RESELLER BILLING DIRECT AGREEMENT EFFECTIVE DATE: 8/14/01
Exhibit
10.14
[LOGO]
PUSH
TO TALKSM
SERVICES
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RESELLER
BILLING DIRECT AGREEMENT
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EFFECTIVE
DATE: 8/14/01
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This
Reseller Agreement (“Agreement”) is entered into by ITXC, Inc., having an office
of business at 00000 XX Xxxxxxxxxx Xxxxxxx, Xxxxxxxxx, Xxxxxx, 00000 (“ITXC”)
and “Reseller.”
Reseller
Name:
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Viper
Networks, Inc.
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Contact
Name: Xxxx Xxxxxxxxxxx
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Address:
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0000
Xxxxxxxxx Xxx #000
Xxx Xxxxx, XX 00000
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Telephone:
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Main:
000-000-0000
Direct: 000-000-0000
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Facsimile:
000-000-0000
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email
address:
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Jcastiglione@viperipcom
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URL:
xxx.xxxxxxxxxxxxx.xxx
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ITXC
is
engaged in the development, manufacture, sales and license of certain products
and services for Internet telephony applications. ITXC desires to increase
the
sale of its Push to Talk services by having Reseller located prospective
customers and assist in obtaining orders for such services.
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The
Parties Agree as Follows:
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1. Definitions.
1.1 “Customer
Agreement”
means the written agreement between Reseller and Customer under which
ITXC
provides Services to Customer.
1.2. “Customer”
means a customer who is a subscriber of Reseller’s
technology.
1.3 “Marketing
Activities”
means the activities undertaken by Reseller in marketing ITXC’s Services
to Customers where at a minimum: (i) Reseller provides information
regarding the Services to the Customer, and (ii) Reseller maintains
conduct with the Customer throughout the sales cycle.
1.4 “Services”
means the ITXC Push to Talk service offering for Customers described
in
Attachment A. ITXC may from time to time modify the Services offered
at
ITXC’s sole discretion.
2. Appointment
and Responsibilities.
2.1 Appointment.
Subject to the terms and conditions of this Agreement, ITXC hereby
appoints Reseller for the Term of this Agreement as its nonexclusive
representative to: (i) identify potential Customers interested in
entering
into Customer Agreements with ITXC and (ii) perform Marketing Activities
directed toward such potential Customers.
2.2 Reseller
Responsibilities.
Reseller shall perform Marketing Activities to potential Customers.
Reseller shall obtain a signed Customer Agreement.
2.3 Resale
of Services.
Reseller may resell the Push to Talk Service to third parties who
have
signed agreements with Reseller containing the minimum terms contained
in
Attachment C. Reseller will indemnify ITXC for any claims or loss
incurred
by ITXC due to (1) Reseller’s failure to comply with the preceding
sentence, or (2) termination of the Push to Talk Service in accordance
with Section 6 below. Reseller is responsible for billing and collecting
amounts due from its customers. Reseller is will pay ITXC, regardless
of
whether its customers are current in their accounts with Reseller.
Reseller is responsible for updating provisioning information to
inform
ITXC of its customers that have terminated use of the Push to Talk
Service. Reseller will be responsible for Service Fees (as defined
in
Section 4) for its Customers until ITXC is notified via e-mail, or
such
other method as ITXC may request, that such Customer has terminated
use of
Push to Talk Services. The amount(s) charged and billed by Reseller
to its
customers is determined by Reseller in its sole discretion.
2.4. Reseller
Rights.
ITXC reserves the right: (i) to solicit orders directly from and
to sell
directly to any potential Customer and (ii) to appoint
other
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representatives
on a nonexclusive basis to promote ITXC’s Services. Provided, however,
ITXC will use its best efforts to refer Reseller’s Customers to Reseller
for Services.
2.5. Privacy.
Reseller shall not be authorized to conduct any negotiations on behalf
of
ITXC, conclude an contract on ITXC’s behalf or make any representation,
warranty, promise or take any other action binding upon ITXC without
the
prior written consent of ITXC. It is confirmed and agreed that in
any
event ITXC shall at its sole discretion determine whether or not
to enter
into any Customer Agreement.
2.6 Status
Reports.
Reseller shall promptly submit to ITXC quarterly (or more frequently
at
ITXC’s request), written reports including without limitation: (i) monthly
status reports on Reseller’s efforts indicating each potential Customer
identified, located or contacted and the reasons for such contact;
(ii)
Reseller’s marketing and promotional plans; and (iii) such other
information as ITXC may reasonably request from time to time so as
to keep
ITXC fully informed of all matters relating to this
Agreement.
2.7 Publicity.
With prior consent from the other party, Reseller and ITXC (a) may
provide
a link from their web site to the other party’s home page, (b) list the
other party as a representative and/or customer, and (c) issue press
releases which reference the other party. Consent shall not be
unreasonably withheld. Reseller will participate in reasonable joint
marketing activities designed by ITXC. ITXC may list Reseller’s Customers
as ITXC Customers with the Customer’s prior written approval.
2.8 Ethical
Standards.
Reseller will maintain the highest ethical standards in its dealings
on
behalf of ITXC. Reseller will refrain from acting in a manner that
would
reflect poorly on ITXC or its products or services.
2.9 Demo
Push to Talk Buttons.
ITXC will provide Reseller with a demo Push to Talk button (“Demo Button”)
and up to 1,000 minutes per month for Reseller’s web site for the purpose
of promoting the Services to Customers and/or to promote Reseller’s
business. At all times during the Term of this Agreement, Reseller
will
deploy the Demo Button on its website. The use of the Demo Button
will be
governed by the terms attached hereto as Attachment C. The Demo Button
will be provided to Reseller free of charge for the Term of this
Agreement.
2.10 Branding.
Reseller shall be responsible for developing the brand under which
the
service is provided to the Customers. Such branding shall include
the
phrase “Powered by ITXC.” If Reseller achieves a total of $17,500
in
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monthly
billed revenue for two (2) consecutive months. ITXC will remove the
phrase
“Powered by ITXC” from the Push to Talk skin.
2.11 Automatic
Programming Interface (“API”).
If at a future date, Reseller chooses to use the API, ITXC will provide
Reseller with a quote for professional services to develop on their
behalf.
3. Expenses.
All costs and expenses incurred by Reseller in performing its obligations
hereunder shall be borne solely by Reseller, and ITXC shall be required
to
make no payments to Reseller other than those expressly agreed to
by
ITXC.
4. Service
Fees and Billing.
Reseller
will pay Push to Talk Service fees as set forth in Attachment B (“Service
Fees”). Service Fees do not include any sales, use excise, duty, VAT,
ad
valorem or other tax or fee, and such taxes or fees are the responsibility
of Reseller. ITXC shall submit an invoice to Reseller on a calendar
month
basis. Invoices will include the number of Push to Talk Service calls
made, the duration of the calls, and the Service Fees payable by
Reseller.
Service Fees are due on the date of the invoice. If Service Fees
are 30
days past due, ITXC will provide 30 days written notice of default
and
intent to terminate this Agreement under Section 6. If Reseller has
not
cured within that time period, ITXC will terminate this Agreement
and will
either discontinue Push to Talk Service to Reseller customers or
ITXC may
contact with Reseller customers directly to continue to provide the
Push
to Talk Service. ITXC reserves the right to change its fees at any
time
with notice to Reseller.
5. Audit
Rights. Reseller shall maintain reasonable business records
respecting all transactions pursuant to this Agreement consistent
with
good and prudent business practices in accordance with generally
accepted
accounting principles. ITXC shall have the right of reasonable inspection
and audit of such records on fifteen (15) business days prior written
notice. The audit shall be conducted by an independent certified
public
accountant, who shall be approved by Reseller, such approval shall
not be
unreasonably withheld. Reseller agrees to reasonably cooperate with
ITXC
(and its representatives) during any audit. The costs of such inspection
and audit shall be borne by ITXC, provided, however, that in the
event the
audit shows a discrepancy in the amount underpaid to ITXC of ten
percent
(10%) or more, in addition to paying such amount, Reseller shall
reimburse
the reasonable cost of the audit within thirty (30) days therefore.
If the
audit reveals an overpayment to ITXC, Reseller shall withhold such
amount
from ITXC’s future payments, or following termination of this agreement,
ITXC shall reimburse Reseller for the applicable amounts within thirty
(30) days of completion of the audit. ITXC agrees that any information
obtained as part of its audit shall be used only for the purposes
of
determining the accuracy of the reports and amounts paid and shall
not use
the information for any other reason whatsoever. The inspection and
audit
may not be performed more often than once in any twelve (12) month
period,
unless the audit reveals an underpayment to ITXC of ten percent (10%)
or
more, in which case ITXC may audit such records six (6) months after
the
initial audit which showed such discrepancy. Any inspection and audit
shall be performed during Reseller’s normal business hours and in such
manner as to least interfere with Reseller’s daily
operations.
6. Term
and Termination.
6.1 Initial
Term Renewal.
The initial term of this Agreement shall be for a period of one (1)
year
from the Effective Date, and thereafter will continue in effect until
terminated by either party, for any reason, upon 30 days written
notice.
6.2 Termination
Due to Insolvency.
This Agreement may be terminated immediately for cause by either
party
upon written notice to the other party in the event the other party:
(a)
becomes insolvent, (b) ceases to function as a going concern as to
conduct
its operations in the normal course of business, or (c) files for
bankruptcy.
6.3 Termination
for Breach.
Either party may terminate this Agreement immediately if the other
party
breaches any of the provisions of this Agreement and fails to cure
such
breach within thirty (30) days after written notice thereof.
6.4 Survival.
The provisions of Sections 1, 4, 5, 6.4, 7, 8, 9. 10, 11 and 12 shall
survive expiration or any termination of this Agreement.
7. Rights
Upon Termination.
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7.1 Transfer
of Customers.
Upon termination Reseller will assist in the transfer of Customers
to
ITXC. Such assistance will include notifying Customers of such termination
and providing the Customers with the option of continuing the Services
by
entering into an agreement with ITXC.
7.2 Return
of Materials.
Upon termination or expiration of this Agreement, Reseller shall
return
all Confidential Information (as defined below) that may have been
entrusted to it and any copies thereof. Upon the termination of this
Agreement, Reseller shall cease to use ITXC Trademarks (as defined
below).
Any listing by Reseller of ITXC’s number in any telephone book, directory,
public record or like publication shall be removed by Reseller as
soon as
possible, but no later than the subsequent issue of such
publication.
7.3 No
Liability for Termination or Expiration.
ITXC SHALL NOT BE LIABLE TO RESELLER, BY REASON OF THE EXPIRATION
OR
TERMINATION OF THIS AGREEMENT, FOR ANY DAMAGES, ON ACCOUNT OF ANY
LOSS OF
PROSPECTIVE PROFITS OR ANTICIPATED SALES OR FOR EXPENDITURES, INVESTMENTS,
LEASES, OR COMMITMENTS MADE IN CONNECTION WITH THIS AGREEMENT OR
THE
ANTICIPATION OF EXTENDED PERFORMANCE HEREUNDER.
8. Trademarks
and Trade Names. This Agreement shall not give Reseller any
rights in or to ITXC’s trademarks, service marks or trade names, except
that during the term of this Agreement, ITXC grants to Reseller a
restricted license to reproduce the trademarks, service marks and
trade
names (“ITXC Trademarks”), pursuant to ITXC’s trademark usage
instructions, in marketing materials and to use such ITXC Trademarks
in
performing Marketing Activities. Reseller shall not alter or remove
any
ITXC Trademark affixed to any Services, or marketing materials furnished
by ITXC to Reseller. In addition, all representations or substitutions
of
IXTC Trademarks to be used by Reseller shall first be submitted to
ITXC
for ITXC’s written approval.
9. Confidential
Information. “Confidential Information” shall include any
information, whether oral, written or observed, regarding the terms
of
this Agreement and ITXC’s specifications, requirements, plans, programs,
processes, technologies, products, costs, equipment, operations,
numbers
of customers which may come within the knowledge of Reseller and
Reseller’s employees, representatives and agents. All Confidential
Information shall remain the exclusive property of ITXC and shall
be
immediately returned to ITXC upon request, together with all copies
thereof. Reseller shall hold Confidential Information in confidence
and
shall not disclose such Confidential Information or use it for any
purpose
other than to perform as required by this Agreement. Reseller will
disclose Confidential Information only to employees with a need to
know,
and will ensure that such employees are contractually bound to protect
the
Confidential Information as required under this Agreement. Reseller
may
not disclose Confidential Information to third parties unless (i)
such
third parties have signed a confidentiality agreement reasonably
designed
to protect the confidentiality of Confidential Information; and (ii)
it is
necessary for such third parties to know such Confidential Information
in
order for Reseller to perform its obligations and duties pursuant
to this
Agreement. Upon Reseller’s request, ITXC shall advise Reseller whether it
considers any particular information or materials to be Confidential
Information. Except as otherwise provided herein, the obligation
not to
disclose or use and to maintain confidential information shall be
for a
period of two (2) years after the termination of this
Agreement.
10. Warrant
and Indemnity.
10.1 Warranty.
Reseller warrants that (i) the order referral services that Reseller
will
perform under this Agreement will be done by properly supervised
and
qualified staff and (ii) Reseller shall not make any representations,
warranties, promises or take any other action on behalf of ITXC,
will only
quote to Customers from the terms and conditions provided in writing
by an
authorized representative of ITXC; and in no event will Reseller
misrepresent the Services marketed hereunder. Reseller will hold
harmless
ITXC, its officers, directors, employees, agents, successors and
assigns
from and against any liability, damages, costs, or expenses (including
attorneys’ fees) incurred or sustained by ITXC as a result of claims
brought by third parties against ITXC arising out of or relating
to breach
of this section.
10.2 No
Liability for Network or Telephone Downtime.
ITXC will not be liable for any losses that are a result of outage
by long
distance carrier, local
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phone
access carrier.m, Internet access carrier, or electrical company,
whether
by error or natural causes such as storms or accidents.
10.3
DISCLAIMER.
BOTH PARTIES ACKNOWLEDGE THAT THIS AGREEMENT DOES NOT CONSTITUTE
A SALE OF
GOODS; THAT THE WARRANTIES STATED ABOVE ARE THE SOLE WARRANTIES AND
THAT
THERE ARE NO OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT
NOT
LIMITED TO, THE IMPLIED WARRANTIES OF MERCHANTABILITY AND SUITABILITY
OR
FITNESS FOR A PARTICULAR PURPOSE.
11. LIMITATION
OF LIABILITY.
IN NO EVENT SHALL ITXC BE LIABILE TO RESELLER FOR COSTS OF PROCUREMENT
OF
SUBSTITUTE GOODS, LOST PROFITS OR ANY OTHER SPECIAL, CONSEQUENTIAL,
INCIDENTAL, OR INDIRECT DAMAGES, LOSSES, COSTS OR EXPENSES OF ANY
KIND,
HOWEVER CAUSED, AND WHETHER BASED IN CONTRACT, TORT (INCLUDING
NEGLIGENCE), OR ANY OTHER THEORY OF LIABILITY REGARDLESS OF WHETHER
ITXC
HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, LOSSES, COSTS
OR
EXPENSES. ITXC’S LIABILITY UNDER THIS AGREEMENT, (WHETHER IN CONTRACT,
WARRANTY OR TORT, INCLUDING NEGLIGENCE) FOR DAMAGES OF ANY NATURE
SHALL
NOT EXCEED $20,000.
12. Miscellaneous.
12.1 Independent
Contractors.
This Agreement is not intended to create a fiduciary relationship
between
the parties. The relationship of ITXC and Reseller is that of independent
contractors, and nothing contained in this Agreement shall be construed
to
(i) give either party the power to direct or control the day-to-day
activities of the other, (ii) constitute the parties as partners,
joint
venturers or co-owners or otherwise as partners in a joint undertaking
or
(iii) allow Reseller to create or assume any obligation on behalf
of ITXC
for any purpose whatsoever. All financial and other obligations associated
with Reseller’s business are the sole responsibility of Reseller. Neither
any employees of Reseller nor any individual whose compensation for
services is paid for by Reseller is in any way employed by
ITXC.
12.2 Severability.
The invalidity or unenforceability of any particular provision of
this
Agreement shall not affect the other provisions hereof and this Agreement
shall continue in full force and effect without said provision and
will be
interpreted to reflect the original intent of the parties.
ACCEPTED
AND AGREED:
ITXC,
Inc.
By:
/s/ XXXX X. XXXXXXX
Name:
Xxxx X. Xxxxxxx
Title:
Vice President
Date:
8-16-01
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12.3
Assignment.
None of the obligations, rights and benefits of this Agreement may
be
assigned by any of the parties hereto and any purported or attempted
assignment shall be null and void without the prior written consent
of the
nonassigning party. Notwithstanding the foregoing, any party may
assign
this Agreement without the other party’s consent in any
successor-in-interest to all or substantially all of the business
or
assets of Reseller, whether by merger, reorganization, asset sale
or
otherwise. Subject to the foregoing, this Agreement will be binding
and
inure to the benefit of the parties and their permitted successors
and
assigns. Any assignment made in contravention of this Section 12.3
shall
be void and of no effect.
12.4 Notices.
Any notice provided for or permitted in this Agreement will be deemed
to
have been given when mailed postage prepaid by certified mail or
registered mail, return receipt requested, to the party to be notified,
at
the address above stated.
12.5 Governing
Law and Jurisdiction.
This Agreement shall be governed by and construed under the laws
of the
State of Oregon. Exclusive jurisdiction for litigation of any dispute,
controversy or claim arising our of or related to this Agreement,
shall be
in the state or federal courts of Oregon.
12.6 Force
Majeure.
Neither party shall be liable for failure to fulfill its obligation
under
this Agreement or any purchase order issued hereunder or for delays
in
delivery due to causes beyond its reasonable control, including,
but not
limited to, acts of God, acts or omissions of the other party, man-made
or
natural disasters, material shortages, strikes, delays in transportation
or inability to obtain labor or materials through its regular sources.
The
time for performance of any such obligation shall be extended for
the time
period lost by reason of the delay.
12.7 No
Waiver.
The failure of either party to require performance of any provision
of
this Agreement or the waiver by either party of any breach of any
provision shall not prevent the subsequent enforcement of nor be
deemed a
waiver of any subsequent breach of such provision.
12.8 Entire
Agreement.
This Agreement including the Attachments attached hereto constitute
the
entire agreement of the parties and supersede and cancel any and
all
previous agreements, understandings or negotiations, whether oral
or
written, between the parties relating to the subject matter of this
Agreement. This Agreement may only be amended or extended by a written
agreement executed by the parties hereto.
RESELLER
By:
/s/ XXXX XXXXXXXXXXX
Name:
Xxxx Xxxxxxxxxxx
Title:
C.E.O.
Date:
8-14-01
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PUSH
TO TALK SERVICES RESELLER BILLING DIRECT
AGREEMENT
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ATTACHMENT
A
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DESCRIPTION
OF PUSH TO TALK SERVICES
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Push
to Talk
--Talk
Through Your Phone
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Push
to Talk allows the User to originate a telephone call either from
a
website or an email link. The telephone call will connect the two
telephone numbers provided by the Reseller, Customer, or Users. The
service will thereby allow the Users to communicate with other
Users.
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--Talk
Through Your Computer
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Push
to Talk allows the User to originate a telephone call either from
a
website or an email link. The telephone call will connect the telephone
number provided by the Reseller, Customer, or Users to the computer
of
another User. The service will thereby allow the Users to communicate
with
other Users.
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PUSH
TO TALK SERVICES RESELLER BILLING DIRECT
AGREEMENT
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ATTACHMENT
B
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SERVICE
FEES
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All
prices quoted in U.S. dollars and are subject to change.
Pricing
is available exclusively to U.S.-based companies in which all billing and
payment occurs in the United States, in U.S. dollars, and for which a majority
of the traffic is U.S./Canadian-based.
This
pricing information is confidential and proprietary information of ITXC, Inc.
You agree that you will not disclose this information to any third party without
ITXC’s prior written consent, and will protect the information by using the same
degree of care (but not less than a reasonable degree of care) as you use to
protect your own similar proprietary information.
PUSH
TO TALK SERVICE
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Feature
Set
Includes:
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One-line,
VOIP
Two-line,
Call Me Now
MultiHold®
(On-hold Advertising)
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Basic
Charge for Push to Talk Services
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Push
to Talk
Market Application
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Price
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International
Transaction
Additional Fee
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Monthly
Minimum
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Collaboration
and
eCRM
(Standard Push
to
Talk
applications;
buttons within
Web
sites)
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Monthly
revenue of $0 - $25,000: $5.00 per subscriber, per month, includes
50
minutes of talk time per month, additional domestic minutes at $0.10
per
minutes.
Monthly
revenue of $25,001 - $50,000: $475 per subscriber, per month, includes
50
minutes of talk time per month, additional domestic minutes at $0.095
per
minute.
Monthly
revenue of $50,001 - $75,000: $4.50 per subscriber, per month, includes
50
minutes of talk time per month, additional domestic minutes at $0.09
per
minute.
Monthly
revenue of $75,001 - $85,000: $4.25 per subscriber, per month, includes
50
minutes of talk time per month, additional domestic minutes at $0.085
per
minute.
Monthly
revenue of $85,001 and up: $4.00 per subscriber, per month, includes
50
minutes of talk per month, additional domestic minutes at $0.08 per
minute.
Once
Reseller reaches $100,000 per month in billed revenue for 2 consecutive
months, the parties will renegotiate the ability to “pool”
minutes.
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Per
International
Chart set forth
below.
International
minutes
may
not
exceed
more
than
20%
in
cellular
termination
per
country. If
this
amount is
surpassed,
ITXC
reserves
the
right
to
modify
the
pricing
immediately.
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$1,000 per
month
to
begin at the
onset
of the
4th month of
Service.
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Set-up
Fees
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$1,000
initial set up fee. If Reseller chooses to have ITXC customize the
GUI,
there will be a one-time fee of $1,500, for up to 10 hours of development
time.
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NOTES
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1. Pushes
are considered billable once ITXC’s server receives answer back
supervision from customer’s switch. All pushes are considered billable in
the month in which the push occurs. The duration of each individual
call
connected will be measured and billed in 1 (one) minute
increments.
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2. International
transactions are Push to Talk buttons which terminate to a US toll
or
too-free number with the Call Me Now user leg terminating outside
the
United States or Canada. (Not all countries are supported under this
plan).
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3. Reseller,
will provide a monthly reporting of total number of
Customers.
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International
Pricing:
Country
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Add’l
pricing for 1 leg US, 1 leg Int’l
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India
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$0.800
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Thailand
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$0.350
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Philippines
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$0.300
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Argentina
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$0.250
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Brazil
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$0.250
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China
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$0.250
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Columbia
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$0.250
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Xxxxxxx
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x0.000
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Xxxxxx
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$0.250
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New
Zealand
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$0.250
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Spain
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$0.250
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Sweden
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$0.250
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Australia
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$0.200
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Chile
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$0.200
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Belgium
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$0.175
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Denmark
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$0.175
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Finland
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$0.175
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France
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$0.175
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Germany
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$0.175
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Ireland
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$0.175
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Italy
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$0.175
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Japan
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$0.175
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Netherlands
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$0.175
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Singapore
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$0.175
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Xxxxxxxxxxx
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x0.000
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Xxxxxx
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$0.175
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United
Kingdom
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$0.175
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Canada
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$0.100
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United
States
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$0.100
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International
Talk Through Your Computer calls are $0.10 per minute.
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