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2000 - IDC Financial - Financial Resource Management, Budget, Cash Receipts SoftwareIN MATION DEVELOPMENT CONSU~NTS, INC PPLICATION SERVICE AGREEME ASA) This APPLICATION SERVICE AGREEMENT ("Agreement") is made and entered into this _ of Moy,._2007 by and between INFORMATION DEVELOPMENT CONSULTANTS, INC. (iDC) an Illinois Corporation with an address at 6 West Hubbard Street, Suite 700, Chicago IL 60610 and The City of Rosemead, California (Customer) with its principal place of business at: 8838 East Valley Road Rosemead, CA 91770 the Scheduled Maintenance Times during which the Outage is planned. In addition, iDC reserves the right to perform any immediately required maintenance work outside of the Scheduled Maintenance Times with prior notice to Customer. ~14 tCustomec:5upport Services..-:-: iDC shall provide Customer with standard support services as described in Exhibit B attached hereto. Customer will identify two points of contact to manage the support interaction between iDC and Customer. These individuals must have full security authorizations in the use of the software to permit complete support and be fully trained in the use of the software. WHEREAS, iDC provides 4gov® financial resource management and citizen services ("Services"), and selected other third party software products, from its hosted site ("Site") on the World Wide Web portion of the Internet ("Web"); and WHEREAS, Customer desires to engage iDC, and iDC desires to be engaged by Customer, to provide the Services on the terms and subject to the conditions set forth below. NOW, THEREFORE, in consideration of the mutual promises set forth herein, iDC and Customer hereby agree as follows: 1. iDC Undertaking - 1.1 - iDC Services iDC Agrees to provide the Services pursuant to the terms and conditions of this Agreement and the Software Hosting and Support Schedule attached hereto as Exhibit A. 1.2- Availability of the Services The Services shall be accessible to Customer via the Site twenty- four hours per day, seven days per week, except for scheduled maintenance and required repairs, and except for any loss or interruption of Services due to causes beyond the reasonable control of iDC. In the event of a loss or interruption of Services exceeding a total of four hours in any week, other than as a result of the maintenance activities described in Section 1.4, below, a pro rata portion of Fees (as hereinafter defined) for the period of the downtime and the applicable monthly'invoice will be adjusted accordingly. For the purposes of this Agreement, a week shall be considered to run from Sunday to Saturday. Customer's Internet server shall be--deemed to be not available for purposes of this Section 1.3, if iDC's standard hardware, software, or operating system is functioning in a manner that prevents http, ftp, or access to the Internet server or the Software ("Unavailability"). For purposes of this Section 1.3, Unavailability shall not be deemed to occur hereunder as a result of Customer action or inaction, including, but not limited to, Customer utilization or Customer owned, non-standard, or unsupported software installed by iDC at the Customer's request. 1.3 Maintenance . iDC designates time periods (;-Scheduled Maintenance Times") during which it may limit or suspend the availability of the hardware and/or software involved in providing its Services and products (an "Outage") to perform necessary maintenance or upgrades or selected backups of the data. Scheduled Maintenance Times currently are each Tuesday and Thursday between the hours of 2 a.m. and 6 a.m. Central Standard Times (CST) and the third Sunday of each month between the hours of 12 a.m. and 8 a.m. CST. If planned maintenance has the possibility of making the server or servers, as the case may be, utilized by Customer inaccessible to the Internet during a Scheduled Maintenance Time, iDC will provide not less than twenty-four hours' electronic mail or other notice to Customer of Technical Support for Hardware is available 24 hours a day at the telephone number listed in Appendix A. This is for access problems as they relate to the Internet Usage of the !DC site. Customer Support is available 5 days per week and 8 hours per day through an e-mail support line, as well as a telephone support line. This is for questions related to the usage of the software products. The coverage extends from 8:00 a.m. to 5:00 p.m. CST, with iDC response within two business hours. Holidays are exempted from coverage. 1.5 Customer:'. Data I'. Customer's data for the applications as shown on Exhibit A will be maintained on server(s) at iDC's Site, and iDC will provide these standard backup services: Daily backup of changed Customer data files (the most recent four copies of a changed data file are kept, and with each subsequent change to a data file, the oldest copy is discarded); Storage of backup tapes on Site for a period of 30 days; and Up to three data file restoration operations per month (additional data file restore operations are available for an additional charge). At the option of the Customer, and for an additional fee, iDC shall provide the Customer with a back-up copy of any Customer data maintained at iDC's Site, provided the Customer has paid all current and past due fees. 2 Gustomer,:Undertakings 2.1. Fees:Payable toiDC In consideration of the obligations undertaken by iDC hereunder, Customer shall pay to iDC the fees for the Initial Installation Services according to the Price set forth in Exhibit A and the Total Monthly Recurring Charges ("Service Fees") for Application Software, and Support Services, as described in Exhibit A. 22 :Payment Terms - iDC will invoice Customer and Customer will pay for the Initial Installation as such services are rendered and products are ordered by iDC on Customer's behalf. iDC will invoice Customer and Customer will pay for the first month's service fees on the first day of Service, which shall be on or about Thereafter, iDC will invoice customer on or before the 15" day of the month for the next month's use as well as adjustments for any additions or custom work performed during the prior month. Payment of all fees will be by check due on the 1" day of the month, or by automatic debit of the Customer's designed U.S. bank account in U.S. dollars on a date chosen by the customer, which shall be on or before the 5t6 day of the month and shall be listed in Exhibit A. All past due amounts are subject to a late charge equal to the. lower of the highest lawful rate or 1.5% per month. In addition, the parties hereby agree that failure of Customer to fully pay any Fees within 20 days after the applicable due date may be deemed a material breach of this Agreement, justifying suspension of the performance of Services by iDC, and will be sufficient cause for immediate termination of this Agreement by iDC. Any such r 5uspenslon does not relieve Customer paying past due Fees, plus interest, and in the event of collection enforcement, Customer shall be liable for any costs associated with such collection, including, without limitation, legal costs, attorneys' fees, court costs and collection agency fees. 2.3 . Taxes Customer shall pay or reimburse iDC for all sales, use, service, transfer, privilege, excise, and all other taxes and all duties, whether international, national, state, or local, however designated, which are levied or imposed by reason of the performance by OC under this Agreement; excluding, however, (a) income tax on profits which may be levied against OC, and (b) taxes for which Customer provides iDC with a valid tax exemption certificate. 3. Restrictions on Use 3.1 Terms of Use Customer agrees to use the Software and Services only for Customer's own business. Customer will be responsible for assigning, maintaining, and monitoring the use and password authorization of the software and data files-to staff, elected officials, auditors, and other such authorized contractors. Customer shall not (i) permit any other agencies, affiliated entities or third parties, other than contractors or subcontractors for which client licenses have been paid, to use the Software or Services, (ii) use the Software or Services for any other party's financial management resource services, or (iii) use the Software or Services in the operation of a service bureau without the express written permission of iDC. 3.1.1 Modifications,ReverseFEngineering: - Customer agrees that only OC shall have the right to change, maintain, delete, enhance or otherwise modify the Software. Customer shall not disassemble, decompile or reverse-engineer the Software's computer programs. 3.2 Specific. Prohibitions...! Without limitation, the Customer agrees that it and its users of the system will not use the Services or the hosted Site to: a) upload, store, post, email or otherwise transmit, distribute, publish or disseminate any information that is -unlawful, harmful, threatening, abusive, harassing, tortuous, defamatory, vulgar, obscene, or libelous, or promotes such activity; _b), upload, store, post, link to, email or otherwise transmit,. distribute, publish or disseminate any site information, content or -_other information or material that infringes any patent, trademark, trade secret, copyright or other proprietary rights of any party or otherwise violates the legal rights (such as rights of privacy and publicity) of others, violates any contractual or fiduciary relationships or is otherwise objectionable; C) upload, store, post, link to, email or otherwise transmit, distribute, publish or disseminate any material that contains software viruses, trojan horses, worms, time bombs, cancelbots or any other computer code, files or programs designed to interrupt, destroy or limit the functionality of any computer software or hardware or telecommunications equipment or circumvent any "copy-protected" devices, or any other harmful or disruptive program, or any cracks, hacks, associated utilities or other privacy related-information. d) Violate (intentionally or unintentionally) any applicable local, state, national or international law or regulation, including, but not limited to, laws regarding the transmission through the Services of technical data or software exported from the United States and/or the country (ies) in which the Customer and/or its users reside, and all local laws and regulations regarding online conduct and acceptable content. v: CJ 4. :Term: and-Termination 4.1 Term This Agreement shall commence as of the date first written above and shall continue for a period of three (3) Years from that date, unless earlier terminated as provided below. After the initial four year period, this Agreement shall renew automatically for successive one-year terms, unless otherwise agreed by both parties. 4.2 Termination.-.. .insolvency 4:2.1 : - : Either party may terminate this Agreement immediately upon delivery of written notice in the event that the other party shall be unable to pay its liabilities when due, or shall make any assignment for the benefit or creditors, or shall file a petition under any federal or state bankruptcy statute or a voluntary petition in bankruptcy, or an involuntary petition shall be filed and not discharged within 60 days after such filing, or shall be adjudicated bankrupt or insolvent, or if any receiver shall be appointed for its business or property, or any trustee in bankruptcy or insolvency shall be appointed under any law of the United States or the several states. 4.2.2 Breach . If either party is alleged to be in material breach of any provision of this Agreement, that party shall have 60 days from receipt of specific notice to cure the indicated breach. If the breach is not cured within the 60-day period, the non-breaching party will have the option, but not the obligation, to terminate the Agreement. 4 2 3 Termination, for Convenience:::: The Customer reserves the right to terminate this agreement for its sole convenience. In the event of such termination, Customer shall pay to iDC the amounts set forth in paragraph 4.3. 4.3. Effect of Termination ._:5. Upon any termination or expiration of this Agreement, Customer shall pay all unpaid and outstanding Fees through the effective date of termination or expiration. In the event Customer terminates the monthly service in whole or in part prior to the expiration of the 36 month term plan (except as otherwise permitted in this agreement), Customer will be liable for any early termination charges imposed by the carrier(s) of any Dedicated Communications Services. If Customer terminates for con- venience, Customer shall pay OC an additional amount equal to six times the then current monthly service fee. The termination of this Agreement shall not prejudice the right of OC to recover any Fees or other sums otherwise due it at the time of termination or cancellation. 4.4. COStomer:Data Upon termination of the agreement, Customer agrees that OC may remove from its servers all of the Customer's data, site information, registration data and personal information, provided that iDC shall first give Customer at least thirty (30) days' notice of its intent to remove any such data. Upon termination of the Agreement Customer may receive a copy of the Customer data through the payment of the then-current data export fee. 5.. 'Proprietary; Information 5..1 Proprietary.giohts'.of.COstonier As between Customer and OC, Customer's data shall remain the sole and exclusive property of Customer. iDC further acknowledges and agrees that any data and materials supplied by Customer are confidential and proprietary trade secrets of Page 2 Contract Number - G1040 Customer protected by law, and of s ntial value to Customer, and their use and disclosure must be carefully and continuously controlled by iDC. iDC shall notify Customer immediately of the unauthorized use or knowledge of any item supplied to iDC pursuant to this Agreement. 5.2' - Proprietary lRights of DC.: Customer further acknowledges and agrees that (a) any data and materials supplied by iDC are confidential and proprietary trade secrets of iDC protected by law, and of substantial value to iDC, and their use and disclosure must be carefully and continuously controlled by Customer, and (b) the Software is protected by the Copyright Laws of the United States. Customer shall notify iDC immediately of the unauthorized use or knowledge of any item supplied to Customer pursuant to this Agreement. Customer agrees not to challenge the rights of iDC in and to such data and materials, including without limitation, the copyrights in the Software. In the event Customer threatens to breach any of the provisions of this paragraph, iDC shall have the right, in addition to such other remedies that may be available to them, to injunctive relief, without posting bond, enjoining such actions or attempts, it being acknowledged that iDC would suffer irreparable injuries and that legal remedies are inadequate. The provisions of the paragraph shall survive the termination of this Agreement. 6. Warranties. 6~1 Warranties:of:iDC 6.1.1 Workmanship iDC represents and warrants that (i) the Software and Services shall perform substantially in accordance with the current documentation provided by iDC, as amended from time to time and (ii) the Software and Services will not infringe any third-party proprietary rights. In the event of any breach of the foregoing warranty, iDC shall, as the Customer's sole and exclusive remedy, use commercially reasonable efforts to correct any problems specifically identified by Customer in writing. 6.1.2. Limitation Iof!Warranties THE FOREGOING ARE THE ONLY WARRANTIES MADE BY iDC, and 0C SPECIFICALLY DISCLAIMS, WITHOUT LIMITATION, ALL OTHER WARRANTIES TO CUSTOMER, OR OTHER THIRD PARTY, EXPRESS OR IMPLIED, INCLUDING, WITH LIMITATION, THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE. NEITHER iDC NOR ANY OF ITS AFFILIATES OR AGENTS MAKES ANY WARRANTY THAT ACCESS TO THE SERVICES WILL BE UNINTERRUPTED, SECURE, COMPLETE, ACCURATE OR ERROR-FREE, NOR DOES iDC MAKE ANY WARRANTY AS TO-THE LIFE OF ANY URL GENERATED OR PUBLISHED-By iDC. CERTAIN SOFTWARE USED BY END-USERS MAY NOT BE CAPABLE OF SUPPORTING CERTAIN iDC FEATURES. _-6C SHALL HAVE NO LIABILITY WHATSOEVER FOR ANY CLAIMS RELATING TO ANY END-USER'S ABILITY TO ACCESS THE WEB SITE PROPERLY OR COMPLETELY. -6.1.3 Limitation of : Liability „ The parties acknowledge that the limitations set forth in this Section 6.1.3 are integral to the amount of fees levied in connection with Agreement, and that, were iDC to assume any further liability other than as set forth herein, such fees would of necessity be set substantially higher. IT IS UNDERSTOOD AND AGREED THAT iDC SHALL HAVE NO LIABILITY FOR ANY INDIRECT, INCIDENTAL, SPECIAL OR CONSEQUENTIAL DAMAGES (INCLUDING LOSS OF PROFIT, LOSS OF USE OF THE SERVICES, COSTS OF SUBSTITUTE SERVICES, OR DOWNTIME COSTS) SUFFERED BY CUSTOMER OR ANY THIRD PARTY, EVEN IF !DC HAS BEEN PREVIOUSLY ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. NOT WITHSTANDING ANY OTHER PROVISION OF THIS AGREEMENT, THE ENTIRE LIABILITY OF iDC FOR DAMAGES FOR ANY CAUSE WHASOEVER, AND REGARDLESS OF THE FORM OF ACTION, SHALL BE LIMITED TO THE AMOUNT PAID BY CUSTOMER TO4 IN THE ONE-YEAR PERIOD PRIOR TO THE EVENT GIVING R SE TO SUCH DAMAGES. 6 2 ::Customer's Representations. Warranties and Indemnity - - 6.2.1 Representations and.:Warranties: Customer covenants, represents and warrants that all of customer's software and code used to access the Services do not, and will not during the term of this Agreement, be in violation of any software license agreement which Customer has entered with iDC or any third party. No third party software used by Customer to access the services contains any feature which would in any way impair the operation of (i) the Services, or (ii) the software or hardware of any other user using the Services, in each instance including, without limitation, any form of virus, a Trojan horse, worm, or other software routine or hardware component which may disable, erase or otherwise harm software, hardware, or data. 6 2 2'Indemnificationby. Customer Customer shall be liable for, and shall fully indemnify and hold iDC harmless against, any loss, liability, cost, expense (including attorneys' fees and expenses) or damages arising from any action, inaction, breach or failure to perform under this Agreement by Customer, or by the officers, employees, elected officials, agents, representatives, consultants, clients or customers of customer. This indemnification obligation shall survive the termination of this Agreement. 7 (:General _ : 7X:...... : :E.........xp ort Control Rest[ictions .-Software available on the Site is subject to United States export controls. No software from the Site may be downloaded or otherwise exported or re-exported (I) into (or to a national or resident of) Cuba, Iraq, Libya, Sudan, North Korea, Iran, Syria, or any other country to which the United States has embargoed goods, or (li) to anyone on the U.S. Treasury Department's list of Specially Designated National or the U. S. Commerce Department's Table of Denial Orders. By using the Services or the Software, Customer warrants that it is not located in, under the control of, or a national or resident of any such country or on any such list. 7.2._1:.:.. .Third-Pa rty~Materials:and:Web Site Links The site contains references and links to third party web sites, which are not under the control of iDC. iDC makes no representations whatsoever about any other web site to which Customer may have access through the Site, including without limitation any site whose services may be described or offered on the Site. 7.3 ~Assrgnment":~"'_ Customer shall not assign, grant a security interest in, or transfer this Agreement or the Services without the express prior written consent of 0C in each instance. " I* Notices All notices and other communications required or permitted to be given under this Agreement shall be in writing and shall be effective when . delivered personally, when transmitted by facsimile or electronic mail to the address provided by the receiving party, or by certified mail, return receipt requested, addressed to the other party at their respective addresses set forth on the first page hereof, unless by notice a different address shall have been designated for giving notice hereunder. 7.5 Force Majeure - Neither party shall be liable for any delay or failure to perform its obligation under this Agreement if prevented from doing so by a cause or causes beyond its reasonable control. Without limiting Page 3 Contract Number - G1040 the geherality of the foregoing, suchoes include acts of God, the public enemy, fires, floods, storms, hurricanes, earthquakes, riots, strikes, blackouts, wars or war operation, restraints of government, utility or communications failures, or other causes which could not with reasonable diligence be controlled or prevented by the party. 7.6. Amendments,. Waivers. This Agreement may be amended from time to time only by written agreement of the parties. No term or provision of this Agreement may be waived or modified unless such waiver or modification is in writing and signed by the party against whom such waiver or modification is sought to be enforced. No failure on the part of any party to exercise and no delay in exercising, any right, power, or remedy under this Agreement shall operate as a waiver thereof, nor shall any single or partial exercise of any right under this Agreement preclude any other or further exercise thereof or the exercise of any other right. The remedies provided in this Agreement are cumulative and not exclusive of any remedies provided by law. 7.7 Severability If any provision of this Agreement is held by final judgment of a court of competent jurisdiction to be invalid illegal or unenforceable, such invalid, illegal or unenforceable provision shall be severed from the remainder of this Agreement, and the remainder of this Agreement shall be enforced. 7.8 Governing-Law ' - - - This Agreement has been negotiated, executed and delivered at and shall be deemed to have been made in Illinois. This Agreement shall be governed by and construed in accordance with the domestic laws of the State of Illinois without giving effect to any choice or conflict of law provision or rule (whether of the State of Illinois or any other jurisdiction) that would cause the application ot! laws of any jurisdiction other than the State of Illinois. 7.9 Entire. Agreement This Agreement, including the exhibits attached hereto, if any, together with any duly executed Software License Agreements in force between Customer and iDC, contains the entire agreement of the parties with respect to the subject matter of this Agreement, and supersedes all prior agreements between them whether oral or written of any nature whatsoever with respect to the subject matter hereof. This agreement is binding upon the parties hereto, their successors and permitted assigns. No amendment, alteration, or modification of this Agreement shall be valid unless in each instance such amendment, alteration, or modification is expressed in a written instrument duly executed by the parties. 7.10 Headings, Construction The section titles in this Agreement are for convenience only and shall have no effect on the interpretation of any part or provision regardless of the title heading under which the part or provision is located. Whenever the context of this Agreement requires, the gender of all words herein shall include the masculine, feminine, and neuter, and the number of all words herein shall include the singular and plural. All references to section numbers in this Agreement shall be references to sections in this Agreement, unless otherwise specifically indicated. 7.11 -Counterparts This Agreement may be executed in any number of counterparts and any party hereto may execute any such counterpart, each of which when executed and delivered shall be deemed to be an original and all of which counterparts taken together shall constitute but one and the same instrument. A telecopy facsimile of an executed counterpart of this Agreement shall be sufficient to evidence the binding agreement of each party to the terms hereof. IN WITNESS WHEREOF, the parties have caused this Agreement to be executed on their behalf by their duly authorized officers as of the date first above set forth. The City of Rosemead,; California Jas nsultants, Inc. Vf Page 4 Contract Number - G1040 Exhibit A Installation, Training, Software Hosting and Support Schedule 4gov.com iDC Application Software Initial Installation :Purchase Price _ Month ly:Fee Will use existing Client.Firewall and TS. No Charge IBM Installation and connection No Charge . Application Hosting. 4gov Web Manager 10 Users Print Manager One,. required for each Customer Lan 5 gig disk storage forliTachment data Cyberquery Report Writer no[ included Page5 Contract Number-G1040