SOFTWARE LICENSE AGREEMENT
. '
I
I
CONFIDENTIAL
Identitech, Inc.
Software License Agreement
Licensor:
Identitech, Inc. (hereinafter "Licensor")
Licensee:
City of Clearwater
Address:
100 S. Myrtle Ave
Clearwater, FL 33756
Phone:
727-562-4097
Fax:
Email:
Sstephen@clearwater-fl.com
(P/19/~
/ /
Effective Date:
This Agreement, together with any Product Schedules, appendices, exhibits, or other attachments
hereto, are hereby individually incorporated into and collectively made part of the Agreement.
The terms of the Agreement shall be binding on any successor to Licensor or Licensee.
LICENSE: Licensor agrees to grant hereby and Licensee agrees to accept a fully paid, non-
exclusive and perpetual license to use the software program(s) ("the "Products"), enumerated in
the associated Annual Software Support Agreement (the "Support Agreement"), on the Central
Processing Unites) ("CPU(s)") and the operating system(s) at the geographic location(s) and for
the quantity of users described in the product purchase documentation on the terms and
conditions hereunder. All products licensed under this Agreement are proprietary to Licensor and
may not be sublicensed by Licensee for lease or resale. Identitech software may also include
some third party software products for which Identitech is an authorized reseller. All terms and
conditions of this Software License Agreement also pertain to any such third party software
products.
1. TERM:
The license term shall begin on the date a Product is delivered to the Licensee's installation
location(s) and continue in perpetuity. The license granted herein with regard to the Product shall
remain in force until either party, with written notice, terminates the license hereunder in
accordance with the terms hereof.
2. PAYMENT:
Upon execution of this Agreement, Licensor shall invoice Licensee for the initial Products
ordered. Licensee shall pay said invoice as follows:
30% upon execution of this Agreement;
30% upon Product installation;
40% upon Product acceptance.
Rev 03/07/00
""Void if not executed within 30 calendar days from: 06107100**"
/)2 ~ /-/ . / s:.-.""--". 1)
C/ f.:7 U (./J
(3)
"
I
t
For any subsequent Product orders, Licensee shall pay Identitech within forty-five (45) days of
the date of invoice.
Identitech can accrue interest in the amount of 1 percent monthly on all overdue accounts up to
the limits set forth in Florida Statutes Chapter 218; however, no interest will be charged on any
disputed amounts. Licensee shall pay all applicable freight and insurance charges. Licensee shall
have the right to download the Products from Licensor's FTP server. All payments will be made
in U.S. dollars. Non-payment or late payment can result in termination of the Agreement.
Payment for all Identitech billable services and training shall be due upon receipt of invoice.
3. ACCEPTANCE:
Licensee shall have the right to examine the Product in confidence for a period not to exceed
forty-five (45) days from installation. If Licensee does not terminate the Product license and the
Support Agreement within forty-five (45) days from installation of the Product, Licensee shall be
deemed to have accepted the Product. In the event Licensee experiences a Critical Error within
forty-five (45) days from installation, the acceptance period shall be extended to end forty-five
(45) days after the Critical Error has been corrected. For purposes of the foregoing, "Critical
Error" shall mean any error which causes the Product(s) to become totally inoperable or non-
functional, causes ongoing corruption, or substantially impairs the user's ability to use one or
more critical functions of the Product(s).
4. TERMINATION AND REMEDY:
(c)
Rev 03/07/00
(a)
Early Termination. Each party has the right to terminate a Product license and
pursue injunctive relief if the other party breaches or is in default of any material
obligation hereunder where such a breach or default is incapable of cure or
which, being capable of cure, has not been cured within thirty (30) days after
receipt of notice of breach or default.
(b)
Insolvency. Either party may terminate this Agreement by written notice in the
event the other makes any assignment for the benefit of creditors, admits its
insolvency, is adjudicated bankrupt or insolvent by any court of competent
jurisdiction, any trustee or receiver is appointed for the other or for any of the
other's property, or the other files any involuntary petition under any bankruptcy
or similar law providing for the other's reorganization, dissolution, liquidation or
winding up.
Remedy. In the event Licensee terminates this Agreement or a Product license
for the reason of (a)or (b) above, Licensor shall return to Licensee any prepaid
advance payments it received for the terminated Product license and provided to
Licensee hereunder prorated from the effect date of termination calculated as if
the term was five (5) years. Licensee shall destroy or return all terminated
Product(s).
2
."Void ifnot executed within 30 calendar days/rom: 06/07/00...
I
I
5. WARRANTIES:
(a) Product Warranty, Licensor warrants that all Products licensed hereunder will
reasonably perform the functions described in the representations, documentation
and specifications provided by Licensor for a period of ninety (90) days from
expiration of the acceptance period of the Product, except to the extent the
Product was modified by Licensee and where such modification was the cause of
nonperformance. In the event a Product does not operate, Licensee shall
promptly notify Licensor and make available relevant information, such as
dumps and listings, to the Licensor, Licensor will repair or replace the defective
Product during the warranted period without further charge to Licensee, In the
event Licensee's hardware or software was responsible for the Product not being
operational, Licensee agrees to compensate Licensor at its billing rates, not to
exceed a normal and customary amount, for all time incurred by Licensor in
locating and correcting the problem. Any work performed by Licensor at a place
designated by Licensee other than the place of business of Licensor requires prior
written approval from Licensee and shall entitle Licensor to compensation of any
out-of-pocket expenses incurred. 'Out-of-pocket expenses means the reasonable
and customary charges for the actual travel and living expenses incurred, as
supported by copies of receipts. Licensor also warrants that to the best of its
knowledge, the Product does not include or contain any virus, clock, timer,
counter, or other disabling hardware device, code, design or routine which causes
the Product to be erased, become inoperable or will otherwise restrict Licensee's
use ofthe Product.
(b) Media Warranty. Licensor warrants the physical tapes, diskettes or other media
("Media") it uses for distribution of Products, and the physical documentation to
be free of defects in materials and workmanship under normal use for a period of
ninety (90) days from the date of Licensee's installation of the Product. Any
Media or documentation found defective will be promptly replaced by Licensor.
(c) Non-Infringement Warranty. Licensor warrants and represents that it owns the
Product or has the right to grant a license and that the Product hereby licensed
does not infringe upon or violate any copyright, trade secret or any other
proprietary right of any third party.
(d) Limitations on Warranties. EXCEPT AS PROVIDED IN THIS SECTION,
THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS
FOR A PARTICULAR PURPOSE ARE EXPRESSLY DISCLAIMED. IN
PARTICULAR, WITH RESPECT TO ANY PARTICULAR APPLICATION,
USE, OR PURPOSE, LICENSOR DOES NOT WARRANT THAT THE
PRODUCTS WILL MEET THE LICENSEE'S REQUIREMENTS, THAT THE
PRODUCTS WILL OPERATE IN THE COMBINATIONS WHICH
LICENSEE MAY SELECT TO USE, OR THAT THE OPERATION OF THE
PRODUCTS WILL BE UNINTERRUPTED OR ERROR FREE.
6. EXCLUSIVE REMEDY FOR BREACH OF WARRANTY AND LIMITATION OF
LIABILITY:
(a)
Exclusive Remedies, Except as expressly provided otherwise herein, for any
breach of the warranties specified herein, Licensee's exclusive remedy, and
Rev 03/07/00
3
".Void ifnot executed within 30 calendar days from: 06/07/00".
I
I
Licensor's entire liability shall be the correction of Product errors and/or
replacement of Product Media and/or physical documentation. However, if
Licensor is unable to make the Product operate as warranted, Licensee shall be
entitled to terminate the Product license and recover all license fees paid to
Licensor for the terminated Product. Licensee shall destroy or return all
terminated Product(s) and no further license and service fees shall be due or
payable for the terminated Product.
(b) Limitation of Liability, In no event shall either party be liable for any actual,
indirect, incidental, special or consequential damages resulting from a claim,
demand or cause of action, including loss profits, revenue, data or use, incurred
by either party or any third party, except where caused by fraud, negligence, or
the willful misconduct of an employee, subcontractor, or representative of the
party which caused the damages. Where personal injury, death or loss of or
damage to property is the result of the joint negligence or willful misconduct of
Licensee and Licensor, each party's liability shall be in proportion to its allocable
share of such joint negligence or willful misconduct.
Licensor's liability for damages hereunder shall in no event exceed the amount of the
license fees paid by Licensee under this Agreement except for the Licensor's liability for
damages resulting from an action in tort or the infringement of the copyright of a third
party .
7. INDEMNITY:
Licensor hereby agrees to defend, indemnify and hold harmless Licensee and any employee or
agent thereof from any loss, liability, claim, suit, action, cost, judgment, final judgment, expense,
or damages (including reasonable attorney fees) resulting from a claim that the Product,
information, documentation, diagnostics and any other material furnished by Licensor to Licensee
for use under the Agreement infringe, or are allowed to infringe the trade secrets, proprietary
information, trademark, copyright, patent right, or confidential proprietary information of any
third party. The foregoing indemnity obligations shall be contingent upon the following:
(a) Licensee shall give prompt written notice to Licensor of any claim, demand or
action for which indemnity is sought;
(b) Both parties shall fully cooperate in the defense or settlement of any such claim,
demand or action. Licensee has the right to representation by its own counsel at
its own expense. If the terms of the Agreement are enforced by litigation the
prevailing party is entitled to collect its reasonable attorney's fees and other costs
incurred from the non-prevailing party; and
(c) The parties to the Agreement shall obtain the prior written agreement of the other
party concerning any settlement or proposal of settlement, such agreement shall
not be unreasonably withheld.
8. CONFIDENTIAL INFORMATION:
Each party agrees that, upon receipt of confidential information or proprietary data from the other
party hereunder, such party shall use the same means it uses to protect its own confidential and
proprietary information, but in any event not less than reasonable means, to prevent disclosure
Rev 03/07/00
4
."Void if not executed within 30 calendar days from: 06107/00...
. .
I
I
and to protect confidentiality. Restrictions on disclosure or use of confidential information or
proprietary data shall apply to any information other than that which: (l) is or becomes a part of
the public knowledge or literature through no act or omission of Licensee, (2) was in Licensee's
lawful possession prior to the disclosure under this Agreement, (3) is lawfully disclosed hereafter
to Licensee by a third party who, to Licensee's best information, did not acquire the information
directly or indirectly from Licensor under an obligation of confidentiality, or (4) was
independently developed by Licensee without the use of information disclosed under this
Agreement.
During the term ofthe Agreement, Licensee may employ or contract with software development
vendors other than Licensor ("Contractors") to develop applications solely for Licensee. All such
applications shall be the property of Licensee. A Contractor shall have the right to use the
Products licensed in the performance of Contractor's development of applications for the benefit
of Licensee, provided Contractor has executed an agreement binding him to abide by the terms of
the Agreement during Contractor's performance of services for Licensee and Contractor shall
agree that Contractor shall prevent the disclosure and protect the confidentiality of the Product
and all written information received from Licensee, and Contractor shall return the Product and
all written information to Licensee upon completion of application development.
Nothing herein shall be construed as preventing disclosure pursuant to the public records
disclosure laws in Florida Statute 119.
9. MAINTENANCE SERVICES:
A Support Agreement for Products is a requirement ofthis license agreement. The Support
Agreement provides access to Licensee to all the latest revisions, error corrections, support and
enhancements available from Licensor.
10. USE:
Licensor agrees that a Product (as well as any services which are provided in connection with this
Agreement) may be used not only by Licensee for itself but also by or for its Subsidiaries, and
may be used by Licensee's agent or Contractor for the exclusive benefit of Licensee and its
Subsidiaries, without restriction. A Licensee's subsidiary ("Subsidiary") means any organization
in which the Licensee has 51 % or more ownership.
Licensee may continue to have unrestricted use of any Product, in accordance with the terms and
conditions of the Agreement, during any dispute between Licensee and Licensor provided all fees
due Licensor are paid and Licensee is proceeding in good faith to resolve any dispute.
Licensee may copy and use any Product at a disaster recovery site in the event Licensee suffers a
disaster during which Licensee cannot operate the Product on its CPU and/or location identified
on the applicable Product Schedule or for testing preparedness at a disaster recovery site, for as
long as a disaster is continuing or a test is in progress.
Licensee may copy the Product and related documentation solely for Licensee's use as an archival
copy or for back-up purposes to restore the Product in the event of a Product failure or Licensee's
system failure.
Rev 03/07/00
5
*"Void if not ~cuted within 30 calendar days from: 06107/00***
. ,
I
I
11. SOURCE CODE:
If requested by Licensee, Licensor shall place a current copy of the source code of the most
current release and version of the Product licensed under the Agreement in the possession of
Licensor's escrow agent ("Agent") under its current multi-user plan, in machine readable form
with all media, documentation and related materials, Licensor shall promptly provide Agent with
a new, replacement, or modified copy ofthe source code each time the Licensor provides a new
release or Licensee acquires a new version, or update to the Product. Agent may compile and run
the source code at any time as a test to ensure such source code is operational. Licensor shall pay
all fees charged by Agent in connection with the placement and maintenance of the source code
in the escrow account. Licensee shall pay all other fees. Licensor shall fix, repair, or replace any
source code found to be non-operational. Agent shall hold all source code as confidential and
proprietary information. Licensor shall identify all compilers, assemblers, or other computer
programs necessary to create an executable version of the Products, together with all related
documentation and other necessary materials.
To become effective only upon Licensor's declaration of bankruptcy, where bankruptcy
proceedings are not terminated within thirty (30) days, or Licensor's discontinuance of
Maintenance Service, or any breach or default by Licensor under this Agreement not remedied
within thirty (30) days after receipt of written notice, Licensor hereby grants Agent the right to
release the source code and other material necessary to maintain and improve the Products to
Licensee. In the event the bankruptcy proceedings are reorganization proceedings, Licensee shall
have use of source code only for the purpose of providing maintenance and improvements while a
closing of Licensor's business due to bankruptcy shall entitle Licensee to an unlimited, world-
wide, paid up license thereto to use such source code in the operation of its business for as long as
it deems necessary
IN WITNESS WHEREOF, the parties have caused this Agreement to be executed and do each
hereby warrant and represent that their respective signatory whose signature appears below has
been and is duly authorized by all necessary and appropriate corporate action to execute this
A reement.
C YOFCLEARWATER
~
Sign ure
SIgnature
Michael J. Roberto
Nicholas L. Lewis
Printed Name of Signature Party
City Manager
Title
SVP Operations
Title
to /7 Jot)
Date
Date
~
Bri ungst
M y -Commi~
Identilech Internal Review~
Rev 03/07/00
6
".Void if not executed within 30 calendar days from: 06107/00...
I
'I
Approved as to form:
Attest:
~2
o n Carassas
Assistant City Attorney
Rev 03/07/00
7
".Void ifnot executed within 30 calendar days/rom: 06107/00."