SUBADMINISTRATIVE SERVICES AGREEMENT
SUBADMINISTRATIVE SERVICES AGREEMENT, dated as of January 1, 2002, by and
between Xxxxx Brothers Xxxxxxxx Trust Company, LLC (the "Administrator") and
Xxxxx Brothers Xxxxxxxx & Co., a New York limited partnership (the
"Subadministrator").
W I T N E S S E T H:
WHEREAS, the Administrator has entered into Administration Agreements with
(i) The 00 Xxxx Xxxxxx Fund, Inc. dated January 1, 2001, (ii) The 00 Xxxx Xxxxxx
Trust dated January 1, 2001, (iii) BBH Common Settlement Fund, Inc. dated August
15, 2000, (iv) BBH Common Settlement Fund II, Inc. dated May 10, 2001, (v)
Islamic Global Equity Fund dated November 10, 2000, (vi) BBH U.S. Money Market
Portfolio, BBH U.S. Equity Portfolio, BBH International Equity Portfolio, BBH
European Equity Portfolio and BBH Pacific Basin Equity Portfolio dated March 1,
1999, (vii) BBH High Yield Fixed Income Portfolio, BBH Broad Market Fixed Income
Portfolio and BBH Global Equity Portfolio dated May 9, 2000, and (viii) Dow
Xxxxx Islamic Market Index Portfolio dated August 10, 1999 (each, an
"Administration Agreement", and each of the aforementioned investment companies
being referred to herein as the "Funds"); and
WHEREAS, Section 6 of each Administration Agreement provides that the
Administrator may subcontract for the performance of its obligations thereunder
with any one or more persons, subject to the conditions set forth therein; and
WHEREAS, the Administrator wishes to engage the Subadministrator to perform
certain of the Administrator's obligations under each Administration Agreement
and the Subadministrator wishes to accept such engagement.
NOW, THEREFORE, in consideration of the mutual covenants and agreements of
the parties hereto as herein set forth, the parties agree as follows:
1. Duties of the Subadministrator. The Subadministrator shall perform such
of the administrative services described in Section 2 of each Administration
Agreement as may from time to time be agreed to between the parties.
Notwithstanding the foregoing, the Subadministrator shall not be deemed to have
assumed any duties with respect to, and shall not be responsible for, the
management of the assets of any Fund or the rendering of investment advice or
supervision with respect thereto, nor shall the Subadministrator be deemed to
have assumed or have any responsibility with respect to functions specifically
assumed by any transfer agent, shareholder servicing agent, fund accounting
agent or custodian of the Funds.
2. Compensation of Subadministrator. As compensation for the
Subadministrator's services hereunder, the Administrator shall pay an
administrative fee to the Subadministrator as may from time to time be agreed to
between the parties.
3. Directors, Officers and Employees of the Subadministrator. The
Subadministrator hereby (i) authorizes and permits any of its directors,
officers and employees who may be elected as officers of one or more Funds to
serve in such capacities and (ii) agrees to pay such persons' salaries.
4. Confidentiality of Customer Information, The parties acknowledge that
the Subadministrator may, in connection with the performance of its duties
hereunder, receive or otherwise have access to nonpublic personal information
relating to the Funds' current and/or former investors ("Customer Information").
The Subadministrator hereby agrees to keep all Customer Information confidential
and to not disclose or use any Customer Information other than (i) as necessary
to fulfill its obligations hereunder or (ii) as may be permitted or required by
applicable law.
5. Standard of Care; Compliance with Applicable Laws. The subadministrator
shall be held only to the standard of exercising reasonable care and diligence
in carrying out its duties hereunder. In performing its duties hereunder, the
Subadministrator shall in any event comply with the requirements of the
Investment Company Act of 1940, as amended (the "1940 Act"), and all other
applicable federal and state laws pertaining to the activities contemplated
hereby.
6. Limitation of Liability of the Subadministrator. The Subadministrator
shall not be liable for any error of judgment or mistake of law or for any loss
suffered by the Administrator or any Fund in connection with the matters to
which this Agreement relates, except a loss resulting from the
Subadministrator's bad faith, negligence or willful misconduct in the
performance of its duties hereunder. For purposes of this Section 6, the term
"Subadministrator" shall include the Subadministrator and any of its agents and
affiliates, and, in each case, the directors/trustees, officers and employees
thereof.
7. Indemnification.
(a) By the Administrator: The Administrator shall indemnify and hold
the Subadministrator harmless from and against any and all losses, claims,
damages, liabilities or expenses (including, but not limited to, reasonable
attorneys fees and expenses) arising out of or attributable to:
(i) All actions of the Subadministrator required to be taken
pursuant to this Agreement, provided that such actions are taken in
good faith and without negligence or willful misconduct;
(ii) The reasonable reliance by the Subadministrator on, or use
of, information, records or documents that have been prepared and/or
maintained by the Administrator or any other person or firm on a
Fund's behalf; and
(iii) The reasonable reliance by the Subadministrator on, or the
carrying out by the Subadministrator of, any instructions or requests
on a Fund's behalf reasonably believed by the Subadministrator to have
been given by a person or persons authorized to give such instructions
or requests.
For purposes of this Subsection 7(a), the term "Subadministrator" shall
include the Subadministrator and any of its agents and affiliates, and, in each
case, the directors/trustees, officers and employees thereof.
(b) By the Subadministrator: The Subadministrator shall indemnify and
hold the Administrator and each Fund harmless from and against any and all
losses, claims, damages, liabilities or expenses (including, but not
limited to, reasonable attorneys fees and expenses) arising out of or
attributable to any action or omission to act by the Subadministrator
resulting from the Subadministrator's lack of good faith, negligence or
willful misconduct with respect to the performance of its duties hereunder.
8. Nonexclusivity. The arrangements contemplated hereby shall be
nonexclusive, each of the Administrator and the Subadministrator being free to
enter into similar arrangements with other parties.
9. Interested persons. The parties acknowledge that (i) certain
directors/trustees, officers or investors in the Funds may be, or become,
"interested persons" (as such term as defined in the 0000 Xxx) of the
Subadministrator and/or any of its affiliates, as directors/trustees, officers,
employees, or otherwise, (ii) certain directors/trustees, officers and employees
of the Subadministrator and/or any of its affiliates may be, or become,
interested persons of one or more Funds, and (iii) the Subadministrator and/or
any of its affiliates may be, or become, interested in one or more Funds, as an
investor therein or otherwise.
10. Termination. This Agreement may be terminated by the Administrator at
any time, without the payment of any penalty, upon not less than 60 days'
written notice to the Subadministrator, or by the Subadministrator at any time,
without the payment of any penalty, upon not less than 90 days' written notice
to the Administrator. This Agreement shall terminate automatically in the event
of its assignment (as defined in the 0000 Xxx) by the Subadministrator, unless
the Board of Directors/Trustees of the affected Fund(s) determines within 90
days of any such assignment that the assignee is qualified to perform the
services contemplated hereby.
11. Amendment. This Agreement may be amended only by mutual written
consent.
12. Notice. Any notice or other communication required to be given pursuant
to this Agreement shall be deemed duly given if delivered or mailed by
registered mail, postage prepaid, (i) to the Administrator at 00 Xxxx Xxxxxx,
Xxx Xxxx, XX 00000, Attention: President; and (ii) to the Subadministrator at 00
Xxxx Xxxxxx, Xxxxxx, XX 00000, Attention: Xxxxxxx X. Xxxxxxxx, Partner.
13. Governing Law. This Agreement shall be governed by and construed in
accordance with the laws of the State of New York.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed and delivered in their names and on their behalf by the undersigned,
thereunto duly authorized, all as of the day and year first above written.
XXXXX BROTHERS XXXXXXXX TRUST COMPANY, LLC
By: /S/XXXX X. XXXX
Xxxx X. Xxxx, President
XXXXX BROTHERS XXXXXXXX & CO.
By: /S/XXXXXXX X. XXXXXXXX
Xxxxxxx X. Xxxxxxxx, Partner
WS6143A
