Table of Contents
Article 1 Definitions that apply to this Agreement
Article 2 Subject of this Agreement
Article 3 Performance of Consultancy Work
Article 4 Invoicing and Payments
Article 5 Intellectual Property Rights
Article 6 Confidentiality
Article 7 Publication
Article 8 Warranty and Limitations of Liability
Article 9 Duration, Termination and Suspension
a) “Affiliate(s)” means any company directly or indirectly controlled by a party’s ultimate parent company, ‘controlled’ meaning that at least fifty percent (50%) of the shares, voting stock, participating profit interest or other evidence of ownership is owned, directly or indirectly, by such ultimate parent company;
b) “IPR” means intellectual property rights and covers all existing or future inventions, discoveries, patents, design rights (registered or unregistered), trademarks, copyright, database rights, knowledge, information, experience, processes, procedures, devices, compositions of matter, skills, know-how, samples, trade secrets, designs, formulae, specifications, methods, techniques, compilations, programs, devices, technical information, concepts, developments, whether domestic or foreign, claiming such patentable invention, including all continuations, continuations-in-part, divisions and renewals, all letters patent granted thereon, and all reissues, re-examinations and extensions thereof;
c) “CLIENT” means company which has engaged NetOpSys to undertake a project on their behalf;
d) “Party” or “Parties” means CLIENT and/or NetOpSys, singularly or collectively;
e) “Project” means the work performed by NetOpSys under a Project Agreement, which will be attached to this Agreement;
f) “Project Agreement(s)” means the specific terms of a particular Project in the form set out in the Schedule to this Agreement;
g) “Assignment Number” means the number assigned to a Project Agreement for reference purposes for correspondence and invoicing.
h) “Results” means all findings and deliverables directly resulting from the Services;
i) “Services” are as specified in the relevant Project Agreement;
2.1
CLIENT engages NetOpSys to perform Projects under the terms of this Agreement each such executed Project Agreement to be attached as a sequentially numbered exhibit to this Agreement. Each Project Agreement shall specify the scope of the Project, the deliverables, the principal coordinators and the fees, charges and payment terms.
2.2
CLIENT and NetOpSys will in good faith and in a timely manner use their respective best efforts in negotiating and executing Project Agreements.
2.3
Only executed Project Agreements, duly signed and dated by respective authorized officials of the parties, will constitute the Parties’ acceptance of relevant terms for a Project. Any modification of a fully executed Project Agreement will require mutual, written consent by the Parties. All fully executed Project Agreements shall be subject to the terms and conditions in this Agreement; however, in the event of a discrepancy between any of the terms of this Agreement and those terms set forth in a Project Agreement, the latter shall prevail.
Article 3 Performance of Consultancy Work
3.1
CLIENT shall, at its sole discretion, provide NetOpSys with such background information and technical information, and other support and assistance reasonably requested by NetOpSys so as to assist NetOpSys in performing the Services and the relevant Project (“CLIENT Background Information”). Examples of such information are network diagrams, administrator credentials and isp contact details.
3.2
NetOpSys will contribute under the terms of this Agreement all information, data, technology, software, know-how and expertise it deems relevant or necessary for the performance of a Project (“NetOpSys Background Information”).
3.3
CLIENT Background Information and NetOpSys Background Information are together referred to as “Background Information”.
3.4
NetOpSys will keep CLIENT updated on the progress of the Services and each Project. NetOpSys shall maintain records of the Services and the Projects in sufficient detail and in good technical manner as will properly reflect all work done and results achieved in the performance of the Services and the Projects.
3.5
Each Party shall comply with all laws, regulations, codes and guidance notes applicable to the Services and each Project.
3.6
In the event that CLIENT requires in advance that a half day period or greater be committed by NetOpSys to the performance of the Services then should CLIENT subsequently cancel such requirement within five (5) days of the date of performance then CLIENT shall be liable to pay NetOpSys the full daily rate for the abortive time reserved.
3.7
In the event that CLIENT requires in advance that a half day period or greater be committed by NetOpSys to the attendance of a meeting then should CLIENT subsequently cancel such requirement within one (1) day of meeting or be absent on said day of meeting then CLIENT shall be liable to pay NetOpSys the full daily rate for the abortive time reserved.
4.1
In consideration of NetOpSys’ performance of the Services and the Projects hereunder, including the costs incurred and the intellectual property provided by NetOpSys in connection therewith, CLIENT shall pay the sums as set out in the relevant Project Agreement. CLIENT shall effect payment net without any deduction and free of charge with immediate effect of the due date of invoice unless otherwise agreed. An additional late payment fee of twenty-five (25) GBP will be added to outstanding invoices over five (5) working days old from the due date of invoice. Subsequent late payment fees will be added every seven (7) days thereafter until payment has been received. Fees and expenses shall be net of value added tax or other government levies which shall also be charged where required.
4.2
In consideration of NetOpSys procuring Hardware and Software for CLIENT, CLIENT shall effect payment net without any deduction and free of charge immediately upon demand of the date of invoice. Delivery of said Hardware and Software will only be undertaken upon receipt of fully cleared funds made to NetOpSys.
4.3
Upon presentation of such invoices CLIENT shall promptly make payment; either by cheque in GBP payable to NetOpSys Ltd or by Bank Transfer: bank details supplied with invoice.
4.4
All payments due shall be non-refundable and non-creditable, and shall be made either by bank wire transfer from immediately available funds to the above bank account of NetOpSys or by cheque payment crossed with A/C payee only and with the Invoice No. on the back as a reference.
Article 5 Intellectual Property Rights
Software code and graphical images owned by a third party are not affected by this agreement. During and after completion of any Project, and unless specified in the Project, ownership of Intellectual Property shall be as follows:
5.1
Each Party acknowledges that all Confidential Information (as defined in Article 6.1 below) and IPR generated before or outside the Project(s) by the other Party will at all times remain in the ownership of the other Party. Without prejudice to the foregoing each party will remain the sole and exclusive owner of any and all of its respective Background Information.
5.2
Software written by NetOpSys prior to the date of this agreement and incorporated in any Project belongs to NetOpSys.
5.3
NetOpSys will grant the CLIENT an exclusive licence to the CLIENT for any code written by NetOpSys prior to the date of this agreement and incorporated in any Project for the use of the CLIENT for a period of 99 years.
5.4
All other IPR created or changed by NetOpSys in the course of any Project is the property of the CLIENT.
Article 6 Confidentiality
6.1
In this Agreement "Confidential Information" shall mean all IPR (as defined above), the Background Information of the other Party and all information, data and materials relating to the Services and the Projects, the products, business affairs, or other operations of one party which are disclosed by or on its behalf (the "Disclosing Party") to the other (the "Receiving Party") and marked confidential or if disclosed orally declared confidential, or which Receiving Party knows or ought reasonably be aware are confidential.
6.2
Each Party will ensure that it, and its officers, employees, agents and permitted sub-contractors will only use Confidential Information in order to perform its obligations under this agreement, and will not disclose such Confidential Information to any third party nor use it to the advantage of any third party without the Disclosing Party's prior written consent. The Receiving Party will only disclose any Confidential Information to such of its officers, employees, agents and permitted sub-contractors as need to know it to fulfill its obligations under this agreement.
6.3
The above obligations of confidentiality will not apply to the extent that the Receiving Party can prove the relevant Confidential Information:
(a) was already lawfully in the possession of Receiving Party at the time of receipt from the Disclosing Party with no obligation to keep it confidential; or
(b) is now or in the future becomes, public knowledge through no act or omission of the Receiving Party, its officers, employees, agents or permitted subcontractors; or
(c) was lawfully obtained from a third party having the right to disclose it; or
(d) is independently developed by the Receiving Party without access to or help of the Confidential Information; or
(e) is required to be disclosed by law, in which case, the Receiving Party (unless prohibited by law) will first inform the Disclosing Party of the required disclosure. The Disclosing Party may seek an appropriate protective order or other remedy and/or waive compliance with the above confidentiality provisions. The Receiving Party will at the Receiving Party's request and expense provide all reasonable assistance to obtain any such protective order or other remedy.
6.4
All confidentiality obligations of the Receiving Party under this Agreement shall survive the termination of this Agreement for a period of ten (10) years after disclosure of the Confidential Information.
6.5
To protect the confidentiality of all NetOpSys’ clients, access to the NetOpSys work areas shall not be given to any client (CLIENT inclusive) or third parties, except by special prior arrangement with NetOpSys, to be aimed at the full protection of information of the Parties. CLIENT shall undertake to inform NetOpSys, in advance, of the reason and make up of any visiting party. The visiting party will ensure that its relevant employees, contractors and agents:
(a) will comply with all applicable health, safety and security regulations; and
(b) will only use the site or the facilities at the site for the purposes of performing its obligations under this Agreement; and
(c) will only take part in activities which are involved in performance of its obligations under this Agreement; and
(d) will not facilitate access of persons not employed in performance of its obligations under this Agreement to enter any part of the site for whatever reason; and
(e) will comply and be bound by obligations to Confidentiality as defined in this Agreement.
7.1
NetOpSys will be allowed to mention the name of the CLIENT as a client, e.g. in slides or brochures, provided that NetOpSys will fully comply with the confidentiality obligations as described in Article 6 and will not allude to any detail of the Projects undertaken.
7.2
Any other public announcement related to this Agreement and the Projects performed hereunder, which a Party proposes to make, must first be approved by the other Party prior to any publication, such approval shall not to be unreasonably withheld or delayed.
8.1
Any act or omission on the part of NetOpSys, falling within this article shall be known as an “Event of Default”.
8.2
CLIENT and NetOpSys each represent and warrant that: (i) this Agreement and each Project Agreement is a legal and valid obligation binding upon it and enforceable in accordance with its terms; and (ii) it has the full right and authority to enter into this Agreement and each Project Agreement, and to fully perform its obligations hereunder.
8.3
NetOpSys undertakes to use reasonable care and skill in the performance of this Agreement and each Project Agreement.
8.4
NetOpSys shall use all reasonable endeavours to provide the Services cost-effectively with respect to those technological and business practices, which are best suited for the Project(s) and all forecasts and recommendations shall be made in good faith. However,
(a) As NetOpSys has no control over the implementation of the recommendations or advice given, NetOpSys cannot accept any liability for losses, which may arise from such implementation;
(b) NetOpSys cannot give any warranties (i) as to the condition, fitness for purpose or performance of any equipment or other goods supplied to the CLIENT in the course of the Project(s), nor (ii) as to the time of completion of any Project nor that any Project(s) will be successful, in whole or in part, nor (iii) that any forecast or projection given with respect to the outcome of the Project(s) can be achieved;
(c) NetOpSys shall not be liable to the CLIENT in respect of any Event of Default for loss of profits, goodwill or any type of special indirect or consequential loss (including loss or damage suffered by the CLIENT as a result of an action brought by a third party) even if such loss was reasonably foreseeable or NetOpSys had been advised of the possibility of the CLIENT incurring the same;
(d) The CLIENT hereby agrees to give NetOpSys not less than twenty-eight (28) working days in which to remedy any Event of Default hereunder;
(e) NetOpSys shall have no liability to the CLIENT in respect of any Event of Default unless the CLIENT shall have served notice of it to NetOpSys within 1 year of the date the CLIENT became aware of the circumstances giving rise to the Event of Default or the date when the CLIENT ought reasonably to have become so aware;
(f) NetOpSys shall not be liable to the Client for loss arising from or in connection with any representations agreements statements or undertakings made prior to the date of this agreement.
8.5
Except to the extent of warranties granted elsewhere, it is understood and agreed that the foregoing stipulations in Article 8.2, 8.3, 8.4(b) shall be in lieu of all other warranties, whether oral, express, implied or statutory.
8.6
Under no circumstances shall the liability of NetOpSys under this Agreement and/or any Project Agreement exceed the sums paid in respect to the specific Services or the Project with respect to which the loss arose.
8.7
Nothing in this Article shall confer any right or remedy upon the CLIENT to which the CLIENT would not otherwise be legally entitled.
9.1
This Agreement shall be in full force and effect for an unlimited period of time and can be terminated without cause by either Party by giving the other Party twenty-eight (28) working days’ written notice, return receipt requested, to the other Party to that effect. On termination of this Agreement (unless the reason for termination is material breach of the other Party) the parties shall complete all prior agreed Projects Agreements. Unless the reason for termination is due to breach or insolvency of NetopSys as referred to in Article 9.2 CLIENT shall without prejudice to NetOpSys’ other rights hereunder pay or reimburse to NetOpSys any committed costs that NetOpSys has incurred or to which NetOpSys is obligated on CLIENT’s behalf in connection with termination of the Agreement and Project Agreement(s). The Parties shall not be liable for lost profits or any indirect or consequential loss of the other Party arising from such termination.
9.2
Either Party may terminate this Agreement and all prior agreed Project Agreements immediately for (i) repeated or material breach of the other Party, which is not cured within a thirty (30) working day notice period or (ii) the liquidation, receivership or other insolvency of the other Party. If CLIENT terminates the Agreement based on this Article 9.2, NetOpSys shall ensure that all CLIENT Background Information or NetOpSys Background Information is held to the owner’s order and made available for collection by the order or returned promptly upon termination becoming effective.
9.3
Termination of this Agreement or any Project Agreement shall not affect any rights or obligations of the Parties, which may have accrued prior to the termination nor shall it affect the coming into or continuance in force of any provisions of this Agreement or any Project Agreement, which are expressly, or by implication, intended to come into or continue in force after termination.
9.4
Suspension of this Agreement will be in full force and effect for a limited period of time upon failure by CLIENT to effect payment net without any deduction and free of charge with immediate effect of the due date of invoice unless otherwise agreed, within five (5) working days as referred to in Article 4.1. This Agreement will be resumed with full privileges once NetOpSys has received full cleared payment of fees, expenses and late payment fees.
10.1 Governing Law and Dispute Resolution
This Agreement is to be governed by and construed in accordance with the laws of England and Wales without giving effect to its conflict of laws rules. The Parties will attempt in good faith to resolve any dispute or claim arising out of, or relating to this Agreement and the Project Agreement(s) agreed hereunder, promptly through negotiations between the respective senior executives of the Parties with authority to settle. If the matter is not resolved within sixty (60) calendar days after commencement of the negotiations, the Parties will submit the dispute before the English courts.
10.2 Third Parties
In the execution of the Project, NetOpSys is permitted to make use of third parties, to the extent they are necessary, and to the extent they do not raise conflicts of interest with CLIENT, provided that CLIENT has approved in writing the use of said third party and that said third party is bound to obligations of confidentiality similar to the obligations contained in this Agreement.
10.3 Entire Agreement
This Agreement and the Project Agreements records all rights and obligations between the Parties with respect to subject matter hereof and all prior agreements with respect thereto, written or oral, expressed or implied, shall be superseded and merged herewith. No amendment or change hereof or addition hereto or thereto shall be effective or binding on either of the Parties hereto unless reduced to writing and executed by the respective duly authorized representatives of both NetOpSys and CLIENT.
10.4 No Implied Licences
Only licences pursuant to the express terms of this Agreement shall be of any legal force or effect. No other license rights shall be created by implication or otherwise.
10.5 Waiver
It is agreed that no waiver of either Party’s right to demand remedying of any breach or default by the other Party of any of the covenants or agreements herein set forth shall be deemed a waiver as to any subsequent and/or similar breach or default.
10.6 Severability
In the event that any provision of this Agreement or any Project Agreement becomes or is declared by a court of competent jurisdiction to be illegal, unenforceable or void, this agreement shall continue in full force and effect to the fullest extent permitted by law without said provision, and the Parties shall amend the Agreement or any Project Agreement to the extent feasible to lawfully include the substance of the excluded term to as fully as possible realise the intent of the Parties and their commercial bargain.
10.7 Assignment
This Agreement and any Project Agreement shall not be assignable by either Party without the prior written consent of the other Party hereto; providing, however, that such consent shall not be unreasonably withheld. Any purported assignment without the aforementioned consent shall be void and of no effect. This Agreement and any Project Agreement shall be binding upon and accrue to the benefit any permitted assignee, and any such assignee shall agree to perform the obligation of the assignor. NetOpSys may sub-contract, without the consent of the CLIENT, this Agreement or any Project Agreement to any third party provided that NetOpSys shall retain responsibility for the performance of this Agreement or a Project Agreement by such sub-contractor.
10.8 Force Majeure
In the event that either Party hereto is prevented from carrying out its obligation under this Agreement or a Project Agreement by events beyond its reasonable control, including without limitation acts or omissions of the other Party, acts of God or government, natural disasters or storms, fire, political strife, labour disputes, failure or delay of transportation or default by suppliers, then such Party’s performance of its obligations hereunder shall be excused during the period of such event and for a reasonable period of recovery thereafter, and the time for performance of such obligations shall be automatically extended for a period of time equal to the duration of such event or events; provided, however, that the other Party may, at its election, terminate this agreement upon thirty (30) working days’ prior notice to the Party affected by such events, unless such events cease to prevent such affected Party’s performance hereunder during such thirty (30) working days period.
10.9 Counterparts and Facsimile
The parties hereto may execute this Agreement simultaneously, in any number of counterparts, or on facsimile copies, each of which shall be deemed an original, but all of which together shall constitute one and the same Agreement.
10.10 Data Protection Act 1998 Notice
The CLIENT shall understand that NetOpSys may process all personal data of the CLIENT which relates to this Agreement. The CLIENT accepts that NetOpSys may consult with and disclose the data to credit reference agencies, banks, credit insurers and other responsible organisations outside of NetOpSys’ business that NetOpSys have nominated (“third parties”), and that such third parties may process the data. The CLIENT understands that under the act, the CLIENT will have the right to know what data NetOpSys hold on the CLIENT, if the CLIENT applies in writing to NetOpSys and pays the applicable fee.