AGREEMENT FOR EQUIPMENT SALE (4)
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BurrrughS Corporationa m
BUSINESS MACHINES GROUP
AGREEMENT FOR eQUIPMENT SALE
(Installment Saie)
CTTV OF CLEARwATER
(Firm Namei
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,;'.STOMER
10 S. Missouri
(Numbed
Clearwater
(City)
(Street)
FJ.
(Statal
33516
(Zip Codel
.:'..;':RROUGHS CORPORATION, Business Machines Group. Burroughs '"'lace. Detroit. Michigan 48232 ("BURROUGHS"), by its acceptance
l;:-~ to sell and CUSTOMER agrees to buy the equipment listed below.
7' EJ.A MODEL AND UN IT LIST TOT AL LIST
:...C.. DESCRIPTION QUANTITY PRICE PRICE
B 1489 Mini Disk Control. 1 4,120.00 4,120.00
- B 9489-16 Mini-Disk :IC 1 6,330.00 6,530.00
'.
IJ TA 2401 Modem 2400 BPS 4 1,600.00 6,400.00
..... TD 831 CRT Terminal 1 2,713.00 2,715.00
3 TD 015A Keyboard 1 275.00 275.00
~ B ,651-1 Data Set Connect 2 1,545.00 3,090.00
.... "11Ount
._ '.1e:
(a) Grand Total List Price. , , . . , . . . , . . . . . . . . . . . . . ~ . . . . .. . . . . . . . . . . . $
(b) Less Credits:
Cash upon execution (Down-Payment) . . . . . $
Other . . . . . . . . . . . . . . . . . . . . . '. . . . . . $
Other . . . . . . . . . . . . . . , . . . . . . . . . . . . $
Other . . . . . . . , . . . . . , . . . . . . . . . . . . . $
(c) Balance of Ust Price after Credits ....................,............ $
(d) Plus Applicable Taxes in accordance with Section 7 $ Ex~'Pt
.., ...... ...... ........ ., ...... .. .$
. ... . ., . ....... . . ... ... . . ... .. . . . .$
(e) Plus Finance Charge .................... $ 2.952. 60
(f) Total Deferred Balance ......,................................. $
(g) Deferred Balance to be paid in 59 Consecutive
Monthly Installments of $ 434.71 and a Final Monthly
Installment of $ 434.71 ,payable in accordance
with Section 5.
(hI Plus Contract Processing Charge ...................................$
23,130.00
21~110.00
.26,082.60
0.00
"'This Agreement \including the agreements incorporated by refef'enC8 in Section 14) constitutes the entire agreement, understanding and
:"!presentations, express or implied, between the CUSTOMER and BURROUGHS with respect to the equipment and services, and supersedes all
",",or communications including all oral and wrinen proposals.
:lCCEPTED:
CUSTOMER BY ITS SIGNATURE ACKNOWLEDGES THAT IT
HAS READ THIS AGREEMENT. UNDERSTANDS IT AND
AGREES TO ALL ITS TERMS AND CONDITIONS.
~u(roughs CorP9ration
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,y Authorized Signature
3ranch Manager
CITY OF CLE}J~WATER
,~ Customer
By
Date
. --'J~
iii1n111 11 rln
Title
1/5/79
Date
..:FFECTIVE DATE
~"" A9reement shall be effective on the tHe accepted and
;"::.:..tedby an authorized representative of IJRROUGHS, and
-.::I!i~"Cmtinue in effect until terminated according to its terms.
~:TL.E
"cta the equipment shall vest in CUSTOMER upon shipment of
~uipment to CUSTOMER. BURROUGHS shall retain a
':11,/ interest in the equipment until the entire balance of the
:lTi~ and all other monies payable hereunder are paid in full.
~'" SrOJ\lER will execute, upon request, financing statements
:''''1~d necessary or desirable by BURROUGHS to perfect its
.; ;:irltyimerest in the equipment. CUSTOME R authorizes BU R-
'~-:SGHS to file a copy of this security agreement or a financing
',' .~ent as a financing statement. A financing statement may be
, '~'1: 'without CUSTOMER'S signature on the basis of this security
:...~ment where allowed by law.
.. ~~ST ALLA T10N
;.;;.::) The initial installation will be performed by BURROUGHS
during BURROUGHS normal working hours at no additional
.:harge. If installation or removal of the equipment by
S'tJRROUGHS is precluded by local law, union agreement or
l.:therwise, BURROUGHS will supervise the installation or
~moval and CUSTOME R will bear any additional costs caused
:nereby.
'01 CUSTOMER shall prepare the site to meet BURROUGHS
; t"stallation specifications which have been provided to
CUSTOMER and the site shall be ready to receive the equip-
,ent at the time scheduled for delivery. It shall be
';USTOMER'S responsibility to maintain environmental con-
Jitions meeting BURROUGHS specifications.
::;1 The CUSTOMER shall provide adequate working space
.Vl',thln reasonable distance of the equipment for use of
:3U R ROUGHS personnel.
'd-l BURROUGHS shall deliver and install the equipment as
,oon as reasonably possible.
. DESTINATION AREA TRANSPORTATION
.,~.)RROUGHS will arrange for transportation and drayage to the
-;';:mises at which the equipment is to be located, and CUSTOMER
,.'1all pay transportation and drayage, charges (OestinationArea
~r3nsportation Charge) according to BURROUGHS published
..:',.:es in effect at time of delivery. In addition, if delivery to the
';~liatjon site within the CUSTOMER'S premises cannot be made
.....th equipment normally employed by the equipment carrier, any
:~rs for speCial rigging (including the cost of insurance) shall be
;:.,ud by CUSTOMER.
5. PAYMENT TERMS
:: c'wn payment. if required, shall be due upon execution by
~'lSTOMER of this order and shall be returned to CUSTOMER if
-;.b order is not accepted. The first deferred balance payment and
.: ther Charges shall be due on the first day of the month after
~ipment of the equipment to CUSTOMER. The additional
,:derred balance payments shall be due on the first day of each
"'-'onth thereafter and shall continue until paid in full. Payment
:;:-..!i1 be made by CUSTOMER no later than ten (10) days after
~eipt of invoice. CUSTOMER shall pay a late payment charge
~nputed at the rate of one and one-half (l'A%) percent per month
.71". the unpaid amount for each calendar month (or fraction
:Io:ereoi) that such payment is in default.
~. AOOIT10NS
i;USTOMER may order additional component(s) for its system(s)
~. if1itially listed on the face page or order additional system(s).
Tl1ese additions may be effected by the issuance of a written order
:.;,y CUSTOMER, subject to acceptance by BURROUGHS. Prices
;r:ah be those in effect when the order is placed, and the order shall
r9fer to'and be subject to the terms and conditions of this Agree-
ment, and all tarms and conditions of the written order shall be
-I~ un/est..agreed to in a separate writing by BURROUGHS.
7. TAXeS
CUSTOMER shallIJay BURROUGHS any tax (except tax based on
net income) on thlAgreement, on or measured ty the prices, other
charges. the equipment, program products, or serJices furnished, or
their use, however designated. levied or based whenever
BURROUGHS must pay and/or collect the tax from CUSTOMER
acc:ording to applicable law, as interpreted by the departmental
authorities of the taxing unit. It shall be CUSTOME R'S sole obliga-
tion after payment to BURROUGHS to challenge the applicabi!ity
of any tax. Any personal property taxes assessable on thp. equip-
ment after shipment shall be borne by CUSTOMER.
a RISK OF LOSS OR DAMAGE
CUSTOMER shalf assume full risk of loss or damage to the equip-
ment immediatejy upon its delivery to CUSTOMER'S location.
As long as BURROUGHS holds a security interest in the ~uip.
ment, CUSTOMER shall:
(j) Maintain the equipment in good operating condition;
keep the equipment free fmm lien$ 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 alte,at;on without
the prior written consent of BURROUGHS; permit inspec-
tion by BURROUGHS at reasonable times; and
Oil procure and maintain fire, extended coverage, vandalism
and malicious mischief insurance to the full insurance value
of the ~uipment. with loss payable to BURROUGHS and
CUSTOMER as their interem shall appear.
9. PATENT INDEMNITY
(a) BURROUGHS shall defend or settle any suit or proceeding
brought against CUSTOMER based on a claim that any aquip-
mer.! made to BURROUGHS design constitutes an infringement
of any existing United States patent, provided BURROUGHS is
~otified promptly in writing and is given complete authority
and information required for the defense, and BU R ROUGHS
shalf pay all damages and costs awarded therein against
CUSTOMER, but shall not be respcnsible:for any cost. expense
or compromise incurred or made by CUSTOMER without
BURROUGHS orior written consent.
(b) If any equipment is, in BURROUGHS opinion, likely to or
does become the subject of a claim for patent infringement,
BURROUGHS may at its option and expense procure for
CUSTOMER the right to continue using the equipment, or
moaify it to become non.infringing, but if BURROUGHS is not
reasonably able to modify or otherwise procure for
CUSTOMER the right to continue using it; BURROUGHS will
remove the equipment and refund to CUSrOME R the amount
paid in excess of a reasonable rental for past use.
(c) BURROUGHS shall not be liable for any infringement or
claim thar~f based upon use of the equipment in combination
with other aquipment 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; (bl BURROUGHS
has title to the equipment and the right to setl it;3nd (c) for a
period of one (11 year from instailation, the equipment delivered
under this Agreement shall be free from defects in material and
workmanship under normal use and service.
Written notice <lnd an explanation of circumstances concerning any
claim that the equipment has proved defective in material or work-
manship snail be given promptly by CUSTOMER to BUR-
ROUGHS. CUSTOME R '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 BURROUGHS ejection and sole
expense. except that there shall be no obligation to replace or
repair items which bv their nature are eXDen~e.
..:-';:f~ntation or other affirmation of fact, incfudinq' but not
. ~:~~..J'1:0 statements, ~rding capaci;ty, SU~~,' ." for use, or
,.,ri\.,;mance of the eqUipment shall' bear tJt, del:.med ,to be a
'.Jrr:mty by au R ROUGHS for any purpose, nor !ive rise to any
.ii~ ar obligation of BURROUGHS whlllSOeVet".
.-;. ;~FT AS SPECIFICALLY PROVlDED IN THE AGREEMENT,
: :ERE ARE 1'10 OTHER WARRANTIES, EXPRESS OR
. ~~jEO. I NCLU DING. BUT NOT L1MI TED TO, ANY I MPU ED
.....?RAHTIES OF MERCHANTAB1LlTY OR FITNESS FOR A
· .::r111CULAR PURPOSE.
: C', ':Ire. i!'ltent of employment by CUSTOMER of any non-
S,JRROUGHS attachment, feature. 01' device on theequipment. 01:'
"):, ~'!HIrt-r:thereof. furnished by BURROUGHS hereUl!lder, which has
"f.: tleen approved in writing by BURROUGHS. BURROUGHS
...,~,:J not be liable under this warranty. The approwaf of the use of
, . ~lJRROUGHS attachment. feature, or delrice shal~ not be
; ;,~ to be a representation. warranty or understanding by
:::,;..~ROUGHS regarding that rn>>BURROUGHS equipment in--
'.;.;..SAIg i~ performance in conjunction with the BURROUGHS
:~~.'W-~Cment.
.; '_IMITATION OF LIABILITY
.:.JlO EVENT SHALL BURROUGHS BE LIABLE FOR LOSS
::: PROF1TS. INDIRECT, SPECrAL, OR CONSEQUENTIAL
.:: ,;.~.&AGES ARISING OUT OF ANY BREACH OF THE AGRSE-
"":~!orr OR OBLIGATIONS UNDER THE AGREEMENT.
:-.~; ,~ROUGHS SHALL NOT BE LIABLE FOR A.'\IY DAMAGES
';'!..:SEO BY DELAY IN DELIVERY, INSTALLATION OR FUR-
'~ ~l.fING OF THE EQUIPMENT OR SERVICES UNDER THE
.:.. ::1EEMENT.
";,;STOMER shall assume full responsibility tor the oVPJall
"~.':lcti"eness and efficiency of the operating environment in whiCh
:J! ~ RRQUGHS equipment and software are to function.
";0 action arising out of any claimed breach of the Agreement or
!..'alSaCtions under the Agreement may be brought by either party
"':"\lr"- than two (2) years after the cause of action has accrued
';. TERMINATION
, ..:usTOMER fails to make any payment within ten (10) days of
'_ due date. or fails to perform any other obligations hereunder
.0.00 thirty (30) days written notice, or should CUSTOMER be or
--"':ome insolvent or a party to any bankruptcy or receivership
'"~.-~aeding or any similar action affecting the affairs or property of
:>:STOMER prior to payment in full of the balance of the List
,~.,"~ and all other amounts payable hereunder. BURROUGHS
.~"',,:
FORM NUMBER
CUSTOMER'S INITIALS
:906781
~
(a) with or without demand or notice to CUSTOM.E R (if given.
notice by mail jO CUSTOMER'S address, showl"! in the Agree.
ment being su,icient) declare the entire amount unpaid im-
mediately due and payabJe;
(bl enter the premi:;es 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
(e) sell any or all the equipment as permitted under applicable
law. BURROUGHS shall apply the pr.~ceeds 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 by law or equity.
13. GENERAL
(al BURROUGHS mav assign this Agreemert and convey its
interest in the equipment, or assign the right to receive pay-
ments without the CUSTOM E R'S consent, provided that
BURROUGHS obligations to CUSTOMER shall not in any way
be diminished. CUSTOMER may not assign this Agreement
without BURROUGHS prior written consent.
(bl All prO<jrams 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.
lcl No modification or amendment to this Agreement and no
waiver of any provisiol'l shall be valid unless in writing, signed by
dt,;ly authorized representatives of the parties. Any written
order or other instrument issued by CUSTOMER 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.
(el The laws of the State of Michigan shall govern this Agree-
ment.
14. OTHER APPLICABLE AGREEMENTS
The following au R ROUGHS agreements are by this reference
incorporated in this Agreement.
TITLE OF AGREEMENT
Go~ernmenta~ Addendum
Bur~oughs Corporatio:l m
BUSINESS MACHINES GROUP
Governmental Addendum
ADDENDUlVl TO AGREEMENT
FOR EQUIPMENT LEASE, SERVICE AND lVIAINTENANCE
and/or AGREEMENT FOR EQUIPl\-IENT SALE
(INSTALLMENT SALE)
::'STOMER
CITY 'OF CLEARWATER
Date: 12/19/78
.if. RROUGHS and CUSTOMER hereby amend the Agreement for Equipment Lease, Service and Maintenance and/or
. \ ~;.:ement for Equipment Sale, as the case may be, by adding the following thereto:
~. ADDITIONAL TERMINATION RIGHTS
; :~;3TOMER shall have the right to terminate this agreement as to all or as to any specific unit of equipment included
:.~~under, on ninety (90) days prior written notice to BURROUGHS, to be made effective on the yearly anniversary date
of ~:1e first payment due here~der, (or on the beginning of any subsequent fiscal year) pro"ided that, either funds for data
:-,~'~;essing equipment are not appropriated, or there is no further need for a data processing system to satisfy the needs for
'Y~:ich the system hereunder was acquired. CUSTOMER shall be liable only for accumulated payments due prior to the
'4::~ctive date of such notice. Upon termination as provided in this paragraph title to said equipment shall automatically
..~;;; tn BURROUGHS.
2. PURCHASE OPTION
;1 CUSTOMER has entered into the Agreement for Equipment Lease, Service and Maintenance, the CUSTOMER may
'J".,:haseat any time after commencement of rental thereon, any of the equipment leased as herein provided, so long as
--,.1.:';: equipment is in the CUSTOMER'S possession llnder the terms of this lease and the CUSTOMZR is not in default in
;~yments hereunder or of any term or condition hereof. The CUSTOMER shall give BURROUGHS written notice of its
,:~:~:;ion to purchase an.d the effective date thereof. After payment of all rentals and \Jther char~es payable wlder the lease
~::~,)lJgh the effective date of purchase, CUSTOMER shall pay BURROUGHS a sum equal to BURROUGHS established
;1:....~hase price for that classification of equipment leased, in effect on the date of purchase, plus any taxes applicable to
~:...... purchase at such time, less seventy percent (70%) of all !'ental charges (excluding taxes) paid during the first six months
.J1' :lle lease tenn andfifty percent (50%) of all rental charge (excluding taxes) paid during the next thirty months of such
;_'.1.')9 term of said equipment. Upon payment in full by CUSTOMER for equipment, title to the equipment purchased shall
:Li:tomatically pass to CUSTOMER. Purchase of equipment shall be subject to the terms and conditions of the then
3 ~RROUGHS standard agreement for such purchased equipment and the period of any warranty contained therein shall
:)~ reduced by the period that equipment was subject to rental payments hereunder.
.
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,
ATTACHMENT TO AGREEMENT FOR EQUIPMENT SALE
Burroughs Corporation
.
CUSTOMER BY ITS SIGNA TURE, ACKNOWLEDGES
THAT IT HAS READ THIS AGREEMENT, UNDER-
STANDS IT AND AGREES TO ALL ITS TERlviS
AND CO ITIONS.
, /
CITY OF CLURWATE
/
By
Attest:
d.~ L -U.J
City Cleri:t.
.....1
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Ayp5'9Y,ed as, t~ i,arm ~~orrectness:
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I Nt (/ .-,/.' -;?; /7/ /. j, /
',/ I '':--/.:;-:City'Attorney
.J
~L_ ~ I r. 91~
Date