AGREEMENT
THIS AGREEMENT is made and entered into by and between SJI
INTERNATIONAL, LTD., and UNI-SKIT TECHNOLOGIES, [NC., hereinafter referred to as
"Manufacturers", and DAC TECHNOLOGIES OF AMERICA, INC., hereinafter referred to
as
WHEREAS, the parties are currently engaged in a manufacturing
agreement to manufacture, design and develop security related products,
including but not limited to the body alarm, key alert, SWAT auto alarm, gun
alert, briefcase luggage alert, protect-all computer alert, glass window alert,
camper-RV alert, bike alert, pepper spray and door alert; and
WHEREAS, the parties have agreed to research, design and develop
additional products.
NOW, THEREFORE, for and in consideration of the mutual covenants and
agreements set forth herein and other good and valuable consideration, the
receipt and sufficiency of which is hereby acknowledged, the parties agree as
follows:
1. The parties agree to equally share ownership rights and
research and development costs, tooling charges, tooling
maintenance/modification, injection molds and related project
costs with respect to all products and items developed by the
parties on a joint basis. With respect to future products,
Manufacturers agree to obtain the approval of all such costs
from DAC prior to commencing such projects.
2. DAC agrees to give Manufacturers the sole and exclusive right
to manufacture its products, provided that Manufacturers can
manufacture for DAC sufficient quantities of such products at
competitive pricing upon reasonable notice. Competitive
pricing shall mean the direct cost of all parts, material and
labor, plus up to twenty-five percent (25%) profit to
Manufacturers, and will be competitive with prices available
from other manufacturers for similar products. DAC shall have
the right upon reasonable notice to review documents
reasonably necessary to verify the competitive pricing as
defined herein.
3. DAC shall have the sole and exclusive right to market, sell
and receive profits from all the products developed andlor
manufactured for DAC in the North and South Americas.
4. Manufacturers shall have the sole and exclusive right to
market, sell and receive all profits from the products
manufactured by the parties in Asia and the Pacific Rim
region, including Japan and Everglow Group Pty. With an
exception in Japan, DAC shall keep its current customers and
profits in Japan and Manufacturers will not deal with DAC's
customers in Japan. Both Manufacturers and DAC have the same
right and selling price as agreed to market and sell
products developed by both parties to Japan.
5. It is agreed that both parties shall be entitled to solicit
business in all global areas not specified in Paragraphs 3 and
4. Both parties agree to sell products at an agreed upon
pricing agreement, as specified in Exhibit "A" attached
hereto. Said pricing schedule may be amended upon mutual
written consent by both parties. Manufacturers also agree to
honor existing exclusive contracts in Germany and England. It
is understood that Germany and England shall maintain a normal
rate of growth in their business. DAC agrees not to enter into
any further exclusive contracts outside its territory without
the consent of Manufacturers. Both parties agree not to sell
to or solicit sales from each other's customers or to sell to
any customer whose intent is to deliver the products into the
other party's exclusive territory.
6. Both parties agree to pay a commission for any customers
referred to each other which exists within the other party's
exclusive region or territory. Commission percentage will be
negotiated, but in no event will exceed ten (10%) percent.
7. The parties agree that ownership of any and all intellectual
property rights, including patents that are granted in
connection with products that have been developed jointly by
the parties, or are in the process of development jointly by
the parties shall be owned equally between Manufacturers and
DAC. Parties agree to share equally in the cost, both direct
and indirect, of securing such Intellectual property rights
and patents.
8. The parties agree to share equally in the costs of obtaining
approval from any government or agency thereof, which requires
such approval before a product may be sold in a particular
country of geographical region. Such cost sharing will only
apply to those areas where both parties are permitted to sell
product.
9. This contract constitutes the sole and only agreement between
Manufacturers and DAC respecting the development and
manufacturing of products described in this contract and
correctly sets forth the obligations of Manufacturers and DAC
to each other. Any agreements or representations not expressly
set forth in this contract are null and void.
10. Should any litigation be commenced between the parties to this
agreement, the party prevailing in such litigation or
arbitration shall be entitled, in addition to such other
relief as may be granted, to a reasonable sum as and for its
attorneys' fees in such litigation or arbitration as shall be
determined by the court or arbitrator in such litigation or in
a separate action brought for that purpose,
11. Neither this contract nor any interest therein shall be
assigned by Manufacturers or DAC without the written consent
of the other.
12. This agreement shall be binding upon and shall inure to the
benefit of the parties hereto, to their respective heirs,
successors and/or assigns.
13. Time is of the essence in this agreement.
14. This contract shall be governed and interpreted according to
the laws of the State of Arkansas.
THIS AGREEMENT is entered into this l2Uh1 day of May, 1997.
MANUFACTURERS DAC
SKIT INTERNATIONAL, LTD. & DAC TECHNOLOGIES OF
UNI-SKIT TECHNOLOGIES, INC. AMERICA, INC.
By: /s/ Xxxxxx Xxxx By: /s/ Xxxxx Xxxxxxx, Pres
------------------- ---------------------------
Xxxxxx Xxxx Xxxxx Xxxxxxx, President
By: /s/ Xxxxxx Xxx
-------------------
Xxxxxx Xxx
EXHIBIT A
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PRICES/QUANTITY
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Model # Description 1-1999 2000-5000 10000+
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BA 755 Bike Alert 5.33 5.13
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DAB 196 Driver Alert 4.52 4.22
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GBC 048 RF Glass Breakage Sensor Commander 5.16 4.69
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GUN 025 Gun Alert 5.46 4.97
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GWA 001 Glass Window Alert 4.52 3.97
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KAL 201 Key Alert 3.78 3.48
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MA 795 Strobe Alarm (Remote Control Model) 16.10 14.64
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MAK 795 Strobe Alarm (Keypad Model) 13.01 12.15
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MMA 068 Strobe Alarm (Mini D/W Modules) 3.98 3.62
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MSC 038 RF Magnetic D/W Sensor Commander 6.92 6.49
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NBF 21B Body Alarm w/ Flashlight (Black) 3.90 3.55
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NBF 21Y Body Alarm w/ Flashlight (Yellow) 3.90 3.55
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PRO 015 Protect All 4.57 3.87
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RFA 028 Strobe Alarm (Outdoor Module) 9.98 9.27
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RFC 018 Strobe Alarm (RF Transmitter) 4.65 4.23
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RMC 795 Strobe Alarm Remote Control 4.27 3.88
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RVC 002 RV/Camper/Van Alert 4.52 3.97
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SAS 200 Strobe Alarm System 45.08 42.98
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SBA 101 Seat Belt Alert 4.48 3.97
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SBT 102 Seat Belt Alert (Twin Pack) 8.32 7.82
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XXX 000 Sporting Gear Alarm 5.08 4.62
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SWA 03 SWAT Auto Alarm 10.39 9.65
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TCA 396 SWAT II Talking Car Alarm 32.51 29.56
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TCA 396N SWAT II Non-Talking Car alarm 24.06 21.87
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TVP 095 Trigger Lock Value Pack 2.28 1.82
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WWM 296 Warning Module 1.96 1.84
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CHR 792 Cup Holder 0.90
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Agree to this 12th day of May, 1997:
/s/ Xxxxxx Xxx /s/ Xxxxx Xxxxxxx
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Xxxxxx Xxx Xxxxx Xxxxxxx
/s/ Xxxxxx Xxxx
----------------------
Xxxxxx Xxxx
