MASTER LICENSE AND SERVICES AGREEMENT
Exhibits A and B in this Exhibit 10.1 have been omitted in
accordance with Item 601(b)(2) of Regulation S-K. AutoWeb,
Inc. will furnish supplementally a copy of any omitted exhibit to
the Securities and Exchange Commission upon request; provided,
however, that AutoWeb, Inc. may request confidential treatment
pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended, for the exhibits so furnished.
Exhibit 10.1
This Master License
and Services Agreement (“Agreement”) is made and entered into as of
October 5, 2017
(“Effective
Date”), by and between
Autobytel Inc., a Delaware corporation (“Company”), and DealerX Partners, LLC, a Florida
limited liability company (“Vendor”) (Company and Vendor individually a
“Party” and collectively the
“Parties”).
Background
Company
is an automotive media and marketing services company engaged in
the business of providing (i) automotive consumers with the best
available tools and information they need to make smart,
well-informed vehicle purchasing and ownership decisions through
the Autobytel Sites; and (ii) automotive dealers and manufacturers
with innovative products and services to help the dealers and
manufacturers sell more new and used cars. Vendor has developed
proprietary technology and systems for targeted, online marketing
through the creation of consumer information databases and
“audiences” and is engaged in the business of providing
targeted, online marketing services using such databases and
audiences to the automotive industry.
Company
desires to obtain a perpetual license to access and use
Vendor’s proprietary technology and systems, to engage Vendor
to provide development, maintenance, and operational support
services for the technology and systems, and to obtain the right to
acquire a perpetual, irrevocable license to Vendor’s
proprietary technology and systems, and Vendor desires to provide
the foregoing to Company on the terms and conditions set forth in
this Agreement.
In
consideration of the mutual promises and covenants contained herein
and other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged, and intending to be
legally bound, the parties agree as follows:
ARTICLE I
DEFINITIONS
For
purposes of this Agreement, the following terms shall have the
meanings set forth below:
“Action” means any complaint, claim, demand,
prosecution, indictment, action, litigation, lawsuit, arbitration,
proceeding, hearing, inquiry, audit, or investigation (whether
civil, criminal, judicial, or administrative, and whether formal or
informal, and whether public or private) made or brought by any
Person or brought or heard by or before any Governmental
Authority.
“Affiliate(s)” of a Party shall mean any and all entities
(whether incorporated or not, and whether existing as of the
Effective Date or that exist in the future), that are owned or
controlled by the Party, that own or control the Party, or that are
under common control with a Party. For purposes of the preceding
sentence, “own or control” shall mean (i) the record or
beneficial ownership or control (directly or indirectly) of more
than fifty percent (50%) of the outstanding shares or securities
representing the right to vote for the election of directors or
other managing authority of a Party or (ii) the ability, whether
directly or indirectly, to direct the affairs of another by means
of ownership, agreement, contract, or
otherwise.
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“Automotive
Field” means sale of
automobiles and parts or accessories therefore; providing
information about automobiles and parts and accessories therefore;
connecting consumers to sellers of automobiles and parts and
accessories therefore; or providing web-based advertising and
marketing programs to sellers of automobiles and parts and
accessories therefore.
“Business Day” means any day other than a Saturday,
Sunday, or a day on which banks located in the State of Florida,
USA are authorized or required by Law to close.
“Change in
Control” means the (i)
consummation of a reorganization, merger, or consolidation of an
entity (“Acquired
Entity”) with or into
another entity as a result of which transaction the stockholders,
members, partners, or other equity owners of the Acquired Entity
immediately prior to such transaction own, immediately after such
transaction, a number of shares of voting stock, membership
interests, partnership interests, or other voting securities of the
Acquired Entity that represent less than fifty percent (50%) of
either (1) the then outstanding shares of voting stock, membership
interests, partnership interests, or other voting securities of the
Acquired Entity; or (2) the combined voting power of all of the
then outstanding shares of stock, membership interests, partnership
interests, or other securities of the Acquired Entity entitled to
vote generally in the election of directors, managing members, or
managing partners, as applicable; (ii) sale or other disposition of
all or substantially all of the assets of the Acquired Entity; or
(iii) the acquisition by any individual, entity, or group
(within the meaning of Section 13(d)(3) or 14(d)(2) of the
Securities Exchange Act of 1934, as amended) of beneficial
ownership (within the meaning of Rule 13d-3 promulgated under such
act) of more than 50% of either (1) the then outstanding shares of
voting stock, membership interests, partnership interests, or other
voting securities of the Acquired Entity; or (2) the combined
voting power of all of the then outstanding shares of stock,
membership interests, partnership interests, or other securities
entitled to vote generally in the election of directors, managing
members, or managing partners, as applicable.
“Company Change in Control
Event” means a Change in
Control of Company where the Company or its acquirer or successor
elects to pay Vendor the Perpetual Platform Support Cash
Consideration.
“Company Common
Stock” means the
Company’s Common Stock, $0.001 par value per
share.
“Company Platform
Audience” means the
Platform Audience derived from the use and operation of the
Platform for Company’s benefit and marketing
purposes.
“Company Insolvency
Event” means the
occurrence of an event set forth in Section 4.3(b) that results in
a termination of Vendor’s right to receive the Market
Capitalization Event Shares prior to the Market Capitalization
Event Shares being earned and the Company elects to acquire
Perpetual Platform Support by payment of the Perpetual Platform
Support Cash Consideration.
“Confidential
Information” means (i)
the terms and conditions of this Agreement; (ii) a Party's trade
secrets, business plans, strategies, methods, and/or practices;
(iii) software, technology, computer systems architecture, and
network configurations; (iv) any other information relating to
either Party that is not generally known to the public, including
information about either Party's personnel, products, customers,
marketing and pricing strategies, services, or future business
plans, know-how, formulas, processes, ideas, and inventions
(whether or not patentable) or which should be reasonably
understood by the receiving party as the confidential or
proprietary information of the disclosing party; and
(v) any and all analyses, compilations, studies,
notes, or other materials prepared with or which contain or are
based on Confidential Information received from the disclosing
party. Confidential Information does not include information that:
(i) is known to the receiving party prior to the time of
receipt by the receiving party as evidenced by written records of
the receiving party; (ii) is or becomes publicly known and
made generally available through no improper action or inaction by
the receiving party or any agent or Affiliate of the receiving
party; (iii) is independently developed by the receiving party
without use of or reference to the Confidential Information of the
disclosing party; or (iv) has been rightfully received by the
receiving party from a third party who is not known by the
receiving party at the time of receipt of the Confidential
Information to be under an obligation of confidentiality to the
disclosing party restricting the disclosure of the Confidential
Information to the receiving party.
-2-
“Consent” means any approval, consent, permission,
ratification, waiver, or other authorization of any Person
(including any Governmental Authority).
“Contract” means any agreement, contract, obligation,
promise, note, bond, mortgage, undertaking, indenture, purchase
order, sales order, instrument, lease, franchise, license, permit,
understanding, arrangement, commitment, or undertaking, whether
written or oral, or express or implied, and in each case, including
all amendments thereto.
“Critical Platform
Support” means the
Platform Support listed in Section I.A of the Platform Support and
Service Level Schedule.
“Deliverables” means tangible material, or its intangible
equivalent in unwritten or oral form, provided by Vendor in
performance of its obligations under this Agreement; Deliverables
shall include all Software, scripts, configuration files, database
schemas, and all design documentation.
“Dispute Resolution
Venue” means (i) Miami,
Florida in the case of any action or proceeding initiated or filed
by Company; and (ii) Tampa, Florida in the case of any action or
proceeding initiated or filed by Vendor.
“Electronic
Transmission” means a
communication (i) delivered by facsimile, telecommunication, or
electronic mail when directed to the facsimile number of record or
electronic mail address of record, respectively, which the intended
recipient has provided to the other party for sending notices
pursuant to the Agreement and (ii) that creates a record of
delivery and receipt that is capable of retention, retrieval, and
review, and that may thereafter be rendered into clearly legible
tangible form.
“Existing Vendor
Members” means all of the
holders of equity interests in Vendor as of the Effective
Date.
“Existing Vendor Member
Designee” means the
designee, as of the Effective Date, of the Existing Vendor Member
that has certain rights to use the Platform.
“Frozen
Platform” means the
Platform and Platform Documentation as they exist as of the end of
the Platform Support Period.
“Frozen Platform Triggering
Event” means the
occurrence of any of the following:
(i)
A termination
or expiration of all Platform Support for any
reason.
(ii)
A Vendor Default Event.
“Governing
Documents” means (i) with
respect to a corporate Person, such Person’s (1) certificate
or articles of incorporation or other formation document, as
amended to date, (2) bylaws, and (3) any resolution adopted by the
board of directors or shareholders of such Person; and (ii) with
respect to a limited liability company Person, such Person’s
(1) certificate of formation or organization or other formation
document, (2) operating or similar agreement or document, and (3)
any resolution adopted by the board of directors, manager, managing
member, or members of such Person.
“Governmental Authority” means any:
(i) nation, state, county, city, town, or other jurisdiction of any
nature; (ii) federal, state, local, municipal, foreign, or other
government; (iii) governmental or quasi-governmental authority of
any nature (including any governmental agency, branch, department,
official, or entity and any court or other tribunal); (iv)
multi-national organization or body; (v) stock exchange or
quotation service; (vi) body exercising, or entitled to exercise,
any administrative, executive, judicial, legislative, police,
regulatory, or taxing authority or power of any nature; (vii)
arbitrator or mediator; or (viii) any official or authorized
representative of any of the foregoing.
-3-
“Governmental
Authorization” means any
Consent, permit, license, Order, or other authorization issued,
granted, given, or otherwise made available by or under the
authority, or any requirement, of any Governmental Authority or
pursuant to any Laws.
“Initial Platform Support
Period” means the
five-year period commencing on the Effective Date and ending at
12:00 midnight (Eastern Time) on the day before the fifth
anniversary of the Effective Date.
“Intellectual Property
Rights” means (i) all
inventions (whether patentable or unpatentable and whether or not
reduced to practice), all improvements thereto, and all patents,
patent applications, and patent disclosures, together with all
reissuances, continuations, continuations-in-part, revisions,
extensions, and reexaminations thereof; (ii) all copyrights and
works of authorship (whether copyrightable or not), and all
applications, registrations, and renewals, and moral rights in
connection therewith in any jurisdiction; (iii) all know-how, trade
secrets, and Confidential Information; (iv) all Software; (v) all
websites, website content, and domain names (including
registrations thereof); (vi) all other intellectual property and/or
proprietary rights; and (vii) all tangible embodiments of any of
the foregoing (in whatever form or medium), including all copies
thereof.
“Laws” means any federal, state, local,
municipal, foreign, international, multinational, or other order,
constitution, law, ordinance, principle of common law, regulation,
statute, rule, treaty, permit, license, certificate, judgment,
Order, decree, award, or other decision or requirement of any
arbitrator or Governmental Authority.
“Licensed Technology,
Documentation and Access, Use and Development
Rights” means the
Platform, Platform Technology, Platform Functionality, Platform
Documentation, and Platform Documentation Access, Use and
Development Rights, including without
limitation:
(i)
Vendor’s network of data
collection placements exclusive of Vendor’s current and
future clients.
(ii)
Use of Vendor Platform
Audiences.
(iii)
The Digital Marketing Platform for
retargeting.
(iv)
Twilio-based phone call
platform.
(v)
Wordpress Powered CMS Web Platform
for the Automotive Field.
(vi)
Email, video, and direct mail
capabilities.
“Lien” means any lien, security interest, pledge,
charge, claim, condition, equitable interest, option, right of
first refusal, preemptive right, conditional or installment sale
agreement, or other adverse interest.
“Market Capitalization
Event” means the earliest
to occur of the following prior to the Market Capitalization Event
Expiration Date:
(i)
The Market Capitalization of Company averaging at
least $225.0 Million over a consecutive ninety (90) day period
(“Market Capitalization
Measurement Period”);
and
(ii)
A Change in Control of Company resulting in a
Market Capitalization of Company of at least $225.0
Million.
The
Market Capitalization of Company shall be determined by multiplying
(i) the weighted average number of shares of Company Common Stock
issued and outstanding during the Market Capitalization Measurement
Period or the number of shares of Company Common Stock outstanding
immediately prior to the closing of the Change in Control of
Company, as applicable, by (ii) the weighted average closing price
of the Company Common Stock on The Nasdaq Capital Market over the
Market Capitalization Measurement Period or the per share price
received by stockholders of Company in the Change in Control
transaction, as applicable.
“Market Capitalization Event
Expiration Date” means
12:00 midnight (Eastern Time) on the day before the fifth
anniversary of the Effective Date.
-4-
“Market Capitalization Event
Expiration Event” means
the expiration of Vendor’s right to receive the Market
Capitalization Event Shares prior to the Market Capitalization
Event Shares Issuance and Company elects to pay Vendor or its
successor or assigns the Perpetual Platform Support Cash
Consideration.
“Market Capitalization Event
Shares” means 710,856
shares of Company Common Stock provided that if at any time prior
to the issuance of such shares Company shall subdivide or combine
the Company Common Stock, the number of Market Capitalization Event
Shares shall be proportionately adjusted to reflect such
subdivision or combination.
“Market Capitalization Event
Shares Deemed Initial Issuance Price” means the weighted average closing price
of the Company Common Stock on The Nasdaq Capital Market during the
consecutive ninety (90) day period preceding the date of the Market
Capitalization Event Shares Issuance.
“Market Capitalization Event
Shares Issuance” means
the issuance of Market Capitalization Event Shares upon the
occurrence of a Market Capitalization Event.
“Off-the-Shelf
Software” means
commercially available desktop computer Software licensed
non-exclusively under “shrink wrap” or other comparable
standard form licenses.
“Open Source Software” means each
of: (a) any Software that contains, or is derived in any
manner (in whole or in part) from, any Software that is distributed
as free Software, open source Software (e.g., GNU General Public License,
Apache Software License, or MIT License), or pursuant to similar
licensing and distribution models, and (b) any Software that
requires as a condition of use, modification, hosting, and/or
distribution of such Software, or of other Software used or
developed with, incorporated into, derived from, or distributed
with such Software, that such Software or other Software: (i) be
disclosed or distributed in source code form, (ii) be licensed for
the purpose of making derivative works, (iii) be redistributed,
hosted, or otherwise made available at no or minimal charge, or
(iv) be licensed, sold, or otherwise made available on terms that:
(x) limit in any manner
the ability to charge license fees or otherwise seek compensation
in connection with marketing, licensing, or distribution of such
Software or other Software, (y) grant the right to decompile,
disassemble, reverse engineer, or otherwise derive the source code
or underlying structure of such Software or other Software, or (z)
limit in any manner the ability to enforce Intellectual Property
Rights in such Software.
“Order” means any judgment, decision, order,
injunction, decree, award, or writ of any Governmental
Authority.
“Perpetual Platform
Support” means Platform
Support provided by Vendor in perpetuity.
“Perpetual Platform Support
Acquisition Event” means
the earliest occurrence of the following
events:
(i)
A Company Change in Control
Event.
(ii)
The Market Capitalization Event Shares
Issuance.
(iii)
A Market Capitalization Event Expiration
Event.
(iv)
A Vendor Change in Control
Event.
(v)
A Company Insolvency Event.
(vi)
A Perpetual Platform Support Assignment
Event.
“Perpetual Platform Support Cash
Consideration” means the
amount equal to Twelve Million Five Hundred Thousand Dollars
($12,500,000.00).
-5-
“Perpetual Platform Support
Assignment Event” means
any transfer or assignment of this Agreement by Company where (i)
the Company has not previously obtained Perpetual Platform Support;
and (ii) the Company elects to acquire Perpetual Platform Support
by payment of the Perpetual Platform Support Cash Consideration in
connection with such transfer or assignment.
“Perpetual Platform Support
Consideration” means the
consideration paid to Vendor by Company to obtain Perpetual
Platform Support that consists of either (i) the Perpetual Platform
Support Cash Consideration; or (ii) the Market Capitalization
Shares Event Shares Issuance.
“Person” means any natural person, corporation
(including any non-profit corporation), general or limited
partnership, limited liability company, joint venture, estate,
trust, association, organization, labor union, or other entity, or
a Governmental Authority.
“Personal
Information” means any
financial or other nonpublic personal information about or relating
to any individual that is received, generated, collected, or
processed by Vendor, regardless of the medium involved (e.g.,
paper, electronic, video, audio).
“Platform” means Vendor’s ROIQ Stack platform
software stack which includes the components listed below; all
current and future enhancements, modifications, development, and
capabilities of the ROIQ Stack, and any other software required to
generate or enhance Platform Functionality, even if not included in
the ROIQ Stack, that are developed or that come into effect during
the Platform Support Period; and all Intellectual Property Rights
included in or comprising all of the foregoing or that are needed
for the operation and use of the Platform. The Platform components
are:
(i)
Wordpress Web platform
(ii)
RoiQ, which is comprised of the
below-listed components:
a.
Data
& Analytics Stack
b.
Call
Stack
c.
ANON
eMail
d.
ANON
Direct Mail
“Platform
Audience” means a group
of consumers or consumer events, which are divided into groups or
subgroups based on internet usage, digital native application
usage, or any other digital marker or signal upon which criterion
such as site usage, product usage, media usage, communication
preferences and usage, demographics, etc. may be used to segment
consumers or consumer events for the purpose of directing marketing
actions.
“Platform
Documentation” means
source code, written or stored otherwise, application program
interfaces, databases (except for Platform Audiences and Third
Party Script Captured Audiences), technical documentation,
operational manuals, and data generated and stored related to the
operation of the Platform for Company.
“Platform Documentation Access,
Use and Development Rights” means the rights granted to Company under
Section 2.1 to use, have access to, to have provided to Company the
Platform Documentation, Company Platform Audience, and Vendor
Platform Audience, including, without limitation license and rights
to use, add to, build upon, modify, improve, enhance, and create
derivative works from the Platform
Documentation.
“Platform
Functionality” means the
functionality and Platform Results and Output from operation of the
Platform as set forth in Section 2.3.
“Platform
License” means the
license and rights granted to Company pursuant to Section
2.1.
“Platform Results and
Output” means the results
and output from the operation of the Platform, including online
traffic, clicks, and leads.
-6-
“Platform Source
Code” means the source
code for the Platform as in existence as of the Effective Date and
as modified, upgraded, or enhanced after the Effective
Date.
“Platform
Support” means the
support for the Platform provided by Vendor in accordance with
Section 2.2, including the Critical Platform Support and the Vendor
Development and Operations Team Platform
Support.
“Platform Support Default
Event” means any uncured
default by Vendor or any successor or assignee of Vendor in
providing the Platform Support during the Platform Support Period
(for purposes of this definition, an uncured default in providing
Platform Support becomes effective upon Vendor’s failure to
cure such default within thirty (30) days following Company’s
written notice detailing such default).
“Platform Support and Service
Level Schedule” means
Exhibit A attached hereto and incorporated herein by
reference.
“Platform Support
Period” means, as
applicable, (i) the Initial Platform Support Period, unless Company
has acquired Perpetual Platform Support prior to such date and
time; (ii) the period commencing on the Effective Date and
continuing in perpetuity if Company has acquired Perpetual Platform
Support prior to expiration of the Initial Platform Support Period;
(iii) the period commencing with the Effective Date and ending upon
the occurrence of a Change in Control of Company, unless the
Company has previously acquired Perpetual Platform Support or a
Company Change in Control Event occurs in connection with such
Change in Control of the Company, in either case, the Platform
Support Period is perpetual; and (iv) the period commencing on the
Effective Date and ending at any time Company elects to terminate
all Platform Support.
“Platform
Technology” means all
Platform technology used to generate Platform Results and Output
available to or used by Vendor or any of its customers, any holder
of member or other equity interests in Vendor or to the Existing
Vendor Member Designee.
“Reimbursable Platform Operating
Expenses” means those
expenses for the operation of the Platform on behalf of Company as
set forth on the Reimbursable Platform Operating Expenses
Schedule.
“Reimbursable Platform Operating
Expenses Schedule” means
Exhibit B attached hereto and incorporated herein by
reference.
“Restricted
Companies” means the
following and their Affiliates: Edmunds, Xxxxx.xxx (including
XxxxxXxxx.xxx and One Planet), Detroit Trading, TrueCar, Xxx
Automotive, Xxxx.xxx, Cargurus, and The Enthusiast Network.
“Software” means all computer software and subsequent
versions thereof, including source, object, executable, or binary
codes, objects, comments, screens, user interfaces, report formats,
templates, menus, buttons and icons, and all files, data,
materials, manuals, design notes, and other items and documentation
related thereto or associated therewith.
“Stockholder
Agreement” means the
Stockholder Agreement relating to the Market Capitalization Event
Shares entered into between Company and Vendor concurrently with
the execution and delivery of this Agreement by the
Parties.
“Xxxxxxxx” means Xxxxxxx Xxxxxxxx, the Managing
Member of Vendor.
“Vendor Change in Control
Event” means a Change in
Control of Vendor where Company is not the acquirer and Company
elects to pay Vendor or its acquirer or successor the Perpetual
Platform Support Cash Consideration.
“Vendor Default
Event” means the
occurrence of any uncured, material default by Vendor under this
Agreement, which includes, without limitation, any Platform Support
Default Event.
-7-
“Vendor Development and
Operations Team” means
Xxxxxxxx and the other members of the Vendor development and
operations team who are critical to the continued development,
enhancement, and operation of the Platform as anticipated by this
Agreement.
“Vendor Development and
Operations Team Platform Support” means the Platform Support listed in
Section I.B of the Platform Support and Service Level
Schedule
“Vendor Platform
Audience” means the
Platform Audience, Bid Logs, and Third Party Script Captured
Audiences derived from the use and operation of the Platform for
the benefit and marketing purposes of Vendor’s customers
(excluding current and future Vendor clients and the Existing
Vendor Member Designee or any audiences derived or captured outside
of the Automotive Field). Vendor shall make available to Company
any additional audience-related products, services, or features
Vendor obtains from any new or existing third-party vendor, unless
Vendor is contractually prohibited from doing so, subject to
Company’s payment of its proportional share of the cost of
any such product, service, or feature.
ARTICLE II
PLATFORM LICENSE AND SERVICES
2.1
Platform
License.
(a)
Vendor hereby grants to
Company an exclusive, perpetual, world-wide, irrevocable,
non-terminable, fully paid up, royalty free license to and full
right to use, have access to, and to have provided to Company the
Platform, Platform Technology, Platform Functionality, Platform
Documentation, and Vendor Platform Audience to generate Platform
Results and Output solely for use for and within the Automotive
Field.
(b)
Without limiting the
generality of the foregoing, the license and rights granted in
Section 2.1(a) include, without limitation, the license and right
to use, add to, build upon, modify, improve, enhance, and create
derivative works from Platform Documentation; provided that unless
and until Platform Support ceases and Company acquires the right to
receive the Frozen Platform, Company may not change or modify the
underlying base source code for the Platform in Vendor’s
GitHub account or other source code repository. However, during the
Platform Support Period, Vendor shall provide Company with a
development or “sandbox” staging area and access to the
source code for Company to gain knowledge about the source code and
its use and operation.
(c)
Company shall solely own
all right, title, and interest in and to all additions, builds,
modifications, improvements, enhancements, and derivative works
made by Company to the Platform and Platform Documentation in
perpetuity.
(d)
Company shall solely own
and have sole right to access and use the Company Platform Audience
in perpetuity.
(e)
The Platform License excludes custom development
work to the Platform commissioned and paid for by Vendor’s
clients or the Existing Vendor Member Designee.
(f)
The Platform License is transferable and
assignable by Company in connection with any assignment of this
Agreement by Company in accordance with Section 8.3. The Platform
License does not include the right to sell or sub-license rights to
individual components of the Platform or sell or sub-license rights
to the Platform in its entirety or in its substantial entirety
except (i) in connection with an assignment or transfer of this
Agreement in accordance with Section 8.3; or (ii) after Company
obtains the Frozen Platform. For the avoidance of doubt, the
Platform License does not include the right to use, sell, or
sub-license any Intellectual Property Rights comprising the
Platform other than as needed to operate and use the
Platform.
-8-
2.2
Platform
Support.
(a)
During the Platform Support Period,
Vendor and its successors and assigns shall (i) operate, maintain,
support, and enhance the Platform in accordance with the technical
performance and availability requirements set forth in the Platform
Support and Service Level Schedule; and (ii) maintain current,
true, complete, correct, and accurate sets and copies of all
Platform Documentation that are fully accessible, viewable, and
usable by Company by means of providing a designated group of
Company technology personnel with read access to Vendor’s
GitHub account, or other such source code repository should Vendor
choose to change the repository type or
service.
(b)
Company at all times is solely
responsible for its own creative content, including display ads,
messaging, user interfaces, and Company-specific webpages displayed
on any Vendor website.
(c)
Upon the earliest to occur of any
Perpetual Platform Support Acquisition Event, the Platform Support
Period shall be perpetual and shall not terminate at the end of the
Initial Platform Support Period.
(d)
At any time, Company may elect to
terminate all or any portion of the Platform Support upon thirty
(30) days’ notice to Vendor. Upon termination of any Platform
Support, both the Reimbursable Platform Operating Expenses
associated with such terminated Platform Support and the services,
access, and Platform Results and Output associated with such
terminated Platform Support shall terminate.
(e)
Upon the occurrence of any Frozen
Platform Triggering Event:
(i)
Company
shall receive the Frozen Platform to use for and within the
Automotive Field in perpetuity to generate Platform Results and
Output, and Vendor shall promptly (but in no event later than
thirty (30) days after the occurrence of the Frozen Platform
Triggering Event) (i) deliver or make available to Company full,
complete, and accurate copies of all Platform Documentation and
Company Platform Audience in existence at that time.
(ii)
Company’s access right to further updates to
the Platform shall terminate.
(iii)
Company shall not have access to Third Party
Script Captured Audiences, and expenses associated with such access
in any Statement of Work shall be omitted at that
time.
(iv)
Company shall have continued access to Bid Logs in
perpetuity.
(v)
Company shall not have access to updated ANON
eMail or Direct Mail databases and expenses associated with such
access in any Statement of Work shall be omitted at that time, and
the scope of Company access will be limited to email and direct
mail sent by Company during the Term.
(vi)
Vendor shall have no obligation to support the
Frozen Platform.
(vii)
Company shall be responsible for establishing
accounts and services intended to replace those services previously
supplied by Vendor as described in Exhibit A under the Critical
Platform Support. Vendor will assist Company in establishing these
accounts and services and starting the operation of the Platform.
Company and Vendor may mutually agree to share some accounts and
services. These accounts and services will be determined and agreed
to mutually by Vendor and Company at the time of the Frozen
Platform Triggering Event.
(viii)
In the event the Frozen Platform Triggering Event
constitutes a Vendor Default Event, in addition to the foregoing
under this Section 2.2(e):
(1) Company retains and reserves any other rights or remedies it may
have by reason of such Vendor Default Event;
and
(2) If such Vendor
Default Event occurs after a Change in Control of Vendor, Xxxxxxxx
and the other members of the Vendor Development and Operations Team
shall be personally obligated to provide, and Vendor or its
successor or assigns shall be obligated to take all necessary
actions and enter into all necessary agreements and other documents
to ensure that Xxxxxxxx and the other members of the Vendor
Development and Operations Team shall each be personally available
and obligated to provide, Vendor Development and Operations Team
Platform Support for a period of not less than six (6) months
following the effective date of the uncured default in providing
Platform Support.
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(f)
The Platform Support is not
transferable or assignable by Company in connection with any
assignment of this Agreement by Company unless Company has acquired
Perpetual Platform Support prior to or in connection with such
transfer or assignment. Perpetual Platform Support and the Frozen
Platform and the Company’s rights therein are transferable
and assignable by Company in connection with any transfer or
assignment of this Agreement by Company.
2.3
Platform
Functionality. During the
Platform Support Period, Vendor shall provide Company with Platform
Functionality, which includes, without limitation, the
following:
(i)
ANON
Email Retargeting with unique custom messages based on audience
behavior during website visits and usage in mobile
apps.
(iii)
Programmatic Video
Targeted to Competitors In-Market Shoppers.
(iv)
Anonymous, Variably
Printed Direct Mail Retargeting.
(v)
Paid
Search, Search Marketing, Transactional Focused PPC.
(vi)
Conversionary®
- SEO ready, fully responsive WordPress powered website
platform.
(vii)
RoiQ® -
Analytics & Attribution with dashboards reporting real actions
in real time with source tracking and custom reports for website
and mobile app activities, impressions/bids-cast, conversations,
trending, and history.
2.4
Company-Requested
Development Work.
(a)
Vendor will perform the
development services (“Development Services”) described
in one or more statements of work referencing this Agreement and
executed by the Parties (each, a “Statement of Work”). The
Development Services provided for in a Statement of Work are
referred to as a “Project.” Among other things,
Statements of Work may identify: (i) the tasks to be performed
under such Statement of Work; (ii) the Deliverables to be delivered
to Company by Vendor under the Statement of Work; (iii) the
schedule for the Project (“Project Schedule”); (iv) the
operational elements, features, and functional design
specifications of the Deliverables (“Specifications”); (v) delivery of
and access to source and other codes for the Deliverables; (vi) any
third party deliverables and the party responsible for providing
such third party deliverables; (vii) the schedule of estimated fees
and expenses for the applicable Project (the fees and expenses will
together be referred to as the “Project Fees”) and the payment
terms; (viii) cancellation fees (if any); and (ix) ongoing
recurring work and emergency work communicated through authorized
channels included in the scope of a Project. Upon execution of a
Statement of Work by both Parties, the Statement of Work will be
subject to and deemed part of this Agreement and incorporated
herein by reference. In the event of any apparent conflict,
ambiguity, or inconsistency between or among the terms of this
Agreement and a Statement of Work, the conflicting, ambiguous, or
inconsistent terms shall be construed in a reasonable manner that
gives effect to all such terms. If such construction is not
possible, the terms of this Agreement shall prevail except to the
extent the Statement of Work expressly references the provisions of
this Agreement being modified, and with respect to that particular
Statement of Work only. Development Services will be performed in a
good and workmanlike manner and the Deliverables shall materially
conform to their relevant specifications.
(b)
Within thirty (30) days of
Company’s request, Vendor shall convey and deliver to Company
current, complete, correct, and accurate sets of all Platform
Documentation that is developed by Vendor at the request of
Company, the development of which was funded by
Company.
(c)
The Parties may agree in
writing to any changes to a Statement of Work, including changes,
additions, or deletions to the Development Services or Deliverables
to be performed under the Statement of Work (each, a
“Change Order”).
Either Party may from time to time during the performance under a
particular Statement of Work provide the other Party with a
proposed Change Order for such Statement of Work. Each Party may
accept or reject in its sole discretion any proposed Change Order
submitted by the other Party. No Change Order will have any
contractually binding effect until such Change Order has been
executed by an authorized representative of each
Party.
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(d)
Unless a Statement of
Work contains specific acceptance provisions to the contrary, all
Development Services and Deliverables submitted to Company for
approval shall be deemed accepted when Company provides Vendor
written notice stating that the Development Services and
Deliverables are accepted by the Company; provided, however, if the
Company does not notify Vendor of any issues in the applicable
services/deliverables within sixty (60) days after delivery by
Vendor or uses the applicable services/deliverables commercially
for sixty (60) days, the delivery will be deemed accepted. Unless
otherwise agreed in a Statement of Work, Vendor agrees to promptly
re-perform any Development Services or replace any Deliverables
that are reasonably rejected and not accepted by Company. In the
event Vendor has not been able to remedy any rejected services or
deliverables prior to the invoicing by Vendor immediately
subsequent to the rejection of the services or deliverables,
payments due to Vendor or that have been made to Vendor with
respect to such rejected services or deliverables will be credited
back to Company on such subsequent invoice. With respect to any
credited amount, Vendor may re-invoice such credited amount once
the rejected Development Services or Deliverables have been
remedied.
(e)
Deliverables
shall be considered “works made for hire” under
applicable law and in which from the time of creation of such
Deliverables, all right, title, and interest thereto, including
copyright and patent rights, shall be owned exclusively by Company.
To the extent any Deliverables are not deemed a “work made
for hire” under applicable law, Vendor hereby assigns and
transfers to Company all right, title, and interest, including
copyright and patent rights, in Deliverables. In the event that
Company elects to file an application for a patent in any
jurisdiction respecting any Deliverables, Vendor shall reasonably
cooperate with Company in preparing and submitting the patent
application
(f)
Except as set forth in a Statement of
Work and except for modifications to the source code for the
Platform requested by Company prior to Company’s acquisition
of Platform Co-Ownership, Company is not obligated to use Vendor
for any development or other Development
Services.
(g)
The Parties acknowledge and agree that any
modifications or enhancements to or derivative works made from
Platform Documentation developed by Company, and all Intellectual
Property Rights therein, shall be solely owned and usable by
Company, and Company may further modify, enhance, or make such work
the subject of additional derivative works, and all of the
foregoing shall be solely owned and usable by
Company.
2.5
Subcontractors
and Independent Contractors. Vendor will be solely responsible for the
selection and management of its personnel in performance of its
obligations under this Agreement. In addition, Vendor reserves the
right, upon notice to Company, to subcontract Vendor’s
development, support, and operating obligations under this
Agreement to third party subcontractors or independent contractors.
Vendor shall be solely responsible for the performance of the
subcontractors and independent contractors that Vendor uses to
perform development, support, and operating obligations under this
Agreement. Vendor shall ensure that any Deliverables created by
such subcontractors shall be assigned or licensed to Vendor with
full rights to license or assign such Deliverables and all rights,
title, and interests therein, as applicable, to Company in
accordance with this Agreement.
2.6
Certain
Restrictions.
(a)
Vendor shall not sell, license, assign, or otherwise transfer the
Platform, Platform Technology or Platform Documentation to any
third party (including the Restricted Companies) during the
Platform Support Period, provided that:
(i)
The Existing
Vendor Members or the Existing Vendor Member Designee shall be
entitled to continue to use the Platform, Platform Technology and
Platform Documentation.
(ii)
Vendor may
sell or otherwise transfer the Platform, Platform Technology, and
Platform Documentation in their entirety to an acquirer of Vendor
in a transaction constituting a Change in Control of
Vendor.
(iii)
Vendor may
license or grant reseller or “white-label” rights to
individual components of the Platform to third parties (excluding
Restricted Companies) as long as no third party is licensed or
granted reseller or “white label” rights with respect
to the Platform in its entirety or in its substantial
entirety.
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(b)
In addition to the restrictions set forth under Section 2.6(a) with
respect to the Platform, Platform Technology, and Platform
Documentation, during the Platform Support Period, Vendor shall not
sell, license, transfer, or otherwise provide any products,
services, Platform results/output, Platform Functionality, or
Platform Results or Output to the Restricted Companies with respect
to the Automotive Field.
(c)
The Parties acknowledge that Company
and Vendor will be engaged in the business of licensing or selling
of Platform Results and Output to their respective customer bases
and customer prospects and that their customers and prospects may
overlap. Nothing in this Agreement shall preclude either Party from
competing with the other Party with respect to the sale or license
of Platform Results and Output.
(d)
During the Platform Support Period,
Company will not develop an integrated, whole platform that
competes with the Platform. The parties acknowledge that Company
may already have individual components or functionality that are
the same or similar to the Platform that Company will continue to
use, and that Company may develop these or other individual
components or functionality in the future; provided, however, that
during the Platform Support Period, Company will not independently
develop the following Platform components or functionality:
(i) Data Management Platform (“DMP”) or demand side platform
(DSP”) based on
Vendor’s framework, source code or architecture; or (ii) a
call stack on Twilio. Company is not restricted in using third
party DMP’s or DSP’s and building upon
them.
(e)
Vendor will not enter into any
contract, take an action, omit to take any actions, nor make any
commitments that will or may impair Company’s rights under
this Agreement or that would result in any Lien on the
Company’s license and other rights under this
Agreement.
(f)
Vendor shall not use or provide the
benefits of the Company Platform Audience to any third parties
exclusive of overlapping Platform Audiences derived independently
by Vendor.
(g)
Company shall not have any right to
access or use any Platform Audience derived by Vendor for any
customer, Existing Vendor Member or Existing Vendor Member
Designee.
(h)
Without the prior written consent of
the other Party, during the Platform Support Period neither Company
nor Vendor will, and each will use commercially reasonable efforts
to cause each of their respective Affiliates to not, directly or
indirectly, cause, induce,
influence, encourage, or solicit any material business relationship
or any other customer, vendor, or supplier of the other Party to
terminate or modify in any respect any such relationship with the
other Party, subject to the rights of the Parties under Section
2.6(c) above.
(i)
Without the prior written consent of
the other Party, during the Platform Support Period and for a
period of one (1) year thereafter, neither Company nor Vendor will,
and each will use commercially reasonable efforts to cause each of
their respective Affiliates to not, directly or indirectly, solicit
for employment or hire or engage any employee or independent
contractor of the other Party while such employee or independent
contractor is employed or engaged by the other Party or any of its
Affiliates or any employee or independent contractor who was
employed or engaged by the other Party or any of its Affiliates
within six (6) months prior to such time, or cause, induce,
influence, or encourage to terminate, reduce or modify any
employee’s or independent contractor’s relationship
with the other Party or any of its Affiliates while so employed or
engaged. Notwithstanding the foregoing, neither Company nor Vendor
nor any of their respective Affiliates shall be deemed to have
violated the covenants in this Section 2.6(i) by (i) publishing or
running advertisements and general solicitations in or through any
print, broadcast, internet, direct mail, or other medium to
generally solicit qualified job applicants to apply for employment
opportunities within the soliciting Party or any of its Affiliates
and not specifically directed to any employee or independent
contractor of the other Party or any of its Affiliates, or (ii)
hiring or engaging any employee or independent contractor of the
other Party or any of its Affiliates who is terminated by the other
Party or its Affiliates, provided that no breach of the foregoing
provisions of this Section 2.6(i) has occurred with respect to such
employee or independent contractor.
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(j)
The Parties acknowledge that the
restrictions contained in this Section 2.6 are reasonable and
necessary to protect the legitimate interests of the respective
Parties and constitute a material inducement to each Party entering
into this Agreement and consummate the transactions contemplated by
this Agreement. In the event that any covenant contained in this
Section 2.6 should ever be adjudicated to exceed the time,
geographic, product or service, or other limitations permitted by
applicable Law in any jurisdiction, then any court is expressly
empowered to reform such covenant, and such covenant shall be
deemed reformed in such jurisdiction to the maximum time,
geographic, product or service, or other limitations permitted by
applicable Laws. The covenants contained in this Section 2.6 and
each provision hereof are severable and distinct covenants and
provisions. The invalidity or unenforceability of any such covenant
or provision as written shall not invalidate or render
unenforceable the remaining covenants or provisions hereof, and any
such invalidity or unenforceability in any jurisdiction shall not
invalidate or render unenforceable such covenant or provision in
any other jurisdiction.
ARTICLE
III
PLATFORM LICENSE ACQUISITION CONSIDERATION, REIMBURSABLE PLATFORM
OPERATING EXPENSES AND DEVELOPMENT SERVICES FEES AND PAYMENT
TERMS
3.1
Platform
License Acquisition Consideration.
(a)
In full payment for the Platform
License, Platform Support, Platform Functionality, Platform
Documentation Access, Use and Development Rights, right to acquire
Platform Co-Ownership, and Company’s other rights under this
Agreement, concurrently with the execution and delivery of this
Agreement by the Parties:
(i)
Company
has delivered to Vendor the sum of Eight Million Dollars
($8,000,000.00); and
(ii)
Company
hereby grants to Vendor the right to earn and to be issued the
Market Capitalization Event Shares upon the occurrence of a Market
Capitalization Event.
(b)
The right to receive the Market
Capitalization Event Shares shall be non-transferable or assignable
except to an acquirer of Vendor in connection with a Change in
Control of Vendor and provided that this Agreement is also
concurrently transferred to and fully assumed by the
acquirer.
(c)
Concurrently with the execution and
delivery of this Agreement, the Parties have entered into the
Stockholder Agreement governing the Market Capitalization Event
Shares upon their issuance.
(d)
Vendor’s right to earn and have
issued to Vendor the Market Capitalization Event Shares shall
terminate upon the occurrence of any of the
following:
(i)
Upon
the occurrence of any Vendor Default Event.
(ii)
Upon
the occurrence of any Perpetual Platform Support Acquisition Event
(other than by reason of the Market Capitalization Event Shares
Issuance).
(iii)
In
the event Company receives the Frozen Platform.
(e)
In the event Company acquires control
of Vendor within five years of the Effective Date, the sum of the
following shall be credited to the acquisition price/consideration:
(i) the cash payment set forth in Section 3.1(a); and (ii) either
(1) Perpetual Platform Support Cash Consideration, if it has been
paid prior to such acquisition; or (2) the aggregate deemed market
value of the Market Capitalization Event Shares as of the date of
the Market Capitalization Event Shares Issuance (calculated using
the Market Capitalization Event Shares Deemed Initial Issuance
Price) if the Market Capitalization Event Shares have been issued
prior to such acquisition.
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3.2
Reimbursable
Platform Operating Expenses and Development Services Fees and
Expenses.
(a)
Company shall pay or reimburse to
Vendor (i) the fixed out-of-pocket expenses unique to the operation
of the Platform for the benefit of Company and related solely to
the generation or origination of Platform Results and Output for
the benefit of Company as set forth on the Reimbursable Platform
Operating Expenses Schedule; (ii) such variable expenses and costs
for third party media approved by Company in advance and incurred
in the operation of the Platform for the benefit of Company and
related solely to the generation or origination of Platform Results
and Output for the benefit of Company; and (iii)such fees, costs,
and expenses agreed upon by the Parties in any Statement of Work
for Development Services. Company acknowledges that the vendors,
fees, and expenses set forth on the Reimbursable Platform Operating
Expenses Schedule reflect the vendors utilized and the fees and
expenses in effect as of the Effective Date. Company acknowledges
and agrees that such vendors, fees, and expenses are subject to
change upon written notice; provided, however, that Company must
acknowledge in writing any change in any fees or expenses prior to
them becoming effective. Vendor shall make available to Company,
provided Vendor is not contractually prohibited from doing so,
additional products and services Vendor may obtain from vendors in
the future, conditioned on Company’s payment of the
corresponding pass-through costs.
(b)
Except as may otherwise be agreed upon
by Company in writing in advance, (i) the fees payable to Vendor
under applicable Statements of Work include any and all costs and
expenses which may be incurred by Vendor in Vendor’s
performance of the Development Services; and (ii) Vendor shall not
be reimbursed for any costs or expenses unless authorized by
Company in writing in advance of Vendor incurring the costs or
expenses.
(c)
As to expenses for which Company has
agreed to reimburse Vendor, Company shall pay or reimburse Vendor
for all reasonable and authorized business expenses incurred by
Vendor while engaged under this Agreement so long as said expenses
have been incurred for and promote the business of Company and are
normally and customarily incurred by persons performing similar
services in the same or similar market.
(d)
As a condition to reimbursement for
approved expenses, Vendor shall furnish to Company sufficient
records and other documentary evidence required by federal and
state statutes and regulations for the substantiation of each
expenditure. Vendor must submit proper documentation for each such
expense within thirty (30) days after the date that Vendor incurs
such expense, and Company will reimburse Vendor for all eligible
expenses within thirty (30) days thereafter. Vendor acknowledges
and agrees that failure to furnish the required documentation may
result in Company denying all or part of the expense for which
reimbursement is sought.
3.3
Invoicing
and Payment. Unless otherwise
set forth in a Statement of Work and excepting costs for third
party media in excess of $50,000 per month, within fifteen (15)
days after the completion of each month, Vendor will provide
Company with an invoice detailing the actual time charges and
approved costs and expenses incurred by Vendor on behalf of Company
during the previous month, together with sufficient backup and
support (including third party invoices) documenting the invoiced
amounts. With respect to costs
for third party media in excess of $50,000 per month, Company will
advance the costs for such third party media to Vendor and such
advances will be reconciled within the above-described time period.
If Company has any dispute regarding any invoice, Company will contact Vendor to discuss Company’s
concerns. Unless Company
has notified Vendor of Company’s disapproval
of an invoice within thirty (30) days
after Company receives such invoice, such invoice shall be deemed
to be approved by Company and all amounts set forth on such invoice
shall be due and payable.
Company agrees to pay all invoices that are not subject to a dispute
on a monthly basis in accordance with
Company’s customary accounts payable practice. All payments
under this Agreement shall be made in U.S.
Dollars.
3.4
Taxes.
All amounts payable to Vendor are exclusive of national, federal,
state, local, and other excise, sales, use, value-added, goods and
services, consumption, and other taxes, levies, or duties now or
hereafter levied or imposed. Except for taxes on Company’s net income,
Vendor shall be liable for and pay all other taxes and levies,
regardless of whether included on any statement or report. Company
assumes no responsibility for paying any of the foregoing on behalf
of Vendor. Vendor assumes complete and sole responsibility for
payment of any of the foregoing owed by Vendor. Vendor shall
provide such information and certifications, including a Form W-9
certifying Vendor’s tax identification number, to Company for
tax reporting purposes. Notwithstanding the foregoing, Company
shall reimburse Vendor for sales tax due on pass-through costs
payable by Company, including taxes on direct
mail.
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3.5
Audit
Rights. During the Term and for a period of one year
thereafter, Vendor will maintain true and correct records of all
fees, expenses, and costs incurred and all transactions reasonably
necessary to calculate all amounts paid or payable to Vendor under
this Agreement. Upon no less than 20 days prior written notice and
not more than once in any six-month period, Company may audit the
books and records of Vendor for the purpose of verifying fees,
costs, and expenses paid or payable to Vendor under this Agreement.
At the election of Company, any such audit will be conducted by a
reputable, independent certified public accounting firm at
Company’s expense. Each audit will be conducted during
regular business hours at Vendor’s offices. Vendor will
promptly pay to Company the amount of any overpayments revealed by
an audit. In the event an audit reveals an overpayment of greater
than 10% of the amounts paid to Vendor for the audited period,
Vendor will, in addition to paying the amount of any such
overpayment, reimburse or pay Company the reasonable expenses
incurred by Company in connection with such audit.
ARTICLE
IV
TERM AND TERMINATION
4.1
Term.
The term of this Agreement shall commence as of the Effective Date
and shall continue until terminated in accordance with this
Agreement (“Term”).
4.2
Early
Termination for Cause. Either
Party may terminate this Agreement (subject to the provisions that
are to survive any such termination) upon written notice in the
event that the other Party: (i) makes an assignment for the benefit
of creditors; (ii) commences or has commenced against it any action
appointing a receiver over its assets; (iii) commences or has
commenced against it any proceeding in bankruptcy, insolvency, or
reorganization pursuant to bankruptcy laws or any debtor’s
moratorium which, in the case of an involuntary proceeding, is not
dismissed within ninety (90) days of its filing; (iv) breaches any
material term or provision hereof, and such Party fails to cure
such breach within thirty (30) days following written notice
detailing such breach from the non-breaching Party. For the
avoidance of doubt, Company’s breach of and failure to cure
any payment obligations under Section 3.1(a) constitute terminable
events under clause (iv) of this Section 4.2.
4.3
Effect
on Rights.
(a)
Termination of this Agreement by
either Party shall not act as a waiver of any breaches of this
Agreement and shall not act as a release of either Party from any
liability for breaches of this Agreement. Any payments due one
Party to the other that have accrued before termination of this
Agreement for any reason, including outstanding credits, shall be
due and payable within thirty (30) days after the date of
termination.
(b)
If bankruptcy, insolvency,
liquidation, assignment for the benefit of creditors, appointment
of a receiver, cessation of business, or similar or related event
or action by Company results in a termination of Vendor’s
right to receive the Market Capitalization Event Shares prior to
the Market Capitalization Event Shares being earned, then, at the
election of Vendor, Vendor’s obligations to provide the
Platform Support shall terminate, and all of Company’s
payment obligations for continuing Platform Support shall
terminate; provided, however, that in any such event, Company may
elect to acquire Perpetual Platform Support by payment of the
Perpetual Platform Support Cash Consideration, in which case
Vendor’s obligation to provide the Perpetual Platform Support
shall continue in perpetuity as provided in this
Agreement.
(c)
Notwithstanding anything to the
contrary in this Agreement, (i) the Platform License and all rights
granted to Company thereunder; (ii) Company’s right to
receive the Frozen Platform and all rights granted to Company with
respect to the Frozen Platform; (iii) Company’s ownership and
rights in the Company Platform Audience; and (iv) all of
Company’s licenses and ownership rights in Deliverables that,
in each case, have come into effect prior to the termination date
shall not be terminated or cease by reason of any termination of
this Agreement by either Party for any reason, and the provision of
Section 2.1, Section 2.2, and 2.4 relating to the foregoing shall
survive any termination of this Agreement.
-15-
4.4
Survival.
Termination of this Agreement for any reason shall not release any
party from any liabilities or obligations set forth in this
Agreement which (i) the parties have expressly agreed shall survive
any such termination or expiration, or (ii) by their nature would
be intended to be applicable following any such termination or
expiration including, but not limited to, Section 4.3, this Section
4.4, Article V, Article VI, Article VII and Article
VIII.
ARTICLE
V
REPRESENTATIONS AND WARRANTIES
5.1
Representations and
Warranties of Company. Company represents and warrants to
Vendor as follows:
(a)
Company is a corporation duly organized, validly existing, and in
good standing under the laws of the State of Delaware and has all
requisite corporate power and authority to enter into this
Agreement.
(b)
This Agreement constitutes a valid and legally binding obligation
of Company, enforceable against Company in accordance with its
terms.
(c)
The execution, delivery, and performance of this Agreement by
Company will not result in any violation or be in conflict with or
constitute, with or without the passage of time or giving of notice
(or both), a default under any instrument, judgment, order, writ,
decree, license, contract, or agreement to which Company is a party
or bound.
5.2
Representations and
Warranties of Vendor. Vendor represents and warrants to
Company as follows:
(a)
Vendor is a limited liability company duly organized, validly
existing, and in good standing under the laws of the State of
Florida and has all requisite power and authority to enter into
this Agreement.
(b)
This Agreement constitutes a valid and legally binding obligation
of Vendor, enforceable against Vendor in accordance with its
terms.
(c)
The execution, delivery, and performance of this Agreement by
Vendor will not, with or without the passage of time or giving of
notice (or both):
(i)
violate or
conflict with any provision of Vendor’s Governing Documents
or any Laws to which Vendor or Vendor assets or properties
(including the Platform) is subject or by which any of them is
bound;
(ii)
violate or
conflict with any Laws to which Vendor or Vendor assets or
properties (including the Platform) is subject or by which any of
them is bound;
(iii)
violate or
conflict with, result in a breach of any provision of, or
constitute a default, or otherwise cause any loss of any benefit
under any Contract or other obligation to which Vendor or
Vendor’s business is a party or by which any of
Vendor’s assets or properties (including the Platform) are
bound, or result in the termination or cancellation of any Contract
to which Vendor is a party or by which any of Vendor’s assets
or properties (including the Platform) are bound, or give rise to
any rights of others (including rights of termination, foreclosure,
cancellation, or acceleration), in or with respect to the Platform
or Vendor’s business;
(iv)
give any
Governmental Authority or other Person the right to challenge this
Agreement or any aspect of the transactions contemplated hereby to
exercise any remedy or obtain any relief under any Law to which
Vendor or Vendor’s business or any of Vendor’s assets
or properties (including the Platform) may be subject;
or
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(v)
result in,
require, or permit the creation or imposition of any Lien upon or
with respect to any of the assets or properties owned, leased, or
used by Vendor in the operation of its business, including the
Platform.
(d)
All Governmental Authorizations and other Consents required to be
obtained, given, or made by Vendor in connection with the
execution, delivery, and performance of this Agreement by Vendor or
the consummation of the transactions contemplated hereby have been
obtained, given, or made.
(e)
Vendor is operating and has always operated the Platform and
Vendor’s business in compliance in all material respects with
all applicable Laws, including Laws with respect to (1) the
collection, use, sharing, licensing, transfer, and safeguarding of
Personally Identifiable Information; (2) email, facsimile,
telephone (land, wireless, or cellular) or text messaging,
advertising or solicitations; and (3) fair and accurate
advertising, and Vendor has not received any notice, Order, or
other communication from any Governmental Authority of any alleged,
actual, or potential violation of or failure to comply with any
Law.
(f)
There are no Actions presently pending, threatened, or contemplated
against Vendor or any predecessor thereto and there are no facts
that could reasonably serve as a basis for any such Action. There
are no, and during the past five (5) years have not been any,
unsatisfied or outstanding Orders against, binding upon, or
adversely affecting Vendor or any predecessor thereto, the
Platform, or Vendor’s business. Vendor has not received any
claims, threats, or notices claiming any violation of any third
party Intellectual Property Rights related to the Platform or in
the conduct of Vendor’s business. No Actions are currently
pending or have been filed against or by Vendor or any predecessor
thereto or any of Vendor’s Affiliates for any violation of
any Intellectual Property Rights of any third party, and there is
no basis for a third party to assert any claim or bring any Action
for any violation, infringement, or misappropriation of any
Intellectual Property Right of any third party.
(g)
Vendor owns or possesses all legal and ownership rights to the
Platform, Platform Technology, and Platform Documentation free and
clear of all Liens and has all legal rights necessary for the
provision of any services or support and grant of any licenses or
ownership rights to Company in accordance with this
Agreement.
(h)
The Frozen Platform, when delivered to Company, will include all
components of the Platform, Platform Technology, and Platform
Documentation that are necessary for Company to continue to use,
access, operate and maintain the Platform as set forth in this
Agreement.
(i)
Vendor has not entered into any contract nor made any commitments
that will or may impair Company’s rights under this
Agreement.
(j)
All Persons who have contributed to the creation, invention, or
development of the Platform, Platform Documentation, or any
Intellectual Property Rights related to any of the foregoing have
assigned to Vendor all of their rights therein that do not vest
initially in Vendor by operation of Law. Vendor takes reasonable
actions to protect and maintain (1) any trade secrets and
Confidential Information that constitute Intellectual Property
Rights related to the Platform, including executing confidentiality
and non-disclosure agreements with employees and contractors, and
(2) the confidentiality, integrity, and security of its Software,
databases, systems, networks, and Internet websites, and
information stored or contained therein or transmitted thereby, and
all transactions consummated in connection therewith, from any
unauthorized use, access, interruption, or modification by third
parties, including the use of reliable encryption protection (or an
equivalent).
(k)
All Software related to the Platform or that is included in the
Platform Documentation substantially conforms to all existing
documentation for its use in the operation of the Platform and the
conduct of Vendor’s business as currently conducted, and is
functioning in all material respects in accordance with applicable
specifications. Vendor has not
incorporated into the Platform or otherwise accessed, used, or
distributed any Open Source Software, in whole or in part, in
connection with the Platform.
-17-
(l)
Concurrently with the execution and
delivery of this Agreement by the Parties, Vendor has delivered to
Company a disclosure letter that contains the names of all Existing
Vendor Members and the Existing Vendor Member
Designee.
ARTICLE
VI
CONFIDENTIALITY
6.1
Confidential
Information.
(a)
A Party
receiving Confidential Information from the other Party will not,
during or subsequent to the term of this Agreement, use the
disclosing Party’s Confidential Information for any purpose
whatsoever other than the performance of its obligations or
exercise of its rights under this Agreement, or disclose the
disclosing Party’s Confidential Information to any third
party. The receiving Party further agrees to take all reasonable
precautions to prevent any unauthorized disclosure of the
disclosing Party’s Confidential Information including, but
not limited to, limiting access to the disclosing Party’s
Confidential Information to employees, subcontractors, or
independent contractors who require access for the performance of
obligations or exercise of rights under this Agreement, limiting
the scope of access afforded such persons to the narrowest scope of
access required for the performance of obligations or exercise of
rights under this Agreement, and having each employee,
subcontractor, or independent contractor of the receiving Party, if
any, with access to any of disclosing Party’s Confidential
Information be bound by nondisclosure and confidentiality
obligations (by contract, duties, or otherwise) applicable to
Confidential Information that are no less stringent than the
confidentiality provisions of this Agreement.
(b)
Nothing
in this Agreement will prevent the receiving Party from disclosing
Confidential Information of the disclosing Party to the extent the
receiving Party is legally compelled to do so by any governmental
or judicial agency or body pursuant to proceedings over which such
agency or body has jurisdiction; provided, however, that prior to
any such disclosure, the receiving Party shall: (i) assert the
confidential nature of the Confidential Information to the agency
or body; (ii) where permitted, immediately notify the disclosing
Party in writing of the agency’s or body’s request to
disclose Confidential Information; (iii) cooperate fully with the
disclosing Party in protecting against any such disclosure and/or
obtaining a protective order narrowing the scope of the compelled
disclosure and protecting its confidentiality; and (iv) in any
event only disclose such Confidential Information, or portion
thereof, specifically requested by the agency or body.
(c)
Upon
the termination of this Agreement, or upon the disclosing
Party’s earlier request, the receiving Party will deliver to
the disclosing Party (and will not recreate or deliver to anyone
else) all of the disclosing Party’s Confidential Information
that the receiving Party may have in its possession or control; or
upon the disclosing Party’s request, the receiving Party will
destroy all Confidential Information of the disclosing Party in its
possession, including all copies, and confirm in writing that it
has complied with the obligations set forth in this Section 6.1(c).
However, this Section 6.1(c) will not apply to any Confidential
Information of Vendor that is embedded in or a part of any of the
Development Services or Deliverables licensed to or owned by
Company under this Agreement.
ARTICLE
VII
INDEMNIFICATION
7.1
Indemnification.
(a)
Company will defend, indemnify, and hold harmless Vendor and each
of Vendor’s Affiliates, officers, directors, employees, and
agents against and in respect of any loss, debt, liability, damage,
obligation, claim, demand, fines, penalties, forfeitures, judgment,
or settlement of any nature or kind, known or unknown, liquidated
or unliquidated, including without limitation all reasonable costs
and expenses incurred (legal, accounting, or otherwise)
(collectively, “Damages”) arising out of,
resulting from, or based upon any claim, action, or proceeding by
any third party, including any governmental or regulatory body,
alleging facts or circumstances constituting or giving rise to (i)
a breach of the obligations, representations, or warranties of
Company set forth in this Agreement; (ii) violation of applicable
Law or Order by Company; or (iii) infringement or misappropriation
of any Intellectual Property Rights of any third party stemming
from use of Company’s Intellectual Property Rights in
connection with this Agreement.
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(b)
Vendor will defend, indemnify, and hold harmless Company and each
of Company’s Affiliates, officers, directors, employees, and
agents against and in respect of any Damages arising out of,
resulting from, or based upon any claim, action, or proceeding by
any third party, including any governmental or regulatory body,
alleging facts or circumstances constituting or giving rise to (i)
a breach of the obligations, representations, or warranties of
Vendor set forth in this Agreement; (ii) violation of applicable
Law or Order by Vendor; or (iii) infringement or misappropriation
of any Intellectual Property Rights of any third party stemming
from the licensing, use, operation or support of the Platform,
Platform Documentation, Platform Technology, Platform
Functionality, Platform Audiences, and Vendor’s Intellectual
Property Rights as contemplated by this Agreement.
7.2
Indemnification
Process.
(a)
Promptly after receipt by an indemnified Party of notice of a claim
from a third party (a “Third
Party Claim”) which may give rise to a claim for
indemnification hereunder, such indemnified Party shall, if a claim
is to be made against an indemnifying Party, give notice to the
indemnifying Party of such Third Party Claim. Notwithstanding the
foregoing, the failure to notify or any delay in notifying the
indemnifying Party will not relieve the indemnifying Party of any
liability that it may have to any indemnified party, except to the
extent that the indemnifying Party demonstrates that the defense of
such action is materially prejudiced by the indemnified
Party’s failure to give or delay in giving such notice, and
then only to the extent of such prejudice.
(b)
Any indemnifying Party will have the right to defend the
indemnified Party against the Third Party Claim with counsel of its
choice reasonably satisfactory to the indemnified Party so long as
(i) the indemnifying Party notifies the indemnified Party in
writing within ten (10) business days after the indemnified Party
has given notice of the Third Party Claim that the indemnifying
Party will indemnify the indemnified Party from and against such
Third Party Claim as required under this Agreement; (ii) the
indemnifying Party has (and, if the indemnified Party so requests,
provides the indemnified Party with reasonable evidence that the
indemnifying Party has) the financial resources (which could
include insurance coverage) to defend against the Third Party Claim
and fulfill its indemnification obligations hereunder; and (iii)
the indemnifying party conducts the defense of the Third Party
Claim in a commercially reasonable manner.
(c)
So long as the indemnifying Party is conducting the defense of the
Third Party Claim in accordance with the foregoing provisions of
this Section 7.2, and provided there is no conflict in the interest
of the indemnified Party and the indemnifying Party, (i) the
indemnified Party may retain separate co-counsel at its sole cost
and expense and participate in the defense of the Third Party
Claim; (ii) the indemnified Party will not consent to the entry of
any judgment or enter into any settlement with respect to the Third
Party Claim without the prior written consent of the indemnifying
Party; and (iii) the indemnifying Party will not consent to the
entry of any judgment or enter into any settlement with respect to
the Third Party Claim without the prior written consent of the
indemnified Party (not to be withheld, conditioned, or delayed
unreasonably), provided, however, that no consent of the
indemnified Party shall be required if the settlement contains an
unconditional release of the indemnified Party from all liability
and adverse actions with respect to such Third Party Claim and does
not subject the indemnifying Party to any injunction or other
equitable relief.
(d)
In the event any of the foregoing conditions in this Section 7.2 is
or becomes unsatisfied in any material respect, however, (i) the
indemnified Party may defend against, and consent to the entry of
any judgment or enter into any settlement with respect to, the
Third Party Claim in any manner it reasonably may deem appropriate,
provided, before effecting any compromise or settlement, the
indemnified Party shall solicit and obtain the consent of the
indemnifying Party, such consent not to be unreasonably withheld,
conditioned, or delayed; (ii) the indemnifying Party will reimburse
the indemnified party promptly and periodically for the costs of
defending against the Third Party Claim (including reasonable
attorneys’ fees and expenses) to the extent the indemnifying
Party is obligated to provide indemnity hereunder; and (iii) the
indemnifying Party will remain responsible for any Damages the
indemnified Party may suffer resulting from, arising out of,
relating to, in the nature of, or caused by the Third Party Claim
to the fullest extent that the indemnifying Party is obligated to
provide indemnity under this Article VII.
-19-
ARTICLE VIII
GENERAL PROVISIONS
8.1
Entire
Agreement. This Agreement, including the Exhibits
attached hereto, all of which are hereby incorporated by reference,
constitutes the complete and exclusive statement of agreement
between the parties and supersedes all prior agreements,
understandings, and communication of any kind by and between the
Parties, whether written or oral, with respect to the subject
matter hereof. Upon the execution and delivery of this Agreement by
the Parties, the Parties agree that the Master Services Agreement
effective as of August 1, 2017 between the Parties is hereby
terminated.
8.2 Amendments and Waivers.
This Agreement may be amended, modified, superseded, or cancelled,
and the terms and conditions hereof may be waived, only by a
written instrument signed by the Parties hereto or, in the case of
a waiver, by the Party waiving compliance, in a document that
refers to this Agreement. No delay on the part of any Party in
exercising any right, power, or privilege hereunder will operate as
a waiver thereof, nor will any waiver on the part of any Party of
any right hereunder, nor any single or partial exercise of any
rights hereunder, preclude any other or further exercise thereof or
the exercise of any other right hereunder.
8.3 Assignment.
Neither Party may assign or otherwise transfer or delegate this
Agreement or any of a Party’s rights, duties, or obligations
under this Agreement to another person or entity without the prior
written consent of the other Party. Notwithstanding the foregoing,
this Agreement may be assigned or transferred by a Party without
the consent of the other Party to any Affiliate of the assigning
Party or any person or entity that acquires all or substantially
all of the assets of the assigning Party or that succeeds the
assigning Party by operation of law. Nothing herein will prohibit
or restrict a change of control of either Party or any Affiliate of
that Party or require the consent of the other Party to any
assignment or transfer of this Agreement in connection with any
change of control of the assigning Party. This Agreement will be
binding on and inure to the benefit of each Party hereto and to
each Party's respective permitted successors and
assigns.
8.4
Notices.
Any notice required or permitted under this Agreement will be
considered to be effective (i) upon receipt by recipient as
indicated on the courier’s receipt in the case of delivery by
courier or messenger service; or (ii) upon receipt of an Electronic
Transmission by the Party that is the intended recipient of the
Electronic Transmission. The record addresses, facsimile numbers of
record, and electronic mail addresses of record for the Parties are
set forth on the signature page to this Agreement and may be
changed from time to time by notice from the changing Party to the
other Party pursuant to the provisions of this Section
8.4.
8.5
Marketing and
Communications.
(a)
Except as may be required, as determined in good faith by the
disclosing party, by applicable law, rules, or regulations or the
rules of any securities exchange or market, neither Party will make
any public statement or release concerning this Agreement or any of
the transactions contemplated by this Agreement, except for such
written information as has been approved in advance in writing as
to form and content by the other Party, which approval will not be
unreasonably withheld. Notwithstanding the foregoing, neither Party
shall have the right to review or approve any filings or other
disclosures that the other Party determines in good faith are
reasonably required to be made in any filings with the Securities
and Exchange Commission, with any other governmental agency, or any
securities exchange or market. The Parties acknowledge that Company
will be required to disclose this Agreement in Company’s
filings with the Securities and Exchange Commission.
(b)
During the Term of this Agreement, each Party may refer to the
existence of this Agreement and to the name of the other Party in
marketing communications to customers and partners using
mutually-approved language describing the relationship, such
approval not to be unreasonably withheld.
8.6 Independent Parties. The
relationship of the Parties is that of independent contractors.
Nothing contained in this Agreement will be construed as creating a
joint venture, agency, employment, or partnership relationship
among the Parties hereto nor will any Party have the right, power,
or authority to create any obligation or duty, express or implied,
on behalf of any other Party.
-20-
8.7
Force
Majeure. Neither Party will be
liable hereunder by reason of any failure or delay in the
performance of its obligations on account of strikes, shortages,
riots, insurrection, terrorism, fires, flood, storm, explosions,
earthquakes, Internet or telecommunication failures or outages,
acts of God, war, governmental action, or any other similar cause
that is beyond the reasonable control of such Party. A Party
experiencing a delaying event shall work diligently and promptly to
mitigate the impact and length of the delay. If, in the reasonable
judgment of the party not experiencing a delaying event, a delaying
event applicable to the other party materially and adversely
impacts or is reasonably likely to materially and adversely impact,
either by reason of the length of the delay or the nature of the
delaying event, the ability of the party experiencing the delaying
event to perform its obligations under this Agreement in a timely
manner, the party not experiencing the delaying event may elect to
perform itself or have third parties perform the obligations of the
party experiencing the delaying event without liability to the
party experiencing the delaying event.
8.8
Further Assurances. Each
Party agrees to execute and deliver any and all further documents,
and to perform such other acts, as may be reasonably necessary or
expedient to carry out and make effective this
Agreement.
8.9
Choice of Law. This
Agreement, its construction and the determination of any rights,
duties, or remedies of the parties arising out of or relating to
this Agreement will be governed by, enforced under, and construed
in accordance with the laws of the State of Florida, USA,
regardless of the laws that might otherwise govern under applicable
principles of conflicts of laws of such state. The parties exclude
the application of the 1980 United Nations Convention on Contracts
for the International Sale of Goods if otherwise applicable to this
Agreement.
8.10 Severability.
Each term, covenant, condition, or provision of this Agreement will
be viewed as separate and distinct, and in the event that any such
term, covenant, condition, or provision will be deemed to be
invalid or unenforceable, the court finding such invalidity or
unenforceability will modify or reform this Agreement to give as
much effect as possible to the terms and provisions of this
Agreement. Any term or provision which cannot be so modified or
reformed will be deleted and the remaining terms and provisions
will continue in full force and effect.
8.11 Interpretation.
Every provision of this Agreement is the result of full
negotiations between the Parties, both of whom have either been
represented by counsel throughout or otherwise been given an
opportunity to seek the aid of counsel. Each Party hereto further
agrees and acknowledges that it is sophisticated in legal affairs
and has reviewed this Agreement in detail. Accordingly, no
provision of this Agreement shall be construed in favor of or
against any Party hereto by reason of the extent to which any such
Party or its counsel participated in the drafting thereof. Captions
and headings of sections contained in this Agreement are for
convenience only and shall not control the meaning, effect, or
construction of this Agreement. Time periods used in this Agreement
shall mean calendar periods (i.e., days, months, and years) in the
State of Florida, USA, unless otherwise expressly indicated. All
references to fees, expenses, costs, and payments thereof are in
U.S. Dollars. The English language shall apply to any
interpretation of this Agreement. Except as otherwise provided or
if the context otherwise requires, whenever used in this Agreement,
(i) any noun or pronoun shall be deemed to include the plural and
the singular as well as the masculine, feminine, and neuter
genders, (ii) the terms “include,”
“includes,” and “including” shall be deemed
to be followed by the phrase “without limitation,”
(iii) the word “or” shall be inclusive and not
exclusive, (iv) all references to Articles, Sections, subsections,
preambles, or recitals, refer to the Articles, Sections,
subsections, preamble, and recitals of this Agreement, and all
references to Schedules refer to the Schedules attached to this
Agreement or delivered with this Agreement, as appropriate, and all
references to Exhibits refer to the Exhibits attached to this
Agreement, each of which is made a part of this Agreement for all
purposes, (v) the terms “hereunder,”
“hereof,” “hereto,” and words of similar
import shall unless otherwise stated be deemed references to this
Agreement as a whole and not to any particular Article, Section, or
other provision hereof, (vi) the terms “dollars” or
“$” means United States dollars, (vii) reference to any
agreement, document, or instrument means such agreement, document,
or instrument as amended or modified through the date hereof in
accordance with the terms thereof and includes all addenda,
exhibits, and disclosure schedules thereto, (viii) any reference to
any Person includes such Person’s successors and assigns but,
if applicable, only if such successors and assigns are permitted by
this Agreement, and (ix) any reference to any governmental
authority includes any designee thereof or successor thereto. In
the event of any inconsistency between the statements made in the
body of this Agreement and those contained in the Schedules (other
than an express exception to a specifically identified statement),
those in this Agreement shall control. Any disclosures in any
Schedule or in any other transaction document of any information
that is not required under the terms hereof or thereof to be
disclosed herein or therein shall not change or diminish the
disclosure requirements herein or therein.
-21-
8.12
Dispute
Resolution, Forum.
(a)
If a dispute or claim arises between the Parties relating to this
Agreement, before either Company or Vendor pursues other available
remedies, the Party asserting the dispute or claim shall notify the
other Party of the nature of the dispute or claim and request that
persons with decision making authority regarding the dispute or
claim from each Party (together with their respective counsel)
confer, at a mutually convenient date and time, by a mutually
convenient means (e.g., in person or by telephone, video
conferencing, or other electronic means), and at a mutually
convenient place (in the event an in person meeting is agreed upon
by the Parties), to attempt to a resolve the dispute or claim. No
such attempt to resolve the dispute or claim shall be deemed to
vitiate or reduce the obligations and liabilities of Company or
Vendor hereunder or be deemed a waiver by Company or Vendor of any
remedies to which Company or Vendor would otherwise be entitled
hereunder. Any offers of settlement or compromise made during such
attempt to resolve the dispute or claim shall be inadmissible in
any court or arbitration proceeding to prove a Party’s
liability with respect to the dispute or claim, nor shall any offer
of settlement or compromise constitute or be construed as an
admission of any liability with respect to the dispute or claim.
Notwithstanding the foregoing, either Party may seek specific
performance and injunctive relief from a court of competent
jurisdiction in the Dispute Resolution Venue in order to maintain
the status quo while the procedure set forth in this Section
8.12(a) is being followed. If the Parties are unable to agree upon
a mutually convenient date and time, means, or place to confer
within three (3) days after the asserting Party’s notice of
dispute or claim is effective in accordance with Section 8.4, or if
the Parties confer and do not reach a resolution of the dispute or
claim, each of the Parties shall be entitled to purse arbitration
under Section 8.12(b).
(b)
In the event a dispute or claim is not resolved under the procedure
set forth in Section 8.12(a), the Parties consent to and agree that
any dispute or claim arising out of, or in any way related to, this
Agreement shall be submitted to binding arbitration in the Dispute
Resolution Venue, and conducted in accordance with the Judicial
Arbitration and Mediation Service (“JAMS”) rules of practice then in
effect or such other procedures as the Parties may agree in
writing, and the Parties expressly waive any right they may
otherwise have to cause any such action or proceeding to be brought
or tried elsewhere. The Parties further agree that (i) any request
for arbitration shall be made in writing and must be made within a
reasonable time after the claim, dispute, or other matter in
question has arisen; provided however, that in no event shall the
demand for arbitration be made after the date that institution of
legal or equitable proceedings based on such claim, dispute, or
other matter would be barred by the applicable statue(s) of
limitations; (ii) the appointed arbitrator must be a former or
retired judge or attorney at law with at least ten (10)
years’ experience in commercial matters; (iii) costs and fees
of the arbitrator shall be borne by the Parties equally, unless the
arbitrator or arbitrators determine otherwise; (iv) depositions may
be taken and other discovery may be obtained during such
arbitration proceedings to the same extent as authorized in civil
judicial proceedings; and (v) the award or decision of the
arbitrator, which may include equitable relief, shall be final, and
judgment may be entered on such award in accordance with applicable
law in any court having jurisdiction over the matter. The
arbitrator shall be required to follow applicable law in rendering
the arbitrator’s decision.
(c)
TO THE EXTENT PERMITTED BY APPLICABLE LAW, EACH
PARTY HEREBY KNOWINGLY, VOLUNTARILY, AND INTENTIONALLY WAIVES, TO
THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, THE RIGHT TO TRIAL
BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS
AGREEMENT OR THE TRANSACTIONS CONTEMPLATED
HEREBY.
(d)
The Parties acknowledge and agree that money damages may not be a
sufficient remedy for a breach of certain provisions of this
Agreement, including but not limited to Article VI, and
accordingly, a non-breaching Party may be entitled to specific
performance and injunctive relief as remedies for such violation.
Accordingly, the Parties agree that a non-breaching party may seek
relief in a court of competent jurisdiction in the Dispute
Resolution Venue for the purposes of seeking equitable relief
hereunder, and that such remedies shall not be deemed to be
exclusive remedies for a violation of the terms of this Agreement
but shall be in addition to all other remedies available to the
non-breaching party at law or in equity.
(e)
In any action or other proceeding by which a Party either seeks to
enforce its rights under this Agreement, or seeks a declaration of
any rights or obligations under this Agreement, the prevailing
party will be entitled to reasonable attorneys’ fees, and
subject to Section 8.12(b) above, reasonable costs and expenses
incurred to resolve such dispute and to enforce any final
judgment.
-22-
(f)
No remedy conferred on a Party by any of the specific provisions of
this Agreement is intended to be exclusive of any other remedy, and
each and every remedy will be cumulative and will be in addition to
every other remedy given hereunder or now or hereafter existing at
law or in equity or by statute or otherwise. The election of one or
more remedies by a Party will not constitute a waiver of the right
to pursue other available remedies.
8.13
Counterparts;
Facsimile or PDF Signature.
This Agreement may be executed in counterparts, each of which will
be deemed an original hereof and all of which together will
constitute one and the same instrument. This Agreement may be
executed by facsimile, PDF signature, or other electronic means by
either Party, and any such signature shall be deemed binding for
all purposes hereof, without delivery of an original signature
being thereafter required.
[Remainder
of Page Intentionally Left Blank; Signature Page and Exhibits
Follow]
-23-
IN
WITNESS WHEREOF, the parties have executed this Agreement as of the
Effective Date.
Vendor
DealerX Partners, LLC
By: /s/ Xxxxxxx
Xxxxxxxx
Xxxxxxx Xxxxxxxx
Manager and President
Contact
Name:
Xxxxxxx Xxxxxxxx
Contact
Address:
DealerX Partners, LLC
000
Xxxxx Xxxxx, Xxxxx 0000X
Xxx
Xxxxxxxx, Xxxxxxx 00000
Contact Telephone
Number:
000.000.0000
Contact Facsimile
Number:
Contact Email
Address:
xxxx@xxxxxxx.xxx
With copy
to:
Xxxx Xxxxxxxxxx
Xxxxxxxx
Xxxxxx & Winchester
000
Xxxxx 000 Xxxx
Xxxx
Xxxx Xxxx, Xxxx 00000
Facsimile
No.: 801.935.4936
Email
Address: xxx@xxxxxxxxxx.xxx
And a copy to:
Xxxxxx
X. Xxxxxx
Xxxxx
Xxxxxxxx
One
Centre Square, Fifth Floor
000
Xxxxxx Xxxxxx
Xxxxxxxxx,
Xxxxxxxxx 00000
Facsimile
No.: 865.523.6529
Email
Address: xxxxxxx@xxxxxxxxxxxxx.xxx
|
Company
Autobytel Inc.
By:
/s/ Xxxxxxx
X. Xxxxx
Xxxxxxx X.
Xxxxx
President and Chief
Executive Officer
Contact
Name:
Xxxxxxx X. Xxxxx
Contact
Address:
Autobytel Inc.
00000 XxxXxxxxx Xxxx., Xxxxx
000
Xxxxxx, Xxxxxxxxxx 00000-0000
Contact Telephone
Number:
000.000.0000
Contact Facsimile
Number:
949. 797.0404
Contact Email
Address:
xxxxx@xxxxxxxxx.xxx
With copy
to:
Autobytel Inc.
Legal Department
00000 XxxXxxxxx Xxxx. Xxxxx
000
Xxxxxx, Xxxxxxxxxx 00000-0000
Facsimile No.: 949.862.1323
Email
Address:XXXXXxxxx@xxxxxxxxx.xxx
|
-24-
This Exhibit has been omitted in accordance with Item 601(b)(2) of
Regulation S-K. AutoWeb, Inc. will furnish supplementally a
copy of any omitted schedule or exhibit to the Securities and
Exchange Commission upon request; provided, however, that AutoWeb,
Inc. may request confidential treatment pursuant to Rule 24b-2 of
the Securities Exchange Act of 1934, as amended, for the exhibit so
furnished.
Exhibit A
Platform Support and Service Level Schedule
-25-
This Exhibit has been omitted in accordance with Item 601(b)(2) of
Regulation S-K. AutoWeb, Inc. will furnish supplementally a
copy of any omitted schedule or exhibit to the Securities and
Exchange Commission upon request; provided, however, that AutoWeb,
Inc. may request confidential treatment pursuant to Rule 24b-2 of
the Securities Exchange Act of 1934, as amended, for the exhibit so
furnished.
Exhibit B
Reimbursable Platform Operating Expenses Schedule
-26-