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AGREEMENT FOR EQUIPMENT SALE (2) ~~ - CUSTOMER '~,~:: (; :t. J VtJY ," "~' ' ,'t\i ~ ',:,:"i,.;1 Burrpughs Corporationl ~ \:''0\ 'BUSINESS MACHINES GROUP {nO~ >- AGREEMENT FOR EQUIPMENT SALE f! D~\Y (Installment Sale) 'J 8:c ~~ -} ~'1r.'# ..-,<." '. /" II :" '(\ , ':, ~)1 "'. ,'"., (., '., J""u . ,<," 1C~ "'<'~~- <p:'" ~ -" City or Clearwater (Firm Name) 10 S. Missouri (Number) Clearwater Florida (City) (Street) (State) (lip Code) BURROUGHS CORPORATION, Business Machines Group, Burroughs t"'lace, Detroit, Michigan 48232 ("BURROUGHS"), by its acceptance agrees to sell and CUSTOMER agrees to buy the equipment listed below. ITEM MODEL AND UNIT LIST TOT Al liST NO. DESCR IPTION QUANTITY PRICE PRICE l. TC4201 Send/Rec No r/o 1 3 , 960. 00 3,960.00 2. A6420-3 Syncronous 1 504.00 504.00 3. XAI09 Data set interrace 1 90.00 90.00 4. A6410-S Syncronous Multipoint 1 144.00 144.00 5. A6442-1 256 character burrer ..,. 180.00 360.00 ... 6. XCI04 100' cable 1 180.00 180.00 Amount Due: 4,968.00 (a) Grand Total list Price ......"..............".........,.....,.$ (b) less Credits: Cash upon execution (Down-Payment) , . . . . $ Other . . . . , , . , . , , . . . . . . . . , . . . . . . . $ Other , . . . . , . . . " . . . . . . . . . . . , . . , . $ Other . , . . . . . . . . . . . . . , . . , , . . . . . . . $ (c) Balance of List Price after Credits .,..,.",...".,........."".... $ (d) Plus Applicable Taxes in accordance with Section 7 $ SXEMPT . . . . . . , . . . . ., . . , . . . , . . , . , . . . . . . . . ,$ .. . . . . , . , . . . . . , . . . . . . . . . , , . . . . . . . .$ (e) Plus Finance Charge "'....,.,,,...,..,. $ (f) Total Deferred Balance ..".,....,....,........,....,. . . . . . , . . ,$ (g) Deferred Balance to be paid in 59 ' Consecutive Monthly Installments of $ 93.37 and a Final Monthly I nstallment of $ 93.37, payable in accordance with Section 5. (h) Plus Contract Processing Charge ,.."....,........,.,....."......$ 4,968.00 634..20 5.602.20 This Agreement (including the agreements incorporated by reference in Section 14) constitutes the entire agreement, understanding and representations, express or implied, between the CUSTOMER and BURROUGHS with respect to the equipment and services, and supersedes all prior communications including all oral and written proposals. ACCEPTED: CUSTOMER BY ITS SIGNATURE ACKNOWLEDGES THAT IT HAS READ THIS AGREEMENT, UNDERSTANDS IT AND AGREES TO ALL ITS TERMS AND CONDITIONS. /. >/ >i Authorized Signatu're Branch Manager Title 2/24/78 Date Burroughs CorporationI' /' By February 15, . , 1910221\TT7UT \IE DATE his . nt shall be effective on the date accepted and xecu'ted by an authorized representative of BUfiROUGHS, and hall continue ir., effect until terminated accordingj> its terms, I/r - . TITLE itle to the equipment shall vest in CUSTOMER upon shipment of he equipment to CUSTOMER. BURROUGHS shall retain a ecurity interest in the equipment until the entire balance of the ist Price and all other monies payable hereunder are paid in full, USTOMER will execute, upon request, financing statements eemed necessary or desirable by BURROUGHS to perfect its curity interest in the equipment. CUSTOMER authorizes BUR- OUGHS to file a copy of this security agreement or a financing atement asa financing statement, A financing statement may be led without CUSTOME R'S signature on the basis of this security reement where allowed by law, INSTALLATION (a) The initial installation will be performed by BURROUGHS during BU R ROUGHS normal working hours at no additional charge. If installation or removal of the equipment by BURROUGHS is precluded by local law, union agreement or otherwise, BURROUGHS will supervise the installation or removal and CUSTOMER will bear any additional costs caused thereby. (b) CUSTOMER shall prepare the site to meet BURROUGHS installation specifications which have been provided to CUSTOMER and the site shall be ready to receive the equip- ment at the time scheduled for delivery. It shall be CUSTOMER'S responsibility to maintain environmental con- ditions meeting BU R ROUG HS speCifications. (c) The CUSTOMER shall provide adequate working space wlthm reasonable distance of the equipment for use of BURROUGHS personnel, (d) BU R ROUGHS shall deliver and install the equipment as soon as reasonably possible, . DESTINATION AREA TRANSPORTATION URROUGHS will arrange for transportation and drayage to the emises at which the equipment is to be located, and CUSTOME R all pay transportation and drayage charges (Destination Area ransportation Charge) according to BURROUGHS published ices in effect at time of delivery. In addition, if delivery to the stallation site within the CUSTOM E R'S premises cannot be made ith equipment normally employed by the equipment carrier, any sts for special rigging (including the cost of insurance) shall be id by CUSTOM E R. PAYMENT TERMS wn payment, if required, shall be due upon execution by JSTOMER of this order and shall be returned to CUSTOMER if is order is not accepted. The first deferred balance payment and her Charges shall be due on the first day of the month after ipment of the equipment to CUSTOMER. The additional ferred balance payments shall be due on the first day of each nth thereafter and shall continue until paid in full. Payment all be made by CUSTOMER no later than ten (10) days after eipt of invoice. CUSTOMER shall pay a late payment charge mputed at the rate of one and one-half (1 '12%) percent per month the unpaid amount for each calendar month (or fraction roof) that such payment is in default. ADDITIONS STOM E R may order additional component(s) for its system(s) initially listed on the face page or order additional system(s). ese additions may be effected by the issuance of a written order CUSTOMER, subject to acceptance by BURROUGHS. Prices II be those in effect when the order is placed, and the order shall er to and be subject to the terms and conditions of this Agree- nt, and all terms and conditions of the written order shall be d unless agreed to in a separate writing by BUR-ROUGHS. 7. TAXES CUSTOMER shall pay BURROUGHS any tax (except tax based on net income) on the Agrlement, on or measured by the prices, other charges, the equipmentlprogram products, or services furnished, or their use, however designated, levied or based whenever BURROUGHS must pay and/or collect the tax from CUSTOMER acr.ording to applicable law, as interpreted by the departmental authorities of the taxing unit. It shall be CUSTOMER'S sole obliga- tion after payment to BURROUGHS to challenge the applicability of any tax. Any personal property taxes assessable on the equip- ment after shipment shall be borne by CUSTOMER. 8. RISK OF LOSS OR DAMAGE CUSTOMER shall assume full risk of loss or damage to the equip- ment immediately upon its delivery to CUSTOMER'S location. As long as BURROUGHS holds a security interest in the equip- ment, CUSTOMER shall: (j) Maintain the equipment in good operating condition; keep the equipment free from liens and encumbrances; not use or permit use of the equipment in any manner likely to be injurious to it; nor remove or permit removal from original location; not make or permit any alteration without the prior written consent of BURROUGHS; permit inspec- tion by BURROUGHS at reasonable times; and (ji) procure and maintain fire, extended coverage, vandalism and malicious mischief insurance to the full insurance value of the equipment, with loss payable to BURROUGHS and CUSTOMER as their interests shall appear. 9. PATENT INDEMNITY (a) BURROUGHS shall defend 'or settle any suit or proceeding brought against CUSTOMER based on a claim that any equip- ment made to BU R ROUGHS design constitutes an infringement of any existing United States patent, provided BURROUGHS is notified promptly in writing and is given complete authority and information required for the defense, and BURROUGHS shall pay all damages and costs awarded therein against CUSTOMER, but shall not be responsible1for any cost, expense or compromise incurred or made by CUSTOMER without BURROUGHS prior written consent. (b) If any equipment is, in BURROUGHS opinion, likely to or does become the subject of a claim for patent infringement, BUR ROUGHS may at its option and expense procure for CUSTOMER the right to continue using the equipment, or modify it to become non-infringing, but if BU R ROUGHS is not reaso na b I Y a b I e to mod i fy or otherwise procure for CUSTOMER the right to continue using it. BURROUGHS will remove the equipment aAd refund to CUSTOME R the amount paid in excess of a reasonable rental for past use. (c) BU R ROUGHS shall not be liable for any infringement or claim thereof based upon use of the equipment in combination with other equipment or with software not supplied by BUR- ROUGHS, or with modification made by CUSTOMER, (d) The foregoing states the entire liability of BURROUGHS to CUSTOMER arising from patent infringement. 10. WARRANTY BURROUGHS warrants that: (a) no applicable statute, regulation or ordinance of the United States or of any State has been violated in the manufacture and sale of the equipment; (b) BURROUGHS has title to the equipment and the right to sell it; and (c) for a period of one (1) year from installation, the equipment delivered under this Agreement shall be free from defects in material and workmanship under normal use and service. Written notice and an explanation of circumstances concerning any claim that the equipment has proved defective in material or work- manship shall be given promptly by CUSTOMER to BUR- ROUGHS. CUSTOMER'S sole and exclusive remedy in the event of defect is expressly limited to the correction of the defect by adjust- ment, repair or replacement, at BU R ROUG HS election and sole expense, except that there shall be no obligation to replace or repair items which by their nature are expendable. ~tation or other affirmati~ of fact, ~nclUding but not limit, edto statements regarding capacity, suit<1>ility for use, or performance.of the equipment shall be or bEl deemed to be a warran'ry by BU R ROUGHS for any purpose, nor give rise to any liability or obligation of BURROUGHS whatsoever. EXCEPTAS SPECIFICALLY PROVIDED IN THE AGREEMENT, THERE ARE NO OTHER WARRANTIES,EXPRESS OR IMPLIED, INCLUDING, BUT NOT LIMITED TO, ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. In the event of employment by CUSTOMER of any non- BURROUGHS attachment, feature, or device on the equipment, or any part thereof, furnished by BURROUGHS hereunder, which has not been approved in writing by BURROUGHS, BURROUGHS shall not be liable under this warranty. The approval of the use of any non-BURROUGHS attachment, feature, or device shall not be deemed to bea representation, warranty or understanding by BURROUGHS regarding that non-BURROUGHS equipment in- cluding its performance in conjunction with the BURROUGHS equipment. 11, LIMITATION OF LIABILITY IN NO EVENT SHALL BURROUGHS BE LIABLE FOR LOSS OF PROFITS, INDIRECT,SPECIAL, OR CONSEQUENTIAL DAMAGES ARISING OUT OF ANY BREACH OF THE AGREE- MENT OR OBLIGATIONS UNDER THE AGREEMENT. BURROUGHS SHALL NOT BE LIABLE FOR ANY DAMAGES CAUSED BY DELAY IN DELIVERY, INSTALLATION OR FUR- NISHING OF THE EQUIPMENT OR SERVICES UNDER THE AGREEMENT. CUSTOMER shall assume full responsibility for the overall effectiveness and efficiency of the operating environment in which BU R ROUGHS equipment and software are to function. No action arising out of any clai med breach of the Agreement or transactions under the Agreement may be brought by either party more than two (2) years after the cause of action has accrued. 12. TERMINATION If CUSTOMER fails to make any payment within ten (10) days of its due date, or fails to perform any other obligations hereunder upon thirty (30) days written notice, or should CUSTOMER be or become insolvent or a party to any bankruptcy or receivership proceeding or any similar action affecting the affairs or property of CUSTOMER prior to payment in full of the balance of the List Price and all other amounts payable hereunder, BURROUGHS may: FORM NUMBER CUSTOMER'S INITIALS (a) with or without demand or notice to, CUSTOME R (if given, notice by mail If CUSTOMER'S address, shown in the Agree- ment being sufft:ient) declare the entire amount unpaid im- mediately due and payable; (b) enter the premises where the equipment is located and remove it (CUSTOMER shall assemble the equipment and make it available to BURROUGHS at a place which is reasonably convenient to both parties and to permit and to assist BURROUGHS in effecting the retaking and removal of the equipment); and (c) sell any or all the equipment as permitted under applicable law. BURROUGHS shall apply the proceeds of sale of the equipment to the payment of the expenses of retaking, storing, repairing and selling the equipment, reasonable attorney fees and to the satisfaction of all indebtedness secured under this Agreement, Any surplus shall be paid to CUSTOMER and any deficiency shall be paid to BURROUGHS by CUSTOMER. The remedies provided herein shall be cumulative and shall be in addition to all other remedies provided bylaw or equity. 13. GENERAL (a) BURROUGHS may assign this Agreement and convey its interest in the equipment, or assign the right to receive pay- ments without the CUSTOMER'S consent, provided that BURROUGHS obligations to CUSTOMER shall not in any way be diminished, CUSTOME R may not assign this Agreement without BU R ROUGHS prior written consent. (b) All programs including system software furnished by BUR- ROUGHS, including program products jointly developed by BURROUGHS and CUSTOMER, shall be subject to BUR- ROUGHS Program Products License which is incorporated here- in by reference. CUSTOMER shall be responsible for deter- mining appropriate use and limitations of the program products in its operations. (c) No modification or amendment to this Agreement and no waiver of any provision shall be valid unless in writing, signed by duly authorized representatives of the parties, Any written order or other instrument issued by CUSTOME R before or after the effective date of this Agreement pertaining to the equip- ment or services provided under this Agreement shall be void, except as otherwise provided in this Agreement, (e) The laws of the State of Michigan shall govern this Agree- ment. 14. OTHER APPLICABLE AGREEMENTS The following BU R ROUGHS agreements are by this reference incorporated in this Agreement, TITLE OF AGREEMENT