Professional Services Terms and Conditions
Last Updated: November 2020
These Professional Services Terms and Conditions (these “Terms and Conditions”) govern any services to be provided by Artium Technologies LLC, a Delaware LLC (“Artium”) as set forth herein.1. STATEMENT OF SERVICES.
Any engagement for Artium’s services shall be documented in a Statement of Work executed by Artium and the customer entity identified therein (the “Company”), each of which may be referred to individually as a “Party” or collectively as the “Parties”. Any such Statement of Work, and performance of the Parties thereunder, is governed by and subject to these Terms and Conditions which are incorporated by reference into and made a part of such Statement of Work (the “SOW”). These Terms and Conditions (i) are subject to change by Artium from time to time; (ii) in effect as of the effective date of a SOW shall apply for the performance of that SOW; (iii) will not apply retroactively to any SOW; and (iv) are dated and archived when superseded by a newer version.2. METHOD OF PERFORMING SERVICES. Artium shall determine, and shall be solely responsible for, the method, details, and means of performing its services. Artium may select one or more of its Artium-trained subcontractors to assist Artium in the performance of its services (“Subcontractors”), and agrees to (a) impose written obligations consistent with the terms of the SOW on Subcontractors, and (b) require that Subcontractors comply with the terms of the SOW. Artium has the sole and exclusive right to supervise and control Subcontractors.
3. STANDARD OF PERFORMANCE.
Artium’s services shall be performed in an expeditious and workmanlike manner.
4. INDEPENDENT CONTRACTOR STATUS.
Artium enters into the SOW as, and will remain throughout the Term (defined below), an independent contractor. The SOW shall not be construed to create a relationship of employer and employee, a partnership, or joint venture between the Parties, and neither Party shall have any right to obligate or bind the other in any manner. Neither Party shall hold itself out as an authorized agent with power to bind the other Party in any manner.
Artium retains the right to perform any services for others at any time. Company retains the right to cause any services to be performed by its own personnel or others at any time.
As neither Artium nor any Subcontractor is a Company employee for any purpose, including for federal or state income tax purposes, Company shall not take any action or provide any of them with any benefits or commitments inconsistent with any of such undertakings by any of them. Artium shall be solely responsible for the payment of all sales, use, or other taxes assessed against or associated with its services, including without limitation all of Artium’s income, payroll, or employment related taxes and payments.
4.4 Residual Rights of Personnel.
The terms of confidentiality under the SOW shall not be construed to limit either Party’s right to independently develop or acquire products without use of the other Party’s Confidential Information (defined below) or Work Product (defined below). Further, either Party shall be free to use for any purpose the residuals resulting from access to or work with such Confidential Information or Work Product, provided that such Party shall maintain the confidentiality of the Confidential Information as provided herein. The term “residuals” means information in non-tangible form, which may be unintentionally retained by persons who have had access to the Confidential Information or Work Product, including ideas, concepts, know-how or techniques contained therein. Confidential Information or Work Product purposefully retained or intentionally retained (e.g. through an effort to memorize) shall not be considered as “residuals”. Neither Party shall have any obligation to limit or restrict the assignment of such persons or to pay royalties for any work resulting from the use of residuals. However, the foregoing shall not be deemed to grant to either Party a license under the other Party’s copyrights, patents or other intellectual property rights.
(a) Termination by Company. Company may terminate the SOW without cause upon 14 days prior written notice to Artium, provided that Company pays Artium all sums due Artium. Company may terminate the SOW for cause immediately upon written notice to Artium if Artium fails to perform, fulfill, or comply with any of its obligations under the SOW and such non-conformance is not cured within 5 days, or if the Parties are unable to agree on a project start date pursuant to the SOW.
(b) Termination by Artium. Artium may suspend its services or terminate the SOW for cause upon written notice to Company if Company fails to pay an invoice in accordance with the requirements of Section 6 or otherwise fails to perform, fulfill, or comply with any of its obligations under the SOW, and if such non-conformance is not cured within 5 days.
(c) Duties Upon Termination. If the SOW is terminated for any reason, Artium shall immediately cease performing its services. Upon such termination, Artium shall advise Company of the extent to which performance has been completed through such termination date, and upon payment to Artium for all services performed and third party expenses incurred through the termination date, shall collect and deliver to Company whatever Work Product then exists.
Artium will perform its services on a time and materials basis at Artium’s current rates as are set forth in the SOW and for any other fees and charges as set forth in the SOW. Invoices are generally rendered every other week. Artium reserves the right, at its sole and absolute discretion, to require Company’s prepayment of any and all fees and charges, as may be set forth in the SOW. With advance written consent of Artium, other billing arrangements may be made. Artium is not obligated to perform its services unless Company is current in payment of all fees and charges set forth in the SOW.
6.2 Payment Terms.
Unless otherwise set forth in the SOW, all fees and charges are due within fourteen (14) days following the date of the invoice. If all or a portion of any invoice is determined to be incorrect, the Parties will promptly investigate and correct or confirm the dispute.
The confidentiality obligations in this Section supersede all previous communications, agreements, promises, representations, understandings, and negotiations, whether written or oral, between the Parties as to confidentiality, including the terms of any applicable non-disclosure agreement. Each Party acknowledges and agrees that pursuant to the SOW each Party may have access to confidential or proprietary information of the other Party, including without limitation information and material concerning or pertaining to the other Party’s trade secrets or know-how, product plans, software, programs, network systems, data, inventions, processes, formulas, technology, designs, engineering, hardware configuration information, and/or projects (including projects for other companies that may be occurring concurrently in Artium’s offices while Artium is performing services pursuant to the SOW) or other materials, and that such information and material is confidential and proprietary to the Party disclosing such information to the other ("Confidential Information"). For the avoidance of doubt, all INSTL services (including but not limited to any materials provided thereunder) are considered Confidential Information of Artium. Each Party may use the Confidential Information only for the purpose of the SOW and in connection with the SOW. Each Party shall: (a) hold Confidential Information of the other Party in confidence and take reasonable precautions to protect such Confidential Information (including all precautions the Party employs with respect to its own confidential materials); (b) not divulge any Confidential Information of the other Party to any third party (other than to employees, Subcontractors, or independent contractors as set forth herein); and (c) not copy or reverse engineer any materials disclosed under the SOW or remove any proprietary markings from any Confidential Information. Any employee, Subcontractor, or independent contractor given access to any Confidential Information must have a legitimate “need to know” such information for the purposes of the SOW and each Party shall remain responsible for each such person's compliance with the terms of the SOW.
The provisions of this Section 7 shall not apply to any information or material which: (a) was in the receiving Party's possession before receipt from the disclosing Party, (b) is or becomes a matter of public knowledge through no fault of the receiving Party, (c) was rightfully disclosed to the receiving Party by a third party without restriction on disclosure or (d) is developed by the receiving Party without use of the Confidential Information and such independent development can be shown by documentary evidence. The receiving Party may make disclosures (i) to any legal entity that is controlled by, controls, or is under common control with such Party (with “Control” meaning more than fifty percent (50%) of the voting power or ownership interests) (“Affiliate”) for the purpose of fulfilling its obligations or exercising its rights hereunder as long as such Affiliate complies with the requirements of this Section 7, and (ii) to the extent required by law or court order provided the receiving Party uses diligent efforts to limit disclosure and to obtain confidential treatment or a protective order and has allowed the disclosing Party to participate in the proceeding.
7.3 Conclusion of Services.
The receiving Party’s obligations with respect to Confidential Information under the SOW shall expire 2 years from the Effective Date. Upon written request by the disclosing Party, the receiving Party shall: (i) cease using the Confidential Information, (ii) return or destroy the Confidential Information and all copies, notes or extracts thereof to the disclosing Party within 7 business days of receipt of request, and (iii) upon request of the disclosing Party, confirm in writing that the receiving Party has complied fully with these obligations.
All patents, copyrights, trade secrets, trademarks, and other intellectual property rights associated with works of authorship, or other products developed or created by Artium or its Subcontractors pursuant to the SOW, other than the excluded materials set forth in Sections 8.2 and 8.3, (collectively, “Work Product”) shall belong exclusively to Company, and Company is the sole, exclusive, worldwide, perpetual owner of all right, title, and interest thereto. Artium agrees to execute such further documents as may be necessary to assist Company in perfecting ownership of Company’s rights in the Work Product, provided, however, that Artium shall not be required to execute any agreements by which it assumes obligations or liabilities beyond those set forth in the SOW. Artium is not being engaged to perform any investigation of third party intellectual property rights including any searches of patents, copyrights, or trademarks related to the Work Product.
8.2 Artium Ownership.
All patents, copyrights, trade secrets, trademarks, and other intellectual property rights associated with works of authorship, or other products developed or created by Artium or its Subcontractors, prior to the commencement of this Agreement (“Artium Materials”), shall belong exclusively to Artium and/or its licensors. The Company acquires only the right to use the Artium Materials during the Term of the Agreement, as provided by Artium in connection with the INSTL Services; provided, however, that in the event any deliverable provided to the Company pursuant to the INSTL Services contains Artium Materials, Artium hereby assigns to the Company a perpetual, non-exclusive, non-transferable, royalty-free, non-sublicensable, right and license to use such Artium Materials in accordance with the applicable INSTL Services
8.3 Open Source Materials Exclusion.
Open source software referenced in the SOW or subsequently agreed to in writing by the Parties may be included in, or necessary for Company to use, the Work Product, but are excluded from Company’s Work Product ownership rights set forth in Section 8.1. Artium may (a) obtain such open source software on Company’s behalf, (b) incorporate such open source software into the Work Product, and (c) submit back to open source libraries any improvements made to the open source software during the course of performing the services, to the extent submission of such patches does not violate the confidentiality obligations set forth in Section 7 of the SOW. Upon reasonable request during the term, or earlier termination, of the SOW, Artium will provide a list of such open source software used in the Work Product.
8.4 Company’s Underlying Rights.
Company represents and warrants to Artium that (a) Company owns or controls all rights in and to all Company information and materials provided by or on behalf of Company to Artium pursuant to the SOW, including without limitation all rights to exploit all such Company information and materials worldwide in all media and languages in perpetuity without encumbrance or restriction, (b) Company grants to Artium a nonexclusive, non transferable, worldwide paid-up license to make, use, modify, reproduce, and prepare derivative works of Company information and materials, solely for the purpose of performing Artium’s services for Company under the terms of the SOW, with no right to grant sublicenses, and (c) all such Company information and materials and the development, production, advertising, promotion, and use thereof do not infringe or violate the rights, including without limitation trademark, copyright, literary, artistic, dramatic, personal, privacy, publicity or property rights, of any third party. Artium shall not be liable under the SOW because of failure or delay in performing its obligations hereunder on account of Company’s failure to provide timely access to facilities, space, power, documentation, networks, files, software, and Company personnel that are reasonably necessary for Artium to perform its obligations.
10.2 SECTION 10.1 SHALL NOT LIMIT OR EXCLUDE COMPANY’S LIABILITY ARISING FROM OR RELATED TO (A) BREACH OF ITS CONFIDENTIALITY OBLIGATIONS, OR (B) PERSONAL INJURY
Company shall indemnify, protect, defend, and hold harmless Artium against any and all claims by a third party(ies) that arise from Company’s breach of Section 8.4.
All notices and other communications provided for under the SOW shall be in writing and shall be delivered by hand or by FedEx, UPS, or other reputable overnight courier service, mailed by certified or registered mail, or sent by electronic communication to the addresses for Artium and Company as set forth in the SOW. Notices sent by hand or by overnight courier service, or mailed by certified or registered mail, shall be deemed to have been given when received (or refused). Notices and other communications to a Party delivered or furnished by electronic communication by way of the foregoing e-mail addresses shall be deemed received upon the sender’s receipt of an acknowledgement from the intended recipient, provided that if such notice or other communication is not sent during the normal business hours of the recipient, such notice or communication shall be deemed to have been sent at the opening of business on the next business day for the recipient.
12.2 Entire Agreement; Interpretation.
The SOW (including these Terms and Conditions, which are incorporated by reference into the SOW) constitutes the entire agreement between the Parties with respect to the subject matter of the SOW and supersedes all previous communications, agreements, promises, representations, understandings, and negotiations, whether written or oral, between the Parties with respect to the subject matter of this Agreement, including with respect to confidentiality and any applicable non-disclosure agreement. In the event of a conflict between the provisions of these Terms and Conditions and the specific provisions set forth in the SOW, the applicable provisions of these Terms and Conditions shall control unless conflicting provisions of the SOW specifically reference the conflicting provisions of these Terms and Conditions that are inconsistent therewith, in which case the SOW shall control for that conflicting provision only.
12.3 No Waiver.
No waiver of any provision or consent to any action shall constitute a waiver of any other provision or consent to any other action, whether or not similar. No waiver or consent shall constitute a continuing waiver or consent or commit a Party to provide a waiver in the future except to the extent specifically set forth in writing. Any waiver given by a Party shall be null and void if the Party requesting such waiver has not provided a full and complete disclosure of all material facts relevant to the waiver requested. The failure of a Party to notify the other Party of any default under the SOW shall not be deemed to be a waiver by such Party of any continuing default by the other Party nor of the Party’s right to declare a default of any such continuing breach, and the failure of such Party to insist upon strict performance of any of the terms, covenants, or conditions of the SOW shall not be construed as a waiver or relinquishment of the Party’s right to declare a default of any breach for the future of any such terms, covenants, conditions, or options, but the same shall be and remain in full force and effect.
12.4 Amendments and Modifications.
No amendment, modification, or supplement, including those by custom, usage of trade, or course of dealing, of any provisions of the SOW shall be binding on the Parties unless it is in writing and signed by both Parties at the time of the amendment, modification, or supplement and which specifically references the SOW and the provisions that are amended, modified, or supplemented. Any such modifications shall apply only to that SOW, and not to any previous or subsequent SOW, unless expressly stated otherwise. No oral order, objection, claim, or notice by either Party to the other shall affect or modify any of the terms or obligations contained in the SOW.
If any provision of the SOW or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of the SOW, or the application of such provisions to persons or circumstances other than those as to which it is invalid or unenforceable, shall not be affected thereby, and each provision of the SOW shall remain in effect and be enforceable to the fullest extent permitted by law.
12.6 Successors and Assigns.
Each Party binds itself, and its successors and permitted assigns, to the other Party and to the successors and permitted assigns of such other Party with respect to all covenants, agreements, and obligations contained in the SOW. Neither Party may assign the SOW to a separate legal entity, without the other Party's written consent. Neither Party shall unreasonably withhold or delay such consent; provided, however, that such written consent shall not be required if either Party assigns the SOW to a separate entity in connection with a merger, acquisition, or sale of all or substantially all of its assets with or to such other separate entity. Nothing herein shall limit Artium’s right to assign its right to receive and collect payments hereunder. Any assignment or transfer not permitted by this Section 12.6 shall not be effective and shall constitute a breach of the SOW.
12.7 Governing Law; Consent to Jurisdiction and Venue.
The SOW and all of the transactions contemplated by it, as well as all matters arising out of or relating to it, including without limitation claims as to its validity, interpretation, construction, performance, and all claims sounding in tort, are governed by and shall be construed in accordance with the domestic laws of the State of California excluding any conflicts-of-laws rule or principle that might refer the governance or the construction of the SOW to the law of another jurisdiction. Each Party hereby expressly consents to the personal jurisdiction of either the California courts or the United States District Courts located in the State of California and agrees that any action relating to or arising out of the SOW shall be instituted and prosecuted only in the Superior Court of the County of Los Angeles or the United States District Court for the Central District of California, except that actions to enforce any judgment or writ of attachment shall be prosecuted through the courts of the state in which the assets subject to such enforcement action are located. Each Party waives any right to a change of the aforesaid venue and any and all objections to the jurisdiction of the California courts or the federal courts over the Parties.
Company acknowledges and agrees that the employees, contractors and Subcontractors of Artium who performed or are performing the services for Company under the SOW (individually a "Person," and collectively "Personnel") are a valuable asset to Artium, and that Artium incurs substantial time and costs in recruiting, placing and orienting such Personnel. Accordingly, Company agrees that: (a) for the Term, Company will neither solicit for hire nor hire directly or indirectly any Personnel, and (b) for a period of 12 months after termination of the SOW, Company will not solicit for hire any Personnel. In addition to any other available remedies, in the event of a breach of Section 12.8(a), Artium may immediately terminate the SOW and Company shall pay Artium $50,000 per Person, and in the event of a breach of Section 12.8(b), Company shall pay Artium $50,000 per Person, in each case the sum representing an amount the Parties acknowledge and agree accurately reflects the reasonable value of Artium’s time and expenses for recruitment, placement and orientation, including without limitation costs or placement fees to employment agencies that Company would otherwise incur for recruitment, and lost profits.
Company agrees to cooperate with Artium in marketing efforts by permitting Artium to (a) post Company’s name and logo on the customer page of Artium’s website and other published Artium client lists, (b) use Company’s name and logo in non-public portfolio materials, and (c) publish press releases indicating that Artium is providing services for Company. Company further agrees to serve as an occasional reference for press, analysts, and prospective Artium customers.
12.10 Remedies Cumulative.
Nothing in the SOW shall constitute a waiver or limitation of any right or remedy, whether in equity or at law, which Company or Artium may have under the SOW or applicable law. All rights and remedies of Company and Artium, whether under the SOW or applicable law, shall be cumulative.
12.11 Force Majeure.
Except for the payment of fees, neither Party shall be liable under the SOW because of a failure or delay in performing its obligations hereunder on account of any force majeure event, such as strikes, riots, insurrection, terrorism, fires, natural disasters, acts of God, war, governmental action, or any other cause which is beyond the reasonable control of such Party.
Artium’s services are only to be accessed from/provided within the United States, Canada, and Mexico.