Exhibit 10.66
THIS
NATIONAL RETAILER AGREEMENT (“Agreement”) between Sprint Solutions Inc. on behalf of
itself and its affiliates that provide
products and services (“Sprint”) and
,
a
[state]
[entity type] (“Retailer”).
|
A. |
|
Sprint provides telecommunications goods and services to customers throughout the
United States and select United States Territories. |
|
B. |
|
Retailer wants to receive compensation to solicit customers to subscribe to the
Sprint telecommunications services and to sell products associated with those
telecommunications services under the terms and conditions of this Agreement. |
The parties therefore agree as follows, with defined terms set forth in Section 18:
|
1.1 |
|
Authorization. Sprint grants Retailer the non-exclusive right to solicit
subscriptions for Sprint Services and to sell Products in the United States and select
United States Territories, subject to terms and conditions of this Agreement,
including the following limitations and restrictions on geographic territory and
customer categories: |
|
(A) |
|
Non-Exclusive Relationship. Sprint may offer third parties
exclusive rights with respect to certain territories or certain customer
categories in its sole discretion. Sprint may also solicit Customers using its
own sales force or other authorized representatives. Sprint will determine the
number and type of authorized representatives in its sole discretion. |
|
|
(B) |
|
Reserved Accounts. Retailer will not solicit or sign up
Customers listed on the Reserved Account List posted on the Sprint Indirect
Website without Sprint’s prior written consent. Retailer must comply with all
policies and guidelines with respect to Reserved Accounts posted to the Sprint
Indirect Website. Retailer is responsible for checking the Sprint Indirect
Website for updates to the Reserved Accounts List or to the policies and
guidelines that apply to Reserved Accounts. |
|
|
(C) |
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No Representations or Warranty Regarding Geographic Proximity.
Third-party authorized-representative facilities and Sprint sales
facilities will be in the same geographic proximity as
Retailer’s Facility. |
|
1.2 |
|
No Subcontractors. Retailer may not subcontract any of its rights or
obligations under this Agreement. |
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1.3 |
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No Authority to Bind; No Responses to RFP’s. Retailer has no authority to bind
Sprint or its affiliates to any agreement or obligation. Retailer may not respond to a
Solicitation on behalf of itself or Sprint, and Retailer may not enter into or attempt
to enter into a contract with a Customer or potential Customer on behalf of itself or
Sprint to provide Sprint Services under this Agreement. Any Solicitation response
submitted by Retailer on behalf of itself or Sprint, or any contract entered into by
Retailer on behalf of itself or Sprint will be null and void and Sprint has no
obligation to support or honor that response or contract. If Retailer becomes aware of
or if Retailer is interested in an |
Sprint RETAILER Agreement v1.1
Proprietary and Confidential
Page 1 of 30
opportunity related to a Solicitation,
Retailer will promptly notify the
Sprint Director of National Retail of the existence of the Solicitation and on
Sprint’s request provide Sprint with all documentation in
Retailer’s possession
related to the Solicitation. Sprint will decide, at its sole discretion, whether
Sprint will respond to the Solicitation.
|
1.4 |
|
No Reselling Services. Retailer will not knowingly sell Sprint Services to
anyone that intends to resell them. Retailer will not resell the Sprint Services
itself, and will ensure that its affiliates, subsidiaries, owners, subcontractors,
employees, and agents will not resell the Sprint Services. Reselling is defined as
the acquiring of Sprint Services in the reseller’s name, then providing those Sprint
Services to third parties with the intention of collecting payment for the Sprint
Services from the third parties. |
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1.5 |
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No Web Sales, Service & Repair, Telemarketing. Retailer will not: |
|
(A) |
|
Solicit subscriptions for Sprint Services or sell Sprint
Products via the internet except with Sprint’s prior written permission and in
accordance with Sprint’s websales’ guidelines, or |
|
(B) |
|
Service or repair any Products on Sprint’s behalf; or |
|
(C) |
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Solicit subscriptions for Sprint Services or sell Sprint
Products via electronic mail, mail order, facsimile, wireless messaging (SMS,
Text, MMS, etc.) or telephone. |
|
1.6 |
|
Sprint Policies. Retailer must comply with all policies, procedures, terms
and conditions provided to Retailer by Sprint which the parties incorporate by
reference. |
2. |
|
RETAILER COMMITMENTS AND OBLIGATIONS |
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2.1 |
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Goodwill. Retailer will preserve and enhance the goodwill associated with the
Sprint brand and the Sprint Services. |
|
2.2 |
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Duty to Cooperate. Retailer will cooperate with any requests from Sprint
regarding governmental inquiries or investigation requests, including but not limited
to inquiries or requests from the Federal Communications Commission (“FCC”) or state
Attorney Generals. |
|
2.3 |
|
Retail Store Facilities. Retailer will
offer Sprint’s Products and Services
from its retail stores locations as mutually agreed by the parties (each a
“Facility”) in accordance with terms set forth in Exhibit C. Retailer will provide
Sprint with an updated list of all Facilities selling Sprint’s Products and Services
on a quarterly basis. |
|
2.4 |
|
Insurance Requirements. Retailer will comply with the insurance requirements
set forth in Exhibit H. |
3. |
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NO DEVIATION FROM SPRINT SERVICE OFFER. |
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3.1 |
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Ownership of Customer Relationship. At all times, Sprint owns the
Subscription relationship with the Customer. Sprint will decide at its sole
discretion: |
|
(A) |
|
whether to accept, serve, suspend or discontinue service to any
customer; |
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(B) |
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the services and coverage areas offered to any customer; |
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(C) |
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the rates to be charged for those services; and
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(D) |
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any other terms or conditions that apply to any Customer or
Service Offer. |
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3.2 |
|
Rates for Service. Sprint will deliver its
current Service Offer (including
rate plans and any special offers or promotions) to RETAILER on the Effective Date of
this Agreement. Sprint may amend or change its Service Offer, and add, delete,
suspend or modify the conditions of the Sprint Services at any time and from time to
time. Sprint will use commercially reasonable efforts to give RETAILER advance notice
of any changes. |
|
3.3 |
|
No Right to Change Service Offer. RETAILER will only quote the prices, term
and conditions for Sprint Services as contained in the then current Service Offer
provided by Sprint. RETAILER will not: |
|
(A) |
|
change the Service Offer; |
|
(B) |
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grant any discounts or make any adjustments to any rates; |
|
(C) |
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misrepresent — either affirmatively or by omission — the
Service Offer or any terms and conditions of Sprint Services; or |
|
(D) |
|
impose on any Customer any activation or other fees,
standards, commissions or contracts, including without limitation requiring
the Customer to remain a Customer of Sprint for any period of time or impose a
term and termination fee. |
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4.1 |
|
Service Agreements. For each potential Customer, Retailer will complete a
service agreement, including the terms and conditions for the use of the Sprint
Services, in the form then in effect and approved by Sprint for use, and signed by
the potential Customer (the “Service Agreement”). If the Service Agreement is
generated by automated activation tools, the Customer acceptance process must be
approved or designated by Sprint. If automated activation tools are not available or
approved for use, Retailer must provide the Customer with obtain a paper copy of the
Service Agreement, which must be completed, signed, retained by Retailer in
accordance with the procedures established by Sprint and the terms of this Agreement.
Retailer will comply with all procedures established by Sprint from time to time in
connection with the use and delivery to Sprint of the Service Agreement and related
documents. Retailer will not submit any Service Agreement that is incomplete or that
it has reason to believe is not completely accurate. Sprint may revise the Service
Agreement from time to time, and Retailer agrees to deliver the most recent version
of the Service Agreement provided by Sprint. All Service Agreements are between
Sprint and the Customer, and are the property of Sprint. |
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4.2 |
|
Order Entry. Retailer will enter all order
information into Sprint’s designated
order entry system(s), or via any process designated by Sprint from time to time.
Retailer is solely responsible for obtaining any hardware, software and services
(including internet access) necessary to access Sprint’s order entry system(s). Retailer
will sign a license for access to and the use of the designated order entry system(s)
if requested by Sprint. |
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4.3 |
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Acceptance of Orders. Sprint will accept or
reject all orders in its sole
discretion. |
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4.4 |
|
Subscription Fraud. Retailer is liable for subscription fraud losses incurred
by Sprint in the instances where Retailer fails to adhere to Sprint policies provided
to Retailer by Sprint regarding service agreement completion, information verification
or order placements. Examples of subscription fraud losses are unpaid
Sprint invoices |
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including without limitation hardware charges and subsidies, monthly access
charges, overage charges and other service fees and Commissions paid to Retailer as
a result of the fraudulent activation. |
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5.1 |
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Retailer will only sell to Customers Products approved by Sprint for use
with its Sprint Services, and obtained from
Sprint-approved sources. |
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5.2 |
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Inventory. To the extent that Retailer is selling Products under this
Agreement, Retailer may either: |
|
(A) |
|
purchase Products from Sprint (or a Sprint approved source)
for resale to Customers. Exhibit B sets out the purchase terms for Products
purchased by Retailer from Sprint. All Products sold by Retailer from its own
inventory (e.g. purchased from Sprint or a Sprint-approved source for resale
to Customers) will be sold at prices solely determined by Retailer; or |
|
(B) |
|
sell Products directly from Sprint’s inventory through the
process then in effect on the Sprint Indirect Website at prices that Sprint
establishes; or |
|
(C) |
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sell or distribute Products via other channels as determined
upon mutual agreement of the Parties. |
|
5.3 |
|
Products for Customers Only. Retailer will only sell the Products to
Customers or potential Customers that activate those Products on Sprint Services or
install those Products for use with Sprint Services. If Retailer sells Products to
third parties not Customers or potential Customers, Sprint reserves the right to
pursue all legal remedies available including the right to recover subsidies paid by
Sprint on the Products. |
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6.1 |
|
Commissions. Sprint will pay Retailer a monthly
commission as provided for in
Exhibit A to this Agreement (the “Commission Plan”). |
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6.2 |
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Commission Plan Changes. Sprint may modify Exhibit A, including the right to
reduce commissions, effective 30 days after written notice to Retailer. Retailer will
accept any modifications by continuing to perform under this Agreement. |
|
6.3 |
|
Right to Set Off. Sprint is entitled to charge to or withhold from Retailer’s
commissions any amounts owed by Retailer, its subsidiaries or affiliates to Sprint, or
any of Sprint’s affiliates or subsidiaries, under this or any other agreement between
Sprint, its affiliates or subsidiaries and Retailer, its affiliates or subsidiaries. |
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6.4 |
|
Commission Disputes and Limitations. RETAILER must notify Sprint in writing
of all commission disputes within 90 days after the date of the disputed commission
statement. All disputed amounts must be submitted to Sprint as described in Exhibit A. |
|
(A) |
|
By Sprint. Sprint may at any time during business hours inspect
each Facility of Retailer. Sprint may, on reasonable advance notice, audit
Retailer’s performance of its obligations under this Agreement, including
without limitation, compilation, storage and security of Customer Records, and
any |
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relevant books, records or processes as they pertain to
Retailer’s performance of its obligations under this Agreement. Sprint will
pay all reasonable fees and costs incurred by Sprint in connection with
these audits. |
|
(B) |
|
By Retailer. Retailer may inspect Sprint’s commission records
as they pertain to Customers activated by Retailer on a day mutually agreed
upon by Sprint and Retailer once per calendar year. Retailer will pay all
reasonable fees and costs incurred by Retailer in connection with these
audits. |
|
7.1 |
|
Customer Records. Retailer will keep all Service Agreements and related
documents (“Customer Records”) at the relevant Facility for a minimum of 2 years from
the date of their creation, and will return these Customer Records as directed by
Sprint at the end of that time period. Sprint may request that Retailer return
Customer Records to Sprint at any time, and Retailer will immediately return the
original copies of the Customer Records, as directed by Sprint. Retailer may not keep
copies of the Customer Records returned to Sprint without
Sprint’s written permission.
Retailer may not destroy the original copies of Customer Records unless directed to do
so by Sprint in writing. |
|
7.2 |
|
Theft. Retailer will notify Sprint within 24 hours of learning of the loss or
theft of any Customer Records, Sprint Information or Products from its Facilities, or
from its employees, agents or Subcontractors. |
|
(A) |
|
Customers. During the term of this Agreement, and for a period
of 1 year after the termination or expiration of this Agreement, Retailer will
not knowingly solicit or try to persuade any Customer that subscribes or
subscribed to Sprint’s Services through Retailer’s efforts to buy any other 2G
or 3G wireless voice communications services. For the avoidance of doubt, the
prohibition against solicitation in this section will not restrict Retailer
from incidental communications with Sprint subscribers which may occur through
Retailer’s standard mass marketing practices such as a mass marketing campaign
to a particular geographic region or customer demographic. It also does not
restrict any passive sale or Retailer initiated sales made by Retailer. |
|
(B) |
|
Customer Lists. Retailer will not sell or provide to any third
party a list of Customers that subscribed to Sprint’s Services through
Retailer’s efforts, or that Retailer knows have subscribed to Sprint Services. |
|
7.4 |
|
Privacy Requirements. Retailer will comply with all privacy requirements and
obligations set forth in Exhibit F (Privacy) and in the Retailer Privacy Policy
provided to Retailer by Sprint, which may be amended by Sprint from time to time.
Retailer will monitor the Sprint Indirect Website for changes and will comply with the
most recent version of the Sprint Retailer Privacy Policy at all times. |
|
8.1 |
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Definition of Sprint Confidential Information. “Sprint Confidential
Information” means any information not generally available to the public relating to or
received by Retailer in the course of this Agreement that is marked as confidential or
proprietary, |
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or that given the nature of the information or the circumstances surrounding
its disclosure to or receipt by Retailer, reasonably should be considered as
confidential, whether reduced to writing, maintained on any form of electronic
media, or maintained in the mind or memory of Retailer and whether compiled by
Sprint or Retailer. Examples of Sprint Confidential Information that Retailer will
receive in the course of this Agreement include, without limitation, the terms and
conditions of this Agreement, information regarding existing and potential Sprint
Customers, Sprint Customer lists, prospects provided by Sprint for the purpose of
direct marketing the Sprint Services and Products, customer referral programs,
Sprint’s unique sales and servicing methods, advertising and promotional materials
and techniques, pricing techniques, vendor and product information, training courses
and materials, and insurance and credit policies. |
|
8.2 |
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Protection of Sprint Confidential Information. Retailer will take all
reasonable measures to avoid disclosure, dissemination or unauthorized use of the
Sprint Confidential Information, including, at a minimum those measures that it takes
to protect its own confidential information of a similar nature, but in no event less
than a reasonable standard of care. Retailer will implement and maintain reasonable
procedures described by Sprint from time to time to prevent the unauthorized use and
disclosure of Sprint Confidential Information. |
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8.3 |
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Disclosure of Sprint Confidential Information. Retailer will not disclose
Sprint Confidential Information to any person or entity other than employees, agents or
subcontractors of Retailer that need to know the Sprint Confidential Information to
perform Retailer’s duties under this Agreement, and in those instances, only to the
extent justifiable by that need. Retailer will ensure that its employees, agents and
subcontractors comply with the terms of this Agreement. |
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8.4 |
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Use of Sprint Confidential Information. Retailer will not use the Sprint
Confidential Information indirectly or directly, except in the course of performing its
duties under this Agreement. |
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8.5 |
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Copying of Sprint Confidential Information. Retailer will not make any copies
of Sprint Confidential Information, except as permitted in writing by Sprint or as
necessary to perform its duties under this Agreement. |
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8.6 |
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Limitations on Export of the Sprint Confidential Information. Retailer will
not export any Sprint Confidential Information in any manner contrary to the export
regulations of the United States. |
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8.7 |
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Return of Sprint Confidential Information. Retailer will deliver to Sprint,
without keeping copies, all Sprint Confidential Information to Sprint on Sprint’s
request, or on the expiration or termination of this Agreement. |
9. |
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USE OF TRADEMARKS AND MARKETING. |
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9.1 |
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License Grant. Sprint grants to Retailer a non-exclusive license to use and
display the trademarks provided to Retailer in the Sprint Branding Guidelines
(“Marks”), and updated by Sprint from time to time, for purposes consistent with this
Agreement. Retailer will not assign or sublicense any right or interest in the Marks
without the prior written consent of Sprint. |
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9.2 |
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Restrictions on Use. Retailer must not use the Marks as, or incorporate any of
the Marks into, its: |
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(C) |
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website metatag or similar programming code; |
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(D) |
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“vanity” telephone numbers; or |
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(E) |
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phone or directory-assistance listings. |
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9.3 |
|
Ownership of the Marks. Sprint and its parent and affiliated companies own all
right, title and interest in the Marks and the goodwill associated with the Marks.
Retailer acquires no rights in the marks except those limited rights expressly granted
under this Agreement. Any goodwill from Retailer’s use of the Marks will inure to
Sprint’s benefit. Retailer must not, directly or indirectly, contest the validity of
the Marks or Sprint’s rights in the Marks. Retailer must not register, or attempt to
register, the Marks or any confusingly similar variation of the Marks in any form. |
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9.4 |
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Enforcement and Defense. |
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(A) |
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Sprint Controls Enforcement. Retailer must promptly notify
Sprint of any infringement or unauthorized use of the Marks in any form.
Sprint, in its sole discretion, will determine how it will respond. Retailer
will not enforce any rights in the Marks against any third party without the
prior written consent of Sprint, which Sprint may withhold in its sole
discretion. |
|
(B) |
|
Sprint Controls Defense. Sprint will defend and settle any
trademark-infringement claim against the Marks at Sprint’s expense. Sprint
may terminate Retailer’s license to use any or all of the Marks in order to
settle any the claim. Retailer will not defend the claims without the prior
written consent of Sprint, which Sprint may withhold in its sole discretion. |
|
(C) |
|
Sprint Controls Registration. Sprint will be solely
responsible for and will file, prosecute and maintain any and all trademark,
service xxxx, trade name, domain name and related applications and
registrations for the Marks, in its sole discretion. |
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(D) |
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Participation by Retailer. Sprint will have the right to direct
and control, in its sole discretion, any negotiation, administrative
proceeding, or litigation involving the Marks, including (without limitation)
Retailer’s claims, appearance, defense or other participation. Any proceedings
handled by Sprint will be at Sprint’s expense, and Sprint will have the right
to collect any damages, fines or other monetary awards paid and to enforce any
equitable relief granted in connection therewith. |
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(E) |
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Best Efforts. Retailer will use best efforts to cooperate with
Sprint’s efforts under this Section 9.4, at Sprint’s expense, including without
limitation making personnel available to testify and providing relevant
documentation and information. |
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9.5 |
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Quality Control. Retailer must: |
|
(A) |
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maintain a consistently high quality for the Products and
Services offered in connection with the Marks; |
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(B) |
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adhere to the trademark usage guidelines provided by Sprint to
Retailer and other specific quality control standards that Sprint may from time
to time communicate to Retailer; |
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(C) |
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comply with all applicable laws and regulations governing the
operation of the Retailer’s business and Retailer’s use of the Marks; |
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(D) |
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not combine the Marks with other marks to create a new unitary xxxx; |
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(E) |
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not alter or modify the Marks in any way; |
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(F) |
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on Sprint’s request, submit representative samples of
Retailer’s use of the Marks to Sprint; and |
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(G) |
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promptly notify Sprint of any known, suspected or potential
violation of this Section 9. |
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9.6 |
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Sprint’s Prior Approval. Sprint will have the right of prior approval, which
Sprint may withhold in its sole discretion, with respect to: |
|
(A) |
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each form of use of the Marks; and |
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(B) |
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the use of the Marks in any advertisements or promotions for
the Sprint Services or Products. |
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9.7 |
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Advertising by Retailer. Retailer is solely responsible for compliance with
all laws and regulations that apply to its advertising. Sprint’s approval in Section
9.6(B) above is limited to the use of Sprint’s Marks In Retailer’s advertising, and
does not imply or convey that Retailer’s advertising complies with applicable laws or
regulations. |
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9.8 |
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Marketing Materials. Sprint will provide a reasonable amount of point-of-sale
marketing materials, including coverage maps and rate plan brochures (collectively,
“Marketing Materials”). Retailer will make the current version of the Marketing
Materials available to Customers at all times. Retailer will not use Marketing
Materials that have expired, or that Sprint requests Retailer to stop using. Retailer
will not make any changes to the Marketing Materials or create its own Marketing
Materials without Sprint’s prior written approval. Sprint owns all intellectual
property rights, including copyrights, in the Marketing Materials, and Sprint grants
Retailer a non- exclusive, limited right to use and display the Marketing Materials
only for purposes consistent with this Agreement. |
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9.9 |
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Identification of Retailer. Retailer will identify itself at all times by its
own name, and may not identify itself as Sprint or any of Sprint’s affiliates. In
connection with its relationship to Sprint, Retailer may only identify itself as an
authorized representative that sells Sprint Services and Products. |
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9.10 |
|
Press Releases. Retailer will not issue press releases about Sprint, its
Products, Services or Customers, or using the Sprint Marks except with the prior
written approval of Sprint. |
10. |
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REPRESENTATIONS AND WARRANTIES. |
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10.1 |
|
Authority. Each party represents and warrants that it has full authority to
perform its obligations under this Agreement and the person executing this Agreement
has the authority to bind it. Retailer represents and warrants that Retailer’s exact
legal name, type of organization and jurisdiction of organization are correctly set
forth in the recitals to this Agreement. |
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10.2 |
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Performance. Retailer represents and warrants that it will perform its
obligations under this Agreement in a legal, ethical and professional manner. |
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10.3 |
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No Conflicts. Retailer represents and warrants that it is not subject to any
limitation or restriction that would prohibit or restrict Retailer from entering into
this Agreement or performing any of its obligations under this Agreement. |
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10.4 |
|
Review of Agreement. Retailer represents that it has carefully reviewed
this Agreement and has had enough time to consult with a lawyer, accountant, or other
professional advisor, if it wanted. Retailer represents that, if it did not use a
professional advisor, it is satisfied in relying on its own education, experience,
and skill in evaluating the merits of and entering into this Agreement. |
11. |
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LIMITATION OF LIABILITY. |
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11.1 |
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General Non-liability of the Parties. EXCEPT FOR A PARTY’S INDEMNIFICATION
OBLIGATIONS IN THIS AGREEMENT, OR ANY CLAIMS RESULTING FROM A PARTY’S BREACH OF ITS
OBLIGATIONS UNDER SECTIONS 8 — CONFIDENTIALITY, 7 — PRIVACY, OR 9 — TRADEMARKS, IN NO
EVENT WILL EITHER PARTY BE LIABLE FOR SPECIAL, INDIRECT, INCIDENTAL, CONSEQUENTIAL OR
PUNITIVE DAMAGES OF ANY KIND, INCLUDING WITHOUT LIMITATION, LOST PROFITS OR OTHER
MONETARY LOSS ARISING FROM THIS AGREEMENT. |
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11.2 |
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Special Non-liability of Sprint. IN ADDITION TO THE LIMITATION OF LIABILITY IN
SECTION 11.1 ABOVE, IN NO EVENT WILL SPRINT BE LIABLE FOR SPECIAL, INDIRECT,
INCIDENTAL, CONSEQUENTIAL OR PUNITIVE DAMAGES OF ANY KIND, INCLUDING WITHOUT
LIMITATION, LOST PROFITS OR OTHER MONETARY LOSS, ARISING OUT OF THE PERFORMANCE,
FAILURE TO PERFORM OR POOR PERFORMANCE OF THE SPRINT SERVICES, WHETHER OR NOT ANY OF
THE PERFORMANCE MATTERS OR CAUSES ARE WITHIN SPRINT’S CONTROL OR DUE TO NEGLIGENCE OR
OTHER FAULT ON THE PART OF SPRINT, ITS AGENTS, AFFILIATES, EMPLOYEES OR OTHER
REPRESENTATIVES. |
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12.1 |
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General Indemnification. Each party will indemnify, defend and hold the other
party, its officers, directors, employees, affiliates, agents, subcontractors,
successors and assignees harmless against any liability for any Claims brought by
third parties arising out of: |
|
(A) |
|
the negligent, grossly negligent or intentional misconduct or
omission by the indemnifying party or its officers, directors, employees,
affiliates, agents, subcontractors, successors and assignees under this
Agreement, except to the extent caused by the negligent, grossly negligent or
intentional misconduct or omission of the indemnified party or except to the
extent disclaimed by Sprint in Section 11.2 above or in Section 10 of Exhibit
B; or |
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(B) |
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a material breach of this Agreement. |
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12.2 |
|
Indemnification by Retailer. Retailer will indemnify, defend and hold Sprint,
its officers, directors, employees, affiliates, agents, subcontractors, successors and
assignees harmless against any liability for any Claims brought by third parties
arising out of: |
|
(A) |
|
any act or omission by Retailer or its officers, directors,
employees, affiliates, agents, subcontractors, successors and assignees under
this Agreement in advertising Sprint’s Products or Services or in making a
solicitation of, calling on or making a sale to a Customer, including without
limitation misrepresentations; |
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(B) |
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unauthorized use, misuse or modification of Sprint’s Marks by
Retailer or its officers, directors, employees, affiliates, agents,
subcontractors, successors and assignees under this Agreement; |
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(C) |
|
breach of a representation or warranty by Retailer or its
officers, directors, employees, affiliates, agents, subcontractors, successors
and assignees under this Agreement; |
|
(D) |
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any violation of law by Retailer or its officers, directors,
employees, affiliates, agents, subcontractors, successors and assignees under
this Agreement; or |
|
(E) |
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any act or omission by Retailer or its officers, directors,
employees, affiliates, agents, subcontractors, successors and assignees under
this Agreement that results in a loss or unauthorized disclosure or use of
Sprint Information. |
|
12.3 |
|
Indemnification by Sprint. Sprint will indemnify, defend and hold Sprint,
its officers, directors, employees, affiliates, agents, subcontractors, successors
and assignees harmless against any liability for any Claims brought by third parties
arising out of: |
|
(A) |
|
any act or omission by Sprint or its officers, directors,
employees, affiliates, agents, subcontractors, successors and assignees under
this Agreement in advertising Sprint’s Products or Services or in making a
solicitation of, calling on or making a sale to a Customer, including without
limitation misrepresentations; |
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(B) |
|
breach of a representation or warranty by Sprint or its
officers, directors, employees, affiliates, agents, subcontractors, successors
and assignees under this Agreement; |
|
(C) |
|
any violation of law by Sprint or its officers, directors,
employees, affiliates, agents, subcontractors, successors and assignees under
this Agreement; or |
|
(D) |
|
any act or omission by Sprint or its officers, directors,
employees, affiliates, agents, subcontractors, successors and assignees under
this Agreement that results in a loss or unauthorized disclosure or use of
Sprint Information. |
|
(A) |
|
Conditions for Indemnification. The indemnification
obligations under this Agreement will not apply unless the party claiming
Indemnification: |
|
(1) |
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promptly notifies the indemnifying party in
writing of the Claim; |
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permits the indemnifying party to assume and
control the defense of the Claim, except for Claims against Sprint for
Retailer’s or its Subcontractors violations or alleged violations of
law, for which Sprint will control the defense of the Claim; |
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(3) |
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cooperates with the investigation and defense
of the Claim by the indemnifying party; and |
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(4) |
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does not enter into a settlement of the Claim
without the indemnifying party’s consent, except Sprint reserves the
right to enter into a settlement at its sole discretion if Retailer
fails to defend a Claim for which it has an indemnification obligation
to Sprint. |
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Separate Counsel Permitted. The indemnified party may employ
separate counsel and participate in the defense of the Claim. Separate counsel
will be at the expense of the indemnified party, unless the indemnifying party
fails to defend the indemnified party after receiving notice of the Claim. |
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(C) |
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Failure to Defend. If the indemnifying party fails to defend or
settle a Claim to the reasonable satisfaction of the other party within a
reasonable amount of time, then the indemnified party may elect counsel to
represent it. The indemnifying party will be solely responsible for the
payment or reimbursement (at the indemnified party’s option) of reasonable
attorneys fees and costs incurred in defending or settling that Claim and for
all liability arising from that Claim. |
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12.5 |
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Survival. This indemnity continues in effect after this Agreement’s
termination or expiration. |
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TERM AND TERMINATION. |
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13.1 |
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Term of the Agreement. The initial term of this Agreement is 1 years from the
Effective Date, and the Agreement will automatically renew for 1 year periods after the
expiration of the initial term unless either party: |
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(A) |
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gives the other party written notice of non-renewal at least
30 days before end of the then-current term; or |
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(B) |
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terminates the Agreement under this Section 13. |
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13.2 |
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Termination for Convenience. Either party may terminate this Agreement for
any reason on 30 days written notice to the other party. |
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13.3 |
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Immediate Termination for Cause by Sprint. Sprint may terminate the RETAILER
Agreement for cause immediately on written notice to RETAILER if RETAILER: |
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(A) |
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Materially misrepresents the Sprint Services, the Service Offer
or the Products to Customers or potential Customers; |
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(B) |
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intentionally falsifies information on any order submitted to
Sprint for activation, including by or through fraudulent means (e.g. false
representation of the identity of the Customer); |
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fails to meet the minimum performance requirements set out in
Exhibit D for 6 months based on a rolling average, or any 3 non-consecutive
calendar quarters in the course of this Agreement, or fails to meet any
Retailer Program Requirements set out in Exhibit D at any time. |
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(D) |
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misuses or modifies any Marks, uses any Marks without the
prior written consent of Sprint, or otherwise materially breaches a provision
of Section 9; |
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defaults on any obligation set forth in Sections 8 —
Confidentiality or 7 — Privacy of this Agreement; |
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(G) |
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fails to pay any amounts when due; |
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(H) |
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assigns, transfers, or attempts to assign or transfer this
Agreement, or any portion of this Agreement, without the prior written consent
of Sprint; |
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(I) |
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subcontracts or attempts to subcontract, any of its duties
under this Agreement without the prior written consent of Sprint; or |
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(J) |
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fails to comply with any civil or criminal laws, ordinances,
rules or regulations, including without limitation those relating to health,
safety, employment, environmental, regulation and taxation. |
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13.4 |
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Termination for Cause by Sprint — Cure Period. Retailer has no right to cure
any breach of this Agreement listed in Section 13.3 above. For all other breaches,
Retailer has 30 days after receiving written notice from Sprint to cure the breach in
that notice to Sprint’s satisfaction. If Retailer fails to cure that breach, Sprint may
terminate the Agreement for cause at the end of the cure period. |
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13.5 |
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Other Remedies for Default. In addition to the right to terminate this
Agreement for cause, Sprint reserves all other rights and remedies it may have in law
or in equity for a breach of this Agreement by Retailer. |
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13.6 |
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Termination Date and Notice. A party may exercise its right to terminate this
Agreement, or give notice of non-renewal, by giving the other party written notice
stating the effective date of termination. Termination is effective as of 11:59 p.m.
Eastern Time (daylight or standard, as applicable) on the termination date specified in
the termination notice. |
14. |
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Effect of Termination. |
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14.1 |
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Effect on Compensation — Compensation Ceases. If this Agreement is terminated
for any reason or expires without renewal, Sprint will pay Retailer Commissions
actually earned prior to the termination or expiration of the Agreement after all
offsets and chargebacks Sprint is entitled to have been deducted. |
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14.2 |
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Duties on Termination or Expiration. On the termination or expiration of this
Agreement, Retailer will: |
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immediately cease identifying itself as an authorized
representative of Sprint, including using best efforts to immediately cease all
related sales efforts, remove signs containing Sprint’s Marks and replace
business cards referring to Retailer or its employees, agents or subcontractors
as an authorized representative of Sprint; |
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(B) |
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promptly notify all members of its staff to immediately cease all Sprint-related sales
efforts; |
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(C) |
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promptly return or destroy, as directed by Sprint, all Sprint Customer Records and lists of
Sprint Customers to Sprint including any copies; and |
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(D) |
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promptly return or destroy, as directed by Sprint, all unused Marketing Materials, all
merchandising displays, all training manuals, policy manuals or written materials supplied by
Sprint including any copies. |
15. |
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ASSIGNMENT. This Agreement may be freely assigned by Sprint to any successor of it or to any
other firm or entity capable of performing its obligations under this agreement. Sprint relied
upon the financial, business and personal reputation of Retailer and its management in
deciding to enter into this Agreement with Retailer. Neither this Agreement, nor any right or
obligation of |
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Retailer may be transferred, assigned or encumbered by Retailer without Sprint’s prior
written approval, which Sprint may withhold at its sole discretion, except that Retailer
may, without the consent of Sprint, assign the Agreement to a controlled subsidiary or a
purchaser of all or substantially all of Retailer’s assets used in connection with
performing this Agreement, provided that Retailer guarantees the performance of and causes
the assignee to assume in writing all obligations of the assignor under this Agreement..
Retailer may not change its name, type of organization or jurisdiction of organization
without the prior written approval of Sprint, which Sprint may withhold at its sole
discretion. Any proposed transferee must meet with the Sprint’s approval and must agree to
execute the Sprint’s then current form of this Agreement. Any transfer, assignment or
encumbrance without Sprint’s prior written approval will not be honored by Sprint and will
be void. Subject to the restrictions against assignment contained in this sub-section, this
Agreement will bind and inure to the benefit of the successors and assigns of the parties |
16. |
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DISPUTE RESOLUTION. All Disputes arising from or related to this Agreement will be resolved
according to the terms and conditions set forth in Exhibit G. |
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17.1 |
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Governing Law. This Agreement is governed by the laws of the Commonwealth of
Virginia, regardless of conflicts of law provisions. |
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17.2 |
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Independent Contractor. Retailer is an independent contractor and has no
express or implied right or authority to assume or create any obligation on behalf of
Sprint, or represent that it has any right or authority to do so. Retailer has not paid
any fee for this Agreement or for the right to solicit subscriptions for Sprint
Services. Retailer is not required to purchase any products from Sprint for the
operation of business under this Agreement. The parties do not intend to create an
agency, franchise, dealership, employment, partnership, landlord-tenant, or joint
venture relationship, or any other relationship to Sprint than that
of an authorized
representative for the limited purposes described in this Agreement. Retailer does not
have, nor may it hold itself out as having, the power to make contracts in the name of
or binding on Sprint, nor does Retailer have the power to pledge credit or extend
credit in the name of Sprint. |
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17.3 |
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Compliance with Law. Sprint and Retailer will each comply with all applicable
federal, state, county and local laws, rules, regulations and orders that apply to the
performance of its obligations under this Agreement. Retailer will not cause Sprint to
violate any applicable law. |
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17.4 |
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Notice. All notices and inquires required or permitted to be given under
this Agreement will be in writing addressed as listed below and delivered by certified
United States mail, hand or overnight courier (with receipt from courier) charges
prepaid. All notices will be effective on the date deposited to the delivery method,
even if refused by the receiving party. |
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Notice Addresses: |
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If to Sprint: |
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If to Retailer: |
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Attn: Vice President- National Retail
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Attn: |
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Sprint Indirect Distribution |
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with a copy to: |
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Sprint Nextel |
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0000 Xxxxxx Xxxxxx Xx |
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Xxxxxx, XX 00000 |
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Attn: Counsel — Indirect Sales |
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17.5 |
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Force Majeure. Neither party is liable for failure to perform its obligations under this
Agreement due to causes beyond its control, including acts of God (e.g., fire, flood or
other catastrophes); any law, order, regulation or request of any government, or of
any civil or military authority; national emergencies, insurrections, riots, wars, or
strikes, lock-outs, work stoppages, or other labor difficulties. The party suffering a
force majeure event will use commercially reasonable efforts to remove the force
majeure event. |
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17.6 |
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Headings. The 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 the Agreement or any provision of the Agreement. |
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17.7 |
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Severability. If any provision of this Agreement is held invalid, illegal or
unenforceable in any respect, the provision will be treated as severable, and will not
affect the validity, legality or enforceability of the remainder of the Agreement. |
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17.8 |
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No Waiver. No waiver of any term or condition of this Agreement, either generally or
in a particular instance, will be effective unless the waiver is in writing and signed by
an authorized person of the party against which the waiver is being asserted. If a
written waiver of a term or condition is limited to a particular instance, then nothing in
that waiver will preclude the party from later enforcement of that term or condition.
Either party’s failure to require the performance of any of the terms or conditions of
this Agreement will not prevent the later enforcement of that term or condition, nor be
deemed a waiver of any later breach. |
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17.9 |
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Entire Agreement. This Agreement, including its exhibits, constitutes the final and
full understanding between the parties and supersedes all previous agreements,
understandings, negotiations and promises, whether written or oral, between the
parties with respect to its subject matter. This Agreement is intended to
supersede all previous agreements on the same subject matter that Retailer
previously signed with a Sprint Contracting Party, including without limitation
the various versions of the Nextel Authorized Representative Agreement, the
Sprint Distribution Agreement, or the Sprint Partner Program Sales Agent
Agreement. No amendments to this Agreement will be binding on either party
unless executed by both parties in writing. |
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18.1 |
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“Claims” means all claims, complaints, proceedings, investigations or actions brought
by a third party, including any government agency or entity arising from or resulting
from activities under this Agreement, including advertising and promotional activities,
business conducted or sales made by Retailer, actual and consequential damages, and
out-of-pocket costs reasonably incurred in the defense of a claim, such as
accountants, attorneys and expert witness fees, costs of investigation and
proof of facts, court costs, other litigation expenses, travel and living expenses,
except as limited in Section 11.2 (Special Limitation of Liability for Sprint). |
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18.2 |
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“Customer” means any person or entity that subscribes to Sprint Services. |
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18.3 |
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“Dispute” means all controversies, disputes or claims of every kind and nature
arising out of or in connection with the negotiation, construction,
validity, interpretation, performance, enforcement, operation, breach,
continuance or termination of this Agreement. |
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18.4 |
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“Effective Date” means the date the last party signs this Agreement. |
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18.5 |
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“Products” means the wireless phones, data devices, or other equipment
that are approved by Sprint for use with the Sprint Services, and the accessories
that may be used with those wireless phones, data devices or other equipment. |
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18.6 |
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“Senior Representative” means a Vice President or Owner/Proprietor of the
Retailer or person holding a position of equivalent or greater authority within
Retailer’s organization. A Senior Representative for Sprint is a Vice President. |
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18.7 |
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“Solicitation” means any invitations to bid, requests for quotations,
requests for proposals, or other binding offer submitted in response to a
solicitation issued by any Customer or potential Customer for Sprint Products and
Services, including without limitation a federal, state, or local government entity
or educational institution. |
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18.8 |
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“Sprint Affiliates/Nextel Partners” refers to the third parties not
affiliated with Sprint that offer Sprint Services outside of the geographic area
covered by this Agreement. |
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18.9 |
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“Sprint Information” means any information relating to an existing or
potential customer of Sprint that Retailer may collect or receive during the course
of this Agreement. This information may include without limitation the existing or
potential customer’s name, address, rate plan, handset type, telephone numbers,
email addresses, credit card information, CPNI (Customer Proprietary Network
Information as defined in Section 222 of the Federal Communications Act, 47 U.S.C.
section 222)
or any other information related to the quantity, technical
configuration, type, destination, location, and use of a telecommunications
service provided to the existing or potential customer, including
information contained in bills provided to the existing or potential
customer. Sprint makes no representations or warranties about Sprint
Information. |
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18.10 |
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“Sprint Services” means the communications services, regardless of
technology (e.g. COMA or IDEN wireless services or wireline services), offered by
Sprint or its affiliates or subsidiaries (except Sprint Affiliates or Nextel
Partners) under the names “Sprint PCS” or “Nextel”. |
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18.11 |
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“Subcontractor” means a third party that Retailer has entered into a
contract with (whether written or otherwise) to perform at least some of its
obligations under this Agreement. |
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Signed: |
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Sprint
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RETAILER |
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Signature:
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Signature: |
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Printed Name:
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Printed Name: |
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Title:
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Title: |
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Date:
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Date: |
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EXHIBIT A
RETAIL WIRELESS COMMISSION PLAN
The Parties agree this Exhibit A will provide the basic structure and form of compensation
structure envisioned by Retailer and Sprint. The Parties agree to use good faith efforts to
negotiate the final version of Exhibit A before the Closing Date. In furtherance of this
purpose, the Parties agree to use good faith efforts to negotiate the compensation structure,
which may modify or amend this Exhibit A and is not required to conform entirely to the terms
listed herein. Such compensation structure may include provisions for compensation terms
which are either not listed, or differ from, the terms in this Exhibit A.
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EXHIBIT B
WIRELESS PRODUCT PURCHASE TERMS
The terms and conditions in this Exhibit B govern the purchase of Wireless Products by Retailer
from Sprint for resale under this Agreement. Retailer has no obligation under this
Agreement to purchase Products from Sprint for the operation of business under this
Agreement. Sprint may change the terms and conditions in this Exhibit B upon 30 days
written notice to Retailer.
1. Purchase Orders. A written purchase order is required for all orders. The terms and
conditions in this Exhibit B govern with respect to all sales of Products by Sprint to Retailer,
and control and prevail over contrary terms and conditions contained in the purchase orders
submitted by Retailer. Purchase orders submitted by Retailer to Sprint will not amend, modify,
add to or detract from the terms and conditions in this Exhibit B. All purchase orders submitted
by Retailer are subject to credit approval by Sprint, and are subject to product availability.
2. Price.
Retailer may purchase Products at the prices established by
Sprint in its sole
discretion and that are in effect at the time of shipment. Sprint may charge Retailer a
reasonable handling fee for each purchase order submitted to Sprint by Retailer. Sprint may
change the prices for Products from time to time.
3. Payment Terms. Unless otherwise stated on the invoice, payment for all amounts owed to
Sprint are net 60 days from the date of the invoice in United States currency. The entire
outstanding balance due on all invoices becomes due to Company in full immediately upon default
in the payment of any invoice. Sprint may charge Retailer a late payment charge in the amount of
1.5% per month (18% annually), or such lesser amount established or required by law, on any
payment past due until such past due payment together with the late payment charge is paid in
full to Sprint. Retailer may
not offset amounts owed by Sprint to Retailer for any reason against any invoice issued by Sprint
to
Retailer.
4. Freight, Shipping & Inspections.
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4.1 |
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Freight and Shipping. Products ordered by Retailer from Sprint will be shipped
F.O.B. Destination. Sprint will pay all freight and insurance costs incurred by Sprint
or its third party distribution services vendor in connection with the shipment of goods
to Retailer (or the approved destination point designated by Retailer). |
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4.2 |
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Ownership and Risk of Loss. Sprint will own freight in transit and will be
responsible for carriage to an approved Retailer Facility. Risk of loss and ownership
will pass to Retailer upon delivery of the Products to the approved Retailer Facility and
documented signature on the provided Transportation Carrier Delivery Receipt. Sprint is
responsible for all in-transit carrier interaction up to and including claim resolution. |
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4.3 |
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Inspections. It is the responsibility of Retailer to check the shipment and secure
written acknowledgement from the delivering carrier for any shortages, loss or damage.
Notification to Sprint of shortages, loss or damage must be made in writing to Sprint or
Sprint’s designated bulk fulfillment provider (as directed by Sprint), and must be made
within 2 business days of the receipt of the shipment by Retailer, or the Products will be
deemed accepted as of the date of receipt, and any claims for shortages, loss or damage
with respect to that delivery are waived by Retailer. Retailer must retain all packaging
when it submits a claim for shortage, loss or damage. Rejected shipments will be returned
to the address designated by Sprint via the delivering carrier. Shipments rejected for any
reason will be considered attempted Returns subject to the limitations in Section 6
(Returns) unless Retailer notifies Sprint of a shortage, loss or damage within the 2
business days, and Sprint agrees that there is an actual shortage, loss or damage to the
shipment in question. |
5. Price Protection.
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5.1. |
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Price Protection. Sprint offers price protection to Retailer in the form of an
account credit only on qualifying wireless telephones recently purchased by Retailer from
Sprint if the price decreases. Sprint offers no price protection for limited time special
offers which are designated at the time the special offer is introduced. Sprint offers no
price protection for accessories or other equipment Retailer may purchase from Sprint. |
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5.2 |
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Conditions for Price Protection. Price protection is available only for wireless
telephones purchased by Retailer from Sprint that meets the following conditions: |
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(A) |
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The wireless telephones must have been purchased by Retailer
from Sprint for purposes of resale to end-user Customers for activation
pursuant to this Agreement, within the 30 days before the effective date of the
price change; |
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(B) |
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The wireless telephones must be of the same handset model
affected by the price change; |
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(C) |
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The wireless telephones must be new and not yet activated as of
the effective date of the price change; and |
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(D) |
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The wireless telephones must be in Retailer’s inventory on the
effective date of the price change. |
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5.3 |
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Price Protection Claim. |
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(A) |
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To be eligible for the price protection account credit,
Retailer must submit a written claim for price protection to Sprint via the
process provided to Retailer by Sprint. |
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(B) |
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The price protection claim must include an on-hand inventory
report of wireless telephones, by handset model, affected by the price change
in Retailer’s inventory on the effective date of the price change, including
SIM or ESN (as applicable) and model type for each unit that Retailer is
submitting for price protection credit. |
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(C) |
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Retailer must submit all price protection claims resulting
from a particular price change within 30 calendar days of the effective date
of that price change. Price protection claims received after that date will be
rejected. All price protection claims are subject to verification. |
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5.4 |
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Price Protection Credit Amount and Timing. Retailer will receive an account credit
for all qualifying wireless telephones submitted by Retailer for a price protection credit
in the amount of the difference between the original sales price of the wireless telephone
charged to Retailer, less the new sales price for that same handset model, not including
any special offers. The price protection account credit will be issued to Retailer’s
account within thirty 60 calendar days from the receipt of Retailer’s price protection
claim. |
(A) iDEN
Wireless Telephones - Retailer may not return iDEN wireless telephones to Sprint. Any
iDEN wireless telephones eligible for warranty replacement or repair must be submitted as directed
by the original equipment manufacturer. Attempted returns will not be accepted from Retailer or
Sprint may at its option elect to keep the equipment but Retailer will not be eligible for a
credit.
(B) CDMA Wireless Telephones - Sprint
will accept returns of CDMA wireless phones
purchased by Retailer from Sprint subject to the conditions and limitations in this
sub-section 6.1(B).
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1. |
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Retailer may not return to Sprint any CDMA wireless phone
that has been activated on Sprint’s CDMA network for more than 30 calendar
days. |
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2. |
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Retailer may not return to Sprint any CDMA wireless phone
that has been abused by Retailer or the Customer. Examples of abuse include
physical damage, and unauthorized alteration or programming. |
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3. |
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RMA Process — Retailer must make all eligible returns in
accordance with the RMA Process provided by Sprint to Retailer. |
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4. |
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Retailer must return the CDMA wireless telephones with all
accessories that come with the CDMA wireless telephones. |
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5. |
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If the return meets all of the requirements of this
sub-section 6.1(6), then Sprint will issue an account credit to Retailer for
each properly returned CDMA wireless telephones in the amount of the current
price of that CDMA wireless telephone handset model. |
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6. |
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Sprint may charge a restocking fee. |
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7. |
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Sprint will keep all improperly returned CDMA wireless
telephones, and Retailer will not be eligible for the return credit. |
7. Line of Credit/Credit Application. Retailer will complete the credit application provided
by Sprint. Sprint will rely on the credit information furnished by Retailer, and Retailer’s credit
history, to determine Retailer’s maximum credit line. Retailer represents and warrants that all
information furnished on the credit application will be complete, accurate and true. Retailer
will update any information previously furnished to Sprint that later becomes incorrect or
misleading because of a change in circumstances or a material change in the business of Retailer
or Its financial condition. If Sprint determines that any statements made on the credit
application are false, incomplete or inaccurate, Sprint may declare Retailer to be in default of
this Agreement, and may exercise any remedies it has under this Agreement or at law or in equity.
The sale of Products on terms is contingent upon Sprint’s approval of Retailer’s credit
application. Sprint may require additional security from Retailer before granting Retailer a
credit line. Sprint has the right to increase, decrease or terminate Retailer’s credit privileges
at any time without prior notice to Retailer, and with or without cause. Sprint may require
Retailer to complete a new credit application from time to time.
8. Security Interest.
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8.1 |
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Security Interest Granted. If the purchase provides for payments on credit,
Retailer grants Sprint a security interest in the Products purchased from Sprint by
Retailer, whether now owned or hereafter acquired, and any proceeds thereof to secure
payment and performance in full by Retailer of all amounts invoiced for the Products
and all other obligations of Retailer to Sprint. This Agreement constitutes a security
agreement under the Uniform Commercial Code (the “UCC”). |
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8.2 |
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UCC-1 Financing Statements. Sprint is authorized by Retailer to file UCC-1
Financing Statements and amendments thereto with the Secretary of State or other
appropriate offices, and to give notifications to third parties of Sprint’s security
interest to perfect and maintain the continuous enforceability, perfection and
priority of Sprint’s security Interest. |
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8.3 |
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Retailer’s Obligations in Support of Sprint’s Security Interest. Retailer will
sign and deliver documents, and take other actions upon Sprint’s request, required to
perfect and maintain the continuous enforceability, perfection and priority of Sprint’s
security interest. If Retailer obtains Sprint’s prior written consent as required in
this Agreement to change Retailer’s name, type of organization or jurisdiction of
organization, Retailer will cooperate with the filing of appropriate
UCC-1 Financing
Statements or amendments and take other actions upon Sprint’s request to maintain the
continuous enforceability, perfection and priority of the security interest granted by
Retailer in this Section 8. |
9. Product Supply.
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9.1 |
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Supply of Products. Sprint will use reasonable efforts to furnish a sufficient
quantity of Products to meet the resale requirements of Retailer. |
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9.2 |
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Supply Limitation of Liability. Sprint has no liability under this Agreement
for: |
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(A) |
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failure to deliver Products within a specified time period; |
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(B) |
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availability or delays in delivery of Products; |
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(C) |
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discontinuation of Products, product lines, or any part thereof
by the manufacturer; or |
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the cancellation of any orders of Products by the manufacturer. |
10. NO WARRANTY (PRODUCTS). SPRINT MAKES NO WARRANTIES OF ANY KIND, STATUTORY, EXPRESS OR
IMPLIED, TO RETAILER OR TO ANY OTHER PURCHASER OF THE PRODUCTS. SPRINT SPECIFICALLY MAKES NO
EXPRESS OR IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. RETAILER
WAIVES ALL OTHER WARRANTIES, GUARANTEES, CONDITIONS OR LIABILITIES, EXPRESS OR IMPLIED, ARISING BY
LAW OR OTHERWISE. AR’S SOLE AND EXCLUSIVE REMEDY RELATING TO PRODUCTS IS THE REMEDY, IF ANY,
AFFORDED BY THE MANUFACTURER OF THE PRODUCTS TO RETAILER OR AR’S CUSTOMERS. SPRINT IS NOT LIABLE FOR
CONSEQUENTIAL, SPECIAL, INDIRECT, INCIDENTAL OR PUNITIVE DAMAGES, WHETHER OR NOT OCCASIONED BY
SPRINT NEGLIGENCE AND INCLUDING, WITHOUT LIMITATION, LIABILITY FOR ANY LOSS OR DAMAGE RESULTING
FROM THE FAILURE IN THE OPERATION OF ANY PRODUCTS SOLD UNDER THIS AGREEMENT.
11. NO PATENT OR TRADEMARK INDEMNITY. SPRINT HAS NO DUTY TO DEFEND, INDEMNIFY OR HOLD HARMLESS
RETAILER FROM OR AGAINST ANY CLAIM, DEMAND OR CAUSE OF ACTION, INCLUDING ANY DAMAGES, COSTS OR
EXPENSES INCURRED BY RETAILER IN CONNECTION THEREWITH, ARISING FROM OR RELATING TO THE ACTUAL OR
ALLEGED VIOLATION OR INFRINGEMENT OF ANY PATENT, TRADEMARK, COPYRIGHT OR OTHER INTELLECTUAL
PROPERTY BELONGING TO A THIRD PARTY BY THE PRODUCTS.
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EXHIBIT C
Facility Requirements/Approved Facilities
1. |
|
List of Approved Facilities. Retailer will provide Sprint a complete list of
approved facilities quarterly, including complete address, name of store contact, and
contact phone number. |
|
2. |
|
Approval of Facilities. Retailer may only sell or solicit subscriptions under this
Agreement from a Facility that Sprint has approved in writing in advance. Sprint reserves
the right to revoke approval of a Facility for any reason and at any time. If Retailer
moves an approved Facility to a new location, Retailer must resubmit the Facility at that
new location for Sprint’s approval before Retailer may sell or solicit subscriptions under
this Agreement from that new location. Sprint’s right to approve Facilities does not imply
any assurance of the appropriateness or profitability of an approved Facility. Retailer
is not relying on Sprint’s expertise or recommendations of prospective Facilities and
relies solely on its own expertise and judgment in the selection of prospective
Facilities. |
|
3. |
|
Sprint is Not Responsible for Retailer Facilities. Sprint has no control over any
safety measures employed at any Retailer Facilities. Therefore, Sprint assumes no duties
with regard to the safety and well-being of employees, Customers and others at Retailer’s
Facilities. Retailer is solely responsible for determining and taking any action necessary
and appropriate to ensure the safety and well-being of Retailer’s employees, the customers
and others at Retailer’s Facilities. |
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EXHIBIT D
Left Intentionally Blank
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EXHIBIT E
Left Intentionally Blank
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EXHIBIT F
PRIVACY — SPRINT INFORMATION
1. Compliance with Law. Retailer will comply with all U.S. laws relating to the collection,
use, access, maintenance and disclosure of Sprint Information. To the extent Retailer has access
to CPNI under this Agreement, Retailer may use CPNI only for the purpose of marketing or
providing the communications-related products and services similar to the products and services
to which the customer already subscribes. Retailer may not use, allow access to, or disclose CPNI
to any other party, unless required to make such disclosure under force of law. Retailer must
have in place and maintain appropriate protections to ensure the ongoing confidentiality of
customers’ CPNI.
2. Safeguards. Retailer is fully responsible for Sprint Information. Retailer will utilize
administrative, physical, and technical safeguards that prevent the unauthorized collection,
access, disclosure, and use of Sprint Information. These Safeguards will:
|
2.1 |
|
assign random passwords and other access controls so that only
employees, representatives, agents, contractors, and Subcontractors of Retailer
who have a business need to access or use Sprint Information may access or use
it; |
|
2.2 |
|
encrypt Sprint Information when not directly being used by an authorized
person while on Retailer’s network and at all times while in course of transmission; |
|
2.3 |
|
use appropriate firewalls, virus protection and other technical safeguards
against intrusion upon, and harmful transmissions to, any network or facility on
which Sprint Information is stored; |
|
2.4 |
|
grant access privileges to Sprint Information only as needed by employees,
representatives, agents, contractors and Subcontractors of Retailer who have a
business need to use that information, and prompt revocation of such privileges when
no longer required; and |
|
2.5 |
|
train employees and other persons with access to Sprint Information in proper
security practices and procedures. |
3. Notice of Security Breach. Retailer will promptly notify Sprint of any facts known to
Retailer concerning any accidental or unauthorized access, disclosure or use, or accidental or
unauthorized loss, damage or destruction of Sprint Information by any current or former employee,
representative, contractor, Subcontractor or agent of Retailer or by any other person or third
party. Retailer will fully cooperate with Sprint in the event of any accidental or unauthorized
access, disclosure or use, or accidental or unauthorized loss, damage or destruction of Sprint
Information by any other person or third party, to limit the unauthorized access, disclosure or
use, seek the return of any Sprint Information, and assist in providing notice if requested by
Sprint.
4. Disclosure of Sprint Information. Retailer will not disclose Sprint information to any
person unless Sprint has given its prior written consent to the disclosure. Before disclosing
Sprint Information to any person, Retailer must ensure that that person is bound by the same
obligations as Retailer under this Agreement, including the obligation to protect Sprint
Information that also is classified as CPNI. In the event that Retailer receives a request to
disclose Sprint Information through legal process, such as a private party subpoena or a
subpoena, warrant or other process from a governmental authority, Retailer will:
|
4.1 |
|
notify Sprint as soon as practicable of the request so that Sprint at its
option may seek a protective order or take other action to prevent or limit such
disclosure; and |
|
4.2 |
|
cooperate with Sprint’s efforts to obtain a protective order or
other reasonable assurance to preserve the confidentiality of the Sprint
Information. |
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5. Return of Sprint Information. Retailer will return, or at Sprint’ selection, destroy
(and certify the destruction in writing) all Sprint Information upon the termination or
expiration of this Agreement, or earlier if requested to do so in writing by Sprint.
6. Privacy Exhibit and Annual Certification. Retailer will certify annually its continued
compliance with all of the obligations in Sprint’s Privacy Policy, this Exhibit F and the related
provisions in the Agreement. The annual certification form and certification process will be
provided to Retailer by Sprint.
7. Audits and Corrective Action Plans. In addition to any other rights of Sprint under this
Agreement, if any audit under this Agreement identifies a customer privacy related failure in
any of Retailer’s privacy or confidentiality obligations, Retailer will promptly develop a
corrective action plan in cooperation with Sprint. This plan is subject to Sprint’s
approval. Retailer will implement this plan at its sole expense, if
|
7.1 |
|
any audit shows that Retailer has failed to perform any of its
obligations under this Section; or |
|
7.2 |
|
Sprint notifies Retailer in writing of its breach of its privacy
obligations under this Agreement. |
8. Miscellaneous. The acts or omissions of Retailer and anyone with which it is associated
(like its employees, representatives, affiliates, agents, contractors, Subcontractors, and their
employees) are Retailer’s acts or omissions. The rights and obligations in this Exhibit F and any
other provision in the Agreement that is reasonably necessary to enforce them, will survive the
termination or expiration of this Agreement for any reason. The provisions of this Exhibit F
control if they conflict with any other provision in the Agreement. Because a breach of any Sprint
Information provision may result in irreparable harm to Sprint, for which monetary damages may not
provide a sufficient remedy, Sprint may seek both monetary damages and equitable relief.
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EXHIBIT G
DISPUTE RESOLUTION
1 |
|
Dispute Resolution. All Disputes under this Agreement are subject to the following dispute
resolution process. Only a Senior Representative may initiate, respond to, negotiate, resolve
or otherwise direct the resolution of a Dispute. |
|
1.1 |
|
Negotiation. A Senior Representatives will first attempt to negotiate a
resolution to the Dispute. |
|
(A) |
|
Notice of the Dispute. The disputing party initiates negotiations
by providing written notice to the other party, explaining the subject of the
Dispute and the relief requested. |
|
(B) |
|
Procedures. The party receiving a notice of Dispute must respond
in writing within 30 calendar days with a statement of its position on, and
recommended resolution of, the Dispute. If the Dispute is not resolved by this
exchange of information, the Senior Representatives of each party will meet
(either by phone, or, if agreed to, in person,) at a mutually agreeable time
and place within 60 calendar days of the date of the initial notice and
thereafter as often as they reasonably deem necessary in order to exchange
relevant information and perspectives and to attempt to resolve the Dispute. |
|
(C) |
|
Participants in the Negotiations. Senior Representatives will
negotiate the Dispute. If necessary, non-Senior Representatives of the RETAILER
or Sprint may, upon the request and at the direction of a Senior
Representative, participate in the resolution of a Dispute. |
|
(D) |
|
Failure of Negotiation. If the Dispute is not resolved within 90
calendar days of the date of the disputing party’s initial notice, or if the
Senior Representatives fail to meet within 60 calendar days of the date of the
initial notice, either party may initiate non-binding mediation of the Dispute
as specified below. |
|
1.2 |
|
Mediation. If a Dispute is not resolved through negotiation in accordance
with this Agreement, either party may submit the Dispute for mediation under the
Commercial Mediation Procedures and Rules of the American Arbitration Association
(AM). |
|
(A) |
|
Conduct of Mediation. |
|
(1) |
|
Governing Rules. The Commercial Mediation Procedures and Rules of the American Arbitration
Association (“AAA”) will govern the selection of a mediator and the conduct of the mediation,
subject to this Agreement. |
|
(2) |
|
Mediation Briefs. Mediation briefs or statements not
to exceed 15 pages will be submitted to the Mediator. |
|
(3) |
|
Additional Rules for Mediation. Unless the parties
both agree otherwise, the mediation: |
|
(a) |
|
will last no longer than one business day; |
|
(b) |
|
must be attended by a Senior
Representative of each party who may bring counsel and/or other
representatives of the party; and |
|
(c) |
|
will take place in New York, New York,
unless an alternative location is agreed upon by the parties. |
|
(B) |
|
Costs of Mediation. Each party will bear one-half of the cost of
the fees and expenses of the mediation. Each party will bear all its own (and
their advisors’) costs and fees incurred initiating, preparing, and presenting
its case with respect to the mediation. |
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|
(C) |
|
Failure of Mediation. If the Dispute is not resolved through
mediation, the mediation will be terminated by a written declaration of the
mediator that the Dispute has not been resolved. |
|
1.3 |
|
Arbitration. No party may commence arbitration until a Dispute has been
subject to both negotiation and mediation in accordance with this Agreement. Either
party may initiate arbitration with respect to a Dispute by filing a written demand
for arbitration pursuant to the Wireless Industry Arbitration Rules of the AAA at any
time after the 45th calendar day following the date that a request for mediation of
such Dispute was first submitted, or, if earlier, the date that mediation is
terminated. This applies to all causes of action, whether nominally a “claim”,
“counterclaim”, or “cross-claim”, arising under common law or any state or federal
statute. The mediation may continue after the commencement of arbitration if the
parties so desire. |
|
(A) |
|
Identification and Location of Arbitrators. Unless otherwise
agreed by the parties, Arbitration will be conducted by a panel of three
arbitrators in New York, New York. All three arbitrators will be “neutrals,”
and the parties will select arbitrators in accordance with the Wireless
Industry Arbitration Rules of the AAA. |
|
(B) |
|
Conduct of Arbitration. The arbitration will be governed by the
Wireless Industry Arbitration Rules of the AM, except as otherwise set forth in
Section 1.3 to this Exhibit G. |
|
(C) |
|
Scope of Discovery. Except as stated in this Agreement, all
discovery will be governed by the Federal Rules of Civil Procedure. Discovery
will include the request for and production of documents, depositions and
interrogatories as specified below. |
|
(1) |
|
Depositions. Depositions are limited to no more than 3
fact depositions per party for a period of no more than 4 hours each. |
|
(2) |
|
Expert Witnesses. Each party may have up to 2 expert
witnesses and depositions of experts, in addition to the 3 fact
depositions above, for 4 hours of testimony each, to be preceded by the
expert’s written report to comply with Fed.R.Civ.P.26 (a){2)(B}. |
|
(3) |
|
Interrogatories. Interrogatories will be limited in
scope for the purpose of identifying persons with knowledge of facts
relevant to the Dispute; and requesting specification of damages. |
|
(4) |
|
Production of Documents. Requests for production of
documents will be limited to a one-time request and will only seek
documents related to the specific subject matter of the Dispute. |
|
(5) |
|
Settlement of discovery disputes. Any issues
concerning discovery upon which the parties cannot agree will be submitted
to the arbitration panel for determination. |
|
(D) |
|
Award. The arbitration panel will, upon the concurrence of at
least 2 of its 3 members, have the authority to render an appropriate decision
or award, including the power to grant all legal remedies consistent with the
terms of this Agreement and the law in the Commonwealth of Virginia. The
arbitration panel will have no power to award punitive damages of any kind, or
damages that are prohibited elsewhere in this Agreement. The binding or
preclusive effect of any award will be limited to the actual Dispute arbitrated,
and to the parties, and will have no collateral effect on any other dispute or
claim of any kind whatsoever. Within 30 calendar days of the conclusion of the
arbitration, the arbitrators will prepare in writing and provide to the parties
the award, including factual findings and the reasons on which the award is
based. |
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|
(E) |
|
Motions to Dismiss/Summary Judgment. The arbitrators are
empowered and encouraged, under appropriate circumstances, to grant motions to
dismiss or motions for summary judgment, applying standards under the Federal
Rules of Civil Procedure and the Federal Rules of Evidence. |
|
(F) |
|
No Change of Venue/Forum. Neither party will seek a transfer of
venue or forum. |
|
(G) |
|
Costs. Each party will bear one-half of the costs of the fees
and expenses of the arbitrators. Each party will bear all its own (and their
advisors’) costs and fees incurred initiating, preparing, and presenting its
case with respect to the arbitration. |
|
|
(H) |
|
Arbitration is Confidential. The arbitration, along with all filings and decisions, will
be confidential except as necessary to enforce the award. |
2 Waiver of Rights. Sprint and Retailer each waive:
|
2.1 |
|
their rights to litigate Disputes in court, except as set forth in Section
4 of this Exhibit G below; |
|
|
2.2 |
|
to receive a jury trial; and |
|
2.3 |
|
to participate as a plaintiff or as a class member in any claim on a class
or consolidated basis or in a representative capacity. |
3. No Class Action Arbitration. Sprint and Retailer both agree that any arbitration will only
be conducted on an individual basis and that if it is determined, despite the clear and
unambiguous intent of the parties as stated in this Agreement, to permit arbitration other than on
an individual basis, such arbitration will immediately be terminated and neither party will be
under any obligation to continue in such arbitration. In the case of such termination, or if the
arbitration clause is deemed inapplicable or invalid, or otherwise is deemed to allow for
litigation of disputes in court, Sprint and Retailer both waive, to the fullest extent allowed by
law, any right to pursue or participate as a plaintiff or a class member in any claim on a class
or consolidated basis or in a representative capacity.
4. Injunctive Relief. Notwithstanding
anything to the contrary herein, if Sprint determines,
in its sole discretion, that it may suffer irreparable harm as a
result of Retailer’s breach, or
threatened breach, of this Agreement, then Sprint may, without complying with any other dispute
resolution procedures in this Exhibit G seek injunctive relief from a court of competent
jurisdiction.
5. Survival. The provisions of Exhibit G will continue in full force and effect subsequent to
and notwithstanding the expiration or termination of this Agreement.
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EXHIBIT G
INSURANCE REQUIREMENTS
1. RETAILER will provide and maintain at its own expense the following insurance against
liability arising in any way out of this Agreement:
|
1.1 |
|
Commercial General Liability insurance (including but not limited to,
contractual liability insurance) with a limit of $1,000,000 for anyone occurrence,
$2,000,000 General Aggregate; |
|
|
1.2 |
|
Workers’ Compensation in compliance with the laws of the state(s) where
operations occur, with Employers Liability insurance in the amount of $1,000,000 each
accident, $1,000,000 by Disease each employee and $1,000,000 by
Disease, Policy limit; |
|
|
1.3 |
|
Business Automobile Liability insurance covering all vehicles used in
connection with the Agreement with a combined single limit of $1,000,000; |
|
|
1.4 |
|
Umbrella form excess liability insurance with limits of at least
$5,000,000, and |
|
|
1.5 |
|
“All-risk” property insurance (including transit coverage) to cover the
full value of all Sprint property in the care, custody and control of Retailer. |
|
|
1.6 |
|
All policies will be “occurrence” form. |
2. All insurance policies will be issued by companies licensed or authorized to transact
business in the
state(s) where operations will occur and who hold a current rating of at least A-, VII according to
A.M. Best. Sprint, its directors, officers, partners, affiliates, subsidiaries and employees
will be named as additional insureds on all liability insurance policies required in this
agreement. Sprint will be listed as a loss payee as its interests apply on the all-risk
policy. Each insurance policy will contain a waiver of subrogation in favor of Sprint. Each
insurance policy will contain a clause requiring that the insurer endeavor to give Sprint at
least 30 days prior written notice of cancellation, and Retailer will immediately notify
Sprint of any reduction or possible reduction in the limits of any the policy where the
reduction, when added to any previous reduction, would reduce coverage below the limits
required under this Agreement. Retailer’s insurance will be primary for services/work provided
under this agreement while Sprint’s insurance will be excess and non-contributory to any
insurance coverage provided by the Retailer.
3. RETAILER will provide proof of insurance either in the form of a Certificate of Insurance
(XXXXX form 25S or equivalent) or a web based Memorandum of
Insurance. Retailer will provide this
proof within 15 days of signing this Agreement and again within 15 days of the renewal or
replacement of each policy. All certificates of insurance will be addressed to the address
designated by Sprint:
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