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MUTUAL NON-DISCLOSURE AGREEMENT
RETURN
This Mutual Non-Disclosure Agreement ("Agreement") is entered into by and
between the Parties as of the
Effective Date of an "Electronic Request" by
Receiving Party for the purposes of viewing certain Proprietary Information
provided by Disclosing Party. Upon the completion of Receiving Party's
"Electronic Request", a copy of the actual request and a copy of the
reply information sent to the Receiving Party's e-mail address, will
remain on file during the term of this agreement. The basic purpose of
this agreement
is to facilitate discussions about, and the evaluation of, a potential
business relationship between the Parties. In the event that the Parties
enter into a business relationship, the "Purpose of the Disclosure"
may be broadened to include the lawful sharing of Proprietary
Information for the purposes set forth in any subsequent agreements,
entered into in writing, by and between the Parties.
I. DEFINITIONS
As used in this Agreement: "Affiliate" is any person, partnership,
joint venture, corporation or other form of enterprise, domestic or
foreign, including but not limited to parent companies, subsidiaries,
that directly or indirectly, control, is/are controlled by, or are under
common control with a Party.
"Party(ies)"
or ("Party's) are the Parties to this Agreement and includes all Affiliates,
employees and agents of that Party, unless otherwise indicated in this
Agreement. "Proprietary Information" means non-public, confidential
information and related materials (whether written or oral) that a Party
to this Agreement (the "Disclosing Party") designates in writing as
being its confidential and/or proprietary information to the Party that
receives such information (the "Receiving Party") or which, under the
circumstances surrounding disclosure ought to be treated as confidential
and/or proprietary by the Receiving Party.
"Proprietary
Information"
includes, without limitation, information disclosed during the term of
this Agreement in tangible or intangible form relating to the Receiving
Party's request to view Disclosing Party's technology, proposals, financial statements, and balance
sheets; financial data including costs, expenses and margins; marketing
information, data, statements and reports; pricing information, employee
and vendor information and lists; customer information and customer
lists; price lists and pricing policies and plans; methodologies, and
plans; research, ideas, inventions, and concepts; engineering or
technical expertise; designs, drawings, diagrams, business plan(s), flow charts,
schematics, and specifications; methods, techniques, processes and
procedures; computer hardware, peripherals, telecom, voice and data
networks and network systems and devices, software products, including
software in various stages of development and design; business plans,
marketing plans, analysis, compilations, summaries, forecasts,
predictions, and projections; web-related data including web
performance, hits, visits and conversion ratios; intellectual property,
trade secrets and know-how.
Proprietary
Information
includes the information regarding the circumstances under which the
Parties have agreed to exchange information under this Agreement.
II. THE PARTIES HEREBY AGREE AS FOLLOWS:
1. Property of the Disclosing Party. All right, title and
interest in and to the Proprietary Information (including all
information created or stored on, deleted from and/or sent through the
Disclosing Party's technology systems including but not limited to
telecom, email, Internet, Intranet, desktop computers, network systems
and related systems) will be and remain vested in the Disclosing Party.
Nothing in this Agreement will grant the Receiving Party any patent,
copyright, trademark, mask work, trade secret, license or right of any
kind with respect to the Proprietary Information, other than to review
and evaluate such information for the Purpose of the Disclosure set
forth above. Unless otherwise stated, all Proprietary Information is
provided on an "AS IS" basis; and all representations and warranties,
express or implied, are hereby disclaimed.
The Disclosing Party represents and warrants that all Proprietary
Information disclosed or otherwise provided to the Receiving Party has
been lawfully obtained (e.g. not obtained through fraud, identity theft
or any illegal or illicit means) and that the Disclosing Party has the
legal right to disclose such Proprietary Information. In the event that
the Disclosing Party provides the Receiving Party with Proprietary
Information that was unlawfully obtained (e.g. procured through fraud,
identity theft or any illegal or illicit means), the Disclosing Party
shall defend, indemnify and hold the Receiving Party harmless from all
claims, liabilities, damages, or judgments involving a third party,
including the Receiving Party's costs and attorney's fees, which arise
as a result of the Disclosing Party's failure to meet its obligations
under this Paragraph.
2. The Receiving Party's Obligations.
(A) The Receiving Party agrees:
(i) it will not disclose any Proprietary Information to third parties except
as to those third party business associates and consultants who have a
need to know and have also agreed in writing to maintain the
confidential status of the Proprietary Information and restrict its use
in accordance with all the terms of this Agreement; and will not use
the Proprietary Information for a purpose other than for the stated
Purpose of the Disclosure; and will not copy such information for a
purpose other than for the stated Purpose of the Disclosure;
(ii) in the event that the Receiving Party has access (local or
remote) to the Disclosing Party's technology systems, including but not
limited to telecom, email, Internet, Intranet, desktop computers,
network systems, etc., the Receiving Party will exercise commercially
reasonable care in transmitting any Proprietary Information via these
systems;
(iii) to employ commercially reasonable security precautions and
efforts (such precautions and efforts to be at least as secure as the
precautions and efforts the Receiving Party takes to protect its own
Proprietary Information, but in any event, no less than reasonable care)
to safeguard the secrecy and confidentiality of the Proprietary
Information, and to prevent unauthorized access, reproduction,
disclosure, and/or use of any of the Proprietary Information, other than
for the Purpose of the Disclosure and then only in compliance with this
Agreement and subject to any applicable laws;
(iv) to disclose the Proprietary Information only to those officers,
directors, employees, consultants and advisors of the Receiving Party
who need to know such information in order to carry out the Purpose of
the Disclosure who are under the control of the Receiving Party and who
are apprised that disclosure of such Proprietary Information is made
pursuant to and subject to this Agreement; and in the event the
employment or engagement of any such person is terminated, the Receiving
Party agrees to use its best efforts to recover any Proprietary
Information in such person's possession, custody or control;
(v) in the event that the Receiving Party is required to disclose any
portion of the Disclosing Party's Proprietary Information by applicable
law, regulation, court order, legal process, or at the request of any
governmental agency having supervisory authority over the Disclosing
Party (provided such agency is under a general or specific obligation to
maintain the confidentiality of such disclosures as a matter of law,
regulation or otherwise), the Receiving Party may do so, provided the
Receiving Party will use its best efforts to notify the Disclosing Party
in writing (unless prohibited from doing so by the terms of the law,
regulation, court order, legal process or request of the supervisory
agency) so that the Disclosing Party can seek a suitable protective
order, and the Receiving Party will provide commercially reasonable
cooperation and assistance to the Disclosing Party;
(vi) to defend, indemnify and hold the Disclosing Party harmless from
all claims, liabilities, damages, or judgments involving a third party,
including the Disclosing Party's costs and attorney's fees, which arise
as a result of the Receiving Party's failure to meet its obligations
under this Agreement.
(B) Notwithstanding the provisions of Section II(2)(A) above, the
Receiving Party has no obligation to maintain the confidentiality of any
Proprietary Information which: (i) the Receiving Party can demonstrate
was known by the Receiving Party prior to the disclosure by the
Disclosing Party; (ii) properly came into the possession of the
Receiving Party from a third party which was not under any obligation to
maintain the confidentiality of such information; (iii) has become part
of the public domain through no act or fault on the part of the
Receiving Party in breach of this Agreement; (iv) the Receiving Party
can demonstrate it was independently developed by or for the Receiving
Party without the use of Proprietary Information, or (v) the information
was communicated to the Receiving Party in documentary form by a third
party lawfully in possession of such information and not subject to a
contractual or fiduciary obligation of confidentiality respecting such
information.
3. Competition. Neither Party has an obligation under this
Agreement to enter into any other agreement with the other Party.
Nothing in this Agreement will prohibit or restrict either Party's right
to develop, use, or market products or services similar to or
competitive with those of the other Party disclosed in the Proprietary
Information as long as it will not thereby breach this Agreement.
Additionally, each Party acknowledges that the other may already possess
or have developed products or services similar to or competitive with
those of the other Party to be disclosed in the Proprietary Information.
Receiving Party must so disclose that such similar or
competitive products exist(ed) and; shall provide such
disclosure within 72 hours of receipt of the Disclosing Party's
Proprietary Information failing which, Receiving Party shall be in
breach of this agreement.
4. Equitable Relief. The Receiving Party agrees that any
unauthorized use of the Proprietary Information by the Receiving Party
may cause the Disclosing Party irreparable harm for which its remedies
at law would be inadequate. Therefore, in addition to any other rights
it may have at law, the Disclosing Party will be entitled to seek
equitable relief.
5. General. This Agreement constitutes the complete and
exclusive agreement and understanding between the Parties with respect
to the Proprietary Information, and supersedes all prior and
contemporaneous negotiations, discussions and understandings of the
Parties, whether written or oral with respect to this subject matter.
Notwithstanding, in the event of any conflict between the terms and
conditions of this Agreement and any other document or agreement between
the Parties (now or in the future) pertaining to the purposes
contemplated by this Agreement, the terms and conditions of the
agreement that is more limiting, restraining and restrictive will
prevail with respect to the protection and non-disclosure of Proprietary
Information. No statement in writing subsequent to the date of this
Agreement purporting to modify or add to the terms and conditions will
be binding unless consented to in writing by duly authorized
representatives of each Party in a document making specific reference to
this Agreement. This Agreement and the Proprietary Information will not
be assigned, sold or disposed of by either Party in any manner without
the Disclosing Party's prior written consent and any attempted or
purported assignment of this Agreement or the Proprietary Information
(by way of merger, or sale of operations, or otherwise) without the
Disclosing Party's consent will be prohibited and void. The relationship
of the Parties created by this Agreement is that of independent parties
and not that of employer/employee, principal/agent, partnership,
joint venture or representative of the other. Neither Party will
represent to third parties that it is the representative of the other in
any manner or capacity whatsoever. All notices or other communications
contemplated by this Agreement shall be in writing and shall be deemed
duly delivered (i) when delivered personally, (ii) one day after deposit
for next day delivery with a nationally recognized overnight courier
service with tracking capabilities, or (iii) on the actual date of
delivery after mailing by registered or certified mail, postage prepaid,
to the address of the other Party set forth in this Agreement or such
other address as a Party may by notice specify to the other Party.
6. Solicitation of Employees. Each party agrees that for a
period of two years from and after the Effective Date of this Agreement
(which shall commence upon the effective date of an Electronic
Request), it shall not directly solicit for employment any current director,
officer and/or employee of the Disclosing Party (or any director,
officer and/or employee who becomes employed by the Disclosing Party
during the term of this Agreement). Employment advertisements aimed at a
broad, general audience shall not constitute prohibited solicitation,
provided they are not targeted to or at the other Party. The Receiving
Party agrees that during the term of this agreement, the Receiving
Party shall not employ any employee of the Disclosing Party (or any
employee who is or was employed by the Disclosing Party as of the
Effective Date or employed by the Disclosing Party at any time during
the term of this Agreement) with whom the Receiving Party came in
contact or communicated with, or about whom the Receiving Party obtained
or was provided information, in connection with any disclosures made
pursuant to this Agreement. The foregoing shall not alter or supersede
the terms of any employment agreement between a Party and its employees.
7. Choice of Law. This Agreement will be governed by and
construed in accordance with the laws of the State of Florida without
giving effect to choice of law principles. Should any provision of this
Agreement be determined to be void, invalid or otherwise unenforceable
by any court of competent jurisdiction, such determination will not
affect the remaining provisions hereof which will remain in full force
and effect. No action arising out of this Agreement, regardless of form,
may be brought by either Party more than one (1) year after the cause of
action has accrued. The prevailing Party, in part or in whole, in any
legal or equitable action to enforce this Agreement will be entitled to
recover all court costs and attorney fees incurred before and at trial,
as well as at all levels of proceedings.
8. Authority. The undersigned acknowledge and agree that they
have the authority to enter into this agreement and hereby bind their
respective Party and any Party Affiliates who obtain Proprietary
Information.
9. Term. The term of this Agreement will be 3 years. The
Receiving Party's obligations with respect to non-disclosure and non-use
of the Proprietary Information will terminate 3 years after the
Effective Date.
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