BHBITB2009
By visiting this website the following contract has been agreed
to. It is not necessary to sign this and return this document as it has already
been recorded. This Document serves therein as record for the previously
explained actions and will constitute a binding contract. BHBITB reserves the
right to terminate this contract without notice and for any reason.
All rights reserved 2009
BHBITB
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THIS
AGREEMENT is made upon and shall be effective as of ____________,
20_,
by and between BHBITB and _______________________.
AGREEMENT:
NOW, THEREFORE, in
consideration of the foregoing Recitals and the
covenants
and agreements set forth herein, together with other good and
valuable
consideration, the receipt and sufficiency of which is hereby
acknowledged,
the parties agree as follows:
1. DEFINITIONS. The capitalized terms used herein
shall have the
meanings
set forth below, or the meanings assigned to them elsewhere herein:
(a) The term "Affiliate" shall mean, with respect to
any given
entity (which includes without limitation
any company, organization,
or
person),
any other entity directly or indirectly controlling, controlled by,
or
under direct or indirect common control with such given entity. For
purposes
of this definition, the ownership of a twenty-five percent (25%) or
greater
equity interest in an entity
shall be deemed control of such entity,
and the ownership of less than a
twenty-five percent (25%) equity interest in
an
entity (absent any other exercise of control) shall be deemed not to be
control
of such entity.
forth
on Exhibit "B", attached hereto and incorporated herein by this
reference,
which incorporate in whole or in part any portion of the
Technology and which are used or sold in the Field of Use.
Notwithstanding
any
other provision of this Agreement, the parties agree that the following
items
shall not be within the scope of the definition of "Products" or
otherwise
available for licensing under this Agreement: sealed containers for
the
long-
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term
storage of liquids whether for single or multiple portions (e.g., soft
drink
cans, milk cartons, sealed juice or drink containers), or boxes or
sealed
containers for the long term storage of single or multiple servings of
foods
(e.g., dry cereals, egg
cartons, and meat and deli trays) - the right to
license
such items has been retained by EKI.
(f) The term "Technology" shall mean
all of the proprietary
technology
involving hydraulically
reacting materials which is (i) described
or claimed in any United States patent or
patent application set forth in
Exhibit "A", attached hereto and incorporated herein, including without
limitation,
any continuations, divisionals or continuations-in-part, reissues
and
extensions thereto, and any patents issued therefrom, and (ii) the
subject
of any future United States
patents or patent applications to the
extent
that such patents or patent applications are licensed to ECC and
directly
utilized in the manufacture, use or sale of Food Packages by the
Sublicensee. The Technology, to the extent it exists
upon the execution date
of
this Agreement, is further described
on Exhibit "A". The term
Technology
shall
also include the proprietary information of ECC, or licensed to ECC,
that
is related to the Technology which is described on Exhibit "A" as
"Trade
Secrets"
and any other proprietary information of ECC, or licensed to ECC,
which
is delivered, orally or in writing, to the Sublicensee and designated,
orally
or in writing, as "Confidential".
(g) The term "Territory" shall
mean all fifty states of the United
States
of America and any territories or possessions of the United States.
The
term "Territory" also shall include Canada, Mexico, Central America,
and
the
Caribbean islands and
nations, subject to any foreign territory being
removed, all or in part, at ECC's option, if
Sublicensee has not commenced
commercial
production or sales of Products in such foreign territory prior to
January
1, 1996.
(h) If Sublicensee conducts business and
wants to sell Products
outside
of the Territory, ECC agrees that it will negotiate in good faith with
Sublicensee
for a
separate
non-exclusive sublicense covering a specified geographic area
outside
of the Territory.
2. THE SUBLICENSE.
(a BHBITB
hereby grants to Sublicensee a non-exclusive,
royalty-bearing
sublicense (the "Sublicense") to make, use, sell and
otherwise
commercialize the Products solely within the Territory and solely
within
the Field of Use. The Sublicense
shall be irrevocable except as
specifically
provided in this Agreement.
(c) Sublicensee shall not have the right to further sublicense,
assign or transfer the Technology, or any
interest in or rights under the
Sublicense (i) except to an Affiliate or
(ii) except with the prior written
consent of ECC, which consent will not
unreasonably be withheld (such
assignee referred to herein as a
"Proper Assignee"). Any
such purported
sublicense or transfer shall be void and
shall constitute a breach of a
material obligations of Sublicensee
within the meaning of paragraph 16,
hereof. The merger or consolidation of Sublicensee or a Proper
Assignee with
or the sale of substantially all of
Sublicensee's or a Proper Assignees'
assets or equity interest to, any other
entity that is not, prior to such
merger, consolidation or sale, an
Affiliate of Sublicensee, whether occurring
by operation of law or otherwise, shall
not be deemed to be an assignment of
the Technology and is expressly permitted
under the terms of this Agreement.
(d) As more fully set forth in paragraph
10(b) hereof, Sublicensee
is
authorized and required to utilize, in connection with the marketing,
distribution
and sale of the Products, those trade names, trademarks, service
marks,
slogans and logo marks
(collectively the
"Trademarks") which are designated by ECC to Sublicensee
prior
to commercial production of a Product by Sublicensee or from time to
time
thereafter.
(e) From time to time during the term of this Agreement, the
parties
may, by written agreement, amend Exhibit
"B" hereto in order to add thereto
one or more additional Products or range
of Products. No amendment of
Exhibit "B" shall be effective
unless it is in writing and signed by both of
the parties. The manufacture or sale of
any Product not licensed hereunder
shall be a breach of a material
obligation of Sublicensee within the meaning
of paragraph 16 hereof. If Sublicensee requests that Exhibit
"B" be amended
in order to add an additional Product or
range of Products, ECC shall meet
with
representatives of Sublicensee at reasonable times and at mutually
agreeable
locations and shall discuss, in good faith, the amendment of
Exhibit
"B" requested by Sublicensee. ECC shall have no obligation to amend
Exhibit
"B" hereto in accordance with any request by Sublicensee unless the
terms
and conditions of the proposed amendment are satisfactory to ECC.
(f) Sublicensee shall not market, distribute or sell any Product
to any person, firm or entity outside the
Territory, or to any person, firm
or
entity within the Territory if Sublicensee knows or has reason to believe
that
such person, firm or entity intends to use the Product in question
outside
the Territory. The sale or
distribution of a Product outside the
Territory
by Sublicensee shall constitute a breach of a material obligation
of
Sublicensee within the meaning of paragraph 16 hereof.
3. ROYALTIES.
(a) As consideration for the grant of the
Sublicense, Sublicensee
shall
pay to ECC a royalty (the "Royalty") of twenty percent (20%) of the
Gross
Sales Price for each Product which is sold by Sublicensee during the
term
of this Agreement.
(b) Sublicensee shall be deemed to have
"sold" a Product, and ECC
shall
be deemed to have earned the Royalty, upon the earliest date that
Sublicensee actually ships, delivers, or
invoices such Product to any person,
firm or entity, including but not
\
limited to any Affiliate of
Sublicensee. Provided, however,
that the
Sublicensee shall be entitled to a credit
for all bad debt or uncollected
accounts associated with the computation
of Royalty for a given period.
(c) No Royalty shall be payable on Products
which are used by
Sublicensee to manufacture other Products
which are sold and for which a
Royalty
is paid to ECC. No multiple
Royalties shall be payable because a
Product
is covered by more than one patent within the scope of the
Technology. No Royalty shall be due, owing or
payable on Products
manufactured
on the Pilot Production Line which Products are used exclusively
for
demonstration or market testing purposes.
(d) Failure to make payment when due of any
Royalty hereunder is a
breach
of a material obligation of Sublicensee and may result in the
termination
of this Agreement pursuant to paragraph 16 hereof.
4. PAYMENT OF THE ROYALTY.
(a) Within thirty (30) days of the final
day of each calendar
debts/uncollected
accounts and taxes with respect to Products sold.
(b) All payments called for by this
Agreement shall be paid by
Sublicensee
in United States dollars.
5. RIGHT TO AUDIT.
(a) Sublicensee shall keep and maintain
complete and accurate
records
concerning all aspects of the manufacture and sale of the Products.
ECC
or its designee (the "Representative") shall have the right, at ECC's
expense,
periodically to review those records and operations of Sublicensee
which
deal with the design, manufacture, shipment and sale of Products. Such
reviews
may take place only during the normal business hours of Sublicensee
and
only upon written notice to Sublicensee given at least three (3) business
days
prior to such review. The
Representative conducting such review shall
be
required to execute a confidentiality agreement pursuant to which the
Representative
shall agree that it will not disclose or use the information
obtained
pursuant to such review to or for the benefit of any person or
entity
except ECC unless required to do so in connection with the resolution
of
any dispute concerning any payment required by this Agreement.
(b) If any such review reveals, in the opinion of ECC, that
Sublicensee has not paid to ECC the full
amount of any payment due hereunder
for the period covered by such review,
ECC shall give the Sublicensee written
notice
(the "Review Notice") of such discrepancy. The Review Notice shall be
accompanied
by a written report prepared by ECC or the Representative setting
forth,
in reasonable detail, the basis of the alleged underpayment. If
delivered
to Sublicensee.
6. IMPROVEMENTS TO TECHNOLOGY
any
customers of the foregoing, as the result of such alleged infringement.
ECC
shall assume and control the defense of any such lawsuit, at its sole
cost
and expense, irrespective of whether
ECC is named as a defendant in such
litigation. Sublicensee will assist ECC
in the defense of such suit or action
by
providing information and fact witnesses as needed; provided, however,
that
ECC shall reimburse Sublicensee for all out-of-pocket costs incurred by
Sublicensee
in connection with such action
by allowing a credit or offset
against the Royalty due hereunder. Sublicensee shall have the right to be
represented in such suit or action by
their own legal counsel, at their own
expense, provided that such legal counsel
will act only in an advisory
capacity. If ECC decides to not assume the
defense of any infringement
lawsuit
described in this paragraph 8(b), Sublicensee shall have the right,
but
not the obligation, to assume the defense of such lawsuit utilizing legal
counsel
of its choice. Additionally, Sublicensee will
indemnify and hold ECC
and its licensor of the Technology
harmless from and
against, and hereby
assumes
liability for the payment of any and all loss, liability or damage,
and
for all costs
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and
expenses, including reasonable costs of investigation and reasonable
attorneys,
accountants and expert witness fees (collectively "Losses") that
may
be imposed upon, suffered or
incurred by ECC and its licensor of the
Technology as a consequence of or in connection with
any lawsuit described in
this
paragraph 8(b), but only to the extent that such lawsuit and resulting
liability
is based on matters other than the Technology licensed hereunder.
(c) If, as the result of any lawsuit
referred to in paragraph 8(b)
hereof,
Sublicensee is required by
final court order from which no appeal can
be
taken (or by a court order which
ECC's legal counsel believes has no
reasonable
likelihood of success for modification on appeal) to obtain a
license
under any third party's patent not licensed hereunder in order to
continue
with Sublicensee's activities
as contemplated by this Agreement, and
to
pay a royalty under such license, and the infringement of such patent
cannot
reasonably be avoided by Sublicensee, the future payment of the
Royalty
shall thereafter be reduced by an amount equal to 100% of any fee or
royalty
payable by Sublicensee under such additional license (including all
payments
under such agreement whether for periods prior to such agreement or
order)
as long as the infringement was due to the Technology licensed
infringement
of such patent cannot reasonably be avoided by Sublicensee, the
(d) Continue to make all required payments
under this Agreement to
then
special report of sales of Products and Gross Sales Price of the same.
11. REPRESENTATIONS AND WARRANTIES OF
ECC. ECC hereby represents and
warrants
to Sublicensee that:
power
and authority to own, operate and lease its properties and to carry on
other
laws relating to or affecting creditors' rights generally and to
general
principles of equity.
(c) ECC has made no assignments, grants,
licenses, encumbrances,
obligations
or agreements which are in conflict with this Agreement.
any
claims or threatened, in writing, or otherwise, that ECC is in violation of
or
has infringed any patent, patent license, trade name, trademark, service mark
brand
mark, brand name, copyright, know-how, formula or other proprietary or
trade
rights of such third party as they relate to the Technology. ECC is not
now
in possession of and at no time has received any information which would
render
any claims essential to the commercial utilization of the Technology
invalid
and/or unenforceable. To the best
of ECC's present knowledge and
belief,
the use of the Technology in the manufacture of the Products pursuant to
the
terms of this Agreement will not constitute infringement of the proprietary
rights
of any third party.
(e) The execution, delivery and performance of this Agreement by
ECC
and the consummation by it of the
transactions contemplated hereunder, do not
and
will not conflict with or result in a breach or termination of any term or
provision
of, or constitute a default under any other agreement, or result in
the
creation of any lien, charge or encumbrance upon any of its properties or
assets
pursuant to any corporate charter, bylaw, mortgage, deed of trust,
indenture
or other agreement or instrument, or any order, judgment, decree or
like
restriction, statute or regulation by which it or any of its assets and
properties
may be bound. The representation
and warranty given in this
paragraph
11(e) shall not be deemed or construed to expand or modify the
representation and warranty given by ECC
in paragraph 11(d) hereof.
(f) The execution, delivery and performance
of this Agreement by ECC
and the consummation by it of the
transactions contemplated hereby will not (i)
constitute a violation (with or without
the giving of notice or lapse of time)
of
any provision of applicable law, (ii) require any consent, approval or
authorization
of any person or governmental authority, (iii) result in a default
under,
acceleration or termination of, or the creation in any party of the right
to
accelerate, terminate, modify or cancel any agreement, lease, franchise,
permit,
note or other restriction, encumbrance, obligation or liability to
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which
ECC is a party or by which it is bound or to which any of its assets are
subject,
(iv) result in the creation of any lien or encumbrance upon ECC's
assets,
(v) conflict with or result in the breach of or constitute a default
13. SURVIVAL OF REPRESENTATIONS AND
WARRANTIES. The representations
and warranties of the parties, as set
forth herein, shall be true and
accurate as of the effective date of this
Agreement,
and shall survive the
execution
of this Agreement.
14. INDEMNIFICATION. In addition to the indemnification
provisions
provided
elsewhere in this Agreement:
(a) ECC will indemnify and hold Sublicensee
harmless from and
against, and hereby assumes liability for, the payment of any
loss, liability
or damage, and for all costs and expenses
(including reasonable costs of
investigation
and reasonable attorneys, accountants and expert witness fees)
(collectively
"Losses") of whatsoever kind and nature that may be imposed
upon,
suffered or incurred by Sublicensee as a consequence of or in
connection
with any misrepresentation or breach of any warranty, covenant or
agreement
of ECC contained in this Agreement.
(b) Sublicensee will indemnify and hold ECC
harmless from and
against,
and hereby assumes liability for, the payment of all Losses of
whatsoever
kind and nature that may
be imposed upon, suffered or incurred by
or
asserted against ECC as a consequence of or in connection with any
misrepresentation
or breach of any warranty, covenant or agreement of
Sublicensee
contained in this Agreement.
(c) Neither party shall have any liability
to the other party
pursuant to an indemnity provided by this
paragraph 14
unless and until the
aggregate
amount of all indemnified Losses suffered or incurred by such
indemnified
party after the effective date hereof equals or exceeds
$100,000,
at which time the indemnifying party shall be obligated
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to
pay the indemnified party the full amount of all indemnified Losses,
including
such initial $100,000 in
Losses. The amount of
indemnity payable
pursuant
to this paragraph 14 shall be calculated after giving effect to any
insurance
proceeds actually received by the indemnified party; provided that
neither
party shall subrogate to any insurance carrier any rights or claims
which
it may have against the other party.
15. CONFIDENTIALITY.
(a) Sublicensee acknowledges that ECC claims that the
Technology,
as it may exist from time to time as well
as the other
confidential or
proprietary
information (including business and financial information) of ECC
(whether
owned by ECC or acquired by
license from third parties) are and
shall
remain the valuable, special, unique and proprietary assets of ECC, and
shall
constitute "Confidential Information" hereunder. In order for any
disclosed
to Sublicensee by a third party who has received and disclosed such
information
without the breach of any obligation of confidentiality to ECC or
to
any third party assignor of such Confidential Information. For purposes
of
this paragraph 15(a), information shall not be deemed to be part of the
public
domain or in Sublicensee's
knowledge merely because it may be embraced
in a more general disclosure or simply
because it may be derived from
combinations of disclosures or
information generally available to the public
or
within Sublicensee's knowledge.
The parties acknowledge that disclosure
to
Sublicensee of Confidential Information will be necessary in order to
enable
Sublicensee
to utilize the Sublicense in the manner contemplated by this
Agreement,
and ECC will make such disclosures
of the Confidential Information
to Sublicensee as is necessary, required
or appropriate in that regard. To
the extent that the disclosure of such
Confidential Information is deemed to
be
a transfer of the Technology licensed hereunder, such Technology transfer
employees,
accountants, attorneys and other agents and professional advisors)
either
during or after the term of this Agreement unless required to do so by
court
order or by law, in which case Sublicensee shall notify ECC, in
writing,
prior to making such disclosure and shall cooperate with ECC to
preserve
and protect the confidentiality of the Confidential Information in
question
to the fullest extent possible. Additionally, except as specifically
contemplated by this Agreement,
Sublicensee shall not utilize any
Confidential Information for its own
benefit or for the benefit of any third
party. Prior to making any permitted disclosure of any Confidential
Information
to its employees, accountants, attorneys and other agents and
professional
advisors, Sublicensee shall require such persons, firms, or
entities
to execute and deliver written disclosure agreements which shall
obligate
such persons, firms and entities to comply with the same obligations
PURPOSE
The
Code of Business Conduct of
Halliburton Company contains the specific Corporate Policies adopted by the
Board of Directors that relate to the legal and ethical standards of conduct of
Directors, Employees and agents of the Company. The Corporate Policies
listed in the index set forth in Corporate Policy 3-0000 constitute the Code of
Business Conduct and govern the conduct of business by the Company.
The
purpose of this General Policy Regarding Laws and Business Conduct is to
provide a general statement regarding the CompanyÕs expectations as to the
legal and ethical nature of conduct of the CompanyÕs Directors, Employees and
agents while acting on the CompanyÕs behalf and to provide for the
administration of the CompanyÕs Code of Business Conduct.
This
Corporate Policy 3-0001 is intended to enhance the qualifications of the Code
of Business Conduct as a program that, under the United States Sentencing Guidelines, is reasonably
designed, implemented and enforced so as to be generally effective in
preventing and detecting criminal conduct, and that promotes an organizational
culture that encourages ethical conduct and a commitment to compliance with the
law.
Moreover,
this Code of Business Conduct
applies to the CompanyÕs
principal executive officer, principal financial officer, principal accounting
officer or controller, or persons performing similar functions. The
Company believes that this Code of Business Conduct exceeds the requirements of the definition of
a ÒCode of EthicsÓ as set forth in the regulations of the United States
Securities and Exchange Commission (ÔSECÓ) issued pursuant to Section 406 of
the Sarbanes-Oxley Act of 2002. However, for purposes of clarity and to ensure
compliance with Section 406, this Code of Business Conduct as it applies to
these listed officers is designed to deter wrongdoing and promote:
(1) honest
and ethical conduct,
including the ethical handling of actual or apparent conflicts of
interest between personal and professional relationships
(2) full,
fair, accurate, timely, and understandable disclosure in reports and documents
that the Company files with, or submits to, the SEC and in other public communications made by the
Company
(3) compliance
with applicable governmental laws, rules and regulations
(4) the
prompt internal reporting of violations of the Code to an appropriate person or
persons identified in the Code; and
(5) accountability
for adherence to the Code.
Definitions:
As
used in the Code of Business Conduct:
ÒCompanyÓ means Halliburton
Company, a Delaware corporation, its divisions, subsidiaries, and successors.
ÒDirectorÓ means any Director of
Halliburton Company.
ÒEmployeeÓ
means any employee of the Company, including the CompanyÕs principal executive
officer, principal financial officer, principal accounting officer or
controller, or persons performing similar functions.
ÒHigh
Level PersonnelÓ means individuals who have substantial control over the
Company or who have a substantial role in policy-making within the Company,
including Directors, executive officers and individuals in charge of a major
business or functional unit of the Company, such as sales, administration or finance.
ÒLawsÓ
means laws, rules and regulations of governmental agencies and authorities.
ÒPolicy
CommitteeÓ means the Policy
Committee of the Company.
Policy:
A. Standards
of Conduct.
It
is the CompanyÕs policy to observe and comply with all Laws applicable to it or
the conduct of its business wherever located. In some situations the applicable
Law of the United States may
conflict with the applicable Law of another country. In such cases the
Company will endeavor to resolve such conflict following the guidance of its Law Department.
Where such a conflict cannot be resolved, the applicable Law of the United
States will be observed and complied with by the Company.
The
Code of Business Conduct
applies to agents of the Company as well as its Directors and Employees.
However, in the c
a. evaluate
such information as to gravity and credibility;
supervisor
shall report the complaint immediately to the Human Resources Department.
Nothing in this Policy requires any Employee complaining of discrimination to present the
matter to the person who is the subject of the complaint.
annually
a completed copy of a statement of compliance. The Director - Audit Services
will also be responsible for notifying the Chief Executive Officer and the Audit Committee of the Board of Directors that such
statements are on file as
3. Statements
of compliance will be
completed by all Employees upon becoming subject to the standard stated in
Policy paragraph 5 above. Supplemental and annual reports for such Employees will
be obtained as set forth in Procedure paragraph 1 above.
8.2
Counterparts. This Agreement may be executed in one or more
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counterparts,
all of which shall be considered one and the same agreement and
shall
become effective when one or
more counterparts have been signed by each of
the parties and delivered to the other parties, it being
understood that all
parties
need not sign the same counterpart.
8.3 Entire
Agreement . This Agreement and the documents and
----------------
instruments
and other agreements specifically referred to herein or delivered
pursuant
hereto, including the exhibits and schedules hereto, including the
Company
Disclosure Schedule,
together constitute the entire agreement among the
parties with respect to the subject
matter hereof and supersede all prio
8.8
Remedies Cumulative. Except as otherwise provided herein, any and
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all remedies herein expressly conferred
upon a party will be deemed cumulative
with and not exclusive of any other
remedy conferred hereby, or by law or equity
upon such party, and the exercise by a
party of any one remedy will not preclude
the exercise of any other remedy.
8.9
Governing Law. This Agreement shall be governed by and construed
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in
accordance with the internal laws of the State of Delaware applicable to
parties
residing in the State of Delaware, without regard to applicable
principles
of conflicts of law. Each of the parties hereto irrevocably consents
to
the exclusive jurisdiction of any court located within Delaware in connection
with
any matter based upon or
arising out of this Agreement or the matters
contemplated hereby and it agrees that
process may
be served upon it in any
manner
authorized by the laws of the State of Delaware for such persons and
waives
and covenants not to assert or plead any objection which it might
otherwise
have to such jurisdiction and such process.
8.10 Rules
of Construction. The parties hereto agree that they have
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been
represented by counsel during the negotiation, preparation and execution of
this
Agreement and, therefore,
waive the application of any law, regulation,
holding
or rule of construction providing that ambiguities in an agreement or
other
document will be construed against the party drafting such agreement or
document.
8.11
Enforcement. Each of the parties hereto agrees that irreparable
-----------
damage
would occur and that the parties would not have any adequate remedy at
law in the event that any of the
provisions of this Agreement were not performed
in accordance with their specific terms
or were otherwise breached. It is
accordingly agreed that the parties shall
be entitled to an injunction or
to
this Agreement or any of the transactions contemplated by this Agreement in
any
court other than a Federal court sitting in the State of Delaware or a
Delaware
state court and (d) waives
any right to trial by jury with respect to
any claim or proceeding related to or
arising out of this Agreement or any
transaction contemplated by this
Agreement.
8.12 Waiver.
Any waiver of any of the terms of this Agreement must be
------
in
writing and must be duly executed by or on behalf of the party to be charged
upon
strict adherence to the terms of this Agreement at a later date. Further,
no
waiver of any of the terms of this Agreement shall be deemed to or shall
constitute
a waiver of any other term
hereof (whether or not similar).
By
visiting this website this contract has been agreed to. It is not necessary to
sign this and return this document as it has already been recorded. This
Document serves therein as record for the previously explained actions and will
constitute a binding contract. BHBITB reserves the right to terminate this
contract without notice and for any reason.
All
rights reserved 2009 BHBITB
Signor Date
Signee Date
Witness Date
Witness Date