PCS Services Agreement between Sprint Spectrum L.P. and Oblio Telecom L.L.P. Sprint Confidential Information - RESTRICTED
Confidential
treatment has been requested for portions of this exhibit. The copy filed
herewith omits the information subject to the confidentiality request. Omissions
are designated as [***]. A complete version of this exhibit has been filed
separately with the Securities and Exchange Commission
Private
Label
between
Sprint
Spectrum L.P.
and
Oblio
Telecom L.L.P.
Sprint
Confidential Information - RESTRICTED
1
PRIVATE
LABEL PCS SERVICES AGREEMENT
TABLE
OF CONTENTS
|
||
1.
|
DEFINITIONS
|
4
|
2.
|
PURCHASER
RELATIONSHIP
|
7
|
2.1.
|
General
|
7
|
2.2.
|
Pricing
Severability
|
8
|
3.
|
SPRINT
TERM
|
8
|
3.1.
|
General
|
8
|
3.2.
|
Phase-Out
Period
|
8
|
4.
|
CONDITIONS
PRECEDENT
|
8
|
5.
|
REPRESENTATIONS
AND WARRANTIES
|
9
|
5.1.
|
Due
Incorporation or Formation; Authorization of Agreements
|
9
|
5.2.
|
No
Conflict; No Default
|
9
|
5.3.
|
Litigation
|
9
|
6.
|
SCOPE
OF PCS SERVICE
|
9
|
6.1.
|
PCS
Service
|
9
|
6.2.
|
Limitation
on Scope of PCS Service
|
9
|
6.3.
|
Sprint
Handset Handling Services
|
11
|
6.4.
|
Coverage
Maps
|
12
|
6.5.
|
MDN
Pooling
|
12
|
6.6.
|
Billing
Records
|
12
|
6.7.
|
Private
Label Operations Manual
|
13
|
6.8.
|
Customized
Services
|
13
|
7.
|
PRICES
AND TERMS OF PAYMENT
|
13
|
7.1.
|
Payment
of Charges
|
13
|
7.2.
|
Invoices
|
13
|
7.3.
|
Late
Payments
|
14
|
7.4.
|
Disputed
Charges
|
14
|
7.5.
|
Taxes
and Other Levies by Governmental Authorities
|
15
|
7.6.
|
Security
and Security Interest in Purchaser’s Receivables
|
15
|
8.
|
PURCHASER
RIGHTS AND OBLIGATIONS
|
16
|
8.1.
|
Handsets
|
16
|
8.2.
|
Purchaser
Staff
|
17
|
8.3.
|
Ethical
Responsibility
|
18
|
8.4.
|
Purchaser’s
Responsibility and Liability
|
18
|
8.5.
|
Purchaser’s
Responsibility for Fraud
|
18
|
8.6.
|
Interference
|
19
|
8.7.
|
Purchaser’s
Reports to Sprint
|
19
|
8.8.
|
Subpoena
Compliance
|
19
|
8.9.
|
Electronic
Surveillance
|
19
|
9.
|
SPRINT’S
RIGHTS AND OBLIGATIONS
|
20
|
2
9.1.
|
Modifications
|
20
|
9.2.
|
Roaming
Services
|
20
|
9.3.
|
Sprint
Network Fraud Detection and Responsibility
|
21
|
9.4.
|
Sprint’s
Reports to Purchaser
|
22
|
10.
|
LIMITATIONS
OF WARRANTIES AND LIABILITIES
|
22
|
10.1.
|
No
Warranties
|
22
|
10.2.
|
Limitations
on Liability
|
22
|
11.
|
TRADE
NAME, TRADE MARKS AND SERVICE MARKS
|
22
|
11.1.
|
Sprint’s
Rights
|
22
|
11.2.
|
Purchaser’s
Rights
|
23
|
11.3.
|
Remedies
for Violations
|
23
|
12.
|
INSURANCE
|
23
|
|
|
|
13.
|
INDEMNIFICATION
|
24
|
13.1.
|
Purchaser’s
General Third Party Indemnity
|
24
|
13.2.
|
Sprint’s
General Third Party Indemnity
|
24
|
13.3.
|
Indemnification
Procedures
|
24
|
14.
|
BREACH,
REMEDIES AND EARLY TERMINATION OF THE AGREEMENT
|
25
|
14.1.
|
Breach
|
25
|
14.2.
|
Early
Termination by Sprint Due to Loss of Licenses
|
27
|
14.3.
|
Length
of and Duties During the Phase-out Period
|
27
|
14.4.
|
Effect
of Xxxxxxxxxxx
|
00
|
00.
|
RESTRICTIONS
ON TRANSFER
|
28
|
15.1.
|
Right
of First Refusal
|
27
|
15.2.
|
Termination
Option By Sprint Upon the Occurrence of Certain Events
|
|
15.3.
|
Rights
to End User Accounts in Connection with Liquidation or
Dissolution
|
29
|
15.4.
|
Non-Solicitation/Non-Disclosure
Obligations
|
29
|
15.5.
|
Remedies
|
29
|
16.
|
CONFIDENTIALITY
|
29
|
16.1.
|
Restriction
|
29
|
16.2.
|
Care
|
29
|
16.3.
|
Return
|
30
|
16.4.
|
Limitation
|
30
|
16.5.
|
Relief
|
30
|
16.6.
|
Information
Security
|
31
|
17.
|
ASSIGNMENT
|
31
|
18.
|
GENERAL
PROVISIONS
|
32
|
18.1.
|
Notices
and Inquiries
|
32
|
18.2.
|
Construction
|
32
|
18.3.
|
Independent
Contractors
|
33
|
18.4.
|
Survival
|
33
|
18.5.
|
Headings
|
33
|
18.6.
|
Severability
|
33
|
18.7.
|
Governing
Law; Exclusive Venue
|
34
|
18.8.
|
Waiver
of Jury Trial
|
34
|
18.9.
|
Counterpart
Execution
|
34
|
18.10.
|
Entire
Agreement; Amendments
|
34
|
18.11.
|
Parties
in Interest; Limitation on Rights of Others
|
34
|
3
18.12.
|
Waivers;
Remedies
|
34
|
18.13.
|
Force
Majeure
|
34
|
18.14.
|
Disclosure
|
35
|
18.15.
|
Compliance
with Laws
|
35
|
|
SCHEDULE
1.0 PCS
SERVICES
ATTACHMENT
NO. 1 TO SCHEDULE 1.0
SCHEDULE
2.0 MARKETS
SCHEDULE
3.0 APPRAISAL
PROCESS AND PROCEDURES
EXHIBIT
A FORM
OF LETTER OF CREDIT
ii
Sprint
Confidential Information - RESTRICTED
4
Private
Label PCS Services Agreement
This
Private Label PCS Services Agreement is dated as of _____________, 2005
(“Effective Date”) by and between Sprint Spectrum L.P., a Delaware limited
partnership, d/b/a/ Sprint (“Sprint”) and Oblio Telecom L.L.P., a Texas limited
liability partnership (“Purchaser”).
BACKGROUND
A. Sprint
owns PCS licenses and is affiliated with other PCS license owners or PCS service
providers. Sprint and its Sprint Service Provider Affiliates own and operate
the
Sprint Network and provide PCS services in the United States.
B. Subject
to this Agreement, Purchaser desires to purchase PCS Service from Sprint and
market and sell the service to End Users in the Target Market as Private Label
Service. Sprint desires to sell to Purchaser PCS Service for resale to End
Users.
NOW,
THEREFORE, and in consideration of the mutual promises set forth in this
Agreement, Sprint and Purchaser agree:
OPERATIVE
TERMS
1.
|
Definitions
|
“African
Countries” means Egypt, Ethiopia, Eritrea, Kenya, Morocco, Nigeria and
Sudan.
“Affiliate”
means a person that, directly or indirectly, (i) wholly-owns a party
or
(ii) is a wholly-owned subsidiary of a party, or (iii) is under common control
with a party.
“Agreement”
means the Private Label PCS Services Agreement between Sprint and Purchaser
and
all of its Schedules, Exhibits, Attachments and Addenda, as amended from time
to
time.
“Asian
Countries” means Bangladesh, China, India, Israel, Jordan, Lebanon, Pakistan,
Philippines, Saudi Arabia, Syria, U.A.E. and Vietnam.
“Customer”
means any person, other than Purchaser, purchasing from Sprint (i) PCS
service, including any prepaid service, or (ii) any other services offered
for sale by Sprint.
"Confidential
Information" means (i) this Agreement and the discussions, negotiations and
proposals related to this Agreement and (ii) any information exchanged in
connection with this Agreement concerning the other party's business including,
tangible, intangible, visual, electronic, written, or oral information, such
as:
(a) Sprint Data and trade secrets, (b) financial information and pricing, (c)
technical information, such as research, development, procedures, algorithms,
data, designs, and know-how, and (d) business information, such as operations,
planning, marketing interests, and products, whether, under each of the clauses
(i) and (ii) of this definition, received directly or indirectly from the other
party, or in the case of Sprint, from Sprint Customers.
"Contract
Year" means each 12 month-period starting on the In Service Date and every
anniversary date thereafter.
“European
Countries” means Czech Republic, Poland and Romania.
“Effective
Date” has the meaning assigned to the term in the Preamble.
Sprint
Confidential Information - RESTRICTED
5
“End
User” means any person purchasing Private Label Service from
Purchaser.
“ESN”
means the electronic equipment number for each handset in a form satisfactory
to
Sprint.
“Facilities”
means the telecommunications switching equipment, cell site transceiver
equipment, connecting circuits, software and other equipment installed,
maintained, expanded, modified or replaced by Sprint to render PCS Service
within a Market.
“FCC”
means the Federal Communication Commission or any successor agency.
“Governmental
Authority” means any nation or government, or any state or other political
subdivision thereof, or any entity exercising executive, legislative judicial,
regulatory or administrative functions of or pertaining to government, including
the FCC.
“Handset
Proprietary Information” means (i) Sprint’s preferred roaming list, as
changed by Sprint, in its sole discretion, from time to time, (ii) software
implementing Sprint’s handset user interface design features and structure,
developed and installed in handsets with or for Sprint by manufacturers under
agreements preserving Sprint’s proprietary rights therein, including changes,
updates, modifications and enhancements to the software which may be effected
from time to time during the term of this Agreement by Sprint, its agents or
vendors; and (iii) software effecting compatibility between handsets and the
Facilities and any ancillary systems, developed and installed in handsets with
or for Sprint by manufacturers under agreements preserving Sprint’s proprietary
rights therein, including changes, updates, modifications and enhancements
to
the software which may be effected from time to time during the term of this
Agreement by Sprint, its agents or vendors, which software is embodied in
firmware or read-only memory (programmable or otherwise) or both associated
with
handsets which may be delivered to Purchaser by or on behalf of a manufacturer
authorized under the Private Label Operations Manual.
“In
Service Date” means the date that Purchaser first has End Users activated in any
Market under this Agreement.
"IRs"
means Purchaser's Independent Representatives, who are independent contractors
of Purchaser authorized to sell Purchaser's products and services on behalf
of
Purchaser as specified by Purchaser from time to time.
“Latin
American Countries” means Brazil, Columbia, Cuba, Dominican Republic, El
Salvador, Guatemala, Haiti, Honduras, Jamaica and Mexico.
“License”
means the PCS license issued by the FCC to Sprint or a Sprint Service Provider
Affiliate.
“MDN”
means a mobile dialing telephone number assigned to a handset by Sprint under
Section 6.5.
“Net
End
Users" means the number of End Users that activate Private Label Service through
a particular point in time or during a specified period in the Markets minus
the
total number of End Users that deactivate Private Label Service during the
same
period in the Markets. For purposes of this definition, each MDN activated
by an
End User shall count as a separate End User.
Sprint
Confidential Information - RESTRICTED
6
“PCS”
means all radio communications that encompass mobile and ancillary fixed
communication as set forth in 47 C.F.R. Part 24.5, which as of the
Effective Date utilizes frequency bands approaching 1.9 gigahertz in
broadband.
“PCS
Service” means the circuit-switched/2G and 3G service provided to Purchaser by
Sprint including the Sprint Data Transport Service, Sprint Data Service and
Short Messaging Service as more particularly described in Schedule
1.0
(PCS
Service and Pricing). PCS Service does not include Roaming.
“Prepaid”
means a voice and data service that (i) is paid for prior to its availability
for use; (ii) that once used (and not replenished) is discontinued; (iii) for
which the charges to the End User’s account are per minute or other appropriate
unitized measure of usage; and (iv) for which no invoice is delivered to the
End
User.
“Private
Label Operations Manual” means Sprint’s standard operations manual concerning
the sale of PCS Service to private label Customers. The manual may be amended
by
Sprint, in its sole discretion, from time to time.
“Private
Label Service” means the PCS Service provided by Purchaser to its End Users
under Purchaser’s label, brand and marks, utilizing the PCS Service provided to
Purchaser by Sprint under this Agreement.
“Roaming”
means any wireless telecommunication service that does not use the Sprint
Network.
“Security”
has the meaning assigned to the term in Section 7.6.
“Security
Standards” means commercially reasonable security features in all material
hardware and software systems and platforms that Purchaser uses to access
Sprint’s Confidential Information
“SMS”
or
“Short Messaging Service” means to receive 2G circuit-switched short
alphanumeric messages on an End User’s handset, as further described in Schedule
1.0.
“Sprint
Data”
means
all information collected or developed by (i) Sprint or a Sprint Affiliate
regarding Sprint Customers or (ii) by Purchaser regarding Sprint Customers
(but
only in their capacity as Sprint Customers), including, under each of the
clauses (i) and (ii) of this definition, location-based information, all phone
or other identification numbers issued to Sprint Customers, all electronic
serial numbers, all Sprint Customers personalization information and all
automatic number identification information and all information described in
the
Federal Communications Commission's definition of "Customer Proprietary Network
Information" as set forth in 47 USC Section 222(h)(1) (as amended and
interpreted from time to time).
“Sprint
Data Services” means those 3G services listed as Sprint Data Services in
Schedule 1.0, as described in more detail in this Agreement, Schedule 1.0 and
the Private Label Operations Manual.
“Sprint
Data Transport Service” means the transmission of 3G data packets using CDMA
technology, specifically 1xRTT packet switched systems.
“Sprint
Handset” is a Sprint-branded or other wireless phone that was designed for use
of the Sprint retail service.
Sprint
Confidential Information - RESTRICTED
7
“Sprint
Market” or “Market” means the area or areas set forth in Schedule 2.0
(Sprint Markets) in which PCS Service is made available to Purchaser directly
by
Sprint. From time to time during the term of the Agreement, Sprint may add
new
Markets to Schedule 2.0 by providing written notice to Purchaser of such new
Markets.
“Sprint
Network” means the CDMA network owned and operated by Sprint and the Sprint
Service Provider Affiliates.
“Sprint
Service Provider Affiliate” means an entity that provides mobile wireless
telecommunications products and services under the “Sprint” or “Sprint Spectrum”
service marks or any other service marks subsequently used by Sprint pursuant
to
an arrangement with Sprint under which the Sprint Service Provider Affiliate
constructs wireless network coverage and performs operational functions in
defined geographic areas.
“Target
Market” means first and second generation immigrants to the United States from
African Countries, Asian Countries, European Countries and Latin American
Countries.
“Taxes”
means all taxes, including federal, state or local sales, use, excise, gross
receipts or other taxes or tax-like fees imposed on or with respect to PCS
Service, excepting only taxes on the net income of Sprint, unless expressly
provided otherwise in this Agreement.
2.
|
Purchaser
Relationship
|
2.1.
|
General
|
Under
this Agreement, Sprint will provide and sell PCS Service to Purchaser. Purchaser
will purchase the PCS Service from Sprint and pay Sprint for the PCS Service
as
more specifically described in Schedule 1.0.
Sprint
authorizes Purchaser to market and sell the PCS Service as Private Label Service
in the Markets only to End Users in the Target Market, and as more fully
described in this Agreement.
2.2.
|
Limited
Purpose
|
The
parties acknowledge and agree that Purchaser is a limited purpose reseller
that
will offer Private Label Service only as a Prepaid product offering to the
Target Market. All marketing-related and distribution activities by Purchaser
for Private Label Service will be directed to the Target Market only. While
all
of Purchaser’s marketing and distribution efforts related to the Private Label
Service will be directed at the Target Market only, sales by Purchaser of
Private Label Service to End Users not within the Target Market will not be
a
breach of this Agreement.
2.3.
|
Control
of Facilities
|
No
provision of this Agreement will be construed as vesting in Purchaser any
control whatsoever in any facilities and operations of Sprint, including the
Facilities, or the operations of any Sprint Service Provider Affiliate or
contractual third party of Sprint.
2.4.
|
No
Sale to Other Resellers of
Services
|
Purchaser
will not, directly or indirectly, (i) solicit, entertain or accept any offer
of
any reseller or (ii) enter into any agreement or other arrangement, to sell
or
otherwise offer a reseller Private Label Service, unless otherwise required
by
applicable law. PCS Service purchased by a reseller does not contribute to
Purchaser’s Minimum Performance Standards under Schedule
1.0 or
any of
Purchaser’s other service volume or financial requirements.
Sprint
Confidential Information - RESTRICTED
8
2.5.
|
No
Bait and Switch
|
Purchaser
may not offer, advertise or market Private Label Service in any Market with
the
intent to attract potential customers and planning to sell such potential
customers another telecommunications service in place of the Private Label
Service provided under this Agreement. If Purchaser discovers or is informed
that any of its employees, agents or representatives are engaging in such
activities, Purchaser will immediately take all steps necessary to eliminate
such activity. Nothing in this Section 2.5 prohibits Purchaser from offering
other telecommunications services in each Market.
2.6.
|
Sales
through Independent Representatives
|
Purchaser
may sell Private Label Service to the Target Market through its IRs, but
Purchaser will be responsible for all aspects of the calculation and payment
of
any commissions or other payments of any kind to its IRs. Purchaser will be
solely responsible for ensuring that its IRs comply with all the terms and
conditions of this Agreement.
2.7.
|
Pricing
Severability
|
The
provisions of this Section 2
and the
pricing provisions contained elsewhere in this Agreement are not severable,
as
the price was premised upon the Minimum Performance Standards negotiated by
the
parties.
3.
|
Sprint
Term
|
3.1.
|
General
|
Sprint
Confidential Information - RESTRICTED
9
Subject
to the breach and early termination provisions set forth in
Section 14,
the
term of this Agreement and all Markets in Schedule 2.0 will be for a period
of 5
years commencing on the In Service Date (the “Term”). After the 5-year term
expires, the Agreement will renew for successive 1-year terms until a party
gives the other party 120 days advance notice of its intent not to renew the
Agreement.
3.2.
|
Phase-Out
Period
|
Upon
expiration of the Agreement or upon early termination of this Agreement, the
applicable phase-out period set forth in Section 14.3
applies.
During the phase-out period, all provisions of this Agreement continue to apply,
current or future minimum performance, service or volume levels. Sprint may
reduce its support requirements to levels commensurate with declining subscriber
volume and reduced new End User additions, if any.
4.
|
Conditions
Precedent
|
As
conditions precedent to Sprint’s obligation to provide and sell PCS Service to
Purchaser under this Agreement:
(i)
|
Sprint’s
executive management must have approved Sprint’s execution of and
performance under this Agreement;
|
(ii)
|
Purchaser
must have delivered to Sprint a duly executed copy of this Agreement;
and
|
(iii)
|
Purchaser
must have provided to Sprint the
Security.
|
Sprint
Confidential Information - RESTRICTED
10
5.
|
Representations
and Warranties
|
Each
party makes the following representations and warranties, as applicable, as
of
the Effective Date:
5.1.
|
Due
Incorporation or Formation; Authorization of
Agreements
|
The
party
is a partnership duly organized, validly existing and in good standing under
the
laws of the jurisdiction of its organization. The party has the full power
and
authority to execute and deliver this Agreement and to perform its obligations
under this Agreement.
5.2.
|
No
Conflict; No Default
|
Neither
the execution, delivery and performance of this Agreement nor the consummation
by the party of the transactions contemplated in this Agreement will conflict
with, violate or result in a breach of (a) any applicable law, regulation,
order, writ, injunction, decree, determination or award of any Governmental
Authority, (b) any of the terms, conditions or provisions of the
certificate of organization, bylaws or other governing documents of the party,
or (c) any material agreement or instrument to which the party is or
may be
bound or to which any of its material properties, assets or businesses is
subject. Neither party has received any currently effective notice of default
under any agreement that is required for it to perform under this
Agreement.
5.3.
|
Litigation
|
There
are
no actions, suits, proceedings or investigations pending or, to the knowledge
of
the party, threatened against or affecting the party or any of its properties,
assets or businesses in, before or by any Governmental Authority which could,
if
adversely determined, reasonably be expected to have a material adverse effect
on the party’s ability to perform its obligations under this
Agreement.
6.
|
Scope
of PCS Service
|
6.1.
|
PCS
Service
|
Sprint
will provide to Purchaser the PCS Service more specifically described in
Schedule 1.0
in the
Markets set forth in Schedule
2.0.
6.2.
|
Limitation
on Scope of PCS
Service
|
6.2.1.
|
General
|
Purchaser
acknowledges and agrees as follows:
(i)
|
PCS
Service is available to compatible Sprint-certified handsets (see
Section 8.1.1)
only within the operating range of the Sprint
Network;
|
(ii)
|
PCS
Service may be temporarily refused, interrupted, curtailed or otherwise
limited because of transmission limitations caused by any factor,
including atmospheric, environmental or topographical conditions,
Facilities limitations or constraints, or Facilities changes,
modifications, updates, relocations, repairs, maintenance or other
similar
activities necessary for the proper or improved operation of the
Facilities; and
|
Sprint
Confidential Information - RESTRICTED
11
(iii)
|
PCS
Service will be of a quality or clarity comparable to PCS services
provided by Sprint to similarly situated
Customers.
|
6.2.2.
|
Availability
of Facilities and Licenses
|
Sprint’s
obligation to provide PCS Service to Purchaser is conditioned on Sprint’s
ability to obtain, retain and maintain, without unreasonable expenses, suitable
Facilities and licenses, including the License for each Market.
6.2.3.
|
Highly
Concentrated Usage
|
If
Purchaser or End Users create situations that cause highly concentrated usage
in
limited areas on the Sprint Network, Purchaser and End Users may encounter
temporary capacity constraint related symptoms, such as excessive call blocking
or call dropping. Sprint is not liable to Purchaser or End Users with respect
to
any claim or damage related to or arising out of or in connection with (i)
any
such temporary capacity constraint, (ii) any coverage gap or (iii) any temporary
PCS Service refusal, interruption, curtailment or other limitation described
in
Section 6.2.1(ii)
Purchaser
may notify Sprint of anticipated highly concentrated usage by End Users in
a
particular area on the Sprint Network, including any anticipated temporary
capacity constraint related symptoms. Upon receipt of Purchaser's notice, Sprint
may decide to address the constraint, and if so, the action that Sprint deems
appropriate under the circumstances, in its sole discretion.
6.2.4.
|
Sprint
Data Services
|
In
accordance with the Agreement, Schedule 1.0 and the Private Label Operations
Manual, Purchaser’s End Users may access the Sprint Data Services. With respect
to Sprint Data Services, Purchaser acknowledges and agrees that:
(i)
|
Purchaser
will be charged the fees set forth in Schedule 1.0 for Sprint Data
Services.
|
(ii)
|
For
the Sprint-managed Sprint Data Services solution, Sprint
will control the user interface, including the menu screen default
settings and functionality that will be available to the End User
on the
End User’s handset. Purchaser will not directly or indirectly alter or
modify the handset browser content or data settings available to
the End
User, nor will it enable its End Users to do so. Purchaser will not
supply
any handset data content or services to the End User except to the
extent
specifically authorized by Sprint in writing. If Purchaser directly
or
indirectly violates any portion of this subsection, Sprint will have
the
right, to be exercised in its sole discretion, to terminate Purchaser’s
ability to resell all or any part of Sprint Data Service and terminate
Purchaser’s End User’s ability to access all or any part of the wireless
data services.
|
Sprint
is
not a publisher of third party content that can be accessed through Sprint
Data
Services. Sprint is not responsible to Purchaser or its End Users for any
content, including information,
Sprint
Confidential Information - RESTRICTED
12
opinions,
advice, statements or services that are provided by third parties and accessible
through Sprint Data Services or any damages resulting there from. Sprint does
not guarantee the accuracy, completeness or usefulness of information that
is
obtained through the Sprint Data Services. Sprint makes no representations
or
warranties regarding the provider, scope or nature of the content or services
that will be available by default to the End User. The inclusion of any content
in the default settings on the End User’s handset is not an endorsement or an
acceptance of any liability with respect to the content.
6.2.5.
|
Electronic
Text Messaging
|
Purchaser
will comply and will ensure that its billing agent, IRs and End Users comply
with all applicable laws and/or regulations of a governmental agency regarding
electronic text messaging. If Sprint reasonably determines that Purchaser,
any
of its End Users, IRs or billing agent is not complying with any applicable
laws
and/or regulations, Sprint will have the right to immediately discontinue the
provision of Short Messaging Service to the non-complying party until such
time
as the noncompliance is remedied in Sprint’s reasonable opinion.
6.2.6.
|
Purchaser
Short Messaging Service
|
All
Purchaser SMS must be sent through a dedicated connection to the Bulk Messaging
Gateway (“BMG”) pre-approved in writing by Sprint. Purchaser SMS must be sent
using short message peer-to-peer (SMPP) protocol. If Sprint reasonably
determines that Purchaser is in breach of any of the terms of this Section
6.2.6,
in
addition to any other remedies Sprint may in its sole discretion, and in
addition to any other rights and remedies it may have under this Agreement,
immediately discontinue the provision of Purchaser SMS.
6.2.7.
|
End
User Short Messaging Service
Security
|
Currently,
Sprint’s End User SMS system is run through a dedicated IP address on its BMG.
Due to this transmission method, an End User’s MDN or other information may be
transmitted over the Internet when using End User SMS. Purchaser is responsible
for informing its End Users of the risks associated with such End User SMS
use.
Specifically, Purchaser’s web site home page or other End User collateral will
display a link or reference to Purchaser’s disclaimers, including a statement on
the transmission of personal data and an Internet privacy statement, in which
Purchaser clearly warns its End Users about the data privacy risks of using
the
Internet. Further, Purchaser agrees to work with Sprint regarding future
security improvements which may increase the security of such messaging,
including but not limited to, use of frame relay connections or virtual private
network lines.
6.2.8.
|
SMS
Queuing
|
If
an
individual handset is unable to receive a SMS message because the handset is:
(a) turned off; (b) Roaming; or (c) traveling in a Market that does not have
text messaging capabilities, SMS messages will remain in a queue for up to
72
hours. After 72 hours, any SMS message that has not been sent will be deleted.
Currently, the maximum number of SMS messages that can be queued for a single
handset is 30.
Sprint
Confidential Information - RESTRICTED
13
6.3.
|
Sprint
Handset Handling
Services
|
Purchaser
will be responsible for making its own arrangements to purchase compatible,
Sprint-certified and approved handsets from authorized manufacturers or handset
fulfillment vendors as specified in the Private Label Operations Manual. Sprint
may, from time to time, offer to Purchaser the handset handling and logistics
services set forth in the Private Label Operations Manual and Purchaser, if
Purchaser uses those services, will pay for those services as set forth in
Schedule
1.0.
Purchaser will be responsible for making its own arrangements to purchase
accessories from manufacturers selected by Purchaser and arrange for delivery
of
those accessories directly to Purchaser. Sprint will not provide any handling
or
logistics services with respect to accessories. Sprint may, in its sole
discretion, increase, decrease or discontinue the handset handling services
that
it provides to Purchaser, upon reasonable prior notice to Purchaser. Purchaser
will procure and maintain throughout the term of this Agreement, adequate and
appropriate insurance to insure the handsets while they are in transit to or
from Sprint or in Sprint’s possession. Sprint will not be responsible for the
handsets except as otherwise provided in this Agreement.
6.4.
|
Coverage
Maps
|
Sprint
will make coverage maps available to Purchaser for its use as more particularly
described in the Private Label Operations Manual. The maps will not be
materially different from the maps produced by Sprint in connection with
Sprint’s branded services. The map information may depict some future coverage
that may or may not be identified as such. Any Sprint logo or identification
must be removed from map information prior to publication or distribution by
Purchaser. However, the maps will not imply that the network or the facilities
are owned or operated by Purchaser. Purchaser must verify or validate the
coverage shown on the maps and ensure that the coverage depicted on the maps
represents the coverage that Purchaser desires to present to actual and
potential End Users as Purchaser's coverage.
PCS
Service may not be available in all areas shown on the coverage maps due to
a
variety of factors, including relocation or modification of Facilities,
environmental or topographical conditions, such as building configuration,
or
unexpected capacity demands. The maps will not reflect temporary coverage
changes or coverage gaps.
Sprint
is
not liable to Purchaser or End Users for any claim or damage related to or
arising out of or in connection with any map information, including the accuracy
thereof.
6.5.
|
MDN
Pooling
|
Purchaser
will utilize the “MDN Pooling” process as described in the Private Label
Operations Manual to assign MDNs under this Agreement. “MDN Pooling” means that
all Sprint MDNs will be held in a single repository without systematic
sequential numbering restrictions. Sprint may change its policy of MDN
administration with 30 days’ prior written notice to Purchaser.
6.6.
|
Billing
Records
|
Sprint
will regularly provide billing data or other billing records to Purchaser in
accordance with the Private Label Operations Manual. These records will be
free
of material defects. Payment for (i) defective billing records or
(ii) stale billing records, which are records that Sprint did not forward
to Purchaser within the period described in the Private Label Operations Manual,
may be disputed under the procedures set forth in Section 7.4.
Sprint’s billing practices and policies are
Sprint
Confidential Information - RESTRICTED
14
described
in the Private Label Operations Manual. Sprint may xxxx certain charges in
advance, which currently include all monthly recurring charges as listed in
Schedule 1.0. Billed charges (per call or event) that result in fractional
cents
may be rounded up to the next whole cent. Charges for most PCS services are
incurred in one minute increments with partial minutes of use rounded up to
the
next highest minute.
6.7.
|
Private
Label Operations
Manual
|
Purchaser,
on its behalf on and behalf of Purchaser Affiliates, acknowledges receipt of
a
copy of the Private Label Operations Manual, which Sprint may update at its
discretion from time to time. When Sprint issues an updated Private Label
Operations Manual and makes it generally available to its resellers, Sprint
will
provide such updated Private Label Operations Manual to Purchaser.
6.8.
|
Customized
Services
|
If
Purchaser and Sprint mutually agree in writing that Sprint and Purchaser should
investigate the feasibility of providing implementation, customization,
interface development or other specialized services that are not included under
this Agreement (“Customized Services”) the parties will formalize such agreement
through the Work Order Policy & Process contained in the Private Label
Operations Manual. The parties will work under the Work Order Policy &
Process only if they initially agree to investigate the feasibility of providing
Customized Services and nothing in this Section 6.8
will be
construed as an obligation to provide Customized Services.
7.
|
Prices
and Terms of Payment
|
7.1.
|
Payment
of Charges
|
Purchaser
is liable and will pay Sprint for all charges associated with the use of the
PCS
Service by Purchaser. Purchaser will pay to Sprint the charges listed in and
computed as set forth in Schedule 1.0.
Disputed charges are governed by the procedures set forth in Section
7.4.
All
charges under this Agreement are stated in US dollars.
7.2.
|
Invoices
|
Sprint
will provide to Purchaser regular monthly invoices of the charges incurred
by
Purchaser. Purchaser expressly acknowledges that some charges incurred in a
billing cycle may not appear on the invoice or the billing data (or the other
billing record) for that billing cycle and that those charges may appear on
subsequent invoices or billing data or the other billing records; provided,
however, Purchaser shall not be required to pay any charges not invoiced 90
days
from the date incurred. Purchaser will be liable to Sprint for those charges
and
will pay them in accordance with this Section 7.2.
Payment
for each invoice is due by wire transfer within 10 days of the date of
Purchaser’s receipt of the invoice and the billing data or other billing record
(“Due Date”). In its reasonable discretion, Sprint may, modify, change or update
the invoice content and format or the billing cycle with 30 days’ prior notice
to Purchaser provided however, there will be no material change in the invoice
content.
Sprint
Confidential Information - RESTRICTED
15
7.3.
|
Late
Payments
|
For
amounts not disputed in good faith and not paid by the Due Date, Purchaser
will
pay a late payment charge of 1.5% per month (or the maximum amount allowable
under applicable law, whichever is less).
The
applicable late payment interest rate will be applied from the first day the
payment was due for the entire amount that is past due until paid in full.
7.4.
|
Disputed
Charges
|
7.4.1.
|
General
|
Purchaser
may not dispute amounts aggregating less than [*** ]
on any
invoice(s) during a single billing cycle. Purchaser may withhold payment of
the
disputed portion of any invoice until the dispute is resolved under this
Section 7.4.
Purchaser must timely pay the undisputed amount of any invoice as provided
in
Section 7.2.
Upon
resolution of any dispute, payment of any disputed and withheld amount that
is
determined to be due and owing is due and payable within 10 days following
resolution of the dispute as provided in Section 7.2.
Nothing
in this section prohibits Purchaser from informing Sprint of any suspected
billing errors on any invoice.
7.4.2.
|
Standard
Dispute Periods
|
Purchaser
will provide to Sprint written notice of any disputed charges on or before
the
Due Date along with a detailed explanation of the nature of the dispute.
Purchaser’s explanation must detail disputed airtime, toll, Roaming, if
applicable, taxes and other charges specifically, with an explanation for each.
Sprint will provide Purchaser with its determination regarding disputed charges
within 60 days after receipt of Purchaser’s dispute notice and explanation, and
will credit Purchaser’s account, if appropriate, within the 60 day period. If
Purchaser fails to dispute charges within 30 days after the original Due Date,
Purchaser will waive its right to dispute the charges and it must pay the entire
invoice amount. Purchaser may not withhold any amounts from current period
payments for disputes from any subsequent payment under this
Agreement.
7.4.3.
|
Bad
Faith Dispute
|
If
Purchaser withholds payment improperly or without adequate explanation, or
disputes charges without a reasonable good faith basis, then Purchaser will
pay
late charges as set forth in Section 7.3
on all
withheld amounts. Further, if Purchaser disputes charges in bad faith more
than
one time, Purchaser will be in material breach of this Agreement.
7.4.4.
|
Increase
the Amount of Security for Certain Amounts in
Dispute
|
If
the
amount in dispute exceeds, in the aggregate, 10% of the average monthly billing,
Sprint may, in its sole discretion, require Purchaser to increase the Security
(see Section 7.6)
by an
amount equal to 75% of the amount in dispute. Sprint will notify Purchaser
of
any increased Security requirement in writing. Purchaser must post the
additional Security, in the manner described in Section 7.6,
within
10 days of receipt of Sprint’s notice. Sprint will not request an increase in
Security for disputed amounts that Sprint believes are likely to be credited
to
Purchaser’s account.
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
16
7.5.
|
Taxes
and Other Levies by Governmental Authorities
|
7.5.1.
|
Taxes
|
Purchaser
will provide to Sprint valid and complete resale exemption certificates for
PCS
Service purchased from Sprint and resold to End Users. Purchaser is solely
responsible for the computation, billing, and collection of all applicable
Taxes
to End Users on PCS Service purchased from Sprint and resold as Private Label
Service to End Users. Purchaser is solely responsible for the timely and
accurate remittance of those Taxes to the appropriate tax jurisdictions. If
Sprint is required to remit Taxes for PCS Services resold to End Users directly
to a tax jurisdiction, Sprint will invoice Purchaser for those Taxes and
Purchaser will pay them to Sprint under Section 7.2.
7.5.2.
|
Other
Levies by Governmental
Authorities
|
Purchaser
is solely responsible for the timely and accurate remittance of other levies
by
Governmental Authorities or under Governmental Authorities’ orders (i) on PCS
Service, (ii) mandated to be paid in proportion to receipts from Private Label
Service, or (iii) mandated to be paid in connection with the provision of
Private Label Service, including Universal Service Fund (“USF”) fees. If
Purchaser claims an exemption, Purchaser will provide to Sprint a valid and
complete exemption certificate. If Sprint is required to remit those levies
directly to the Governmental Authority, Sprint will invoice Purchaser for them
and Purchaser will pay them to Sprint under Section 7.2.
7.6.
|
Security
and Security Interest in Purchaser’s
Receivables
|
7.6.1.
|
Security
|
To
secure
Purchaser’s obligations under this Agreement, Purchaser will provide (at
Purchaser’s sole expense) an irrevocable letter of credit in the form attached
hereto as Exhibit
A
and in
the amount of [*** ]
from
a
financial institution reasonably acceptable to Sprint with Sprint named as
the
beneficiary (“Security”).
Purchaser
will maintain the Security and arrange for any necessary renewals and
replacements, for a reasonable term determined by Sprint. Unless Sprint notifies
Purchaser otherwise in writing, the term will continue until 120 days after
the
expiration of all applicable phase-out periods under this Agreement. Sprint
will
be entitled to payment of amounts due Sprint by means of a draw against the
Security if Purchaser does not pay by the Due Date or is otherwise in breach.
If
Sprint is required to draw on the Security, Purchaser will replenish the
Security within 10 days of Sprint’s draw. Notwithstanding the foregoing, Sprint
may, in its sole discretion, with
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
17
30
days
advance written notice change the appropriate type and increase or decrease
the
amount of the Security. Sprint will not set any commercially unreasonable
Security requirements, taking into consideration Purchaser’s reported
creditworthiness, payment history with Sprint, monthly charges and any other
indicia of Purchaser’s creditworthiness. Sprint’s obligation to continue to
provide PCS Service under this Agreement, including permitting Purchaser to
add
new End User accounts, is conditioned upon Purchaser maintaining (i) the
Security required by Sprint from time to time and (ii) good credit standing
with
Sprint.
Unless
otherwise agreed by Sprint in writing, 120 days after expiration of all
applicable phase-out periods, Sprint will be entitled to payment of
its
final xxxx and any other outstanding bills or other amounts due Sprint by means
of a draw against the Security if Purchaser does not pay each of those bills
or
any other amounts when due.
8.
|
Purchaser
Rights and Obligations
|
8.1.
|
Handsets
|
8.1.1.
|
Compatibility
|
Purchaser
will use, and will require its End Users to use, only handsets
that:
(i)
|
are
compatible with the PCS Service, the Sprint Network, and the Facilities;
|
(ii)
|
comply
with Sprint’s requirements for compatibility of handsets with the PCS
Service and the Facilities, including the successful completion of
Sprint’s handset certification process and the use of the Handset
Proprietary Information licensed to Sprint under Section 8.1.3,
and
|
(iii)
|
comply
with all applicable FCC or state legal requirements for compatibility
of
handsets with the PCS Service and the Facilities.
|
If
any
handset used by an End User does not comply with the standards set forth in
this
Section 8.1.1, Purchaser will ensure that the handset is not used and,
if
necessary, terminate the use, or terminate the Private Label Service to the
offending End User.
8.1.2.
|
Conversion
of Sprint Phones
|
(i)
|
If
Purchaser acquires Sprint Handsets from Sprint handset distributors
(e.g.,
RadioShack; BestBuy), Sprint agents or retail stores and activates
them on
service under this Agreement, Sprint will charge Purchaser a fee
of
[*** ]
per handset plus applicable taxes.
|
**
CERTAIN INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
18
(ii)
|
If
Purchaser targets Sprint retail customers and activates them on service
under this Agreement using their Sprint Handset that has not been
deactivated for at least 60 days, Sprint will charge Purchaser a
fee of
[***]per
handset plus applicable taxes.
|
(iii)
|
Purchaser
will not be liable for a fee of [***]
(plus applicable taxes) under this section if Sprint directs its
retail
subscribers to sign up for service directly from
Purchaser.
|
8.1.3.
|
Sprint
License
to Use Certain Handset Proprietary Information in Handsets Using
the
Private Label Service
|
For
the
term of and subject to this Agreement, Sprint grants to Purchaser a
non-transferable, royalty-free, non-exclusive license to use and sell at retail
the Handset Proprietary Information, in object code form, solely to permit
Purchaser and End User’s to use the Private Label Service. Except as provided in
this Section 8.1.3,
Purchaser may not assign or sublicense any of its license rights or copy,
change, alter or modify the Handset Proprietary Information.
8.1.4.
|
No
Sprint Responsibility
|
Sprint
will not be responsible to Purchaser or any End User for the operation, testing
or maintenance of any handsets. Sprint also will not be responsible for
Purchaser’s handsets during transportation, handling, transfer, loading or
unloading or any other time, except as otherwise provided in the Private Label
Operations Manual. Sprint will not be required to make any changes,
modifications or additions to its equipment, operations or Facilities to
accommodate Purchaser or the handsets provided by Purchaser.
8.1.5.
|
Provision
of ESN
|
Before
Purchaser makes handsets available for sale to End Users or retailers in
connection with providing Private Label Service, Purchaser will provide to
Sprint the ESN for each End User handset in accordance with the Private Label
Operations Manual.
8.2.
|
Purchaser
Staff
|
8.2.1.
|
General
|
Purchaser
will provide, at its sole expense, an adequate and properly trained staff
(including, but not limited to, Purchaser’s IRs and other
contractors):
(i)
to
market
Private Label Service and to support and train End Users with respect to the
Private Label Service; and
(ii)
to
receive, investigate, and verify all complaints from End Users relating to
PCS
Service or Private Label Service.
Purchaser
will report any trouble with respect to the Private Label Service to Sprint
only
upon reasonable verification that the trouble is due to reasons other than
misuse or malfunctioning of End User handsets, the failure of those handsets
to
meet standards for compatibility with PCS Service or other elements or
conditions within the reasonable control of Purchaser.
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
19
8.2.2.
|
No
Sprint Responsibility or Liability for Purchaser
Staff
|
The
staff
employed or contracted for by Purchaser to perform services for Purchaser are
not employees or agents of Sprint and Purchaser assumes full responsibility
and
liability for their acts and omissions, including compliance by its staff
(including its IRs and other contractors) with this Agreement, applicable
federal, state and local laws, regulations, and judicial or regulatory orders,
and relevant industry standards. All staff will be employed or contracted for
at
Purchaser’s sole expense and Purchaser will be solely responsible for all
employment benefits and withholding issues, including, workers’ compensation,
disability benefits, unemployment insurance or withholding income taxes and
social security.
8.3.
|
Ethical
Responsibility
|
Purchaser
will refrain from doing anything that could or could tend to discredit,
dishonor, reflect adversely upon, or in any manner injure the reputation of
Sprint or its Customers. Purchaser will be governed in all of its dealing with
the public and with respect to this Agreement by the highest standards of
honesty, integrity and fair dealing.
8.4.
|
Purchaser’s
Responsibility and
Liability
|
Purchaser
will be responsible and liable for all services provided to End Users, such
as
End User credit verification, billing, collection, customer service, and all
support necessary to provide Private Label Service and all risks and expenses
in
connection with, related to or arising out of the provision of Private Label
Service. Purchaser
will not make any representation, warranty or covenant to any End User that
would misrepresent or conflict with this Agreement. Purchaser
may provide written terms and conditions of service to End Users. Upon Sprint’s
reasonable request, Purchaser will provide to Sprint all materials that
Purchaser makes available to any End User for Sprint’s review to determine
compliance with this Agreement. Purchaser may delete non-public price
information prior to submitting those materials for Sprint’s review. Sprint will
notify Purchaser if any sections need to be modified or deleted in order to
ensure compliance with this Agreement and Purchaser will comply with Sprint’s
reasonable request. Purchaser will not use any information about its End User’s
data usage for any improper or unlawful purpose and it will protect the
information in accordance with its own privacy policies. All information
provided to Sprint pursuant to this Section shall be considered Purchaser
Confidential Information.
8.5.
|
Purchaser’s
Responsibility for Fraud
|
Purchaser
will not, and will not permit its agents, employees, IRs or representatives
to,
and will take commercially reasonable actions to ensure that its End Users
do
not, engage in fraudulent activities, including adopting policies and procedures
designed to limit or prevent fraudulent activities and using commercially
reasonable means to enforce such policies and procedures. Purchaser is
responsible for all costs and procedures associated with End User fraud, such
as
subscription fraud, usage on lost or stolen handsets that Purchaser fails to
deactivate, or fraud occurring in connection with Purchaser’s agents, employees
or representatives, such as employee-related theft. The provisions governing
“Cloning Fraud” are set forth in Section 9.3
and the
provisions governing fraud on a Roaming provider’s network are set forth in
Section 9.2.3.
Sprint
Confidential Information - RESTRICTED
20
8.6.
|
Interference
|
Purchaser’s
agents, employees, IRs, representatives and End Users may not interfere with
the
Facilities, the Sprint Network or the PCS Service in a way as to impair the
quality of service provided by Sprint to its Customers. Notwithstanding this
prohibition, upon discovery of the interference by either Sprint or Purchaser,
the party discovering the interference will promptly notify the other party
and
Purchaser will promptly order the agent, employee, IR, representative or End
User to cease the act(s) constituting the interference. Sprint, concurrent
with
notice to Purchaser, may terminate the PCS Service to the End User and require
Purchaser to take appropriate action to eliminate the use or interference by
the
agent, employee, IR, representative or End User.
8.7.
|
Purchaser’s
Reports to Sprint
|
Purchaser
will provide to Sprint, quarterly, no later than 15 days following the end
of
the quarter, on a per Market basis a rolling 12 month forecast of increases
and
decreases of End Users, call volumes and any other information or report
required under the Private Label Operations Manual.
8.8.
|
Subpoena
Compliance
|
If
a law
enforcement agency contacts Purchaser with a subpoena relating to End User
MDN
billing records or End User information, including but not limited to, End
User
name, address and credit information, Purchaser must honor the subpoena by
providing the requested information to such law enforcement agency within the
timeframe specified in the subpoena. If the subpoena requests information not
provided by Sprint to Purchaser in its normal billing practice, Purchaser must
promptly contact the Sprint representative designated in the Private Label
Operations Manual for assistance in compliance so that the timeframe specified
in the subpoena can be met. If Purchaser either: (a) fails to provide the End
User phone records requested in the subpoena; (b) fails to provide the End
User
phone records requested in the subpoena within the timeframe specified in the
subpoena; or (c) fails to promptly contact the designated Sprint representative
for assistance when the subpoena requests information not provided by Sprint
to
Purchaser in its normal billing practice, and if Sprint is fined by a court
of
law as a direct result of Purchaser’s failure described in (a), (b) or (c)
above, Purchaser will reimburse Sprint for the amount of such fine.
8.9.
|
Electronic
Surveillance
|
If
a law
enforcement agency issues a court order to Purchaser relating to electronic
surveillance of an End User MDN, Purchaser shall confirm all End User
information contained in the court order to such law enforcement agency and
will
promptly contact the Sprint representative designated in the Private Label
Operations Manual for technical assistance in performing the electronic
surveillance. If Purchaser either: (a) fails to confirm the End User information
as requested in the court order; or (b) fails to promptly contact the Sprint
representative designated below for technical assistance in performing the
electronic surveillance, and if Sprint is fined by a court of law as a direct
result of Purchaser’s failure described in (a) or (b) above, Purchaser will
reimburse Sprint for the amount of such fine.
Sprint
Confidential Information - RESTRICTED
21
9.
|
Sprint’s
Rights and Obligations
|
9.1.
|
Modifications
|
Sprint
may, in its sole discretion, change or update the Facilities or Sprint’s
operations, equipment, software, procedures or services. Sprint will not be
liable to Purchaser or to End Users if those modifications, changes or updates
require changes to, updates of or modifications of Purchaser’s or End Users’
handsets or other products, accessories, systems or procedures, provided that
such changes or updates do not have an adverse effect on End Users that is
disproportionate in comparison to the effect on Customers. Sprint will give
Purchaser commercially reasonable advance notice of any material modifications,
changes or updates. Sprint may, in its sole discretion, offer service products
that are not part of the PCS Service. Sprint will use the same efforts to avoid
any material adverse impact on End Users that it uses to avoid material adverse
impacts on its Customers.
9.2.
|
Roaming
Services
|
9.2.1.
|
General
|
Sprint
will make Roaming available to Purchaser in any portion of any area in which
Sprint has a Roaming agreement on the terms and conditions contained in that
agreement and the prices set forth in Schedule
1.0.
Purchaser hereby acknowledges and agrees that Sprint is not responsible for
the
billing practices, service charges or availability of Roaming provided by
Roaming providers, and that Sprint is not obligated to provide Roaming in areas
in which Sprint has not entered into Roaming agreements or loses its Roaming
agreements. Manual Roaming may be available dependent on the arrangements
established and the level of service provided by each Roaming
provider.
9.2.2.
|
Blocking
Roaming
|
Purchaser
may request that Sprint block Roaming for all its End Users. If Purchaser
requests this, Sprint will remove all Roaming switches from the list of switches
permitted to complete calls for Purchaser’s End Users. Due to transmission
limitations described in Section 6.2.1(ii) of the Agreement, if a Roaming switch
does not receive a ‘deny access’ response from the Sprint Network and such
Roaming switch is programmed so that no response from the Sprint Network means
that it will allow the call to proceed on the Roaming switch, a Roaming switch
may complete a Roaming call for an End User(s). In such case, Purchaser will
be
liable for Roaming charges at the rate set forth in Schedule 1.0.
9.2.3.
|
Disputes
Concerning Roaming
|
If
a
material dispute concerning charges for Roaming minutes occurs, Sprint will
process the dispute with the Roaming provider in accordance with Sprint’s
Roaming agreement. A dispute is considered material if the amount in dispute
exceeds [***]
in
the
aggregate during any single billing cycle. If the Roaming provider provides
an
adjustment to Sprint for the disputed charges, Sprint will credit that
adjustment to Purchaser. In no event will the credit exceed the Roaming charges
that Sprint billed to Purchaser. Roaming fraud is Purchaser’s responsibility and
Sprint does not accept any responsibility for End Users being billed for
fraudulent calls placed on a Roaming provider’s network.
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
22
9.3.
|
Sprint
Network Fraud Detection
and Responsibility
|
Sprint
will monitor, using its customary and ordinary procedures available from time
to
time with the fraud detection services provided to Customers to detect
fraudulent calls on the Sprint Network made using Purchaser’s MDNs. The terms
“fraudulent calls made using Purchaser’s MDNs” means calls associated with the
loading by an unrelated and independent third party of a MDN/ESN combination
onto a wireless device to use the PCS Service, as more specifically defined
in
the Private Label Operations Manual (“Cloning Fraud”). Sprint makes no guarantee
that any or all Cloning Fraud will be detected. Sprint will notify Purchaser
(electronically, orally or in writing, as Sprint deems appropriate) of the
detection by Sprint of “suspected” and “definitive” Cloning Fraud, as those
terms are defined in the Private Label Operations Manual. Sprint will determine,
in its sole discretion, whether an incident of Cloning Fraud is suspected or
definitive, without any liability to Purchaser. Sprint and Purchaser will both
designate a single point of contact to expedite the notices required under
this
Section 9.3,
which
contacts may be changed at any time with reasonable prior written notice to
the
other party. Sprint will track and process any credits requested by Purchaser
and associated with suspected and definitive Cloning Fraud, only if the Cloning
Fraud exceeds a minimum threshold of [***]
in
the
aggregate during any single billing cycle. Sprint’s customary and ordinary
procedures, as available from time to time, to detect fraudulent calls made
using Purchaser’s MDNs on the Sprint Network will not be inferior to the fraud
detection provided by Sprint to Customers.
9.3.1.
|
Suspected
Cloning Fraud on the Sprint Network
|
In
case
of suspected Cloning Fraud, Sprint will not terminate PCS Service to that MDN,
unless Purchaser directs Sprint to terminate PCS Service. If Purchaser directs
Sprint to terminate service to the affected MDN, Sprint will absorb the costs
associated with that Cloning Fraud on the Sprint Network for up to [***]
from
the
time Sprint provided notice of detection to Purchaser, and Purchaser will be
responsible for all charges after expiration of the [***]
period.
If Purchaser does not request termination of service to the affected MDN,
Purchaser will be responsible for all charges.
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
23
9.3.2.
|
Definitive
Cloning Fraud on the Sprint
Network
|
In
case
of definitive Cloning Fraud, Sprint will terminate service to the affected
MDN
concurrently with notice of detection to Purchaser. Failure of authentication
may be considered definitive Cloning Fraud. Sprint will absorb the costs
associated with that Cloning Fraud on the Sprint Network. If Purchaser
reactivates the End User or overrides Sprint’s deactivation of PCS Service, then
Purchaser is responsible for all Cloning Fraud and any other fraud or similar
activity on the End User account, but only if Sprint has informed Purchaser
in
writing that the End User was deactivated because of Cloning Fraud.
9.4.
|
Sprint’s
Reports to Purchaser
|
Sprint
will provide to Purchaser the reports specified in the Private Label Operations
Manual.
10.
|
Limitations
of Warranties and
Liabilities
|
10.1.
|
No
Warranties
|
Sprint
makes no warranties, express or implied, regarding the PCS Service or, if
applicable, any equipment, product or other good provided by Sprint.
Specifically, all implied warranties are disclaimed, including any warranties
of
merchantability, fitness for a particular purpose, use, or non-infringement.
No
one is authorized to make any warranty on Sprint’s behalf, and Purchaser can not
rely on any statement of warranty. Purchaser acknowledges that Sprint is not
the
manufacturer of any equipment.
10.2.
|
Limitations
on Liability
|
10.2.1.
|
Sole
and Exclusive Remedies
|
The
sole and exclusive remedies of the parties are those expressly set forth in
this
Agreement.
10.2.2.
|
No
Liability for Certain Damages
|
Except
as otherwise provided in this Agreement, including sections
11,
13,
15,
and 16,
neither party is liable to the other for special, indirect, incidental,
exemplary, punitive or consequential damages, including loss of profits, related
to or arising out of a party’s performance under this
Agreement.
11.
|
Trade
Name, Trade Marks and Service
Marks
|
11.1.
|
Sprint’s
Rights
|
Purchaser
recognizes the right, title and interest of Sprint and Sprint Affiliates in
and
to all service marks, trademarks, and trade names used in connection with the
service and products sold by Sprint and Sprint Affiliates, including “Sprint”
and the diamond logo or any other Sprint trademark (“Sprint Marks”). Purchaser
will not engage in any activities or commit any acts, directly or indirectly,
that contest, dispute, or otherwise impair, or that may contest, dispute or
otherwise impair the right, title or interest of Sprint and Sprint Affiliates
therein. Purchaser acknowledges and agrees that nothing in this Agreement grants
to Purchaser the right to use and Purchaser agrees that it will not use any
Sprint Xxxx or any service xxxx, trademark, or trade name that is confusingly
similar to or a colorable imitation of any of the Sprint Marks, including in
any
of Purchaser’s advertisements, and will not incorporate the Sprint Marks into
any service
Sprint
Confidential Information - RESTRICTED
24
xxxx,
trademark or trade name used or developed by Purchaser. Purchaser does not
acquire or claim any right, title or interest in or to the Sprint Marks through
purchase of PCS Service or Products, the provision of Private Label Service
or
otherwise. Notwithstanding the foregoing, to clarify its relationship with
Sprint, Purchaser may use the Sprint Marks (i) as provided in the relevant
section in the Private Label Operations Manual or (ii) with Sprint’s prior
written approval. Upon Sprint’s request, Purchaser will provide to Sprint any
materials using the Sprint Marks for Sprint’s review to determine compliance
with this Agreement. Purchaser may delete non-public price information prior
to
submitting those materials for Sprint’s review. Sprint will use commercially
reasonable efforts to notify Purchaser within 10 business days of receipt of
any
requested materials, if any sections need to be modified or deleted in order
to
ensure compliance with this Agreement. Purchaser must comply with any
adjustments or requests from Sprint on any requested materials and may not
use a
Sprint Xxxx without Sprint’s express written consent.
11.2.
|
Purchaser’s
Rights
|
Sprint
recognizes the right, title and interest of Purchaser and Purchaser’s Affiliates
in and to all service marks, trademarks, and trade names used in connection
with
the service and products sold by Purchaser and Purchaser’s Affiliates
(“Purchaser Marks”). Sprint will not engage in any activities or commit any
acts, directly or indirectly, that contest, dispute, or otherwise impair, or
that may contest, dispute or otherwise impair the right, title or interest
of
Purchaser and Purchaser’s Affiliates therein. Sprint acknowledges and agrees
that nothing in this Agreement grants to Sprint the right to use and Sprint
agrees that it will not use any Purchaser Xxxx or any service xxxx, trademark,
or trade name that is confusingly similar to or a colorable imitation of any
of
the Purchaser Marks and will not incorporate the Purchaser Marks into service
xxxx, trademark or trade name used or developed by Sprint. Sprint does not
acquire or claim any right, title or interest in or to the Purchaser Marks
through sale of PCS Service or products or otherwise.
11.3.
|
Remedies
for Violations
|
The
limitations in Section 10.2
do not
apply to either party’s violations of Section 11.
If
either party violates or threatens to violate Section 11,
the
other party may exercise any right or remedy under this Agreement and any other
right or remedy that it may have (now or hereafter existing) at law, in equity
or under statute. The parties agree that damages for violations of
Section 11
may be
difficult to ascertain or inadequate and that if either party violates or
threatens to violate Section 11,
the
other party may suffer irreparable harm and therefore may seek injunctive relief
in addition to any other right or remedy under this Agreement and any other
right or remedy that it may have (now or hereafter existing) at law, in equity
or under statute. The party that violates or threatens to violate
Section 11
will not
raise the defense of an adequate remedy at law.
12.
|
Insurance
|
Purchaser
must, during the term of this Agreement and at its sole expense, obtain and
keep
in force, the following insurance: (a) Commercial General Liability Coverage,
including personal injury, bodily injury, property damage, operations hazard,
independent contractor coverage, contractual liability, and products and
completed operations liability, in limits not less than $3,000,000 for each
occurrence (combined single limit), with Purchaser named as insured in the
policy and Sprint named as additional insured in the policy; and (b) Worker’s
Compensation and
Sprint
Confidential Information - RESTRICTED
25
Employer’s
Liability insurance. All required insurance policies must be taken out with
reputable national insurers that are licensed to do business in the
jurisdictions where Purchaser is doing business. Purchaser agrees that
certificates of insurance will be delivered to Sprint within 15 days of the
Effective Date. All policies must contain an undertaking by the insurers to
notify Sprint in writing not less than 30 days before any material change,
reduction in coverage, cancellation, or termination of the insurance. The
provision of insurance required in this Agreement will not be construed to
limit
or otherwise affect the liability of Purchaser to Sprint.
13.
|
Indemnification
|
13.1.
|
Purchaser’s
General Third Party
Indemnity
|
Purchaser
will indemnify and defend Sprint, the Sprint Affiliates, and their respective
directors, officers, agents, employees and Customers (each, a “Sprint
Indemnitee”) from and against all claims, damages, losses, liabilities, costs,
expenses and reasonable attorney’s fees (collectively "Damages") arising out of
a claim by a third party against a Sprint Indemnitee resulting from or alleged
to have resulted from any act or omission of Purchaser under or related to
this
Agreement.
13.2.
|
Sprint’s
General Third Party
Indemnity
|
Sprint
will indemnify and defend Purchaser, its Affiliates, and their respective
directors, officers, agents and employees (each, a “Purchaser Indemnitee”) from
and against all Damages arising out of a claim by a third party against a
Purchaser Indemnitee to the extent resulting from or alleged to have resulted
from any act or omission of Sprint under or related to this
Agreement.
13.3.
|
Indemnification
Procedures
|
(i)
|
Promptly,
upon becoming aware of any matter which is subject to the provisions
of
Section 13.1
and 13.2
(a
"Claim"), the party seeking indemnification (the "Indemnified Party")
must
give notice of the Claim to the other party (the "Indemnifying Party"),
accompanied by a copy of any written documentation regarding the
Claim
received by the Indemnified Party.
|
(ii)
|
The
Indemnifying Party will, at its option, settle or defend, at its
own
expense and with its own counsel, the Claim. The Indemnified Party
will
have the right, at its option, to participate in the settlement or
defense
of the Claim, with its own counsel and at its own expense; but the
Indemnifying Party will have the right to control the settlement
or
defense. The Indemnifying Party will not enter into any settlement
that
imposes any liability or obligation on the Indemnified Party without
the
Indemnified Party's prior written consent. The parties will cooperate
in
the settlement or defense and give each other full access to all
relevant
information.
|
(iii) |
If
the Indemnifying Party (i) fails to notify the Indemnified Party
of the
Indemnifying Party's intent to take any action within 30 days after
receipt of a notice of a Claim or (ii) fails to proceed in good faith
with
the prompt resolution of the Claim, the Indemnified Party, with prior
written notice to the Indemnifying Party and without waiving any
rights to
indemnification, including reimbursement of reasonable attorney’s fees and
legal costs, may defend or settle the Claim
without
|
Sprint
Confidential Information - RESTRICTED
26
the
prior
written consent of the Indemnifying Party. The Indemnifying Party will reimburse
the Indemnified Party on demand for all Damages incurred by the Indemnified
Party in defending or settling the Claim.
(iv)
|
Neither
party is obligated to indemnify and defend the other with respect
to a
Claim (or portions of a Claim):
|
(a)
|
if
the Indemnified Party fails to promptly notify the Indemnifying Party
of
the Claim and fails to provide reasonable cooperation and information
to
defend or settle the Claim; and
|
(b)
|
if
and only to the extent that, that failure materially prejudices the
Indemnifying Party’s ability to satisfactorily defend or settle the
Claim.
|
14.
|
Breach,
Remedies and Early Termination of the
Agreement
|
14.1.
|
Breach
|
In
addition to other events of breach set forth in this Agreement, each of the
following constitutes an event of breach under this Agreement:
(i)
|
Sprint
or Purchaser fails to make a payment of money or, in the case of
Purchaser, to replenish, amend, replace or renew the Security, which
failure continues for more than 5 days after notice from the other
party;
|
(ii)
|
Sprint
or Purchaser fails to comply with any material representation, warranty,
obligation or covenant set forth in this Agreement, which failure
continues for a period of more than 30 consecutive days after receipt
of
notice from the nonbreaching party specifying the
breach;
|
(iii)
|
Purchaser’s
actual number of Net End Users at the end of the sixth full billing
month
following the In-Service Date is less than [***];
|
(iv)
|
Purchaser’s
actual number of Net End Users at the end of Contract Year 1 is less
than
[***];
|
(v)
|
Purchaser’s
actual number of Net End Users at the end of Contract Year 2 is less
than
[***];
|
(vi)
|
Sprint
or Purchaser fails to comply with Section 11,
if that failure is not cured immediately upon receipt of notice from
the
party owning or enforcing that xxxx or in case of the repeated violations
after receipt of the notice on one occasion;
|
(vii)
|
Sprint
or Purchaser ceases to do business as a going
concern;
|
**CERTAIN INFORMATION ON THIS PAGE HAS BEEN OMITTED
AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION. CONFIDENTIAL
TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
27
(viii)
|
Sprint
or Purchaser is unable or admits its inability to pay its debts as
they
become due;
|
(ix)
|
Purchaser
transfers more than ten percent (10%) of its End Users in a transaction
or
series of transactions to another service provider or carrier during
any
one 12-month period of this Agreement;
or
|
(x)
|
Purchaser
fails to comply with the Target Market restrictions set forth
in
Section 2.2.
|
Upon
the
occurrence of any of the events of breach specified above, the nonbreaching
party may, upon notice to the breaching party, terminate this Agreement in
its
entirety or with respect to a specific Market, depending on the nature of the
breach, trigger the applicable phase-out period, and pursue any other right
or
remedy under this Agreement. Except as otherwise provided, the termination
will
be effective on the day following the end of the applicable phase-out period.
Sprint’s sole remedy for Purchaser’s breach of Sections 14.1(iii), (iv) and (v)
will be the right to terminate this Agreement.
If
Sprint
elects to terminate this Agreement as the result of any breach by Purchaser
under Section 14.1(ix)
Sprint will charge Purchaser and Purchaser will pay to Sprint (in addition
to
all other applicable charges under this Agreement), as liquidated damages,
an
amount set forth in the table below.
Contract
Year Termination Occurs
|
Liquidated
Damages Payable to Sprint
|
1
|
[***]
|
2
|
[***]
|
3
|
[***]
|
4
|
[***]
|
5
|
[***]
|
**CERTAIN INFORMATION ON THIS PAGE HAS BEEN OMITTED
AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION. CONFIDENTIAL
TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
28
The
pricing for each Market in effect immediately before the date of the termination
notice will remain in effect during the phase-out period. Sprint will invoice
Purchaser for the amounts due under this Section and Purchaser will pay those
amounts within 20 days after the date of Sprint’s invoice. If
not
paid by that date, Sprint may, without any additional notice to Purchaser,
deduct those amounts from the Security and require Purchaser to increase the
amount of the Security for the remainder of the applicable phase-out period.
Without
limiting the generality of the foregoing and irrespective of whether Sprint
exercises its termination rights under this Agreement, if Purchaser breaches
under clause (i) of Section 14.1,
Sprint
may, without any additional notice to Purchaser, deduct any amounts due Sprint
from the Security and require Purchaser to increase the amount of the
Security.
14.2.
|
Early
Termination by Sprint
Due to Loss of
Licenses
|
If
Sprint
ceases to be licensed by a Governmental Authority to provide PCS Service in
all
or a substantial part of the Markets, Sprint may terminate this Agreement in
its
entirety without any liability by giving Purchaser at least 30 days prior
written notice. Sprint may delete a Market from Schedule
2.0
at any
time without any liability by giving Purchaser at least 30 days prior
written notice, if Sprint ceases to be licensed by a Governmental Authority
to
provide PCS Service in that Market. If within a one-year period Sprint deletes
one or more Markets, which in the aggregate represents more than 15% of
Purchaser’s total End Users as of the day the first Market was eliminated,
Sprint will adjust the minimum number of End Users in Sections 14.1(iii), (iv),
and (v) by a proportional amount.
14.3.
|
Length
of and Duties During the Phase-out
Period
|
Upon
giving of notice of termination of this Agreement in its entirety or with
respect to a specific Market or Markets, Sprint, at Purchaser’s (or its
successor in interest) request, will continue to provide PCS Service to
Purchaser (or its successor in interest) in the terminated Market(s) for a
phase-out period as described below. Under phase-out services governed by
14.3(i)
only,
Purchaser (or its successor in interest) may continue to add new End Users
or
MDNs during the initial 30 days of the phase-out period. The rights and
obligations with respect to the treatment of the Security are set forth in
Section 7.6.
At the
end of the phase-out period, Sprint may terminate PCS Service to Purchaser
(or
its successor in interest) and the End Users on the Sprint Network without
incurring any liability. The pricing for each Market in effect immediately
before the date of the termination notice will remain in effect during the
phase-out period.
(i)
|
The
phase-out period for termination under Sections 14.2
is
365 days after the date of the notice of termination and applies
to those
End Users on the Sprint Network as of the 30th day after the date
of the
notice of termination.
|
(ii)
|
The
phase-out period for termination under Section 14.1 (ii)
and
(vi)
through
(ix)
is
30 days after the date of the notice of termination and applies to
those
End Users on the Sprint Network as of the date of the notice of
termination.
|
(iii)
|
The
phase-out period for termination under Section 14.1 (i)
is
10 days after the date of the notice of termination and applies to
those
End Users on the Sprint Network as of the date of the notice of
termination.
|
Sprint
Confidential Information - RESTRICTED
29
(iv)
|
The
phase-out period for termination under Sections 14.1
(iii) through (v) and 14.1 (x) is 60 days after the date of the notice
of
termination and applies to those End Users on the Sprint Network
as of the
date of the notice of termination.
|
(v)
|
Upon
expiration of the term set forth in Section 3.1 of the Agreement,
the
phase-out period will be 180 days after the expiration date and applies
to
those End Users on the Sprint Network as of the expiration
date.
|
14.4.
|
Effect
of Termination
|
Termination
of this Agreement is without prejudice to any other right or remedy of the
parties under this Agreement. Termination of this Agreement for any cause does
not release either party from any liability which, at the time of termination,
has already accrued to the other party, or which may accrue in respect of any
act or omission prior to termination or from any obligation which is expressly
stated to survive the termination. Purchaser will remain responsible for its
obligations to its agents and End Users.
15.
|
Restrictions
[***]
|
15.1.
|
[***]
|
During
the term of this Agreement, including any applicable phase-out
period, Purchaser may not, [***].
15.2.
|
[* **]Upon
the Occurrence of Certain
Events
|
During
the term of this Agreement, including any applicable transition period, upon
the
occurrence of any [* **]
(as
defined below), Purchaser will provide notice to Sprint no less than 60 days
[* **].
[* **]means:
(i) |
[***]
|
(ii) | [***] |
(iii) | [***] |
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN OMITTED AND FILED SEPARATELY WITH THE
SECURITIES AND EXCHANGE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED
WITH RESPECT TO SUCH OMITTED PORTIONS
Sprint
Confidential Information - RESTRICTED
30
15.3.
|
Rights
to End User Accounts in Connection with Liquidation or
Dissolution
|
If
Purchaser, directly or indirectly, approves any plan or proposal for liquidation
or dissolution of Purchaser or winds up, liquidates, or dissolves and in
connection with that action Purchaser ceases to provide Private Label Service
to
End Users, Purchaser will (i) permit Sprint to market to all of Purchaser’s
End User accounts (whether or not those accounts are active) and
(ii) remove any impediments to Sprint’s solicitation efforts and
(iii) provide to Sprint all necessary End User information, as permitted
by
applicable law.
15.4.
|
Non-Solicitation/Non-Disclosure
Obligations
|
Purchaser
agrees not to market to the End User accounts purchased by Sprint for a period
of 3 years from the date of closing of any sale or other transfer under Section
15.
Purchaser further agrees that all information regarding the End User accounts
is
Confidential Information.
15.5.
|
Remedies
|
The
limitations in Section 10.2
do not
apply to Purchaser’s violations of Section 15.
If
Purchaser violates or threatens to violate Section 15,
Sprint
may exercise any right or remedy under this Agreement and any other right or
remedy that it may have (now or hereafter existing) at law, in equity or under
statute. The parties agree that damages for violations of
Section 15
may be
difficult to ascertain or inadequate and that if Purchaser violates or threatens
to violate Section 15,
Sprint
may suffer irreparable harm and therefore may seek injunctive relief in addition
to any other right or remedy under this Agreement and any other right or remedy
that it may have (now or hereafter existing) at law, in equity or under statute.
Purchaser will not raise the defense of an adequate remedy at law.
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN OMITTED AND FILED SEPARATELY WITH THE
SECURITIES AND EXCHANGE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED
WITH RESPECT TO SUCH OMITTED PORTIONS
Sprint
Confidential Information - RESTRICTED
31
16.
|
Confidentiality
|
16.1.
|
Restriction
|
Neither
party will disclose any Confidential Information received from the other party,
except as expressly provided in this Agreement. Each party will use the
Confidential Information received from the other party only for the purpose
of
this Agreement.
16.2.
|
Care
|
The
receiving party must provide the same care to avoid disclosure or unauthorized
use of the Confidential Information as it provides to protect its own similar
proprietary information.
All
Confidential Information must be retained by the receiving party in a secure
place with access limited to only those of the receiving party’s employees,
lenders or purchasers who need to know that information for purposes of this
Agreement and to third parties as the disclosing party has consented to by
prior
written approval. Confidential Information supplied is not to be reproduced
in
any form except as required to accomplish the intent of this Agreement. Sprint
Spectrum L.P. may disclose Confidential Information, subject to the terms of
this Agreement, to any entity (i) for which it is building a wireless network,
or (ii) for which it has an obligation to associate the wireless network of
the
entity to the Sprint Spectrum L.P. network.
16.3.
|
Return
|
All
Confidential Information, unless otherwise specified in writing, must be
returned to the disclosing party or destroyed after the receiving party’s need
for it has expired or upon request of the disclosing party, and, in any event,
within 10 days of termination of this Agreement. At the request of the
disclosing party, the receiving party will furnish a certificate of an officer
of the receiving party certifying that Confidential Information not returned
to
disclosing party has been destroyed.
16.4.
|
Limitation
|
The
parties agree that the term “Confidential Information” does not include
information which:
(i)
|
has
been published or is otherwise in the public domain through no fault
of
the receiving party;
|
(ii)
|
prior
to disclosure under this Agreement is properly within the legitimate
possession of the receiving party;
|
(iii)
|
subsequent
to disclosure under this Agreement is lawfully received from a third
party
having rights in the information without restriction of the third
party’s
right to disseminate the information and without notice of any restriction
against its further disclosure;
|
(iv)
|
is
independently developed by the receiving party through parties who
have
not had, either directly or indirectly, access to or knowledge of
Confidential Information;
|
(v)
|
is
obligated to be produced under order of a court of competent jurisdiction
or other similar requirement of a Governmental Authority, so long
as the
party required to disclose the information provides the other party
with
prior notice of the order or requirement.
|
16.5.
|
Relief
|
The
limitations of liability in this Agreement do not apply to either party’s
violations of this Section. If either party violates or threatens to violate
this Section, the other party may exercise any right or remedy under this
Agreement and any other right or remedy that it may have (now or hereafter
existing) at law, in equity or under statute. The parties agree that damages
for
violations of this Section may be difficult to ascertain or inadequate and
that
if either party violates or threatens to violate this Section, the other party
may suffer irreparable harm and therefore may seek injunctive relief in addition
to any other right or remedy under this Agreement and any other right or remedy
that it may have (now or hereafter existing) at law, in equity or under statute.
Sprint
Confidential Information - RESTRICTED
32
16.6.
|
Information
Security
|
(i)
To
protect Sprint’s Confidential Information from unauthorized use, including
disclosure, loss or alteration, Purchaser will meet the Security Standards
and
(ii) inventory and test Security Standards before accepting Sprint’s
Confidential Information.
(ii)
Upon
Sprint’s reasonable request, Purchaser will provide information to Sprint to
enable Sprint to determine compliance with this Section 16.6.
(iii)
Purchaser
will promptly inform Sprint of any known or suspected compromises of Sprint’s
Confidential Information as a result of Purchaser’s failure to comply with the
Security Standards.
(iv)
On
a
periodic basis, but in no event more than twice in any 12-month period, Sprint
may, upon 10 days notice, perform a vulnerability assessment to determine
Purchaser’s compliance with the Security Standards. If Sprint has a reasonable
basis to believe that Purchaser has breached or is likely to breach the Security
Standards, Sprint may, upon 5 days notice, perform a vulnerability assessment,
which assessment will be in addition to any assessment in the ordinary course.
(v)
At
Sprint’s reasonable request, Purchaser will promptly cooperate with Sprint to
develop a plan to protect Sprint’s Confidential Information from failures or
attacks on the Security Standards, which plan will include prioritization of
recovery efforts, identification of and implementation plans for alternative
data centers or other storage sites and backup capabilities.
If
Purchaser fails to meet the obligations in this Section 16.6,
Sprint
will notify Purchaser of this failure as provided in this Agreement. Purchaser
will have 30 days from receiving that notice to correct the cause for such
failure. If Purchaser has failed to remedy the failure within this 30-day
period, Sprint has the right to terminate this Agreement as provided in Section
14.1
(Termination for Cause).
17.
|
Assignment
|
Subject
to Section 15, Purchaser may not assign this Agreement without Sprint’s prior
written consent, which consent may not be unreasonably withheld. Any assignment
in violation of this provision is null and void. If this Agreement is assumed
by
the assignee, permitted assignment of this Agreement shall release the Purchaser
from all of its obligations under this Agreement, except for any then accrued
but unpaid amounts due to Sprint.
Sprint
will consent to the assignment of this Agreement in connection with the sale
or
other transfer of the End User accounts under Section 15.1 if all Section 15.1
procedures are followed, provided that Sprint is not obligated to consent to
any
assignment to a strategic competitor of Sprint, Sprint Corporation or an
Affiliate of each, as determined by Sprint in its reasonable
discretion.
Sprint
Confidential Information - RESTRICTED
33
18.
|
General
Provisions
|
18.1.
|
Notices
and Inquiries
|
Except
as
otherwise provided, all notices and inquiries must be in writing and mailed
(certified or registered mail, postage prepaid, return receipt requested) or
sent by hand or overnight courier, (with acknowledgment received by the
courier), or by facsimile (with facsimile acknowledgment) addressed as follows:
If
to
Purchaser:
Oblio
Telecom L.L.P.
000
Xxxxxxxxxxxxx Xxxxxxx, Xxxxx 000
Xxxxxxxxxx,
Xxxxx 00000
Attention:
Xxxx Xxxxxxxxxxx
With
a
copy to:
Xxxxxx
X.
Xxxxxxxxxx
Xxxxxx
& Xxxxxxxx LLP
Energy
Plaza, 30th
Floor
0000
Xxxxx Xxxxxx
Xxxxxx,
Xxxxx 00000
If
to
Sprint:
Sprint
Spectrum, L.P. (d/b/a Sprint)
[* **]
With
a
copy to:
Sprint
Spectrum, L.P. (d/b/a Sprint)
[* **]
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
34
Any
party
may from time to time specify a different address by notice to the other party.
Any notice is considered given as of the date delivered.
18.2.
|
Construction
|
The
definitions in this Agreement apply equally to both the singular and plural
forms of the terms defined. Whenever the context requires, any pronoun includes
the corresponding masculine, feminine and neuter forms. The words “include”,
“includes” and “including” are deemed to be followed by the phrase “without
limitation”. Unless the context otherwise requires, any
references
to any agreement, schedule or exhibit or to any other instrument or statute
or
regulation are to it as amended and supplemented from time to time (and, in
the
case of a statute or regulation, to any corresponding provisions of successor
statutes or regulations). Any reference in this Agreement to a “day” or number
of “days” is a reference to a calendar day or number of calendar days. If any
action or notice is to be taken or given on or by a particular calendar day,
and
that calendar day is not a business day for Sprint or Purchaser then the action
or notice will be deferred until, or may be taken or given on, the next business
day. This Agreement will be construed simply according to its fair meaning
and
not strictly for or against any party. No rule of construction requiring
interpretation against the draftsperson will apply in the interpretation of
this
Agreement. Except as otherwise provided, if there are any inconsistencies
between any Schedule or Exhibit, and the body of this Agreement, the body of
this Agreement controls. If there are any inconsistencies between the Private
Label Operations Manual and this Agreement, this Agreement
controls.
18.3.
|
Independent
Contractors
|
The
parties do not intend to create any agency, partnership, joint venture or other
profit-sharing arrangement, landlord-tenant, or lessor-lessee relationship,
or
any relationship other than seller-buyer. Purchaser will not represent itself
(i) as an agent or representative of Sprint or (ii) as a purchaser
of
PCS Service in any way not specifically provided for herein. Each party will
be
solely responsible for the payment of compensation, workers’ compensation,
unemployment insurance and for withholding or paying employment related taxes
to
or with respect to its own employees. Sprint will be solely responsible for
or
entitled to the payment or receipt of any fees paid to or received from third
party service providers with respect to data, content or services, if
any.
18.4.
|
Survival
|
The
provisions of this Agreement that by its content survive the termination of
this
Agreement will survive the termination.
18.5.
|
Headings
|
The
article and other headings contained in this Agreement are for reference
purposes only and are not intended to describe, interpret, define, or limit
the
scope, extent, or intent of this Agreement or any provision of this
Agreement.
18.6.
|
Severability
|
Every
provision of this Agreement is intended to be severable unless expressly
indicated otherwise (e.g.
see
Section 2).
If any
term or provision of this Agreement is illegal, invalid or unenforceable for
any
reason whatsoever, that term or provision will be enforced to the maximum extent
permissible so as to effect the intent of the parties, and the illegality,
invalidity or unenforceability will not affect the validity or legality of
the
remainder of this Agreement. If necessary to effect the intent of the parties,
the parties will negotiate in good faith to amend this Agreement to replace
the
unenforceable language with enforceable language which as closely as possible
reflects the intent.
Sprint
Confidential Information - RESTRICTED
35
18.7.
|
Governing
Law;
Exclusive Venue
|
This
Agreement will be governed by and construed in accordance with the procedural
and substantive laws of the State of Kansas without giving effect to its choice
of law rules. Any cause of action or suit based upon or arising in connection
with this Agreement must be filed in Xxxxxxx County, Kansas (State court) or
Kansas City, Kansas (Federal Court).
18.8.
|
Waiver
of Jury Trial
|
Each
party waives its respective rights to a trial by jury of all claims or causes
of
action (including counterclaims) related to or arising out of this Agreement
or
the transactions contemplated by this Agreement brought by any party against
any
other party. This waiver applies to all subsequent amendments of this
agreement.
18.9.
|
Counterpart
Execution
|
This
Agreement may be executed in any number of counterparts with the same effect
as
if each party had signed the same document. All counterparts will be construed
together and will constitute one agreement.
18.10.
|
Entire
Agreement;
Amendments
|
This
Agreement sets forth the entire agreement and understanding between the parties
as to the subject matters covered therein and supersede all prior agreements,
oral or written, and other communications between the parties relating to the
subject matter of this Agreement. Except as otherwise provided in this
Agreement, no amendment or modification of this Agreement will be valid or
binding upon the parties unless made in writing and signed by the duly
authorized representatives of both parties.
18.11.
|
Parties
in Interest; Limitation on Rights of
Others
|
Except
as
otherwise provided in this Agreement, this Agreement is binding upon and inure
to the benefit of the parties hereto and their permitted successors and assigns.
Nothing in this Agreement, whether express or implied, will be construed to
give
any person other than the parties any legal or equitable right, remedy or claim
under or in respect of this Agreement or any covenants, conditions or provisions
contained in this Agreement.
18.12.
|
Waivers;
Remedies
|
The
observance of any term of this Agreement may be waived (either generally or
in a
particular instance and either retroactively or prospectively) by the party
entitled to enforce the term, but any waiver is effective only if in a writing
signed by the party against which the waiver is to be asserted. Except as
otherwise provided in this Agreement, no failure or delay of any party in
exercising any right under this Agreement will operate as a waiver thereof,
nor
will any single or partial exercise of any right, or any abandonment or
discontinuance of steps to enforce the right, preclude any other or further
exercise thereof or the exercise of any other right.
18.13.
|
Force
Majeure
|
If
the
performance of this Agreement is interfered with by any circumstance beyond
the
reasonable control of the party affected, the party affected by the force
majeure is excused on a day-by-day basis to the extent of the interference,
if
the party notifies the other party as soon as
Sprint
Confidential Information - RESTRICTED
36
practicable
of the nature and expected duration of the claimed force majeure, uses all
commercially reasonable efforts to avoid or remove the causes of nonperformance
and resumes performance promptly after the causes have been removed. A “force
majeure” under this Section 18.13
includes
(i) acts of God, such as fire, flood, earthquake or other natural cause; (ii)
terrorist events, riots, insurrections, war or national emergency; (iii)
strikes, boycotts, lockouts or other labor difficulties, (iv) the lack of or
inability to obtain permits or approvals, necessary labor, materials, energy,
components or machinery, telecommunication line facilities or MDNs, and (v)
judicial, legal or other action of any Governmental Authority.
18.14.
|
Disclosure
|
All
media
releases and public announcements or disclosures by either party relating to
this Agreement, its subject matter or the purpose of this Agreement are to
be
coordinated with and consented to by the other party in writing prior to the
release thereof.
18.15.
|
Compliance
with Laws
|
Either
party will comply with all applicable material federal, state, county and local
laws, rules, regulations and orders that apply to it, its operations and
facilities.
This
Agreement made as of the date first written above.
SPRINT
SPECTRUM L.P.
|
OBLIO
TELECOM L.L.P.
|
|
By:
|
By:
|
|
Name:
[***]
|
Name:
|
|
Title:
[* **]
Date:
|
Title:
Date:
|
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
37
Schedule
1.0
PCS
Services
1.
|
Description
of Services
|
The
Sprint Network is a digital wireless communications network that uses Code
Division Multiple Access (“CDMA”) technology. Itemized below are the services on
the Sprint Network (with the associated rates and charges) that comprise the
PCS
Service.
2.
|
Rates
and Charges
|
2.1 Market
Implementation Fee
Sprint
will charge Purchaser a Market Implementation Fee of [***],
which
will be invoiced by Sprint in the first xxxx cycle following the In Service
Date.
If
within
twelve (12) months of the In Service Date Purchaser has achieved [***]Net
End
Users, Sprint will offer a one time credit of [***]on
the
next applicable xxxx cycle.
2.2 Voice
Services
2.2.1 Forward Pricing
Except
as
otherwise provided in this Agreement, Purchaser’s voice PCS Service will be
priced at the [***]tier
in
the pricing table set forth in Section 2.2.2 below, for the first [***]billing
months following the In Service Date (“Forward Pricing Period”). Except as
otherwise provided in this Section 2.2.1, if, during the Forward Pricing Period,
Purchaser achieves a higher [***]tier
in
the pricing table than the tier at which it is priced, Purchaser’s voice PCS
Service will be priced commensurate with its total [***]as
set
forth in Section 2.2.2 below. If
during
the first [***]billing
months following the In Service Date, Purchaser has not generated a sustained
[***]
growth
trend and achieved at least [***],Purchaser’s
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS**
Sprint
Confidential Information - RESTRICTED
38
voice
PCS
Services will be priced at the [***]tier
in
the pricing table set forth in Section 2.2.2, for the remaining six (6) months
of the Forward Pricing Period.
After
the
Forward Pricing Period, Purchaser’s voice PCS Services will be priced
commensurate with their total [***]as
set
forth in Section 2.2.2.
2.2.2 Airtime
Rates [***]
Subject
to Section 2.2.1, Sprint will charge Purchaser (i) [***],detailed
below, for each MDN activated on the Network for [***]voice
PCS
Service, and (ii) [* **]rates
set
forth below for each MDN’s [* **]use
of
voice PCS Service. The rates include [***].
Sprint
may modify the peak and off-peak time periods from time to time. Per call
charges [***]
Sprint
Confidential Information - RESTRICTED
39
[***]
|
[***]
|
[***]
|
[* **]
|
[***]
|
[***]
|
[* **]
|
[***]
|
[***]
|
[* **]
|
[***]
|
[***]
|
[* **]
|
[***]
|
[***]
|
[* **]
|
[***]
|
[***]
|
[* **]
|
[***]
|
[***]
|
[* **]
|
[***]
|
[***]
|
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
[***]
|
[***]
|
[***]
|
Peak Time Period: Monday - Friday, 7 am - 9 pm
Off-Peak Time Period: Monday - Thursday, 9 pm - 7 am and Friday 9 pm - Monday
7
am
Alternate
Airtime Rates [***]As
an
alternative to the Voice Service [***]contained
in this Section 2.2.2, Purchaser may activate End Users under the Alternate
Price Table outlined below. Sprint will charge Purchaser (i) [* **]detailed
below for each MDN activated on the Network , and (ii) [***]rates
set
forth below for each MDN’s [***]of
voice
PCS Service. The [***]rates
in
the Alternate Price Table include [***].
The
rates DO NOT include [***].
Purchaser will be charged the rates set forth in Schedule 1.0 for [***].
ALTERNATE
PRICE TABLE:
[***] | [***] |
[***]
|
[***]
|
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN OMITTED AND FILED SEPARATELY WITH THE
SECURITIES AND EXCHANGE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED
WITH RESPECT TO SUCH OMITTED PORTIONS
Sprint
Confidential
Information - RESTRICTED
40
2..2.3 |
[***]
|
A. |
[***]
|
|
For
purposes of this Section 2.2.3, “6-Month Period #1” means January through June,
“6-Month Period #2” means July through December, jointly referred to as “6-Month
Period”.
(i) [***]
Calculation
At
the
beginning of each 6-Month Period after the In Service Date, [***]
II. Limitation
on [***]
[***]
B.
|
[* **]
|
I. |
[* **] Eligibility
Criteria
|
(a) [***],and
(b) Purchaser
has complied and is complying with all material terms of the Agreement,
including the payment terms.
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN OMITTED AND FILED SEPARATELY WITH THE
SECURITIES AND EXCHANGE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED
WITH RESPECT TO SUCH OMITTED PORTIONS
Sprint
Confidential Information - RESTRICTED
41
II. |
Implementation
of [***].
|
The
[***]will
be
implemented the later of: (a) the March xxxx cycle if the prior 6-Month Period
was 6-Month Period #2 or the September xxxx cycle if the prior 6-Month Period
was 6-Month Period #1, or (b) the next
available
xxxx cycle following the billing month in which Purchaser meets the [***]Eligibility
Criteria.
III. Limitation
[***]
If
Purchaser meets the [***]Eligibility
Criteria during the same 6-Month Period as the Effective Date, the [***],in
which
case Purchaser will be deemed to have received [***].
C.
|
Subsequent
[***]
|
I. Subsequent
[* **]Eligibility
Criteria
To
receive subsequent [***],Purchaser
must meet the following criteria [***]:
(a) Purchaser
previously received an [***],and
(b) Purchaser
has complied and is complying with all material terms of the Agreement,
including the payment terms.
II. Implementation
of Subsequent [***]
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
42
[***]calculated
at the beginning of the then-current 6-Month Period will be implemented the
later of: (a) the March xxxx cycle if the prior 6-Month Period was 6-Month
Period #2 or the September xxxx cycle if the prior 6-Month Period was 6-Month
Period #1, or (b) the next available xxxx cycle following
the billing month in which Purchaser meets the Subsequent [***]Eligibility
Criteria.
D.
|
[***]
|
I.
[***]
[***]
II. [***]Certification
When
Purchaser has received [***],Sprint
will provide documentation to substantiate the [***].
2.2.4
Included features
2.2.4.1
|
Call
Waiting
|
2.2.4.2
|
Three
Way Calling
|
2.2.4.3
|
Caller
ID
|
2.2.4.4
|
Caller
ID Blocking (Purchaser must elect)
|
2.2.4.5
|
Basic
Network Fraud Monitoring
|
2.2.4.6
|
Voicemail
(Purchaser must elect)
|
2.2.4.7
|
Toll
Blocking (Purchaser must elect)
|
2.2.4.8
|
Standard
reports (see Private Label Operations
Manual)
|
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
43
2.3 Service
Fees
Sprint
will charge [***] .
All
account services will be performed as set forth in this Agreement and the
Private Label Operations Manual.
2.4 Automatic
Roaming Charges
2.4.1 Standard
Automatic Roaming Charges
If
Sprint
provides automatic Roaming to Purchaser, Sprint will charge Purchaser a domestic
Roaming rate of [***].
International
roaming rates will be quoted and billed on a country or region specific basis.
International roaming rates[***] .
2.4.2 Automatic
Roaming Charges If Sprint Blocks Roaming
If
Sprint
blocks Roaming pursuant to Section 9.2.2 of the Agreement, Sprint will
[* **]
for
Roaming calls completed on a Roaming switch.
International
roaming rates will be quoted and billed on a country or region specific basis.
[***] .
2.5 Manual
Roaming Charges
Manual
Roaming charges are billed directly to the End User credit or calling card
by
the serving carrier at carrier defined rates.
2.6 International
Toll Charges
2.6.1 Except
as
provided below, Sprint will provide international toll services to Purchaser
and
charge Purchaser [***] rates
set
forth in Attachment No. 1 to Schedule 1.0. [***] .
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
44
2.6.2 During
the first six (6) billing months following the In Service Date, in lieu of
the
[***] rates
as
described in Section 2.6.1 above, Sprint will charge [***] rate
for
the following countries:
Bangladedesh: |
[***]
|
Brazil: |
[***]
|
Columbia: |
[***]
|
Cuba: |
[***]
|
Czech Republic: |
[***]
|
Dominican Republic: |
[***]
|
Egypt: |
[***]
|
El Salvador: |
[***]
|
Eritrea: |
[***]
|
Ethiopia: |
[***]
|
Guatemala: |
[***]
|
Haiti: |
[***]
|
Honduras: |
[***]
|
India: |
[***]
|
Jamaica: |
[***]
|
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
45
Jordan: |
[***]
|
Kenya: |
[***]
|
Lebanon: |
[***]
|
Mexico: |
[***]
|
Morocco: |
[***]
|
Nigeria: |
[***]
|
Pakistan: |
[***]
|
Philippines: | [***] |
Poland: | [***] |
Romania: | [***] |
Saudi Arabia: | [***] |
Sudan: | [***] |
Syria: | [***] |
United Arab Emirates: | [***] |
Vietnam: | [***] |
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN OMITTED AND FILED SEPARATELY WITH THE
SECURITIES AND EXCHANGE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED
WITH RESPECT TO SUCH OMITTED PORTIONS
Sprint
Confidential Information - RESTRICTED
46
After
such 6-month period, Purchaser must generate at least [***]in
international toll usage each billing month to continue receiving the pricing
under this Section 2.6.2. If Purchaser fails to generate at least [***]
in
international toll usage in any billing month, Sprint may charge Purchaser
the
rates set forth in Section 2.6.1 and the rates in this Section 2.6.2 will no
longer be available to Purchaser
2.7 Short
Message Service (SMS)
2.7.1 Mobile
Terminated SMS Messages
Each
End
User mobile terminated SMS message can include up to 160 characters. Individual
handsets may not be able to receive an End User SMS message if the handset
is:
(a) turned off; (b) Roaming; or (c) traveling in a Market that does not have
text messaging capabilities. Purchaser must pay for each End User SMS message
regardless of whether or not it is actually delivered to a handset.
2.7.2 Mobile
Originated SMS Messages
Each
Purchaser or End User mobile originated SMS message can include up to 160
characters. Individual handsets must have mobile originations capabilities
in
the handset client. Individual handsets may not be able to terminate the
origination of a message if the handset is (a) not provisioned; (b) turned
off;
(c) traveling in a Sprint Service Provider Affiliate Market that does not have
text messaging capabilities; or (d) roaming needs to be included after
migration. Purchaser will pay for the origination of a message regardless of
whether or not it is actually terminated to a handset.
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN OMITTED AND FILED SEPARATELY WITH THE
SECURITIES AND EXCHANGE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED
WITH RESPECT TO SUCH OMITTED PORTIONS
Sprint
Confidential Information - RESTRICTED
47
2.7.3 SMS
Charges
The
volume schedule and rates below apply to MTSMS and MOSMS, including End User
and
Purchaser generated. Sprint will charge Purchaser the [* **]rates
set
forth in the table below based on Purchaser’s [***] messages
[***]
[***] SMS
[***]
Rate
[***]
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
2.8 Sprint
Data Transport Service Rates
Sprint
will charge Purchaser the [* **]rates
set
forth in the table below based on Purchaser’s [* **]usage
during the monthly billing cycle. The rates include [* **].
The
**CERTAIN INFORMATION
ON THIS PAGE
HAS BEEN OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE
COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH
OMITTED PORTIONS
Sprint
Confidential Information - RESTRICTED
48
[* **]rates
below are for data transport only and do not include access to individual Sprint
Data Services (e.g., Sprint-managed Sprint Data Services solution, web-browsing,
picture messaging, video messaging). When individual Sprint Data Services are
available, the parties will amend this Agreement to include applicable
implementation costs, rates and other fees.
Rate [***]
[***]
|
Rate
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
2.9
Intentionally
left blank
2.10
Other
Charges:
2.10.1 Call
Forwarding:[***]
2.10.2 Operator
Services: [***]
2.10.3 Directory
Assistance: [***]
2.10.4 911
and
E911: [***]
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
49
2.10.5 |
Wireless
Local Number Portability:
Sprint will charge Purchaser [***].For
clarification purposes, this charge will apply to all End Users that
are
either in “active” or “suspend” status at any time during the monthly xxxx
cycle.
|
2.10.6 | 611 - Direct Routing to Purchaser’s Customer Care: |
Implementation: [***] |
[***] |
This
service allows Purchaser’s End Users to be directly routed to Purchaser’s
customer care when dialing 611. Sprint does not guarantee that
the
direct routing service will function properly 100% of the time. |
2.10.7 | Call Tracing: [***] |
2.10.8 | Voicemail Password Reset: [***] |
2.10.9 | Custom Routing Code: [***] .custom routing code that allows Purchaser to provide a unique code for End User customer care calls, subject to availability and approval by Sprint. |
2.10.10 | Non-standard reports: As quoted |
2.10.11 | Handset Certification: As quoted |
2.11 | Message Acquisition & Formatting (MAF) |
MAF
will
allow Purchaser to receive unrated Call Detail Records (“CDRs”) on a near
real-time basis. In order to receive MAF, Purchaser must obtain a license to
use
CIBER formatted records from CIBERNET at Purchaser’s sole expense. In addition,
in order to receive access to the MAF data, Purchaser, at its sole expense,
will
need to establish a direct connection to Sprint through a dedicated circuit,
complete a MAF questionnaire, and
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES
AND EXCHANGE COMMISSION. CONFIDENTIAL
TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
50
comply
with the requirements set out in the Private Label Operations Manual and other
applicable documentation provided by Sprint. Sprint will not provide access
to
MAF until all such requirements are met. Purchaser may utilize the same direct
connection to Sprint for MAF, API and AMS. However, Purchaser is responsible
for
monitoring and ensuring adequate capacity on its circuit(s). MAF will be
provided as set forth in the Agreement and the Private Label Operations
Manual.
2.12 Machine
to Machine Interface (API)
Implementation
Fee: [***]
API
will
allow Purchaser to provision End Users through Purchaser’s billing/activation
system which will interface with and update Sprint’s billing system
automatically. API will be able to perform End User subscription activities
that
would otherwise be performed on the Sprint maintained Private Label Services
web
site (e.g., activations, deactivations, suspends, feature changes). In order
to
receive API, Purchaser must obtain T-1 connection into the Sprint data center
at
Purchaser’s expense. Purchaser may utilize the same direct connection to Sprint
for MAF, API and AMS. However, Purchaser is responsible for monitoring and
ensuring adequate capacity on its circuit(s). API will be provided as set forth
in the Agreement and the Functional Requirements Specification document provided
to Purchaser by Sprint.
2.13 Application
Mediation System (AMS)
Implementation
Fee: [***]
AMS
will
provide Purchaser with unrated 3G packet data usage records (IPDRs) and, where
applicable, transactional data records (TDRs), which will allow Purchaser to
rate Sprint Data Transport Service on a per kilobyte basis. In order to receive
access to AMS data records, Purchaser, at its sole expense, will need to
establish a direct connection to Sprint through a dedicated circuit, and comply
with the requirements set out in the Private Label Operations Manual and other
applicable documentation provided by Sprint. Purchaser may utilize the same
direct connection to Sprint for MAF, API and AMS. However, Purchaser is
responsible for monitoring and ensuring adequate capacity on its circuit(s).
Sprint will not provide access to AMS until all such requirements are met.
AMS
will be provided as set forth in the Agreement and the Private Label Operations
Manual.
**CERTAIN
INFORMATION ON THIS PAGE HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.
CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH OMITTED
PORTIONS
Sprint
Confidential Information - RESTRICTED
51
3.
|
Procedures
and Guidelines
|
Sprint,
in its sole discretion, will determine rounding with respect to pricing.
Rounding policies are further described in the Private Label Operations Manual.
All other applicable procedures and guidelines are set forth in the Private
Label Operations Manual.
Sprint
may, at its discretion, add new services and features or modify, replace or
enhance any of the services or features listed on this Schedule 1.0. Sprint
will
provide Purchaser notice of any such changes. The price for a new, modified,
replaced or enhanced service or feature will be set forth in the notice. If
Purchaser purchases any new, modified, replaced or enhanced service or features
after the date of the notice, this Schedule 1.0 will be deemed amended by that
notice and Purchaser will be obligated to pay for that service and feature
as
set forth in the notice, unless the parties otherwise agree in
writing
The
charges set forth in this Schedule 1.0 are conditioned upon Purchaser’s ability
and willingness to secure and exclusively use Sprint’s remote provisioning
interface to perform transactions.
52
Attachment
No. 1 to Schedule 1.0
*** CERTAIN
INFORMATION IN
THIS TABLE
HAS BEEN OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE
COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO SUCH
OMITTED PORTIONS
International
Toll Charges
[***]
|
|
[***]
|
|
Country
|
[***] Rates
|
Afghanistan
|
[***]
|
Albania
|
[***]
|
Algeria
|
[***]
|
American
Samoa
|
[***]
|
Andorra
|
[***]
|
Angola
|
[***]
|
Anguilla
|
[***]
|
Antigua
|
[***]
|
Argentina
|
[***]
|
Armenia
|
[***]
|
Aruba
|
[***]
|
Ascension
Island
|
[***]
|
Australia
|
[***]
|
Australian
External Territories
|
[***]
|
Austria
|
[***]
|
Azerbijan
|
[***]
|
Bahamas
|
[***]
|
Bahrain
|
[*
**]
|
Bangladesh
|
[**
*]
|
Barbados
|
[***]
|
Belarus
|
[*
**]
|
Belgium
|
[*
**]
|
Belize
|
[* *
*]
|
Benin
|
[***]
|
Bermuda
|
[***]
|
53
Bhutan
|
[* **]
|
Bolivia
|
[* **]
|
Bosnia-Herzegovina
|
[* **]
|
Botswana
|
[* **]
|
Brazil
|
[* **]
|
British
Virgin Islands
|
[* **]
|
Brunei
|
[* **]
|
Bulgaria
|
[* **]
|
Burkina
Faso
|
[* **]
|
Burundi
|
[* **]
|
Cambodia
|
[* **]
|
Cameroon
|
[* **]
|
Canada
|
[* **]
|
Cape
Verde Island
|
[* **]
|
Cayman
Islands
|
[* **]
|
Central
African Republic
|
[* **]
|
Xxxx
Republic
|
[* **]
|
Chile
|
[* **]
|
China
|
[* **]
|
Colombia
|
[* **]
|
Comoros
|
[* **]
|
Congo
|
[* **]
|
Xxxx
Islands
|
[* **]
|
Costa
Rica
|
[* **]
|
Croatia
|
[* **]
|
Cuba
|
[* **]
|
54
Cyprus
|
[* **]
|
Czech
Republic
|
[* **]
|
Denmark
|
[* **]
|
Xxxxx
Xxxxxx
|
[* **]
|
Djibouti
|
[* **]
|
Domican
Republic
|
[* **]
|
Dominica
|
[* **]
|
Ecuador
|
[* **]
|
Egypt
|
[* **]
|
El
Salvador
|
[* **]
|
Equatorial
Guinea
|
[* **]
|
Eritrea
|
[* **]
|
Estonia
|
[* **]
|
Ethiopia
|
[* **]
|
Faeroe
Islands
|
[* **]
|
Falkland
Islands
|
[* **]
|
Fiji
Islands
|
[* **]
|
Finland
|
[* **]
|
France
|
[* **]
|
French
Antilles
|
[* **]
|
French
Guiana
|
[* **]
|
French
Polynesia
|
[* **]
|
Gabon
|
[* **]
|
Gambia
|
[* **]
|
Georgia
|
[* **]
|
55
Germany
|
[* **]
|
Ghana
|
[* **]
|
Gibraltar
|
[* **]
|
Greece
|
[* **]
|
Greenland
|
[* **]
|
Grenada
|
[* **]
|
Guadelope
|
[* **]
|
Guam
|
|
Guantanmo
Bay
|
[* **]
|
Guatemala
|
[* **]
|
Guinea
|
[* **]
|
Guinea-Bisau
|
[* **]
|
Guyana
|
[* **]
|
Haiti
|
[* **]
|
Honduras
|
[* **]
|
Hong
Kong
|
[* **]
|
Hungary
|
[* **]
|
Iceland
|
[* **]
|
India
|
[* **]
|
Indonesia
|
[* **]
|
Iran
|
[* **]
|
Iraq
|
[* **]
|
Ireland
|
[* **]
|
Israel
|
[* **]
|
Italy
|
[* **]
|
Ivory
Coast
|
[* **]
|
56
Jamaica
|
[* **]
|
Japan
|
[* **]
|
Jordan
|
[* **]
|
Kazakhstan
|
[* **]
|
Kenya
|
[* **]
|
Kiribati
|
[* **]
|
Korea,
Republic of (South)
|
[* **]
|
Kuwait
|
[* **]
|
Kyrgyzstan
|
[* **]
|
Laos
|
[* **]
|
Lativa
|
[* **]
|
Lebanon
|
[* **]
|
Lesotho
|
[* **]
|
Liberia
|
[* **]
|
Libya
|
[* **]
|
Liechtenstein
|
[* **]
|
Lithuania
|
[* **]
|
Luxembourg
|
[* **]
|
Macao
|
[* **]
|
Macedonia
|
[* **]
|
Madagascar
|
[* **]
|
Malawi
|
[* **]
|
Malaysia
|
[* **]
|
Maldives
|
[* **]
|
Mali
Republic
|
[* **]
|
57
Malta
|
[* **]
|
Xxxxxxxx
Islands
|
[* **]
|
Martinique
|
[* **]
|
Mauritania
|
[* **]
|
Mauritius
|
[* **]
|
Mayotte
Island
|
[* **]
|
Micronesia
|
[* **]
|
Moldova
|
[* **]
|
Monaco
|
[* **]
|
Mongolian
People's Republic
|
[* **]
|
Montserrat
|
[* **]
|
Morocco
|
[* **]
|
Mozambique
|
[* **]
|
Myanmar
|
[* **]
|
Namibia
|
[* **]
|
Nauru
Island
|
[* **]
|
Nepal
|
[* **]
|
Netherlands
|
[* **]
|
Netherlands
Antilles
|
[* **]
|
Nevis
|
[* **]
|
New
Caledonia
|
[* **]
|
New
Zealand
|
[* **]
|
Nicaragua
|
[* **]
|
Niger
|
[* **]
|
Nigeria
|
[* **]
|
00
Xxxx
Xxxxxx
|
[* **]
|
Xxxxx
Xxxxx
|
[* **]
|
Norway
|
[* **]
|
Oman
|
[* **]
|
Pakistan
|
[* **]
|
Palau
|
[* **]
|
Palestine
|
[* **]
|
Panama
|
[* **]
|
Paraguay
|
[* **]
|
Paupua
New Guinea
|
[* **]
|
Peru
|
[* **]
|
Philippines
|
[* **]
|
Poland
|
[* **]
|
Portugal
|
[* **]
|
Qatar
|
[* **]
|
Reunion
Islands
|
[* **]
|
Romania
|
[* **]
|
Russia
|
[* **]
|
Rwanda
|
[* **]
|
Saipan
|
|
San
Marino
|
[* **]
|
Sano
Tome and Principe
|
[* **]
|
Saudi
Arabia
|
[* **]
|
Senegal
|
[* **]
|
Seycheles
|
[* **]
|
Sierra
Leone
|
[* **]
|
59
Singapore
|
[* **]
|
Slovakia
|
[* **]
|
Slovenia
|
[* **]
|
Solomon
Island
|
[* **]
|
Somalia
|
[* **]
|
South
Africa
|
[* **]
|
Spain
|
[* **]
|
Sri
Lanka
|
[* **]
|
St.
Helena
|
[* **]
|
St.
Kitts
|
[* **]
|
St.
Lucia
|
[* **]
|
St.
Pierre and Miquelon
|
[* **]
|
St.
Xxxxxxx and The Grenadine
|
[* **]
|
Sudan
|
[* **]
|
Suriname
|
[* **]
|
Swaziland
|
[* **]
|
Sweden
|
[* **]
|
Switzerland
|
[* **]
|
Syria
|
[* **]
|
Taiwan
|
[* **]
|
Tajikistan
|
[* **]
|
Tanzania
|
[* **]
|
Thailand
|
[* **]
|
Togo
|
[* **]
|
Tokelau
|
[* **]
|
60
Tonga
Islands
|
[* **]
|
Trinidad
& Tobago
|
[* **]
|
Tunisia
|
[* **]
|
Turkey
|
[* **]
|
Turkmenistan
|
[* **]
|
Turks
& Caicos Islands
|
[* **]
|
Tuvalu
|
[* **]
|
Uganda
|
[* **]
|
Ukraine
|
[* **]
|
United
Arab Emirates
|
[* **]
|
United
Kingdom
|
[* **]
|
Uruguay
|
[* **]
|
Uzbekistan
|
[* **]
|
Vanuatu
|
[* **]
|
Vatican
City
|
[* **]
|
Venezuela
|
[* **]
|
Vietnam
|
[* **]
|
Wallis
and Futuna
|
[* **]
|
Western
Samoa
|
[* **]
|
Yemen
Republic Of
|
[* **]
|
Yugoslav
Republics
|
[* **]
|
Zaire
|
[* **]
|
Zambia
|
[* **]
|
Zimbabwe
|
[* **]
|
Mexico
|
[* **]
|
([* **]
|
61
Schedule
2.0
Sprint
Markets
Sprint
Market Description
|
Atlanta,
GA
|
Birmingham,
AL
|
Boston,
MA
|
Buffalo,
NY
|
Charlotte,
NC
|
Chicago,
IL
|
Cincinnati,
OH
|
Cleveland,
OH
|
Columbus,
OH
|
Dallas,
TX
|
Denver,
CO
|
Des
Moines, IA
|
Detroit,
MI
|
Hartford,
CT
|
Honolulu,
HI
|
Houston,
TX
|
Indianapolis,
IN
|
Jacksonville,
FL
|
Kansas
City
|
Knoxville,
TN
|
Las
Vegas, NV
|
Little
Rock, AR
|
Los
Angeles, CA
|
Louisville,
KY
|
Memphis,
TN
|
Sprint
Confidential Information - RESTRICTED
62
62663.000000
DALLAS 147515v9
Schedule
2.0 (continued)
Sprint
Markets
Sprint
Market Description
|
Miami,
FL
|
Milwaukee,
WI
|
Minneapolis
/ St. Xxxx, MN
|
Nashville,
TN
|
New
Orleans, LA
|
New
York, NY
|
Oklahoma
City, OK
|
Omaha,
NE
|
Orlando,
FL
|
Philadelphia,
PA
|
Phoenix,
AZ
|
Pittsburgh,
PA
|
Portland,
OR
|
Puerto
Rico, PR
|
Richmond,
VA
|
Salt
Lake City, UT
|
San
Antonio, TX
|
San
Diego, CA
|
San
Francisco, CA
|
Seattle,
WA
|
St.
Louis, MO
|
Tallahassee,
FL
|
Tampa,
FL
|
Virgin
Islands, VI
|
Wichita,
KS
|
Washington
DC
|
Schedule
2.0 (continued)
Sprint
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63
62663.000000
DALLAS 147515v9
Sprint
Service Provider Affiliate Markets
AirGate
Markets
Market
Description
|
Augusta,
GA
|
Camden,
SC
|
Georgetown,
SC
|
Goldsboro,
NC
|
Hendersonville,
NC
|
Myrtle
Beach, SC
|
Savannah,
GA
|
Spartanburg,
SC
|
Sprint
Confidential Information - RESTRICTED
64
62663.000000
DALLAS 147515v9
Schedule
2.0 (continued)
Sprint
Service Provider Affiliate Markets
Alamosa
PCS
Market
Description
|
Amarillo/Abilene,
TX
|
Arkansas
Northwest
Bentonville,
AR
Clarksville,
AR
Fayetteville,
AR
Forth
Xxxxx, AR
Xxxxxxxxx,
AR
Russellville,
AR
Siloam
Springs, AR
|
Columbia
/ Jefferson City, MO
|
El
Paso, TX / Albuquerque, NM
|
Flagstaff,
AZ
|
Green
Bay, WI
|
Kansas
Central
Marion,
IL
Quincy,
IL
Emporia,
KS
Junction
City, KS
Manhattan,
KS
XxXxxxxxx,
KS
Salina,
KS
Cape
Girardeau, MO
Hannibal,
MO
Kirksville,
MO
Poplar
Bluff, MO
Sikeston,
MO
|
Laredo,
TX
|
Medford,
OR
|
Sprint
Confidential Information - RESTRICTED
65
62663.000000
DALLAS 147515v9
Schedule
2.0 (continued)
Sprint
Service Provider Affiliate Markets
Alamosa
PCS (continued)
Market
Description
|
Missouri
South
Carbondale,
IL
Pittsburg,
KS
Aurora,
MO
Branson,
MO
Carbondale,
MO
Fort
Xxxxxxx Xxxx, MO
Joplin,
MO
Lebanon,
MO
Monett,
MO
Rolla,
MO
Springfield,
MO
West
Plains, MO
|
Oregon
North / Washington South
Bend,
OR
Hermiston,
OR
Hood
River, OR
Madras,
OR
Xxxxxx-Freewater,
OR
Pendleton,
OR
The
Dalles, OR
Cle
Elum, WA
Ellensburg,
WA
Ephrata,
WA
Kennewick,
WA
Moses
Lake, WA
Pasco,
WA
Prosser,
WA
Sunnyside,
WA
Walla
Walla, WA
Wenatchee,
WA
White
Salmon, WA
Yakima,
WA
|
Pueblo,
CO
|
Wichita
Falls, TX / Stillwater, OK
|
Sprint
Confidential Information - RESTRICTED
66
62663.000000
DALLAS 147515v9
Schedule
2.0 (continued)
Sprint
Service Provider Affiliate Markets
Enterprise
Markets
Market
Description
|
Alabama
East / Xxxxxxx Xxxx
Opelika,
AL
Albany,
GA
Columbus,
GA
La
Grange, GA
Tifton,
GA
|
Alabama
South
Daleville,
AL
Dothan,
AL
Langdale,
AL
|
Schedule
2.0 (continued)
Sprint
Confidential Information - RESTRICTED
67
62663.000000
DALLAS 147515v9
Sprint
Service Provider Affiliate Markets
iPCS
Market
Description
|
Cedar
Rapids, IA
|
Grand
Island, IA
|
Grand
Rapids, MI
|
Illinois
North
Bloomington,
IL
Champaign,
IL
Charleston,
IL
Danville,
IL
Decatur,
IL
Effingham,
IL
Galesburg,
IL
Kankakee,
IL
La
Salle, IL
Lincoln,
IL
Litchfield,
IL
Macomb,
IL
Mattoon,
IL
Mendota,
IL
Pekin,
IL
Peoria,
IL
|
Illinois
South
Jacksonville,
IL
Mount
Vernon, IL
Springfield,
IL
Taylorville,
IL
Vandalia,
IL
|
Sprint
Confidential Information - RESTRICTED
68
62663.000000
DALLAS 147515v9
Schedule
2.0 (continued)
Sprint
Service Provider Affiliate Markets
iPCS
(continued)
Market
Description
|
Quad
Cities
Burlington,
IA
Clinton,
IA
Davenport,
IA
Dubuque,
IA
Fort
Madison, IA
Keokuk,
IA
Muscatine,
IA
Waterloo,
IA
Geneseo,
IL
Kewanee,
IL
Rock
Island, IL
Sterling,
IL
|
Sprint
Confidential Information - RESTRICTED
69
62663.000000
DALLAS 147515v9
Schedule
2.0 (continued)
Sprint
Service Provider Affiliate Markets -Northern PCS
Market
Description
|
Minnesota
Central
Alexandria,
MN
Bemidji,
MN
Brainerd,
MN
Detroit
Lakes, MN
Duluth,
MN
E
Grand Forks, MN
Fergus
Falls, MN
Grand
Rapids, MN
Hibbing,
MN
Hinckley,
MN
Hutchinson,
MN
Little
Falls, MN
Marshalltown,
MN
Moorhead,
MN
St.
Cloud, MN
Virginia,
MN
Wadena,
MN
Wahpeton,
MN
Wilmar,
MN
Zimmerman,
MN
Fargo,
ND
Grand
Forks, ND
Jamestown,
ND
|
Minnesota
South
Albert
Lea, MN
Austin,
MN
Fairbault,
MN
Fairmont,
MN
Mankato,
MN
Marshalltown,
MN
New
Ulm, MN
Owatonna,
MN
Red
Wing, MN
Rochester,
MN
Waseca,
MN
Worthington,
MN
|
Schedule
2.0 (continued)
Sprint
Confidential Information - RESTRICTED
70
62663.000000
DALLAS 147515v9
Sprint
Service Provider Affiliate Markets
Shentel
Market
Description
|
Hagerstown,
MD
|
York
/ Harrisburg, PA
|
Swiftel
Communications
Market
Description
|
Sioux
City, IA
|
Sioux
Falls, SD
|
Ubiquitel
Market
Description
|
Bowling
Green, KY
|
Evansville,
IN
|
Fresno,
CA
|
Xxxxxxx
Hole, WY
|
Logan,
UT
|
Reno,
NV
|
Spokane,
WA
|
Terra
Haute, IN
|
Sprint
Confidential Information - RESTRICTED
71
62663.000000 DALLAS
147515v9
Exhibit
A
Form
of Letter of Credit
IRREVOCABLE
STANDBY LETTER OF CREDIT
_____________,
2005
Letter
of
Credit No. _____________
Sprint
Spectrum L.P.
0000
Xxxxxx Xxxxxxx
XXXXXX0000
- 3A826
Xxxxxxxx
Xxxx, XX 00000
Attention:
Xxxxxxx Xxxxxxx
Manager,
Strategic Partners
Re:
Irrevocable Letter of Credit No. _____________
Ladies
and Gentlemen:
At
the
request of and for the account of our customer _______________________
[Insert
name of customer]
(“Account Party”), we (“Bank”) hereby establish in your favor this Irrevocable
Standby Letter of Credit No. _____________ (“Letter of Credit”). This Letter of
Credit is issued to you in connection with the Private Label PCS Services
Agreement (“Agreement”) between you and the Account Party dated ________, 2005.
This Letter of Credit authorizes you to draw on Bank an amount not exceeding
in
the aggregate of U.S. $ ________ (“Stated Amount”). Partial drawings are
permitted under this Letter of Credit.
This
Letter of Credit automatically terminates on the earliest to occur (“Expiration
Date”) of the following:
(i)
_______________
[insert
a term that is two years after the Effective Date as defined in the
Agreement],
except
that on each ________ [insert
a date that is 30 days prior to the previously inserted day and month]
(“Renewal
Date”) that date is automatically extended to ________________ [insert
the same day and month of the first insertion]
of the
succeeding year, unless Bank has delivered to you at the address to which this
Letter of Credit is addressed on or prior to the Renewal Date, a notice of
non-renewal or non-replacement stating the expiration date of the Letter of
Credit and Bank’s intention not to renew past that date (“Non-renewal
Notice”);
(ii)
|
120
days after the expiration of the applicable phase-out period under
the
Agreement;
|
72
62663.000000
XXXXXX 000000x0
xx
(xxx)
the
day
on which this Letter of Credit is surrendered by you to Bank.
Subject
to the other provisions of this Letter of Credit, you may obtain the funds
available under this Letter of Credit by presentment to Bank of your sight
draft
drawn on Bank, marked “Drawn under Irrevocable Standby Letter of Credit No.
_________ dated _____________”, dated within ______ days of your presentment to
Bank and accompanied by the following documentation:
(i)
in
case of non-payment, a signed certificate by Sprint Spectrum L.P. dated within
__________ days of your presentment to Bank (“Non-payment Certificate”) stating
the following and accompanied by a copy of the applicable invoices:
· a
payment
default has occurred under the Agreement; and
· the
invoices for services provided in the ordinary course of business accompanying
the Certificate have been presented to the Account Party and have not been
paid
by the Account Party in full when due; and
· a
demand
for payment of $_______ in immediately available funds is made, which amount
does not exceed the unpaid portion of the invoices accompanying the
Certificate
(ii)
in
case of receipt by you from Bank of a Non-renewal Notice; a signed certificate
by Sprint Spectrum L.P. dated within __________ days of your presentment to
Bank
(“Non-renewal Certificate”) stating the following and accompanied by a copy of
the Non-Renewal Notice:
· that
you
received from Bank a Non-Renewal Notice; and
· a
demand
for payment of the Stated Amount minus any partial drawings that have not been
replenished by Account Party.
This
Letter of Credit is governed by and construed in accordance with the Uniform
Customs and Practice for Documentary Credits (1993 Revision), International
Chamber of Commerce Publication 500 (“UCP”), and, to the extent not inconsistent
therewith, the laws of the State of Kansas. Notwithstanding anything to the
contrary in Article 45 of the UCP, this Letter of Credit remains in full force
and effect until it expires in accordance with its terms.
Your
sight draft accompanied by the Non-payment Certificate or the Non-renewal
Certificate and a copy of the applicable documentation presented on or before
the Expiration Date and in compliance with the terms and conditions of this
Letter of Credit at Bank’s address at _________________ [Insert Bank address]
will be honored by Banks’ payment to you in immediately available funds. If the
required document is presented at Bank’s address before 1:00 p.m., ______ time,
Bank’s payment will be made no later than 1:00 p.m., _____ time the next
business day; otherwise payment will be made no later than 1:00 p.m.
on the
second following business day.
Very
Truly Yours
____________________
a
________________
By:
_____________
Name:
___________
Its:
______________
73