time on Gatos or any Gatos Subsidiary or (B) with respect to which material conditions precedent to the settlement have not otherwise identified been satisfied;
(ix) (A) any loan Contracts, notes, letters of credit and other evidences of Indebtedness in this Sectionexcess of $2,000,000, (B) any mortgages, pledges and other evidences of liens securing such obligations or any material real or other property and (C) any guarantees supporting such obligations and financing Contracts including change of control provisions, in each case, other than (1) Contracts solely among Gatos and any wholly owned Gatos Subsidiary, and (2) any Contracts relating to Indebtedness explicitly included in the consolidated financial statements in the Gatos SEC Documents and which are publicly available prior to the date hereof in unredacted form;
(x) any Contract that would is a contractual royalty, production payment, net profits, earn-out, streaming agreement, metal prepayment or similar Contract that has a value or potential value in excess of $5,000,000;
(xi) any Contract that is a collective bargaining or union agreement or any other material Contract with any labor union; and
(xii) any Contract pursuant to which Gatos or any Gatos Subsidiary spent or received, in the aggregate, more than $5,000,000 during the twelve (12) months prior to the date hereof or could reasonably be required as an exhibit expected to spend or receive, in a registration statement under the Securities Act aggregate, more than $5,000,000 during the twelve (12) months immediately after the date hereof (including any Contract relating to any future capital expenditures by Gatos or any of 1933the Gatos Subsidiaries).
(b) Each CPI Gatos has provided to First Majestic prior to the date of this Agreement a true, correct and complete copy of each written Gatos Material Contract as in effect on the date of this Agreement. Neither Gatos nor any Gatos Subsidiary is in breach of or default under the terms of any Gatos Material Contract where such breach or default has had or would reasonably be expected to have, individually or in the aggregate, a Gatos Material Adverse Effect. To the knowledge of Gatos no other party to any Gatos Material Contract is valid and in, or is alleged to be in, breach of or default under the terms of any Gatos Material Contract where such breach or default has had or would reasonably be expected to have, individually or in full force and effectthe aggregate, and is enforceable a Gatos Material Adverse Effect. Except (i) to the extent that any Gatos Material Contract expires in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, terms or (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI such expiration or termination has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurredbeen, and no circumstance or condition exists, that (with or without notice or lapse of time) could would not reasonably be expected to (A) result be, individually or in the aggregate, material to Gatos and the Gatos Subsidiaries, taken as a material violation or breach of any of the provisions of any CPI whole, each Gatos Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI Contract has not received any written notice been terminated and is a valid and binding obligation of Gatos or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining the Gatos Subsidiary which is party that has not contacted CPI or otherwisethereto and, to the knowledge of CPIGatos, taken any action with respect of each other party thereto, subject to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPIEnforceability Exceptions.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Agreement and Plan of Merger (First Majestic Silver Corp)
Material Contracts. (a) The CPI Except as set forth in Schedule 5.18(a) of the Acquiror Disclosure Schedule identifies each CPI Schedules, Acquiror is not a party to or is bound by any Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each of the following shall nature (such Contracts as are required to be deemed to constitute a CPI set forth in Schedule 5.18(a) of the Acquiror Disclosure Schedules being “Acquiror Material Contract:Contracts”):
(i) any Contract relating to the employment ofbroker, distributor, dealer, agency, continuing sales or the performance of services bypurchase, any officersales promotion, director market research, marketing, consulting or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)advertising Contract;
(ii) any Contract that provides for indemnification relating to the design, development or testing of Acquiror’s products, other than any officerContract pursuant to which Acquiror licenses off-the-shelf, director, employee or agentcommercially available software;
(iii) any Contract relating to or evidencing Indebtedness or pursuant to which an Encumbrance has been imposed on any assets of Acquiror (other than a Permitted Encumbrance);
(iv) any Contract pursuant to which Acquiror has provided funds to or made any loan, capital contribution or other investment in, or assumed any liability or obligation of, any Person;
(v) any Contract with any Governmental Authority (each, an “Acquiror Government Contract” );
(vi) any Contract with any Related Party of any stockholder of Acquiror;
(vii) any Contract with any Acquiror Major Customer or Acquiror Major Supplier;
(viii) any Contract relating to the settlement of any Action;
(ix) any employment or consulting Contract, other than Contracts for employment covered in clause (vi), that involves an aggregate future or potential liability in excess of $10,000;
(x) any Contract that (A) limits, or purports to limit, the ability of Acquiror to compete in any line of business or with any Person or in any geographic area or during any period of time, (B) restricts the right of Acquiror to sell to or purchase from any Person or to hire any Person, (C) grants the other party or any third person “most favored nation” status or any type of special discount rights, (D) requires Acquiror to market or co-market any products or services of a third party, (E) requires Acquiror to make a minimum payment for goods or services from third-party suppliers irrespective of usage, including any “take-or-pay” Contract or keepwell arrangement, or (F) provides for fixed pricing for Acquiror’s products or 41 services for a period of longer than one year from the Closing Date;
(xi) any Contract that requires a consent to or otherwise contains a provision relating to a “change of control,” or that could prohibit or delay the consummation of the transactions contemplated by this Agreement or the Ancillary Agreements;
(xii) any Contract pursuant to which Acquiror is the lessee or lessor of, or holds, uses, or makes available for use to any Person, (A) any real property or (B) any tangible personal property and, in the case of clause (B), that involves an aggregate future or potential liability or receivable, as the case may be, in excess of $10,000;
(xiii) any Contract for the sale or purchase of any real property, or for the sale or purchase of any tangible personal property in an amount in excess of $10,000;
(xiv) any Contract providing for indemnification to or from any Person with respect to liabilities relating to any current or former business of Acquiror or any predecessor Person, other than any Contract pursuant to which Acquiror licenses off-the-shelf, commercially available software;
(xv) any Contract relating in whole or in part to any Intellectual Property, other than any Contract pursuant to which Acquiror licenses off-the-shelf, commercially available software;
(xvi) any joint venture or partnership, merger, asset or stock purchase or divestiture Contract relating to Acquiror;
(xvii) any Contract with any labor union or providing for benefits under any Acquiror Benefit Plan;
(xviii) any Contract for the purchase of any debt security or Equity Participation or other ownership interest of any Person, or for the issuance of any debt security or Equity Participation or other ownership interest, or the conversion of any obligation, instrument or security into debt securities or Equity Participations or other ownership interests of, Acquiror;
(xix) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securitiesEquity Participations of Acquiror, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securitiesEquity Participations of Acquiror, or (C) providing CPI Acquiror with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesEquity Participations;
(ivxx) any Contract requiring that CPI give containing any noticecapital expenditure obligations after the date of this Agreement in excess of $10,000, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposalindividually;
(vxxi) any Contract (other Contract, whether or not otherwise identified made in this Section) the ordinary course of business that (A) has involves a term of more than sixty (60) days future or that potential liability or receivable, as the case may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value be, in excess of $300,000 in aggregate payments under such Contract, 10,000 on an annual basis or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any 25,000 over the current Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligationsterm, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates has a term greater than one year and cannot be cancelled by Acquiror without penalty or involves (I) the further payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, and without more than 30 days’ notice or (IIC) is material to the performance business, 42 operations, assets, financial condition, results of services on operations or after the date hereof having prospects of Acquiror, taken as a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933whole.
(b) Each CPI Acquiror Material Contract is valid valid, binding and in full force and effectenforceable against Acquiror and, and is enforceable to the knowledge of Acquiror, the other parties thereto, in accordance with its terms, subject to (i) laws of general application relating to except as enforcement may be limited by applicable bankruptcy, insolvency insolvency, reorganization, moratorium or similar laws affecting creditors’ rights generally and the relief by general principles of debtors, equity (ii) rules regardless of law governing specific performance, injunctive relief and other equitable remedies and (iii) whether considered in the case of any Contract with a Governmental Body, laws applicable theretoproceeding in equity or at law).
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI Acquiror has not materially violated or breached, or committed any material default under, any CPI Acquiror Material Contract, and, to the best of the knowledge of CPIAcquiror, no other Person party to a Acquiror Material Contract has materially violated or breached, or committed any material default under, any CPI Acquiror Material Contract; .
(iid) No event has occurred and, to the best of the knowledge of CPIAcquiror, no event has occurred, and no circumstance or condition exists, exists that (with or without notice or lapse of time) could will, or would reasonably be expected to do any of the following: (Ai) result in a material violation or breach of any of the provisions of any CPI Acquiror Material Contract, ; (Bii) give any Person the right party to declare a default or exercise any remedy under any CPI Acquiror Material Contract, (C) give any Person Contract the right to accelerate the maturity or performance of any CPI Acquiror Material Contract, ; or (Diii) give any Person party to a Acquiror Material Contract the right to cancel, terminate or materially modify any CPI Acquiror Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI . Each Acquiror Material Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt will continue in full force and effect on identical terms upon consummation of the communication; and transactions contemplated hereby.
(ive) CPI Acquiror has not waived any of its material rights under any CPI Acquiror Material Contract, in each case where such breach, default, violation or waiver would have a . Acquiror has made available to Acquiror true and complete copies of all Acquiror Material Adverse Effect on CPIContracts.
(df) To the best of Acquiror is not, nor has it previously been, suspended or debarred from bidding on Acquiror Government Contracts nor, to the knowledge of CPIAcquiror, has such a suspension or debarment been threatened or action for suspension or debarment been commenced. To the knowledge of Acquiror, there is no Person is renegotiating, valid basis for Acquiror’s suspension or debarment from bidding on Acquiror Government Contracts. Acquiror has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisionsnot had an Acquiror Government Contract terminated for default by Acquiror.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Merger Agreement (Adomani, Inc.)
Material Contracts. (a) The CPI Section 3.16(a) of the Company Disclosure Schedule identifies each CPI Contract that constitutes sets forth a "CPI Material Contract." For purposes complete and accurate list of this Agreement, each of the following shall be deemed Contracts to constitute which the Company or any of its Subsidiaries is a CPI party or otherwise bound (any Contract of a nature described below (whether or not set forth on the Company Disclosure Schedule) to which the Company or any of its Subsidiaries is a party or otherwise bound, being referred to herein as a “Material Contract:” and, collectively, as the “Material Contracts”):
(i) (A) any Contract relating to the employment ofEmployee Agreement granting any change of control, severance, or termination pay (in cash or equity or otherwise) to any Employee, or (B) any contractor, consulting or sales Contract, or commitment with a vendor, firm or other organization involving, in the performance case of services bysubclause (B), any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than future payments in respect excess of salary and $50,000 in the grant of standard benefits)aggregate;
(ii) any Contract that provides or plan, including any stock option plan, stock appreciation rights plan or stock purchase plan, or any plan providing similar equity awards, for indemnification which any benefits will be increased, or for which the vesting of benefits will be accelerated, by the occurrence of any officerof the transactions contemplated by this Agreement (or any events following the Merger, directorcontingent or otherwise), employee or agentfor which the value of any of the benefits of which will be calculated on the basis of any of the transactions contemplated by this Agreement (other than using the estimated per-share consideration amount to be paid in connection with the Merger for purposes of effecting net or “cashless” exercises of the Company Options and Company Warrants);
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale fidelity or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance surety bond or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiescompletion bond;
(iv) any Contract requiring that CPI give any notice, obtain any consent Lease Agreements or provide any information to any Person prior to accepting any Acquisition Proposallease of personal property having a value in excess of $25,000 individually;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days indemnification or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;guaranty.
(vi) any Contract (A) or commitment relating to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or capital expenditures involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value future payments in excess of $300,000 50,000 individually or $100,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractaggregate;
(vii) any open purchase order placed by CPI requiring future aggregate payments Contract or commitment relating to the disposition or acquisition of material assets or any interest in excess any business enterprise outside the ordinary course of $300,000; andthe Company’s or its Subsidiaries’ businesses;
(viii) any mortgages, bonds, notes, indentures, guarantees, loans or credit agreements, security agreements or other Contracts or instruments relating to the borrowing of money or extension of credit or other material Company Debt, other than (A) accounts receivables and payables and (B) advances to employees for travel and business expenses, in each case in the ordinary course of business;
(ix) any purchase order or Contract for the purchase of materials involving in excess of $25,000 individually;
(x) any Contracts that contain “most favored nation” or similar pricing provisions pursuant to which a party thereto has the right to reduce pricing terms due to pricing terms offered to other customers;
(xi) any distributor, dealer, sales representative, original equipment manufacturer, value added, remarketer, reseller, independent software vendor, joint marketing, strategic alliance, affiliate or other Contract for distribution of the Company Products or Services;
(xii) any Contract or commitment to alter the Company’s interest in any Subsidiary, corporation, association, joint venture, partnership or business entity in which the Company directly or indirectly holds any interest;
(xiii) any other Contract or commitment that provides for the payment by or to the Company in an amount in excess of $50,000 in the aggregate or more and is not otherwise identified cancelable without penalty within 30 days;
(xiv) any Contract materially limiting the freedom of the Company or any of its Subsidiaries to engage in this Sectionany line of business or to compete or to develop or to distribute or to sell;
(xv) that would be required as an exhibit in any Company Intellectual Property Contract; or
(xvi) any Contract granting a registration statement under the Securities Act of 1933Lien.
(b) Each CPI Material Contract to which the Company or any of its Subsidiaries is a party or any of its properties or assets (whether tangible or intangible) (i) is subject is valid and in full force and effectbinding on the Company or such Subsidiary, and is (ii) is, to the Knowledge of the Company, enforceable against each of the parties thereto in accordance with its terms, subject to (i) laws bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and similar Laws of general application applicability relating to bankruptcyor affecting creditors’ rights and to general equity principles, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) is in full force and effect (other than those Contracts that by their terms have expired or been terminated since the case date hereof) with respect to the Company or such Subsidiary and, to the Knowledge of the Company, any Contract with a Governmental Bodyother party thereto. Neither the Company nor any of its Subsidiaries party to any such Material Contract, laws applicable nor, to the Knowledge of the Company, any other party thereto.
(c) Except as set forth , is in the CPI Disclosure Schedule: (i) CPI has not materially violated or breachedbreach of, or committed any material default under, any CPI such Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, and no event has occurred, and no circumstance or condition exists, occurred that (with or without notice or lapse of time) could reasonably be expected to (A) result in time or both would constitute such a material violation breach or breach of default thereunder by the Company or any of the provisions of any CPI Material Contractits Subsidiaries, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwiseor, to the knowledge of CPIthe Company, any other party thereto, except in each of the foregoing cases for any such breach or default that has not and would not reasonably be expected to be, individually or in the aggregate, material to the Company and its Subsidiaries, taken any action with respect to such party's complaint for as a period whole. True and complete copies of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisionsall amendments, supplements and other modifications thereto (whether or not disclosed in the Company Disclosure Schedule), have been delivered to Parent.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each Schedules 2.17(a)(i) through (xxiv) of the following shall be deemed Company Disclosure Letter identifies, in each subpart that corresponds to constitute the subsection listed below, any Contract in effect as of the Agreement Date pursuant to which the Company or any of its Subsidiaries is a CPI party, has ongoing obligations or is otherwise bound or under which the Company or any of its Subsidiaries has any right or interest (collectively, the “Material Contract:Contracts”):
(i) any Contract relating to the employment ofwith a Significant Payor, a Significant Supplier or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)a Significant Originator;
(ii) any Contract that provides for indemnification under which the Company or any of any officerits Subsidiaries has received, directoror is expected to receive, employee or agentpayments in excess of $[***] over the life of such Contract;
(iii) any Contract (A) relating to under which the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance Company or any similar right with respect of its Subsidiaries has paid, or is expected to pay, amounts in excess of $[***] to any securitiesother Person over the life of such Contract, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesother than the Company Employee Plans;
(iv) any Contract requiring that CPI give any noticewith an OEM, obtain any consent distributor, reseller or provide any information to any Person prior to accepting any Acquisition Proposalsimilar counterparty;
(v) any Contract (not otherwise identified in this Section) that (A) has a term pursuant to which the Company or any of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash its Subsidiaries is obligated to pay any royalties, fees or other consideration on payments to any Person with respect to the marketing, sale, distribution, manufacture, license or after use of any Company Products or Company Intellectual Property (other than Contracts relating to the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractOff-the-Shelf Software);
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such joint venture Contract, or (IIB) the performance any Contract that involves a sharing of services on revenues, profits, cash flows, expenses or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractlosses with other Persons;
(vii) any open purchase order placed by CPI requiring future aggregate payments separation agreement, severance agreement, change in excess control agreement, retention agreement, transaction bonus agreement or Contract, in each case, providing for the payment of $300,000compensation or benefits upon, or in connection with, the Transactions to any current or former Employees under which the Company or any of its Subsidiaries has any actual or potential Liability in connection with the Transactions; and40
(viii) any Contract (not otherwise identified in this SectionA) pursuant to which any other party is granted exclusive rights or “most favored party” rights of any type or scope with respect to any of the Company Products or Company Intellectual Property, (B) containing any non-competition covenants relating to the Company Products or Company Intellectual Property, (C) that materially limits or would limit the freedom of the Company or any of its Subsidiaries, or any of their respective successors or assigns or Affiliates to (1) engage or participate, or compete with any other Person, in any line of business, market or geographic area with respect to the Company Products or the Company Intellectual Property, or to make use of any Company Intellectual Property, including any grants by the Company or any of its Subsidiaries of exclusive rights or licenses or (2) sell, distribute or manufacture any products or services or to purchase or otherwise obtain any components, supplies, parts or services; or (D) containing any “take or pay,” minimum commitments or similar provisions;
(ix) any Contracts to which the Company is a party or otherwise bound pursuant to which the Company or any of its Subsidiaries has granted rights with respect to any Company Intellectual Property or in-licensed any Third-Party Intellectual Property other than those non-exclusive Contracts entered with end customers in the ordinary course of business on the Company’s unmodified (in pertinent part) standard form of customer agreement or end user terms of service, copies of which have been made available to Acquirer (“Form Contracts”); provided that for purposes of disclosure as required under this Section 2.17(a)(ix), the Company shall not be required to list “shrink wrap,” “click wrap,” software as an exhibit a service, subscription, and similar end user Contracts for Third-Party Intellectual Property that is generally, commercially available software and that (A) is not material to the Company and its Subsidiaries, (B) is not incorporated in or embodied in a registration statement Company Product, (C) has not been modified or customized for the Company or any of its Subsidiaries, and (D) is licensed for an annual fee under $[***] (“Off-the-Shelf Software”);
(x) any Contracts relating to the Securities Act membership of, or participation by, the Company or any of 1933its Subsidiaries in, or the affiliation of the Company or any of its Subsidiaries with, any industry standards organization, body, working group or any similar organization;
(xi) any Contract primarily directed to the development of any technology or Intellectual Property Rights, independently or jointly, either by or for the Company or any of its Subsidiaries (other than employee invention assignment agreements and consulting agreements with Authors on the Company’s standard form of agreement, copies of which have been made available to Acquirer);
(xii) any Contract with any other laboratory or diagnostics company;
(xiii) any Contract containing any indemnification, warranty, support, maintenance or service obligation or cost on the part of the Company or any of its Subsidiaries other than those entered into in the ordinary course of business;
(xiv) any Contract involving (A) the provision of material services or products with respect to any pre-clinical or clinical development activities of the Company or any of its Subsidiaries; or (B) involving any collaboration, co-development or other similar arrangement under which the Company or any of its Subsidiaries has continuing obligations to develop or market any product, technology or service, or any agreement pursuant to which the Company or any of its Subsidiaries has continuing obligations to develop any Intellectual Property Rights that will not be owned, in whole or in part, by the Company or any of its Subsidiaries;
(xv) any material settlement agreement, or any litigation standstill or tolling agreement, with respect to any Legal Proceeding;
(xvi) any Contract with any labor union or any collective bargaining agreement or similar Contract with its employees;
(xvii) any trust indenture, mortgage, promissory note, loan agreement or other Contract for the borrowing of money, any currency exchange, commodities or other hedging arrangement or any leasing transaction of the type required to be capitalized in accordance with GAAP;
(xviii) any Contract of guarantee, surety, support, indemnification (other than pursuant to its standard customer or end user agreements), assumption or endorsement of, or any similar commitment with respect to, the Liabilities or indebtedness of any other Person;
(xix) any Contract providing for capital expenditures after the Agreement Date in excess of $[***] in the aggregate;
(xx) any Contract pursuant to which the Company or any of its Subsidiaries is a lessor or lessee of any real property or any machinery, equipment, motor vehicles, office furniture, fixtures or other personal property involving expenditures in excess of $10,000 per annum;
(xxi) any Contract with any investment banker, broker, advisor or similar party retained by the Company or any of its Subsidiaries in connection with this Agreement and the Transactions;
(xxii) any Contract pursuant to which the Company or any of its Subsidiaries has acquired a business or entity, or assets of a business or entity, whether by way of merger, consolidation, purchase of stock, purchase of assets, license or otherwise, or any Contract pursuant to which the Company or any of its Subsidiaries has any Equity Interest or other material ownership interest in any other Person (other than the Subsidiaries of the Company);
(xxiii) any Government Contract or Government Contract Bid; and
(xxiv) any Contract relating to any Payment Programs.
(b) Each CPI The Company and its Subsidiaries have performed in all material respects all of the obligations required to be performed by them on or prior to the date hereof and as of the Closing Date will have performed in all material respects all of the obligations required to be performed by them on or prior to the Closing Date, and are entitled to all material benefits, under, and are not alleged to be in default in respect of, any Material Contract Contract. Assuming the due execution by the counterparties thereto, each of the Material Contracts is valid and in full force and effect, and is enforceable in accordance with its terms, subject only to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any Enforceability Exceptions. There exists no material default underor event of default or event, occurrence, condition or act, with respect to the Company or any CPI Material Contract, andof its Subsidiaries or, to the best knowledge of the knowledge Company, with respect to any other contracting party, that, with the giving of CPInotice, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could time or the happening of any other event or condition, would reasonably be expected to (Ai) result in become a material violation default or breach event of default under any of the provisions of any CPI Material Contract, Contract or (Bii) give any Person third party (A) the right to declare a default or exercise any material remedy under any CPI Material Contract, (CB) give any Person the right to accelerate the maturity or performance of any CPI obligation of the Company or any of its Subsidiaries under any Material Contract, or (DC) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31. None of the Company or its Subsidiaries has, 1997in the past three years, CPI has not received any written notice or other written formal communication or, to the knowledge of the Company, oral communications, regarding any actual or possible alleged violation or breach of, default under, or intention to terminate, cancel or modify any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no . No Person is renegotiating, or has a right pursuant to the right terms of any Material Contract to renegotiate, any material amount paid or payable by or to CPI the Company or any of its Subsidiaries under any CPI Material Contract, Contract or any other material term or provision of any CPI Material Contract. No Person has, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect the past three years, threatened in writing or, to CPI's knowledgethe knowledge of the Company, where a dispute as orally, to terminate or refuse to perform its obligations under any material matter Material Contract (regardless of whether such Person has the right to do so under such Contract). True, correct and complete copies of all Material Contracts in written form have been threatenedmade available to Acquirer. There are no oral Material Contracts.
Appears in 1 contract
Samples: Agreement and Plan of Merger (Castle Biosciences Inc)
Material Contracts. (a) The CPI Set forth on Section 3.17(a) of the Disclosure Schedule identifies (which lists Contracts by each CPI Contract that constitutes applicable subsection referenced below in this Section3.17) is a "CPI list of all Contracts, whether written or oral, to which the Company is a party or (other than Government Contracts, including the agreements or arrangements covered by Sections 3.18(a)(i) or 3.18(a)(ii)) by which the Company or any of its properties or assets is bound as of the date hereof (each of such Contracts and agreements set forth on Section 3.17(a) of the Disclosure Schedule, a “Material Contract." For purposes of this Agreement” and collectively, each the “Material Contracts”), of the following shall be deemed to constitute a CPI Material Contractcategories:
(i) any Contract relating (or group of related Contracts) that required payments in calendar year 2022 or required or will require payments in calendar year 2023 by or to the employment ofCompany in excess of $75,000, including any Contract (or group of related Contracts) for the purchase or sale of raw materials, goods, commodities, utilities, equipment, supplies, products or other personal property, or for the performance furnishing or receipt of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)services;
(ii) any partnership agreement, joint venture agreement or stockholders’ agreement; any Contract that provides for indemnification “earn-outs” or other contingent payments; and any Contract entered into since December 1, 2020 relating to the acquisition or disposition by the Company of any officer, director, employee or agentoperating business;
(iii) any Contract (A) relating to with Seller or any Affiliate of the acquisition, issuance, voting, registration, sale Company or transfer of any securities, (B) providing any Person Seller or with any preemptive rightconsultant, right of participationemployee, right of maintenance officer or any similar right with respect to any securities, or director (Cother than as set forth in clause (iv) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesbelow);
(iv) any employment, retention, personal services, consulting, severance, golden parachute or similar Contract requiring that CPI give any noticewith or for the benefit of officers, obtain any consent directors, employees, consultants or provide any information to any Person prior to accepting any Acquisition Proposalagents;
(v) any guaranty, surety or performance bond or letter of credit issued or posted, as applicable, by the Company; any Contract (not otherwise identified in this Section) that evidencing or governing Indebtedness of the Company or providing for the creation of any Lien upon any of the property or assets of the Company; any Contract (A) has a term relating to any loan or advance to any Person which is outstanding as of more than sixty (60) days the date of the Agreement or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates obligating or involves (I) committing the payment Company to make any such loans or delivery of cash advances; and any currency, commodity or other consideration on hedging or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such swap Contract;
(vi) any Contract (A) to containing covenants restricting competition which have the effect of prohibiting the Company from freely engaging in any Governmental Body is a party business or under which in any Governmental Body has geographic area; any rights or obligationsContract that contains “most favored nations” pricing terms, or involving requires the Company to deal exclusively with, or directly grants exclusive rights, rights of first offer, rights of first refusal or indirectly benefiting similar rights to, any Governmental Body (including any subcontract customer, vendor, supplier, distributor, contractor or other party; any Contract between CPI and that includes minimum purchase conditions or requirements, in either case that exceed $75,000 in any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractcalendar year;
(vii) any open purchase order placed by CPI requiring future aggregate payments Contract that involves non-cancelable commitments to make capital expenditures in excess of $300,000; and75,000 annually;
(viii) any Contract under which the Company is a (A) lessee of or holds or operates any personal property, owned by any other Person, except for any lease of personal property under which the aggregate annual rental payments do not exceed $75,000 or (B) lessor of or permits any other Person (other than the Company) to hold or operate any personal property owned or controlled by it;
(ix) any collective bargaining agreement or any other Contract with any labor union, works council, trade association or other agreement or Contract with any employee organization;
(x) any agent, sales representative, referral, marketing or distribution agreement or any other agreement that requires payment by or to Company of referral fees, commissions or other monetary or non-monetary compensation in respect of a referral;
(xi) any Contract that contains any “non-solicitation”, “no hire” or similar provisions which restrict the Company from soliciting, hiring, engaging, retaining or employing any other Person’s current or former employees;
(xii) any settlement, conciliation or similar agreement under which there are continuing obligations or Liabilities on the part of the Company;
(xiii) any Contract for the disposition of any portion of the assets or business of the Company (other than sales of products in the Ordinary Course) or for the acquisition by the Company of the assets or business of any other Person (other than purchases of inventory, supplies or components in the Ordinary Course);
(xiv) any Contract wherein or whereby the Company has agreed to, or assumed, any obligation or duty to indemnify, reimburse, hold harmless, guarantee, or otherwise identified in this Sectionassume or incur any obligation or Liability and such obligation or duty is uncapped or otherwise not limited (including by reference to standard of conduct) or provides a right of rescission;
(xv) any Contract containing any provision or covenant that binds or purports to bind Affiliates of the Company or that would be required as an exhibit otherwise bind or purport to bind Buyer or any of its Affiliates after the Closing;
(xvi) any Contract between or among the Company, on the one hand, and any of Seller or their respective Affiliates (other than the Company), on the other hand, or any Contract between the Company, on the one hand, and any current officer, director, manager or employee of the Company (other than employment and employment-related Contracts made in a registration statement the Ordinary Course), on the other hand;
(xvii) any Contract pursuant to which any Person (other than employees of the Company) has authored, created, conceived, developed or reduced to practice any material Owned Intellectual Property for, on behalf of or under the Securities Act direction or supervision of, the Company; and
(xviii) any binding commitment or arrangement to enter into any of 1933the foregoing.
(b) Each CPI The Company has made available to Buyer a correct and complete copy of each Material Contract (or a description if unwritten) (as amended to date and including any purchase orders, statements of work, task orders and other similar agreements relating to such Material Contract). Each Material Contract was duly authorized, executed and delivered by or on behalf of the Company and, to the Knowledge of the Company, each other party thereto. Each of the Material Contracts is valid and in full force and effect, and is enforceable in accordance with its terms, subject to effect and: (i) laws constitutes a valid, binding and enforceable obligation of general application relating the Company and, to bankruptcythe Knowledge of the Company, insolvency and the relief of debtors, other parties thereto subject to the Enforceability Exceptions; (ii) rules the Company is not and, to the Knowledge of law governing specific performancethe Company, injunctive relief and other equitable remedies is not alleged to be, in material breach of or default in any material respect under any Material Contract; and (iii) to the Knowledge of the Company, no counterparty is in breach of or default in any material respect under any Material Contract. The Company has not received written notice of an intention by a counterparty to a Material Contract of an intention to terminate such Contract or materially amend the terms of such Contract, other than in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI Ordinary Course. The Company has not materially violated or breached, or committed waived any material default under, rights under any CPI Material Contract, and, to . To the best Knowledge of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPICompany, no event has occurredoccurred which either entitles, and no circumstance or condition existswould, that (with or without notice or lapse of time) could reasonably be expected time or both, entitle any counterparty to (A) result in any Contract to which the Company is or was a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right party to declare a breach, default or exercise violation under, or make an indemnification claim against the Company with respect to, any remedy under such Contract or to terminate, modify or accelerate any CPI Material Contract, terms of any Contract (C) give including any Person the right to accelerate the maturity or performance of any CPI Material Indebtedness of the Company under any such Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI ). The Company has not received any written notice or other written communication regarding of an intention by any actual or possible violation or breach of, default under, or intention party to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed provides for a continuing obligation by any party thereto as of the date hereof to terminate such Contract or materially amend the terms thereof, other than modifications in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatenedthe Ordinary Course.
Appears in 1 contract
Material Contracts. (a) The CPI Except as set forth in Section 4.12(a) of the Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes no Company is party to or bound by, nor or any of this Agreementits assets or properties bound by, each any of the following shall be deemed to constitute a CPI Contracts (the “Material Contract:Contracts”):
(i) any Contract relating (other than purchase orders) containing a minimum requirement by any Company to purchase during the employment of12-month period immediately following, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severanceCompany has purchased during the 12-month period immediately preceding, terminationDecember 31, bonus or relocation payment or any other payment (other than payments 2016, in respect the aggregate, a minimum of salary and the grant $50,000 of standard benefits)goods and/or services on an annual basis;
(ii) any Contract that provides for indemnification (other than purchase orders) containing a minimum commitment by any Company to sell during the 12-month period immediately following, or pursuant to which any Company has sold during the 12-month period immediately preceding, December 31, 2016, in the aggregate, a minimum of any officer, director, employee or agent$50,000 of goods on an annual basis;
(iii) any Contract (A) relating to containing any future capital expenditure obligations of the acquisition, issuance, voting, registration, sale or transfer Companies in excess of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities$50,000;
(iv) any Contract requiring containing covenants that CPI give limit the right of any notice, obtain any consent Company to engage in or provide any information to compete with any Person prior to accepting in any Acquisition Proposalbusiness or in any geographical area;
(v) any Contract (not otherwise identified in this Section) that (A) has for the employment or retention of any officer, partner, individual employee, consultant, independent contractor or other individual on a term full-time, part-time or consulting basis, including any such agreement or contract providing for severance payments, transaction bonuses, retention payments, change of more than sixty (60) days control payments or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of any cash or other consideration on compensation or after benefits upon the date hereof in an amount sale of any Company or having a value in excess of $300,000 in aggregate payments under such Contractthe Business, or (II) prohibiting competition, solicitation or the performance disclosure of services on trade secrets or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractconfidential information;
(vi) any Contract (A) to which guaranty of any Governmental Body is a party obligation for borrowed money or under which any Governmental Body has any rights or obligationsotherwise, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) than endorsements made for collection in the payment or delivery Ordinary Course of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractBusiness;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess Contract with respect to the lending of $300,000; andfunds to other Persons;
(viii) any Contract (not otherwise identified relating to the sale or other disposition of any assets of the Company having a fair market value in this Section) that would be required as an exhibit excess of $50,000 individually or $100,000 in a registration statement under the Securities Act aggregate, except for the sale of 1933.Inventory pursuant to purchase orders in the Ordinary Course of Business;
(bix) Each CPI Material each Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcythe development, insolvency ownership, use or enforcement of any Intellectual Property that is material to the businesses of the Companies (excluding licenses of commercially available off-the-shelf software having a one-time license fee or ongoing annual fees of less than $25,000);
(x) any Contract or group of related Contracts with the same party for the purchase or sale of raw materials, commodities, supplies, products or other personal property or for the furnishing or receipt of services under which the undelivered balance of such products and the relief services has a selling price in excess of debtors, $50,000 (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) than purchase orders in the case Ordinary Course of Business);
(xi) any Contract or group of related Contracts with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining same party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for continuing over a period of more than six months following receipt from the date or dates thereof, not terminable by the Companies upon 30 days’ or less notice without penalty or involving more than $50,000 (other than purchase orders in the Ordinary Course of Business);
(xii) any Contract with any Governmental Authority;
(xiii) any warranty Contract with respect to products sold or services rendered by the Companies;
(xiv) any settlement, conciliation or similar agreement with any Governmental Authority pursuant to which, after the date of this Agreement, any Company or the Business will be required to pay consideration in excess of $10,000 or which restricts the conduct of the communicationBusiness in any manner;
(xv) any Contract that includes or constitutes a power of attorney;
(xvi) any Contract for transportation or freight services;
(xvii) any Contract to provide rebates to any third parties;
(xviii) any Contract relating to the purchase or sale of a business within the five (5) years prior to the date of this Agreement, pursuant to which indemnification obligations remain outstanding;
(xix) any Contract (A) granting exclusive rights of any kind, (B) granting any “most favored nation,” right of first offer or similar preferential rights to any Person or (C) otherwise contemplating an exclusive or preferred relationship between any Company and any other Person; or
(xx) any Contract or arrangement to which any Company is a party with any staffing company, temporary employee agency, professional employer organization or similar company or service provider;
(xxi) any commitment to enter into any Contract described in this Section 4.12(a) or any amendment with respect to any such Contract.
(b) Each of the Material Contracts is valid, binding and (iv) CPI has not waived in full force and effect and constitutes a legal, valid and binding obligation of any Company that is a party thereto, as applicable and, to the Company’s Knowledge, of its material rights under any CPI Material Contracteach other party thereto, subject, in each case where case, only to the General Enforceability Exceptions. There is no material default or material breach by any Company that is a party thereto or any event which, upon giving of notice or lapse of time or both, would constitute such breach, a material breach or material default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To or, to the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiateCompany’s Knowledge, any material amount other party thereto, in the timely performance of any obligation to be performed or paid or payable to CPI under any CPI the Material Contract, Contracts or any other material term or provision of any CPI the Material Contract, including termination provisionsContracts.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Merger Agreement (Ducommun Inc /De/)
Material Contracts. (aSection 3.12(a) The CPI of the Disclosure Schedule identifies each CPI Contract that constitutes sets forth a "CPI Material Contract." For purposes true, correct and complete list of this Agreement, each of the following shall be deemed Contracts (other than Company Benefits Plans and Employee Agreements set forth on Section 3.18(a) of the Disclosure Schedule) to constitute which the Company or any of its Subsidiaries is a CPI party or to which the Company, any of its Subsidiaries or any of its or their respective assets are otherwise bound (any Contract of a nature described below (whether or not set forth in the Disclosure Schedule) to which the Company or any of its Subsidiaries is a party or otherwise bound, a “Material Contract:”):
(i) any Contract relating (A) Employee Agreement granting any bonus, severance benefits, change of control benefits or termination pay (in cash or equity or otherwise) to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant Employee with respect to which CPI is the Company or any ERISA Affiliate has or may become obligated have any liability or obligation; and (B) contractor, consulting or sales Contract, in each case with a firm or other organization or with an individual if the amount to make any severance, termination, bonus or relocation payment or any other payment (other than payments be paid by the Company thereunder is in respect excess of salary and the grant of standard benefits)$75,000 annually;
(ii) any Contract that provides or plan, including any stock option plan, stock appreciation rights plan or stock purchase plan, or any plan providing similar equity awards, for indemnification which any benefits will be increased or for which vesting of benefits will be accelerated, by the occurrence of any officer, director, employee of the transactions contemplated by this Agreement (or agentany events related to this Agreement) or the value of any of the benefits of which will be calculated on the basis of any of the transactions contemplated by this Agreement;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale fidelity or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance surety bond or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiescompletion bond;
(iv) the Lease Agreements and any Contract requiring that CPI give any notice, obtain any consent lease of personal property involving future annual payments in excess of $75,000 individually or provide any information to any Person prior to accepting any Acquisition Proposal$150,000 in the aggregate;
(v) any Contract of indemnification or guaranty with respect to the Liabilities of any other Person (not otherwise identified in this Section) that other than (A) has a term indemnification agreements entered into with directors and officers of more than sixty (60) days the Company or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery any of a termination notice by CPI and its Subsidiaries; (B) that contemplates indemnities granted by the Company or involves any of its Subsidiaries with respect to Intellectual Property matters in the ordinary course of business consistent with past practice; and (IC) indemnities included in the payment or delivery of cash or other consideration on or after Company’s sales, licensing and distribution agreements for the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractCompany Products);
(vi) any Contract (A) that restricts or prohibits the Company or any of its Subsidiaries from hiring or soliciting any individual to which perform employment or consulting services for the Company or any Governmental Body is a party of its Subsidiaries; or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates limiting the freedom of the Company or involves (I) the payment any of its Subsidiaries to engage in any line of business or delivery of cash or to compete with any other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such ContractPerson, or to develop, distribute or sell any product, including any Contract containing any exclusivity or non-competition provision or any right of first refusal or negotiation (IIthe Contracts in (A) and (B) together, the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract“Restrictive Contracts”);
(vii) any open purchase order placed by CPI requiring Contract relating to capital expenditures and involving future aggregate payments in excess of $300,000; and75,000 individually or $150,000 in the aggregate;
(viii) any Contract relating to the disposition or acquisition of assets or any interest in any business enterprise outside the ordinary course of the business of the Company;
(ix) any mortgages, indentures, guarantees, loans or credit agreements, security agreements or other agreements or instruments relating to the borrowing of money or extension of credit;
(x) any purchase order or Contract for the purchase by the Company or any of its Subsidiaries of materials involving future payments in excess of $75,000 individually or $150,000 in the aggregate;
(xi) any real estate construction Contracts;
(xii) any Contracts that contain “most favored nation” or similar preferred pricing provisions in favor of the other party to such Contract;
(xiii) any dealer, distribution, joint marketing, strategic alliance, affiliate or development Contract;
(xiv) any Contract to alter the Company’s interest in any Subsidiary or other Person in which the Company directly or indirectly holds any interest;
(xv) any sales representative, original equipment manufacturer, manufacturing, remarketer, reseller or other agreement for distribution by another Person of the Company Products;
(xvi) any other Contract not otherwise identified disclosed in response to this SectionSection 3.12(a) that would be required involves future payments to or from the Company or any of its Subsidiaries in excess of $75,000 individually or $150,000 in the aggregate that is not cancellable without penalty within 30 days;
(xvii) any Contract granting exclusive sales, distribution or marketing rights to any Person other than the Company and its Subsidiaries;
(xviii) any Contract that contains warranties and indemnities relating to products or technology sold or services rendered by the Company or any of its Subsidiaries, other than non-exclusive licenses, sales, distribution and related Contracts with respect thereto (including maintenance and support agreements) for the Company Products pursuant to a written Contract that has been entered into in the ordinary course of business that does not materially differ from the Company’s standard forms;
(xix) any Contract for the purchase by customers of products or services that involves future revenue in excess of $75,000 individually or $150,000 in the aggregate;
(xx) any Contract with any current or former stockholder, employee, officer or director of the Company or any of its Subsidiaries, or any “affiliate” or “associate” of such Persons (as an exhibit such terms are defined in a registration statement the rules and regulations promulgated under the Securities Act Act) (any of 1933.
(b) Each CPI Material Contract is valid and in full force and effectthe foregoing, and is enforceable in accordance with its termsa “Related Party”), subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of including any Contract with a Governmental Bodyproviding for the furnishing of services by, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated rental of real or breachedpersonal property from, or committed any material default underotherwise requiring payments to, or from, any CPI Material ContractRelated Party, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to but excluding (A) result in a material violation agreements with respect to the grant of Company Options to, or breach the exercise of Company Options by, any of the provisions of any CPI Material ContractEmployee, officer or director; and (B) give employment agreements entered into with any Person such Persons in the ordinary course of business consistent with past practice; and
(xxi) any Contract relating to the acquisition, use, transfer, development, sharing or license of any Intellectual Property other than Contracts under which the Company receives the right to declare a default or exercise Shrink-Wrap Code; or
(xxii) any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, is otherwise material to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material ContractCompany, including termination provisionsthe New York Facility Agreement.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Merger Agreement (Solarcity Corp)
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes 4.12 lists the following Contracts to which the Company or any of the Company Subsidiaries is a "CPI party or by which any of them is bound (collectively, the “Material Contract." For purposes Contracts”), a complete and correct copy of this Agreement, each of which, together with any amendments or other modifications thereto, or, in the following shall be deemed case of oral Contracts, an accurate summary of the material terms thereof, has been made available to constitute a CPI Material ContractPurchaser:
(i) any Contract relating to Company Indebtedness, any Contract under which the employment ofCompany or any Company Subsidiary guaranteed indebtedness of any other Person in each case in excess of $25,000, or the performance of services by, any officer, director or employee and any Contract pursuant relating to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect the issuance of salary and the grant letters of standard benefits)credit;
(ii) any Contract that provides providing for indemnification the sale, assignment, lease, license or other disposition of any officer, director, employee asset of the Company or agentany Company Subsidiary with a value in excess of $50,000;
(iii) any Contract (A) relating to granting a Lien upon any material asset of the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance Company or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesCompany Subsidiary;
(iv) any Contract requiring that CPI give partnership, limited liability company or joint venture agreement in which the Company or any noticeCompany Subsidiary participates as a partner, obtain any consent member or provide any information to any Person prior to accepting any Acquisition Proposaljoint venturer;
(v) any Contract (not otherwise identified in this Section) that (A) has a term all leases or subleases of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration leased real property listed on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractSchedule 4.17;
(vi) any sales agency, sales representation, distributorship, broker or franchise Contract (A) to which any Governmental Body that is a party not terminable without penalty on 90 days’ notice or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractless;
(vii) any open purchase order placed by CPI Contract granting rights in Intellectual Property of third parties to the Company or any Company Subsidiary, other than non-exclusive licenses of generally commercially available “off the shelf” software, requiring future aggregate payments in excess annual fees of less than $300,000; and25,000;
(viii) any Contract with Seller or any current or former officer, manager, director, member or owner (not otherwise identified or any family member of any such officer, manager, member or owner) or Affiliate of Seller, the Company or any Company Subsidiary (the “Related Party Agreements”);
(ix) any employment or consulting agreements, or similar Contracts providing for compensation, bonus, profit-sharing or similar arrangements;
(x) any Contract for the disposition of any material asset;
(xi) powers of attorney or other similar agreements or grants of agency authority;
(xii) any Contract that requires payment by the Company or any Company Subsidiary of amounts in this Sectionexcess of $25,000 per annum or in which $50,000 in the aggregate remains to be paid by the Company or a Company Subsidiary, as applicable, under such Contract, or provides for the Company or any Company Subsidiary to receive any payments in excess of, or any property with a fair market value in excess of, $25,000 per annum or in which $50,000 in the aggregate remains payable to the Company or a Company Subsidiary, as applicable; or
(xiii) that would be required as an exhibit in a registration statement under any commitment to enter into any of the Securities Act of 1933foregoing.
(b) Each CPI None of the Company or any Company Subsidiary is in violation in any material respect of any of the terms or conditions of any Material Contract and, to the Knowledge of the Company, all of the material covenants to be performed by any other party thereto have been performed in all material respects. Under each Material Contract, (A) with respect to the Company or the Company Subsidiaries, there is valid and no existing default or breach or event of default (or event that with the notice or lapse of time, or both, would constitute a breach or default), or (B) with respect to the other party, to the Knowledge of the Company, there is no existing default or breach or event of default (or event that with the notice or lapse of time, or both, would constitute a breach or default).
(c) Each Material Contract:
(i) is in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, ; and
(ii) rules of law governing specific performanceis valid, injunctive relief binding and other equitable remedies and (iii) in enforceable against the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated Company or breached, or committed any material default under, any CPI Material Contract, Company Subsidiary party thereto and, to the best Knowledge of the knowledge of CPICompany, no is binding against the other Person has materially violated or breachedparties thereto, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where as enforceability of such breachagreements may be limited by bankruptcy, defaultinsolvency, violation reorganization, moratorium and other similar Laws now or waiver would have a Material Adverse Effect on CPIhereafter in effect relating to or limiting creditors’ rights generally and general principles of equity relating to the availability of specific performance and injunctive and other forms of equitable relief.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Section 2.14 of the Disclosure Schedule identifies each CPI Contract that constitutes sets forth a "CPI Material Contract." For purposes of this Agreement, each true and correct list of the following shall be deemed to constitute a CPI types of Assigned Contracts, other than the Lease Agreements, which are separately addressed in Section 2.12 (the “Material Contract:Contracts”):
(i) any Contract relating to the employment of, or open orders that involve the performance of services by, any officer, director or employee and any Contract pursuant delivery of goods or materials by the Business providing for annual revenue to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments Seller in respect excess of salary and the grant of standard benefits)$50,000;
(ii) any Contract open purchase orders that provides for indemnification involve the performance of any officerservices for, directoror delivery of goods or materials to, employee or agentthe Business involving annual payments by the Business in excess of $50,000;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale collective bargaining agreements or transfer of any securities, (B) providing any Person other similar contracts with any preemptive right, right of participation, right of maintenance or labor union covering any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesEmployees;
(iv) agreements for the employment of any Contract requiring that CPI give Employee on a full-time, part-time, consulting or other basis (A) providing annual cash or other compensation in excess of $50,000, or (B) providing for the payment of any notice, obtain any consent cash or provide any information to any Person prior to accepting any Acquisition Proposalother compensation or benefits upon the consummation of the transactions contemplated hereby;
(v) agreements relating to any Contract (not otherwise identified in this Section) that (A) has a term Lien on any of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractPurchased Assets;
(vi) agreements that restrict the ability of the Business to engage in any Contract (A) to which line of business or compete with any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractPerson;
(vii) joint venture or partnership agreements involving a sharing of profits, losses costs or liabilities by the Business with any open purchase order placed third Person;
(viii) personal property leases under which the Business is the (A) lessee of tangible personal property owned by CPI requiring future aggregate any other Person and involving annual rental payments in excess of $300,00025,000 and (B) lessor of tangible personal property owned by Seller;
(ix) other than agreements for the sale of ball bearings by the Business on a purchase order basis to the Seller’s Optical Systems Group, and except as otherwise set forth in clauses (i) through (viii) above or in Section 2.14 of the Disclosure Schedule, agreements with, or loans to or from, any director, officer, Employee, agent or other Affiliate of Seller involving the Business or any Purchased Asset; and
(viiix) any Contract Contracts (not except as otherwise identified set forth in this Sectionclauses (i) that would be required as an exhibit through (ix) above or in a registration statement under Section 2.14 of the Securities Act Disclosure Schedule) entered into other than in the ordinary course of 1933business consistent with past practice or providing for annual payments by or to the Business in excess of $50,000.
(b) Each CPI Seller has made available to Purchaser a correct and complete copy of each Material Contract. With respect to the Material Contracts, (i) each Material Contract is valid and in full force and effect, effect and is valid, binding and enforceable against Seller and, to Seller’s Knowledge, the other parties thereto in accordance with its terms, subject to (i) laws of general application relating to bankruptcythe General Enforceability Exceptions, insolvency and the relief of debtors, (ii) rules of law governing specific performanceneither Seller nor, injunctive relief and to Seller’s Knowledge, any other equitable remedies and (iii) Person is in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated material breach or breachedviolation of, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Section 3.16(a) of the Company Disclosure Schedule identifies each CPI Contract that constitutes sets forth a "CPI Material Contract." For purposes complete and accurate list of this Agreement, each of the following shall be deemed Contracts in effect as of the date hereof to constitute which the Company is a CPI party or otherwise bound and which has not expired by its terms (any such Contract of a nature described below (whether or not set forth on the Company Disclosure Schedule) to which the Company is a party or otherwise bound, being referred to herein as a “Material Contract:” and, collectively, as the “Material Contracts”):
(i) any Contract relating (A) Employee Agreement granting (x) any bonus to any current or former Employee with respect to which the employment ofCompany or any ERISA Affiliate has or may have any current or future liability or obligation in excess of $75,000, or the performance (y) any severance benefits, change of services bycontrol benefits, or termination pay (in cash or equity or otherwise) to any officer, director current or employee and any Contract pursuant former Employee with respect to which CPI is the Company or any ERISA Affiliate has or may become obligated to make have any severancecurrent or future liability or obligation, terminationand (B) contractor or consulting Contract, bonus in each case with a firm or relocation payment other organization or any other payment (other than payments with an individual if the amounts payable for 2009 and annually thereafter are in respect excess of salary and the grant of standard benefits)$100,000;
(ii) any Contract that provides or plan, including any stock option plan, stock appreciation rights plan or stock purchase plan, or any plan providing similar equity awards, for indemnification which any benefits will be increased or for which vesting of benefits will be accelerated, by the occurrence of any officerof the transactions contemplated by this Agreement (or any events following this Agreement) or the value of any of the benefits of which will be calculated on the basis of any of the transactions contemplated by this Agreement (other than notices of grant, directorstock option agreements or restricted stock unit agreement agreements, employee or agenteach on the Company’s standard form, which do not provide for any acceleration);
(iii) any Contract (A) relating to lease of personal property involving future payments in excess of $100,000 individually or $250,000 in the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesaggregate;
(iv) any Contract requiring that CPI give any notice, obtain any consent outstanding fidelity or provide any information to any Person prior to accepting any Acquisition Proposalsurety bond or completion bond;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days restricts or that may not be terminated by CPI (without penalty) within sixty (60) days after prohibits the delivery of a termination notice by CPI and (B) that contemplates Company from hiring or involves (I) soliciting any individual to perform employment or consulting services for the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractCompany;
(vi) any Contract (A) of indemnification or guaranty, other than those which relate to which any Governmental Body is a party Company Products or under which any Governmental Body has any rights or obligationsservices, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI the sale and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractdevelopment therefor;
(vii) any open purchase order placed by CPI requiring Contract relating to capital expenditures and involving future aggregate payments in excess of $300,000; and100,000 individually or $250,000 in the aggregate;
(viii) any Contract relating to the disposition or acquisition of assets (other than customer and reseller Contracts) or any interest in any business enterprise outside the ordinary course of the business of the Company;
(ix) any mortgages, indentures, guarantees, loans or credit agreements, security agreements or other written agreements or instruments relating to the borrowing of money or extension of credit;
(x) any purchase order or Contract for the purchase of materials by the Company involving future payments in excess of (A) $100,000 individually to any third party other than Plexus Corp. (“Plexus”), or (B) $500,000 individually to Plexus;
(xi) any Contracts that contain “most favored nation” or preferred pricing provisions;
(xii) any material written joint marketing, strategic alliance or affiliate agreement;
(xiii) any Contract to alter the Company’s interest in any Subsidiary, corporation, association, joint venture, partnership or business entity in which the Company directly or indirectly holds any interest;
(xiv) any written sales representative, original equipment manufacturer, manufacturing, value added, remarketer, reseller, or other similar agreement for distribution of the products, Technology or services of the Company pursuant to which the Company received any individual sales order in 2009 or 2010 in the amount of at least $200,000, other than reseller agreements entered into in the ordinary course of business granting the non-exclusive right to sell Company Products that do not otherwise identified materially differ from the Company’s standard form of reseller agreement, which standard form of reseller agreements set forth on Section 3.16(a)(xiv)(A) of the Company Disclosure Schedules;
(xv) any nondisclosure, confidentiality or similar Contract, other than those entered into with any actual or prospective customer or vendor in this Sectionthe ordinary course of business consistent with past practices or those entered into with Employees consistent with the Company’s representation and warranty in Section 3.15(h) hereof;
(xvi) any other Contract that involves future payments by the Company in excess of $100,000 individually or $250,000 in the aggregate, or, in the case of Plexus, $500,000 individually, and, in each case, is not cancelable without material penalty within thirty (30) days;
(xvii) any Contract limiting the freedom of the Company to engage in any line of business or to compete or to develop, distribute, sell, manufacture, have manufactured, assemble, license, or sublicense any products or services;
(xviii) any IP Contract;
(xix) any Contract that contains indemnities relating to products or Technology sold or services rendered by the Company since January 1, 2007 pursuant to which the Company received any individual sales order in 2009 and 2010 in the amount of at least $200,000, other than non-exclusive licenses and related agreements with respect thereto (including maintenance and support agreements) of the Company Products to end users pursuant to a written Contract that has been entered into in the ordinary course of business that does not materially differ from the Company’s standard forms which are included in Section 3.15(j) of the Company Disclosure Schedule;
(xx) any Contract not fully performed for the purchase by customers of (A)products that involves $400,000 individually or more or (B) services that involves $100,000 individually or more;
(xxi) any Lease Agreement;
(xxii) any Contract not fully performed pursuant to which any third party has agreed to design, manufacture, test or package any Company Product or component therefor and for which the Company has or is required to pay consideration in excess of (A) $100,000 individually to any third party other than Plexus or (B) $500,000 individually to Plexus, other than, in each case, Contracts set forth under Section 3.16(a)(x);
(xxiii) any Contract between the Company, on the one hand, and any of the Company Securityholders, on the other hand, other than Contracts related to equity awards to Employees of the Company and Employee Agreements; or
(xxiv) any other Contract the termination or breach of which would reasonably be required expected to be material to the Company taken as an exhibit in a registration statement under the Securities Act of 1933whole.
(b) Each CPI Material Contract is a valid and in full force and effectbinding agreement, and is enforceable against the Company and, to the Company’s Knowledge, each of the other parties thereto, in accordance with its terms, and, to the Company’s Knowledge is in full force and effect. The Company is in material compliance with and has not breached, violated or defaulted under, or received notice that they have breached, violated or defaulted under, any of the terms or conditions of any such Material Contract which would reasonably be expected to result in a material liability, nor to the Knowledge of the Company is any party obligated to the Company pursuant to any such Material Contract subject to (i) laws any breach, violation or default thereunder, nor does the Company have Knowledge of general application relating to bankruptcyany event that with the lapse of time, insolvency and giving of notice or both would constitute such a breach, violation or default by the relief of debtorsCompany or any such other party, (ii) rules of law governing specific performancewhich breach, injunctive relief and other equitable remedies and (iii) violation or default would result in the case termination of any such Material Contract with a Governmental Bodyor result in material liability to, laws applicable theretoor Loss by, the Company. True and complete copies of each Material Contract (whether or not set forth on the Company Disclosure Schedule) have been made available to Parent.
(c) Except The Material Contracts which constitute licenses of goods, services or rights from third parties that are incorporated in any products, services or rights which the Company sublicense to its customers are sublicenseable without any further payment to any Person, except as set forth identified in Section 3.16(c) of the CPI Company Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To There are no Litigation Claims outstanding, nor, to the best of the knowledge of CPICompany’s Knowledge are there any other Claims or material disagreements or disputes, no Person is renegotiating, or has the right with respect to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI All Indebtedness of the Company outstanding on the date of this Agreement is set forth in Section 3.16(d) of the Company Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatenedSchedule.
Appears in 1 contract
Samples: Agreement and Plan of Reorganization (Harmonic Inc)
Material Contracts. (aExcept as disclosed in Schedule 3.15(a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each of the following shall be deemed Company Disclosure Schedule, neither the Company nor any Company Subsidiary is a party to constitute a CPI Material Contractor any of the respective assets are bound by:
(i) any Contract relating to “material contract” (as such term is defined in Item 601(b)(10) of Regulation S-K of the employment ofSecurities Act), whether or not filed by the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and Company with the grant of standard benefits)SEC;
(ii) any employment, retention, severance or consulting Contract that provides (in each case with respect to which the Company has continuing obligations as of the date hereof) (A) with any current or former (w) individual consultant for indemnification the Company of any officerof its Subsidiaries whose compensation is not billed to clients of the Company, director(x) executive officer of the Company, (y) member of the Company Board, or (z) employee of the Company or agentany Company Subsidiary whose compensation is not billed to clients of the Company providing for an annual base salary in excess of $200,000 or (B) creates compensation severance, stock, stock option or any similar obligations, or requires payment of total annual compensation in excess of $200,000;
(iii) any Contract (A) relating to providing for indemnification, “earn-out” or any guaranty or contingent payment by the acquisitionCompany or any Company Subsidiary, issuancein each case that could result in payments in excess of $200,000, votingin the aggregate, registrationby the Company and each Company Subsidiary, sale other than any guaranty by the Company or transfer a Company Subsidiary of any securities, (B) providing any Person with any preemptive right, right of participation, right the obligations of maintenance the Company or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesanother Company Subsidiary;
(iv) any Contract requiring that CPI give purports to limit in any noticematerial respect the right of the Company or any Company Subsidiary (or, obtain at any consent time after the consummation of the Merger, Parent or provide any information Company Subsidiary) (x) to engage in any line of business, (y) to compete with any Person or operate in any geographical location, or (z) to solicit or hire employees pursuant to any Person prior to accepting any Acquisition Proposalemployee “non-solicitation” or “no hire” provision;
(v) any Contract relating to the disposition or acquisition, directly or indirectly (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days by merger or that may not be terminated otherwise), by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates Company or involves (I) the payment or delivery of cash or other consideration on or any Company Subsidiary after the date hereof in an amount or having of this Agreement of assets with a fair market value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract200,000;
(vi) any Contract (A) that contains any provision that requires the purchase of all of the Company’s or any Company Subsidiary’ requirements for a given product or service from a given third party, which product or service is material to which any Governmental Body is the Company and each Company Subsidiary, taken as a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractwhole;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess Contract that obligates the Company or any Company Subsidiary to conduct business on an exclusive or preferential basis with any third party or upon consummation of $300,000; andthe Merger will obligate Parent, the Surviving Corporation or any of their respective Subsidiaries to conduct business on an exclusive or preferential basis with any third party;
(viii) any partnership, joint venture, limited liability or similar Contract relating to the formation, creation, operation, management or control of any partnership or joint venture that is material to the Company and the Company Subsidiaries taken as a whole, or in which the Company or any Company Subsidiary owns more than a 15% voting or economic interest, that has a value of more than $200,000 in the aggregate;
(ix) any mortgages, indentures, guarantees, loans or credit agreements, security agreements, notes or other Contracts, in each case relating to indebtedness for borrowed money or deferred payment, whether as borrower or lender, in each case in excess of $200,000, other than loans to direct or indirect Subsidiaries of the Company;
(x) any collective bargaining agreement or other Contract with any labor union or other collective bargaining representative;
(xi) any Contract that prohibits the payment of dividends or distributions in respect of any Equity Interest of the Company or any of the Company Subsidiaries, prohibits the pledging of any Equity Interest of the Company or any Company Subsidiary or any other Lien, prohibits the incurrence of any indebtedness, prohibits the issuance or incurrence of guarantees by any Company Subsidiary;
(xii) any Contract that involves any Person who, together with such Person’s Affiliates, owns 5% or more of the outstanding Common Shares (other than the Company or any Company Subsidiary);
(xiii) any Contract that involves the granting of a power of attorney;
(xiv) any Contract that provides for the grant of a material license or other material right with respect to or otherwise involving any Intellectual Property rights owned or used by the Company or any Company Subsidiary, including all content licenses (except for commercially available off the shelf software with a replacement cost and/or annual license fees of less than $25,000 or licenses to customers and end users granted in the ordinary course of business);
(xv) any Contract that contains a put, call, agreement or similar right pursuant to which the Company or any Company Subsidiary could be required to purchase or sell, as applicable, any Equity Interests of any Person or assets that have a fair market value or purchase price of more than $200,000 or that involves any exchange traded or over the counter swap, forward, future, option, cap, floor or collar financial contract, or any other interest rate, commodity price, equity value or foreign currency protection contract;
(xvi) any Contract that is a settlement, conciliation or similar agreement with any Governmental Entity or which would require the Company or any Company Subsidiary to pay consideration of more than $200,000 after the date of this Agreement; or
(xvii) any other Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act exclusive of 1933.
(b) Each CPI Material Contract is valid and in full force and effectany vendor managed services agreements, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) staffing supply agreements or similar agreements entered into in the case ordinary course of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best business of the knowledge of CPI, no other Person has materially violated Company or breached, any Company Subsidiary) which requires or committed any material default under, any CPI Material Contract; (ii) is reasonably likely to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to require (A) result the Company or any Company Subsidiary to make payment or incur costs in a material violation or breach excess of $200,000 in any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; year or (B) has been received annual payments from a complaining party that has not contacted CPI or otherwise, third parties to the knowledge Company and each Company Subsidiary in excess of CPI, taken $200,000 in any action with respect to such party's complaint for a period of more than six months following receipt year. Each Contract of the communication; and (ivtype described in this Section 3.15(a) CPI has not waived any of its material rights under any CPI or identified on Schedule 3.15(a) is referred to herein as a “Company Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.”
Appears in 1 contract
Samples: Merger Agreement (Comforce Corp)
Material Contracts. (a) The CPI Except for Contracts that are terminable by any Company upon sixty (60) days’ notice or less without penalty, Section 4.10 of the Seller Disclosure Schedule identifies each CPI Contract that constitutes Letter is a "CPI Material Contract." For purposes of this Agreementcomplete, each accurate, and current list of the following shall be deemed Contracts to constitute which any Company is a CPI party or is otherwise bound and which is in effect as of the Effective Date or as of the Closing Date (each, a “Material Contract:”):
(i) Any Contract providing for aggregate annual payments to or by any Contract relating to the employment of, or the performance Company in excess of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment Five Hundred Thousand Dollars (other than payments in respect of salary and the grant of standard benefits$500,000);.
(ii) any Any Contract that provides grants to any Person the right to occupy any portion of the Real Property (other than such Contracts for indemnification of any officerhotel, director, employee or agent;meeting and banquet rooms entered into in the Ordinary Course).
(iii) any Any Contract (A) relating related to the acquisitionsale, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securitieslease, or (C) providing CPI with any right use of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or gaming equipment having a value in excess of Five Hundred Thousand Dollars ($300,000 500,000).
(iv) Any Contract that prohibits any Company from competing in aggregate payments under such Contractany geographical area, market or line of business.
(IIv) All partnership agreements, limited liability company agreements and joint venture agreements relating to any Company or the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;Business.
(vi) any Any Contract (A) to which any Governmental Body is with a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;.
(vii) Any Contract that is (A) a license to any open purchase order placed by CPI requiring future aggregate Company of Intellectual Property and requires annual payments in excess of Five Hundred Thousand Dollars ($300,000; and500,000), other than commercially available software products under standard end-user, “shrink wrap,” “click-to-accept” or similar object code license agreements, or (B) a license by any Company of any Intellectual Property, other than any non-exclusive licenses granted in the ordinary course of business.
(viii) Any Contract pursuant to which any Company has created, incurred, assumed or guaranteed Indebtedness for borrowed money in excess of Five Hundred Thousand Dollars ($500,000).
(ix) Any employment Contract.
(x) Any Contract with any Xxxx Party, any of its Affiliates, or any Person in which any Xxxx Party or its Affiliates own five percent (not otherwise identified in this Section5%) that would be required as or more of the Capital Stock.
(xi) Any Company Collective Bargaining Agreement,
(xii) Any Contract involving the design, development, licensing, or operation of an exhibit in a registration statement under online gaming business for the Securities Act of 1933Companies.
(b) Each CPI Material Contract is valid and binding upon the Company that is party thereto (and, to Seller’s Knowledge, upon all other parties thereto), in accordance with its terms and is in full force and effect. There is no, and since January 1, 2015 there has been no, breach or violation of or default by the Company that is enforceable a party thereto or, to Seller’s Knowledge, by any other party, under any of the Material Contracts in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material respect, whether or not such breach, violation or default underhas been waived. No event has occurred with respect to the Companies or, to Seller’s Knowledge, any CPI Material Contractother party, andwhich, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in time or both, would constitute a material breach, violation or breach default of, or give rise to a right of termination, modification, or acceleration under, any of the provisions of any CPI Material Contract, (B) give any Person the right Contracts. Seller has made available to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list Purchaser copies of all claims made under any CPI Material Contract that Contracts, which copies are disputed true, correct and complete in any all material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatenedrespects.
Appears in 1 contract
Material Contracts. (a) The CPI Disclosure 3.13.1. Schedule identifies each CPI Contract that constitutes 3.13 sets forth a "CPI Material Contract." For purposes list of this Agreement, each all Contracts of the following shall types described below to which any of the Target Companies is a party, is bound, or by which the Business or assets of the Target Companies are bound:
(i) each Target Company’s pharmacy provider agreements, including mail and retail, (ii) the ten (10) customer contracts which generated the most revenues for the Target Companies in the aggregate during 2007 and (iii) all Contracts whereby the Company or any Target Company receives or is entitled to receive rebates from pharmaceutical drug manufacturers for services rendered;
(b) all employment and consulting Contracts of the Target Companies (other than those pursuant to which the base compensation to be deemed paid by the Target Companies collectively to constitute the offeree is less than $150,000 per year) and all bonus, pension, profit sharing or other deferred compensation plans;
(c) all Contracts (or group of related Contracts) or options to sell or lease (as lessor) any property or asset of the Target Companies in excess of $250,000 per year, except for sales in the Ordinary Course of Business;
(d) all Contracts (or group of related Contracts) pursuant to which any Target Company (i) possesses or uses, or has agreed to acquire or lease, any property or asset and (ii) is required to make payments, accrue expenses or incur charges in excess of $250,000 per year;
(e) all Contracts (or group of related Contracts), plans or programs pursuant to which material payments, or an acceleration of or material increase in benefits, may be required upon a CPI Material Contract:change of control of any Target Company;
(f) all Contracts (or group of related Contracts) pursuant to which any Target Company incurred a continuing obligation to pay any amounts in excess of $250,000 in respect of indemnification obligations, purchase price adjustment or otherwise in connection with any (i) acquisition or disposition of assets constituting a business or securities representing a controlling interest in any Person or (ii) merger, consolidation or other business combination;
(g) all indentures, mortgages, credit agreements, promissory notes, loan agreements, letters of credit, guarantees or other agreements or instruments (1) under which a Target Company has incurred Indebtedness, (2) providing for the creation of any Lien upon any of the material properties or material assets of a Target Company or (3) providing for the payment or collection by a Target Company of the debts or obligations of any other Person;
(h) all collective bargaining agreements;
(i) any Contract relating that contains a covenant by any Target Company not to compete (or that otherwise restricts the employment ofBusiness from competing) in any line of business, with any Person or in any geographic area (other than pursuant to any radius restriction contained in any lease, reciprocal easement or development, construction, real estate, operating or similar agreement, in each case that has been provided to Buyer) or other covenant of any Target Company materially restricting the development, marketing or distribution of the products and services of the Business, including pursuant to any “exclusivity” or similar requirement;
(j) any other Contract (or group of related Contracts other than purchase orders entered into in the Ordinary Course of Business) the performance of services by, any officer, director which involves payment by or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits);
(ii) any Contract that provides for indemnification of any officer, director, employee or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right Target Company of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to 250,000 per year and which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000cannot be canceled within 90 days; and
(viiik) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933all IP Contracts.
(b) 3.13.2. The Company has heretofore made available to the Buyer a true, complete and correct copy of each of the Contracts listed on Schedule 3.13, each as in effect on the date hereof, and all amendments and supplements thereto and all waivers thereunder. Each CPI Material Contract of the Contracts listed on Schedule 3.13 is valid and in full force and effect, effect and is binding and enforceable in accordance with its termson each party thereto, subject to except as such enforceability may be limited by (ia) laws of general application relating to applicable bankruptcy, insolvency and insolvency, moratorium, reorganization or similar Laws in effect which affect the relief enforcement of debtorscreditors rights generally or (b) general principles of equity, (ii) rules of whether considered in a proceeding at law governing specific performanceor in equity. No Target Company, injunctive relief and nor, to the Company’s Knowledge, any other equitable remedies and (iii) party is in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contractor in material breach or violation of, and, to the best of the knowledge of CPI, no other Person nor has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no an event has occurred, and no circumstance or condition exists, occurred that (with or without notice or notice, lapse of timetime or both) could reasonably be expected to (A) result in would constitute a material violation default by the Target Company under any Contract listed on Schedule 3.13. No Target Company has received any notice in writing (or breach to the Company’s Knowledge, otherwise) or claim of default under any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default Contracts listed on Schedule 3.13 or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding of any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; not renew or (B) has been received from a complaining party that has not contacted CPI or otherwise, to challenge the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision validity of any CPI Material such Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Disclosure Except for agreements entered into after the date hereof in accordance with Section 7.2 or as set forth on Schedule identifies each CPI Contract that constitutes a 5.12 (the "CPI Material Contract." For purposes of this AgreementContracts"), each none of the following shall be deemed Conveyed Subsidiaries (or a Subsidiary of a Conveyed Subsidiary) nor any Asset Selling Corporation is a party to constitute a CPI Material Contractor bound by:
(i) any Contract relating contract, agreement or other arrangement 69 for the purchase of Inventories, or other personal property with any supplier or for the furnishing of services to the employment of, Business extending beyond one year from the date hereof or the performance terms of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments provide for financial commitments in respect excess of salary and the grant of standard benefits)$1,000,000;
(ii) any Contract that provides contract, agreement and other arrangement for indemnification the sale of any officer, director, employee Inventories or agentfor the furnishing of services by the Business with firm commitments in excess of one year from the date hereof (in the case of the United States) and three years from the date hereof (in the case of all other locations);
(iii) any Contract (A) relating broker, distributor, dealer, manufacturer's representative, franchise and agency agreements related to the acquisition, issuance, voting, registration, sale Business that is not cancelable on 60 days' notice or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesless without financial penalty;
(iv) any Contract requiring that CPI give any noticecontracts and agreements relating to indebtedness for borrowed money, obtain any consent factoring arrangements, sale and leaseback transactions and deferred purchase price of property or provide any information other similar financial arrangement relating to any Person prior the Business with respect to accepting any Acquisition Proposal;which a Conveyed Subsidiary (or a Subsidiary of the Conveyed Subsidiary) or Asset Selling Corporation is an obligor in excess of $1,000,000; 70
(v) any Contract patent or technology or trademark licenses or agreements or research and development or design agreements relating to the Business the terms of which provide for aggregate commitments to be paid by or to a Conveyed Subsidiary (or a Subsidiary of the Conveyed Subsidiary) or Asset Selling Corporation in excess of $100,000; and
(vi) other than intercompany agreements that are not otherwise identified in this Section) that being assigned to or assumed by Purchaser, all agreements entered into since March 1, 1995 providing for (A) has the disposition of any capital stock of any Conveyed Subsidiary (or a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery Subsidiary of a termination notice by CPI and Conveyed Subsidiary), or (B) that contemplates the acquisition or involves (I) the payment disposition of any Conveyed Assets or delivery assets of cash or other consideration on or after the date hereof in a Conveyed Subsidiary and having an amount or having a aggregate value in excess of $300,000 2,000,000, other than the sale of Inventories in aggregate payments under such Contract, the ordinary course of the Business consistent with past practice or (II) the performance sale of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.obsolete equipment. 71
(b) Each CPI Except as disclosed in Schedule 5.12, (i) each Material Contract is valid and binding on the Seller Corporation or Conveyed Subsidiary (or a Subsidiary of the Conveyed Subsidiary) that is a party thereto, and to the Knowledge of Pfizer, the other party thereto, and is in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules no Asset Selling Corporation or Conveyed Subsidiary (or a Subsidiary of law governing specific performance, injunctive relief and other equitable remedies and (iiia Conveyed Subsidiary) is in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breachedbreach of, or committed any material default under, any CPI such Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated which breach or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) would result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPIEffect.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Except for this Agreement, Section 4.14(a) of the Battery Point Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes sets forth, as of the date of this Agreement, each a true and complete list of the following shall be deemed agreements, leases, licenses, contracts, notes, bonds, debt instruments, mortgages, indentures, permits, arrangements or other obligations (each, whether written or oral and including any amendments or modifications thereto, a “Contract”) to constitute which Battery Point or any of its subsidiaries is a CPI party or by which any their respective properties or assets are bound (each, a “Material Contract:”):
(i) each Contract that restricts in any Contract relating to material respect the employment of, or the performance ability of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment Battery Point or any other payment (other than payments of its subsidiaries to compete in respect any line of salary and the grant of standard benefits)business or geographic area or contains any covenant granting “most favored nation” status;
(ii) each Contract (A) pursuant to which Indebtedness of Battery Point or any of its subsidiaries in an amount in excess of $100,000 is outstanding or may be incurred by its terms or (B) that constitutes an interest rate cap, interest rate collar, interest rate swap or other Contract that provides for indemnification of any officer, director, employee or agentrelated to a hedging transaction;
(iii) each Contract relating to the formation, creation, operation, management or control of any partnership or joint venture or the ownership of any material equity interest in any entity or business enterprise (other than any of Battery Point’s subsidiaries);
(iv) each Contract between Battery Point or any of its subsidiaries, on the one hand, and (A) relating to the acquisition, issuance, voting, registration, sale any present executive officer or transfer director of Battery Point or any securitiesof its subsidiaries, (B) providing to the Knowledge of Battery Point, any Person with stockholder of Battery Point as of the Closing Date or (C) to the Knowledge of Battery Point, any preemptive rightaffiliate of any such officer, director or owner (other than Battery Point or any of its subsidiaries), on the other hand;
(v) each Contract that (A) relates to the acquisition or disposition by Battery Point or any of its subsidiaries of any real estate assets or properties (whether by stock sale, asset sale, merger or otherwise) for aggregate consideration in excess of $100,000 that has not been performed in full as of the date hereof, (B) includes an “earnout” or other contingent, deferred or fixed payment obligation of Battery Point or any of its subsidiaries in excess of $100,000 that has not been paid in full as of the date hereof, (C) requires, or grants, any unexpired option, right of participationfirst offer, right of maintenance first negotiation or right of first refusal to, Battery Point or any of its subsidiaries to acquire real estate assets or properties for consideration in excess of $100,000, or (D) permits, or gives, any person any unexpired option, right of first offer, right of first negotiation, right of first refusal or other similar right with respect to the purchase of any securities, Battery Point Owned Property or (C) providing CPI with material asset of Battery Point or any right of first refusal with respect to, its subsidiaries or right any portion thereof or otherwise obligates Battery Point or any of its subsidiaries to repurchase sell or redeem, otherwise dispose of any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractBattery Point Owned Property;
(vi) each Contract that involves any Contract (A) to which pending or contemplated merger, consolidation, sale, lease or license of any Governmental Body is a party Battery Point Owned Property or under which other material assets of Battery Point or any Governmental Body has any rights or obligationsof its subsidiaries, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or similar business combination transaction, other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) than in the payment or delivery Ordinary Course of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractBusiness;
(vii) each Contract (or series of related Contracts) for the purchase or sale of materials, supplies, goods, services, equipment or other assets providing for annual payments by or to Battery Point or any open purchase order placed by CPI requiring future aggregate payments of its subsidiaries, as the case may be, of amounts in excess of $300,000100,000, which Contract is not terminable by either party on less than 365 days’ written notice without material penalty;
(viii) each Contract between Battery Point or any of its subsidiaries and any third-party service provider with respect to the management of any Battery Point Owned Property (each, a “Property Management Contract”);
(ix) each Contract that obligates Battery Point or any of its subsidiaries to indemnify any past or present directors, officers or employees of Battery Point or any of its subsidiaries, other than the Organizational Documents of Battery Point or any of its subsidiaries;
(x) each Contract that is a settlement, conciliation or similar agreement that imposes any material monetary or non-monetary obligations upon Battery Point or any of its subsidiaries after the Closing Date;
(xi) each Contract that contains restrictions on the ability of Battery Point or any of its subsidiaries to pay dividends or other distributions (other than pursuant to the Organizational Documents of Battery Point or any of its subsidiaries or in connection with any loan agreements to which Battery Point is a party set forth on Section 4.14(a)(xi) of the Battery Point Disclosure Schedule (collectively, the “Existing Loan Agreements”);
(xii) each Contract with a Governmental Authority (including agreements with Xxxxxx Xxx or Xxxxxxx Mac);
(xiii) each Contract that contains covenants expressly limiting, in any material respect, the ability of Battery Point or any of its subsidiaries to sell, transfer, pledge or otherwise dispose of any material assets or properties (other than cash) or business of Battery Point or any of its subsidiaries (other than in connection with the Existing Loan Agreements);
(xiv) each Contract that constitutes a loan to any person by Battery Point or any of its subsidiaries (other than receivables in the Ordinary Course of Business or advances made pursuant to and expressly disclosed in any Tenant Lease) in an aggregate amount in excess of $50,000;
(xv) each Contract pursuant to which intellectual property material to the operations of Battery Point or any of its subsidiaries, taken as a whole, is licensed to Battery Point or any of its subsidiaries by any third party (other than commercially available software or software services) or is licensed by Battery Point or any of its subsidiaries to any third party (other than non-exclusive licenses granted by Battery Point or any of its subsidiaries in the Ordinary Course of Business which do not contain any material restriction on the use or exploitation of any intellectual property Battery Point or any of its subsidiaries); and
(viiixvi) each Contract that is with any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933investment banker, accountant, outside legal counsel or other professional advisor.
(b) Battery Point has made available to PORT, the Operating Partnership and the Purchasers correct and complete copies of all written Material Contracts required to be listed in Section 4.14(a) of the Battery Point Disclosure Schedule, including all amendments thereto, as in effect as of the date of this Agreement.
(c) Each CPI Material Contract (i) is a valid and binding agreement of Battery Point or any of its subsidiaries party thereto, enforceable against Battery Point or any of its subsidiaries and, to the Knowledge of Battery Point, each other party thereto in accordance with its terms, in each case, subject to (1) applicable bankruptcy, insolvency, reorganization, moratorium or other laws of general application affecting enforcement of creditors’ rights, and (2) general principles of equity that restrict the availability of equitable remedies, and (ii) is in full force and effect, and except, in the case of clauses (i) or (ii), with respect to any Material Contract that expires by its terms or is enforceable terminated in accordance with its terms, subject to the terms thereof (as in effect as of the date hereof) after the date hereof.
(d) (i) laws Battery Point or any of general application relating its subsidiaries has performed in all material respects all obligations required to bankruptcybe performed by it prior to the date hereof under each Material Contract and, insolvency and to the relief Knowledge of debtorsBattery Point, each other party thereto has performed in all material respects all obligations required to be performed by it under such Material Contract prior to the date hereof, (ii) rules neither Battery Point nor any of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, its subsidiaries and, to the best Knowledge of the knowledge of CPIBattery Point, no other Person has materially violated or breachedparty thereto, or committed any material default underis (or, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time, would be) could reasonably be expected to (A) result in a material violation default under or breach of any of the provisions terms of any CPI Material ContractContract in any material respect, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI none of Battery Point or any of its subsidiaries has not received any written notice or other written communication regarding of any actual or possible violation or breach of, default under, under any Material Contract or intention to terminate, is aware of any CPI Contract except cause for communication (A) that has subsequently been revoked; acceleration of any liability or (B) has been received from a complaining loss of any rights of any party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; thereto and (iv) CPI has not waived none of Battery Point or any of its material rights subsidiaries has received written notice of termination under any CPI Material Contract, in each case where such breachand, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To to the best Knowledge of the knowledge of CPIBattery Point, no Person is renegotiating, or party to any Material Contract has the right threatened to renegotiate, cancel any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list As used in this Agreement, the term “Indebtedness” means, with respect to any person, (i) any indebtedness of such person, whether or not contingent, for borrowed money (whether by loan or the issuance and sale of debt securities evidenced by notes, debentures or similar instruments and including, reimbursement and all claims made other obligations with respect to surety bonds, letters of credit and bankers’ acceptances, whether or not matured), (ii) any obligations of such person for the deferred purchase price of property or services (other than trade payables, accrued compensation and other accrued liabilities, in each case, incurred in the Ordinary Course of Business of such person), including any earn-outs, (iii) any obligations of such person evidenced by notes, bonds, debentures or other similar instruments, (iv) obligations of any person in respect of interest rate, currency or other swaps, xxxxxx or similar derivative arrangements, (v) any obligations of such person as lessee (or other agreement conveying the right to use) under leases to the extent such obligations are required to be classified and accounted for as capital leases in accordance with GAAP, (vi) any CPI Material Contract obligations, contingent or otherwise, of such person under acceptance, letters of credit or similar facilities that are disputed have been drawn, (vii) all Indebtedness of others referred to in clauses (i) through (vi) above guaranteed directly or indirectly in any material respect ormanner by such person, (vii) all Indebtedness referred to in clauses (i) through (vi) above secured by (or for which the holder of such Indebtedness has an existing right, contingent or otherwise, to CPI's knowledgebe secured by) any Lien on property owned by such person, where a dispute as even though such person has not assumed or become liable for the payment of such Indebtedness, and (viii) outstanding prepayment premium obligations of such person, if any, and accrued interest, fees and expenses related to any material matter has been threatenedindebtedness described in clauses (i) through (vii) above.
Appears in 1 contract
Samples: Exchange Agreement (Pacific Oak Strategic Opportunity REIT, Inc.)
Material Contracts. (a) The CPI Disclosure Set forth on Schedule identifies 4.15(a) is a list of Contracts (other than any Contract for an interest in real property) to which any Company Group Member is a party or by which any Company Group Member’s assets or properties are bound that fall within the following categories and are in effect as of the Effective Date (each CPI Contract that constitutes a "CPI “Material Contract." For purposes of this Agreement, each of the following shall be deemed to constitute a CPI Material Contract:”):
(i) any Contract relating to the employment of, or the performance of services by, any officer, director or employee Contracts representing Indebtedness for Borrowed Money and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)all guaranties thereof;
(ii) any Contract that provides for indemnification Contracts containing covenants limiting the freedom of any officer, director, employee of the Company Group Members to engage in any line of business or agentcompete with any Person or operate at any location;
(iii) price swaps, xxxxxx, futures or similar instruments;
(iv) Contracts to which Seller or any Contract Seller Affiliate (other than a Company Group Member) is a party or is otherwise bound;
(v) joint venture or partnership agreements, including any agreement or commitment to make any loan or capital contribution to any joint venture or partnership;
(vi) gathering, treating, transportation, processing or compression Contracts entered into by any of the Company Group Members that (A) if a fee-based Contract, provides for aggregate payments to such Company Group Member during any fiscal year of such Company Group Member in excess of $1,000,000, or (B) if a percentage of proceeds Contract, is reasonably anticipated to result in a share of proceeds retained by such Company Group Member for its own account during any such fiscal year in excess of $1,000,000 (each, a “Material Gathering Contract”);
(vii) Contracts that grant “most favored nations” pricing to a customer or counterparty;
(viii) Contracts (A) relating to the acquisition, issuance, voting, registration, sale or transfer construction of any securitiesfacilities, (B) providing any Person with any preemptive rightgathering, right of participationtreating, right of maintenance compression or any similar right with respect to any securities, processing or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI pipeline system and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or involving committed expenditures by any Company Group Member to be made after the date hereof in an amount or having a value Effective Date in excess of $300,000 in aggregate payments under such Contract, or 1,000,000;
(IIix) the performance of services on or after the date hereof having a value Contracts relating to any outstanding commitment for capital expenditures in excess of $300,000 in aggregate payments under such Contract2,000,000;
(vix) bonds, letters of credit or guaranties posted or supported by any Contract Company Group Member;
(Axi) Contracts to which any Governmental Body Entity is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractparty;
(viixii) any open purchase order placed by CPI requiring future aggregate employment Contracts for Available Employees that (i) require annualized base salary payments in excess of $300,000100,000, (ii) provide for change in control or transaction bonuses or (iii) provide for severance in excess of one month of base salary or notice of termination in excess of thirty (30) days; and
(viiixiii) any Contract (not otherwise identified in this Section) other Contracts that would be required as an exhibit in a registration statement under the Securities Act individually, require or entitle any Company Group Member to make or receive payments of 1933$3,000,000 or more annually.
(b) Each CPI Except as disclosed on Schedule 4.15(b), each Material Contract is valid and enforceable in full force and effect, and is enforceable all material respects in accordance with its termsterms against the Company Group Member that is party to such Material Contract and, to the Knowledge of Seller, each other party thereto, subject in each case to (i) laws of general application relating to applicable bankruptcy, insolvency insolvency, reorganization, moratorium, and the relief of debtors, similar Laws affecting creditors’ rights generally and (ii) rules equitable principles which may limit the availability of law governing certain equitable remedies (such as specific performance, injunctive relief and other equitable remedies and (iii) in certain instances. None of the case Company Group Members are in default or breach in any material respect of the terms of any such Material Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best Knowledge of Seller (y) no other party to any Material Contract is in breach of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; terms thereof and (iiz) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, occurred that (with or without the giving of notice or lapse the passage of time) could reasonably be expected , or both, would constitute a breach or default in any material respect by a Company Group Member or any other party to (A) result in a material violation or breach of any such Material Contract. None of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI Company Group Members has not received any written notice that any Person intends to cancel, modify, accelerate or other written communication regarding terminate any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in . Seller has made available to Buyer true and complete copies of each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Section 3.13(a) of the Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, lists each of the following shall be deemed to constitute a CPI contracts and agreements of any of the Companies (such contracts and agreements being “Material Contract:Contracts”):
(i) any Contract relating to the employment of, all material management contracts and contracts with independent contractors or the performance of services by, any officer, director consultants (or employee similar arrangements) that are not cancelable without penalty or further payment and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment without more than thirty (other than payments in respect of salary and the grant of standard benefits)30) days’ notice;
(ii) all collective bargaining agreements or contracts with any Contract that provides for indemnification labor union or labor organization applicable to employees of any officer, director, employee or agentof the Companies;
(iii) any Contract (A) all contracts and agreements relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesindebtedness for borrowed money;
(iv) all contracts and agreements that limit or purport to limit the ability of any Contract requiring that CPI give of the Companies to compete in any notice, obtain any consent line of business or provide any information to with any Person prior to accepting or in any Acquisition Proposalgeographic area or during any period of time;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated all contracts and agreements with total annual payments by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value Companies in excess of $300,000 in 75,000 or with total aggregate payments under such Contract, or (II) by the performance of services on or after the date hereof having a value Companies in excess of $300,000 in aggregate payments under such Contract150,000;
(vi) all material contracts and agreements between or among any Contract of the Companies, on the one hand, and Seller or any Affiliate of Seller, on the other hand (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract“Affiliate Agreements”);
(vii) all Material Leases;
(viii) all contracts and agreements providing any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000the Companies with national advertising sales representation;
(ix) all contracts and agreements relating to network affiliation;
(x) all contracts and agreements relating to television retransmission consent; and
(viiixi) any Contract all material contracts and agreements for programming, including all material syndication contracts (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under “Programming Contracts”). To the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effectextent routinely maintained by Seller, and is enforceable in accordance with its terms, subject Seller has made available to (i) laws of general application relating to bankruptcy, insolvency and Purchaser the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedulefollowing information for each Programming Contract: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any the term of the provisions of any CPI Material ContractProgramming Contract (start and end dates), (B) give any Person the right to declare a default or exercise any remedy total original cost payable under any CPI Material the Programming Contract, (C) give any Person the right to accelerate amount already paid under the maturity or performance of any CPI Material Programming Contract, or (D) give the amount remaining to be paid under the Programming Contract, (E) the geographic area for which the Programming Contract provides exhibition rights, (F) any Person the right market exclusivity or syndication exclusivity applicable to cancelsuch Programming Contract, terminate or materially modify any CPI Material Contract; (iiiG) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for Programming Contracts that limit the number of times that a period program may be aired, the number of more than six months following receipt times the programming covered by the Programming Contract has been aired, (H) the number of additional times the programming covered by the Programming Contract may be aired, (I) the method of amortization being applied to the Programming Contract (e.g., the first of five airings reduces the value of the communication; Programming Contract by 50% versus the first of five airings reduces the value of the Programming Contract by 20%) and (ivJ) CPI has not waived a summary of any of its material rights “barter” provisions under any CPI Material such Programming Contract, in each case where such breachi.e., defaultprovisions that provide for the exchange of advertising time for promotional items, violation or waiver would have a Material Adverse Effect on CPIadvertising, supplies, equipment and/or services.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Section 4.07(a) of the Disclosure Schedule identifies each CPI Contract that constitutes Schedules sets forth a "CPI Material Contract." For purposes true, correct and complete list of this Agreement, each of the following shall be deemed Contracts (x) by which any of the Purchased Assets are bound or affected or (y) to constitute which Seller is a CPI party or by which it is bound in connection with the Business or the Purchased Assets (such Contracts, together with all Contracts concerning the occupancy, management or operation of any Leased Real Property (including without limitation, brokerage contracts) listed or otherwise disclosed in Section 4.10(a) of the Disclosure Schedules and all Intellectual Property Agreements set forth in Section 4.11(b) of the Disclosure Schedules, being “Material Contract:Contracts”):
(i) all Contracts involving aggregate consideration in excess of $5,000 and which, in each case, cannot be cancelled without penalty or without more than thirty (30) days’ notice;
(ii) all Contracts for any capital expenditures or the acquisition or construction of fixed assets requiring aggregate future payments in excess of $5,000;
(iii) Contracts relating to Indebtedness of Seller, or any guaranty by Seller of the Indebtedness or Liability of any other Person;
(iv) all employment, consulting, termination, severance, retention, non-competition or change of control Contracts or any other Contract respecting the terms and conditions of employment or payment of compensation with any employee, officer, independent contractor or consultant or agreements relating to loans to officers, managers, members, employees or Affiliates in excess of $5,000 in any instance;
(v) Any Contracts relating to any Seller Benefit Plan;
(vi) Any collective bargaining agreement or other Contract with any labor union, labor organization or other representative of employees;
(vii) all Contracts that require Seller to purchase or sell a stated portion of the requirements or outputs of the Business or that contain “take or pay” provisions;
(viii) all Contracts that provide for the indemnification of any Person or the assumption of any Tax, environmental or other Liability of any Person;
(ix) all Contracts that relate to the acquisition or disposition of any business, a material amount of stock or assets of any other Person or any real property (whether by merger, sale of stock, sale of assets or otherwise);
(x) all broker, distributor, dealer, manufacturer’s representative, franchise, agency, sales promotion, market research, marketing consulting and advertising Contracts;
(xi) all employment agreements and Contracts with independent contractors or consultants (or similar arrangements) and which are not cancellable without material penalty or without more than thirty (30) days’ notice;
(xii) except for Contracts relating to trade receivables, all Contracts relating to Indebtedness (including, without limitation, guarantees);
(xiii) any Contract relating or agreement containing provisions (other than termination for convenience) that permit the counterparty to such Contract or agreement to terminate such Contract or agreement (or providing for the automatic termination thereof) as a result of the transactions contemplated by this Agreement;
(xiv) any Contract providing for payments, rebates, discounts or other allowances, credits or deductions to or by any Person based on sales, purchases or profits, other than direct payments for goods, and a description of any Liability with respect to any such payments, rebates, discounts or other allowances, credits or deductions that Seller will or may have to any Person based on sales, purchases or profits that occurred prior to the employment ofClosing;
(xv) each written warranty, guaranty or other similar undertaking with respect to contractual performance extended by Seller, other than in the performance ordinary course of services bybusiness;
(xvi) any Contract for any settlement agreement in respect of an audit, any officerexamination, director action, suit, claim, charge, complaint, review, investigation or employee and administrative or arbitration proceeding;
(xvii) any Contract pursuant to which CPI is payments are processed for Seller or may become obligated to make the Business, or on behalf of the customers or clients of Seller or the Business, including credit card, automated clearing house, or check processing;
(xviii) all Contracts with any severance, termination, bonus or relocation payment or any other payment Governmental Authority (other than payments in respect of salary and the grant of standard benefits“Government Contracts”);
(iixix) all Contracts that limit or purport to limit the ability of Seller to compete in any Contract that provides for indemnification line of business or with any officer, director, employee Person or agentin any geographic area or during any period of time;
(iiixx) any Contract all joint venture, partnership or similar Contracts;
(Axxi) relating to all Contracts for the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing of the Purchased Assets or for the grant to any Person with of any preemptive rightoption, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or preferential or similar right to repurchase or redeem, purchase any securitiesof the Purchased Assets;
(ivxxii) all powers of attorney with respect to the Business or any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000Purchased Asset; and
(viiixxiii) any Contract (all other Contracts that are material to the Purchased Assets or the operation of the Business and not otherwise identified in previously disclosed pursuant to this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933Section 4.07.
(b) Each CPI Material Contract is valid and binding on Seller in accordance with its terms and is in full force and effect. None of Seller or, and to Seller’s Knowledge, any other party thereto is enforceable in accordance with its termsbreach of or default under (or is alleged to be in breach of or default under), subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case or has provided or received any notice of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that Material Contract. No event or circumstance has subsequently been revoked; occurred that, with notice or (B) has been received from a complaining party that has not contacted CPI lapse of time or otherwiseboth, to the knowledge would constitute an event of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights default under any CPI Material ContractContract or result in a termination thereof or would cause or permit the acceleration or other changes of any right or obligation or the loss of any benefit thereunder. Complete and correct copies of each Material Contract (including all modifications, in each case where such breach, default, violation amendments and supplements thereto and waivers thereunder) have been made available to Buyer. There are no material disputes pending or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI threatened under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisionsContract included in the Purchased Assets.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Disclosure Except for the Real Property Leases, any contracts related to any Owned Real Property, the Easements or any Plans, Schedule identifies each CPI Contract that constitutes 3.15(a) contains a "CPI Material Contract." For purposes list of this Agreement, each of the following shall be deemed contracts to constitute which an Acquired Company is a CPI party as of the Execution Date (as amended, the “Material Contract:
Contracts”): (i) any Contract relating gathering contract, transportation contract, connection contract, processing contract, storage contract or marketing contract or other commitment to the employment ofgather, handle, transport, store, process, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits);
deliver hydrocarbons; (ii) any Contract contract for the supply of goods or services by or to such Acquired Company that will not be terminated prior to the Closing, or that cannot be terminated on 90 or fewer days’ notice, and that provides for indemnification future payments by or to such Acquired Company of any officer, director, employee more than $1,000,000 per annum (other than purchase orders or agent;
service orders entered into in the ordinary course of business or bids or quotes that have been submitted in the ordinary course of business); (iii) any Contract (A) relating to contract for the acquisition, issuance, voting, registration, sale or transfer purchase of any securitiesmaterial asset that provides for the future payment by an Acquired Company of more than $1,000,000 per annum or $3,000,000 in the aggregate, (B) providing and any Person with contract for the sale of any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
material asset; (iv) any Contract requiring contract that CPI give any notice, obtain any consent or provide any information grants to any Person prior a right to accepting purchase (including rights of first refusal, options or similar rights) any Acquisition Proposal;
material assets of such Acquired Company; (v) any Contract contract that contains any covenant of such Acquired Company that materially limits or purports to limit the ability of such Acquired Company to compete in any line of business or with any Person in any geographic area; (not otherwise identified vi) any construction contract or other commitment to make any capital expenditure or to purchase a capital asset in this Sectionexcess of $1,000,000; (vii) that any agreement with any Seller or any Affiliate of a Seller; (viii) any contract under which such Acquired Company has directly or indirectly guaranteed any liabilities or obligations of a third party; (ix) any contract pursuant to which any Acquired Company is a party pursuant to which any material Intellectual Property rights or material IT Assets are granted by or to the Acquired Company (other than (A) has a term of more than sixty (60) days or that may not be terminated non-exclusive licenses implied by CPI (without penalty) within sixty (60) days after the delivery sale of a termination notice by CPI product and (B) that contemplates licenses of commercially-available, unmodified, off-the-shelf software or involves IT Assets licensed pursuant to standard terms and conditions for less than $1,000,000 annually); (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vix) any Contract (A) to which any Governmental Body is a party partnership, joint venture, limited liability company agreement or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000substantially similar contract; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.29
Appears in 1 contract
Material Contracts. (aSchedule 2.2(n) The CPI Disclosure Schedule identifies each CPI Contract that constitutes hereto sets forth a "CPI Material Contract." For purposes complete and accurate list and compilation of this Agreement, each of the following shall be deemed to constitute a CPI Material Contractall material:
(i) any Contract relating Contracts with respect to the employment ofprovision of health care services, or the performance of services by, any officer, director or employee including all contracts between third party payors and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment Company or any other payment (other than payments in respect of salary and the grant of standard benefits)Shareholder;
(ii) Licenses, leases, contracts and other arrangements with respect to any Contract that provides for indemnification material property of any officer, director, employee or agentCompany;
(iii) any Contract Contracts (Awritten or unwritten) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to which any securitiesCompany has any liability or obligation, contingent or otherwise, involving more than $10,000 or which may otherwise have any continuing effect after the Closing, or (C) providing CPI with which place any right material limitation on the method of first refusal with respect to, conducting or right to repurchase or redeem, any securitiesthe scope of the Business;
(iv) Contracts of any Contract requiring that CPI give any noticeCompany with directors, obtain any consent officers, employees, agents and/or consultants of the Company or provide any information to any Person prior to accepting any Acquisition Proposalthe spouses or relatives of such persons;
(v) any Contract (not otherwise identified in this Section) that (A) has a term Compensation arrangements for all employees and consultants including rates of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after pay and other benefits and the delivery amounts of compensation and other benefits accrued as of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractrecent date;
(vi) any Contract (A) Agreements, contracts or instruments relating to which any Governmental Body is a party or under which any Governmental Body has any rights or obligationsthe borrowing of money, or involving or directly or indirectly benefiting the guaranty of any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) obligation for the payment or delivery borrowing of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractmoney;
(vii) Contracts between officers, directors or employees of any open purchase order placed by CPI requiring future aggregate payments Company and any other person or entity which purport to restrict any Company's business activities or use of information in excess the Business, including without limitation any covenant not to compete;
(viii) All agreements relating to any securities of $300,000any Company or rights in connection therewith; and
(viiiix) Any contracts, leases or other agreements referred to in any other Schedule hereunder, and any other material contracts, instruments, commitments, plans or arrangements of any Company. All the foregoing are herein called "Material Contracts." Schedule 2.2(n) includes with respect to each Material Contract (not otherwise identified the names of the parties, the date thereof, its title or other general description. Copies of all written Material Contracts have been delivered to FNEDC or its counsel or accountants. Each Material Contract sets forth the entire arrangement and understanding between the respective Company and the respective third parties with respect to the subject matter thereof and, except as indicated in this Section) such Schedule, there have been no amendments or side or supplemental arrangements to or in respect of any Material Contract. Each Company has furnished to FNEDC true and correct copies of all Material Contracts as currently in effect, and will furnish any further information that would be required as an exhibit FNEDC may reasonably request in a registration statement under the Securities Act of 1933.
(b) connection therewith. Each CPI Material Contract is valid and in full force and effect, and each Company has performed all material obligations required to be performed by it thereunder. Prior to the filing contemplated by Section 4.1(c) hereof, no Company was at any time or is enforceable in accordance with material default under or in material breach or material violation of (a) its termsCertificate of Incorporation or Bylaws, subject or (b) to (i) laws of general application relating to bankruptcyeach Shareholder's best knowledge, insolvency and the relief of debtorsany Material Contract, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
or (c) any other agreement, indenture, deed of trust, mortgage, instrument, lease, order, judgment, writ, injunction, decree, license, permit, statute, rule or regulation of any court or governmental or regulatory body applicable to it in a manner which would materially and adversely affect its condition, the transactions contemplated by this Agreement or the Business, and the execution and delivery of the Operative Documents and the consummation of the transactions contemplated thereby will not result in the - 19 - 27 violation of any law, decree or order known to such Company or in any default, breach or violation of such Company's Certificate of Incorporation or Bylaws, or any Material Contract to which such Company is a party or by which it is bound. Except as set forth in on Schedule 2.2(n) and the CPI Disclosure Schedule: (ifilings contemplated by Section 4.1(c) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, andhereof, to the best of the knowledge of CPIShareholders' knowledge, there is no other Person event which has materially violated occurred or breachedexisting condition which constitutes, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in time or both, would constitute a material violation default under any Material Contract or breach would cause the acceleration of any of the provisions obligation of any CPI Material Contractparty thereto, (B) or give rise to any Person right of termination or cancellation or cause the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance creation of any CPI Material Contract, lien or (D) give encumbrance on any Person the right to cancel, terminate or materially modify asset of any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) Company. To the best of the knowledge of CPIShareholders' knowledge, no Person third party is renegotiating, or has the right to renegotiate, in default under any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list . None of the Shareholders has any knowledge that the parties to any Material Contract will not fulfill their obligations thereunder in all claims made under material respects. There is no term of any CPI Material Contract that are disputed in materially adversely affects the Business or the business, operations, affairs, prospects or conditions of any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatenedCompany.
Appears in 1 contract
Samples: Stock Purchase Agreement (First New England Dental Centers Inc)
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes 3.13(a) sets forth a "CPI Material Contract." For purposes of this Agreement, each correct and complete list of the following shall be deemed Contracts (the “Material Contracts”) to constitute which any Company Group Member is a CPI Material Contract:party to (other than the Company Benefit Plans set forth on Schedule 3.17(a)):
(i) all Contracts (excluding work orders and purchase orders) that involved payments from any Contract relating Company Group Member to the employment of, suppliers or the performance service providers in excess of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)$500,000 during fiscal year 2021;
(ii) all Contracts (excluding work orders, sales acknowledgments and purchase orders) (A) with customers and/or distributors that involved payments to any Contract that provides for indemnification Company Group Member in excess of $500,000 during fiscal year 2021 and (B) with distributors to which any officer, director, employee Company Group Member has granted exclusivity in any jurisdiction or agentterritory and which will not expire or cannot be terminated prior to the first anniversary of the date hereof and which involved payments to any Company Group Member in excess of $250,000 during fiscal year 2021;
(iii) any Contract (A) relating to for the acquisition, issuance, voting, registration, sale or transfer employment of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance United States-based employee or any similar right with respect to the equity compensation of any securities, or (C) providing CPI with United States-based employee employed by any right of first refusal with respect to, or right to repurchase or redeem, any securitiesCompany Group Member that is not terminable at-will;
(iv) any Contract requiring that CPI give any noticeall bonds, obtain any consent debentures, notes, loans, credit or provide any information loan Contracts or loan commitments, mortgages, indentures or other Contracts relating to any Person prior to accepting any Acquisition Proposalthe borrowing of money (excluding letters of credit);
(v) any Contract (not otherwise identified in this Section) that under which (A) any Person has a term directly or indirectly guaranteed any Liabilities of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value any Company Group Member in excess of $300,000 1 million in the aggregate payments under such Contract, or (IIB) any Company Group Member has directly or indirectly guaranteed the performance Liabilities of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractany other Person;
(vi) all Contracts granting any Contract (A) Person a Lien on all or part of any material asset of any Company Group Member, other than Liens that will be released at or prior to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractClosing;
(vii) all Contracts that provide for payment, or an increased payment or benefit, or accelerated vesting, upon the execution of this Agreement or the Closing or in connection with the transactions contemplated by this Agreement;
(viii) all joint venture or partnership Contracts, cooperative Contracts and all other Contracts providing for the sharing of any open purchase order placed profits (excluding any sales commission, rebate or similar type of arrangements);
(ix) all Contracts that (x) restrict the relevant Company Group Member from engaging in or competing with any business activity in any geographic area and/or (y) contain exclusivity, non-compete or similar restrictions or obligations binding on the relevant Company Group Member (in each case, excluding geographical and/or channel exclusivity provisions in contracts with distributors that involved payments to the Company or any of its Subsidiaries of less than $500,000 during fiscal year 2021);
(x) all Contracts material to the Company Group’s business by CPI requiring future which any Company Group Member licenses or grants rights in, to or under Intellectual Property from or to any Person, excluding any Contracts licensing generally available mass market software under a click-wrap or shrink-wrap license involving annual or one-time fees that do not exceed $250,000;
(xi) all Contracts pursuant to which any Person provides the Company Group with IT Assets, such as data center and hosting services, or support or maintenance services for Software material to the Company Group’s business, in each case, for aggregate payments annual or one-time fees in excess of $300,000250,000.
(xii) all Contracts granting any option or first refusal, first offer or similar preferential right with respect to any equity interests, properties or assets of any Company Group Member;
(xiii) all (A) Shared Contracts, (B) Contracts with respect to Intercompany Agreements and (C) Contracts with respect to Affiliate Transactions, but in each case excluding Contracts relating to the Sunquest Business;
(xiv) all Contracts related to any acquisitions that have any ongoing obligations to make any deferred purchase price, “earn out” or other contingent or fixed payment obligations or continuing indemnification obligations or covenants; and
(viiixv) all Contracts entered into in connection with the settlement or other resolution of any Contract actual or threatened Action under which any Company Group Member has any continuing Liabilities in excess of $2,000,000 or under which any Company Group Member is subject to any operational restrictions (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933other than any confidentiality, release or non-disparagement provisions).
(b) Each CPI All Material Contract is valid Contracts and Material Leases are in full force and effecteffect and have been validly authorized, executed and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and delivered by the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, Company Group Member and, to the best Knowledge of Sellers, the counterparties thereto, and are currently enforceable by or against the applicable Company Group Member in accordance with the express terms thereof, subject to bankruptcy, insolvency, reorganization, moratorium and similar Laws of general applicability relating to or affecting creditors’ rights and to general principles of equity. No Company Group Member has given or received any written claim or notice of a material breach, default or modification under, or the cancellation or termination or material modification of, or intent to cancel, to terminate, or materially modify any Material Contract or Material Lease, except as would not reasonably be expected to result in material Liability to the Company Group, taken as a whole, or otherwise materially interfere with the present and currently contemplated conduct of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best businesses of the knowledge Company Group in the Ordinary Course. To the Knowledge of CPISellers, no there does not exist under any Material Contract or Material Lease any event has occurredof default, and no circumstance event or condition existsthat, that (with or without after notice or lapse of timetime or both, would constitute a material violation, breach or event of default thereunder on the part of any Company Group Member, except as set forth on Schedule 3.13(b) could and except for such events of default, events, conditions, violations or breaches that would not reasonably be expected to (A) result in material Liability to the Company Group, taken as a material violation whole, or breach of any otherwise materially interfere with the present and currently contemplated conduct of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt businesses of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, Company Group in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPIthe Ordinary Course.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Section 3.15(a) of the Company Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, lists each of the following shall types of Contracts, including all amendments, supplements and modifications, to which the Company or any Company Subsidiary is a party as of the Agreement Date (such Contracts required to be deemed to constitute a CPI set forth in such list, the “Material Contract:Contracts”):
(i) any Contract relating “material contract” (as such term is defined in Item 601(b)(10) of Regulation S-K of the SEC) with respect to the employment ofCompany or any Company Subsidiary that has been, or was required to be, filed with the performance of services bySEC with the Company’s Annual Report on Form 10-K for the year ended January 31, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment 2017 or any other payment (other than payments in respect SEC Reports filed after the date of salary and filing of such Form 10-K until the grant of standard benefits)Agreement Date;
(ii) (A) any Contract that provides with a Principal Customer and (B) any Contract for indemnification the purchase of materials, supplies, goods, services, equipment or other assets which is expected to involve consideration or payments to the Company or any officerof the Company Subsidiaries in excess of $1,000,000 in the aggregate during the fiscal year ending January 31, director, employee or agent2018 (other than a Contract with a Principal Customer);
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, Contract with a Principal Supplier and (B) providing any Person with any preemptive rightContract for the furnishing of materials, right of participationsupplies, right of maintenance goods, services, equipment or other assets which is expected to involve consideration or payments by the Company or any similar right of the Company Subsidiaries in excess of $250,000 in the aggregate during the fiscal year ending January 31, 2018 (other than a Contract with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesa Principal Supplier);
(iv) any Contract requiring that CPI give any noticeall Contracts concerning the establishment, obtain any consent management or provide any information to any Person prior to accepting any Acquisition Proposaloperation of a joint venture, partnership, limited liability company, business alliance or systems integration alliance;
(v) any Contract with a Governmental Authority (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days including any settlement, conciliation or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such similar Contract), or for the purpose of fulfilling a Contract or order from any Governmental Authority as the ultimate customer (II) the performance of services on or after the date hereof having including any Contract with a value in excess of $300,000 in aggregate payments under such Contractprime government contractor);
(vi) any Contract (A) all Company IP Agreements that are material to which any Governmental Body is the business of the Company and the Company Subsidiaries, taken as a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractwhole;
(vii) any open purchase order placed by CPI requiring future aggregate payments Contract containing covenants binding upon the Company or any Company Subsidiary that (A) materially restricts the right of the Company or any Company Subsidiary (I) to engage in excess any business or compete in any business or with any person or operate in any geographic area or (II) to acquire any material product or other material asset or service from any other person, (B) grants to any third party any exclusive rights with respect to any Company Intellectual Property that is material to the Company or any of $300,000; andthe Company Subsidiaries, or (C) grants to the Company or a Company Subsidiary any material third party Intellectual Property that is incorporated in or distributed with any Company Product;
(viii) any Contract that (A) grants exclusive rights to license, market, sell or deliver any Company Product or (B) contains any “most favored nation” or similar provisions in favor of the other party thereto;
(ix) all Contracts concerning the use, occupancy, management or operation of, or evidencing any interests in, any Leased Real Property;
(x) all Contracts pursuant to which any indebtedness of the Company or any of the Company Subsidiaries is outstanding or may be incurred and all guarantees of or by the Company or any of the Company Subsidiaries of any indebtedness of any other person (except for any such indebtedness or guarantees of indebtedness (A) the principal amount of which does not otherwise identified exceed $1,000,000 in this Sectionthe aggregate or (B) intercompany indebtedness among the Company and any wholly owned Company Subsidiaries);
(xi) any Contract relating to the acquisition or disposition of any business (whether by merger, sale of stock, sale of assets, consolidation or otherwise) entered into since January 31, 2015;
(xii) any employment or consulting Contract of (x) the Chief Executive Officer of the Company and any individual reporting to him directly and (y) the next ten (10) next most highest-compensated employees or consultants who are not the Chief Executive Officer of the Company or any individual reporting to him directly; and
(xiii) each Contract pursuant to which the Company or any of the Company Subsidiaries are bound that would be required as includes an exhibit “earn out” or other contingent payment obligation, in a registration statement under each case, that could result in payments in excess of $250,000 individually or $1,000,000 in the Securities Act of 1933aggregate.
(b) Each CPI True and complete copies of each Material Contract have been made available to Parent. Except for Material Contracts that have expired or terminated by their terms, as of the Agreement Date each Material Contract is (i) valid and binding on the Company or a Company Subsidiary party thereto, as the case may be and, to the Knowledge of the Company, each other party thereto, and (ii) in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to except as may be limited by bankruptcy, insolvency insolvency, moratorium or similar Laws affecting creditors’ rights generally and by general principles of equity. None of the relief Company or any Company Subsidiary has received any written claim of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case breach or default under or cancellation of any Material Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth and none of the Company or any Company Subsidiary is in the CPI Disclosure Schedule: (i) CPI has not materially violated breach or breachedviolation of, or committed any material default under, any CPI Material ContractContracts, andexcept in each case for those violations and defaults which would not result in a Company Material Adverse Effect. Except for Material Contracts that have expired or terminated by their terms, to the best Knowledge of the knowledge of CPICompany, (i) no other Person has materially violated party is in material breach or breachedviolation of, or committed any material default under, any CPI Material Contract; Contract and (ii) to neither the best Company nor any Company Subsidiary has received, as of the knowledge of CPIAgreement Date, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice from any person that such person intends to terminate or other written communication regarding not renew any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Merger Agreement (Exa Corp)
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes 4.21 sets forth a "CPI Material Contract." For purposes true and complete list of this Agreement, each all Contracts and other instruments (with the exception of the following shall be deemed License Agreements listed on Schedule 4.19(b)) to constitute which each Thane Entity is a CPI Material Contractparty that are material to the business, operations, properties, prospects or financial condition of any of them (collectively, the "Thane Commitments"), including without limitation:
(i) any material agreement, Contract or commitment relating to the employment ofof any Person by any Thane Entity, or the performance of services byany bonus, any officerdeferred compensation, director pension, profit sharing, Option, employee stock purchase, retirement or other employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)benefit plan;
(ii) any Contract that provides for indemnification material agreement, indenture or other instrument which contains restrictions with respect to payment of dividends or any officer, director, employee or agentother distribution in respect of its capital stock;
(iii) any agreement, Contract (A) or commitment relating to the acquisition, issuance, voting, registration, sale or transfer capital expenditures in excess of $100,000 in any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesfiscal year;
(iv) any Contract requiring that CPI give agreement to acquire, directly or indirectly, any noticeequity interest in or assets of any other Person (other than purchases of supplies, obtain inventory, or equipment in the ordinary course of business) whether or not the transactions contemplated thereby have been consummated, and under which an Thane Entity continues to have any consent or provide any information to any Person prior to accepting any Acquisition Proposaloutstanding obligations;
(v) any Contract loan (not otherwise identified other than accounts receivable from trade debtors arising in this Sectionthe ordinary course of business) that or advance to (A) has a term other than travel or entertainment advances to employees made in the ordinary course of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contractbusiness), or (II) Investment in, any Person or any agreement, Contract or commitment relating to the performance making of services on any such loan, advance or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractInvestment;
(vi) any Contract (A) agreement relating to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value Indebtedness in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract100,000;
(vii) any open purchase order placed by CPI requiring future aggregate guarantee or other contingent liability in respect of any Indebtedness or obligation of any other Person (other than the endorsement of negotiable instruments for collection in the ordinary course of business) in excess of $100,000;
(viii) any material management service, consulting, financial advisory or any other similar type Contract including, without limitation, any Contract with any investment or commercial bank;
(ix) any material agreement, Contract or commitment limiting the ability of any Thane Entity to engage in any line of business or to compete with any Person;
(x) any agreement, Contract or commitment which involves payments in excess of $300,000100,000 in any calendar year and is not cancelable without penalty within thirty (30) days;
(xi) any agreement, Contract or commitment for the disposal of a material amount of assets or properties of any Thane Entity (other than sales to customers in the ordinary course of business);
(xii) any agreement, Contract or commitment which is material to any Thane Entity and contain a "change in control" or similar provision;
(xiii) any agreement, Contract or commitment relating to any material joint venture, partnership, strategic alliance or similar arrangement;
(xiv) any material agreement, Contract or commitment with any Affiliate;
(xv) any source code agreements with third parties; and
(viiixvi) any other material agreement, Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933or commitment.
(b) Each CPI Material Contract Except as set forth on Schedule 4.21, each Thane Commitment is valid and in full force and effecteffect on the date hereof. No Thane Entity is in default in respect of any Thane Commitment, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurredoccurred which, and no circumstance or condition exists, that (with or without due notice or lapse of time) time or both, would constitute such a default, except for any such defaults that could not, individually or in the aggregate, reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) Effect. To the best Knowledge of Thane, no other party to any of the knowledge Thane Commitments is in default in respect thereof, and no event has occurred which, with due notice or lapse of CPItime or both, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisionswould constitute such a default.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Agreement and Plan of Merger (Reliant Interactive Media Corp)
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each of a “Material Contract” shall mean the following shall be deemed Contracts primarily relating to constitute a CPI Material Contractor used in the Business:
(i) any Contract relating to “material contract” (as such term is defined in Item 601(b)(10) of Regulation S-K of the employment ofSEC, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments those agreements and arrangements described in respect of salary and the grant of standard benefitsItem 601(b)(10)(iii));
(ii) any employment or consulting Contract that provides providing for indemnification an annual base compensation in excess of any officer, director, employee or agent$50,000;
(iii) any Contract (A) relating to or plan, including any stock option plan, stock appreciation right plan or stock purchase plan, any of the acquisitionbenefits of which will be increased, issuanceor the vesting of benefits of which will be accelerated, voting, registration, sale by the consummation of the transactions contemplated hereby or transfer the value of any securities, (B) providing of the benefits of which will be calculated on the basis of any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesthe transactions contemplated by this Agreement;
(iv) any Contract requiring that CPI give providing for indemnification (other than a Contract with a customer, which is entered into by the Seller or SYC in the ordinary course of its business and substantially similar to the indemnification provisions set forth in other Contracts with customers, forms of which have been provided to or made available to Buyer or any noticeguaranty (in each case, obtain any consent under which Seller or provide any information to any Person prior to accepting any Acquisition ProposalSYC has continuing obligations as of the date hereof);
(v) any Contract (not otherwise identified in this Section) that containing any covenant (A) has limiting the right of Seller or SYC to engage in any line of business, to make use of any material technology or to compete with any Person in any line of business, (B) granting any exclusive rights, (C) prohibiting Seller or SYC (or, after the Closing Date, Buyer or any of its Subsidiaries) from engaging in business with any Person or levying a term fine, charge or other payment for doing so or (D) otherwise prohibiting or limiting the right of more Seller or SYC to distribute or offer any products or services or to purchase or otherwise obtain any software, components, parts or subassemblies in each case, other than sixty any such Contracts that (60x) may be cancelled without material liability to Seller or SYC (or, after the Closing Date, to Buyer or any of its Subsidiaries) upon notice of ninety (90) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, less or (IIy) are not, individually or in the performance of services on or after aggregate, material to the date hereof having a value in excess of $300,000 in aggregate payments under such ContractBusiness;
(vi) any Contract (A) relating to which any Governmental Body is the disposition or acquisition by Seller or SYC after the date of this Agreement of a party material amount of assets or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates pursuant to which Seller or involves (I) the payment or delivery of cash SYC will acquire any material ownership interest in any other Person or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractbusiness enterprise other than Seller’s Subsidiaries;
(vii) any open purchase order placed dealer, distributor, joint marketing or development Contracts (as measured by CPI requiring future aggregate payments in excess continuing costs to be incurred by, and fees to be paid by, Seller or SYC) to solely or jointly develop or market any product, technology or service, and which may not be canceled without material liability to Seller or SYC upon notice of $300,000; andthirty (30) days or less;
(viii) any Material IP License;
(ix) any Contract (not otherwise identified A) containing any financial penalty for the failure by Seller or SYC to comply with any support or maintenance obligation or (B) containing any obligation to provide support or maintenance for Seller Products for any period in this Sectionexcess of twelve (12) months, other than those obligations that are terminable by Seller or SYC on no more than thirty (30) days notice without material liability or financial obligation to Seller or SYC;
(x) any Contracts containing any service obligation on the part of Seller or SYC, other than (A) warranties provided in the ordinary course of business consistent with past practice and (B) those obligations that are terminable by Seller or SYC on no more than thirty (30) days notice without material liability or financial obligation to Seller or SYC;
(xi) any Contract authorizing another Person to provide support or maintenance to customers of the Business, including distributors or resellers that are obligated to provide such support or maintenance;
(xii) any Contract to license any third party to manufacture or reproduce any Seller Products or any Contract to sell or distribute any Seller Products, except (A) agreements with distributors or sales representatives in the ordinary course of business consistent with past practice or (B) agreements allowing internal copies made or to be made by end-user customers in the ordinary course of business consistent with past practice;
(xiii) any settlement Contract other than (A) releases immaterial in nature or amount entered into with former employees or independent contractors of Seller in the ordinary course of business or (B) settlement agreements for cash only (which has been paid);
(xiv) any Contract which grants any right of first refusal, right of first offer or similar right with respect to any material assets, rights or properties;
(xv) any Contract which limits the payment of dividends;
(xvi) any Contract which relates to a joint venture, partnership, limited liability company agreement or other similar agreement or arrangement, or to the formation, creation or operation, management or control of any partnership or joint venture with any third parties;
(xvii) any Contract which relates to an acquisition, divestiture, merger or similar transaction and which contains representations, covenants, indemnities or other obligations (including indemnification, “earn-out” or other contingent obligations) that are still in effect;
(xviii) any Contract entered into since December 31, 2008 or prior to such date which remained unfilled and outstanding with a customer or purchase order from a Customer, in each case providing for payments from that customer of $100,000 or more;
(xix) any Contract or subcontract still in effect that is subject to FAR;
(xx) any other Contract that provides for payment obligations by Seller or SYC of $10,000 or more in any individual case that is not terminable by Seller or SYC (or, after the Closing Date, by Buyer or any of its Subsidiaries) upon notice of thirty (30) days or less without material liability to the Business and is not disclosed pursuant to clauses (i) through (xix) above; and
(xxi) any Contract, or group of Contracts with a Person (or group of affiliated Persons), the termination or breach of which would have or would be required as an exhibit in reasonably expected to have a registration statement under the Securities Act material adverse effect on any material product or service offerings of 1933Seller or SYC or otherwise have a Business Material Adverse Effect and is not disclosed pursuant to clauses (i) through (xx) above.
(b) Section 3.11(b) of the Seller Disclosure Schedule contains a complete and accurate list of all Material Contracts to or by which Seller or SYC is a party or is bound, and identifies each subsection of Section 3.11(a) that describes such Material Contract. True, correct and complete copies of all of the Contracts identified on the Seller Disclosure Schedule and all standard terms and conditions of purchase for customer purchase orders have been made available to Buyer and its counsel prior to the date hereof. There are no Contracts between Seller and/or SYC on the one hand, and any of Seller’s other Subsidiaries, on the other hand, related to the Business.
(c) Each CPI Material Contract is valid and binding on Seller (and/or each such Subsidiary of Seller party thereto) and is in full force and effect, and neither Seller nor SYC, nor, to the Knowledge of Seller, any other party thereto, is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breachedbreach of, or committed any material default under, any CPI such Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, and no event has occurred, and no circumstance or condition exists, occurred that (with or without notice or lapse of time) could reasonably be expected to (A) result in time or both would constitute such a material violation breach or breach of any of the provisions of any CPI Material Contractdefault thereunder by Seller or SYC, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwiseor, to the knowledge Knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiateSeller, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisionsparty thereto.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. Schedule 3.1.7 sets forth a complete and accurate list of all the following Contracts (aother than any such Contracts identified in other Schedules) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each in effect to which either of the Companies is a party and under which such Company has any material obligations or liabilities continuing as of the date hereof (including, in the case of (B), and as far as it relates to the Flagship Business, any Contracts to which CGG or a CGG Flagship Affiliate is a party and under which such CGG Flagship Affiliate has any material obligations or liabilities continuing as of the date hereof) :
(A) loan agreements, security agreements and other written arrangements relating to the borrowing of money or for lines of credit (other than intercompany loans and indebtedness);
(B) agreements and other arrangements with customers providing for (x) the installation, configuration and maintenance during standard warranty periods of any computer software products licensed to third parties ("Licensing Agreements"), or (y) the servicing or maintenance of any computer software products licensed to a third party pursuant to a Licensing Agreement following the expiration of the standard warranty period (it being agreed that a Contract shall be deemed to constitute be a CPI Material Contract:
(i) Licensing Agreement hereunder only if a Company has any Contract relating continuing obligations thereunder to the employment ofdeliver, install, configure or the performance of services by, maintain during standard warranty periods any officer, director or employee and any Contract pursuant computer software products licensed to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefitsthird parties);
(iiC) any Contract that provides agreements and other arrangements for indemnification the sale of any officer, director, employee assets or agentproperties (other than inventory) and for a sale price in excess of US$ 100,000 in any one case or for the grant of any options or preferential rights to purchase any assets (other than inventory);
(iiiD) any Contract (A) relating guarantees or similar written arrangements pursuant to which either of the acquisition, issuance, voting, registration, sale or transfer Companies guarantees the obligations of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesthird party;
(ivE) contracts or commitments restricting either of the Companies from engaging in or competing in any Contract requiring that CPI give line of business or with any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposalother Person;
(vF) any Contract partnership or joint venture agreements;
(not otherwise identified G) lease agreements in this Sectionrespect of the Leased Real Properties;
(H) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI research and (B) that contemplates or involves development agreements;
(I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractdistribution agreements;
(viJ) any Contract (A) to which any agreements with Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractAuthorities;
(viiK) agency agreements; and
(L) any open purchase order placed by CPI requiring future aggregate other contract or agreement material to the businesses of the Companies (taken as a whole) made other than in the Ordinary Course of Business pursuant to which annual payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could US$ 100,000 may reasonably be expected to be made by or to the Companies; (A) result the foregoing Contracts being referred to collectively as the "Material Contracts" and individually as a "Material Contract"). Except as disclosed in a material violation or breach of any Schedule 3.1.7, none of the provisions Material Contracts by its terms entitles the counterparty to terminate, or to modify or accelerate any obligations or rights under, such Material Contract solely by reason of a change of control of either of the Companies, and neither CGG nor either of the Companies has received or given written notice that a Company or any CPI co-contractant is in material default under any Material Contract, (B) give any Person which default remains unremedied as at the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPIdate hereof.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Securities Purchase Agreement (General Geophysics Co)
Material Contracts. (a) The CPI Section 4.10(a) of the Company Disclosure Schedule identifies sets forth (grouped by each CPI Contract that constitutes a "CPI Material Contract." For purposes clause of this Agreement, each of Section 4.10(a)) the following shall be deemed to constitute a CPI Material Contract:
contracts (i) any Contract relating collectively, along with each Lease and each other contract which is material to the employment ofGroup Entities, taken as a whole, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits);
(ii) any Contract that provides for indemnification of any officer, director, employee or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any conduct of its material rights under any CPI Material Contract, in each case where such breach, default, violation business or waiver the absence of which would have a Material Adverse Effect on CPI.the Company, "Material Contracts") in effect as of the date of this Agreement to which any Group Entity is a party:
(di) To any contract (excluding any customer, provider or employment contract) that the best Company reasonably anticipates will, in accordance with its terms, involve aggregate annual payments after the date hereof by any Group Entity of more than $100,000 and that is not cancelable without liability within 60 days;
(ii) any contract, note or other instrument with any customer of the knowledge Company;
(iii) each provider contract or other contract with an individual, facility, program or entity rendering professional health care services as a contractor to any Group Entity under which $100,000 has been paid in calendar year 1996 or is reasonably likely to be paid in calendar year 1997 and that is not cancelable without payment to a third party or liability within 90 days;
(iv) any employment or consulting contracts (including without limitation any arrangements or obligations with respect to severance, change in control or termination pay) with any member of CPIthe Board of Directors, no Person is renegotiatingofficer or employee of any Group Entity;
(v) all partnership, joint venture or similar contracts of any Group Entity;
(vi) any note, loan, letter of credit, contract relating to indebtedness for borrowed money or capitalized leases, or has other contract in respect of which any Group Entity is obligated in any way to provide funds in respect of, or to guarantee or assume, any debt, obligation or dividend of any person or entity involving aggregate obligations of the Group Entities of more than $50,000;
(vii) any indemnity arrangement arising in connection with any sale or disposition of assets (other than sales of assets in the ordinary course of business);
(viii) any acquisition or disposition contracts of any Group Entity under which a party thereto remains obliged to pay monies or perform;
(ix) all contracts with any Governmental Authority or with any labor union;
(x) contracts for capital expenditures requiring payments by any Group Entity after the date hereof in excess of $100,000 for any single project;
(xi) all patent, trademark, service xxxx, trade name, copyright and franchise licenses, royalty agreements or similar contracts;
(xii) any material contracts relating to the licensure or ownership of the hardware or software utilized in any Group Entity's information systems; and
(xiii) each contract to which any Group Entity is a party (i) limiting the right of any Group Entity prior to renegotiateor after the Closing Date, or Parent or any of its subsidiaries or Affiliates at or after the Closing Date, (A) to engage in, or to compete with any person in, any material amount paid business, including each contract or payable to CPI under any CPI Material Contractagreement containing exclusivity provisions restricting the geographical area in which, or the method by which, any other material term business may be conducted by any Group Entity prior to or provision after the Closing Date, or Parent or any of its subsidiaries or Affiliates after the Closing Date or (B) to solicit any CPI Material Contractcustomer, including termination provisions.
client or patient or (e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.ii)
Appears in 1 contract
Material Contracts. (a) The CPI Section 3.14(a) of the Company Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes contains lists, by applicable subsection, of this Agreement, each of the following shall be deemed types of Contracts to constitute which the Company is a CPI party or by which its assets or properties are bound (collectively, the “Material Contract:Contracts”):
(i) (A) any Contract relating to indenture, mortgage, pledge, security agreement, note or other instrument evidencing indebtedness of the employment ofCompany or otherwise placing an Encumbrance on any asset or property of the Company, or the performance of services by, (B) any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment guaranty or any other payment evidence of liability for any indebtedness or obligation of any other Person, (C) any letter of credit, bond or other than payments indemnity (including letters of credit, bonds or other indemnities as to which the Company is the beneficiary but excluding endorsements of instruments for collection in respect the ordinary course of salary and the grant operation of standard benefitssuch entity);
(ii) any Contract that provides for indemnification of any officercurrency or interest rate swap, directorcollar, employee hedge, offset, counter trade or agentbarter agreement;
(iii) any Contract agreement for the purchase, sale, license or lease by the Company (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securitiesmaterial assets, or (B) providing of any Person with interests in any preemptive rightother entity, right of participation, right of maintenance or including any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesjoint ventures;
(iv) any Contract requiring that CPI give relates to the retention by the Company of any noticemanufacturer’s representatives, obtain any consent broker or provide any information other sales agent, distributor or representative, or advertising or marketing entity or through which the Company is appointed or authorized as a sales agent, distributor or representative, in each case, involving payments to any such Person prior to accepting any Acquisition Proposalin excess of $10,000 per annum;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such franchise Contract, marketing Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such royalty Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such collective bargaining Contract, employment Contract or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such consulting Contract;
(vii) any open purchase order placed by CPI requiring future aggregate severance Contract or other Contract providing for severance payments or other additional rights or benefits (whether or not optional) in excess the event of $300,000; andeither (A) the termination of any director, officer, employee or consultant, or (B) the sale or change of control of the Company;
(viii) any Contract to effect any merger, consolidation, liquidation, dissolution, recapitalization or other reorganization;
(ix) any Contract with a Governmental Entity;
(x) any Contract between the Company, on the one hand, and the Seller or any employee, officer, or director of the Company or any entity in which any of such Persons owns any beneficial interest (other than any publicly held corporation whose stock is traded on a national securities exchange or in the over-the-counter market and less than 1% of the stock of which is beneficially owned by any of such persons), on the other hand, other than those agreements listed in subsections (vi) and (vii) above;
(xi) the Company Leases;
(xii) a joint venture agreement, shareholder or equityholder agreement, voting agreement (either with respect to any equity securities of the Company or the appointment of directors or managers of the Company), or agreement providing for the indemnification of any Person by the Company (other than indemnification provisions included in Contracts entered into in the ordinary course of business, such as leases);
(xiii) any material license or royalty agreement concerning Intellectual Property (other than Off-the-Shelf Software), whether as licensor or licensee;
(xiv) any Contract that (A) restrains the ability of the Company or any of its Affiliates to compete with or conduct any business, (B) imposes exclusive dealing obligations, (C) contains “most favored nations” or similar preferential pricing terms, or (D) contains a non-solicitation, non-hire clause that is not subject to standard carve outs permitting the use of general solicitations or search firms that are not targeted towards the employees of the counterparty;
(xv) any power of attorney granted by the Company to any regulatory authority or other Person;
(xvi) any Contract that relates to the purchase, maintenance or acquisition, or sale or furnishing of materials, supplies, merchandise, machinery, equipment, parts or any other product, property, asset, instrument or services (excluding any such Contract of employment or any Contract which involves revenues or expenditures of less than $10,000 per annum);
(xvii) any Contract or group of related Contracts requiring the payment to the Company by any other Person of more than $10,000 in any twelve (12) month period;
(xviii) any Contract or group of related Contracts requiring the payment by the Company to any Person of more than $10,000 in any twelve (12) month period;
(xix) any Contract not otherwise identified disclosed in Section 3.14(a) of the Company Disclosure Schedule which is either material to the Company Business, taken as a whole, or was not entered into in the ordinary course of business; and
(xx) any commitment to enter into any agreement of the type described in subsections (i) through (xix) of this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933Section 3.14(a).
(b) Each CPI The Company has made available to Buyer a correct and complete copy of each Material Contract, including all amendments, waivers or modifications thereto. Except as set forth in Section 3.14(b) of the Company Disclosure Schedule, (i) each Material Contract is valid and in full force and effect, is binding and is enforceable in accordance with its terms, terms and is not subject to (i) laws of general application any claims, charges, set offs or defenses, except as may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar Laws now or hereafter in effect relating to bankruptcy, insolvency or affecting the enforcement of creditors’ rights in general and the relief subject to general principles of debtorsequity (regardless of whether such enforceability is considered in a proceeding in equity or at law), (ii) rules the Company is not in material breach or default, nor, to the Company’s Knowledge, has any event occurred which, with the giving of law governing specific performancenotice or passage of time or both, injunctive relief and other equitable remedies and would constitute a breach or default, under any Material Contract, (iii) in the case Company does not have any present expectation or intention of not fully performing any obligation pursuant to any Material Contract with to which it is a Governmental Bodyparty, laws applicable thereto.
and (civ) Except as set forth in the CPI Disclosure Schedule: (i) CPI Company has not materially violated or breached, or committed received any material default under, notice from any CPI Material Contract, and, to the best counterparties in connection with any of the knowledge Material Contracts of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a any material violation breach or breach of default under any of the provisions of any CPI Material Contract, (B) give any Person notice that any such party intends to terminate, not renew, cancel or substantially decrease its business with the right to declare a default Company, or exercise any remedy under any CPI Material Contract, (C) give any Person claim for damages or indemnification with respect to the right to accelerate the maturity products or performance of services pursuant to any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) . To the best of the knowledge of CPICompany’s Knowledge, no Person is renegotiating, or has the right other party to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed is in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threateneddefault under such Contract.
Appears in 1 contract
Material Contracts. (a) The CPI Section 2.19 of the Disclosure Schedule identifies provides a true and complete list of each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each in one or more of the following shall be deemed categories, to constitute a CPI which Perseid is party and which relate primarily to (x) the operation of the Perseid Business, or (y) any of the Perseid Assets (collectively, the “Material Contract:Contracts”):
(i) any Contract relating All Real Property Leases, Sublease Agreements, Personal Property Leases, Insurance Policies, Contracts required to be listed on Section 2.13(k) of the employment of, or the performance of services by, any officer, director or employee Disclosure Schedule and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)Governmental Approvals;
(ii) Any Contract for capital expenditures or for the purchase of goods or services such as would require Perseid to make payment(s) in excess of $100,000 with respect to any Contract that provides for indemnification of twelve (12) month period following the Closing (excluding any officer, director, employee Perseid Benefit Plan or agentother employment-related Contracts);
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities[Reserved];
(iv) Any Contract involving financing or borrowing of money, or evidencing indebtedness for borrowed money, any obligation for the deferred purchase price of property or guaranteeing in any way any Contract requiring that CPI give in connection with any noticePerson, obtain any consent or provide any information in each case such as would require Perseid to make payment(s) in excess of $100,000 with respect to any Person prior to accepting any Acquisition Proposaltwelve (12) month period following the Closing (excluding normal trade payables);
(v) Any joint venture, partnership, cooperative arrangement or any other Contract involving a sharing of profits (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after except for the delivery of a termination notice by CPI Transaction Agreements and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractAstellas Agreement);
(vi) any Any material Contract (A) to which with any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractAuthority;
(vii) Any Contract with respect to the discharge, storage or removal of effluent, waste or pollutants;
(viii) Any Contract relating to any open purchase order placed license or royalty arrangement that provides for noncontingent annual payments by CPI requiring future aggregate payments Perseid in excess of $300,000100,000, except any such noncontingent payment(s) such as would not exceed $100,000 with respect to any twelve (12) month period following the Closing;
(ix) Any power of attorney, proxy or similar instrument;
(x) Any Contract with any Affiliate of Perseid (other than any Perseid Benefit Plan or other employment-related Contracts);
(xi) Any Contract for the manufacture, service or maintenance of any product of the Perseid Business including CROs, research agreements and finding agreements;
(xii) Any Contract for the purchase or sale of any amount of assets other than in the ordinary course of business or for the option or preferential rights to purchase or sell any material amount of assets other than in the ordinary course of business;
(xiii) Any Contract to indemnify any Person or to share in or contribute to the liability of any Person other than standard non-material form indemnity agreements that have been entered into in the ordinary course of business;
(xiv) Any Contract containing covenants not to compete which materially restrict Perseid from competing in any line of business or with any Person in any geographical area;
(xv) Any Contract related to the acquisition of a business or the equity of any other Entity to the extent that it relates to the Perseid Business;
(xvi) Any other Contract (other than any Perseid Benefit Plan or other employment-related Contracts) (A) such as would require Perseid to make payment(s) in excess of $100,000 with respect to any twelve (12) month period following the Closing; and (B) is not terminable without payment or penalty on thirty (30) days (or less) notice;
(xvii) Any other Contract (other than any Perseid Benefit Plan or other employment-related Contract) that involves future payments, performance of services or delivery of goods or materials to or by Perseid such as would require Perseid to make payment(s) in excess of $100,000 with respect to any twelve (12) month period following the Closing;
(xviii) Any Contract related to tools, machinery, equipment and personal property with ongoing performance obligations that is not already identified under clauses (ii), (xvi) or (xvii) and exceeds the dollar thresholds set forth therein;
(xix) Any Contact within or needed in the ordinary course of the Perseid Business not already identified in clauses (i) through (xviii) which would require Perseid to make non-contingent payment(s) in excess of $100,000 with respect to any twelve (12) month period following the Closing (other than any Perseid Benefit Plan or any other employment-related Contract); and
(viiixx) any Contract (not otherwise identified in this Section) that Any proposed arrangement of a type that, if entered into, would be required as an exhibit a Contract described in a registration statement under the Securities Act any of 1933(i) through (xviii) above.
(b) Maxygen has made available to Bio accurate, correct and complete copies of all Material Contracts (or written summaries of the material terms thereof, if not in writing), including all material amendments, supplements, modifications and waivers thereof. All Material Contracts are in writing.
(c) Each CPI Material Perseid Contract is currently valid and in full force and effect, and is enforceable by Perseid in accordance with its terms, subject to except (i) laws of general application relating to as enforcement may be limited by bankruptcy, insolvency insolvency, fraudulent conveyance, reorganization, moratorium and other laws affecting the relief rights of debtorscreditors generally and general equitable principles (whether considered in a proceeding in equity or at law), and (ii) rules as the remedy of law governing specific performance, performance and injunctive relief and other forms of equitable remedies relief may be subject to equitable defenses and (iii) in to the case discretion of a court of competent jurisdiction before which any Contract with a Governmental Body, laws applicable theretoproceeding may be brought.
(cd) Except as set forth Perseid is not in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurreddefault, and no circumstance or condition existsparty has provided written notice to Perseid that it is in material default, under any Perseid Contract. No event has occurred that might (with or without notice or lapse of time) could reasonably be expected to (Ai) result in a any material violation or breach breach, by Perseid, of any of the provisions of any CPI Material Perseid Contract, ; (Bii) give any Person other than Perseid the right to declare a default or exercise any remedy under any CPI Material Perseid Contract, ; (Ciii) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, Perseid Contract or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Perseid Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would otherwise have a Material Adverse Effect on CPI.
(d) To Perseid in connection with any Perseid Contract. Perseid has not waived any material rights which relate to the best Perseid Business or Perseid Assets of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisionsagreements described in Section 2.19(a)(i) through 2.19(a)(xx) hereof.
(e) The CPI Disclosure Schedule sets forth a list To the Knowledge of all claims made Maxygen, each Person against which Perseid has or may acquire any rights under any CPI Material Perseid Contract that are disputed is (i) not in material breach of, and has not threatened in writing to be in breach of, the Perseid Contract to which such Person is a party; (ii) solvent; and (iii) able to satisfy such Person’s material obligations and Liabilities to Perseid.
(f) The performance of the Perseid Contracts will not result in any material respect or, violation of or failure by Perseid to CPI's knowledge, where a dispute as to comply with any material matter has been threatenedLegal Requirement.
Appears in 1 contract
Samples: Series a Preferred Unit Purchase Agreement (Maxygen Inc)
Material Contracts. (aSection 3(j) The CPI of the Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, lists each of the following shall be deemed to constitute Contracts of the Company (such contracts being a CPI “Material Contract:” and, collectively, as the “Material Contracts”):
(i) any Contract relating to the employment of, or the performance of services by, with any officer, director or employee and any Contract pursuant Material Supplier as to which CPI there is or may become obligated to make any severance, termination, bonus or relocation a remaining non-contingent payment or any other payment (other than payments in respect of salary and the grant of standard benefits)delivery obligation that exceeds $250,000;
(ii) any representative, broker or sales agency Contract that provides involving in any one case payments of more than $75,000 per year in 2020 or projected for indemnification of any officer, director, employee or agent2021;
(iiia) any Contract Lease or (Ab) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right lease with respect to any securitiespersonal property with annual rental payments in excess of $75,000, under which the Company is either lessor or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitieslessee;
(iv) any Contract requiring that CPI give relating to Indebtedness, the borrowing or lending of money, or the guaranty of another Person’s borrowing of money or other obligation, including any noticenote, obtain debenture, bond, conditional sale agreement, equipment trust agreement, letter of credit agreement, loan agreement or other Contract or commitment for the borrowing or lending of money (including loans to or from officers, managers, directors, shareholders or members, or any consent member of their immediate families), agreement or provide arrangement for a line of credit or guarantee, pledge or undertaking of the Indebtedness of any information to any Person prior to accepting any Acquisition Proposalother Person;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash relating to any joint venture, partnership or other consideration on arrangement (however named) involving a sharing of the profits, losses, costs or after Liabilities of the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractCompany with any other Person;
(vi) any Contract (A) containing covenants or conditions that, in any material respect, purport to which any Governmental Body is a party or under which any Governmental Body has any rights or obligationsrestrict the business activity of the Company, or involving limit the freedom of the Company to engage in any line of business or directly or indirectly benefiting to compete with any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contractthird party, or (II) the performance of services on soliciting any customers or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractany individuals for employment;
(vii) any open purchase order placed Contract relating to the acquisition or disposition of any business, material assets or any securities (whether by CPI merger, sale of stock, sale of assets or otherwise) or similar transaction, which contain representations, covenants, indemnities or current or future rights or obligations, including any indemnification, “earnout” or other deferred or contingent consideration;
(viii) any labor agreement, collective bargaining agreement or similar labor-related agreement with any labor organization, works council, trade union or other similar employee representative or employee representative body representing, or to the Company’s Knowledge, purporting to, or seeking to, represent any Company employee;
(ix) any Contract that prohibits the payment of dividends or distributions in respect of capital stock of the Company, prohibits the pledging of capital stock of the Company or prohibits the issuance of guarantees by the Company;
(x) any Contract that contains obligations of the Company secured by, or otherwise provides for, an Encumbrance (other than Permitted Encumbrances) on any asset (tangible or intangible) of the Company;
(xi) any Contract that is a settlement or similar agreement with any Person or Governmental Authority entered into since January 1, 2019, in each case, requiring future aggregate payments in excess of $300,00050,000 or otherwise limiting the operation of the Company (or any of its Affiliates) in any material respect after the Closing;
(xii) any employment, consulting or engagement agreement involving aggregate annual salary and potential bonus payments by the Company in excess of $100,000 per annum;
(xiii) any Contract with an Affiliate, including, without limitation, any severance, retention or change of control agreements or arrangements in connection with the transactions contemplated by this Agreement;
(xiv) any stockholders’ agreement, voting trust agreement, registration rights agreement or other similar Contract or understanding relating to any equity interests of the Company, or any other agreement relating to the disposition, voting, dividends or other payments or repurchase obligations with respect to any equity interests of the Company;
(xv) any requirements Contract or Contracts obligating the Company to any minimum purchase or “take-or-pay” obligation;
(xvi) any Contract containing a “most-favored-nation” clause or similar term that provides preferential pricing or treatment or establishing any exclusive sale or distribution or exclusive purchase obligation;
(xvii) any Contract granting any rights of first refusal, rights of first offer, rights of first negotiation or other similar rights to any Person with respect to the sale (by merger or otherwise) of the securities or assets of the Company;
(xviii) any Contract that (A) relates to (1) the licensing of, or grant of other rights under, Intellectual Property to or from the Company, or (2) the development of any Intellectual Property, or (B) affects the Company’s ability to enforce any Intellectual Property in connection with the resolution of any claim or dispute related to Intellectual Property, excluding in the case of either (A) or (B) (x) non-exclusive end-user licenses for unmodified, commercially available, off-the-shelf software, with an aggregate fee of less than $100,000, and (y) non-exclusive licenses granted by the Company in the ordinary course of business consistent with past practice with an aggregate fee of less than $100,000;
(xix) any agreement of indemnification by the Company, other than any agreement providing for indemnification entered into in connection with the sale or license of products or services in the ordinary course of business consistent with past practice;
(xx) all Contracts that provide for the indemnification by the Company of any Person or the assumption of any Tax, retirement, environmental or other Liability of any Person, other than purchase orders and sales orders entered into with customers, suppliers and vendors in the ordinary course of business;
(xxi) any Contract to acquire any owned real property;
(xxii) any Contract containing any future capital expenditure obligations of the Company in excess of $100,000;
(xxiii) all employment agreements and Contracts with independent contractors or consultants (or similar arrangements) to which the Company is a party and which are not cancellable without material penalty or without more than ninety (90) days’ notice; and
(viiixxiv) any Contract to enter into any one of the foregoing. The Company has delivered or made available to Buyer prior to the date hereof complete copies (including all amendments, modifications, supplements, annexes and schedules thereto and written waivers thereunder) of each Material Contract. The Company is not otherwise identified in this Section) that would be required as an exhibit default in any material respect under any Material Contract. To the Company’s Knowledge, no third party is in material breach or material default under any Material Contract. The Company has not received written notice of a registration statement under third party’s intent to terminate, modify or seek renegotiation of, such Material Contract, and there are no material disputes pending, or, to the Securities Act Knowledge of 1933.
(b) the Company, Threatened with regard to any Material Contract. Each CPI Material Contract is valid and in full force and effect, effect and is a valid and binding agreement enforceable against the Company and, to the Company’s Knowledge, the other party or parties thereto, in accordance with its terms, subject to (i) laws of general application relating to except that such enforceability may be limited by bankruptcy, insolvency insolvency, reorganization, receivership, moratorium, and other similar laws affecting the relief rights and remedies of debtors, creditors generally and by general principles of equity (ii) rules including without limitation the availability of law governing specific performance, performance or injunctive relief and other equitable remedies the application of concepts of materiality, reasonableness, good faith and fair dealing) (iii) in the case “Bankruptcy and Equity Exception”). To the Knowledge of any Contract with a Governmental Bodythe Company, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI there has not materially violated been any event, condition or breached, circumstance that has occurred or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (exists which with or without notice or lapse notice, the passage of time) could reasonably be expected to time and/or the happening of an event would (Ai) result in a material violation default, material breach or breach event of material noncompliance by, (ii) result in a right of termination for, or (iii) cause or permit the acceleration of or other material changes to any right or obligation or the loss of any of material benefit for, in each case, the provisions of Company or any CPI other party to such Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI such Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this AgreementExcept for agreements filed as exhibits to the Company Filed SEC Reports, each Section 3.14(a) of the following shall be deemed to constitute a CPI Material Contract:
(i) any Contract relating to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits);
(ii) any Contract that provides for indemnification of any officer, director, employee or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Company Disclosure Schedule sets forth a list of all claims Material Contracts as of the date of this Agreement. For purposes of this Agreement, “Material Contract” means the following written or oral contracts or agreements (and all amendments, modifications and supplements thereto and all side letters to which the Company or any Subsidiary or Material JV is a party affecting the obligations of any party thereunder) to which the Company or any Subsidiary or Material JV is a party or by which any of their respective properties or assets are bound: (i) (A) employment agreements, severance, retention, golden parachute, change in control or termination agreements with officers, labor or collective bargaining agreements, (B) any non-competition contract with any officer with an annual base salary in excess of $200,000 and (C) indemnification contracts with officers, trustees and directors of the Company or any Subsidiary or Material JV; (ii) material partnership or material joint venture agreements with a party other than the Company or any wholly-owned Company Subsidiary (a “Third Party”); (iii) contracts on Section 3.9(a)(ii) and 3.9(d) of the Company Disclosure Schedule; (iv) material loan or credit agreements, letters of credit, bonds, mortgages, indentures, guarantees, or other material agreements or instruments evidencing indebtedness for borrowed money by the Company or any Subsidiary or Material JV or any such agreement pursuant to which indebtedness for borrowed money may be incurred, or evidencing security for any of the foregoing in each case relating to indebtedness or potential maximum indebtedness in excess of $20.0 million (excluding letters of credit, performance bonds or guaranties entered into in the ordinary course of business); (v) agreements that purport to limit, curtail or restrict the ability of the Company or any Subsidiary or Material JV to compete in any geographic area or line of business, other than exclusive lease provisions, non-compete provisions and other similar leasing restrictions entered into by the Company or any Subsidiary or Material JV contained in the Company Leases and in other recorded documents by which real property was conveyed by the Company to any user; (vi) contracts or agreements executed by the Company or any Subsidiary since September 30, 2005 and prior to the date of this Agreement that would be required to be filed as an exhibit to a Form 10-K or Form 10-Q; (vii) material agreements, notes and other material instruments related to (a) the issuance or securitization of tax incremental allocation notes in connection with the Company’s intermodal project in Will County, Illinois, and (b) the issuance of payment certificates in connection with the Company’s redevelopment project in the Village of XxXxxx, Illinois, and (viii) any other contract (including, without limitation, any brokerage agreements) entered into by the Company or any Subsidiary or Material JV, which may result in total payments by or liability of the Company or any Subsidiary or Material JV in excess of $20.0 million; provided that any contract under clause (viii) above that, by its terms, is terminable within six months (without termination fee or penalty) of the date of this Agreement shall not be deemed to be a Material Contract.
(b) The Company has made available to Parent true and complete copies of all Material Contracts. The Material Contracts are legal, valid, binding and enforceable in accordance with their respective terms with respect to the Company and, to the knowledge of the Company, with respect to each other party to any of such Material Contracts, except, in each case, to the extent that enforcement of rights and remedies created by any Material Contracts are subject to bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and similar Laws of general application related to or affecting creditors’ rights and to general equity principles. Except as set forth in Section 3.14(b) of the Company Disclosure Schedule, (i) neither the Company nor any Subsidiary or Material JV is in violation of or in default under (nor does there exist any CPI condition which upon the passage of time or the giving of notice or both would cause such a violation of or default under) any Material Contract that to which it is a party or by which it or any of its properties or assets is bound and, (ii) to the knowledge of the Company, there are disputed in no such violations or defaults (nor does there exist any material condition which upon the passage of time or the giving of notice or both would cause such a violation or default) with respect or, to CPI's knowledge, where a dispute as to any material matter has been threatenedthird party to any Material Contract, except in either the case of clause (i) or (ii) for those violations or defaults that would not have, individually or in the aggregate, a Company Material Adverse Effect.
Appears in 1 contract
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement3.18 sets forth, each as of the following shall be deemed to constitute date hereof, a CPI Material Contractcomplete and correct list of each contract, agreement or commitment of the Company or its Subsidiaries, other than Leases:
(i) any Contract relating to the employment ofwhich is a material supply, exclusive dealing, requirements or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)take-or-pay agreement;
(ii) any Contract that which provides for indemnification aggregate future payments by the Company or its Subsidiaries of more than $2,000,000, except (x) as set forth in the capital expenditure budget provided to Investor and (y) for purchase orders for the purchase of inventory or sales orders arising in the ordinary and usual course of business, in which case they are listed only if any officer, director, employee or agentparty thereto is obligated to make payments pursuant thereto aggregating more than $25,000,000;
(iii) any Contract (A) relating to which extends more than one year from the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesdate hereof and is not cancelable by either party on 30 days' notice;
(iv) which provides for the sale or lease after the date hereof of any Contract requiring that CPI give any notice, obtain any consent of the assets of the Company or provide any information to any Person prior to accepting any Acquisition Proposalits Subsidiaries other than in the ordinary course of business;
(v) which relates to the employment, retirement or termination of the services of any Contract (not otherwise identified in this Section) that (A) has a term officer or employee or former officer or employee of more than sixty (60) days the Company or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractits Subsidiaries;
(vi) any Contract (A) to which any Governmental Body is establishes a party or under which any Governmental Body has any rights or obligationspartnership, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract agency, joint venture or other Contract between CPI and any contractor similar contract, arrangement or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractagreement;
(vii) which relates to indebtedness for borrowed money or the deferred purchase price of property (whether incurred, assumed, guaranteed or secured by any open purchase order placed by CPI requiring future aggregate payments in excess asset and including letters of $300,000; andcredit and sale-leaseback arrangements);
(viii) which creates or relates to a license of Intellectual Property, royalty or franchise agreement or agreement in respect of similar rights granted to or from or held by the Company or its Subsidiaries;
(ix) which provides for future payments that are conditioned, in whole or in part, on a change in control of the Company or its Subsidiaries;
(x) which restricts the right of the Company or its Subsidiaries to compete in any Contract way with any other Person or which contains covenants pursuant to which any person has agreed not to compete, or otherwise restricts a person's ability to engage freely, in any part of the Business;
(not otherwise identified in xi) under which the Company has, within the three years preceding the date of this Section) that would be required as an exhibit Agreement, acquired any distribution center or made any acquisitions of multiple stores previously used by other automotive parts retailers in a registration statement under single or related series of transactions, other than those as to which all material obligations of the Securities Act parties thereunder for the benefit of 1933.the Company or its Subsidiaries have been discharged; or
(bxii) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to any other contract not covered by items (i) laws through (x) above that the Company believes is material to the Business. Each of general application relating the foregoing is referred to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with this Agreement as a Governmental Body, laws applicable thereto"Material Contract.
(c) " Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwiseSchedule 3.18, to the knowledge of CPIthe Company, taken any action with respect to such party's complaint for a period of more than six months following receipt of neither the communication; and (iv) CPI has not waived any of Company nor its material rights Subsidiaries is in default under any CPI Material Contract, except for such defaults which, individually or in each case where such breachthe aggregate, default, violation or waiver would not have a Company Material Adverse Effect on CPIEffect.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Merger Agreement (Laralev Inc)
Material Contracts. (a) The CPI Section 4.16(a) of the Company Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes lists, as of the date of this Agreement, each the following types of contracts and agreements to which the Company or any Company Subsidiary is a party, excluding for this purpose, any purchase orders submitted by customers (such contracts and agreements as are required to be set forth Section 4.16(a) of the following shall be deemed to constitute a CPI Company Disclosure Schedule along with any Plan listed on Section 4.10(a) of the Company Disclosure Schedule being the “Material Contract:Contracts”):
(i) except for any Contract relating contracts or agreements by and between or among any of the Company and the Company Subsidiaries, each contract and agreement with consideration paid or payable to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment Company or any other payment (other of the Company Subsidiaries of more than payments $3,000,000 in respect of salary and the grant of standard benefits)aggregate, in the prior or current fiscal year;
(ii) any Contract that provides for indemnification of any officereach contract and agreement with the Company’s top 10 customers and Suppliers based on the aggregate amounts paid by or to the Company and the Company Subsidiaries in the 12-month period ending on December 31, director, employee or agent2020;
(iii) except for any Contract (A) relating contracts or agreements by and between or among any of the Company and the Company Subsidiaries, all broker, distributor, dealer, manufacturer’s representative, franchise, agency, sales promotion, market research, marketing consulting and advertising contracts and agreements to which the Company or any Company Subsidiary is a party and that are material to the acquisition, issuance, voting, registration, sale or transfer business of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesthe Company;
(iv) all management contracts (excluding contracts for employment), and contracts with other consultants, that are material to the business of the Company, including any Contract requiring that CPI give contracts involving the payment of royalties or other amounts calculated based upon the revenues or income of the Company or any notice, obtain any consent Company Subsidiary or provide any information income or revenues related to any Person prior Product of the Company or any Company Subsidiary to accepting which the Company or any Acquisition ProposalCompany Subsidiary is a party, but excluding any such contracts entered into by the Company or any Company Subsidiary in the ordinary course of business;
(v) any Contract (not otherwise identified in this Section) that all (A) has a term employment agreements pursuant to which an employee is entitled to receive base annual compensation in excess of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI $300,000; and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) consulting agreements pursuant to which any Governmental Body an independent contractor is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor entitled to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate receive annual payments in excess of $300,000; andand (C) severance agreements that provide for mandatory or potential severance payments in excess of $300,000.
(vi) except for contracts or agreements relating to trade receivables or by and between or among any of the Company and the Company Subsidiaries, all contracts and agreements evidencing indebtedness for borrowed money in an amount greater than $1,500,000;
(vii) except for any contracts or agreements by and between or among any of the Company and the Company Subsidiaries, all material definitive partnership, joint venture or similar agreements;
(viii) all contracts and agreements with any Contract Governmental Authority to which the Company or any Company Subsidiary is a party, other than any Company Permits;
(not otherwise identified ix) all collective bargaining agreements or other contracts with any union, works council or labor organization;
(x) all contracts and agreements that limit, or purport to limit, the ability of the Company or any Company Subsidiary to compete in this Sectionany material respect in any line of business or with any person or entity or in any geographic area or during any period of time, excluding any contracts that provide or result in limitations entered into by the Company or any Company subsidiary in the ordinary course of business consistent with past practices, customary confidentiality agreements and agreements that contain customary confidentiality clauses;
(xi) that would be required as an exhibit all leases or master leases of personal property reasonably likely to result in annual payments of $500,000 or more in a registration statement 12-month period;
(xii) all contracts involving the use of any Company-Licensed IP and required to be listed in the Company Disclosure Schedule pursuant to Section 4.13(a)(ii);
(xiii) all contracts or agreements under which the Securities Act Company has agreed to purchase goods or services from a vendor, supplier or other person on a preferred supplier or “most favored supplier” basis, excluding customary exclusivity agreements or arrangements; or
(xiv) except for any contracts or agreements by and between or among any of 1933the Company and the Company Subsidiaries, contracts which involve the license or grant of rights to Company-Owned IP by the Company and/or the Company Subsidiaries, but excluding any nonexclusive licenses (or sublicenses) of Company-Owned IP granted to customers in the ordinary course of business.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in Section 4.16(b) of the CPI Company Disclosure Schedule: , or except as would not be material to the Company and the Company Subsidiaries, taken as a whole, (i) CPI has not materially violated each Material Contract is a legal, valid and binding obligation of the Company or breachedthe Company Subsidiaries (subject to the Remedies Exception) and, to the knowledge of the Company, the other parties thereto, and neither the Company nor any Company Subsidiary is in breach or violation of, or committed any material default under, any CPI Material Contract, and, to Contract nor has any Material Contract been canceled by the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contractparty; (ii) to the best of the knowledge of CPICompany’s knowledge, no event has occurred, and no circumstance other party to any Material Contract is in breach or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contractof, or (D) give any Person the right to canceldefault under, terminate or materially modify any CPI such Material Contract; and (iii) since December 31, 1997, CPI has the Company and the Company Subsidiaries have not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPIthe Company, taken any action with respect to such party's complaint for a period oral claim of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights default under any CPI such Material Contract, in each case where such breach, default, violation . The Company has furnished or waiver would have a made available to SPAC true and materially complete copies of all Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material ContractContracts, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract amendments thereto that are disputed material in nature, but excluding any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatenedMaterial Contracts in the form of individuals purchase or service orders.
Appears in 1 contract
Samples: Business Combination Agreement (Union Acquisition Corp. II)
Material Contracts. (a) The CPI Disclosure Except for agreements, contracts, plans, ------------------ leases, arrangements or commitments disclosed in Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of 3.15 or the Financial ------------- Statements provided to Discreet pursuant to this Agreement, each of the following shall be deemed Lightscape is not a party to constitute a CPI Material Contractor subject to:
(i) any Contract relating to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)collective bargaining agreement;
(ii) any Contract agreements that provides for indemnification of contain any officer, director, employee unpaid severance liabilities or agentobligations;
(iii) any Contract (A) relating to the acquisitionbonus, issuancedeferred compensation, votingincentive compensation, registrationpension, sale profit-sharing or transfer of any securitiesretirement plans, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, other employee benefit plans or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesarrangements;
(iv) any Contract requiring that CPI give any noticeemployment or consulting agreement, obtain any consent contract or provide any information commitment with an employee or individual consultant or salesperson or consulting or sales agreement, contract or commitment with a firm or other organization not terminable by Lightscape on 30 days' notice without liability except to any Person prior the extent applicable local law and/or general principles of wrongful termination law may limit Lightscape's ability to accepting any Acquisition Proposalterminate such employees;
(v) any Contract (not otherwise identified in this Section) that (A) has a term agreement or plan, including, without limitation, any stock option plan, stock appreciation right plan or stock purchase plan, any of more than sixty (60) days or that may not the benefits of which will be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contractincreased, or (II) the performance vesting of services benefits of which will be accelerated, by the occurrence of any of the transactions contemplated by this Agreement or the value of any of the benefits of which will be calculated on or after the date hereof having a value in excess basis of $300,000 in aggregate payments under such Contractany of the transactions contemplated by this Agreement;
(vi) any Contract (A) to which any Governmental Body is a party fidelity or under which any Governmental Body has any rights surety bond or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractcompletion bond;
(vii) any open purchase order placed by CPI requiring future aggregate payments lease of personal property having a remaining value individually in excess of $300,00010,000; andAgreement and Plan of Merger -- Page 16 Execution Copy --------------
(viii) any Contract agreement of indemnification or guaranty;
(ix) any agreement, contract or commitment containing any covenant limiting the freedom of Lightscape to engage in any line of business or compete with any person;
(x) any agreement, contract or commitment relating to capital expenditures and involving future obligations in excess of $10,000;
(xi) any agreement, contract or commitment relating to the disposition or acquisition of assets not otherwise identified in this Sectionthe ordinary course of business or any ownership interest in any corporation, partnership, joint venture or other business enterprise;
(xii) any mortgages, indentures, loans or credit agreements, security agreements or other agreements or instruments relating to the borrowing of money or extension of credit, including guaranties referred to in clause (viii) hereof
(xiii) any purchase order or contract for the purchase of raw materials or acquisition of assets involving $10,000 or more;
(xiv) any construction contracts;
(xv) any distribution, joint marketing, teaming or development agreement;
(xvi) any distributor, dealer, franchise, original equipment manufacturer, value-added reseller, manufacturer's representative or sales agency contract or commitment;
(xvii) any agreement pertaining to Lightscape's maintenance or support of its products, services or supplies which involves $10,000 or more or which has a term which extends for more than one year; or
(xviii) any other agreement, contract or commitment which involves $10,000 or more and is not cancelable without penalty within thirty (30) days. Lightscape has not breached, or received any claim or threat that it has breached, any of the terms or conditions of (i) any agreement, contract or commitment set forth in any of Lightscape's Schedules or (ii) any other material agreement, contract or commitment of Lightscape in such a manner as would permit any other party to cancel or terminate the same or would permit any other party to seek damages from Lightscape that would be required as an exhibit have a Material Adverse Effect on Lightscape. Each agreement, plan, contract or commitment set forth in any of Lightscape's Schedules (i) is a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and binding agreement of Lightscape and, to Lightscape's reasonable knowledge, each other party thereto, (ii) is in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) Lightscape is not, nor is any other party thereto, in default or breach in any material respect under the case terms thereof.
(b) There is no contract, agreement, commitment or obligation to which Lightscape is a party or is bound that at the time it was entered into or made was, or is currently, known or expected by Lightscape to result in any economic loss of $10,000 or more to Lightscape upon completion or performance thereof, or any Contract with bid, offer or proposal which if accepted would result as such a Governmental Bodycontract, laws applicable thereto.agreement, commitment or obligation. Agreement and Plan of Merger -- Page 17 Execution Copy --------------
(c) Except as set forth disclosed in the CPI Disclosure Schedule: (i) CPI has Schedule 3.15, Lightscape is not materially violated or breached, or committed a party to ------------- any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (agreement with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation securityholders or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contractoptionholders, or any other material term affiliate thereof, nor, is any securityholder or provision optionholder of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth Lightscape a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as party to any material matter has been threatenedagreement with any other such securityholder or optionholder relating to Lightscape or any of its securities.
Appears in 1 contract
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each Section 4.13(a) of the following shall be deemed Seller Disclosure Letter contains a complete and correct list of all contracts, agreements, commitments or other written instruments relating to constitute a CPI the business of the Company as of the date hereof which are of any type described below and to which the Company is bound (the “Material Contract:Contracts”):
(i) any Contract relating All Contracts which provide for the payment by or to the employment of, or the performance Company in excess of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment fifty thousand dollars (other than payments in respect of salary and the grant of standard benefits)$50,000.00) annually;
(ii) All Contracts requiring a future capital expenditure by the Company in excess of fifty thousand dollars ($50,000.00) in any Contract that provides for indemnification of any officer, director, employee or agent12-month period;
(iii) any Contract All Contracts or agreements under which the Company is obligated to sell personal property for a total price in excess of fifty thousand dollars (A$50,000.00) relating to other than in the acquisition, issuance, voting, registration, sale or transfer ordinary course of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesbusiness;
(iv) any Contract requiring that CPI give any noticeAll leases of real property (whether the Company is the lessor, obtain any consent lessee or provide any information sublessee) or other agreement providing for the recurring use of or access to any Person prior to accepting any Acquisition Proposalreal property by the Company;
(v) any Contract (not otherwise identified All Contracts or agreements in this Section) that which the Company (A) has a term of more than sixty created, incurred, assumed or guaranteed (60or may create, incur, assume or guarantee) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and indebtedness, (B) that contemplates granted an Encumbrance on its assets to secure such indebtedness or involves (IC) the payment extended credit or delivery of cash or other consideration on or after the date hereof advanced funds to any Person, in an amount or having a value each case in excess of fifty thousand dollars ($300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract50,000.00);
(vi) any Contract (A) to which any Governmental Body is a party All performance bonds, completion bonds, bid bonds, suretyship agreements or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractsimilar instruments;
(vii) All Contracts or agreements that subject the Company to restrictions on the competitive conduct of its business or that prohibit the Company from soliciting customers, vendors or employees of third parties;
(viii) Any Contract or agreement providing for the use of material Intellectual Property which has a license payment or fee payable after the date hereof;
(ix) All joint venture, partnership, royalty or similar agreements involving the sharing of profits and/or expenses;
(x) All employment, management, consulting and other Contracts providing for the services of any open purchase order placed by CPI requiring future aggregate payments in excess employee, officer or director of $300,000the Company, including any of the foregoing which provides for any severance or other payment upon termination of employment or engagement; and
(viiixi) any Contract All other Contracts or agreements not covered in clauses (i) through (ix) above that involve payment by or to the Company of more than fifty thousand dollars ($50,000.00) annually under such agreement, other than those that can be terminated without penalty to the Company upon not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933more than sixty days’ notice.
(b) Each CPI Material Contract is a valid and binding agreement and is in full force and effect, except to the extent such Material Contract has expired by its own terms without penalty, and is enforceable by the Company in accordance with its terms, subject to (i) applicable bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium or other similar laws of general application relating to bankruptcyor affecting creditors’ rights generally and subject to general principles of equity, insolvency and the relief Company is not nor, to the Knowledge of debtorsthe Seller, (ii) rules of law governing specific performance, injunctive relief and is any other equitable remedies and (iii) party thereto in default or breach under the case terms of any Material Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best Knowledge of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPISeller, no event or circumstance has occurredoccurred that, and no circumstance or condition exists, that (with or without notice or lapse of time) could time or both, would constitute an event of default thereunder, other than in each case defaults or breaches that would not reasonably be expected to (A) result in have a material violation or breach of any of Company Material Adverse Effect. Neither the provisions of any CPI Material Contract, (B) give any Person Seller nor the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI Company has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention of cancellation relating to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where and the Seller has no Knowledge of facts that a Material Contract is likely to be cancelled, except for such breach, default, violation or waiver cancellations which would not reasonably be expected to have a Company Material Adverse Effect on CPI.
(d) To Effect. The Company has provided or made available to the best Purchaser true, correct and complete copies by their terms of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI all Material Contract, or any other material term or provision of any CPI Material ContractContracts, including termination provisionsall material amendments thereto.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Stock Purchase Agreement (Usec Inc)
Material Contracts. Schedule 3.5 lists each Contract (excluding any paying or send agent agreement with any agent other than a Significant Agent) to which any Company Constituent Entity is a party or to which any Company Constituent Entity or any of their respective properties is subject or by which any thereof is bound that (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes is not terminable without penalty upon 180 days (or less) notice, (b) after the Interim Balance Sheet Date obligates any Company Constituent Entity to pay an amount of this Agreement$50,000 or more per 12 month period, each (c) has an unexpired term as of the following shall be deemed Interim Balance Sheet Date in excess of one year, (d) expressly limits or restricts the ability of any Company Constituent Entity to constitute a CPI Material Contract:
compete or otherwise to conduct its business in any manner or place, (ie) any Contract relating to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits);
(ii) any Contract that provides for indemnification a guaranty by any Company Constituent Entity of any officer, director, employee obligation with a face amount of $50,000 or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securitiesmore, (Bf) providing involves licenses or royalties to or from any Person with Company Constituent Entity, (g) subcontracts any preemptive right, right of participation, right of maintenance or any similar right with respect work to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has third parties which involves a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value sum in excess of $300,000 in aggregate payments under such Contract100,000 annually, (h) involves the lease, sublease or (II) the performance similar arrangement of services on real or after the date hereof having a value personal property and obligates any Company Constituent Entity to pay an amount in excess of $300,000 100,000 annually, (i) involves any of the Significant Agents (as defined in aggregate payments under such Contract;
Section 3.25 below), (vij) imposes any confidentiality or secrecy obligation that is currently binding on any Company Constituent Entity or (k) commits to indemnification binding on any Company Constituent Entity (any Contract (A) to which meeting any Governmental Body of these requirements is a party or under which any Governmental Body “Material Contract” and has any rights or obligationsbeen identified on such Schedule 3.5). True copies of all Material Contracts, or involving or directly or indirectly benefiting any Governmental Body including all amendments and supplements, have been delivered to Buyer. Except as set forth on Schedule 3.5, each Material Contract: (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Bodyi) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, subsisting; (ii) rules of law governing specific performancethe applicable Company Constituent Entity has duly performed all its obligations thereunder to the extent that such obligations to perform have accrued and are not otherwise waived, injunctive relief and other equitable remedies in writing; and (iii) in no material breach or default, alleged material breach or default, or event which would (with the passage of time, notice or both) constitute a material breach or default thereunder by the Company Constituent Entity, as the case of any Contract with a Governmental Bodymay be, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, andor, to the best Knowledge of Seller, any other party or obligor with respect thereto, has occurred or as a result of this Agreement or the passage of time will occur. Consummation of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; transactions contemplated by this Agreement will not (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) will not give any Person the a right to declare a default to) terminate or exercise modify any remedy rights of, or accelerate or augment any obligation of, any Company Constituent Entity under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes 5.13(a) sets forth a "CPI Material Contract." For purposes true, correct and complete list, as of the date of this Agreement, each of all of the following shall be deemed Contracts to constitute which Seller Parent or any of its Subsidiaries (with respect to the Business) or a CPI Company Group Entity is a party or by which it or any of its assets or properties are bound (collectively, the “Material Contract:Contracts”):
(i) (A) employment agreements, offer letters, severance agreements, or other similar Contracts providing for annual base compensation or severance payments and benefits in excess of $100,000 with respect to any Business Employee, or (B) any Contract relating to the employment ofproviding for a change in control, transaction, retention, guaranteed or the performance of services by“stay” or similar bonus, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or benefit to any other payment (other than payments in respect of salary and the grant of standard benefits)Business Employee;
(ii) Collective bargaining agreements or any Contract that provides for indemnification of other Contracts with any officerworks council, director, employee labor union or agentassociation representing any Business Employee;
(iii) any Contract (A) relating to Contracts containing covenants limiting the acquisition, issuance, voting, registration, sale or transfer freedom of any securities, (B) providing Seller or any Company Group Entity to compete in any line of business or with any Person with or in any preemptive right, geographic area or market or granting to another Person a right of participationexclusivity, or Contracts purporting to limit the Business or the manner or locations in which the Business engages or prohibiting or limiting the right of maintenance the Company Group or the Business to make, sell or distribute any similar right with respect to products or services in any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesmaterial respect;
(iv) (A) Contracts providing any Contract requiring customer with pricing, discounts or benefits that CPI give change based on the pricing, discounts or benefits offered to other customers or by other suppliers to such customer, including Contracts containing “most favored nation,” “most favored customer” or similar provisions; (B) Contracts that include minimum purchase requirements or commitments or take-or-pay obligations or similar mandatory purchase or sale obligations or any notice, obtain restrictions on the purchase or sale of goods or services in any consent territory or provide any information to any Person prior to accepting customers, and (C) any Acquisition Proposalexclusive arrangement provisions with any Material Customer or Material Suppliers;
(v) Contracts granting to any Contract (not otherwise identified in this Section) that (A) has Person a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash first refusal, first offer or other consideration on similar right to purchase any of the properties or after assets of the date hereof in an amount Business or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractCompany Group;
(vi) any Contract (A) Contracts obliging any Company Group Entity to which acquire any Governmental Body is a party operating business or under which the equity of any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI Person and any contractor or subcontractor to any Governmental Body) and that (B) contemplates Contracts containing a put, call or involves similar right pursuant to which Seller (Iwith respect to the Business) the payment or delivery a Company Group Entity would be required to purchase or sell, as applicable, any Equity Interests of cash any Person or other consideration on or after the date hereof in an amount or having assets at a value in excess of $300,000 in aggregate payments under such Contractpurchase price which would reasonably be likely to exceed, or (II) the performance fair market value of services on the Equity Interests or after the date hereof having a value in excess assets of which would be reasonably likely to exceed, $300,000 in aggregate payments under such Contract250,000;
(vii) any open purchase order placed by CPI requiring future aggregate Contract for the transportation or delivery of supplies, materials or products providing for, or which would reasonably likely to result in, annual payments in excess of $300,000250,000;
(viii) Contracts relating to Indebtedness;
(ix) Contracts with any Material Supplier, Material Customer, Material Service Provider or Governmental Body;
(x) Contracts concerning the use, licensing, development or maintenance of Intellectual Property or IT Assets, in each case, that are material to the Business;
(xi) (A) partnership, strategic alliance, joint marketing or joint venture agreement Contracts and (B) Contracts that involve the payment of any commissions or royalty payments;
(xii) any Contract that obligates the Company Group or the Business to make any capital commitment or investment (in each case, in the form of a loan, capital contribution or similar transaction) or capital expenditure (including pursuant to any joint venture) in excess of $250,000;
(xiii) any Contract since January 1, 2016 providing for an acquisition, divestiture, merger or similar transaction of material assets or properties that contains representations, covenants, indemnities or other obligations of the Company Group or the Business that are still in effect and are, or are reasonably likely to be, material to any party thereto;
(xiv) any Contract that is a settlement or similar Contract (x) with any Governmental Body, (y) which would reasonably be expected to require the Company Group to pay more than $250,000 (net of any insurance coverage) after the date of this Agreement or (z) that subjects the Company Group to any material ongoing requirements or restrictions, other than confidentiality requirements or restrictions or similar administrative requirements;
(xv) any Contract requiring a Company Group Entity to purchase or sell a stated portion of its requirements or outputs, that are not cancelable upon notice of ninety (90) calendar days or less;
(xvi) Contracts (other than the Real Property Leases, Personal Property Leases and Business Benefit Plans) between any Company Group Entity, on the one hand, and any other Person, on the other hand, pursuant to which the Company Group is obligated to pay, more than $250,000 in consideration in a calendar year; and
(viiixvii) Contracts (other than the Real Property Leases, Personal Property Leases and any Contract (not otherwise identified Business Benefit Plans) between any Company Group Entity pursuant to which the counterparty is obligated to pay, more than $250,000 in this Section) that would be required as an exhibit consideration in a registration statement under calendar year to the Securities Act of 1933applicable Company Group Entity.
(b) Each CPI Except as set forth on Schedule 5.13(b):
(i) Seller has delivered or otherwise made available to Purchaser a true, correct and complete copy of each Material Contract, as in effect on the date hereof;
(ii) each Material Contract is valid and in full force and effect, effect and is the valid, binding and enforceable obligation of the applicable Seller or Company Group Entity, and, to the Knowledge of Seller, each other party to such Material Contract, in accordance with its terms, in each case subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and General Enforceability Exceptions;
(iii) in neither Seller nor the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, andCompany Group nor, to the best Knowledge of the knowledge of CPISeller, no any other Person has materially violated is in material breach or breachedviolation of, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time, or both) could reasonably under, any Material Contract or has failed to perform all material obligations required to be expected performed by it to date under a Material Contract; and
(Aiv) result in a material violation or breach no party to any Material Contract has exercised any termination rights with respect thereto, and, to the Knowledge of Seller, no party has given notice of any of the provisions of intention to terminate or material dispute with respect to any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancelhas amended, terminate or materially modify any CPI Material Contract; (iii) since December 31cancelled, 1997terminated, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach ofrelinquished, default underwaived, or intention to terminate, released any CPI Material Contract except for communication or any material right thereunder (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to other than the knowledge expiration of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPIContract in accordance with its terms).
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Securities Purchase Agreement (Univar Solutions Inc.)
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes 4.11(a) lists all Contracts to which Company or any Subsidiary of Company is a "CPI Material Contract." For purposes of this Agreement, each party and which fall within any of the following shall be deemed to constitute categories (each a CPI “Material Contract:
”): (i) any Contract material Contracts not entered into in the Ordinary Course of Business; (ii) joint venture, partnership and like agreements; (iii) agreements with unaffiliated third party sales representatives; (iv) collective bargaining agreements; (v) Contracts relating to any outstanding commitment for capital expenditures that have remaining payments in excess of $250,000; (vi) indentures, mortgages, promissory notes, loan agreements, guarantees, letter of credit or other agreements or instruments of Company or any Subsidiary of Company or commitments for the employment ofborrowing or the lending by Company or any Subsidiary of Company of amounts in excess of $250,000 or providing for the creation of any charge, security interest, encumbrance or lien upon any of the assets of Company; (vii) executory Contracts for the sale or lease by Entity to any Person of any material amount of its assets, other than in the Ordinary Course of Business; (viii) employment, severance or retention agreements providing for severance payments or other benefits by the Company in the event of a sale or change of control of Entity; (ix) any non-competition or non-solicitation agreement or any other agreement or obligation that purports to limit in any respect the manner in which, or the performance localities in which, the business of services by, Company or any Subsidiary of Company may be conducted; (x) Contracts pursuant to which Entity leases Dark Fiber from or to any other Person; (xi) Contracts with customers which produced more than $2,000,000 of revenues in fiscal 2005 or expected to produce more than $750,000 of revenues in fiscal 2006 (provided that the names of the contracting parties have been redacted); (xii) any Contract that would prohibit or materially delay the consummation of the transactions contemplated by this Agreement; and (xiii) any Contract with any Affiliate or any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment of Company or any other payment (other than payments in respect of salary and the grant of standard benefits);
(ii) any Contract that provides for indemnification of any officer, director, employee or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933its Subsidiaries.
(b) Each CPI Material Contract Schedule 4.11(b) lists all Contracts (except as otherwise disclosed in Section 4.11(a)) to which Company or any Subsidiary of Company is valid a party and in full force and effect, and is enforceable in accordance with its terms, subject to which fall within any of the following categories: (i) laws agreements requiring the payment by Company of general application relating to bankruptcy, insolvency and more than $2,000,000 in any 12 month period for services or the relief lease of debtors, any machinery or equipment; (ii) rules agreements creating an exclusive broker, distributor, supplier or agent arrangement with Company or any Subsidiary of law governing specific performance, injunctive relief and other equitable remedies and Company; (iii) interconnection agreements; (iv) Contracts entered into in the case context of an acquisition or sale of assets or capital stock where Company or any Contract with Subsidiary of Company either continues to have a Governmental Body, laws applicable theretoright to be indemnified by a Person or has an obligation to indemnify a Person; and (v) Right-of-Way Agreements.
(c) Except as set forth in The Material Contracts and the CPI Disclosure Schedule: Contracts listed on Schedule 4.11(b), (i) CPI are valid, binding, in full force and effect against Company or the Subsidiary of Company party thereto, as applicable, and enforceable against such Company or the Subsidiary of Company party thereto, as applicable, in accordance with their respective terms, except as such enforceability may be limited by applicable insolvency, bankruptcy, reorganization, moratorium or other similar laws affecting creditors’ rights generally and applicable equitable principles (whether considered in a proceeding at law or in equity). Neither Company nor any Subsidiary of Company has not defaulted under or materially violated or breached, or committed breached any material default under, any CPI Material Contract, Contract and, to Company’s Knowledge, there has been no breach or cancellation by the best other parties to any Material Contract. As of the knowledge of CPIdate hereof, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI Entity has not received any written notice that any party to a Material Contract has breached, cancelled or other written communication regarding any actual or possible violation or breach of, default accelerated its rights under, or intention intends to terminatebreach, cancel or accelerate its rights under, or has threatened to breach, cancel or accelerate its rights under, any CPI Contract such Material Contract. True and complete copies of the Material Contracts have been made available to Buyer (except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwiseContracts described in Section 4.11(a)(xi), to the knowledge of CPI, taken any action with respect to such party's complaint for a period which true and complete copies have been made available to Buyer’s lender, Bank of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPIAmerica).
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Stock Purchase Agreement (Journal Communications Inc)
Material Contracts. (a) The CPI Section 2.9 of the Disclosure Schedule identifies each CPI Contract that constitutes Schedules sets forth a "CPI Material Contract." For purposes true, complete and correct list of this Agreement, each of the following shall be deemed to constitute a CPI material written or oral Contracts (the “Material Contract:Contracts”):
(ia) any employment agreement, independent contractor agreement, consulting agreement, severance agreement, change in control agreement, bonus agreement, offer letter or other Contract relating to the employment or engagement of any employee, independent contractor, consultant or agent;
(b) any Contract relating to the employment ofpurchase, license or lease of supplies, equipment, assets, property or products from, or the performance of services by, any officer, director or employee and a third-party involving payment in excess of $35,000;
(c) any Contract pursuant relating to which CPI is the sale, license or may become obligated lease of supplies, products, assets or property to make any severancethird party, terminationor the performance of services by Seller, bonus involving payment in excess of $35,000; (d) any Contract relating to any license, franchise, software or relocation payment Intellectual Property, or any ideas, technical assistance or other payment know-how (other than payments in respect of salary and “off the grant of standard benefitsshelf” shrink-wrap software licenses);
(iie) any Contract that provides for indemnification of any officer, director, employee or agent;
(iii) any Contract (A) Contracts relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the capital expenditures involving payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 25,000 individually or in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractaggregate;
(vif) any Contracts relating to the grant to any third party of a Lien and Encumbrance on any assets;
(g) any Contracts relating to any joint venture or partnership or other Contract providing for the sharing of profits;
(h) any Contract (A) restricting or limiting the freedom of Seller to which compete or participate in any Governmental Body is a party manner, business or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractterritory;
(viii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; andcollective bargaining agreement;
(viiij) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under management, management services, services, administrative services or other Contracts relating to the Securities Act provision or receipt of 1933.any management, business, marketing, payroll, human resources, administrative or other support services;
(bk) Each CPI Material any other Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or requires performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt ninety (90) days or that involves payments in excess of $25,000;
(l) any supplier agreements, master services agreements, or developer agreements;
(m) any other Contract material to Seller. Seller has delivered or made available to Purchaser true, correct and complete copies of each of the communication; written Material Contracts and (iv) CPI has not waived a description of the material terms of any material oral Material Contract. Except as set forth in Section 2.9 of the Disclosure Schedules each of the Material Contracts is with an unrelated third party, was entered into on an arm’s length basis in the ordinary course of business, and is in full force and effect in accordance with the terms thereof. There is no pending or, to the Knowledge of Seller, threatened cancellation or termination of any of its material rights the Material Contracts, and there are no outstanding disputes under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPIMaterial Contracts. The Material Contracts are enforceable by or against the Seller thereto and, against each other party thereto. There is no Person is renegotiating, existing or has the right to renegotiate, any material amount paid claimed default or payable to CPI breach under any CPI Material Contractof the Assumed Contracts, or any existing event that to the Knowledge of Seller, with notice or lapse of time or both, would constitute a default or breach by the Seller or any other material term or provision party to such Material Contracts, including the transactions contemplated hereunder. Following the Closing Date, the Purchaser will be permitted to exercise all of its rights under the Assumed Contracts without the payment of any CPI Material Contractadditional amounts or consideration other than ongoing fees, including termination provisionsroyalties or payments which the Seller would otherwise be required to pay pursuant to the terms of such Assumed Contracts had the transactions contemplated by this Agreement not occurred.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Asset Purchase Agreement (Precision Optics Corporation, Inc.)
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each Section 5.17(a) of the following shall be deemed to constitute a CPI Material Contract:
(i) any Contract relating to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits);
(ii) any Contract that provides for indemnification of any officer, director, employee or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims Contracts, including all amendments and supplements thereto, to which any member of any of the Acquired Companies is a party or by which any of the Acquired Companies is bound, meeting any of the descriptions set forth below (collectively referred to herein as the “Material Contracts”):
(i) all Contracts relating to any issuance, acquisition, or disposition of any business, Equity Securities or other Material assets outside the Ordinary Course of Business (whether by merger, sale of equity interests, sale of assets, or otherwise) or the making of any loan (other than advances to employees of the Acquired Companies in the Ordinary Course of Business) or investment in any Person, in each case (A) within the last two (2) years or (B) that otherwise has any obligations outstanding, including any payment or indemnification obligations, which would reasonably be expected to result in payment or indemnification by the Acquired Companies, in the aggregate, in excess of $250,000;
(ii) all Contracts involving employment, severance, retention, deferred compensation or consulting services or obligations with any officer, director or employee of any Acquired Company (excluding oral at-will employment arrangements);
(iii) all Contracts with any independent contractor of any Acquired Company expected to have a total annual compensation in excess of $100,000 for the fiscal year ending December 31, 2020;
(iv) all Contracts relating to Funded Debt of the Acquired Companies;
(v) all guaranties of any obligation for Funded Debt;
(vi) all Contracts under which any of the Acquired Companies is lessee of, or holds or operates, any personal property owned by any other party, for which the annual rental payments exceed $50,000;
(vii) all Contracts under which any of the Acquired Companies is lessor of or permits any third party to hold or operate any personal property for which the annual rental payments exceed $50,000;
(viii) all Contracts (A) relating to (1) the licensing of Intellectual Property (whether an Acquired Company is licensee or licensor), or (2) the ownership or development of Intellectual Property, or (B) affecting an Acquired Company’s ability to use, enforce, or disclose any Intellectual Property (in each case other than “off the shelf” software or software licenses with an aggregate fee of less than $100,000);
(ix) all Contracts with any Governmental Authority;
(x) all Contracts with the Top Payors, Top Suppliers and Top Contracted Care Partners;
(xi) joint venture agreements, partnership agreements, or similar agreements involving any Acquired Company;
(xii) Contracts related to capital expenditures with an outstanding amount of unpaid obligations and commitments in excess of $150,000;
(xiii) Contracts that contain continuing indemnification or other contingent payment obligations (other than customary indemnification obligations provided in commercial Contracts entered into in the Ordinary Course of Business);
(xiv) Contracts that provide for a power of attorney or grant of agency;
(xv) settlement, conciliation, or similar Contracts (A) with any Governmental Authority or (B) pursuant to which any Acquired Company has any outstanding obligations or restrictions after the date of this Agreement;
(xvi) any Contract providing for an exclusive relationship;
(xvii) any Contract pursuant to which any Acquired Company manages the operations of any other Person or pursuant to which any Acquired Company has management services provided to it;
(xviii) Contracts between any Acquired Company and any of its Affiliates (other than another Acquired Company); and
(xix) all Contracts that limit in any Material respect the freedom of any Acquired Company to compete in any line of business or geographic region, or with any Person, or that limit in any Material respect the freedom of any Acquired Company to solicit or hire any individual or class of individuals of the counterparty to any such contract (and/or any of its Affiliates) for employment, excluding, in any such case, any confidentiality restrictions.
(b) The Seller has made available to the Buyer true and correct copies of all written Material Contracts, and there are no oral Material Contracts. Each Material Contract is legal, valid and binding on the applicable Acquired Company and enforceable in accordance with its terms against such Acquired Company and, to the Knowledge of the Seller, each other party thereto (subject to applicable bankruptcy, insolvency, reorganization, moratorium or other Laws affecting generally the enforcement of creditors’ rights and subject to general principles of equity). The Acquired Companies are not, nor, to the Knowledge of the Seller, is any other party to any Material Contract, in breach of, or in default under, any Material Contract. During the past twelve (12) months, no Acquired Company has received notice of any Material default under any CPI Material Contract that are disputed has not been cured or waived. In the past twelve (12) months, none of the other parties to any Material Contract (i) has refused, or notified any Acquired Company in any material respect orwriting that it will or may refuse, to CPI's knowledgecontinue performing under such Material Contract, where a dispute as to (ii) has notified any material matter Acquired Company in writing that it will or may substantially reduce its performance under such Material Contract, or (iii) has been threatenednotified any Acquired Company in writing that it will not or anticipates that it will not renew or extend its Material Contract beyond the existing terms.
Appears in 1 contract
Material Contracts. (ai) The CPI Set forth on Schedule 4.2(p)(i) of the Capstone Disclosure Schedule identifies each CPI Contract that constitutes Memorandum is a "CPI Material Contract." For purposes of this Agreementtrue, each correct, and complete list of the following shall be deemed Contracts to constitute which Bancshares or Capstone, or any of their Subsidiaries, is a CPI party, by which Bancshares or Capstone, or any of their Subsidiaries, is bound, or to which Bancshares or Capstone, or any of their Subsidiaries, or any of the properties or assets of Bancshares or Capstone, or any of their Subsidiaries, are subject (whether or not actually set forth on such schedule, collectively, the “Capstone Material Contract:Contracts”):
(iA) Any Contract (other than Contracts for Capstone Loans made in the ordinary course of business) that involves, or could reasonably be expected to involve, annual receipts or disbursements of $50,000 or more;
(B) Any Contract that requires Bancshares or Capstone, or any of their Subsidiaries, to purchase all of its requirements for a given product, good, or service from a given Person;
(C) Any Contract that provides for the indemnification by Bancshares or Capstone, or any of their Subsidiaries, of any Person, or the express assumption by Bancshares or Capstone, or any of their Subsidiaries, of any Tax, environmental, or other Liability of any Person;
(D) Any Contract relating to the employment ofdisposition or acquisition, directly or indirectly (by merger or otherwise), by Bancshares or Capstone, or any of their Subsidiaries, after the performance date of services bythis Agreement of properties, assets, or securities with a fair market value of $50,000 or more;
(E) Any employment agreement, consulting agreement, severance agreement, change of control agreement, change in control agreement, bonus agreement, salary continuation agreement, deferred compensation agreement, stock option agreement, restricted stock agreement, non-competition agreement, non-solicitation agreement, confidentiality or non-disclosure agreement, or other Contract with any current or former director, officer, director employee, or employee independent contractor of or to Bancshares or Capstone or any of their Subsidiaries, other than confidentiality and non-disclosure agreements included in vendor agreements entered into by the Capstone Parties in the ordinary course of business;
(F) Any Contract not disclosed under Section 4.2(p)(i)(E) with or for the benefit of any shareholder, director, officer, employee, or Affiliate of Bancshares or Capstone or any of their Subsidiaries, or any Affiliate of or member of the immediate family of any such Person;
(G) Any Contract pursuant to under which CPI is or may become obligated to make any payment (whether change of control, severance, terminationor otherwise) will become due to any current or former director, bonus officer, employee, independent contractor, or relocation payment other service provider as of result of or upon the execution or delivery of this Agreement or the consummation of the any other payment of the transactions contemplated by this Agreement (other than payments in respect either alone or upon the occurrence of salary and the grant of standard benefitsany additional acts or events);
(iiH) any Any Contract that provides for indemnification compensation or benefits that will be increased, or under which compensation or benefits will be accelerated, as of result of or upon the execution or delivery of this Agreement or the consummation of the any of the transactions contemplated by this Agreement (either alone or upon the occurrence of any officeradditional acts or events), director, employee or agentthat provides for compensation or benefits the value of which will be calculated on the basis of any of the transactions contemplated by this Agreement;
(iiiI) Any Contract that provides for any payments by Bancshares or Capstone, or any of their Subsidiaries, upon a change of control or change in control;
(J) Any Contract that limits or purports to limit the right of Bancshares or Capstone, or any of their Subsidiaries, to engage in any line of business, compete with any Person, or operate in any geographic location;
(K) Any partnership, joint venture, limited liability company, or similar Contract;
(L) Any Contact with respect to the ownership, occupancy, management, lease, or operation of real property;
(M) Any data processing or information technology Contract (A1) relating under which any vendor or other third party is granted access to the acquisition, issuance, voting, registration, sale any Bancshares or transfer Capstone information technology or computer system or information or data of any securities, Bancshares or Capstone or pertaining to customers of Bancshares or Capstone or (B2) providing involving payments of $50,000 or more per annum;
(N) Any Contract that grants to any Person with any preemptive rightright of first refusal, right of participationfirst offer, right of maintenance or any similar right with respect to any securitiesassets, rights, properties, or (C) providing CPI with securities of Bancshares or Capstone or any right of first refusal with respect to, or right to repurchase or redeem, any securitiestheir Subsidiaries;
(ivO) Any Contract that relates to indebtedness of or borrowings of money by Bancshares or Capstone, or any Contract requiring that CPI give any noticeof their Subsidiaries, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 50,000 (other than Federal Home Loan Bank borrowings and repurchase agreements with customers entered into in aggregate payments under such Contractthe ordinary course of business);
(P) Any Contract relating to the acquisition, transfer, sale, or issuance of, or affecting or dealing with, any securities of Bancshares or Capstone or any of their Subsidiaries, including without limitation any voting, shareholders, or underwriting agreement; and
(IIQ) the performance Any Contract not terminable on 30 days or less notice without any payment or penalty and involving disbursements or payments by Bancshares or Capstone or any of services on or after the date hereof having a value their Subsidiaries in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 193350,000 per annum.
(bii) A true, correct, and complete copy (or, in the case of any oral Contract, a complete and accurate written description) of each Capstone Material Contract, as amended through the date of this Agreement, has been previously provided or made available to the SmartFinancial Parties. Each CPI of the Capstone Material Contract Contracts is valid and in full force and effecteffect and is a valid and binding obligation of Bancshares or Capstone or their Subsidiaries, as applicable, and is each of the other parties thereto, enforceable against Bancshares or Capstone or their Subsidiaries, as applicable, and each of the other parties thereto in accordance with its terms. Bancshares and Capstone and their Subsidiaries have performed all duties and obligations required to be performed by them under each Capstone Material Contract. Neither Bancshares or Capstone or any of their Subsidiaries nor any other party thereto is in breach or violation of or default under any Capstone Material Contact, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI there has not materially violated occurred any event that, with the lapse of time or breachedthe giving of notice or both, would constitute such a breach, violation, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no default. No event has occurred, occurred and no circumstance or condition existsexists that, that (with or without notice or lapse of time) time or both, gives any Person, or will or could reasonably be expected to give any Person, (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a breach or default or exercise any remedy under any CPI Capstone Material Contract, (CB) give any Person the right to accelerate the maturity of or performance of under any CPI Capstone Material Contract, or (DC) give any Person the right to cancel, terminate terminate, or materially modify any CPI Capstone Material Contract.
(iii) Except as set forth on Schedule 4.2(p)(iii) of the Capstone Disclosure Memorandum, (A) no consents, approvals, waivers, or notices are required to be obtained, given, or delivered pursuant to the terms of any Capstone Material Contract as a result of the Capstone Parties’ execution, delivery, or performance of this Agreement or the consummation of the transactions contemplated hereby and (B) assuming the consents, approvals, waivers, and notices referred to in clause (A) are obtained, given, and delivered, neither the Capstone Parties’ execution, delivery, or performance of this Agreement nor the consummation of the transactions contemplated hereby will result in any Person having the right to declare a breach or default or exercise any remedy under any Capstone Material Contract; (iii) since December 31accelerate the maturity of or performance under any Capstone Material Contract; or cancel, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default underterminate, or intention to terminate, modify any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Capstone Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Disclosure Set forth on Schedule identifies each CPI Contract that constitutes 4.11 is a "CPI Material Contract." For purposes list of this Agreement, each of the following shall be deemed Contracts to constitute a CPI Material Contract:
which the Company or Xxxxxxx (i) any Contract relating as Related to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI Business) is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment a party (other than payments in respect of salary and Employee Plans) (such Contracts listed or required to be listed hereunder, the grant of standard benefits);“Material Contracts”):
(iia) any Each Contract that provides for indemnification of any officerinvolving a partnership, director, employee joint venture or agentsimilar arrangement;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Contract materially limiting the right of the Company or Xxxxxxx (as Related to the Business) to (i) engage in or compete with any Person in any business or in any geographical area or (ii) solicit or hire any third party,
(c) Each Contract containing any “most favored nation” or right of first refusal provision for the benefit of any other Person with respect to the Business or an exclusivity arrangement with respect to the Business;
(d) Each Contract involving the acquisition or disposition of any business enterprise whether via equity or asset purchase or otherwise either in the 3 years prior to the date hereof or under which there are any material obligations or liabilities outstanding;
(e) Each Contract providing for capital expenditures with an outstanding amount of unpaid obligations and commitments in excess of $500,000;
(f) Each Contract with respect to Company Debt;
(g) Each Contract for the employment or engagement of any officer, individual employee or other Person on a full time, part time or consulting basis providing for annual compensation opportunities in excess of $150,000 per annum;
(h) Each collective bargaining agreement or other Contract with a labor union, works council, or other labor organization;
(i) Each settlement, conciliation, or similar Contract (i) with a Governmental Authority, (ii) requiring the payment by the Company or Xxxxxxx (as Related to the Business) of more than $150,000 or (iii) imposing any non-monetary restrictions, obligations or sanctions on the Company or Xxxxxxx (as Related to the Business) after the date hereof;
(j) Each Real Property Lease;
(k) Each Contract with a (i) Material Customer or (ii) a Material Supplier;
(l) Without duplication of the Contracts required to be disclosed under Section 4.11(k), each Contract or group of related Contracts that individually or in the aggregate, (i) generate, or would reasonably be expected to generate, revenue from any single Person or group of related Persons payable to the Company or Xxxxxxx (as Related to the Business) in excess of $2,000,000 in any calendar year or (ii) involve, or would reasonably be expected to involve, outgoing payments from the Company or Xxxxxxx (as Related to the Business) in excess of $1,000,000 in any calendar year;
(m) Each Contract or group of related Contracts under which the Company or Xxxxxxx (as Related to the Business) is valid a (i) lessee of or hold or operate any tangible property (other than real property), owned by any other Person or (ii) lessor of or permit any third party to hold or operate any tangible property (other than real property), of the Business, in each case, except for any Contract or group of related Contracts under which the aggregate annual rental payments do not exceed $100,000;
(n) Each Contract obligating the Company or Xxxxxxx (as Related to the Business) to make contingent payments of any type (including under any purchase price adjustment, earn-out or similar provisions), whether or not such obligations have matured or are expected to become due and payable;
(o) Each Contract pursuant to which the Company or Xxxxxxx (as Related to the Business) made any loan, capital contribution or other investment to any Person (other than advances to Business Employees in the ordinary course of business and not in excess of $25,000);
(p) Each Contract that licenses Company Owned Intellectual Property to any Person or pursuant to which the Company licenses any Intellectual Property from any Person, excluding (i) licenses of unmodified commercially-available software licensed for the Company’s or Xxxxxxx’x (as Related to the Business) internal use for annual license fees of less than $50,000, (ii) nonexclusive licenses granted to customers of the Company or Xxxxxxx (as Related to the Business) in the ordinary course of business and substantially on the Company’s form agreement as made available and (iii) nonexclusive licenses that arise as a matter of law by implication as a result of sales of products and services by the Company or Xxxxxxx (as Related to the Business);
(q) Each Contract relating to the sharing or allocation of Intellectual Property by and between the Company or Xxxxxxx (as Related to the Business), on one hand, and Seller, on the other hand;
(r) Each Contract relating to the development of Intellectual Property for the benefit of the Company or Xxxxxxx (as Related to the Business);
(s) Each Government Contract or group of related Government Contracts with an expected aggregate value of $2,000,000 or more;
(t) Each Seller Guarantee;
(u) Each Company Guarantee; and
(v) Each Contract between the Company or Xxxxxxx (as Related to the Business), on the one hand, and any Affiliate of the Company, on the other hand. The Company has made available correct and complete copies of each Material Contract. Each of the Material Contracts is in full force and effect, effect and is enforceable in accordance with its termsa legal, valid and binding agreement of the Company or Xxxxxxx, as applicable, subject only to (i) laws of general application relating to bankruptcythe General Enforceability Exceptions, insolvency and the relief of debtorsand, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except except as set forth in on Schedule 4.11, there is no default or material breach by the CPI Disclosure Schedule: (i) CPI has not materially violated Company or breachedXxxxxxx, or committed any material default underas applicable, any CPI Material Contract, andor, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default underCompany’s Knowledge, any CPI Material Contract; (ii) other party thereto, in the timely performance of any obligation to the best of the knowledge of CPIbe performed or paid thereunder or any other provision thereof, and no event has occurred, and no circumstance or condition exists, occurred that (with or without notice or lapse of time) could reasonably be expected to (A) result in , or both, would constitute such a material violation or breach of any default. Except as set forth on Schedule 4.11, neither the Company nor Xxxxxxx has received written notice of the provisions existence of any CPI event or condition which constitutes, or, after notice or lapse of time or both, will constitute, a material breach or default on the part of the Company or Xxxxxxx, as applicable, under any such Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Membership Interest Purchase Agreement (Enpro Industries, Inc)
Material Contracts. (a) The CPI Section 3.07(a) of the Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, Schedules lists each of the following shall be deemed Contracts (x) by which any of the Purchased Assets are bound or affected or (y) to constitute which a CPI Seller is a party or by which it is bound in connection with the Purchased Business or the Purchased Assets (such Contracts, together with all Contracts concerning the occupancy, management or operation of any Transferred Real Property (including without limitation, brokerage contracts) listed and all Intellectual Property Agreements set forth in Section 3.11(b) of the Disclosure Schedules, being “Material Contract:Contracts”):
(i) any Contract relating to the employment ofall Contracts involving aggregate consideration in excess of $25,000 and which, in each case, cannot be cancelled without penalty or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment without more than ninety (other than payments in respect of salary and the grant of standard benefits)90) days’ notice;
(ii) any Contract all Contracts that provides for indemnification require Sellers to purchase or sell a stated portion of any officer, director, employee the requirements or agentoutputs of the Purchased Business or that contain “take or pay” provisions;
(iii) any Contract (A) relating to all Contracts that provide for the acquisition, issuance, voting, registration, sale or transfer indemnification of any securitiesPerson or the assumption of any Tax, (B) providing environmental or other Liability of any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesPerson;
(iv) all Contracts that relate to the acquisition or disposition of any Contract requiring that CPI give business, a material amount of stock or assets of any noticeother Person or any real property or water rights (whether by merger, obtain any consent sale of stock, sale of assets or provide any information to any Person prior to accepting any Acquisition Proposalotherwise);
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI all broker, distributor, dealer, manufacturer’s representative, franchise, agency, sales promotion, market research, marketing consulting and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractadvertising Contracts;
(vi) any Contract all employment agreements and Contracts with independent contractors or consultants (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Bodysimilar arrangements) and that which are not cancellable without material penalty or without more than ninety (B90) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractdays’ notice;
(vii) except for Contracts relating to trade receivables, all Contracts relating to indebtedness (including, without limitation, guarantees);
(viii) all Contracts with any open Governmental Authority (“Government Contracts”);
(ix) all Contracts that limit or purport to limit the ability of Sellers to compete in any line of business or with any Person or in any geographic area or during any period of time;
(x) all joint venture, partnership or similar Contracts;
(xi) all Contracts for the sale of any of the Purchased Assets or for the grant to any Person of any option, right of first refusal or preferential or similar right to purchase order placed by CPI requiring future aggregate payments in excess any of $300,000the Purchased Assets; and
(viiixii) all powers of attorney with respect to the Purchased Business or any Contract Purchased Asset.
(xiii) all other Contracts that are material to the Purchased Assets or the operation of the Purchased Business and not otherwise identified in previously disclosed pursuant to this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933Section 3.07.
(b) Each CPI Material Contract is valid and binding on each Seller in accordance with its terms and is in full force and effect. No applicable Seller or, and to Sellers’ Knowledge, any other party thereto is enforceable in accordance with its terms, subject breach of or default under (or is alleged to (i) laws be in breach of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iiior default under) in the case any material respect, or has provided or received any notice of any intention to terminate, any Material Contract. No event or circumstance has occurred that, with notice or lapse of time or both, would reasonably be expected to constitute an event of default under any Material Contract with or result in a Governmental Bodytermination thereof or to cause or permit the acceleration or other changes of any right or obligation or the loss of any benefit thereunder. Complete and correct copies of each Material Contract (including all modifications, laws applicable theretoamendments and supplements thereto and waivers thereunder) have been made available to Buyer. There are no material disputes pending or threatened under any Contract included in the Purchased Assets.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated No Seller is a party to or breachedbound by any long-term supply agreement obligating it to purchase aggregates, or committed any material default undersand, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice cement or other written communication regarding any actual raw materials which cannot be cancelled without penalty or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period involving total consideration of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI$100,000.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Asset Purchase Agreement (Continental Materials Corp)
Material Contracts. Schedule 4.13 sets forth an accurate list of all Contracts (aas defined below) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each related to the business of the following shall be deemed to constitute a CPI Material Contract:
(i) any Contract relating to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant Subsidiary to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits);
(ii) any Contract that provides for indemnification of any officer, director, employee or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body Subsidiary is a party or under which is otherwise bound meeting any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body of the descriptions set forth below (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;"MATERIAL Contracts"):
(viia) any open purchase order placed by CPI all Real Estate Leases requiring future aggregate annual payments in excess of $300,000250,000;
(b) all lease agreements and management contracts with an annual revenue in excess of $250,000;
(c) all management and service contracts and purchase orders and other contracts for the purchase of materials or services requiring annual payments in excess of $250,000;
(d) all machinery leases, equipment leases and other personal property leases requiring annual payments in excess of $250,000;
(e) all Contracts between or among the Seller and the Subsidiary and any of their respect subsidiaries, affiliates, employees or directors, including any intercompany Indebtedness;
(f) all Contracts with any person containing any provision or covenant prohibiting or materially limiting the ability of the Subsidiary to engage in any business activity or compete with any person or prohibiting or materially limiting the ability of any person to compete with the Subsidiary;
(g) all material partnership, joint venture, strategic alliance or other collaborative Contracts;
(h) all Contracts under which any material Indebtedness of the Subsidiary has been or may be created, incurred, assumed or guaranteed (excluding routine checking account overdraft agreements involving pettx xxxh amounts);
(i) all Contracts that (i) limit or contain restrictions on the ability of the Subsidiary to pay dividends or any other distributions on or otherwise issue, redeem or otherwise dispose of its capital stock, to incur indebtedness, to incur or suffer to exist any encumbrances, to purchase or sell any assets and properties, to change the lines of business in which it participates or engages or to engage in any merger or other business combination or (ii) require the Subsidiary to maintain specified financial ratios or levels of net worth or other indicia of financial condition; and
(viiij) any Contract (all other material Contracts not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) entered into in the case of any Contract with a Governmental Body, laws applicable theretoordinary course.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Section 4.16(a) of the Company Disclosure Schedule identifies each CPI Contract that constitutes sets forth a "CPI Material Contract." For purposes true and complete list, as of the date of this Agreement, each of all of the following shall types of contracts and agreements to which the Company is a party, excluding, for this purpose, any purchase orders submitted by customers (such contracts and agreements as are required to be deemed to constitute a CPI set forth on Section 4.16(a) of the Company Disclosure Schedule being the “Material Contract:Contracts”):
(i) any Contract relating each contract and agreement, excluding employment agreements, with consideration paid or payable to or by the employment ofCompany of more than $50,000, or in the performance of services byaggregate, any officerover the twelve (12)-month period ending April 30, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)2024;
(ii) any Contract that provides each contract and agreement with Suppliers to the Company for indemnification expenditures paid or payable by the Company of any officermore than $20,000, directorin the aggregate, employee or agentover the twelve (12)-month period ending April 30, 2024;
(iii) any Contract (A) relating each contract and agreement with the top 10 customers of the Company that involves consideration payable to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesCompany;
(iv) any Contract requiring all broker, distributor, dealer, manufacturer’s representative, franchise, agency, sales promotion, market research, marketing consulting and advertising contracts and agreements to which the Company is a party that CPI give any notice, obtain any consent or provide any information are material to any Person prior to accepting any Acquisition Proposalthe business of the Company;
(v) all Service Agreements and management contracts, including any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) contracts involving the payment or delivery of cash royalties or other consideration on amounts calculated based upon the revenues or after income of the date hereof in an amount Company or having income or revenues related to any Product of the Company to which the Company is a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractparty;
(vi) all contracts and agreements evidencing indebtedness (or any Contract (Aguaranty therefor) for borrowed money, the right to which draw upon credit that has been extended for indebtedness or a Lien on its assets, whether tangible or intangible, to secure any Governmental Body is a party or under which any Governmental Body has any rights or obligationsindebtedness, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in each case, in an amount or having a value in excess of greater than $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract20,000;
(vii) all contracts and agreements that is a definitive purchase and sale or similar agreement entered into in connection with an acquisition or disposition by the Company since the Lookback Date of any open Person or of any business entity or division or business of any Person (including through merger or consolidation or the purchase order placed of a controlling equity interest in or substantially all of the assets of such Person or by CPI requiring future aggregate any other manner), excluding any such contracts or agreements in which the applicable acquisition or disposition has been consummated and there are no material obligations of the Company ongoing;
(viii) all partnership, joint venture, profits sharing (excluding any qualified retirement plans), carry interest or similar agreements that are material to the business of the Company;
(ix) all contracts and agreements with any Governmental Authority to which the Company is a party, other than any Company Permits;
(x) all contracts and agreements that limit, or purport to limit, the ability of the Company to compete in any line of business or with any person or entity or in any geographic area or during any period of time or to hire or retain any person, excluding customary confidentiality agreements,
(xi) all contracts or arrangements that result in any person or entity holding a power of attorney from the Company that relates to the Company or its business;
(xii) all leases or master leases of personal property reasonably likely to result in annual payments of $50,000 or more in a twelve (12)-month period;
(xiii) all contracts and agreements with outstanding obligations for the sale, purchase or dispositions of any property, assets or real estate having a value individually, with respect to all sales or purchases thereunder, in excess of $300,00050,000 in any calendar year, in each case, other than any sale, purchase or disposition in the ordinary course of business;
(xiv) all contracts and agreements involving use of any Company-Licensed IP required to be listed in Section 4.13(a) of the Company Disclosure Schedule;
(xv) contracts which involve the license or grant of rights to Company-Owned IP by the Company, but excluding any nonexclusive licenses (or sublicenses) of Company-Owned IP granted: (A) to customers or distributors in the ordinary course of business consistent with past practice; (B) to vendors and service providers for the purpose of providing the applicable services to the Company; or (C) in the ordinary course of business for the use of a Trademark of the Company for marketing or similar purposes;
(xvi) any contract that (A) grants to any person any preferred pricing, “most favored nation” or similar rights or (B) grant exclusivity to any person in respect of any geographic location, any customer or any product or service;
(xvii) any contract or agreement not made in the ordinary course of business and not disclosed pursuant to any other clause under this Section 4.16(a) and expected to result in revenue or require expenditures in excess of $50,000 in the calendar year ending December 31, 2023;
(xviii) any “material contract” (as such term is defined in Item 601(b)(10) of Regulation S-K) or any other contract that is material to the Company, taken as a whole; and
(viiixix) any Contract commitment to enter into any contract or agreement of the type described in clauses (not otherwise identified in i) through (xix) of this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933Section 4.16(a).
(bi) Each CPI each Material Contract is a legal, valid and in full force and effectbinding obligation of the Company and, to the knowledge of the Company, the other parties thereto, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency terms and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) Company is not in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated material breach or breachedviolation of, or committed any material default under, any CPI Material Contract, and, to Contract nor has any Material Contract been canceled by the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contractparty; (ii) to the best of the knowledge of CPICompany’s knowledge, no event has occurred, and no circumstance other party is in material breach or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contractof, or (D) give material default under, any Person the right to cancel, terminate or materially modify any CPI Material Contract; and (iii) since December 31, 1997, CPI the Company has not received any written notice or other written communication regarding any actual or possible violation or breach of, default underwritten, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPIthe Company, taken any action with respect to such party's complaint for a period oral claim of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights default under any CPI such Material Contract. The Company has furnished or made available to Mobix or its legal advisors true, in each case where such breach, default, violation or waiver would have a correct and complete copies of all Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material ContractContracts without redaction, including termination provisionsall modifications, amendments and supplements thereto.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Section 3.12 of the Seller Disclosure Schedule identifies each CPI Contract that constitutes lists all Contracts described in clauses (i) through (xvii) below to which the Company or RIAP is a "CPI Material Contract." For purposes of this Agreementparty or is otherwise bound and which have not, each as of the following shall be deemed date hereof, been terminated or fully performed ("MATERIAL CONTRACTS"). A true, correct and complete copy of each such Material Contract has been made available to constitute a CPI Material ContractBuyer:
(i) any Contract relating to the Contracts providing for a commitment of employment of, or the performance of consultation services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than requiring payments in respect any one year in excess of salary and the grant of standard benefits)$100,000;
(ii) any Contract that provides for indemnification Contracts with any Person containing any provision or covenant prohibiting or materially limiting the ability of the Company or RIAP to engage in any officer, director, employee business activity or agentcompete with any Person other than by reason of confidentiality;
(iii) any Contract (A) Contracts relating to any Indebtedness of the acquisition, issuance, voting, registration, sale Company or transfer RIAP or under which any Lien (other than Permitted Liens) has been imposed on any asset of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance the Company or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesRIAP;
(iv) any Contract requiring that CPI give Contracts providing for (i) the future disposition or acquisition of any noticeassets or properties of the Wireless Manufacturing Business, obtain other than dispositions or acquisitions in the ordinary course of business, and (ii) any consent merger or provide any information to any Person prior to accepting any Acquisition Proposalother business combination;
(v) any Contract (Employee Plans for the benefit of any of the directors, officers or employees of the Company or RIAP including, but not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash limited to, any profit sharing, stock option, stock purchase, stock appreciation, deferred compensation, pension, retirement, executed compensation, severance or other consideration on plan or after arrangement (other than option plans maintained by RIG LP, a Delaware limited partnership, for the date hereof in an amount or having a value in excess benefit of $300,000 in aggregate payments under such Contract, or (II) certain employees of the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractCompany and RIAP);
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body the Company or RIAP has any rights loaned or obligationsadvanced or is committed to advance or loan money to its Affiliates, directors, officers or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractemployees;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess Contract between or among the Company and any of $300,000; andits Affiliates;
(viii) any Contract for the lease of personal property to or from any Person which provides for lease payments in excess of $100,000 per year;
(not otherwise identified in ix) any Contract (other than this SectionAgreement) that would be required as an exhibit limits or contains restrictions on the ability of the Company or RIAP to incur or suffer to exist any Lien (other than in a registration statement respect of the Company's or RIAP's rights under such Contract), to purchase or sell any assets, to change the Securities Act lines of 1933.business in which it participates or engages or to engage in any merger or other business combination;
(bx) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to any other Contracts (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best excluding warranty obligations of the knowledge of CPI, no other Person has materially violated Company or breached, or committed any material default under, any CPI Material Contract; (iiRIAP) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach involve the payment, pursuant to the terms of any of the provisions of any CPI Material such Contract, (B1) give any Person by the right to declare a default Company or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period RIAP of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect $50,000 annually or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each 3.13 contains an accurate and complete list of the following shall be deemed Contracts to constitute which the Company is a CPI party or to which the Company is subject (the "Material Contract:Contracts"):
(i) any Contract relating to the employment of, or if (A) the performance remaining thereunder involves aggregate consideration payable to or by the Company in excess of services by$10,000 and (B) such Contract is not cancelable, any officerwithout penalty, director by the Company on notice of thirty (30) days or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits);less; Membership Interest Purchase Agreement 25
(ii) any Contract that provides for indemnification obligating the Company to provide services to (1) any multiple dwelling unit or gated community, in each case involving more than fifty (50) units or (2) any Person if the performance remaining thereunder involves annual consideration to the Company in excess of any officer, director, employee or agent$20,000;
(iii) any Contract (A) relating to granting the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, Company a "right of participationentry" (including, right for each such Contract, the counter party thereto, the expiration of maintenance or any similar right with respect to any securitiesthe term thereof, or (C) providing CPI with any right the number of first refusal with respect tounits in the multi-family residential property, or the number of DTV Subscribers, HSD Subscribers and AV Subscribers as of November 20, 2006, the number of internet subscribers as of November 20, 2006 and the services that the Company has a right to repurchase provide on either an exclusive or redeem, any securitiesnon-exclusive basis;
(iv) any Contract requiring that CPI give restricts or contains limitations on the ability of the Company from freely engaging in any notice, obtain any consent line of business or provide any information to with any Person prior in any geographical area or covenants of any other Person not to accepting compete with the Company in any Acquisition Proposalline of business or in any geographic area or not to solicit or hire any Person with respect to employment;
(v) any collective bargaining Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days with any labor union or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractassociation representing any Company Employee;
(vi) any Contract (A) to which with the Seller or any Governmental Body is a party or under which any Governmental Body has any rights or obligationsof its Affiliates, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract Contract constituting or reflecting any Indebtedness, guaranty, receivable, payable or other Contract account maintained between CPI the Company and the Seller and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractits Affiliates;
(vii) any open purchase order placed by CPI requiring future aggregate payments Contract for the employment of any Company Employee or other Person on a full-time, part-time or consulting basis or other basis providing annual compensation in excess of $300,000; and25,000 or any severance agreements binding on the Company;
(viii) any Contract, including any guarantees, loans or credit or sale and leaseback agreements, relating to the borrowing of money by the Company in excess of $20,000 in principal amount;
(ix) any mortgage, pledge, indenture or security agreement, Contract or similar arrangement constituting a Lien or a Restriction upon the assets or properties of the Company or the Interests;
(x) any Contract with respect to the lending or investing of funds;
(xi) any Contract under which the Company is lessor of, or permits any Person to hold or operate, any personal property owned or controlled by the Company;
(xii) Intellectual Property Licenses and Contracts for joint ventures, strategic alliances, partnerships, sharing of profits or proprietary information;
(xiii) any Contract providing for severance, retention, change in control or other similar payments; Membership Interest Purchase Agreement 26
(xiv) all other Contracts, whether or not otherwise identified entered into in the Ordinary Course of Business, other than this SectionAgreement and the Seller Documents, the Purchaser Documents and the Company Documents, which involve more than $10,000 individually or $25,000 in the aggregate; and
(xv) that would be required as an exhibit any Contract for the sale or purchase of personal property having a value individually, with respect to all sales or purchases thereunder, in a registration statement under the Securities Act excess of 1933$10,000.
(b) Each CPI Except as set forth as Item 2 on Schedule 3.10(b)(3), each Material Contract is a valid and binding obligation of the Company in full force and effecteffect except to the extent that enforceability may be limited by applicable bankruptcy, insolvency, moratorium, reorganization or similar laws affecting the enforcement of creditors rights generally and is enforceable in accordance with its terms, subject to (i) laws general principles of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) equity. Except as set forth on Schedule 3.13(b), the Company is not in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed default under any material default under, any CPI Material Contract, andContract nor, to the best Knowledge of the knowledge Company, is any other party to any Material Contract in breach of CPIor default thereunder, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, and no event has occurred, and no circumstance occurred that with the lapse of time or condition exists, that (with or without the giving of notice or lapse both would constitute a breach or default by the Company or any party thereunder. The Company has delivered to the Purchaser true, correct and complete copies of timeall written Material Contracts and has set forth the material terms of all verbal Material Contracts on Schedules 3.13(a)(i) could reasonably be expected to and (A) result in ii). The Company has not received a material violation or breach notice of termination under any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or Contracts other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, as set forth in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPISchedule 3.10(b)(3).
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Membership Interest Purchase Agreement (Blonder Tongue Laboratories Inc)
Material Contracts. (a) The CPI Section 3.22 of the Company ------------------ Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each lists all of the following shall be deemed types of contracts or arrangements to constitute which the Company or any Company Subsidiary is a CPI Material Contractparty or by which any of their respective properties or assets are bound:
(i) any Contract relating to the employment ofall Client Contracts (as defined below) (A) which are "fixed- price," "guaranteed maximum price" or similar contracts, or the performance of services by, any officer, director or employee and any Contract (B) pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment the Company or any other payment of the Company Subsidiaries has responsibility for any construction activity and (other than payments C) with a total contract value in respect excess of salary and $5,000,000, including all such contracts involving a joint venture, partnership or teaming arrangement of the grant Company or any of standard benefitsthe Company Subsidiaries with another party (collectively, the "Fixed-Price ----------- Construction Contracts");; ----------------------
(ii) any Contract that provides agreement, other than Client Contracts and purchase orders or sub-contracts associated with Client Contracts, presently in effect for indemnification the purchase of any officerinventory, directorsupplies, employee equipment or agentother personal property, or the procurement of services, except individual purchase orders or aggregate purchase orders to a single vendor involving payments of less than $500,000;
(iii) any Contract (A) relating to the acquisitionlease presently in effect or ownership of equipment, issuance, voting, registration, sale machinery or transfer other personal property involving aggregate annual payments in excess of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities$500,000;
(iv) any Contract requiring that CPI give agreement presently in effect relating to the purchase or acquisition, by merger or otherwise, of a significant portion of its business, assets or securities by any noticeother Person, obtain or of any consent or provide any information to any other Person prior to accepting any Acquisition Proposalby it, other than as contemplated herein;
(v) any Contract (not otherwise identified agreement presently in this Section) that (A) has effect containing a term of more than sixty (60) days covenant or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of covenants which purport to limit its ability or right to engage in any lawful business activity material to it or to compete with any Person in a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractbusiness material to it;
(vi) any Contract (A) agreement presently in effect pursuant to which it has appointed any Governmental Body is Person to act as its sales agent or pursuant to which it has been appointed a party or under which sales agent by any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractthird party;
(vii) any open purchase order placed by CPI requiring future aggregate payments agreement presently in excess effect with any of $300,000; andits officers or directors and any material agreement presently in effect with any of its employees or affiliates, not otherwise listed on Section 3.14(d) of the Company Disclosure Schedule, including all non-competition and indemnification agreements;
(viii) any Contract agreement presently in effect for the license of any patent, copyright, trade secret or other proprietary information agreements involving the payment by or to the Company or any Company Subsidiary in excess of $500,000 per year;
(ix) any agreement entered into outside the ordinary course of business and presently in effect, involving payments to or obligations of in excess of $500,000, not otherwise identified described in this SectionSection 3.22, and other than Client Contracts; and
(x) that would be required any loan agreement, agreement of indebtedness, note, security agreement, guarantee or other document pursuant to or in connection with the Company's or any of the Company Subsidiaries' receipt or extension of credit in excess of $500,000 other than in connection with Client Contracts (items listed in (i) through (x) are collectively referred to herein as an exhibit in a registration statement under the Securities Act of 1933."Contracts"). ---------
(b) Each CPI Material Contract The Company has delivered or otherwise made available to Xxxxxx and its representatives all Contracts, Client Contracts and all Bids (as defined below) for Fixed-Price Construction Contracts (and all amendments, modifications and supplements thereto and all side letters to which the Company or any Company Subsidiary is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and a party affecting the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case obligations of any Contract with a Governmental Body, laws applicable theretoparty thereunder).
(c) Except as set forth in Section 3.22(c) of the CPI Company Disclosure Schedule: Schedule (and with respect to clauses (i) CPI has not materially violated or breached), or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii), (iii), (iv) to the best of the knowledge of CPIand (v) below, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could except as otherwise would not reasonably be expected to have a Company Material Adverse Effect):
(Ai) result in a material violation There is no default under any Contract or breach of Client Contract either by the Company or any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwiseCompany Subsidiaries or, to the knowledge of CPIthe Company, taken by any action other party thereto, and no event has occurred that with the lapse of time or the giving of notice or both would constitute a default thereunder by the Company or any of the Company Subsidiaries or, to the knowledge of the Company, any other party;
(ii) No party to any Contract or Client Contract has given notice to the Company or any Company Subsidiary of or made a claim against the Company or any Company Subsidiary with respect to such party's complaint for a period of more than six months following receipt any breach or default thereunder;
(iii) To the knowledge of the communicationCompany, no party to any Contract or Client Contract intends to cancel, withdraw, modify or amend any such Contract or Client Contract;
(iv) With respect to each and every Client Contract or Bid, (a) the Company has fully complied with all terms and conditions of such Client Contract or Bid, including all clauses, provisions and requirements incorporated expressly, by reference or by operation of law therein; (b) the Company has fully complied with all requirements of any statute, rule, regulation or order of any Governmental Authority or any agreement, pertaining to such Client Contract or Bid, including the International Trade in Arms Regulation; (c) all representations and certifications executed, acknowledged or set forth in or pertaining to such Client Contract or Bid were current, accurate and complete as of their effective date, and the Company has fully complied with all such representations and certifications, including, without limitation, all representations and certifications required by or relating to the Truth-In-Negotiations-Act, the Procurement Integrity Act, the Foreign Corrupt Practices Act, the Cost Accounting Standards, the regulations and rules relating to Foreign Military Sales and the regulations and rules relating to the submission of progress payment requests; (d) no Governmental Authority nor any prime contractor, subcontractor or other Person has notified the Company, either orally or in writing, that the Company has breached or violated any statute, rule, regulation, certification, representation, clause, provision or requirement; (e) no termination for convenience, termination for default, cure notice or show cause notice has been issued; (f) no cost incurred by the Company has been questioned or disallowed; and (ivg) CPI no money due to the Company has not waived been withheld or set off;
(v) There exist (a) no financing arrangements with respect to performance of any Client Contract; (b) no outstanding claims or requests for equitable or financial adjustments against the Company or any of its material rights under the Company Subsidiaries, either by any CPI Material party to a Client Contract, any Governmental Authority or by any prime contractor, subcontractor, vendor or other third party, arising under or relating to any Client Contract or Bid; (c) no facts that are known by the Company or any of the Company Subsidiaries upon which such a claim may be validly based in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
the future; (d) To no disputes between the best Company or any of the knowledge of CPI, no Person is renegotiating, or has the right Company Subsidiaries and any party to renegotiatea Client Contract, any material amount paid or payable to CPI under any CPI Material Contract, Governmental Authority or any other material term prime contractor, subcontractor or provision of vendor arising under or relating to any CPI Material Contract, including termination provisions.
Client Contract or Bid; and (e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract no facts that are disputed in known by the Company or any material respect or, to CPI's knowledge, where of the Company Subsidiaries over which such a dispute may validly arise in the future; and
(vi) There exists no uncompleted Client Contract as to which the Company's estimated cost at completion (including material and labor costs, other direct costs, overheads, engineering costs and manufacturing costs, whether incurred or yet to be incurred) as of the Company Balance Sheet Date exceeds by $500,000 the aggregate contract revenue recorded or to be recorded under such Client Contract through completion (a "Loss Contract"). ------------- For purposes of this Agreement, "Client Contract" means any material matter contract, --------------- subcontract, teaming agreement or arrangement, joint venture, basic ordering agreement, letter contract, purchase order, delivery order, change order, or other enforceable commitment of any kind relating to the business of the Company or any of the Company Subsidiaries pursuant to which the Company or any of the Company Subsidiaries has been threatenedderived, or is expected to derive, any revenue. For purposes of this Agreement, "Government Contract" means (a) any Client ------------------- Contract between the Company or any of the Company Subsidiaries and (i) any Governmental Authority, (ii) any prime contractor to any Governmental Authority, or (iii) any subcontractor with respect to any contract described in clause (i) or (ii) and (b) any Client Contract which is wholly or partially funded by, directly or indirectly, or through any Governmental Authority. For purposes of this Agreement, "Bid" means any quotation, bid or proposal --- by the Company or any of the Company Subsidiaries which, if accepted or awarded, would lead to a Fixed-Price Construction Contract.
Appears in 1 contract
Samples: Merger Agreement (Jacobs Engineering Group Inc /De/)
Material Contracts. Except as otherwise reflected in the Target Financial Statements, none of the Target Entities, nor any of their respective Assets, businesses, or operations, is a party to, or is bound or affected by, or receives benefits under, (a) The CPI Disclosure Schedule identifies each CPI any employment, severance, termination, consulting, or retirement Contract that constitutes a "CPI Material Contract." For purposes providing for aggregate payments to any Person in any calendar year in excess of this Agreement$75,000, each of the following shall be deemed to constitute a CPI Material Contract:
(ib) any Contract relating to the employment of, borrowing of money by any Target Entity or the performance guarantee by any Target Entity of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment such obligation (other than payments Contracts evidencing deposit liabilities, purchases of federal funds, fully-secured repurchase agreements, and Federal Home Loan Bank advances of depository institution Subsidiaries, and trade payables) in respect excess of salary and the grant of standard benefits);
$50,000, (iic) any Contract that provides for indemnification which prohibits or restricts any Target Entity (and/or, following consummation of the transactions contemplated by this Agreement, Buyer) from engaging in any officerbusiness activities in any geographic area, directorline of business or otherwise in competition with any other Person, employee or agent;
(iiid) any Contract between or among Target Entities, (Ae) any Contract relating to the acquisition, issuance, voting, registration, purchase or sale or transfer of any securitiesgoods or services by a Target Entity (other than Contracts entered into in the Ordinary Course and involving payments under any individual Contract not in excess of $125,000 or involving Loans, borrowings or guarantees originated or purchased by any Target Entity in the Ordinary Course), (Bf) providing any Person Contract which obligates any Target Entity to conduct business with any preemptive third party on an exclusive or preferential basis, (g) any Contract which requires referrals of business or requires any Target Entity to make available investment opportunities to any person on a priority or exclusive basis, (h) any Contract which grants any “most favored nation” right, right of participationfirst refusal, right of maintenance first offer or any similar right with respect to any securitiesmaterial assets, rights or properties of any Target Entity, (i) any Contract which limits the payment of dividends by any Target Entity, (j) any Contract pursuant to which any Target Entity has agreed with any third parties to become a member of, manage or control a joint venture, partnership, limited liability company or other similar entity, (k) any Contract pursuant to which any Target Entity has agreed with any third party to a change of control transaction such as an acquisition, divestiture or merger and which contains representations, covenants, indemnities or other obligations (including indemnification, “earn-out” or other contingent obligations) that are still in effect, (l) any Contract which relates to Intellectual Property of Target (including permitting the use of the names “The First National Bank of Wyoming”, “First Wyoming” or any variant thereof), (m) any Contract between any Target Entity, on the one hand, and (1) any officer or director of any Target Entity, or (C2) providing CPI with any right to the Knowledge of first refusal with respect to, or right to repurchase or redeemTarget, any securities;
(ivx) record or beneficial owner of five percent or more of the voting securities of Target, (y) Affiliate or family member of any such officer, director or record or beneficial owner or (z) any Contract requiring that CPI give any noticeother Affiliate of Target, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after on the delivery other hand, except those of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery type available to employees of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such ContractTarget generally, or (IIn) any other Contract or amendment thereto that is material to any Target Entity or their respective business or Assets (together with all Contracts referred to in Sections 4.13 and 4.19(a), (the “Target Contracts”). With respect to each Target Contract: (i) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, effect and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result Target Entity is in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material ContractDefault thereunder; (iii) since December 31, 1997, CPI no Target Entity has not received repudiated or waived any written notice or other written communication regarding material provision of any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communicationContract; and (iv) CPI has not waived no other party to any such Contract is, to the Knowledge of its material rights under any CPI Material ContractTarget, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed Default in any material respect or, to CPI's knowledge, where a dispute as to or has repudiated or waived any material matter has provision thereunder. All of the Target Contracts have been threatenedPreviously Disclosed. All of the indebtedness of any Target Entity for money borrowed is prepayable at any time by such Target Entity without penalty or premium.
Appears in 1 contract
Material Contracts. Except as set forth on Schedule 3.11 hereto, neither the Company nor any Subsidiary is a party to or bound by any written or oral (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes employment, consulting or non-competition agreement or contract requiring payments of this Agreementcompensation to any one Person in excess of $75,000 per year or aggregate payments of compensation to any one Person in excess of $150,000, each of the following shall be deemed to constitute a CPI Material Contract:
other than (i) employment agreements entered into with employees in the ordinary course of business containing terms not differing in any Contract relating material respect from the forms of contract previously provided by Seller to the employment of, or the performance of services by, any officer, director or employee THEH and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits);
(ii) the Employment Agreements, true and correct copies of which Seller has previously provided to THEH; (b) joint venture or partnership contract or agreement; (c) contract or agreement restricting the right of the Company or any Contract that provides of the Subsidiaries to compete in any way with any other Person; (d) other than trade payables in the ordinary course of business, agreement or contract creating, evidencing or securing, as of the date hereof, obligations of the Company or any of the Subsidiaries for indemnification of any officer(i) borrowed money, director(ii) purchase money indebtedness, employee or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale guarantee or transfer assumption of an obligation for borrowed money or purchase money indebtedness or other obligations of reimbursement of any securities, (B) providing any Person with any preemptive right, right maker of participation, right a letter of maintenance credit or any guaranty of minimum equity or capital or any make-whole or similar right with respect to any securitiesagreement, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give loan or extension of credit by the Company or any notice, obtain any consent Subsidiary or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) bankers acceptance; (e) agreement or contract relating to any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value outstanding commitment for capital expenditures in excess of $300,000 the amount set forth in aggregate payments under such Contractthe capital budget provided to THEH prior to the date hereof; (f) licenses, whether as licensor or licensee, of any Intellectual Property (other than the European License); (g) any material lease as lessee or lessor of real or personal property; (h) capitalized lease or sale-leaseback or material conditional sale agreement; (i) distributorship, agency or franchise agreement; (j) material raw material or other supply agreements or any exclusive dealing, requirements or take-or-pay contracts; (k) other than as identified in Section 3.12, any brokerage or finders fee agreements; or (IIl) other contract or agreement, entered into other than in the performance ordinary course of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligationsbusiness, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the an estimated total future payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) 100,000. Each CPI Material Contract contract or agreement set forth on Schedule 3.11 hereto is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPISeller's knowledge, no is legal, valid and binding and enforceable against each other Person has materially violated party thereto. Neither the Company or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of Subsidiaries, nor, to Seller's knowledge, any CPI Material Contractother party to any such contract or agreement, (B) give any Person the right to declare a is in material breach thereof or default or exercise any remedy thereunder and there does not exist under any CPI Material Contractprovision thereof, (C) give any Person event that, with the right to accelerate the maturity or performance giving of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual the lapse of time or possible violation both, would constitute such a breach or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to by the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, Company or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect Subsidiary or, to CPISeller's knowledge, where a dispute by any other party to any such contract or agreement, except for such breaches, defaults and events as to which requisite waivers or consents have been or prior to the Closing will have been obtained. Seller has made available to THEH true and correct copies of each of such written agreements and contracts or provided written summaries of any material matter has been threatenedsuch oral agreements and contracts.
Appears in 1 contract
Material Contracts. (a) The CPI Section 4.17 of the Target Company Disclosure Schedule identifies each CPI Contract that constitutes Schedules sets forth a "CPI Material Contract." For purposes list, separated by subsection, of this Agreement, each all of the following shall be deemed Contracts (x) to constitute which any Target Company is a CPI party as of the date of this Agreement or (y) by which any Target Company or any of their respective properties or assets are bound as of the date of this Agreement (collectively, the “Material Contract:Contracts”):
(i) any Contract relating to the employment of, or the performance leases of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation personal property that require payment or any other payment (other during their remaining term of more than payments in respect of salary and the grant of standard benefits)$10,000;
(ii) Contracts under which any Contract that provides for indemnification Target Company has borrowed any money or incurred any Indebtedness from, or issued any note, bond, debenture or other evidence of Indebtedness to, any officer, director, employee Person (other than another Acquired Company or agentthe Operating Company);
(iii) any Contract Contracts (A) relating to containing a covenant limiting the acquisition, issuance, voting, registration, sale or transfer freedom of any securitiesTarget Company to engage in any line of business in any geographic area or to compete with any Person, (B) providing creating or purporting to create any Person with exclusive relationship or arrangement, (C) limiting the freedom of any preemptive rightTarget Company to solicit, right of participationhire or employ any Person, right of maintenance D) containing a “most favored nation” or any similar right with respect to any securitiesprovision, or (CE) providing CPI with any right of first refusal with respect toimposing, or right purporting to repurchase or redeemimpose, any securitiesobligations or restrictions on Affiliates of the Target Companies;
(iv) any Contract requiring that CPI give any notice, obtain any consent Contracts relating to capital expenditures involving future payments in excess of $5,000 individually or provide any information to any Person prior to accepting any Acquisition Proposal$10,000 in the aggregate;
(v) Contracts relating to the acquisition or disposition since the Interim Balance Sheet Date of any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other asset for consideration on or after the date hereof in an amount or having a value in excess of $300,000 10,000 other than in aggregate payments under such Contract, or (II) the performance ordinary course of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractbusiness;
(vi) any Contract Contracts relating to the acquisition or sale of (A) to which any Governmental Body is a party asset other than in the ordinary course of business or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates the capital stock, other equity interests or involves (I) purchase of substantially all of the payment or delivery assets of cash or any other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such ContractPerson, or (II) the performance of services on a merger, consolidation, business combination or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractsimilar transaction;
(vii) Contracts between (A) a Target Company, on the one hand, and (B) any open purchase order placed by CPI requiring future aggregate of its Related Persons, any Seller or any of their respective Affiliates, on the other hand;
(viii) Contracts with any Person (A) that provided for payments to or from any Target Company in excess of $300,00075,000 during the 12-month period ended on the last day of the calendar month immediately preceding the date hereof or (B) that is reasonably expected to provide for payments to or from any Target Company in excess of $75,000 during any 12-month period commencing on or after January 1, 2015;
(ix) Contracts granting any Person an option or a first refusal, first-offer or similar preferential right to purchase or acquire any assets;
(x) Contracts with any agent, distributor or representative that are not terminable without penalty on thirty (30) days’ or less notice;
(xi) Contracts (A) with respect to any Company Intellectual Property licensed or transferred to any third Person, (B) pursuant to which a third party has licensed or transferred any Intellectual Property to any Target Company (excluding any shrink-wrap or click-wrap license for computer software that is generally available from a commercial source for an annual license or royalty fee of less than $10,000 in the aggregate) or (C) pursuant to which use, commercial exploitation, assignability or enforcement of any Company Intellectual Property is subject to territorial restrictions, field of use limitations, covenants not to xxx or non-competition restrictions;
(xii) Contracts with respect to any joint venture or partnership or providing for the sharing of any revenue or profits; and
(viiixiii) any other Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under is material to the Securities Act of 1933Target Companies.
(b) Each CPI The Target Companies have made available to the Purchaser true and complete copies of all Material Contract is valid Contracts, including any amendments thereto. The Material Contracts are legal, valid, binding and in full force and effect, and is enforceable in accordance with its termstheir respective terms with respect to the applicable Target Company and each other party to such Material Contract. No applicable Target Company or, subject to (i) laws the Knowledge of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default underS/T Group, any CPI other party thereto, is in material breach or default under any such Material Contract, and, to the best of the knowledge of CPI, no other Person nor has materially violated or breached, or committed there occurred any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition existsthat, that (with or without notice or lapse of time) could reasonably be expected to (A) result in time or both, would constitute a material violation default or breach breach. No Target Company is participating in any discussions or negotiations regarding modification of or amendment to any of the provisions of Material Contract or entry into any CPI new contract that would be a Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Membership Interest and Stock Purchase Agreement (Oxford Industries Inc)
Material Contracts. (a) The CPI Disclosure “Material Contracts Schedule” attached hereto as Schedule identifies each CPI Contract that constitutes 3.11 sets forth a "CPI Material Contract." For purposes true and complete list of this Agreement, each of the following shall be deemed Contracts related to constitute a CPI the Business by which any of the Transferred Assets are bound (collectively, the “Material Contract:Contracts”):
(i) any Contract relating all Contracts primarily related to the employment of, Business under which a Seller or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI its Affiliates is or may become obligated to make payments, or has guaranteed the obligations of any severancethird party to make payments, terminationin any such case, bonus or relocation payment or on an annual basis in excess of $250,000, including any other payment (other than payments in respect of salary and the grant of standard benefits)such Contracts with Material Suppliers;
(ii) all Contracts with customers of the Business who have had annual purchases of Products at any Contract that provides for indemnification time during the past three (3) years in excess of $250,000 in any officersingle calendar year, director, employee or agentincluding any such Contracts with Material Customers;
(iii) any Contract primarily related to the Business (A) relating to the acquisitionborrowing of money or the guaranty of another Person’s borrowing of money, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance pursuant to which a Seller or any similar right with respect its Affiliates has loaned or advanced money to any securitiesPerson, or (C) providing CPI with any right other than sales to customers on credit and advances to employees in the Ordinary Course of first refusal with respect to, or right to repurchase or redeem, any securitiesBusiness;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to granting any Person prior to accepting a Lien on all or any Acquisition Proposalportion of the Transferred Assets;
(v) any Contract (not otherwise identified in this Section) that (A) has a term providing for any Person to be the exclusive provider of more than sixty (60) days any Product or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery exclusive recipient of a termination notice by CPI and any Product, or (B) that contemplates containing a covenant by a Seller or involves its Affiliates with respect to the Business not to (Ix) the payment or delivery of cash or other consideration on or after the date hereof compete with any Person in an amount or having a value any business in excess of $300,000 in aggregate payments under such Contract, any geographic area or (IIy) the performance of services on solicit or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contracthire any Person;
(vi) any Contract primarily related to the Business with capital expenditure or commitment requirements on an annual basis at any time during the past three (A3) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value years in excess of $300,000 250,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractany single calendar year;
(vii) any open purchase order placed by CPI requiring future aggregate payments Contract granting a most-favored nation or similar preferred pricing right, right of first refusal or right of first offer, right of first negotiation, exclusivity or similar right in excess favor of $300,000; anda third party;
(viii) any Contract with an agent for brokering, distribution, indirect sale or other third party marketing or sale of any Product;
(ix) any Contract primarily related to the Business involving a settlement requiring a payment of consideration in excess of $100,000 or the release, compromise or waiver of any material rights, claims, obligations, duties or liabilities;
(x) any Contract primarily related to the Business requiring either Seller or its Affiliates to make any minimum purchase;
(xi) any Inbound License Agreement or Outbound License Agreement (other than licenses of generally available non-customized computer software granted to a Seller or its Affiliates or any prior owner of any portion of the Business with a total replacement cost of less than $50,000);
(xii) any Contract or group of related Contracts with the same party (or group of related parties) primarily related to the Business either (A) requiring payments after the date hereof to or by either Seller or its Affiliates of more than $250,000 in any single calendar year; or (B) not otherwise identified terminable by such Seller or its Affiliates on ninety (90) days’ or less notice without penalty or Liability, in this Sectioneach case, other than (x) that would be required as purchase orders and (y) purchases of advertisements and other media buys;
(xiii) any Mixed Contract pursuant to which the Business has spent in excess of $250,000 on an exhibit annual basis in any single calendar year in the past three (3) years; or
(xiv) any joint venture or partnership Contract related to the Business pursuant to a registration statement under the Securities Act of 1933Seller or its Affiliates holds any securities or other equity rights in another Person.
(b) Each CPI Except as specifically disclosed on the Material Contracts Schedule, the Sellers have made available to Buyer true and complete copies of each of the written Material Contracts and a summary of the material terms of any oral Material Contracts (in each case of a written Material Contract, including all material modifications, amendments and material supplements thereto). Except as specifically disclosed on the Material Contracts Schedule: (i) each Assumed Contract is valid legal, valid, binding, enforceable, and in full force and effect, and is enforceable in accordance with its terms, subject to proper authorization and execution by the other party or parties thereto and except as such enforceability may be limited by the Enforceability Exceptions (i) laws and, for the avoidance of general application relating doubt, no Seller makes any representation or warranty with respect to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case enforceability of any Contract described in Section 3.11(a)(v) with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, respect to the best principles of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contractequity limiting non-solicit and non-compete covenants); (ii) to the best of the knowledge of CPIsuch Seller and its Affiliates are not in material breach or material default under any Assumed Contract, and no event has occurred, and no circumstance or condition exists, that (occurred which with or without notice or lapse of time) could reasonably be expected to (A) result in time or both would constitute a material violation breach or breach material default thereunder. Except as specifically disclosed on the Material Contracts Schedule, there is no pending or, to the Sellers’ Knowledge, threatened claim in writing challenging the validity or enforceability of any Assumed Contract and, to Sellers’ Knowledge, there are no facts or circumstances that would reasonably provide a basis for any such claim. During the one (1)-year period ending on the date hereof, none of the provisions Sellers or any of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not their Affiliates have received any written notice or in writing from any other written communication regarding any actual or possible violation or breach of, default under, or intention party to an Assumed Contract that such Person intends to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiaterenew, any material amount paid or payable to CPI under any CPI Material Assumed Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Asset Purchase Agreement (Prestige Brands Holdings, Inc.)
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each Except for the Contracts and agreements described in Section 4.24 of the following shall be deemed Company Disclosure Schedules (the “Material Contracts”), the Company is not a party to constitute a CPI Material or bound by any Contract, as follows:
(i) any Contract relating to the Any employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other Contract providing any employee with severance or other rights to payment (other than payments upon termination of employment, except as may be included in respect of salary and the grant of standard benefits)Company’s employee handbook;
(ii) any Any Contract that provides for indemnification involving the leasing of any officer, director, employee or agentpersonal property;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesAny insurance Contracts;
(iv) Contracts affecting any Contract requiring that CPI give Company Intellectual Property or Company Software, including any notice, obtain Contact for the development or licensing of any consent or provide any information to any Person prior to accepting any Acquisition Proposalof the foregoing;
(v) Contracts with independent contractors or consultants, except subcontracts in the ordinary course of business;
(vi) Company Employee Plans;
(vii) Any Contract for capital expenditures or for the purchase of goods or services in excess of $10,000.00;
(viii) To Company’s Knowledge, any Contract obligating the Company to sell or deliver any product or service at a price which does not cover the cost (including labor, materials and production overhead) plus the customary profit margin associated with such product or service;
(ix) Any Contract involving financing or borrowing of money, or evidencing indebtedness, any Liability for borrowed money, any obligation for the deferred purchase price of property in excess of $10,000.00 (excluding normal trade payables) or guaranteeing in any way any Contract in connection with any Person;
(x) Any joint venture, partnership, cooperative arrangement or any other Contract involving a sharing of profits;
(xi) Any advertising Contract not otherwise identified terminable without payment or penalty on 30 days (or less) notice;
(xii) Any Contract affecting any right, title or interest in this Sectionor to real property;
(xiii) that Any Contract relating to any license or royalty arrangement;
(Axiv) has a term Any power of more attorney, proxy or similar instrument;
(xv) Any Contract among shareholders of the Company;
(xvi) Any Contract for the purchase or sale of any assets other than sixty in the ordinary course of business or for the option or preferential rights to purchase or sell any assets;
(60xvii) days Other than indemnity provisions included in the Assumed Contracts, the Asset Schedule, or that may completed project client contracts, any Contract to indemnify any Person or to share in or contribute to the Liability of any Person;
(xviii) Any Contract applicable to any employee of or contractor with the Company containing covenants not be terminated by CPI to compete in any line of business or with any Person in any geographical area;
(without penaltyxix) within sixty (60) days after Any Contract related to the delivery acquisition of a termination notice by CPI and business or the equity of any other Person;
(Bxx) Any other Contract that contemplates or involves (I) the payment future payments, performance of services or delivery of cash goods or other consideration on materials to or after by the date hereof in Company of an aggregate amount or having a value in excess of $300,000 in aggregate payments under such Contract10,000.00, on an annual basis, or (II) that otherwise is material to the performance business or prospects of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000Company; and
(viiixxi) any Contract (not otherwise identified in this Section) that Any proposed arrangement of a type that, if entered into, would be required as an exhibit a Contract described in a registration statement under the Securities Act any of 1933(i) through (xxi) above.
(b) The Company has delivered to the Asset Purchaser and WESGEN accurate, correct and complete copies of all Material Contracts (or written summaries of the material terms thereof, if not in writing), including all amendments, supplements, modifications and waivers thereof. All Material Contracts are in writing.
(c) Each CPI Material Contract is currently valid and in full force and effect, and is enforceable by the Company in accordance with its terms, subject to .
(d) (i) laws of general application relating to bankruptcyThe Company is not in default, insolvency and no party has notified the relief of debtorsCompany that it is in default, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of under any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no . No event has occurred, and no circumstance or condition exists, that might (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, ; (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, ; (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, Contract or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (BD) has been received from otherwise have a complaining party that has not contacted CPI or otherwise, to Material Adverse Effect on the knowledge of CPI, taken Company in connection with any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and Material Contract;
(ivi) CPI The Company has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.;
(dii) To Each Person against which the best Company has or may acquire any rights under any Material Contract is (i) solvent and (ii) able to satisfy such Person’s material obligations and Liabilities to the Company; and
(iii) The performance of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed Contracts will not result in any material respect or, violation of or failure by the Company to CPI's knowledge, where a dispute as to comply with any material matter has been threatenedLaw.
Appears in 1 contract
Samples: Asset Purchase and Merger Agreement (Willdan Group, Inc.)
Material Contracts. (a) The CPI Disclosure Except as set forth in Schedule identifies each CPI Contract that constitutes H and otherwise disclosed in this Agreement neither the Corporation nor any Subsidiary is a "CPI Material Contract." For purposes of this Agreement, each of the following shall be deemed party or subject to constitute a CPI Material Contractor bound by:
(i1) any Contract relating to contract, lease or agreement creating any obligation of the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment Corporation or any other payment (other than payments in respect of salary and the grant of standard benefits);
(ii) Subsidiary to pay to any Contract that provides for indemnification of any officer, director, employee third party $200,000 or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right more with respect to any securitiessingle such contract or agreement, or (C) providing CPI except for purchase orders entered into in the ordinary course the existing contracts with any right of first refusal with respect toAmerica OnLine, or right to repurchase or redeem, any securitiesInc. and the Agreement and the E-Commerce Agreement;
(iv2) any Contract requiring that CPI give any noticecontract or agreement for the sale, obtain any consent license, lease or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term disposition of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value products in excess of $300,000 200,000;
(3) any contract containing covenants directly or explicitly limiting the freedom of the Corporation or any Subsidiary to compete in aggregate payments under such Contractany line of business or with any person or entity, except for the existing contracts with America OnLine, Inc., Toronto Star Newspapers Limited and the E- Commerce Agreement;
(4) any license agreement (as licensor or licensee) other than Generic Software;
(II5) any contract or agreement or the performance purchase of services on any leasehold improvements, equipment or after the date hereof having fixed assets for a value price in excess of $300,000 in aggregate payments under such Contract200,000;
(vi6) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligationsindenture, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract mortgage, promissory note, loan agreement, guaranty or other Contract between CPI and any contractor agreement or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value commitment for borrowing in excess of $300,000 200,000 or any pledge or security arrangement except as disclosed in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractSchedule H;
(vii7) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; andmaterial joint venture, partnership, manufacturing, development or supply agreement;
(viii8) any employment contracts, or agreements with officers, directors, employees or stockholders of the Corporation or any Subsidiary or persons or organizations related to or affiliated with any such persons;
(9) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a stock redemption or purchase agreements or other agreements affecting or relating to the capital stock of the Corporation or any Subsidiary, including without limitation any agreement relating to the capital stock of the Corporation or any Subsidiary, including without limitation any agreement relating to anti-dilution rights, registration statement under the Securities Act of 1933.rights, voting arrangements, operating covenants or similar provisions;
(b10) Each CPI Material Contract is valid any pension, profit sharing, retirement or stock option plans;
(11) any royalty, dividend or similar arrangement based on the sales volume of the Corporation or any Subsidiary;
(12) any acquisition, merger or similar agreement; or
(13) any other contract not executed in the ordinary course. All of such agreements and contracts are valid, binding and in full force and effect. Neither the Corporation nor any Subsidiary, nor, to the knowledge of the Corporation, any other party is in material default under any of such agreements or contracts (nor, to the knowledge of the Corporation, has any event occurred which with notice, lapse of time or both would constitute a material default thereunder), except to the extent that any such default would not have a material effect on the assets, liabilities, properties, business or prospects of the Corporation or any Subsidiary, and the Corporation or any Subsidiary, has not received notice of any alleged default under any such contract, or agreement. There is enforceable in accordance with its terms, subject no written contract currently under negotiation by the Corporation which has not been disclosed to the Purchaser:
(i) laws of general application relating as to bankruptcy, insolvency which the Corporation believes negotiations are substantially complete; and the relief of debtors, (ii) rules of law governing specific performancewhich, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Bodywhen entered into, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in have a material violation affect on the condition (financial or breach otherwise), business, property, results of any operations, assets or liabilities of the provisions of any CPI Material Contract, (B) give any Person Corporation or the right to declare Subsidiary taken as a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPIwhole.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (ai) The CPI Set forth on Schedule 4.2(p)(i) of the TCB Holdings Disclosure Schedule identifies each CPI Contract that constitutes Memorandum is a "CPI Material Contract." For purposes true, correct, and complete list (arranged by applicable subsection), as of the date of this Agreement, each of the following shall be deemed Contracts to constitute which TCB Holdings or the Bank, or any of their respective Subsidiaries, is a CPI party or by which TCB Holdings or the Bank, or any of their respective Subsidiaries, is bound (whether or not actually set forth on such schedule, collectively, the “TCB Holdings Material Contract:Contracts”):
(iA) Any Contract (other than Contracts for Bank Loans (as defined below) made in the ordinary course of business) that involves, or would reasonably be expected to involve, annual receipts or disbursements of $50,000 or more;
(B) Any Contract that requires TCB Holdings or the Bank, or any of their respective Subsidiaries, to purchase all of its requirements for a given product, good, or service from a given Person;
(C) Any Contract (other than a Contract related to a Bank Loan or collateral securing a Bank Loan) relating to the employment ofdisposition or acquisition, directly or indirectly (by merger or otherwise), by TCB Holdings or the Bank, or any of their respective Subsidiaries, after the performance date of services bythis Agreement of properties, assets, or securities with a fair market value of $25,000 or more;
(D) Any employment agreement, consulting agreement, severance agreement, change of control agreement, bonus agreement, salary continuation agreement, deferred compensation agreement, stock option agreement, restricted stock agreement, non-competition agreement, non-solicitation agreement, confidentiality or non-disclosure agreement, or other Contract with any current or former director, officer, director employee, or employee and any Contract pursuant independent contractor of or to which CPI is TCB Holdings or may become obligated to make any severance, termination, bonus or relocation payment the Bank or any other payment of their respective Subsidiaries (other than payments excluding commercially standard confidentiality and non-disclosure provisions included in respect vendor agreements entered into by the TCB Holdings Parties in the ordinary course of salary and the grant of standard benefitsbusiness);
(iiE) any Any Contract that provides (other than Contracts for indemnification Bank Loans made in the ordinary course of business) not disclosed under Section 4.2(p)(i)(D) with or for the primary and direct benefit of any officershareholder, director, employee officer, employee, or agentAffiliate of TCB Holdings or the Bank or any of their respective Subsidiaries, or any Affiliate of or member of the immediate family of any such Person;
(iiiF) Any Contract under or pursuant to which any payment or benefit (whether change of control, severance, or otherwise) will or may become due or will or may be accelerated as of result of or upon the execution or delivery of this Agreement or the consummation of any of the transactions contemplated by this Agreement (either alone or upon or together with the occurrence of any additional acts or events);
(G) Any Contract that limits or purports to limit the right of TCB Holdings or the Bank, or any of their respective Subsidiaries, to engage in any line of business, compete with any Person, or operate in any geographic location;
(AH) relating Any partnership, joint venture, limited liability company, or similar Contract;
(I) Any Contact with respect to the acquisitionownership, issuanceoccupancy, votingmanagement or lease (as lessor, registrationlessee, sale or transfer otherwise) of any securities, real property;
(BJ) providing Any Contract that grants to any Person with any preemptive rightright of first refusal, right of participationfirst offer, right of maintenance or any similar right with respect to any securitiesassets, rights, properties, or (C) providing CPI with securities of TCB Holdings or the Bank or any right of first refusal with respect to, or right to repurchase or redeem, any securitiestheir respective Subsidiaries;
(ivK) Any Contract that relates to indebtedness of or borrowings of money by TCB Holdings or the Bank, or any Contract requiring that CPI give any noticeof their respective Subsidiaries, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract50,000 (other than Contracts relating to customer deposit liabilities, Federal Home Loan Bank borrowings, or (II) the performance of services on or after the date hereof having a value repurchase agreements with customers, in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligationseach case created, incurred, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) entered into in the payment or delivery ordinary course of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000business); and
(viiiL) Any Contract relating to the acquisition, transfer, sale, or issuance of, or otherwise directly affecting or dealing with, any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under securities of TCB Holdings or the Securities Act Bank or any of 1933their respective Subsidiaries, including without limitation any voting, shareholders, or underwriting agreement.
(bii) A true, correct, and complete copy (or, in the case of any oral Contract, a complete and accurate written description) of each TCB Holdings Material Contract, as amended through the date of this Agreement, has been previously provided or made available to Reliant. Each CPI of the TCB Holdings Material Contract Contracts is valid and in full force and effect, effect and is a valid and binding obligation of TCB Holdings or the Bank or their respective Subsidiaries, as applicable, and, to the Knowledge of the TCB Holdings Parties, each of the other parties thereto, enforceable against TCB Holdings or the Bank or their respective Subsidiaries, as applicable, and, to the Knowledge of the TCB Holdings Parties, each of the other parties thereto in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency the Enforceability Exceptions. TCB Holdings and the relief of debtorsBank and their respective Subsidiaries have performed, (ii) rules of law governing specific performancein all material respects, injunctive relief all duties and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI obligations required to be performed by them under each TCB Holdings Material Contract, and. Neither TCB Holdings or the Bank or any of their respective Subsidiaries nor, to the best Knowledge of the knowledge TCB Holdings Parties, any other party thereto is in breach or violation of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect orrespect, to CPI's knowledgeany TCB Holdings Material Contact, where and there has not occurred any event that, with the lapse of time or the giving of notice or both, would constitute such a dispute as to any material matter has been threatenedbreach, violation, or default.
Appears in 1 contract
Material Contracts. Except as Previously Disclosed (all items Previously ------------------ Disclosed or required to be Previously Disclosed being referred to herein as "Scheduled Contracts"), ABD is not a party or otherwise subject to:
(a) The CPI Disclosure Schedule identifies each CPI Contract any employment, deferred compensation, bonus or consulting contract that constitutes (i) has a "CPI Material Contract." For purposes remaining term, as of the date of this Agreement, each of more than one year in length of obligation on the part of ABD and is not terminable by ABD within one year without penalty or (ii) requires payment by ABD of $100,000 or more per annum;
(b) any advertising, brokerage, licensing, dealership, representative or agency relationship or contract requiring payment by ABD of $100,000 or more per annum;
(c) any contract or agreement that restricts ABD (or to the best of ABD's knowledge would restrict any Affiliate of ABD or the Surviving Corporation, including GBB and its subsidiaries) after the Effective Time of the following shall be deemed Merger) from competing in any line of business with any Person or using or employing the services of any Person;
(d) any lease of real or personal property providing for annual lease payments by or to constitute ABD in excess of $100,000 per annum;
(e) any mortgage, pledge, conditional sales contract, security agreement, option, or any other similar agreement with respect to any interest of ABD in personal property having a CPI Material Contract:value of $100,000 or more;
(f) any stock purchase, stock option, stock bonus, stock ownership, profit sharing, group insurance, bonus, deferred compensation, severance pay, pension, retirement, savings or other incentive, welfare or employment plan or material agreement providing benefits to any present or former employees, officers or directors of ABD;
(g) any agreement to acquire equipment or any commitment to make capital expenditures of $100,000 or more;
(h) any agreement for the sale of any property or assets in which ABD has an ownership interest or for the grant of any preferential right to purchase any such property or asset;
(i) any Contract relating to agreement for the employment of, or the performance borrowing of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)money;
(iij) any Contract restrictive covenant contained in any deed to or lease of real property owned or leased by ABD that provides for indemnification materially restricts the use, transferability or value of any officer, director, employee or agentsuch property;
(iiik) any Contract (A) relating to guarantee or indemnification which involves the acquisition, issuance, voting, registration, sale sum of $100,000 or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesmore;
(ivl) any Contract requiring that CPI give any noticesupply, obtain any consent maintenance or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (landscape contracts not otherwise identified in this Section) that (A) has a term of more than sixty (60) days terminable by ABD without penalty on 30 days' or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination less notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate provides for payments in excess of $300,000; and100,000 per annum;
(viiim) any Contract (not otherwise identified in this Section) that material agreement which would be required terminable other than by ABD as an exhibit in a registration statement under result of the Securities Act consummation of 1933.the transactions contemplated by this Agreement;
(bn) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application any contract relating to bankruptcy, insolvency and the relief provision of debtors, data processing services to ABD;
(iio) rules any agreements relating to referral of law governing specific performance, injunctive relief and customers to ABD by other equitable remedies and Persons; or
(iiip) in the case any other agreement of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated other kind which involves future payments or breached, receipts or committed any material default under, any CPI Material Contract, and, performances of services or delivery of items requiring payment of $100,000 or more to the best or by ABD. True copies of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contractall Scheduled Contracts, including termination provisionsall amendments and supplements thereto, have been delivered to GBB.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Agreement and Plan of Merger and Reorganization (Greater Bay Bancorp)
Material Contracts. 6.8.1. The Schedule of Contracts, Exhibit 6.8 to the Disclosure Schedules, contains a complete list of all Contractual Obligations and commitments of the following types to which the Company or any Related Company is a party or by which the Company or any Related Company or any of its properties were bound as of October 31, 1995 or as of the date hereof:
(a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes promissory notes, loan agreements, mortgages, indentures, security agreements, conditional sales contracts and other material Contractual Obligations relating to indebtedness, the extension of this Agreementcredit or other financing arrangements;
(b) sale and leaseback arrangements and installment purchase arrangements;
(c) partnership and joint venture agreements;
(d) management or operating agreements;
(e) employment and consulting agreements;
(f) collective bargaining or similar agreements;
(g) bonus, each profit sharing, compensation, stock option, pension, retirement, deferred compensation, welfare or other plans, agreements, trusts, funds or arrangements for the benefit of the following shall be deemed to constitute a CPI Material Contract:employees (whether or not legally binding);
(h) sales agency, franchise, manufacturer's representative, distributorship, distribution or similar agreements;
(i) agreements, orders or commitments for the purchase by the Company or any Contract Related Company of materials, supplies or services which exceed $50,000 and are not in the ordinary course of business;
(j) agreements, orders or commitments for sale or lease by the Company or any Related Company of its assets, products or services which exceed $50,000 and are not in the ordinary course of business;
(k) licenses or royalty agreements relating to Intellectual Property or intellectual property rights;
(l) agreements or commitments for capital expenditures in excess of $250,000 for a single project (it being warranted that the employment of, or commitments for all undisclosed contracts for such projects does not exceed $500,000 in the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefitsaggregate);
(iim) any Contract that provides for indemnification of any officer, director, employee brokerage or agentfinder's agreements;
(iiin) Contractual Obligations containing in any Contract case a specific clause or affected by a Requirement of Law giving any Person a party to such Contractual Obligation the right to renegotiate or require a reduction or increase in prices or the repayment of any amount previously paid;
(Ao) agreements or other documents creating Liens relating to any real or personal property owned, rented, or leased by the Company or any Related Company;
(p) agreements relating to the acquisition, issuance, voting, registration, sale Lease or transfer rental of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance real or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiespersonal property;
(ivq) other Contractual Obligations and commitments which in any case involve payments or receipts thereunder of more than $100,000 in the aggregate with any Person;
(r) Contractual Obligations containing covenants limiting the freedom of the Company or any Related Company, or any stockholder, officer, or director thereof to compete in any line of business, with any Person or in any area, territory, product or service;
(s) any Contract requiring outstanding power of attorney given by the Company or any Related Company;
(t) agreements that CPI give any noticerestrict (i) the maintenance or incurrence of indebtedness, obtain any consent (ii) the sale or provide any information lease of property or (iii) distributions or transfers to any Person prior to accepting any Acquisition Proposalshareholders (by dividend or otherwise);
(u) Guaranties;
(v) any Contract (other material Contractual Obligation of the Company or any Related Company not otherwise identified made in this Section) that (A) has a term the ordinary course of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933business.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) 6.8.2. Except as set forth in the CPI Disclosure Schedule: Schedule of Contracts, (ia) CPI has not materially violated each Contractual Obligation and commitment of the Company and the Related Companies is in full force and effect; and (b) the Company or breachedthe Related Company, or committed any material default under, any CPI Material Contractas the case may be, and, to the best Company's knowledge, all other parties to such Contractual Obligations and commitments, have in all material respects performed all obligations required to be performed by them and no Contractual Obligation or commitment to which the Company is a party contains any provisions when taken as a whole which, in the judgment of the knowledge of CPICompany, no other Person has materially violated are unusually burdensome, restrictive or breached, or committed any material default under, any CPI Material Contract; (ii) unfavorable to the best of the knowledge of CPI, no event has occurred, Company and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would which have a Material Adverse Effect on CPIthe Company as of the date of this Agreement.
(d) To 6.8.3. Except as set forth in the best Schedule of the knowledge of CPIContracts, there has been no Person is renegotiatingtermination, cancellation or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contractlimitation of, or any material modification or change in, the business relationship of the Company and the Related Companies with (a) any landlord or lender whose involvement is significant to the Companies' business (other material term than in the ordinary course of business), (b) any supplier or provision affiliated group of suppliers whose sales individually or in the aggregate provided more than 5% of gross purchases made by the Company and the Related Companies for any CPI Material Contractof the years ended December 31, including termination provisions1994 or 1995, or (c) any customer of affiliated group of customers who purchases individually or in the aggregate provided more than 5% of gross sales made by the Company and the Related Companies for any of the years ended December 31, 1994 or 1995.
(e) 6.8.4. Except as set forth in the Disclosure Schedules, the outstanding Contractual Obligations relating to the purchase or sale of goods by the Company and Related Companies are not in the aggregate at prices which are materially unfavorable to the Company and the Related Companies and neither the Company nor the Related Companies are parties to any Contractual Obligation for the purchase of goods or services calling for delivery or performance 90 days or more from the date of order.
6.8.5. The CPI Disclosure Schedule sets forth a list Company and the Related Companies have delivered to Buyer complete copies of all claims made under written Contractual Obligations and commitments, together with all amendments thereto, listed on the Schedule of Contracts and a complete description of all oral agreements listed in the Schedule of Contracts.
6.8.6. Neither the Company nor any CPI Material Contract that are disputed in Related Company has entered into any material respect or, to CPI's knowledge, where Government contract either as a dispute as to any material matter has been threatenedprime contractor or a subcontractor.
Appears in 1 contract
Samples: Stock Purchase Agreement (Worthington Industries Inc)
Material Contracts. (a) The CPI Except as set forth in Section 3.13(a) of the Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes Schedules, as of the date of this Agreement, each none of the following shall be deemed Business Subsidiaries is party to constitute any loan or credit agreement, bond, debenture, note, mortgage, indenture, guarantee, lease or other contract, agreement, commitment, obligation, undertaking, concession, franchise or license (each, including all amendments thereto, a CPI Material “Contract:”):
(i) any that represents a joint venture or other Contract relating to the employment ofownership by any Business Subsidiary of a partnership, membership or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments equity interest in respect of salary and the grant of standard benefits)a third party;
(ii) any Contract that provides for indemnification contains covenants of any officerBusiness Subsidiary (or that would bind Buyer, directorany Affiliate of Buyer, employee or agentany of the Business Subsidiaries following Closing) (A) not to compete in any line of business or in any geographical area, (B) not to sell, supply or distribute any material amount of products or services to any Person, or (C) that materially restrict hiring, employment or solicitation for employment;
(iii) that contains exclusivity obligations binding on any Contract (A) relating of the Business Subsidiaries or purporting to the acquisition, issuance, voting, registration, sale or transfer bind Affiliates of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesthe Business Subsidiaries;
(iv) that contains earn-out, deferred or contingent purchase price or similar contingent payment obligations on the part of any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition ProposalBusiness Subsidiary in excess of $100,000;
(v) that provides for the acquisition of any Contract business, business unit or product line or the capital stock of any other Person, which was consummated within three (not otherwise identified in this Section3) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after years prior to the date hereof in an amount or having a value of this Agreement, for consideration in excess of $300,000 in aggregate payments under such Contract1,000,000;
(vi) that provides for the disposition or sale, or which was consummated within three (II3) the performance of services on or after years prior to the date hereof having a value of this Agreement, of any business or business unit or the capital stock of any Business Subsidiary for consideration in excess of $300,000 1,000,000 or in respect of which the Business Subsidiaries will, after giving effect to the Closing, have any material liability or obligation;
(vii) that relates to Debt of any Business Subsidiary, other than trade payables and accrued expenses;
(viii) under which (A) any Person (other than any of the Business Subsidiaries) has directly or indirectly guaranteed any material liabilities or obligations of any of the Business Subsidiaries or (B) any of the Business Subsidiaries has directly or indirectly guaranteed any liabilities or obligations of any other Person (other than any of the Business Subsidiaries), including in each case any “take-or-pay” or keepwell agreement;
(ix) that is between any of the Business Subsidiaries, on the one hand, and Seller, any Affiliate of Seller or any of the Business Subsidiaries (excluding other Business Subsidiaries) or any current or former director, officer or employee of Seller or any of the Business Subsidiaries, on the other hand (other than Employment Agreements);
(x) that is a material Government Contract, including any Government Contract with the United States federal government;
(xi) that involves any resolution or settlement of any actual or threatened material Action since January 1, 2008;
(xii) that is (A) a collective bargaining agreement or other Contract with a labor organization or (B) any Employment Agreement with any (1) employee who is a member of the executive committee of the Business or (2) other individual employee on a full-time, part-time, or consulting basis providing for annual base compensation in excess of $175,000;
(xiii) that constitutes a lease or sublease relating to any of the Leased Real Property, for which the annual rent paid thereunder exceeds $125,000;
(xiv) pursuant to which aggregate payments under to or by a Business Subsidiary, in excess of $400,000 annually or in excess of $1,000,000 over the remaining term of such Contract;
(vixv) Contracts pertaining to any Contract (A) to which any Governmental Body is a party transaction or under which any Governmental Body has any rights or obligationsincentive bonus, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract “stay-put” or other Contract between CPI and similar compensatory payments, in any contractor or subcontractor case, to be made to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration Business Employee on or after the date hereof in an amount Closing Date as a result of the execution of this Agreement or having a value in excess the consummation of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contracttransactions contemplated hereby;
(viixvi) any open purchase order placed by CPI requiring future aggregate payments Contracts scheduled or required to be scheduled in excess Section 3.11(a) of $300,000the Disclosure Schedules; andor
(viiixvii) each written commitment or agreement to enter into any Contract of the foregoing. Each contract of the type described in clauses (not otherwise identified in this Sectioni) that would be required through (xvi) above is referred to herein as an exhibit in a registration statement under the Securities Act of 1933“Material Contract.”
(b) Each CPI Material Contract is a legal, valid and in full force and effectbinding obligation of one of the Business Subsidiaries, and, to the Knowledge of Seller, each other party to such Material Contract, and is enforceable against the applicable Business Subsidiary, and, to the Knowledge of Seller, each such other party in accordance with its terms, subject subject, in each case, to (i) laws the Bankruptcy and Equity Exception. None of general application relating the Business Subsidiaries nor, to bankruptcythe Knowledge of Seller, insolvency and the relief any other party to a Material Contract, is in material default or material breach of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI or has not materially violated or breached, or committed failed to perform any material default under, any CPI obligation under a Material Contract, and, to the best Knowledge of the knowledge of CPISeller, no other Person has materially violated there does not exist any event, condition or breached, omission that would constitute such a material breach or committed any material default under, any CPI Material Contract; (ii) to the best whether by lapse of the knowledge of CPI, no event has occurred, and no circumstance time or condition exists, that (with or without notice or lapse of time) could reasonably be expected both). Seller has made available to (A) result in a material violation or breach of any of the provisions of any CPI Material ContractBuyer true, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; complete and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list correct copies of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatenedContracts.
Appears in 1 contract
Samples: Purchase Agreement (Corelogic, Inc.)
Material Contracts. (a) The CPI Section 4.10(a) of the Seller Disclosure Schedule identifies each CPI Contract that constitutes provides a "CPI Material Contract." For purposes true and complete list of this Agreement, each of the following shall be deemed contracts to constitute a CPI which Seller is party (collectively, the “Material Contract:Contracts”):
(i) Real Property Leases, Personal Property Leases, insurance, Contracts affecting any Contract relating to the employment ofSeller Intellectual Property or Seller’s information systems or software, or the performance of services byContracts with Contractors, any officer, director or employee Seller Benefit Plans and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)Governmental Approvals;
(ii) any Any Contract that provides for indemnification capital expenditures or for the purchase of any officergoods or services in excess of $5,000, director, employee except those incurred in the ordinary course of business and to be performed in three (3) months or agentless;
(iii) Any Contract obligating Seller to sell or deliver any Contract product or service at a price which does not cover the cost (Aincluding labor, materials and production overhead) relating to plus the acquisition, issuance, voting, registration, sale customary profit margin associated with such product or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesservice;
(iv) Any Contract involving financing or borrowing of money, or evidencing indebtedness, any liability for borrowed money, any obligation for the deferred purchase price of property in excess of $5,000 (excluding normal trade payables) or guaranteeing in any way any Contract requiring that CPI give in connection with any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition ProposalPerson;
(v) Any joint venture, partnership, cooperative arrangement or any other Contract involving a sharing of profits;
(vi) Any Contract affecting any right, title or interest in or to real property;
(vii) Any Contract with any Governmental Authority;
(viii) Any Contract with respect to the discharge, storage or removal of effluent, waste or pollutants;
(ix) Any Contract relating to any license or royalty arrangement;
(x) Any power of attorney, proxy or similar instrument;
(xi) Any Contract for the manufacture, service or maintenance of any product of the Business;
(xii) Any Contract for the purchase or sale of any assets other than in the ordinary course of business or for the option or preferential rights to purchase or sell any assets;
(xiii) Any requirement or output Contract;
(xiv) Any Contract to indemnify any Person or to share in or contribute to the liability of any Person;
(xv) Any Contract containing covenants not to compete in any line of business or with any Person in any geographical area or that would otherwise identified result in this SectionBuyer being bound by, or subject to, any non-compete or other restriction on the operation or scope of its businesses, including the Business;
(xvi) that Any Contract related to the acquisition of a business or the equity of any other Entity;
(Axvii) has a term Any other Contract which (1) provides for payment or performance by either party thereto having an aggregate value of more than sixty $5,000 or more; (602) is not terminable without payment or penalty on thirty (30) days (or less) notice; or (3) is between, inter alia, an Affiliate and Seller;
(xviii) Any other Contract that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery involves future payments, performance of a termination notice by CPI and (B) that contemplates or involves (I) the payment services or delivery of cash goods or other consideration on materials to or after the date hereof in by Seller of an aggregate amount or having a value in excess of $300,000 in aggregate payments under such Contract5,000, on an annual basis, or (II) that otherwise is material to the performance Business or prospects of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractSeller;
(vixix) any Contract (A) to which any Governmental Body is a party Any contract within or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) needed in the payment or delivery ordinary course of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractSeller’s Business;
(viixx) any open purchase order placed Any warranty contract with respect to services rendered by CPI requiring future aggregate payments Seller or products sold or leased by Seller;
(xxi) Any customer or supplier Contract not entered into in excess the ordinary course of $300,000business for usual quantities and at normal prices; and
(viiixxii) any Contract (not otherwise identified in this Section) that Any proposed arrangement of a type that, if entered into, would be required as an exhibit a Contract described in a registration statement under the Securities Act any of 1933(i) through (xxi) above.
(b) True and complete copies of each written Seller Contract and true and complete written summaries of each oral Seller Contract (including all amendments, supplements, modifications and waivers thereof) have been delivered to Buyer by Seller.
(c) Each CPI Material Contract is currently valid and in full force and effect, and is enforceable by Seller in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(cd) Except as set forth Seller is not in the CPI Disclosure Schedule: (i) CPI default, and no party has not materially violated or breachednotified Seller that they are in default, or committed under any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no . No event has occurred, and no circumstance or condition exists, that (might, with or without notice or lapse of time) could reasonably be expected to : (Ai) result in a material violation or breach of any of the provisions of any CPI Material Contract, ; (Bii) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, ; (Ciii) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, Contract or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI otherwise have a Material Adverse Effect on Seller in connection with any Material Contract.
(e) Seller has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(df) To the best Knowledge of the knowledge of CPISeller and Parent, no each Person is renegotiating, against which Seller has or has the right to renegotiate, may acquire any material amount paid or payable to CPI rights under any CPI Material Contract, or any other Contract is solvent and able to satisfy such Person’s material term or provision of any CPI Material Contract, including termination provisionsobligations and liabilities to Seller.
(eg) The CPI Disclosure Schedule sets forth a list performance of all claims made under any CPI the Material Contract that are disputed Contracts will not result in any material respect orviolation of or failure by Seller to comply with any Legal Requirement.
(h) The Material Contracts constitute all of the Contracts necessary to enable Parent and Seller to conduct the Business in the manner in which such Business is currently being conducted and in the manner in which such Business is proposed to be conducted.
(i) The assignment to Buyer of any of the Seller Contracts shall not result in Buyer being bound by, to CPI's knowledgeor subject to, where a dispute as to any material matter has been threatenednon-compete or other restriction on the operation or scope if its businesses, including the Business.
Appears in 1 contract
Samples: Asset Purchase Agreement (Smith Micro Software Inc)
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes 4.13 sets forth an accurate, correct and complete list of this Agreement, each all Target Contracts to which any of the following shall be deemed to constitute a CPI descriptions set forth below may apply (the “Material Contract:Contracts”):
(i) Real Property Leases, Personal Property Leases, Insurance Policies, Contracts affecting any Contract relating to Target Intellectual Property or Target’s information systems or software, Contracts with Contractors, the employment of, or the performance of services by, any officer, director or employee Target Benefit Plans and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)Governmental Approvals;
(ii) any Any Contract that provides for indemnification capital expenditures or for the purchase of any officergoods or services in excess of $10,000, director, employee except those incurred in the Ordinary Course of Business and to be performed in three (3) months or agentless;
(iii) Any Contract obligating Target to sell or deliver any Contract product or service at a price which does not cover the cost (Aincluding, without limitation, labor, materials and production overhead) relating to plus the acquisition, issuance, voting, registration, sale customary profit margin associated with such product or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesservice;
(iv) Any Contract involving financing or borrowing of money, or evidencing indebtedness, any liability for borrowed money, any obligation for the deferred purchase price of property in excess of $10,000 (excluding normal trade payables) or guaranteeing in any way any Contract requiring that CPI give in connection with any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition ProposalPerson;
(v) Any joint venture, partnership, cooperative arrangement or any other Contract involving a sharing of profits;
(vi) Any advertising Contract not otherwise identified in this Section) that terminable without payment or penalty on thirty (A) has a term of more than sixty (6030) days (or that may less) notice;
(vii) Any Contract affecting any right, title or interest in or to real property;
(viii) Any Contract with any Governmental Authority;
(ix) Any Contract with respect to the discharge, storage or removal of effluent, waste or pollutants;
(x) Any Contract relating to any license or royalty arrangement;
(xi) Any power of attorney, proxy or similar instrument;
(xii) Any Contract among any shareholders of Target;
(xiii) Any Contract for the manufacture, service or maintenance of any product of Target;
(xiv) Any Contract for the purchase or sale of any assets other than in the Ordinary Course of Business or for the option or preferential rights to purchase or sell any assets;
(xv) Any requirement or output Contract;
(xvi) Any Contract to indemnify any Person or to share in or contribute to the liability of any Person;
(xvii) Any Contract for the purchase or sale of foreign currency or otherwise involving foreign exchange transactions;
(xviii) Any Contract containing covenants not be terminated to compete in any line of business or with any Person in any geographical area;
(xix) Any Contract related to the acquisition of a business or the equity of any other Entity;
(xx) Any other Contract which (i) provides for payment or performance by CPI either party thereto having an aggregate value of $10,000 or more; (ii) is not terminable without penalty) within sixty payment or penalty on thirty (6030) days after the delivery (or less) notice; or (iii) is between, inter alia, Target and any of a termination notice by CPI and its Affiliates;
(Bxxi) Any other Contract that contemplates or involves (I) the payment future payments, performance of services or delivery of cash goods or other consideration on materials to or after the date hereof in by Target of an aggregate amount or having a value in excess of $300,000 in aggregate payments under such Contract10,000, on an annual basis, or (II) that otherwise is material to the performance business or prospects of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000Target; and
(viiixxii) any Contract (not otherwise identified in this Section) that Any proposed arrangement of a type that, if entered into, would be required as an exhibit a Contract described in a registration statement under the Securities Act any of 1933(i) through (xxi) above.
(b) Target has delivered to Overland accurate, correct and complete copies of all Material Contracts (or written summaries of the material terms thereof, if not in writing), including, without limitation, all amendments, supplements, modifications and waivers thereof. All nonmaterial contracts of Target do not, in the aggregate, represent a material portion of the Liabilities of Target.
(c) Each CPI Material Target Contract is currently valid and in full force and effect, and is enforceable in accordance with its termsterms (assuming that each such Target Contract is enforceable in accordance with its terms against all parties thereto other than Target), subject except as may be limited by bankruptcy, insolvency, reorganization, moratorium and other similar laws and equitable principles related to or limiting creditors’ rights generally and by general principles of equity. No Material Contract contains any term or provision that is extraordinary or that is otherwise not customarily found in Contracts entered into by comparable Entities.
(d) (i) laws of general application relating to bankruptcyTarget is not in default, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breachednotified Target that it is in default, or committed under any material default under, any CPI Material Target Contract; (ii) to the best of the knowledge of CPI, no . No event has occurred, and no circumstance or condition exists, that might (with or without notice or lapse of time) could reasonably be expected to ): (Aa) result in a material violation or breach of any of the provisions of any CPI Material Contract, Target Contract by Target; (Bb) give any Person the right to declare a default or exercise any remedy under any CPI Material Target Contract, ; (Cc) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, Target Contract or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Target Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (Bd) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would otherwise have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, Target in connection with any material amount paid or payable to CPI under any CPI Material Target Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.; and
Appears in 1 contract
Material Contracts. (a) The CPI Disclosure Schedule identifies following Contracts (each CPI Contract that constitutes a "CPI “Material Contract." For purposes ”) to which any of the Target Entities is a party or by which any of the Target Entities or any of their properties is otherwise bound as of the date of this Agreement, each of Agreement are disclosed in the following shall be deemed to constitute a CPI Material ContractData Room:
(i) any Contract relating to the employment for transportation on, or development of, either the Mainline System or the performance of services byTMEP, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary including the Facility Support Agreements and the grant Transportation Services Agreements with the shippers on the TMEP, the Firm Services Agreements on the Mainline System, and the primary construction contracts for each spread of standard benefits)the TMEP;
(ii) any Contract that provides for indemnification with an Indigenous Group in the nature of any officer, director, employee or agenta mutual benefits agreement;
(iii) any Contract (A) relating which requires or entitles a Target Entity to the acquisitionmake or receive payments of, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securitiesthe Mainline System, or at least Ten Million Dollars (C) providing CPI with any right of first refusal $10,000,000), and with respect toto TMEP, or right to repurchase or redeem, any securitiesat least Fifty Million Dollars ($50,000,000);
(iv) any Contract requiring that CPI give Contracts made outside the Ordinary Course of Business and which
(A) contain material covenants limiting the freedom of the Target Entities to engage in any notice, obtain any consent line of business or provide any information to compete with any Person prior or operate at any location, (B) contain any preferential rights to accepting purchase or similar rights relating to the Assets, or (C) pertain to the acquisition or disposition by the Target Entities of any Acquisition Proposal;business (whether by acquisition or disposition of Equity Interests or assets) pursuant to which the Target Entities has any remaining material obligation or liability; and
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash commodities, interest rate, currency or other consideration on hedging agreement which exposes or after the date hereof in an amount or having may expose a value Target Entity to liability in excess of Ten Million Dollars ($300,000 in aggregate payments under such Contract, or (II10,000,000) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933annually.
(b) Each CPI Except as disclosed in the Data Room, as of the date of execution of this Agreement and to the knowledge of Vendor, with respect to those Material Contracts referred to in Section 6.2(14)(a)(i) and which are the Facility Support Agreements and the Transportation Services Agreements with the shippers on TMEP (the “Limited Rep TMEP Contracts”):
(i) each such Contract is valid in good standing and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, ; and
(ii) rules Vendor has not received any written notice of law governing specific performance, injunctive relief and other equitable remedies and (iii) default or termination in the case respect of any Contract with a Governmental Body, laws applicable theretosuch Contract.
(c) Except as set forth disclosed in the CPI Disclosure Schedule: (i) CPI has not materially violated or breachedData Room, or committed any material default under, any CPI Material Contract, and, to the best as of the knowledge date of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best execution of the knowledge of CPI, no event has occurred, this Agreement and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPIVendor, taken any action with respect to those Material Contracts referred to in Section 6.2(14)(a)(ii):
(i) each such party's complaint for Contract has been duly authorized and executed by the Target Entity party thereto; and
(ii) no Target Entity which is a period party to any such Contract has received notice in writing, by an authorized representative of more than six months following receipt of the communication; and (iv) CPI has not waived which is a party to any of its material rights under any CPI Material such Contract, that the applicable Contract is not in each case where such breach, default, violation good standing or waiver would have a Material Adverse Effect on CPIin full force and effect or has been terminated.
(d) To As it relates to all other Material Contracts, other than the best of Limited Rep TMEP Contracts and the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.Contracts set out in Section 6.2(14)(a)(ii):
(ei) The CPI Disclosure Schedule sets forth a list each such Contract has been duly authorized and executed by the Target Entity party thereto and assuming such Contract has been duly authorized and executed by the counterparty is valid and enforceable in all material respects in accordance with its terms by and against the Target Entities, subject to applicable bankruptcy, insolvency, reorganization, moratorium and similar laws affecting creditors’ rights and remedies generally and subject, as to enforceability, to general principles of all claims made under equity;
(ii) neither the Target Entities nor any CPI Material Contract that are disputed counterparty thereto is in breach in any material respect or, to CPI's knowledge, where a dispute as to of the terms of any material matter such Contract;
(iii) such Contract is in good standing and in full force and effect; and
(iv) Vendor has been threatenednot received any notice of default or termination in respect of such Contract.
Appears in 1 contract
Samples: Share and Unit Purchase Agreement
Material Contracts. (a) The CPI Except for this Agreement, Section 4.18 of the Company Disclosure Schedule identifies each CPI Contract that constitutes Letter contains a "CPI Material Contract." For purposes complete and correct list, as of the date of this Agreement, of each Contract described below in this Section 4.18(a) under which the Company or any Company Subsidiary has any current or future rights, responsibilities, obligations or liabilities (in each case, whether contingent or otherwise) or to which any of their respective properties or assets is subject, in each case as of the following shall be deemed date of this Agreement other than Company Benefit Plans listed on Section 4.11(a) of the Company Disclosure Letter (all Contracts of the type described in this Section 4.18(a) being referred to constitute a CPI herein as the “Material Contract:”):
(i) each Contract that limits in any material respect the freedom of the Company or any of its Subsidiaries to compete in any line of business, therapeutic area or geographic region, or with any Person, including any Contract relating that requires the Company and its Subsidiaries to the employment ofwork exclusively with any Person in any therapeutic area or geographic region, or which by its terms would so limit the performance freedom of services by, any officer, director or employee Parent and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and its affiliates after the grant of standard benefits)First Effective Time;
(ii) (A) any Contract that provides providing for indemnification a partnership entity or joint venture entity, and (B) other than any Excluded Contract, any strategic alliance, collaboration, co-promotion or research and development project Contract, which, in the case of any officerclause (B), directoris material to Company and its Subsidiaries, employee or agenttaken as a whole;
(iii) any each acquisition or divestiture Contract or material licensing agreement that contains representations, covenants, indemnities or other obligations (Aincluding “earnout” or other contingent payment obligations) relating that would reasonably be expected to result in the acquisition, issuance, voting, registration, sale receipt or transfer making of any securities, future payments in excess of $10,000,000 in the twelve (B12) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesmonth period following the date hereof;
(iv) any Contract requiring that CPI give under which the Company or any noticeCompany Subsidiary is granted any license, obtain option or other right (including a covenant not to be sued or right to enforce or prosecute any consent or provide any information patents) with respect to any Person prior Intellectual Property of a third party, which Contract is material to accepting any Acquisition Proposalthe Company and the Company Subsidiaries, taken as a whole, other than Excluded Contracts;
(v) any Contract (not otherwise identified in this Section) that (A) under which the Company or any Company Subsidiary has granted to a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash third party any license, option or other consideration on right or after immunity (including a covenant not to be sued or right to enforce or prosecute any patents) with respect to any Intellectual Property, which Contract is material to the date hereof in an amount or having Company and the Company Subsidiaries, taken as a value in excess of $300,000 in aggregate payments under such Contractwhole, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractother than Excluded Contracts;
(vi) any Contract involving the settlement of any claim, action or proceeding or threatened claim, action or proceeding (or series of related, claims actions or proceedings) (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Bodyx) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or may involve payments after the date hereof in an amount hereof, or having a value involved payments, in excess of $300,000 in aggregate payments under such Contract5,000,000 or (y) may impose, or imposed, monitoring or reporting obligations to any other Person outside the ordinary course of business or material restrictions on Parent or any Parent Subsidiary or (IIB) with respect to which material conditions precedent to the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractsettlement have not been satisfied;
(vii) each Contract not otherwise described in any open purchase order placed by CPI requiring future aggregate other subsection of this Section 4.18(a) pursuant to which the Company or any Company Subsidiary (A) is obligated to pay, or entitled to receive, payments in excess of $300,00010,000,000 in the twelve (12) month period following the date hereof, or (B) has paid, or has received, payments in excess of $2,000,000 in fiscal year 2014, in each case, which cannot be terminated by the Company or such Company Subsidiary on less than sixty (60) days’ notice without material payment or penalty, other than ordinary course product or active ingredient purchase contracts;
(viii) each Contract relating to outstanding Indebtedness (or commitments in respect of Indebtedness) of the Company or the Company Subsidiaries for borrowed money or any financial guaranty thereof (whether incurred, assumed, guaranteed or secured by any asset) in an amount in excess of $5,000,000 or relating to any interest rate, currency or commodity derivatives or hedging transactions for which the aggregate exposure is reasonably expected to be in excess of $5,000,000, other than (A) Contracts solely among the Company and any wholly owned Company Subsidiary, (B) financial guarantees entered into in the ordinary course of business consistent with past practice not exceeding $2,500,000, individually or in the aggregate (other than surety or performance bonds, letters of credit or similar agreements entered into in the ordinary course of business consistent with past practice in each case to the extent not drawn upon), and (C) any Contracts relating to Indebtedness explicitly included in the consolidated financial statements in the Company SEC Documents;
(ix) each Contract between the Company or any Company Subsidiary, on the one hand, and any officer, director or affiliate (other than a wholly owned Company Subsidiary) of the Company or any Company Subsidiary or any of their respective “associates” or “immediate family” members (as such terms are defined in Rule 12b-2 and Rule 16a-1 of the Exchange Act), on the other hand, including any Contract pursuant to which the Company or any Company Subsidiary has an obligation to indemnify such officer, director, affiliate or family member, but not including any Company Benefit Plans;
(x) any material collective bargaining agreement or other material Contract with any labor union;
(xi) any Contract that involves the payment by the Company or a Company Subsidiary of any royalties or milestone payments;
(xii) any Contract relating to an Acquisition Proposal or a potential Acquisition Proposal executed prior to the date of this Agreement that includes a standstill provision that does not, by its terms, terminate upon the execution of this Agreement; and
(viiixiii) any Contract (not otherwise identified described in any other subsection of this SectionSection 4.18(a) that would be required constitute a “material contract” (as an exhibit such term is defined in a registration statement under Item 601(b)(10) of Regulation S-K of the Securities Act of 1933SEC) with respect to the Company.
(b) Each CPI True, correct and complete copies of each Material Contract have been made available to Parent prior to the date hereof. Neither the Company nor any Company Subsidiary is in material breach of or default under the terms of any Material Contract, or has received any written notice alleging that the Company or any Company Subsidiary is in material breach or default under the terms of any Material Contract. To the knowledge of the Company, as of the date hereof, no other party to any Material Contract is in breach of or default under the terms of any Material Contract where such breach or default would reasonably be expected to have, individually or in the aggregate, a Company Material Adverse Effect. Except as would not reasonably be expected to have, individually or in the aggregate, a Company Material Adverse Effect, each Material Contract is a valid and binding obligation of the Company or the Company Subsidiary which is party thereto and, to the knowledge of the Company, of each other party thereto, and is in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable theretoEnforceability Limitations.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement3.11 lists (without duplication), with respect to each of the Companies, all contracts and other agreements (or, in the case of oral contracts or agreements, summaries thereof) to which any of the Companies is a party or by, or to which, any of the Companies or any of their assets or properties is bound or subject (such contracts and agreements being "MATERIAL CONTRACTS") of the following shall be deemed to constitute a CPI Material Contracttypes:
(i) any Contract relating to advertising, market research and other marketing agreements which contain firm commitments by any of the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated Companies to make any severance, termination, bonus or relocation payment or any other payment (other than annual payments in respect excess of salary $25,000 in any calendar year and which is not terminable on notice of ninety (90) days or less without the grant payment of standard benefits)any termination fee or similar payment;
(ii) any Contract that provides for indemnification of employment, severance, non-competition, stock option agreement, restricted stock agreement, consulting or other agreements with any officercurrent or former stockholder, director, officer, sales associate, consultant or employee of any of the Companies, under which any of the Companies has any material obligation as of the date hereof, including any non-competition agreements executed in favor of any of the Companies; in each case (other than independent contractor agreements with sales associates substantially in the form attached hereto as Schedule 3.11(a)(ii)). (iii) any agreements (A) relating to Indebtedness, interest rate swap or agenthedging arrangements, sale and leaseback transactions or other similar financing transactions or (B) restricting the ability of any of the Companies to incur Indebtedness or make any loan or advance or own, operate, sell, transfer, pledge or otherwise dispose of any assets owned by any of the Companies;
(iii) any Contract agreements (A) relating to the acquisitionIndebtedness, issuance, voting, registrationinterest rate swap or hedging arrangements, sale and leaseback transactions or transfer of any securities, other similar financing transactions or (B) providing restricting the ability of any Person with of the Companies to incur Indebtedness or make any preemptive rightloan or advance or own, right operate, sell, transfer, pledge or otherwise dispose of participation, right any assets owned by any of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesthe Companies;
(iv) any Contract requiring that CPI give agreements with any notice, obtain any consent or provide any information Governmental Authority except those entered into in the ordinary course of business which are not material to any Person prior to accepting any Acquisition Proposalof the Companies;
(v) any Contract (not otherwise identified in this Section) that agreements relating to the purchasing of goods by, or the furnishing of services to, any of the Companies (A) has a term requiring payments by the Companies in excess of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI $25,000 in any calendar year and (B) that contemplates which are not terminable on notice of ninety (90) days or involves (I) less without the payment of any termination fee or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractsimilar payment;
(vi) any Contract (A) to which contracts, agreements and other arrangements for the furnishing of services by any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) of the payment or delivery of cash or other consideration on or after the date hereof Companies in an amount or having a value exchange for payments in excess of $300,000 25,000 in aggregate payments under such Contract, any calendar year and which are not terminable on notice of ninety (90) days or (II) less without the performance payment of services on any termination fee or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractsimilar payment;
(vii) any open agreements (including settlement agreements and consent agreements) pursuant to which any of the Companies licenses the right to use any Intellectual Property to any Person or from any Person (other than off-the-shelf applications) or pursuant to which any Person has the right to acquire rights in Intellectual Property from any of the Companies;
(viii) any confidentiality agreements entered into by any of the Companies during the period commencing two (2) years prior to the date of this Agreement pursuant to which any of the Companies was restricted from providing information to third parties and any agreements pursuant to which any of the Companies has agreed to provide any information regarding any of its listings to any third party;
(ix) any shareholder, voting trust or similar agreements relating to the Business or any of the Companies to which any of the Companies or the Seller (or any Affiliate thereof) is a party and any joint venture, partnership or similar organizational documents or agreements to which any of the Companies is a party;
(x) any agreements relating to the origination or brokering of mortgage loans or relating to the provision of mortgage, escrow or title services by any of the Companies or relating to the purchase order placed by CPI requiring future aggregate any of the Companies of property pursuant to any guaranteed sales or other similar programs or any other settlement services;
(xi) any Leases and any lease agreement with respect to personal property which requires any of the Companies to make annual payments in excess of $300,00025,000 and which is not terminable upon notice of ninety (90) days or less without the payment of any termination fee or similar payment;
(xii) any agreements that limit or purport to limit the ability of any of the Companies or any transferee of the Shares to compete in any business or to acquire, own, operate, sell, transfer, pledge or otherwise dispose of any assets or hire or solicit for employment any person;
(xiii) all agreements between any of the Companies, on the one hand, and any current or former shareholder, director, officer or other Affiliate of any of the Companies, on the other hand; and
(viiixiv) all other agreements, contracts or commitments which cannot be terminated upon notice of ninety (90) days or less and will require payments by any Contract (not otherwise identified of the Companies of an amount in this Section) that would be required as an exhibit excess of $25,000 in a registration statement under the Securities Act of 1933any calendar year.
(b) Each CPI Material Contract is a legal, valid and in full force and effectbinding obligation of, and is enforceable in accordance with its termsagainst, subject to (i) laws one or more of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material ContractCompanies, and, to the best knowledge of the knowledge Seller, the other parties thereto, and is in full force and effect subject to bankruptcy, insolvency, fraudulent conveyance, reorganization, moratorium or other similar laws relating to creditors' rights and to general principles of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best equity. The sales of the knowledge of CPIShares and the Mortgage Shares pursuant to this Agreement will not, no event has occurredby themselves together with the transactions contemplated hereby and by the Related Agreements, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default terminate or exercise adversely modify any remedy under any CPI Material Contract, . The Companies are not (C) give any Person and with the right to accelerate the maturity or performance giving of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or lapse of time would not be) in material breach of, or default under, or intention to terminate, any CPI Material Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwiseand, to the knowledge of CPIthe Seller, taken no other party thereto is in breach of, or default under, any action with respect to such party's complaint for a period of more than six months following receipt Material Contract. None of the communication; and (iv) CPI Companies has not waived received written notice that any of its party to a Material Contract intends to terminate such Material Contract prior to the termination date specified therein, or that any other party is in material rights under breach of, or default under, any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list . True and complete copies of all claims Material Contracts have been previously delivered or made under any CPI Material Contract that are disputed in any material respect or, available to CPI's knowledge, where a dispute as to any material matter has been threatenedthe Purchaser.
Appears in 1 contract
Samples: Stock Purchase Agreement (St Joe Co)
Material Contracts. (aSection 3.21(a) The CPI of the MLB Disclosure Schedule identifies each CPI Contract that constitutes sets forth a "CPI Material Contract." For purposes complete and correct list as of the date of this Agreement, each Agreement of all of the following shall be deemed Contracts to constitute which MLB is a CPI party or any of its assets are bound (each, a “MLB Material Contract:”):
(i) any Contract relating to all employment or consulting Contracts providing for annual base compensation payments in excess of $50,000 per annum or $50,000 in the employment of, or aggregate over the performance term of services by, any officer, director or employee and any Contract the Contract;
(ii) all Contracts pursuant to which CPI MLB is or may become obligated to make any retirement, severance, termination, bonus or relocation similar payment to any current or any other payment (other than payments in respect of salary and the grant of standard benefits);
(ii) any Contract that provides for indemnification of any former officer, director, employee director or agentemployee;
(iii) all Contracts, arrangements and understandings pursuant to which any Contract payment (Awhether severance pay or otherwise) relating became or may become due upon a change of control to any director, officer or employee of MLB upon execution of this Agreement or upon or following consummation of the acquisition, issuance, voting, registration, sale Contemplated Transactions (either alone or transfer in connection with the occurrence of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance additional acts or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesevents);
(iv) all Contracts that would restrict OVB or OVCB after the Effective Time from engaging or competing in any Contract requiring that CPI give any notice, obtain any consent line of business or provide any information to competing with any Person prior to accepting or prohibiting MLB from soliciting customers, clients or employees or using or employing the services of any Acquisition ProposalPerson;
(v) any Contract (not otherwise identified in this Section) that (A) has a term all leases of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value personal property providing for annual lease payments in excess of $300,000 in 50,000 per annum or aggregate payments under such Contract, or (II) over the performance term of services on or after the date hereof having a value lease in excess of $300,000 in aggregate payments under such Contract50,000;
(vi) all mortgages, pledges, conditional sales contracts, security agreements, options, and all other similar Contracts with respect to any Contract interest of MLB (A) to which any Governmental Body is a other than as mortgagor or pledgor in the ordinary course of MLB’s banking business or as mortgagee, secured party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Bodydeed of trust beneficiary in the ordinary course of business) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or personal property having a value in excess of $300,000 in aggregate payments under such Contract, 50,000 or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractmore;
(vii) all Contracts to acquire equipment and all commitments to make capital expenditures of $50,000 or more;
(viii) all Contracts for the sale of any open property or assets in which MLB has an ownership interest or for the grant of any preferential right to purchase order placed any such property or asset;
(ix) all Contracts (including all trust indentures, mortgages, promissory notes, and loan agreements) for the borrowing of any money, any currency exchange, hedging arrangement, or any leasing arrangement of the type required to be capitalized in accordance with GAAP (other than deposits, repurchase agreements, the Federal Reserve Bank advances, bankers’ acceptances, and transactions in “Federal funds,” in each case established in the ordinary course of business);
(x) all Contracts of guarantee, support or indemnification by CPI MLB, assumption or endorsement by MLB of, or any similar commitment by MLB with respect to, the obligations, liabilities or indebtedness of any other Person other than letters of credit issued in the ordinary course of business;
(xi) all Real Property Leases;
(xii) all Contracts of participation with any other bank in any loan entered into by MLB subsequent to December 31, 2011 in excess of $25,000, all Contracts for sales of any assets of MLB with recourse of any kind to MLB, and all Contracts providing for the sale or servicing of any loan or other asset which constitutes a “recourse arrangement” under applicable regulation or policy promulgated by a Governmental Entity (except for agreements for the sale of government-guaranteed portions of loans including, without limitation, loans guaranteed in part by the U.S. Small Business Administration, and related servicing agreements);
(xiii) all Contracts for data processing, software programming or similar services that involve future payments or receipts or performances of services or delivery of items requiring future aggregate payments of $50,000 or more by MLB;
(xiv) all License Agreements;
(xv) all supply, maintenance or landscape Contracts not terminable by MLB without penalty on thirty (30) days or less notice and that provide for payments in excess of $300,00025,000 per annum;
(xvi) all partnership, joint venture, limited liability company or similar Contracts;
(xvii) all advertising, brokerage, licensing, dealership representative or agency relationship Contracts;
(xviii) all Contracts providing for the indemnification of any officer or director;
(xix) all Contracts with any Affiliate of MLB;
(xx) all other Contracts under which MLB is obligated to make payment or incur costs in excess of $25,000 in any year and which is not otherwise described in clauses (i)-(xix) above; and
(viiixxi) any Contract (all Contracts that are not otherwise identified described in this Sectionclauses (i)-(xx) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract above that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatenedMLB.
Appears in 1 contract
Material Contracts. (a) The CPI Section 3.11(a) of the Company Disclosure Schedule identifies each CPI Contract sets forth a complete and accurate list of Contracts to which the Company or any of its Subsidiaries is a party that constitutes a "CPI Material Contract." For purposes of this Agreement, each fall within the following categories and existing as of the following shall be deemed to constitute a CPI date hereof (collectively, the “Company Material Contract:Contracts”):
(i) any Contract relating to for the employment ofpurchase or sale of services, equipment or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment assets (other than relating to Oil and Gas Properties) that either (1) provides for annual payments by the Company and/or its Subsidiaries of $500,000 or more; or (2) gives rise to anticipated receipts of more than $500,000 in respect any calendar year, in each case that cannot be terminated on not more than 90 days’ notice without payment by the Company and/or its Subsidiaries of salary and the grant of standard benefits)any material penalty;
(ii) any Contract that provides for indemnification of any officermaterial partnership, director, employee joint venture or agentother similar agreement or arrangement;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registrationacquisition or disposition of any material business (whether by merger, sale of stock, sale of assets or transfer of any securities, (Botherwise) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect pursuant to any securities, or (C) providing CPI with any right of first refusal with respect to, or right which the Company has material ongoing obligations entered into within the three years prior to repurchase or redeem, any securitiesthe date hereof;
(iv) any Contract requiring that CPI give as obligor or guarantor relating to Indebtedness (in either case, whether incurred, assumed, guaranteed or secured by any noticeasset), obtain except any consent or provide any information to any Person prior to accepting any Acquisition Proposalsuch agreement with an aggregate outstanding principal amount not exceeding $500,000;
(v) any Contract (not otherwise identified in this Section) containing any area of mutual interest, joint bidding area, joint acquisition area, or non-compete or similar type of provision that materially restricts the ability of the Company or any of the Company’s Subsidiaries to (A) has a term compete in any line of more than sixty (60) days business or that may not be terminated by CPI (without penalty) within sixty (60) days geographic area or with any Person during any period of time after the delivery of a termination notice by CPI and Closing or (B) that contemplates make, sell or involves (I) the payment distribute any products or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contractservices, or (II) the performance use, transfer or distribute, or enforce any of services on their rights with respect to, any of their material assets or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractproperties;
(vi) any Contract (A) to which sell, lease, farmout, exchange or otherwise dispose of all or any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI part of the Oil and any contractor or subcontractor to any Governmental Body) Gas Properties of the Company and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractits Subsidiaries;
(vii) each Contract for the sale, purchase, exchange or other disposition of Hydrocarbons produced from the Oil and Gas Leases or Xxxxx of the Company and its Subsidiaries;
(viii) each Contract that contains any open purchase order placed by CPI drilling commitments;
(ix) each Contract for any material Derivative Transaction of the Company or any of its Subsidiaries;
(x) any joint development agreement, exploration agreement, participation, farmout, farm in or program agreement or similar Contract (or series of related Contracts) requiring future aggregate the Company or any Subsidiary to make expenditures that would reasonably be expected to be in excess of (x) $1,000,000 in any calendar year or (y) $2,000,000 during the term thereof, other than customary joint operating agreements and continuous development obligations under Oil and Gas Leases;
(xi) any Contract that provides for a “take-or-pay” clause or any similar prepayment obligation, acreage dedication, minimum volume commitments or capacity reservation fees to a gathering, transportation or other arrangement downstream of the wellhead, that cover, guaranty or commit volumes in excess of 5,000 barrels of oil equivalent of Hydrocarbons of the Company and its Subsidiaries per day over a period of one month (calculated on a yearly average basis) and for a term greater than 10 years, except for any Contracts that are terminable without penalty within 90 days;
(xii) each Contract that contains any standstill, “most favored nation” or most favored customer provision, preferential right or rights of first or last offer, negotiation or refusal or any similar requirement or right in favor of any third party, in each case other than those contained in (A) any agreement in which such provision is solely for the benefit of the Company or any of its Subsidiaries, (B) customary royalty pricing provisions in Oil and Gas Leases or (C) customary preferential rights in joint operating agreements or unit agreements affecting the business or the Oil and Gas Properties of the Company or any of its Subsidiaries;
(xiii) (A) any employment Contract pursuant to which a Company Employee is entitled to receive annual base compensation in excess of $200,000, (B) any consulting Contract pursuant to which an independent contractor is entitled to receive annual payments in excess of $300,000200,000, (C) any severance Contract that provides for mandatory or potential severance payments by the Company or any of its Subsidiaries in excess of $200,000 and (D) the form of any other Contract with any employee, officer, or director of the Company or any of its Subsidiaries that (x) contains any non-compete or non-solicitation covenants, (y) contains any change in control clause, or (z) modifies the at-will nature of the employment of any employee or otherwise requires advance notice for the termination of the Contract by the Company or any of its Subsidiaries;
(xiv) any Contract with any staffing agency, temporary employee agency, third-party workforce provider, or professional employer organization to which the Company or any of its Subsidiaries is a party;
(xv) each Contract or group of related Contracts reasonably expected to result in Company Transaction Expenses of more than $100,000; and
(viiixvi) any Contract (not otherwise identified in this Section) that would be required as an exhibit in constitutes a registration statement under the Securities Act of 1933seismic, data or geophysical license, agreement or permit.
(b) Each CPI Company Material Contract is a valid and binding agreement of the Company or one of its Subsidiaries, and is in full force and effect, and none of the Company, any Subsidiary of the Company or, to the Company’s knowledge, any other party is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and default or breach under the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case terms of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI such Company Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated except for any such defaults or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could breaches which would not reasonably be expected to (A) result have, individually or in the aggregate, a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Company Material Adverse Effect on CPIEffect.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Merger Agreement (Talos Energy Inc.)
Material Contracts. The Seller Disclosure Schedule sets forth, as of the date hereof, a listing of all of the following written agreements to which any of the Acquired Companies is a party to or bound by: (a) The CPI Disclosure Schedule identifies each CPI Contract employment agreement with an individual requiring payments of compensation in excess of $50,000 per year; (b) consulting agreement with an individual requiring payments of compensation in excess of $50,000 per year; (c) material distributor agreement which is not terminable on ninety (90) days' (or less) notice; (d) joint venture, partnership or similar contract or agreement or equity or debt investment agreements; (e) contracts which are terminable by the other party or parties thereto upon a change of control of an Acquired Company, other than such contracts the termination of which would not, individually or in the aggregate, have a Company Material Adverse Effect; (f) contracts or agreements that constitutes a "CPI Material Contract." For purposes limit or purport to limit the ability of this Agreement, each an Acquired Company to compete in any line of business or in any geographic area; (g) any contracts or agreements between or among any of the following shall be deemed to constitute a CPI Material Contract:
Acquired Companies, on the one hand, and Seller or its other Subsidiaries, on the other hand; (h) collective bargaining or labor agreements; (i) leases and licenses of, and options to purchase, real property pursuant to which an Acquired Company is required to pay or is entitled to receive (x) consideration in excess of $100,000 in any Contract calendar year after December 31, 2002, or (y) consideration in excess of $200,000 in the aggregate over the remaining term of such lease; (j) agreements, notes, bonds, indentures or other instruments governing indebtedness for borrowed money, and any guarantee thereof or the pledge of any assets or other security therefor; (k) material requirements, "take or pay" or similar agreements relating to the employment ofBusiness; (l) material powers of attorney or agency agreements of the Business; (m) material feed ingredient contracts or commodity future contracts, option contracts or similar agreements of the performance of services byBusiness, any officerincluding without limitation, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits);
(ii) any Contract all such agreements that provides for indemnification of any officer, director, employee or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than extend beyond sixty (60) days from the date hereof; (n) material agreements or that may not be terminated by CPI arrangements establishing, creating or relating to any rebate, promotion, advertising coupon or other allowance of the Business; (without penaltyo) within sixty material -52- toll processing, co-packing or similar agreement; or (60p) days after the delivery of a termination notice by CPI and (B) that contemplates other contract, agreement or involves (I) the arrangement involving an estimated total future payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
1,000,000 (viiiother than one time purchase orders with respect to raw materials and one time sales contracts relating to the sale of inventory, each in the ordinary course of business). The contracts required to be so listed are referred to herein as the "Company Material Contracts." With respect to all Company Material Contracts, (i) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under all such contracts are the Securities Act of 1933.
(b) Each CPI Material Contract is valid and binding obligation of an Acquired Company in full force and effect, (ii) none of the Acquired Companies nor, to Seller's knowledge, any other party to any such Company Material Contract is in material breach thereof, or default thereunder, and is enforceable (iii) there does not exist under any provision thereof, or any event that, with the giving of notice or the lapse of time or both, would constitute such a breach or default, except for such breaches, defaults and events which in accordance with its terms, subject to the case of clauses (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors), (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) would not, individually or in the case of any Contract with a Governmental Bodyaggregate, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Company Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or Effect. Seller has the right made available to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list Buyer true and correct copies of all claims made under any CPI Company Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatenedContracts.
Appears in 1 contract
Material Contracts. (a) The CPI Section 3.15(a) of the Disclosure Schedule identifies each CPI Contract that constitutes sets forth as of the date hereof a "CPI Material Contract." For purposes of this Agreement, each list of the following shall be deemed Contracts (excluding any intercompany Contracts among Seller and its Affiliates that are not Transferred Contracts) that primarily relate to constitute the DCB Business and to which a CPI member of the Covidien Group is a party, true and correct copies of which Seller has made available to Purchaser (each, a “Material Transferred Contract:”):
(i) any each lease or other Contract relating to under which a member of the employment Covidien Group is a lessee of, or the performance of services byholds or operates, any officermachinery, director equipment, vehicle or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than tangible personal property owned by a third party that requires rental payments in respect excess of salary and $200,000 per annum or $500,000 in the grant of standard benefits)aggregate;
(ii) each Contract with any DCB Employee requiring payments of base salary in excess of $150,000 per annum, other than any Contract that provides for indemnification which by its terms is cancelable by a member of any officer, director, employee the Covidien Group with notice of not more than thirty (30) days (or agentsuch longer period as required by Law) and without cancellation penalties or severance payments;
(iii) any Contract (A) relating to the acquisitioneach mortgage, issuanceindenture, votingsecurity agreement, registrationpledge, sale note, loan agreement or transfer guarantee in respect of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance indebtedness for borrowed money or any similar right with respect to agreement that creates a material Encumbrance (other than a Permitted Encumbrance) on any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesPurchased Asset;
(iv) any each customer Contract requiring that CPI give any notice, obtain any consent payments to the Covidien Group with respect to DCB Products in excess of $100,000 per annum or provide any information to any Person prior to accepting any Acquisition Proposal$500,000 in the aggregate;
(v) any each outstanding Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated with vendors requiring payments by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value Covidien Group with respect to DCB Products in excess of $300,000 100,000 per annum or $500,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractaggregate;
(vi) each Contract materially restricting the ability of Seller to engage in any Contract (A) to which business or compete with any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;Person; and
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any each material joint venture Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933and material joint product development Contract.
(b) Each CPI Material Except as disclosed in Section 3.15(b) of the Disclosure Schedule, to the Knowledge of Seller, each Transferred Contract set forth on Section 3.15(a) of the Disclosure Schedule is a valid and in full force and effectbinding obligation of a member of the Covidien Group, and is enforceable against such member of the Covidien Group in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, terms and, to the best Knowledge of Seller, each other party thereto, except as such enforceability may be limited by bankruptcy, insolvency, reorganization, fraudulent conveyance, moratorium or similar Laws affecting creditors’ rights generally or by general principles of equity (regardless of whether enforcement is sought in a proceeding in equity or at law), and neither such member of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwiseCovidien Group nor, to the knowledge Knowledge of CPISeller, taken any action with respect to such party's complaint for a period other party thereto, is in material breach of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights or default under any CPI Material such Transferred Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Section 4.8 of the Company Disclosure Schedule identifies lists each CPI Contract that constitutes to which any Acquired Company is a "CPI Material Contract." For purposes party, or by which it is bound, as of the date of this Agreement, each of the following shall be deemed to constitute a CPI Material Contract:
(i) any Contract relating to that is a “material contract” (as such term is defined in Item 601(b)(10) of Regulation S-K of the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefitsExchange Act);
(ii) pursuant to which any Contract that provides for indemnification Acquired Company made or received, or will make or receive in accordance with the terms of such Contract, payments or other consideration of more than an aggregate of $250,000 in any officer, director, employee or agentfiscal year commencing with fiscal year 2022;
(iii) any Contract evidencing a commitment by an Acquired Company to make a future capital expenditure in excess of $250,000 that is not terminable by such Acquired Company upon notice of ninety (A90) relating to the acquisition, issuance, voting, registration, sale days or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance less without material penalty or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesliability;
(iv) containing a covenant limiting the ability of any Contract requiring that CPI give Acquired Company to compete or engage in any notice, obtain any consent line of business or provide any information to compete with any Person prior to accepting in any Acquisition Proposalgeographic area that is not terminable by such Acquired Company upon notice of ninety (90) days or less without penalty or liability;
(v) relating to or evidencing indebtedness or any Contract (not otherwise identified in this Section) that (A) has a term guarantee of more than sixty (60) days or that may not be terminated indebtedness by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value any Acquired Company in excess of $300,000 100,000 (excluding loans to wholly-owned Subsidiaries in aggregate payments under such Contract, or (II) the performance ordinary course of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractbusiness);
(vi) any Contract (A) to which with any Governmental Body is a party sole-source suppliers of material products or under which any Governmental Body has any rights or obligationsservices, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves containing any “most favored nations” terms and conditions (Iincluding with respect to pricing) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, granted by any Acquired Company or (IIC) containing exclusivity obligations or otherwise limiting the performance freedom or right of any Acquired Company to buy any products or services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractsell, distribute or manufacture any products or services for any other Person;
(vii) providing for or governing the formation of any open purchase order placed by CPI requiring future joint venture, partnership, strategic alliance, research and development collaboration, or similar arrangement;
(viii) that is a Company Inbound License or Company Outbound License;
(ix) that has continuing obligations or interests involving (A) “milestone” or other similar contingent payments, including upon the achievement of regulatory or commercial milestones which would result in an aggregate payments payment in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect100,000, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI payment of royalties or otherwiseother amounts calculated based upon sales, to the knowledge revenue, income or similar measure of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.an Acquired Company;
Appears in 1 contract
Material Contracts. (a) The CPI Section 3.11 of the Disclosure Schedule identifies each CPI Contract that constitutes sets forth a "CPI Material Contract." For purposes true, correct and complete list of this Agreement, each of the following shall be deemed Contracts (other than any Organizational Documents or Benefit Plans of any of the Target Companies) currently in effect to constitute which a CPI member of the Partnership Group or the MMP Group is a party or which is binding on the Target Assets as of the Signing Date (such Contracts listed in Section 3.11 of the Disclosure Schedule, collectively “Material Contract:Contracts”):
(i) each Contract forming or establishing any partnership or joint venture, including any Contract relating to involving a sharing of the employment ofprofits, losses, costs or liability of the performance of services by, any officer, director Partnership Group or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or MMP Group with any other payment (other than payments in respect of salary and the grant of standard benefits)Person;
(ii) each Contract between either a Seller or any Contract that provides for indemnification Affiliate of a Seller (other than a Target Company) or any officerof their respective directors, directormanagers, employee employees or agentofficers, on the one hand, and any Target Company, on the other hand (each an “Affiliate Contract”);
(iii) any each Contract that (A) relating constitutes a non-competition agreement, covenant not to compete or any similar agreement that purports to restrict or prohibit in any material respect the acquisitionmanner (or the locations) in which the Partnership Group’s or the MMP Group’s assets, issuance, voting, registration, sale business or transfer of any securities, customers are or may be located or (B) providing any Person containing exclusivity provisions (but excluding agreements regarding the non-use or non-disclosure of information entered into in the ordinary course of business with any preemptive right, right the suppliers or vendors of participation, right of maintenance the Partnership Group or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesthe MMP Group);
(iv) each Contract that contains an acreage dedication agreement and can reasonably be expected to result in aggregate capital expenditures by, or annual payments to, any Contract requiring that CPI give any noticemember of the Partnership Group or the MMP Group, obtain any consent in excess of $3,000,000 in the aggregate in calendar year 2024 or provide any information to any Person prior to accepting any Acquisition Proposal2025;
(v) any each Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in is an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractinterconnection agreement;
(vi) each Contract regarding any Contract material indemnification obligations incurred or provided by the Partnership Group or the MMP Group (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI than as part of ordinary course indemnification obligations contained in commercial contracts that are customary in the oil and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractgas business);
(vii) each Contract constituting a derivative or financial swap, exchange, commodity option or hedge;
(viii) each Contract involving the provision of services that contains a “most favored nation” pricing provision;
(ix) each Contract that includes a commitment or reservation of the future capacity of any open purchase order placed pipelines or storage facilities of the Partnership Group or the MMP Group for a period of 12 months or longer and can reasonably be expected to result in aggregate annual payments by CPI requiring future aggregate payments or to any member of the Partnership Group or the MMP Group, in excess of $300,000; and3,000,000 in the aggregate in calendar year 2024 or 2025;
(viiix) each Contract that includes a commitment by any Partnership Group or the MMP Group member to purchase, sell, exchange, store, transmit, gather, dispose, recycle, treat, process, transport or deliver volumes of fresh or produced water, crude oil, natural gas, condensate or other hydrocarbons, and which is not terminable without penalty on 90 days or less prior written notice;
(xi) each Contract for the operation, maintenance and management of the Target Assets that are material to the operation of the Business;
(xii) each Contract for the procurement of goods or services that can reasonably be expected to result in aggregate annual payments by any member of the Partnership Group or the MMP Group, in excess of $3,000,000 in the aggregate in calendar year 2024 (it being understood that payment obligations under any purchase orders under a Contract shall be aggregated with the obligations under the applicable Contract for purposes of the foregoing threshold);
(xiii) each Contract evidencing Indebtedness or creating a Lien on the Target Assets securing Indebtedness;
(xiv) each Contract involving the resolution or settlement of any actual or threatened Actions against or by the Partnership Group or the MMP Group (x) that has not been fully performed by the Partnership Group or the MMP Group, as applicable, or (y) that otherwise imposes continuing conduct obligations (other than confidentiality obligations) on the Partnership Group or the MMP Group, as applicable;
(xv) any Target Lease (including capacity leases and storage leases) that during the 12 months ended June 30, 2024 individually resulted in, or is reasonably expected in the future to result in, annual revenues to or payments by the Partnership Group and the MMP Group in excess of $5,000,000;
(xvi) each Contract (not otherwise identified in disclosed pursuant to any other clause under this SectionSection 3.11(a) that would can reasonably be required as an exhibit expected to result in aggregate annual payments to or from the Partnership Group or the MMP Group in excess of $1,000,000 in the aggregate in any given 12-month period (it being understood that payments under any purchase orders under a registration statement Contract shall be aggregated with the other payments under the Securities Act applicable Contract for purposes of 1933the foregoing threshold);
(xvii) any collective bargaining agreement, memorandum of understanding, or other Contract with any labor union, works council, or similar labor organization or employee representative (each a, “Labor Agreement”) with respect to current or former employees of any member of the Partnership Group or the MMP Group;
(xviii) each Contract for the sale, transfer or other disposition of any material assets or Equity Interests of any member of the Partnership Group or the MMP Group (other than those providing for sales, transfers or dispositions of inventory or pipeline loss allowance in the ordinary course of business) or for the grant to any Person of any preferential rights to purchase any of the assets or Equity Interests of any member of the Partnership Group or the MMP Group, in each case, under which there are material outstanding obligations of the Partnership Group or the MMP Group; or
(xix) each Contract for any acquisition of any assets or Equity Interests of any member of the Partnership Group or the MMP Group (other than those acquisitions of inventory in the ordinary course of business consistent with past practice) that contains an “earn-out” provision or other contingent or future payment obligations, or ongoing material indemnification obligations, in each case, that have not been satisfied in full.
(b) Each CPI of the Material Contract Contracts is valid and in full force and effecteffect and constitutes a legal, valid and is enforceable in accordance with its termsbinding obligation of the applicable member of the Partnership Group or the MMP Group and, to the Sellers’ Knowledge, the counterparties to such Material Contracts, subject in each case to the Remedies Exception. No member of the Partnership Group or the MMP Group, and, to the Sellers’ Knowledge, no counterparty to any Material Contract, is or, with the passage of time, would reasonably be expected to be in breach or violation of or default under such Material Contract, except (i) laws of general application relating for breaches, violations or defaults as would not reasonably be expected to bankruptcybe material to the Business, insolvency taken as a whole, and the relief of debtors, (ii) rules that, in order to avoid a breach or violation of, or default under, any Material Contract, the Consent of law governing specific performance, injunctive relief and such other equitable remedies and (iiiparties set forth in Section 3.02(b) of the Disclosure Schedule may be required in connection with the case of any Contract with a Governmental Body, laws applicable theretoTransactions.
(c) Except as set forth in on Section 3.11(c) of the CPI Disclosure Schedule: (i) CPI has not materially violated , there have been no temporary releases, permanent releases or breached, other penalties for curtailment or committed non-performance under any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no whether or not such release or other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in penalty is deemed a material violation or breach of any of the provisions of any CPI such Material Contract, (B) give any Person the right to declare resulting in a default loss or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance liability in excess of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI$1,000,000.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. Except as disclosed in the SEC Documents, neither the Company nor any Subsidiary is a party to or is bound by:
(a) The CPI Disclosure Schedule identifies each CPI Contract any employment or consulting agreement, contract or commitment with any officer or director or higher level employee or member of the Company's Board of Directors, other than those that constitutes are terminable by the Company or any Subsidiary on no more than thirty (30) days' notice without liability or financial obligation to the Company;
(b) any agreement or plan, including, without limitation, any stock option plan, stock appreciation right plan or stock purchase plan, any of the benefits of which will be increased, or the vesting of benefits of which will be accelerated, by the occurrence of any of the transactions contemplated by the Agreements or by a "CPI Material Contract." For purposes Change of Control Transaction, as defined in the Certificate of Designation, or the value of any of the benefits of which will be altered on the basis of any of the transactions contemplated by the Agreements or by a Change of Control Transaction;
(c) any material agreement of indemnification or any guaranty other than (i) any agreement of indemnification entered into in connection with the sale or license of software products or services in the ordinary course of business, or (ii) any indemnification obligation of the Company or any Subsidiary to its officers or directors;
(d) any agreement, contract or commitment containing any covenant limiting in any material respect the right of the Company or any Subsidiary to engage in any line of business or to compete with any person or granting any exclusive distribution rights;
(e) any agreement, contract or commitment currently in force relating to the disposition or acquisition by the Company or any Subsidiary after the date of this AgreementAgreement of a material amount of assets not in the ordinary course of business or pursuant to which the Company has any material ownership interest in any corporation, each partnership, joint venture or other business enterprise other than the Company's Subsidiaries;
(f) any dealer, distributor, joint marketing, original equipment manufacturer, reseller or development agreement currently in force under which the Company or any Subsidiary has continuing material obligations to jointly market any product, technology or service and which may not be canceled without penalty upon notice of ninety (90) days or less and, in the following shall case of dealer, distributor or joint marketing agreements, which involve payments by or to the Company of $500,000 or more, or any material agreement pursuant to which the Company or any Subsidiary has continuing material obligations to jointly develop any intellectual property that will not be deemed owned, in whole or in part, by the Company or its Subsidiaries;
(g) any agreement, contract or commitment currently in force to constitute a CPI Material Contract:provide source code to or to license or acquire source code from any third party for any product or technology other than source code escrow agreements or other similar arrangements entered into in the normal course of business;
(h) any agreement, contract or commitment currently in force to license any third party to manufacture or reproduce any Company product, service or technology or any agreement, contract or commitment currently in force to sell or distribute any Company products, including any parts or components thereof, service or technology except agreements with distributors or sales representative in the normal course of business cancelable without penalty upon notice of ninety (90) days or less;
(i) any Contract material mortgages, indentures, guarantees, loans or credit agreements or other agreements or instruments relating to the employment of, borrowing of money or the performance extension of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)credit;
(iij) any Contract that provides for indemnification settlement agreement entered into prior to the date of any officer, director, employee or agent;this Agreement; or
(iiik) any Contract (A) relating other agreement, contract or commitment that includes receipts or expenditures of $500,000 or more individually. Except to the acquisitionextent fully performed or terminated pursuant to its terms, issuanceeach of the agreements, votingcontracts, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect leases and commitments required to any securities, or (C) providing CPI with any right of first refusal with respect to, or right be disclosed pursuant to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body section is a party or under which any Governmental Body has any rights or obligationslegal, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and binding agreement of the Company or a Subsidiary of the Company, as the case may be, and is in full force and effect, and is enforceable in accordance with its termsnone of the Company, subject such Subsidiary or, to (i) laws the knowledge of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default underCompany, any CPI Material Contractother party thereto is in default or breach, in each case except for any such default or breach that could not be material to the Company, and, to the best knowledge of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPICompany, no event or circumstance has occurredoccurred that, and no circumstance or condition exists, that (with or without notice or lapse of time) time or both, would constitute any event of default thereunder, except for an event of default that could not reasonably be expected to (A) result in a be material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPICompany.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Preferred Stock Purchase Agreement (Warburg Pincus Private Equity Viii L P)
Material Contracts. (a) The CPI Section 3.09(a) of the Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, Schedules lists each of the following shall be deemed to constitute a CPI Contracts of the Acquired Companies (such Contracts, together with all Contracts concerning the occupancy, management or operation of any Real Property (including without limitation, brokerage contracts) listed or otherwise disclosed in Section 3.10 of the Disclosure Schedules and all Company IP Agreements set forth in Section 3.12(b) of the Disclosure Schedules, being “Material Contract:Contracts”):
(i) each Contract of any Contract relating to the employment ofAcquired Company involving (A) minimum aggregate consideration in excess of $100,000, or (B) under which the performance Acquired Company paid or received in excess of services by$100,000, any officerin each case, director during the year ended December 31, 2015 or employee and any Contract pursuant to which CPI is or may become obligated to make any severancethe portion of 2016 up through the date hereof, terminationin each case, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)a Benefit Plan;
(ii) all Contracts that require any Contract that provides for indemnification Acquired Company to purchase its total requirements of any officer, director, employee product or agentservice from a third party or that contain “take or pay” provisions;
(iii) all Contracts that provide for the indemnification by any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer Acquired Company of any securities, Person (Bother than customary indemnification provisions in customer and vendor agreements) providing or the assumption of any Person with environmental or other liability of any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesPerson;
(iv) all Contracts that relate to the acquisition or disposition by any Contract requiring Acquired Company of any business, stock or real property, and all Contracts that CPI give relate to the acquisition or disposition by any noticeAcquired Company of any other assets for more than $25,000 (in each case, obtain any consent whether by merger, sale of stock, sale of assets or provide any information to any Person prior to accepting any Acquisition Proposalotherwise);
(v) all broker, distributor, dealer, manufacturer’s representative, franchise, agency, sales promotion, market research, marketing consulting and advertising Contracts to which any Contract (not otherwise identified in this Section) that (A) has Acquired Company is a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractparty;
(vi) any Contract all employment agreements and Contracts with independent contractors or consultants (Aother than offer letters that provide for termination at-will and do not include severance or termination obligations and the Company’s law firms, accounting firms or investment banking firms) to which any Governmental Body Acquired Company is a party or under and which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof are still in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contracteffect;
(vii) except for Contracts relating to trade receivables, all Contracts relating to Indebtedness (including, without limitation, guarantees) of any open purchase order placed Acquired Company;
(viii) all Contracts with any Governmental Authority (other than any hospital or other healthcare provider) to which any Acquired Company is a party (“Government Contracts”);
(ix) all Contracts that limit or purport to limit the ability of any Acquired Company to compete in any line of business or with any Person or in any geographic area or during any period of time;
(x) any Contracts to which any Acquired Company is a party that provide for any joint venture, partnership or similar arrangement by CPI requiring future any Acquired Company;
(xi) all collective bargaining agreements or Contracts with any Union to which any Acquired Company is a party;
(xii) contracts continuing over a period of more than one year from the date thereof that are not terminable by any Acquired Company upon thirty (30) or fewer days’ notice without penalty, other than a Benefit Plan;
(xiii) powers of attorney executed on behalf of any Acquired Company; and
(xiv) any other Contract that is material to any Acquired Company involving aggregate payments consideration in excess of $300,000; and
(viii) any Contract (100,000 and not otherwise identified in previously disclosed pursuant to this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933Section 3.09.
(b) Each CPI Material Contract is valid and binding on the respective Acquired Company in accordance with its terms and is in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and . Neither the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, andrespective Acquired Company nor, to the best Company’s Knowledge, any other party thereto is in breach of the knowledge or default under (or is alleged to be in breach of CPI, no other Person has materially violated or breached, or committed any material default under), or, except as otherwise expressly provided for in this Agreement, has provided or received any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that Material Contract. No event or circumstance has subsequently been revoked; occurred that, with notice or (B) has been received from a complaining party that has not contacted CPI lapse of time or otherwiseboth, to the knowledge would constitute an event of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights default under any CPI Material Contract, Contract or result in each case where such breach, default, violation a termination thereof or waiver would have a Material Adverse Effect on CPI.
(d) To cause or permit the best of the knowledge of CPI, no Person is renegotiating, acceleration or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision changes of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list right or obligation or the loss of all claims made under any CPI benefit thereunder. Complete and correct copies of each Material Contract that are disputed in any material respect or(including all modifications, amendments and supplements thereto and waivers thereunder) have been made available to CPI's knowledge, where a dispute as to any material matter has been threatenedParent.
Appears in 1 contract
Samples: Agreement and Plan of Merger (Merit Medical Systems Inc)
Material Contracts. (a) The CPI Section 4.17(a) of the Company Disclosure Schedule identifies each CPI Contract that constitutes sets forth a "CPI Material Contract." For purposes of this Agreementtrue, each correct and complete list, as of the Signing Date, of all Contracts to which the Company or any Company Subsidiary is a party or is bound by falling within the following shall categories and existing as of the Signing Date (such Contracts required to be deemed listed on Section 4.17(a) of the Company Disclosure Schedule and, as of the Closing any other Contract in existence that would have been required to constitute a CPI be disclosed pursuant to Section 4.17(a) if in existence on the Signing Date, collectively, the “Material Contract:Contracts”):
(i) any Contract relating to the employment ofContract, or the performance of services bywhich (A) involved payments by the Company or the Company Subsidiaries in the aggregate in excess of $2,000,000 during calendar year 2020 or that would reasonably be expected to be in excess of $2,000,000 during calendar year 2021 or (B) involved payments to the Company or the Company Subsidiaries in the aggregate in excess of $2,000,000 during calendar year 2020 or that would reasonably be expected to involve payments in excess of $2,000,000 during calendar year 2021 (in each case, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments purchase or service orders accepted, confirmed or entered into in respect the Ordinary Course of salary and the grant of standard benefitsBusiness);
(ii) any Contract that provides for indemnification the voting of equity securities of the Company or any officer, director, employee or agentof the Company Subsidiaries;
(iii) any Contract with a Top 10 Vendor or Top Customer (A) relating to other than purchase or service orders accepted, confirmed or entered into in the acquisition, issuance, voting, registration, sale or transfer Ordinary Course of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesBusiness);
(iv) any employment Contract requiring with any employee of the Company or any of the Company Subsidiaries that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposalprovides for annual base compensation in excess of $300,000;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such collective bargaining Contract;
(vi) any Contract pursuant to which (A) the Company or any Company Subsidiary grants any right, license or covenant not to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor sxx with respect to any Governmental BodyCompany Owned IP (other than non-exclusive licenses (or sublicenses) and that of Company Owned IP granted in the Ordinary Course of Business) or (B) contemplates the Company or involves any Company Subsidiary obtains any right, license or covenant not to sxx with respect to any Company Licensed IP (I) other than licenses for commercially available, “off-the-shelf” Software, commercially available service agreements related to Business Systems or non-exclusive licenses from suppliers and customers granted in the payment or delivery Ordinary Course of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractBusiness);
(vii) any open Contract that (A) (1) contains a covenant not to compete in any line of business, (2) contains a covenant not to solicit persons for employment (other than customary covenants not to solicit persons for employment in non-disclosure agreements and confidentiality agreements entered into in the Ordinary Course of Business), (3) grants exclusive or preferential rights or “most favored nations” status to any person, or (4) obligates the Company or any of the Company Subsidiaries to purchase order placed by CPI requiring future aggregate payments or obtain a minimum or specified amount of any product or service in excess of $300,000; and2,000,000 in the aggregate during any calendar year, or (B) prohibits the Company or any of the Company Subsidiaries from soliciting any customers or strategic partners;
(viii) any Contract under which the Company or any of the Company Subsidiaries has (not otherwise identified A) created, incurred, assumed or guaranteed (or may create, incur, assume or guarantee) indebtedness for borrowed money, (B) granted a Lien (other than a Permitted Lien) on its assets or group of assets, whether tangible or intangible, to secure any indebtedness for money borrowed, (C) extended credit to any Person (other than pursuant to Contracts (1) involving immaterial advances made to an employee of the Company or any of the Company Subsidiaries or (2) for goods and services, in this Sectioneach case, in the Ordinary Course of Business) or (D) granted a material performance bond, letter of credit or any other similar instrument, in each case, in excess of $250,000;
(ix) any Contract with any Governmental Authority;
(x) any Contract with a Related Party (other than the Plans or Contracts for compensation for services performed by a Related Party as director, officer, service provider or employee of the Company or any of the Company Subsidiaries and amounts reimbursable for routine travel and other business expenses in the Ordinary Course of Business);
(xi) each Contract relating to the acquisition or disposition of any business (whether by merger, sale of stock, sale of assets or otherwise) that contains financial covenants, indemnities or other payment obligations (including “earn-out” or other contingent payment obligations) that would reasonably be expected to result in the making of payments by the Final Surviving Company and its Subsidiaries after the Closing Date (other than customary contingent obligations to make indemnification payments to the counterparty for breaches of representations, warranties and covenants where no claim for indemnification has been asserted or threatened to be asserted);
(xii) any Contract establishing any joint venture, strategic alliance, partnership or other material collaboration;
(xiii) any Contract involving any resolution or settlement of any actual or threatened Action under which the Company or any of the Company Subsidiaries has any ongoing non-monetary obligations (other than customary confidentiality or similar provisions) or monetary obligations in excess of $250,000;
(xiv) any Contract which grants any Person a right of first refusal, right of first offer or similar right with respect to any properties, assets or businesses of the Company or any of the Company Subsidiaries; and
(xv) any Contract that will be required to be filed with the Registration Statement under applicable SEC requirements or would otherwise be required to be filed by the Company as an exhibit in for a registration statement Form S-1 pursuant to Items 601(b)(1), (2), (4), (9) or (10) of Regulation S-K under the Securities Act of 1933as if the Company was the registrant.
(b) Each CPI (i) True and complete copies of each Material Contract as of the Signing Date have been made available to Parent, (ii) each Material Contract is a legal, valid and in full force and effect, binding obligation of the Company or Company Subsidiary party thereto and is enforceable against the Company or any Company Subsidiary, as applicable, and, to the knowledge of the Company, is a legal, valid and binding obligation of each other party to such Material Contract and is enforceable against such other party thereto in accordance with its terms, subject to (i) laws of general application relating to bankruptcythe Remedies Exceptions, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best none of the knowledge of CPICompany, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwiseCompany Subsidiaries or, to the knowledge of CPIthe Company, taken any action other party to a Material Contract is in material default or material breach of a Material Contract and neither the Company nor any of the Company Subsidiaries has received any written claim or written notice of any material default or material breach of a Material Contract, (iv) to the knowledge of the Company, there does not exist any event, condition or omission that would constitute a material default or material breach (whether by lapse of time or notice or both) under any Material Contract, (v) neither the Company nor any Company Subsidiary has received any written notice of termination or cancellation with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(dvi) To the best of to the knowledge of CPIthe Company, no Person is renegotiatingthere does not exist any circumstance, event, condition or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or omission that would cause any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth party to a list of all claims made under any CPI Material Contract that are disputed to (A) terminate such Material Contract or (B) materially reduce the amount of business it will do with the Company or the applicable Company Subsidiary under such Material Contract and (vii) no other party to a Material Contract has expressed an intention in any material respect writing or, to CPI's knowledgethe knowledge of the Company, where a dispute as orally to any material matter has been threatenedmaterially reduce the amount of business it will do with the Company or the applicable Company Subsidiary.
Appears in 1 contract
Samples: Agreement and Plan of Merger (Virgin Group Acquisition Corp. II)
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes 4.11 sets forth a "CPI Material Contract." For purposes list, as of this Agreementthe date hereof, each of all of the following shall be deemed contracts and agreements to constitute which the Company is a CPI party, or by which any of its properties or assets are subject, whether written or unwritten (collectively, the “Material Contract:Contracts”):
(i) any Contract relating to the employment ofpurchase order, agreement, or commitment involving more than $25,000 entered into by the performance of Company to sell any products or services by, any officer, director or employee and any Contract pursuant to under which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)Company has unfulfilled obligations;
(ii) any Contract purchase order, agreement, or commitment involving more than $25,000 entered into by the Company to purchase any products or services that provides calls for indemnification performance over a period of more than one year (other than those that are or on the Closing Date will be terminable at will or upon not more than 90 days’ notice by the Company without any officerliability to the Company, director, employee except liability with respect to any supply or agentproduct purchased before the termination thereof);
(iii) any Contract loan agreement, promissory note, indenture, letter of credit, security agreement, capital lease, sale-leaseback arrangement or other agreement or instrument evidencing or providing for the borrowing of money or pertaining to any real property or equipment, any contract or agreement for the deferred purchase price of property (Aexcluding normal trade payables), or any agreement or instrument guaranteeing any indebtedness, letters of credit or obligations to pay the deferred purchase price of property (other than normal trade payables) relating or to reimburse the acquisition, issuance, voting, registration, sale or transfer maker of any securities, (B) providing any Person with any preemptive right, right letter of participation, right of maintenance credit or banker’s acceptance or any similar right with respect to endorsement of any securitiespromissory note, bxxx of exchange or other negotiable instrument (C) providing CPI with any right other than endorsements of first refusal with respect to, or right to repurchase or redeem, any securitiesnegotiable instruments for collection in the Ordinary Course of Business);
(iv) any Contract requiring that CPI give agreement guaranteeing any notice, obtain obligations of any consent or provide any information to any Person prior to accepting any Acquisition ProposalPerson;
(v) any Contract agreement that provides for the indemnification of any Person (not otherwise identified in this Section) that (A) has a term of more other than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after pursuant to the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash Company’s operating agreement or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contractorganizational documents, or (II) any agreement with a customer or supplier entered into in the performance Ordinary Course of services on Business), or after for the date hereof having a value in excess assumption of $300,000 in aggregate payments under such Contractany Tax, environmental or other liability;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligationsjoint venture, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract partnership, business affiliation or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery arrangement involving a sharing of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractprofits;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; andmaterial sales agency, advertising, promotional, brokerage or distribution agreement;
(viii) any Contract material agreement that includes provisions regarding minimum requirements or volume discounts;
(ix) any agreement under which a discount, bonus, commission or other payment with respect to the services provided by the Company will be payable or required after the Closing;
(x) any employment, consulting, severance, deferred compensation or change of control agreement or arrangement;
(xi) any non-competition, non-solicitation or similar limitation that restricts or purports to restrict the Company or its Affiliates from competing in any line of business or with any Person or in any geographic area or during any period of time;
(xii) any agreement with any Seller or its Affiliates;
(xiii) any agreement for the sale or lease of any material assets, other than for the sale of obsolete equipment in the Ordinary Course of Business;
(xiv) any mortgage, deed of trust, security agreement or other agreement creating a Lien on any assets, including any capital lease;
(xv) any lease (either as lessor or lessee) of personal property;
(xvi) any agreement to license (either as licensor or licensee) any intellectual property rights (other than customary non-negotiated licenses of off-the-shelf computer software with annual fees of less than $25,000);
(xvii) any agreement under which the Company acquired or disposed of any business;
(xviii) any agreement for capital expenditures in excess of $25,000;
(xix) any agreement which requires the referral by the Company of any business or requires the Company to make available to any Person investment or other business opportunities or products or services on a “most favored nation” or exclusive basis;
(xx) any outstanding power of attorney granted by the Company in favor of a third Person whether or not otherwise identified in this Sectionan Affiliate;
(xxi) that would be required as an exhibit in a registration statement under any agreement, other than the Securities Act operating agreement, relating to the indemnification of 1933members, managers and officers; and
(xxii) any other agreement material to the Company.
(b) Each CPI (i) All Material Contract is valid and Contracts are in full force and effecteffect and are valid, binding, and is enforceable in accordance with its termstheir terms and will continue to be in full force and effect after the Closing, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, except to the best of extent such enforcement may be limited by the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material ContractEnforcement Exceptions; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result Company is not in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31no event has occurred that constitutes, 1997, CPI has not received any written or after the giving of notice or passage of time or both, would constitute, a default or event of default under any Material Contract by or in respect of the Company; (iv) to the Knowledge of Sellers, no other written communication regarding party to a Material Contract is in breach of any actual or possible violation or breach ofmaterial provision of any Material Contract; (v) to the Knowledge of Sellers, default underno event has occurred that constitutes, or intention to terminateafter the giving of notice or passage of time or both would constitute, a default or event of default under a Material Contract by or in respect of any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining other party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communicationMaterial Contract; and (ivvi) CPI has the terms of the Material Contracts will not waived change as a result of completion of the Transactions contemplated by this Agreement.
(c) Correct and complete copies of each written Material Contract and any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would amendments thereto have a Material Adverse Effect on CPIbeen provided to Buyer.
(d) To the best Summaries of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI each unwritten Material Contract that are disputed in any material respect or, have been provided to CPI's knowledge, where a dispute as to any material matter has been threatenedBuyer.
Appears in 1 contract
Material Contracts. (aSection 4.1(d) The CPI of the Company Disclosure Schedule identifies each CPI Contract lists all currently effective written or oral contracts, agreements, leases, instruments or legally binding contractual commitments to which the Company is a party that constitutes a "CPI Material Contract." For purposes of this Agreement, each meet any of the following shall be deemed to constitute criteria (each, a CPI "Material Contract:"):
(i) any Contract relating contract with a customer of the Company or with any entity that purchases goods or services from the Company for consideration paid to the employment of, Company of CDN$30,000 or the performance of services by, more in any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)fiscal year;
(ii) any Contract that provides contract for indemnification capital expenditures or the acquisition or construction of fixed assets in excess of CDN$30,000 in any officer, director, employee or agentfiscal year;
(iii) any Contract contract for the purchase or lease of goods or services (A) relating to the acquisitionincluding without limitation, issuanceequipment, votingmaterials, registrationsoftware, sale hardware, supplies, merchandise, parts or transfer other property, assets or services), requiring aggregate future payments in excess of CDN$30,000 in any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesfiscal year;
(iv) any Contract requiring that CPI give contract relating to the borrowing of money or guaranty of indebtedness in excess of CDN$30,000 in any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposalfiscal year;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash collective bargaining or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractarrangement with any labour union;
(vi) any Contract (A) contract granting a first refusal, first offer or similar preferential right to which purchase or acquire any Governmental Body is a party of the Company's share capital or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractassets;
(vii) any open purchase order placed by CPI requiring future aggregate payments contract limiting, restricting or prohibiting the Company from conducting business anywhere in excess Canada, the United States or elsewhere in the world or any contract limiting the freedom of $300,000; andthe Company to engage in any line of business or to compete in any respects with any other Person;
(viii) any joint venture or partnership contract;
(ix) contracts requiring future payments of CDN$30,000 or more in any fiscal year;
(x) any employment contract, severance agreement or other similar binding agreement or policy with any officer or director of the Company; and
(xi) any contract (other than 'shrink-wrap,' 'click wrap' or similar contracts for widely distributed commercially available software) for or with exclusive arrangements for product distribution, development, marketing, branding or services, or software licenses. The Company has provided to Itron a true and complete copy of each Material Contract (not otherwise identified in this Sectionand a written description of each oral Material Contract), including all amendments or other modifications thereto. Except as set forth on Section 4.1(d) that would be required as an exhibit in a registration statement under of the Securities Act of 1933.
(b) Each CPI Company Disclosure Schedule, to the Company's Knowledge, each Material Contract is a valid and in full force and effectlegally binding obligation of the Company, and is enforceable against the Company in accordance with its terms, subject to (i) laws of general application relating only to bankruptcy, insolvency reorganization, receivership or other laws affecting creditors' rights generally and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) remedies. Except as set forth in on Section 4.1(d) of the CPI Company Disclosure Schedule: (i) CPI , the Company has performed all obligations required to be performed by it under the Material Contracts and the Company is not materially violated in breach or breacheddefault thereunder, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) breaches of and defaults under the Material Contracts that has subsequently been revoked; or (B) has been received from a complaining party that has would not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.the Company. Neither the Company nor, to the Company's Knowledge, any other party to a Material Contract is in default thereunder, nor, to the Company's Knowledge, is there any event that with notice or lapse of time, or both, would constitute a default by the Company or, to the Company's Knowledge, any other party thereunder, except for such default under the Material Contracts that would not have a Material Adverse Effect on the Company. In addition, except as set forth on Section 4.1(d) of the Company Disclosure Schedule or as would otherwise not have a Material Adverse Effect on the Company, the Company has no:
(dxii) To contracts with directors, officers, shareholders, employees, agents, consultants, advisors, salespeople, sales representatives, distributors or dealers that cannot be cancelled by the best of the knowledge of CPICompany within 30 days' notice without liability, no Person is renegotiating, penalty or has the right to renegotiatepremium, any material amount paid agreement or payable to CPI under arrangement providing for the payment of any CPI Material Contractbonus or commission based on sales or earnings, or any other material term compensation agreement or provision arrangement affecting or relating to former employees of any CPI Material Contract, including termination provisions.the Company;
(exiii) The CPI notice, written or otherwise, that any party to a contract listed in Section 4.1(d) of the Company Disclosure Schedule sets forth a list intends to cancel, terminate or refuse to renew such contract (if such contract is renewable);
(xiv) material dispute with any of all claims made under any CPI Material Contract that are disputed in any material respect its suppliers, customers, distributors, OEM resellers, licensors or licensees; or,
(xv) agreements or commitments to CPI's knowledge, where a dispute as to any material matter has been threatenedprovide indemnification.
Appears in 1 contract
Material Contracts. (a) The CPI Schedule 4.9 of the Disclosure Schedule identifies each CPI Contract that constitutes sets forth a "CPI Material Contract." For purposes true and complete list of this Agreementall contracts, each of the following shall be deemed to constitute a CPI Material Contract:
(i) any Contract relating to the employment ofagreements, or the performance of services by, any officer, director or employee arrangements and any Contract pursuant other instruments to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment CDS or any other payment (other than payments in respect of salary and the grant of standard benefits);
(ii) any Contract that provides for indemnification of any officer, director, employee or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body its Subsidiaries is a party or under otherwise relating to or affecting any of their respective assets, properties or operations, the cancellation or termination of any of which could reasonably be expected to have a Material Adverse Effect on CDS, including, without limitation, all written or oral, express or implied: (i) contracts, agreements, arrangements and commitments not made in the ordinary course of business; (ii) contracts, agreements, arrangements or understandings with respect to the development, license, sale or use of computer software programs or applications; (iii) contracts, agreements, arrangements, relationships, indentures or other instruments relating to the borrowing of money by CDS or any Governmental Body has of its Subsidiaries; (iv) contracts, agreements, arrangements or commitments providing for indemnity obligations on behalf of CDS or any rights or obligationsof its Subsidiaries, (v) contracts, agreements, arrangements, or commitments limiting or restraining CDS or any of its Subsidiaries from engaging or competing in any lines of business or with any person, firm, or corporation; (vi) contracts involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment by CDS or delivery any of cash its Subsidiaries or other receipt by CDS or any of its Subsidiaries of consideration on or after the date hereof in an amount or having a value in excess any 12-month period of greater than $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
50,000; (vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000confidentiality or non-disclosure agreements; and
(viii) employment or consulting agreements; (ix) contracts, agreements, arrangements or commitments providing a party with a right or option to acquire any Contract material assets of CDS or any of its Subsidiaries; and (not otherwise identified in this Sectionx) that would be required all amendments, modifications, extensions or renewals of any of the foregoing (the foregoing contracts, agreements, arrangements and documents are hereinafter referred to collectively as an exhibit in the “Commitments” and individually as a registration statement under “Commitment”). Each Commitment is valid, binding and enforceable against the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable parties thereto in accordance with its terms, subject to except as limited by (ix) laws of general application relating to bankruptcy, insolvency and the relief of debtorsinsolvency, (ii) rules of law governing specific performancemoratorium, injunctive relief reorganization, fraudulent conveyance laws and other equitable remedies similar laws affecting creditors’ rights generally, and (iiiy) general principles of equity, regardless of whether asserted in the case a proceeding in equity or at law. CDS and each of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth its Subsidiaries have performed in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any all material default respects all obligations required to be performed by such entity to date under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material and are not in default underin respect of, any CPI Material Contract; (ii) to the best of the knowledge of CPICommitment, and no event has occurredoccurred which, and no circumstance or condition exists, that (with or without due notice or lapse of time) could reasonably time or both, would constitute such a default, which can not be expected cured by CDS or its applicable Subsidiary within a permitted grace period. No consent of or notice to (A) result third parties is required relating to any Commitment as a consequence of this Agreement or the transactions contemplated herein. No other party to any Commitment is in a material violation or breach of any of the provisions of any CPI Material Contractdefault in respect thereof, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, and to the knowledge of CPICDS no event has occurred which, taken any action with respect due notice or lapse of time or both, would constitute such a default. CDS has made available to such party's complaint for a period of more than six months following receipt of the communication; CIGI true, correct and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list complete copies of all claims made under any CPI Material Contract that are disputed the written Commitments and a brief written summary or description of each oral Commitment, and no Commitment has been modified in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatenedsince the date it was made available.
Appears in 1 contract
Material Contracts. (a) The CPI Except for this Agreement, Section 4.18 of the Company Disclosure Schedule identifies each CPI Contract that constitutes Letter contains a "CPI Material Contract." For purposes complete and correct list, as of the date of this Agreement, of each Contract described below in this Section 4.18(a) under which the Company or any Company Subsidiary has any current or future rights, responsibilities, obligations or liabilities (in each case, whether contingent or otherwise) or to which any of their respective properties or assets is subject, in each case as of the following shall be deemed date of this Agreement other than Company Benefit Plans listed on Section 4.11(a) of the Company Disclosure Letter (all Contracts of the type described in this Section 4.18(a) being referred to constitute a CPI herein as the “Material Contract:”):
(i) each Contract that limits in any material respect the freedom of the Company or any of its Subsidiaries to compete in any line of business, therapeutic area or geographic region, or with any Person, including any Contract relating that requires the Company and its Subsidiaries to the employment ofwork exclusively with any Person in any therapeutic area or geographic region, or which by its terms would so limit the performance freedom of services by, any officer, director or employee Parent and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and its affiliates after the grant of standard benefits)First Effective Time;
(ii) (A) any Contract that provides providing for indemnification a partnership entity or joint venture entity, and (B) other than any Excluded Contract, any strategic alliance, collaboration, co-promotion or research and development project Contract, which, in the case of any officerclause (B), directoris material to Company and its Subsidiaries, employee or agenttaken as a whole;
(iii) any each acquisition or divestiture Contract or material licensing agreement that contains representations, covenants, indemnities or other obligations (Aincluding “earnout” or other contingent payment obligations) relating that would reasonably be expected to result in the acquisition, issuance, voting, registration, sale receipt or transfer making of any securities, future payments in excess of $10,000,000 in the twelve (B12) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesmonth period following the date hereof;
(iv) any Contract requiring that CPI give under which the Company or any noticeCompany Subsidiary is granted any license, obtain option or other right (including a covenant not to be sued or right to enforce or prosecute any consent or provide any information patents) with respect to any Person prior Intellectual Property of a third party, which Contract is material to accepting any Acquisition Proposalthe Company and the Company Subsidiaries, taken as a whole, other than Excluded Contracts;
(v) any Contract (not otherwise identified in this Section) that (A) under which the Company or any Company Subsidiary has granted to a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash third party any license, option or other consideration on right or after immunity (including a covenant not to be sued or right to enforce or prosecute any patents) with respect to any Intellectual Property, which Contract is material to the date hereof in an amount or having Company and the Company Subsidiaries, taken as a value in excess of $300,000 in aggregate payments under such Contractwhole, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractother than Excluded Contracts;
(vi) any Contract involving the settlement of any claim, action or proceeding or threatened claim, action or proceeding (or series of related, claims actions or proceedings) (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Bodyx) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or may involve payments after the date hereof in an amount hereof, or having a value involved payments, in excess of $300,000 in aggregate payments under such Contract5,000,000 or (y) may impose, or imposed, monitoring or reporting obligations to any other Person outside the ordinary course of business or material restrictions on Parent or any Parent Subsidiary or (IIB) with respect to which material conditions precedent to the performance settlement have not been satisfied; Table of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
Contents (vii) each Contract not otherwise described in any open purchase order placed by CPI requiring future aggregate other subsection of this Section 4.18(a) pursuant to which the Company or any Company Subsidiary (A) is obligated to pay, or entitled to receive, payments in excess of $300,00010,000,000 in the twelve (12) month period following the date hereof, or (B) has paid, or has received, payments in excess of $2,000,000 in fiscal year 2014, in each case, which cannot be terminated by the Company or such Company Subsidiary on less than sixty (60) days’ notice without material payment or penalty, other than ordinary course product or active ingredient purchase contracts;
(viii) each Contract relating to outstanding Indebtedness (or commitments in respect of Indebtedness) of the Company or the Company Subsidiaries for borrowed money or any financial guaranty thereof (whether incurred, assumed, guaranteed or secured by any asset) in an amount in excess of $5,000,000 or relating to any interest rate, currency or commodity derivatives or hedging transactions for which the aggregate exposure is reasonably expected to be in excess of $5,000,000, other than (A) Contracts solely among the Company and any wholly owned Company Subsidiary, (B) financial guarantees entered into in the ordinary course of business consistent with past practice not exceeding $2,500,000, individually or in the aggregate (other than surety or performance bonds, letters of credit or similar agreements entered into in the ordinary course of business consistent with past practice in each case to the extent not drawn upon), and (C) any Contracts relating to Indebtedness explicitly included in the consolidated financial statements in the Company SEC Documents;
(ix) each Contract between the Company or any Company Subsidiary, on the one hand, and any officer, director or affiliate (other than a wholly owned Company Subsidiary) of the Company or any Company Subsidiary or any of their respective “associates” or “immediate family” members (as such terms are defined in Rule 12b-2 and Rule 16a-1 of the Exchange Act), on the other hand, including any Contract pursuant to which the Company or any Company Subsidiary has an obligation to indemnify such officer, director, affiliate or family member, but not including any Company Benefit Plans;
(x) any material collective bargaining agreement or other material Contract with any labor union;
(xi) any Contract that involves the payment by the Company or a Company Subsidiary of any royalties or milestone payments;
(xii) any Contract relating to an Acquisition Proposal or a potential Acquisition Proposal executed prior to the date of this Agreement that includes a standstill provision that does not, by its terms, terminate upon the execution of this Agreement; and
(viiixiii) any Contract (not otherwise identified described in any other subsection of this SectionSection 4.18(a) that would be required constitute a “material contract” (as an exhibit such term is defined in a registration statement under Item 601(b)(10) of Regulation S-K of the Securities Act SEC) with respect to the Company. Table of 1933.Contents
(b) Each CPI True, correct and complete copies of each Material Contract have been made available to Parent prior to the date hereof. Neither the Company nor any Company Subsidiary is in material breach of or default under the terms of any Material Contract, or has received any written notice alleging that the Company or any Company Subsidiary is in material breach or default under the terms of any Material Contract. To the knowledge of the Company, as of the date hereof, no other party to any Material Contract is in breach of or default under the terms of any Material Contract where such breach or default would reasonably be expected to have, individually or in the aggregate, a Company Material Adverse Effect. Except as would not reasonably be expected to have, individually or in the aggregate, a Company Material Adverse Effect, each Material Contract is a valid and binding obligation of the Company or the Company Subsidiary which is party thereto and, to the knowledge of the Company, of each other party thereto, and is in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable theretoEnforceability Limitations.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Agreement and Plan of Reorganization (Pharmacyclics Inc)
Material Contracts. (a) The CPI Section 2.14 of the Disclosure Schedule identifies each CPI Contract that constitutes Letter includes a "CPI Material Contract." For purposes true and complete list of this Agreement, all of the following Contracts to which any Transferred Company is a party or by which any Transferred Company or any properties or assets owned or used by any Transferred Company are bound or affected (each of the following Contracts listed on Section 2.14 of the Disclosure Letter shall be deemed referred to constitute a CPI herein collectively as the "Transferred Company Material Contract:Contracts"):
(i) any Contract relating to the employment of, or the performance of services by, any officer, director or employee Any and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment all Contracts (other than the Transferred Company Plans) with any current or former officer, director, shareholder, employee, consultant or other agent of any Transferred Company or any Affiliate of any of the foregoing, in each case which are likely to involve payments by or on behalf of the Transferred Companies in respect excess of salary and the grant of standard benefits)$250,000 in any year;
(ii) Any and all other Contracts (other than the Transferred Company Plans) with any Contract that provides for indemnification of any current or former officer, director, employee shareholder, employee, consultant or agentother agent of any Transferred Company or any Affiliate of any of the foregoing, which are subject, upon consummation of the sale of the Shares, to acceleration of benefits having a cost to the Transferred Companies in excess of $250,000 with respect to such Person;
(iii) any Contract (A) relating All Contracts entered into on or after January 1, 1998 to the acquisition, issuance, voting, registration, sale sell or transfer otherwise dispose of any securitiesassets having a fair market value in excess of $2,000,000, (B) providing any Person with any preemptive right, right except sales of participation, right inventory in the Ordinary Course of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesBusiness;
(iv) All Contracts pursuant to which any Contract requiring that CPI give Transferred Company has any notice, obtain obligation for Indebtedness (including any consent or provide any information to any Person prior to accepting any Acquisition Proposalguarantee thereof);
(v) All Contracts pursuant to which any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days Transferred Company may be expected to perform services or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having deliver goods with a value in excess of $300,000 2,500,000 in aggregate payments under such Contractany year, except for customer purchase orders issued or (II) received in the performance Ordinary Course of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractBusiness;
(vi) any Contract (A) All Contracts pursuant to which any Governmental Body is a party the Transferred Companies may be obligated to pay for goods and services to be delivered or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value performed in excess of $300,000 2,500,000 in aggregate payments under such Contractany year, or (II) except for purchase orders issued in the performance Ordinary Course of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractBusiness;
(vii) Each joint venture agreement, partnership agreement, and limited liability company agreement and each other Contract (however named) involving a sharing of profits, losses, costs or liabilities with any open purchase order placed other Person, if such agreement or Contract is material to the Transferred Companies considered as a whole;
(viii) Each Contract (or series of related Contracts with Affiliated Persons) requiring capital expenditures from and after the date of this Agreement by CPI requiring future aggregate payments any Transferred Company in excess of $300,000500,000 in any year;
(ix) Each Contract which contains a restriction on any Transferred Company involving competing with a third party in the business of any Transferred Company;
(x) Each Contract not otherwise described in this Section 2.14(a) that was not entered into in the Ordinary Course of Business and that involves expenditures or receipts of any Transferred Company in excess of $500,000;
(xi) Each Contract with any labor union or other employee representative of a group of employees relating to wages, hours and other conditions of employment; and
(viiixii) Each amendment, supplement and modification (whether oral or written) in respect of any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under of the Securities Act of 1933foregoing.
(b) Each CPI Since January 1, 2001, except as would not reasonably be expected to have a Material Contract is valid and in full force and effectAdverse Effect, and is enforceable in accordance with its terms, subject to (i) laws each Transferred Company has been in compliance with all applicable terms and requirements of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI each Transferred Company Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best Knowledge of the knowledge of CPISellers, no event each other Person that is a party to any Transferred Company Material Contract has occurred, been in compliance with all applicable terms and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected requirements to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; such Contract and (iii) since December 31, 1997, CPI no Transferred Company has not given to or received from any other Person any written notice or other written communication regarding any actual actual, alleged, possible or possible potential violation or breach of, or default under, or intention any threat to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Transferred Company Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Section 3.17(a) of the applicable Disclosure Schedule identifies each CPI Contract that constitutes sets forth a "CPI Material Contract." For purposes of this Agreement, each correct and complete list of the following shall be deemed Contracts (other than any statements of work, purchase, project, change or similar orders issued pursuant to constitute any such Contracts to the extent consistent with the terms and conditions, and not constituting an amendment, of the applicable Contract) to which any member of such Target Group is party as of the date hereof (a CPI Contract responsive to any of the following categories being hereinafter referred to as a “Material Contract:”):
(i) (A) any Contract relating to the employment of, or the performance of services by, any officer, director or employee and member of such Target Group calling for payments by any Contract pursuant to which CPI is or may become obligated to make party thereto in excess of $3,000,000 in any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)one year;
(ii) any Contract that provides for indemnification relating to the creation, incurrence, assumption or guarantee of any officer, director, employee Indebtedness in excess of $5,000,000 or agentinvolving aggregate payments of more than $5,000,000 in any calendar year;
(iii) any Contract (A) relating that limits or purports to limit the acquisition, issuance, voting, registration, sale or transfer ability of any securitiesmember of such Target Group (or, (Bafter the Closing, that purports to so limit or restrict the Company or any of its Affiliates) providing to sell any products or services of or to any other Person or in any geographic region, compete in any line of business, obtain products or services from any Person with or solicit any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesindividuals for employment;
(iv) any Contract requiring that CPI give any notice, obtain any consent contains a “most-favored nation” clause or provide any information to any Person prior to accepting any Acquisition Proposalsimilar terms that provides preferential pricing or treatment;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days by its terms requires such Target Group to make any capital commitments or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value capital expenditures in excess of $300,000 10,000,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractany year;
(vi) any Contract with a Governmental Authority (A) to which any other than Contracts with a Governmental Body is Authority as a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery subscriber of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractTarget Group);
(vii) any open purchase order placed Contract that relates to the acquisition or disposition of any business, a material amount of stock or assets of any Person or any real property (whether by CPI requiring future aggregate payments in excess merger, sale of $300,000; andstock, sale of assets or otherwise);
(viii) any Contract granting any Person an option or a right of first refusal or first offer or similar preferential right to purchase or acquire any shares or any material assets of any member of such Target Group;
(not otherwise identified in this Sectionix) any partnership, joint venture or other similar agreement or arrangement that would be required as an exhibit in a registration statement under requires the Securities Act sharing of 1933profits; and
(x) any Related Party Contract.
(b) Each CPI Such Contributing Party has made available to the other Contributing Party true and correct copies of each written Material Contract and summaries of the material terms of each unwritten Material Contract, in each case, with respect to its Target Group in effect as of the date hereof. Except as would not reasonably be expected to, individually or in the aggregate, be material to the applicable Target Group, each Material Contract is valid and in full force and effect, effect and is a valid and binding agreement of the applicable member of such Target Group enforceable by and against such member of such Target Group in accordance with its terms, subject except as such enforceability may be limited by the General Enforceability Exceptions. No member of such Target Group nor, to the Knowledge of such Contributing Party, any other party to any Material Contract, is in material breach of or material default under, or has, since the Balance Sheet Date, provided or received any notice (whether written or, to Knowledge of such Contributing Party, oral) of any intention to terminate or not renew, any Material Contract. To the Knowledge of the Contributing Party, no event or circumstance has occurred that would (i) laws constitute a material breach of general application relating to bankruptcy, insolvency and the relief or a material event of debtorsdefault by, (ii) rules result in a right of law governing specific performancetermination for, injunctive relief and other equitable remedies and or (iii) in cause or permit the case acceleration of or other changes to any material right of obligation or the loss of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contractbenefit for, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiatecase, any material amount paid or payable to CPI party under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Master Transaction Agreement (Liberty Latin America Ltd.)
Material Contracts. (a) The CPI Disclosure Except as set forth on Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes 2.17(a) (other than any Benefit Plans, Leases, Permits, nonexclusive Third Party intellectual property licenses for services, systems, or software disclosed or as contemplated by this Agreement or any other Transaction Document), as of the date of this Agreement, each of the following shall be deemed to constitute TPI is not a CPI Material Contractparty to, and its assets or properties are not bound by, any:
(i) any Contract relating contract that constitutes a non-competition agreement, covenant not to the employment of, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment compete or any other payment (other than payments in respect similar agreement that purports to materially restrict or prohibit the manner of salary and the grant operations of standard benefits)TPI;
(ii) contract that is a material settlement, conciliation or similar agreement with any Contract Governmental Entity or a Third Party that provides for indemnification of contains any officer, director, employee or agent;obligations that have not been performed in full; ACTIVE/126345968.16
(iii) contract requiring TPI or any Contract (A) relating of its Affiliates to exclusively source any good or service from any Person or requiring any Person to exclusively source any good or service from TPI or any of its Affiliates for inputs to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitiesProducts;
(iv) contract between or among TPI or any Contract requiring that CPI give of its Affiliates on the one hand and Affiliates of TPI or any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposalof its Affiliates on the other hand;
(v) any Contract (not otherwise identified in this Section) that (A) has contract with a term of more than sixty (60) days Material Customer or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractMaterial Supplier;
(vi) contract that requires TPI to purchase its total requirements of any Contract (A) to which any Governmental Body is product or service from a party Third Party or under which any Governmental Body has any rights that contain “take or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractpay” provisions;
(vii) any open purchase order placed by CPI requiring future aggregate payments contract for indebtedness, credit support, guarantee, letter of credit, indemnification, or creating, granting or resulting in excess of $300,000; andan Encumbrance on TPI’s material assets that will be binding on TPI post-Closing;
(viii) contract with a Governmental Entity;
(ix) contract for the sale of any Contract material assets, or the grant to any person of any right to purchase such assets, in each case, that will be binding on TPI post-Closing, other than in the ordinary course of business consistent with past practices; or
(x) contract that is material to TPI and not otherwise identified in disclosed pursuant to this SectionSection 2.17(a) that would be required as an exhibit in a registration statement under (the Securities Act of 1933foregoing Contracts, the “TPI Material Contracts”).
(b) Each CPI True, correct and complete copies of all TPI Material Contracts have been made available to CCI. Except as set forth on Schedule 2.17(b), as of the date of this Agreement, (i) each TPI Material Contract is valid and in full force and effect, effect and is valid, binding and enforceable against TPI and, to TPI’s Knowledge, the other party to such TPI Material Contract, in accordance with its terms, subject to (i) laws of general application except as enforceability may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar Laws now or hereinafter in effect relating to bankruptcycreditors’ rights generally, insolvency general equity principles (whether considered in a Proceeding in equity or at Law) and the relief consideration of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contractpublic policy; (ii) to the best of the knowledge of CPITPI is not in material breach or default, and no event has occurred, and no circumstance or condition exists, that (occurred which with or without notice or lapse of time) could reasonably be expected to (A) result in time would constitute a material violation breach or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contractby TPI, or (D) give any Person the right to cancelpermit termination, terminate modification, or materially modify any CPI acceleration, under such TPI Material ContractContract on account thereof; (iii) since December 31to TPI’s Knowledge, 1997no other party to any TPI Material Contract is in breach or default, CPI and no event has not received any written occurred which with notice or lapse of time would constitute a breach or default by such other written communication regarding any actual or possible violation or breach of, default underparty, or intention to terminatepermit termination, modification or acceleration under any CPI TPI Material Contract except for communication other than in accordance with its terms, (Aiv) that no party has subsequently been revoked; repudiated any provision of any TPI Material Contract and (v) no material customer audits are pending or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action in process with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI an TPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Material Contracts. (a) The CPI Except as set forth in Schedule 3.17(a) of the Disclosure Schedules, and except for Contracts entered into by the Company and its Subsidiaries after the date hereof in accordance with Section 5.1, neither the Company nor any of its Subsidiaries is a party to or is bound by any Contract (other than a Plan disclosed on Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement, each 3.10(a)) of the following shall nature (such Contracts as are required to be deemed to constitute a CPI set forth in Schedule 3.17(a) of the Disclosure Schedules being “Material Contract:Contracts”):
(i) any broker, distributor, dealer, manufacturer’s representative, franchise, agency, continuing sales or purchase, sales promotion, market research, marketing, consulting or advertising Contract relating to that provides for annual payments by the employment of, Company or its Subsidiaries after the performance date hereof in excess of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)$200,000;
(ii) any Contract that provides for indemnification of any officer, director, employee governing or agentevidencing (A) Funded Indebtedness or (B) Other Indebtedness;
(iii) any Contract currently in effect pursuant to which the Company or any of its Subsidiaries has provided funds to (A) relating other than to pay for goods and services in the acquisitionordinary course of business), issuanceor made any material loan to or material capital contribution or other investment in, votingor assumed any material liability or obligation of, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right(other than the Company or a Subsidiary thereof), right of participation, right of maintenance including take-or-pay contracts or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securitieskeepwell agreements;
(iv) any Contract requiring that CPI give with any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition ProposalGovernmental Authority;
(v) any Contract (not otherwise identified in this Section) that (A) has a term with any Related Party of more the Company or any of its Subsidiaries set forth on Schedule 3.18, other than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contractemployment, indemnification, or (II) similar Contracts entered into in the performance ordinary course of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractbusiness;
(vi) any employment Contract or Contract entered into with individual consultants currently in effect (A) other than Contracts with respect to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or hourly employees and other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;than Plans); 44
(vii) any open Contract currently in effect that limits, or purports to limit, the ability of the Company or any of its Subsidiaries to compete in any line of business or with any Person or in any geographic area or during any period of time, or that restricts the right of the Company and its Subsidiaries to sell to or purchase order placed by CPI requiring future aggregate payments in excess from any Person or to hire any Person, or that grants the other party or any third person “most favored nation” status or any type of $300,000; andspecial discount rights;
(viii) any Contract currently in effect pursuant to which the Company or any of its Subsidiaries is the lessee or lessor of, or holds, uses, or makes available for use to any Person (not other than the Company or a Subsidiary thereof), (A) any real property or (B) any tangible personal property and, in each case, that involves an annual rent in excess of $100,000;
(ix) any Contract for the sale or purchase of any real property, or for the sale or purchase of any tangible personal property outside of the ordinary course of business and in an amount in excess of $100,000;
(x) any Contract providing for indemnification to or from any Person with respect to liabilities relating to any current or former business of the Company, any of its Subsidiaries or any predecessor Person outside of the ordinary course of business (and other than pursuant to the Company’s and its Subsidiaries organizational documents);
(xi) any Contract under which the Company or any of its Subsidiaries grants or receives a license of any material Intellectual Property, excluding any agreement under which commercially available “off the shelf” Software is licensed to the Company or any of its Subsidiaries in object code form pursuant to the terms of a “click-through” or “shrink-wrap” license and any other Contract limiting or otherwise identified pertaining to the Company’s or any of its Subsidiaries’ rights to use or enforce any Intellectual Property that is used in this Section) that would be required the current conduct of the businesses of the Company or any of its Subsidiaries, and excluding any agreement under which any third party is permitted to use the Company’s name or under which the Company is permitted to use any third party’s name, in each case as an exhibit ancillary right under such agreement;
(xii) any joint venture or partnership, merger, asset or stock purchase or divestiture Contract relating to the Company or any of its Subsidiaries;
(xiii) any Contract with any labor union;
(xiv) any Contract for the purchase by the Company or any of its Subsidiaries of any debt or equity security or other ownership interest of any other Person;
(xv) any hedging, futures, options or other derivative Contract;
(xvi) any Contract relating to settlement of any administrative or judicial proceedings involving amounts greater than $10,000 since January 1, 2011;
(xvii) any Contract that results in any Person holding a registration statement under power of attorney from the Securities Act Company or any of 1933its Subsidiaries that relates to the Company, any of its Subsidiaries or any of their respective businesses; 45
(xviii) any “Transmitter Agreement,” “Program Agreement” or similar Contract with any Person, and any other Contract relating to the provision of tax refund transfers, tax refund anticipation loans, tax preparation fee collection programs or income tax related products, in each case, that provides for annual payments to or by the Company or any of its Subsidiaries in excess of $200,000; and
(xix) any other Contract not made in the ordinary course of business that involves a future or potential liability or receivable, as the case may be, in excess of $200,000 on an annual basis or in excess of $500,000 over the current Contract term (including any such Contracts with tax preparation firms or other customers or clients).
(b) Each CPI Except as would not reasonably be expected, individually or in the aggregate, to be material to the Company and its Subsidiaries taken as a whole, each Material Contract is legal, valid and in full force and effectbinding on the Company or Subsidiary of the Company party thereto, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and on the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contractone hand, and, to the best knowledge of the Company, each other party thereto, on the other, and is in full force and effect and enforceable against the Company, any Subsidiary of the Company party thereto and, to the knowledge of CPIthe Company, no such other Person has materially violated parties. None of the Company or breachedany of its Subsidiaries or, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPIthe Company, no event has occurredany other party is in material breach or violation of, and no circumstance or condition exists, that (with or without notice or lapse of timetime or both) could reasonably be expected to (A) result in a material violation or breach of default under, any of the provisions of any CPI Material Contract, (B) give any Person nor has the right to declare a default Company or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under Subsidiaries received any CPI Material Contract, in each case where claim of any such breach, default, violation or waiver would have a Material Adverse Effect default. The Company has delivered or made available to Parent true and complete copies of all written Contracts referred to on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material ContractSchedule 3.17(a), including termination provisionsany amendments thereto.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Merger Agreement (Green Dot Corp)
Material Contracts. (a) The CPI Disclosure Except as set forth on Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes of this Agreement3.8(a), each none of the following shall be deemed to constitute a CPI Material Contract:
Companies and their respective Subsidiaries is bound by (i) any agreement, Contract or commitment relating to the employment of, or the performance of services by, any officer, director or employee and Person (as hereinafter defined) by any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment Company or any Subsidiary thereof or any bonus, deferred compensation, pension, profit sharing, stock option, employee stock purchase, retirement or other payment employee benefit plan (including any agreement under which an employee of a Company or a Subsidiary thereof would be entitled to payment, vesting of rights or benefits or other than payments compensation upon a change in respect control of salary and the grant of standard benefitssuch Company or Subsidiary thereof);
, (ii) any Contract that provides for indemnification agreement, indenture or other instrument which contains restrictions with respect to payment of dividends or any officerother distribution in respect of its capital stock, director, employee or agent;
(iii) any agreement, Contract (A) or commitment relating to capital expenditures in excess of $350,000 per individual item or $750,000 in the acquisitionaggregate, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any noticeloan or advance to, obtain any consent or provide any information to investment in, any Person prior or any agreement, Contract or commitment relating to accepting the making of any Acquisition Proposal;
such loan, advance or investment, (v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash guarantee or other consideration on contingent liability in respect of any Indebtedness or after obligation of any Person other than a Company or a Subsidiary thereof (other than the date hereof endorsement of negotiable instruments for collection in an amount or having a value in excess of $300,000 in aggregate payments under such Contractthe Ordinary Course), or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which management service, consulting or any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such similar type Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments agreement, Contract or commitment limiting the ability of any Company to engage in excess any line of $300,000; and
business or to compete with any Person, (viii) any agreement, Contract or commitment not entered into in the Ordinary Course which involves $350,000 or more and is not cancelable without penalty within 30 days, or (ix) any agreement, Contract or commitment which by its operation or termination would reasonably be expected to have a Material Adverse Effect on the Business. To the knowledge of Contributors, the Contracts listed on Schedule 3.8(a) and the other schedules attached hereto, together with the customer contracts not otherwise identified in this Section) that would required to be required listed on Schedule 3.8(a), constitute all the material Contracts of the Companies and their respective Subsidiaries, taken as an exhibit in a registration statement under the Securities Act of 1933whole.
(b) Each CPI Material Contract or agreement set forth (or required to be set forth) on Schedule 3.8(a) is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) . Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurredSchedule 3.8(b), and no circumstance except as would not, individually or condition existsin the aggregate, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
the Business, assuming the receipt of any and all consents of third parties in connection with the transactions contemplated hereby, each Contract set forth (dor required to be set forth) To the best on Schedule 3.8(a) is in full force and effect and there exists no (i) default or event of default by any Company or, to the knowledge of CPI, no Person is renegotiating, or has the right to renegotiateContributors, any material amount paid or payable other party to CPI under any CPI Material such Contract, or (ii) event, occurrence, condition or act which, with the giving of notice, the lapse of time or the happening of any other material event or condition, would become a default or event of default by any Company or, to the knowledge of Contributors, any other party thereto, with respect to any term or provision of any CPI Material such Contract, including termination provisions.
. None of the Companies and their respective Subsidiaries has violated any of the material terms or conditions of any Contract or agreement (ex) The CPI Disclosure to which any Company (or a Subsidiary thereof) and any customer that accounts for more than 2% of the total sales of the Business are parties or (y) set forth (or required to be set forth) on Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed 3.8(a) in any material respect orrespect, and, to CPI's knowledgethe knowledge of the Contributors, where a dispute as all of the material covenants to be performed by any other party thereto have been fully performed in all material matter has been threatenedrespects.
Appears in 1 contract
Material Contracts. (a) The CPI Except for this Agreement or any Contracts filed as exhibits to the Company SEC Documents, Section 3.20 of the Company Disclosure Schedule identifies each CPI Contract that constitutes Letter contains a "CPI Material Contract." For purposes complete and correct list, as of the date of this Agreement, of each Contract described below in this Section 3.20(a) under which the Company or any Company Subsidiary has any current or future rights, responsibilities, obligations or liabilities (in each case, whether contingent or otherwise) or to which any of their respective properties or assets is subject, in each case as of the following shall be deemed date of this Agreement (all Contracts of the type described in this Section 3.20(a), other than the Company Benefit Plans, whether or not set forth on Section 3.20 of the Company Disclosure Letter, being referred to constitute a CPI herein as “Company Material Contract:Contracts”):
(i) any partnership, joint venture, strategic alliance, collaboration, co-promotion, supply, license or research and development project Contract relating which is material to the employment ofCompany and its Subsidiaries, or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)taken as a whole;
(ii) any Contract that provides for indemnification prohibits in any material respect the Company or any of its Affiliates from competing in any officerline of business, directortherapeutic, employee diagnostic or agentprophylactic area, class or type of drugs, device or mechanism of action or in any geographic region, or with any Person, including any Contract that requires the Company and its Affiliates to work exclusively with any Person in any therapeutic, diagnostic or prophylactic area or geographic region, in each case which Contract is material to the Company and its Affiliates, taken as a whole;
(iii) any each acquisition or divestiture Contract or licensing agreement that contains financial covenants, indemnities or other payment obligations (Aincluding “earn-out” or other contingent payment obligations) relating that would reasonably be expected to result in the acquisition, issuance, voting, registration, sale receipt or transfer making of any securities, (B) providing any Person with any preemptive right, right future payments in excess of participation, right of maintenance or any similar right with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities$100 million;
(iv) each Contract relating to outstanding Indebtedness of the Company or its Subsidiaries for borrowed money or any Contract requiring that CPI give financial guaranty thereof (whether incurred, assumed, guaranteed or secured by any noticeasset) in an amount in excess of $100 million other than (A) Contracts solely among the Company and any wholly owned Company Subsidiary or a guarantee by the Company or any Company Subsidiary of a Company Subsidiary and (B) financial guarantees entered into in the ordinary course of business consistent with past practice not exceeding $100 million, obtain any consent individually or provide any information in the aggregate (other than surety or performance bonds, letters of credit or similar agreements entered into in the ordinary course of business consistent with past practice in each case to any Person prior to accepting any Acquisition Proposalthe extent not drawn upon);
(v) each Contract between the Company, on the one hand, and any officer, director or affiliate (other than a wholly owned Company Subsidiary) of the Company or any of their respective “associates” or “immediate family” members (as such terms are defined in Rule 12b-2 and Rule 16a-1 of the Exchange Act), on the other hand, including any Contract (not otherwise identified in this Section) that (A) pursuant to which the Company has a term of more than sixty (60) days an obligation to indemnify such officer, director, affiliate or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractfamily member;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any stockholders, investors rights, registration rights or obligations, similar agreement or involving arrangement of the Company or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractits Subsidiaries;
(vii) any open purchase order placed by CPI requiring future aggregate payments Contract that relates to any swap, forward, futures, or other similar derivative transaction with a notional value in excess of $300,000; and1 billion;
(viii) any Contract involving the settlement of any claims, actions, suits or proceedings or threatened claims, actions, suits or proceedings (or series of related claims, actions, suits or proceedings) which (A) involve payments after the date hereof of consideration in excess of $100 million or (B) impose material monitoring or reporting obligations to any other Person outside the ordinary course of business;
(ix) any Contract with any Relevant Authority that is material to the Company and its Subsidiaries, taken as a whole, excluding any sales or supply agreements entered into in the ordinary course of business that are not material and tolling agreements entered into in connection with investigations by Relevant Authority; and
(x) any Contract not otherwise identified described in any other subsection of this SectionSection 3.20(a) that would be required to be filed by the Company as an exhibit a “material contract” (as such term is defined in a registration statement under Item 601(b)(10) of Regulation S-K of the Securities Act of 1933SEC).
(b) Each CPI Except as described in Section 3.20(b) of the Company Disclosure Letter, the Company has provided to Parent prior to the date of this Agreement, a true and complete copy of each Company Material Contract as in effect on the date of this Agreement. Neither the Company nor any Company Subsidiary is in breach of or default under the terms of any Company Material Contract where such breach or default has had or would reasonably be expected to have, individually or in the aggregate, a Company Material Adverse Effect. To the knowledge of the Company, as of the date hereof, no other party to any Company Material Contract is in breach of or default under the terms of any Company Material Contract where such breach or default has had or would reasonably be expected to have, individually or in the aggregate, a Company Material Adverse Effect. Except as has not had and would not reasonably be expected to have, individually or in the aggregate, a Company Material Adverse Effect, each Company Material Contract (except those which may be cancelled, rescinded, terminated or not renewed after the date hereof in accordance with their terms) is a valid and binding obligation of the Company or the Company Subsidiary which is party thereto and, to the knowledge of the Company, each other party thereto, and is in full force and effect, and is enforceable in accordance with its terms, subject to except that (i) laws of general application such enforcement may be subject to applicable bankruptcy, insolvency, examinership, reorganization, moratorium or other similar Laws, now or hereafter in effect, relating to bankruptcy, insolvency creditors’ rights generally and the relief of debtors, (ii) rules equitable remedies of law governing specific performance, performance and injunctive relief and other forms of equitable remedies relief may be subject to equitable defenses and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best discretion of the knowledge of CPI, no other Person has materially violated or breached, or committed court before which any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably proceeding therefor may be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPIbrought.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Merger Agreement (Allergan PLC)
Material Contracts. 3.10.1 Section 3.10.1 of the Disclosure Schedule lists the following Contracts to which an Acquired Company is a party (collectively, the “Material Contracts”):
(a) The CPI Disclosure Schedule identifies any Contract relating to Indebtedness of any Acquired Company or any Contract under which an Acquired Company has guaranteed the Indebtedness of any other Person, in each CPI case in excess of $75,000, or any Contract relating to the issuance of letters of credit;
(b) any Contract providing for the sale, assignment, lease, license or other disposition of any asset of an Acquired Company with a value in excess of $75,000, except for sales of obsolete assets and purchase and sale orders executed in the Ordinary Course;
(c) any Contract granting a Lien upon any asset of an Acquired Company that requires annual aggregate payments by any Acquired Company in excess of $75,000, other than Permitted Liens;
(d) any partnership, limited liability company or joint venture agreement in which any Acquired Company participates as a partner, member or joint venturer;
(e) any Real Property Lease that involves annual aggregate payments by any Acquired Company in excess of $50,000;
(f) any material sales agency, sales representation, distributorship, broker or franchise Contract that constitutes is (i) not terminable without penalty on 90 days’ notice or less and (ii) requires payment by any Acquired Company in excess of $50,000 per annum;
(g) any Contract that limits, or purports to limit, the ability of any Acquired Company to (i) engage in any aspect of its business; (ii) participate or compete in any line of business, market or geographic area; (iii) freely set prices for its products or services; (iv) solicit potential employees, consultants, contractors or other suppliers or customers; (v) incur or guarantee any Indebtedness or granting a "CPI Material Contract." For purposes Lien on the assets of this Agreementsuch Acquired Company; or (vi) use or enforce any Intellectual Property rights;
(h) any Contract that grants most favored nation pricing, each exclusive sales, distribution, marketing or other exclusive rights, rights of the following shall be deemed refusal, rights of first negotiation or similar rights or terms to constitute a CPI Material Contract:any Person;
(i) any Contract relating to the employment of, with a Top Supplier or the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment or any other payment (other than payments in respect of salary and the grant of standard benefits)a Top Customer;
(j) any material Contract granting any license under or assignment of Intellectual Property (i) to any Acquired Company, except for (1) end user licenses with respect to off-the-shelf, shrinkwrap, or clickwrap software applications (including software provided as a service), (2) non-disclosure agreements entered into in the Ordinary Course by any Acquired Company, and (3) standard Contracts with current and former employees of any Acquired Company entered into in the Ordinary Course, and (ii) from any Contract that provides Acquired Company to any third parties, except for indemnification of (1) non-exclusive licenses granted in the Ordinary Course and (2) non-disclosure agreements entered into in the Ordinary Course by any officer, director, employee or agent;Acquired Company; or
(iiik) any Contract (Aother than purchase and sale orders executed in the Ordinary Course) relating that is not otherwise responsive to any other subclause of this Section 3.10.1 that requires payment by any Acquired Company in excess of $75,000 per annum or in which $125,000 in the acquisitionaggregate remains to be paid by any Acquired Company under such Contract, issuanceor provides for any Acquired Company to receive any payments in excess of, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right property with respect to any securities, or (C) providing CPI with any right of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a fair market value in excess of $300,000 75,000 per annum or in which $125,000 in the aggregate payments remains payable to any Acquired Company under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000; and
(viii) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI 3.10.2 All Material Contract is valid and Contracts are in full force and effect, effect and is are enforceable against each party thereto in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of express terms thereof. Neither any of the provisions Acquired Companies nor, to Seller’s Knowledge, any other party thereto is in breach of any CPI Material Contractor default under (or, (B) give any Person the right to declare a Seller’s Knowledge, is alleged to be in breach of or default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contractunder), or (D) give any Person the right to cancel, terminate has provided or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding of any actual or possible violation or breach of, default under, or intention to terminate, any CPI Material Contract. There does not exist under any Material Contract except for communication (A) that has subsequently been revoked; any violation, breach or (B) has been received from event of default, or alleged violation, breach or event of default, or event or condition that, after notice or lapse of time or both, would constitute a complaining party that has not contacted CPI violation, breach or otherwise, to event of default thereunder on the knowledge part of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material ContractAcquired Companies, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledgeSeller’s Knowledge, where any other party thereto, or result in a dispute as termination thereof or would cause or permit the acceleration or other changes of any right or obligation or the loss of any benefit thereunder. The Companies have provided to any Buyer true, complete and correct copies of all written Material Contracts (including all modifications, amendments, signatures, exhibits and supplements thereto and waivers thereunder) and accurate written descriptions of all material matter has been threatenedterms of all oral Material Contracts (including all modifications, amendments, signatures, exhibits and supplements thereto and waivers thereunder).
Appears in 1 contract
Material Contracts. Except for the contracts set forth in Section 2.23 of the Target Disclosure Schedule (collectively, the “Target Material Contracts”), Target, as of the date hereof, is not a party to or bound by any material contract, including without limitation:
(a) The CPI Disclosure Schedule identifies any contract for capital expenditures or the purchase of materials, supplies, equipment or services involving, in each CPI Contract that constitutes a "CPI Material Contract." For purposes case, more than $25,000 in any twelve (12) month period;
(b) any trust indenture, mortgage, promissory note, loan agreement or other contract for the borrowing of this Agreementmoney, each any currency exchange, commodities or other hedging arrangement or any leasing transaction of the following shall type required to be deemed capitalized in accordance with GAAP;
(c) any contract limiting the legal right of Target to constitute engage in any business or line of business or to compete with any other person or entity;
(d) any contract prohibiting Target from soliciting employees of another person;
(e) any contract pursuant to which Target leases any real property;
(f) any agreement of guarantee, indemnification, or assumption of any indebtedness of any third party, other than advances for travel and other appropriate business expenses in the ordinary course of business;
(g) any license, sublicense or other agreement to which Target is a CPI Material Contract:party (or by which it or any Target Intellectual Property is bound or subject) and pursuant to which any third party has been or may be assigned, authorized to use, or given access to any Target Intellectual Property, other than licenses, sublicenses and other agreements with actual or potential customers, suppliers, consultants, resellers, distributors or other business partners or investors in the ordinary course of business;
(h) any license, sublicense or other agreement pursuant to which Target has been assigned or authorized to use any third party intellectual property that is incorporated in and forms a material part of any current product, service or offering of Target;
(i) any Contract relating to the employment of, or the performance of services by, any officer, director or employee and any Contract agreement pursuant to which CPI Target has deposited or is required to deposit with any third party, all or may become obligated to make any severance, termination, bonus or relocation payment part of the source code (or any other payment (other than payments algorithm or documentation contained in respect or relating to any source code) of salary and the grant of standard benefits)any Target Intellectual Property;
(iij) any Contract agreement that provides for indemnification of obligates Target to indemnify, hold harmless or defend any officer, director, employee or agent;
(iii) any Contract (A) relating to the acquisition, issuance, voting, registration, sale or transfer of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right other third party with respect to any securitiesassertion of breach of any fiduciary duty, personal injury, damage to property or intellectual property infringement, misappropriation or violation (C) providing CPI with any right in each case outside of first refusal with respect to, or right to repurchase or redeem, any securities;
(iv) any Contract requiring that CPI give any notice, obtain any consent or provide any information to any Person prior to accepting any Acquisition Proposal;
(v) any Contract (not otherwise identified in this Section) that (A) has a term the ordinary course of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vi) any Contract (A) to which any Governmental Body is a party or under which any Governmental Body has any rights or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contract;
(vii) any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000business); and
(viiik) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933.
(b) Each CPI Material Contract is valid and in full force and effect, and is enforceable in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract material agreement with a Governmental Body, laws applicable theretoEntity.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, and, to the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, no event has occurred, and no circumstance or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material Contract, in each case where such breach, default, violation or waiver would have a Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Merger Agreement (Microtune Inc)
Material Contracts. (a) The CPI Section 4.16(a) of the Company Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes lists, as of the date of this Agreement, each the following types of Contracts to which the Company is a party, excluding for this purpose, any purchase orders submitted by customers (such Contracts as are required to be set forth in Section 4.16(a) of the following shall be deemed to constitute a CPI Company Disclosure Schedule, along with any Plan listed on Section 0 of the Company Disclosure Schedule, being the “Material Contract:Contracts”):
(i) all Contracts with consideration payable to the Company of more than $500,000, in the aggregate, over any 12-month period;
(ii) each Contract requiring payment by or to the Company after the date of this Agreement in excess of $500,000 pursuant to its express terms relating to (A) any agreement involving provision of services or products or (B) any alliance, joint venture, cooperation, development or other agreement currently in force under which the Company has continuing obligations to develop any product, technology or service, or any agreement pursuant to which the Company has continuing obligations to develop any Intellectual Property rights that will not be owned, in whole or in part, by the Company;
(iii) all Contracts pursuant to which the Company has engaged any third party to manage the business of the Company (excluding contracts for employment), to the extent material to the business of the Company;
(iv) all Contracts with any Governmental Authority to which the Company is a party or which otherwise govern the use of any Company Owned IP, other than any Company Permits;
(v) all Contracts evidencing indebtedness for borrowed money in an amount greater than $500,000, and any pledge agreements, security agreements or other collateral agreements in which the Company granted to any person a security interest in or Lien on any of the property or assets of the Company, and all agreements or instruments guaranteeing the debts or other obligations of any person;
(vi) all Contracts pursuant to which the Company has continuing obligations or interests involving (A) “milestone” or other similar contingent payments, including upon the achievement of regulatory or commercial milestones which would result in a payment in excess of $500,000 or (B) payment of royalties or other amounts calculated based upon any revenues or income of the Company, in each case that cannot be terminated by the Company without penalty, or without more than sixty (60) days’ notice without material payment or penalty;
(vii) all Contracts establishing any partnership, joint venture, strategic alliance or other collaboration or similar arrangement between the Company, on the one hand, and any third party, on the other hand (including with respect to the Products);
(viii) any Contract relating to the employment ofacquisition or disposition of any business or asset (whether by merger, sale of stock, sale of assets or otherwise) under which the performance of services by, any officer, director or employee and any Contract pursuant to which CPI is or may become obligated to make any severance, termination, bonus or relocation payment Company or any other of its affiliates has or will have obligations with respect to an “earn out,” contingent purchase price or similar contingent payment (other than payments in respect of salary and the grant of standard benefits)obligation;
(iiix) all Contracts that limit, or purport to limit, the ability of the Company to compete in any Contract that provides for indemnification line of business or with any officer, director, employee person or agententity or in any geographic or therapeutic area or during any period of time excluding customary confidentiality clauses;
(iiix) all Contracts that result in any Contract (A) relating person or entity holding a power of attorney from the Company that materially relates to the acquisitionCompany, issuanceor materially impacts their respective business;
(xi) all Leases, votingand all leases or master leases of personal property, registration, sale reasonably likely to result in annual payments of $500,000 or transfer more in a 12-month period;
(xii) all Contracts involving use of any securities, (B) providing any Person with any preemptive right, right of participation, right of maintenance or any similar right granting licenses to the Company with respect to any securities, or (C) providing CPI with any right Company Licensed IP that are material to the business of first refusal with respect to, or right to repurchase or redeem, any securitiesthe Company;
(ivxiii) any Contract requiring that CPI give any noticeall Contracts which involve the license or grant of rights to Company Owned IP by the Company, obtain any consent other than (A) collaboration agreements entered into on the form of such agreement made available in the Virtual Data Room or (B) and license agreements granted in the ordinary course of business to customers in connection with Products or to suppliers or service providers in the ordinary course of business solely for the purpose of enabling such suppliers or service providers to provide any information to any Person prior to accepting any Acquisition Proposalservices for the benefit of the Company;
(vxiv) any Contract (not otherwise identified in this Section) that (A) all Contracts under which the Company has agreed to purchase goods or services from a term of more than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash vendor, Supplier or other consideration person on a preferred supplier or after the date hereof in an amount “most favored supplier” basis or having a value in excess of $300,000 in aggregate payments under such Contract, which otherwise establishes any exclusive sale or (II) the performance of services on distribution obligation with respect to any Product or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractgeographic area;
(vixv) any Contract all Contracts for the development of Company Owned IP for the benefit of the Company that are material to the Company, other than employment, consulting and collaboration agreements entered into on the form of such agreement made available in the Virtual Data Room, without material modification;
(Axvi) to which any Governmental Body is a party or all Contracts under which any Governmental Body has broker, finder or investment banker is entitled to any rights brokerage, finder’s or obligationsother fee or commission in connection with the Transactions, or involving which has a fee tail still in effect, based upon arrangements made by or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) on behalf of the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such ContractCompany;
(viixvii) all Contracts that provide for the settlement of any open purchase order placed by CPI requiring future aggregate payments in excess of $300,000material Action that contains any ongoing material obligation on the Company; and
(viiixviii) all Contracts between the Company and any Contract holders of more than ten (not otherwise identified in this Section10%) of the Company’s Capital Stock (assuming the full conversion or exercise of all Company Securities held by such person) that would be required as an exhibit in a registration statement under the Securities Act relate to such stockholder’s ownership of 1933Company Securities.
(b) Each CPI Material Contract is a legal, valid and in full force and effectbinding obligation of the Company and, to the knowledge of the Company, the other parties thereto, and the Company is enforceable not in accordance with its terms, subject to (i) laws of general application relating to bankruptcy, insolvency and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) in the case of any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated material breach or breachedviolation of, or committed any material default under, any CPI Material Contract, and, to Contract nor has any Material Contract been canceled by the best of the knowledge of CPI, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contractparty; (ii) to the best of the knowledge of CPICompany’s knowledge, no event has occurred, and no circumstance other party is in material breach or condition exists, that (with or without notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contractof, or (D) give material default under, any Person the right to cancel, terminate or materially modify any CPI Material Contract; and (iii) since December 31, 1997, CPI the Company has not received any written notice or other written communication regarding any actual or possible violation or breach of, default underwritten, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPIthe Company, taken oral claim of any action with respect to such party's complaint for a period of more than six months following receipt of the communication; and (iv) CPI has not waived any of its material rights default under any CPI such Material Contract. The Company has furnished or made available to Parent in the Virtual Data Room true and complete copies, in each case where such breachall respects, default, violation or waiver would have a of all Material Adverse Effect on CPI.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material ContractContracts, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract amendments thereto that are disputed material in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatenednature.
Appears in 1 contract
Samples: Merger Agreement (FG Merger Corp.)
Material Contracts. (a) The CPI Disclosure Schedule identifies each CPI Contract that constitutes a "CPI Material Contract." For purposes 4.14(a) sets forth, by reference to the applicable subsection of this AgreementSection 4.14(a), each all of the following shall be deemed Contracts to constitute which the Company and/or the Subsidiaries are a CPI party or by which the Company and/or the Subsidiaries or their respective assets or properties are bound (collectively, the “Material Contract:Contracts”):
(i) Contracts with Sellers, any Contract of its respective Affiliates or any current or former Related Person;
(ii) Contracts with any labor union or association representing any Employee;
(iii) Contracts for the sale of any of the assets of the Company or the Subsidiaries other than in the Ordinary Course of Business or for the grant to any Person of any preferential rights to purchase any of its assets;
(iv) Contracts for joint ventures, strategic alliances, partnerships, licensing arrangements, or sharing of profits or proprietary information;
(v) The Significant IP Licenses;
(vi) Significant Customer or Significant Supplier Contracts containing (A) covenants of the Company or the Subsidiaries not to compete with any Person in any line of business, industry or geographical area or restricting the solicitation, engagement or hiring of any Person or otherwise restricting the operation of the Company or the Subsidiaries or (B) covenants of any other Person not to compete with the Company or the Subsidiaries in any line of business, industry or geographical area or restricting the solicitation, engagement or hiring of any Person;
(vii) Contracts relating to the acquisition or sale (by merger, purchase of equity or assets or otherwise) of any operating business, material assets or capital stock of any other Person;
(viii) Contracts relating to the incurrence, assumption or guarantee of any Indebtedness or imposing a Lien on any of the assets of the Company or the Subsidiaries, including indentures, guarantees, loan or credit agreements, sale and leaseback agreements, purchase money obligations incurred in connection with the acquisition of property, mortgages, pledge agreements, security agreements, or conditional sale or title retention agreements;
(ix) Contracts giving rise to Liabilities of the Company or the Subsidiaries in excess of $50,000;
(x) all Contracts obligating the Company or the Subsidiaries to provide or obtain products or services for a period of one (1) year or more or requiring the Company or the Subsidiaries to purchase or sell a stated portion of its requirements or outputs;
(xi) Contracts (A) relating to the employment of, or the performance of services by, any officerPerson, director including any current Internal Employee or employee and any Contract Former Internal Employee or Independent Contractor, since July 1, 2021, (B) pursuant to which CPI is the Company or the Subsidiaries are or may become obligated to make any severance, terminationretention, bonus change of control, Transaction Expense, termination or relocation similar payment to any current Internal Employee, Former Internal Employee, Independent Contractor or director, or (C) pursuant to which the Company or the Subsidiaries are or may become obligated to make any other bonus, sales compensation, or similar payment (whether in the form of cash, stock, or other than securities but excluding payments in respect of salary and the grant of standard benefitsconstituting base salary);
(iixii) any Contract that provides for indemnification outstanding Contracts of any officerguaranty, directorsurety or indemnification, employee direct or agentindirect, by the Company or the Subsidiaries;
(iiixiii) Contracts (or group of related Contracts) which involve the expenditure or receipt of more than $25,000 annually or $150,000 in the aggregate or require performance by any Contract party more than one (1) year from the date hereof;
(xiv) Contracts with a Governmental Body;
(xv) Contracts (A) relating to imposing any confidentiality obligation on the acquisition, issuance, voting, registration, sale Company or transfer the Subsidiaries or on any other Person (other than routine nondisclosure agreements or routine confidentiality provisions contained in agreements entered into by the Company or the Subsidiaries in the Ordinary Course of any securitiesBusiness), (B) providing any Person with any preemptive right, right of participation, right of maintenance containing “standstill” or any similar right with respect to any securitiesprovisions, or (C) providing CPI with any right of first negotiation, right of first refusal with respect to, or similar right to repurchase or redeem, any securitiesother Person;
(ivxvi) any Contract requiring that CPI give any notice, obtain any consent or provide any information Contracts related to any Person prior to accepting any Acquisition Proposalbroker, distributor, dealer, manufacturer’s representative, franchise, agency (foreign or domestic), continuing sales or purchase, sales promotion, market research, marketing, consulting or advertising;
(vxvii) Contracts containing a provision which provides exclusivity to any Contract (not otherwise identified in this Section) other Person, that (A) has a any term of more such Contract will be no less favorable to any other Person either individually or in the aggregate than sixty (60) days or that may not be terminated by CPI (without penalty) within sixty (60) days after the delivery of a termination notice by CPI and (B) that contemplates or involves (I) the payment or delivery of cash or similar provisions in any other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance any other similar “most favored nation” or “most favored customer” provision in favor of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractany other Person;
(vixviii) Contracts containing an obligation to indemnify any current or former officer or director of the Company and the Subsidiaries or to indemnify any other Person in connection with the acquisition or sale (whether by means or merger, stock sale or asset sale) of any Person, except for any such Contract (A) to which any Governmental Body that is a party or no longer in effect and under which any Governmental Body no claim has any rights been made or obligations, or involving or directly or indirectly benefiting any Governmental Body (including any subcontract or other Contract between CPI and any contractor or subcontractor to any Governmental Body) and that (B) contemplates or involves (I) the payment or delivery of cash or other consideration on or after the date hereof in an amount or having a value in excess of $300,000 in aggregate payments under such Contract, or (II) the performance of services on or after the date hereof having a value in excess of $300,000 in aggregate payments under such Contractthreatened;
(viixix) Contracts involving any open purchase order placed by CPI requiring future aggregate payments Significant Customer or Significant Supplier;
(xx) settlement document or Contract with respect to any Legal Proceeding involving the Company or the Subsidiaries in excess of $300,000the last four (4) years; and
(viiixxi) any Contract (not otherwise identified in this Section) that would be required as an exhibit in a registration statement under the Securities Act of 1933Real Property Leases.
(b) Each CPI of the Material Contract Contracts is valid and in full force and effecteffect and is the legal, valid and binding obligation of the Company and the Subsidiaries which is a party thereto, and is of the other parties thereto enforceable against each of them in accordance with its termsterms and, subject to (i) laws upon consummation of general application relating to bankruptcythe transactions contemplated by this Agreement, insolvency shall, except as otherwise set forth on Schedule 4.14(b), continue in full force and effect without penalty or other adverse consequence following the Closing. The Company and the relief of debtors, (ii) rules of law governing specific performance, injunctive relief and other equitable remedies and (iii) Subsidiaries are not in the case of default under any Contract with a Governmental Body, laws applicable thereto.
(c) Except as set forth in the CPI Disclosure Schedule: (i) CPI has not materially violated or breached, or committed any material default under, any CPI Material Contract, andnor, to the best Knowledge of the knowledge Company, is any other party to any Material Contract in breach of CPIor default thereunder, no other Person has materially violated or breached, or committed any material default under, any CPI Material Contract; (ii) to the best of the knowledge of CPI, and no event has occurredoccurred that with or without the lapse of time or the giving of notice or both would constitute a breach or default on the Company and the Subsidiaries or any other party thereunder. No party to any of the Material Contracts has exercised any termination rights with respect thereto, and no circumstance or condition exists, that (with or without party has given notice or lapse of time) could reasonably be expected to (A) result in a material violation or breach of any of the provisions of any CPI Material Contract, (B) give any Person the right to declare a default or exercise any remedy under any CPI Material Contract, (C) give any Person the right to accelerate the maturity or performance of any CPI Material Contract, or (D) give any Person the right to cancel, terminate or materially modify any CPI Material Contract; (iii) since December 31, 1997, CPI has not received any written notice or other written communication regarding any actual or possible violation or breach of, default under, or intention to terminate, any CPI Contract except for communication (A) that has subsequently been revoked; or (B) has been received from a complaining party that has not contacted CPI or otherwise, to the knowledge of CPI, taken any action significant dispute with respect to such party's complaint for a period any Material Contract. The Company and the Subsidiaries have Made Available true, correct and complete copies of more than six months following receipt all of the communication; and (iv) CPI has not waived any of its material rights under any CPI Material ContractContracts, in each case where such breachtogether with all amendments, default, violation modifications or waiver would have a Material Adverse Effect on CPIsupplements thereto.
(d) To the best of the knowledge of CPI, no Person is renegotiating, or has the right to renegotiate, any material amount paid or payable to CPI under any CPI Material Contract, or any other material term or provision of any CPI Material Contract, including termination provisions.
(e) The CPI Disclosure Schedule sets forth a list of all claims made under any CPI Material Contract that are disputed in any material respect or, to CPI's knowledge, where a dispute as to any material matter has been threatened.
Appears in 1 contract
Samples: Stock Purchase Agreement (Staffing 360 Solutions, Inc.)