Last updated on 2.6.2026
Master Services
Agreement
This Master Services Agreement (this "Agreement" or "MSA") is effective upon the date of the last
signature hereto (the "Effective Date"), by and between Vector
Choice Technologies, LLC ("Vector Choice"),
and the party identified in the signature line ("Client"), (collectively
"Parties"), (individually "Party").
Recitals
A. Vector
Choice is a provider of Managed IT Services, Cloud Services, Cyber Security
& Compliance Services, IT Consulting, Hardware and Software Consulting,
Building Tech Solutions, and CTO, CSO, CCO Services ("Services") and Hardware
and Software Procurement ("Product"); and
B. Client
may consider Products or Services from Vector Choice pursuant to an addendum(s)
to this Agreement (each, an "Addendum").
C.
This MSA supersedes all previous MSAs entered into between the Parties;
all existing and in-effect SOW's and Quotes shall be deemed incorporated by
reference and governed by this MSA as of the Effective Date first written
above.
For good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the Parties hereby agree as follows:
1.
Definitions. For the purposes of this Agreement, the
following terms have the meaning set forth below:
- "Addendum" has the meaning set forth in the Recitals.
- "Affiliate" means a Person that directly or indirectly controls, is controlled by, or is under common control with a Party, where "control" means the power to direct or cause the direction of the management and policies of such Person, whether through the ownership of voting securities, by contract, or otherwise.
- "Confidential Information" means any information that is not publicly known and is treated as confidential by a Party (i.e., personally identifiable information, trade secrets, information about business operations and strategies, Clients, contract terms, vendors, pricing, and marketing).
- "Client Equipment" means any equipment, cabling or facilities provided by Client and used in the provision of Services.
- "Client Materials" means any documents, data, methodologies, and other materials provided to Vector Choice by Client.
- "Deliverables" means work product delivered to Client pursuant to an Addendum or prepared by or on behalf of Vector Choice in the course of performing Services pursuant to an Addendum.
- "Disclosing Party" means a party that discloses Confidential Information under this Agreement.
- "Initial Assessment" means the process of accessing, understanding, and evaluating Client's current System, network, and peripherals as a critical first step before initiating a managed services engagement and involves gathering essential information to create a tailored service plan.
- "Intellectual Property Right(s)" means all: (a) patents, patent disclosures and inventions (whether patentable or not); (b) trademarks, service marks, trade dress, trade names, logos, corporate names and domain names, together with all of the goodwill associated therewith; (c) copyrights and copyrightable works (including computer programs) and rights in data and databases; (d) trade secrets, know-how and other confidential information; and (e) all other intellectual property rights, in each case whether registered or unregistered and including all applications for, and renewals or extensions of, such rights, and all similar or equivalent rights or forms of protection in any part of the world.
- "Law" means any statute, law, ordinance, regulation, rule, code, order, constitution, treaty, common law, judgment, decree, other requirement, or rule of law of any federal, state, local or foreign government or political subdivision thereof, or tribunal of competent jurisdiction that applies to a Party.
- "Losses" mean all losses, damages, liabilities, deficiencies, actions, judgments, interest, awards, penalties, fines, costs, or expenses of whatever kind, including reasonable attorneys' fees and the cost of enforcing any right to indemnification hereunder and the cost of pursuing any insurance providers.
- "Material Breach" means a breach of this agreement, pursuant to Section 4(c), and such breach substantially and fundamentally affects the contract's value or purpose and/or goes against the core principles agreed upon between the Parties.
- "MSA" means Master Services Agreement.
- "Network Administrative Credentials" means the usernames, passwords, and other authentication methods that grant elevated and/or full access to the Client's computer network and systems, configurations, and security settings. Vector Choice must have exclusive network administrative credentials for Client's network during the term of this Agreement. While Vector Choice is providing services, Vector Choice will not release the network administrative credentials to Client or any third party for any reason except as required by law or court order, or with Client's prior written consent. Upon termination or expiration of this Agreement and mutual agreement on termination terms, conditions, and the shut-off of services date, Vector Choice will release the Network Administrative Credentials to Client in the form of a Run Book.
- "Permitted Subcontractor" has the meaning set forth in Section 2.1(b).
- "Person" means an individual, corporation, limited liability company, partnership, joint venture, governmental authority, unincorporated organization, trust, association, or other entity.
- "Project" means a project as described in an Addendum.
- "Receiving Party" means a party that receives or acquires Confidential Information directly or indirectly under this Agreement.
- "Run Book" means technical documentation for Client's systems and applications, troubleshooting guides for known issues, escalation paths when issues cannot be resolved using standard procedures, and administrative passwords for the Client's systems and IT environment. The Run Book is Vector Choice's intellectual property, and is only provided to Client as set forth in this Agreement.
- "Services" has the meaning set forth in the recitals and includes any services provided by Vector Choice pursuant to an Addendum hereto, which shall be made a part of, and incorporated into, this Agreement.
- "System" means the Client's assemblage of devices, hardware, software, peripherals, data, processes, networks, servers, IT infrastructure, and related components.
- "Term" as it relates to this MSA and Addendum term(s) has the meaning set forth in Section 4.
- "Vector Choice Equipment" means any equipment or hardware provided by Vector Choice and used in the provision of the Services for which ownership has not transferred to Client.
- "Vector Choice Resources" means all employees and Permitted Subcontractors of Vector Choice.
2. Vector
Choice's Obligations.
2.1 Upon execution of an Addendum to this
Agreement, Vector Choice shall:
(a) Appoint one Vector Choice Personnel as the primary contact with authority to act on behalf of Vector Choice in connection with matters pertaining to this Agreement (the "Vector Choice COO and/or CEO");
(b)
Require any
Person engaged as a subcontractor of Vector Choice to provide Services pursuant
to an Addendum ("Permitted Subcontractor") to be bound by requirements
that are no less restrictive than those of Vector Choice in this Agreement,
and, upon Client's written request, to enter into a non-disclosure or
intellectual property assignment or license agreement in a form that is
reasonably satisfactory to Client.
3.
Client's
Obligations.
3.1
Client shall:
(a)
cooperate with Vector Choice to
facilitate the Services and appoint a Client employee ("Client Liaison")
to serve as the primary contact with respect to this Agreement and who will
have the authority to act on behalf of Client with respect to matters
pertaining to this Agreement. The Client Liaison must be: (i) knowledgeable
with respect to Client's System; and (ii) must be an authorized decision maker
within Client's organization;
(b)
obtain and
maintain all necessary licenses and consents and comply with all applicable Laws
in relation to the Services, including all applicable local, state, federal,
and international laws in all cases before the date on which the Services are scheduled
to commence;
(c)
grant Vector Choice the right to send
Client's employees Vector Choice's Newsletter, "Tech Tips" and other email
communications;
(d)
permit Vector Choice to access the
System through a reputable third-party software provider allowing remote
monitoring and access. Such access includes Vector Choice's ability to assess
Client's System for the Initial Assessment. Vector Choice shall use commercially reasonable security
measures, industry best practices,
and thoroughly vetted and reputable third-party tools for such
remote access to the System.
Client acknowledges that no remote access system can guarantee absolute
security, and Client assumes the risk of any security breach not caused by
Vector Choice's gross negligence or willful misconduct.
(e)
provide
such access to Client's premises, and such office accommodation and other
facilities as may reasonably be requested by Vector Choice and agreed to by the
Client in writing in advance, for the purposes of performing the Services
on-site, as necessary;
(f)
respond
promptly to any Vector Choice request to provide direction, information,
approvals, authorizations or decisions that are reasonably necessary for Vector
Choice to perform Services in accordance with the requirements of this
Agreement or any Addendum;
(g)
provide
such Client Materials as Vector Choice may request, in order to perform the
Services, in a timely manner, and ensure that it is complete and accurate in
all material respects;
(h)
ensure that all Client Equipment is in good working order
and suitable for the purposes for which it is used in relation to the Services
and conforms to all relevant legal or industry standards or requirements. Client Equipment that is end-of-life, meaning that it
is no longer supported by the vendor or manufacturer, is only capable of being
supported on a best efforts basis due to integration and incompatibility issues
that arise when Client Equipment is end-of-life.
(i)
Client should, at
Client's expense, procure and maintain cyber insurance covering Client's system
with a financially sound and reputable insurer. Upon request, Client will
provide Vector Choice with a certificate of insurance from Client's insurer
evidencing the insurance coverage; and
(j)
ensure that Client
Equipment, Systems and any relevant devices maintain an active and applicable
warranty throughout the duration of this Agreement. In the event that any
warranty, as required by this Agreement, is inactive, inapplicable, or invalid, or if technological advancements or industry
standards necessitate a warranty upgrade during the term of this Agreement,
Vector Choice may,
upon providing Client with ten (10) days' prior written notice and an estimate
of costs, renew or upgrade any such
applicable warranty to meet the requirements herein. Client shall be
responsible for the costs and fees associated therewith, which will be due within thirty (30) days of receipt of an invoice associated with such warranty, provided that Client may
object to any such renewal or upgrade within the ten (10) day notice period if
Client believes it is not necessary or cost-effective.
4.
Term,
Termination and Survival.
4.1
This
Agreement shall commence as of the Effective Date and shall continue thereafter
for as long as any Addendum to this Agreement is continuing plus one (1) year
after the completion of Services under all Addendums, unless sooner terminated
pursuant to Section 4.2 or Section 4.3 below. While Vector Choice
is not providing any services under this Agreement itself (services are specified and provided under Addendums),
Client acknowledges and agrees that Client will remain bound by this Agreement
for provisions including but not limited to confidentiality, payment of fees, intellectual property rights,
indemnification, and limitation of
liability.
4.2
Either Party may terminate this
Agreement, effective upon sixty (60) days written notice to the other Party
(the "Defaulting Party") if the
Defaulting Party:
(a)
materially breaches this Agreement,
and such breach is incapable of cure, or with respect to a Material Breach
capable of cure, the Defaulting Party does not cure such breach within thirty
(30) days after receipt of written notice of such breach;
(b)
becomes insolvent or admits its
inability to pay its debts generally as they become due;
(c)
becomes subject, voluntarily or
involuntarily, to any proceeding under any domestic or foreign bankruptcy or
insolvency law, which is not fully stayed within seven (7) business days of
filing or is not dismissed or vacated within forty-five (45) days after filing;
(d)
is dissolved or liquidated or takes
any corporate action for such purpose;
(e)
makes a general assignment for the
benefit of creditors; or
(f)
has a receiver, trustee, custodian, or
similar agent appointed by order of any court of competent jurisdiction to take
charge of or sell any material portion of its property or business.
4.3
Notwithstanding
anything to the contrary in Section 4.2, if the termination is by Client and
not for Cause or is by Vector Choice and
resulting from a Material Breach by Client, Client shall pay:
(a) an early termination fee equal to the
cost of six (6) months' worth of the average monthly
fees
paid by Client over the prior twelve (12) months (or over the
actual term if the term has been less than twelve (12) months), or
the actual remaining months of fees if less than six (6) months remain on the term ("Early Termination Fee").
(b)
any unpaid undisputed monthly fees due
through the termination date of the Addendum; and
(c)
all amounts for Products, vendor
service and equipment commitments made by Vector Choice's in order to provide
Services to Client for: (1) the remainder of the Term; or (2) the termination
fees required of Vector Choice to terminate such commitments, whichever is
less. Some vendors, i.e. Microsoft, do not allow early termination of license
fees and Client understands and consents to payment of the licenses for the remainder
of the license term.
4.4
In addition to the provisions included
in this Section 4.4, Vector Choice may terminate this Agreement before the
expiration date of the Term on written notice if Client fails to pay any
undisputed amount when due hereunder. Payment is due within thirty (30) days from
receipt by Client of any invoice. Client
is granted a five (5) day grace period before a late fee applies, and if
payment is not received within thirty-five (35) days receipt of any invoice, a
late fee shall apply. Furthermore, if Client's nonpayment continues for forty-five
(45) days from receipt of an invoice, Vector Choice will provide Client with
written notice that Client is behind on satisfying its payment obligations for Services
rendered. If Client's nonpayment persists for sixty (60) days, Vector Choice
may shut down Client's access to Vector Choice support services. If Client's
nonpayment persists for ninety (90) days, Vector Choice may shut down support
along with all other Services Client receives from Vector Choice. If Client
cures its nonpayment between sixty (60) and eighty-nine (89) days from the date
of the applicable invoice, a reactivation fee of 10% of the unpaid invoice(s)
shall apply. If Client cures its nonpayment ninety (90) days or thereafter, a
reactivation fee of 25% of the unpaid invoice(s) shall apply. VECTOR CHOICE
SHALL HAVE NO LIABILITY FOR ANY SUSPENSION OF SERVICES BASED ON CLIENT'S
FINANCIAL BREACH. Time is of the essence in the performance of all payment
obligations by Client.
4.5
The rights and obligations of the Parties
set forth in Section 4.6 and in Sections
7, 8, 9, 10, 11, 12, and 13, and any right or obligation of the parties in
this Agreement which, by its nature, should survive termination or expiration
of this Agreement, will survive any such termination or expiration of this
Agreement.
4.6
Upon
expiration or termination of an Addendum to this Agreement:
(a)
Vector Choice shall: (i) promptly
deliver to Client all Deliverables (whether complete or incomplete) for which
Client has paid and all Client Equipment and all Client Materials; (ii)
promptly remove any Vector Choice Equipment located at Client's premises that
has not been sold to Client; (iii) provide reasonable cooperation and
assistance to Client upon Client's written request and at Client's expense in
transitioning the Services to an alternate service provider; and (iv) on a pro
rata basis, repay all fees and expenses paid in advance for any Services or
Deliverables which have not been provided.
(b)
Client shall pay and reimburse Vector
Choice for its costs in providing the transition services set forth in Section 4.6(a),
in advance based upon Vector Choice's estimate of costs for transitions
services at its then-current billable rates; and Vector Choice shall reconcile
actual charges for transition efforts and services to Client's new service
provider with the prepaid amount described above within thirty (30) days of
completion of transition assistance. Upon mutual assent to the termination
terms, conditions, and the shut off of services date, Vector Choice will then
release the Network Administrative Credentials to Client in the form of a Run
Book upon Client's execution of a release and waiver of liability related to
the Network Administrative Credentials. For avoidance of doubt, the Network
Administrative Credentials and Run Book are accompanied by a release and waiver
of liability as Vector Choice will no longer have control or access to the
Client's IT environment or systems upon releasing the Run Book.
(c)
Each Party shall: (i) return to the
other Party all documents and tangible materials (and any copies) containing,
reflecting, incorporating or based on the other Party's Confidential
Information; (ii) within thirty (30)
days after the termination of services permanently erase all of the other
Party's Confidential Information from its computer systems and; (iii) certify
in writing to the other Party that it has complied with the requirements of
this clause; provided, however, that Client may retain copies of any
Confidential Information of Vector Choice incorporated into the Deliverables or
to the extent necessary to allow it to make full use of the Services and any
Deliverables. Notwithstanding anything herein to the contrary, Vector Choice
may permanently delete all of Client's information in its possession thirty (30) days following the date of
expiration or termination of this Agreement.
i. Vector
Choice shall be held harmless for and indemnified by Client against any and all
claims, costs, fees, or expenses incurred by either party that arise from, or
are related to, Vector Choice's deletion of Client data beyond the time frames
described in this Section.
ii. Vector
Choice shall be held harmless for and indemnified by Client against any and all
claims, costs, fees, or expenses that arise from, or are related to, Vector
Choice's release of the Network Administrative Credentials and Run Book.
(d)
Vector Choice shall have no obligation
to store or maintain any Client data in Vector Choice's possession or control
for more than fifteen (15) days following the expiration or termination of an
applicable Addendum, unless otherwise required by law.
5.
Fees and Expenses; Payment Terms. Client
will pay to Vector Choice the fees set forth in each Addendum for the Services
or Products provided under that Addendum. Any Services beyond the scope
detailed within any Addendum, or within the scope of an Addendum but for which
Services are required to be performed outside of regular business hours of 8:00
a.m. to 5:00 p.m. local time, Monday-Friday ("Business Hours"), or on New
Year's Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day, Friday following
Thanksgiving Day, Christmas Eve, Christmas Day or New Year's Eve ("Holiday"),
or due to unauthorized modifications to System by Client ("Out-of-Scope Work"),
shall be billed to Client and Client shall pay
for such Out-of-Scope Work according to Vector Choice's then-current
rate schedule, which can be found at https://vectorchoice.com/ratecard, which may be modified by Vector Choice with
sixty (60) days notice to Client.
Out-of-Scope Work shall not be provided to Client without written
confirmation by either party within thirty (30) days of such request. All
Vector Choice representations relating to time for Out-of-Scope Work are
estimates of actual time and not a guarantee or agreement to perform for a
fixed fee as time and cost involved may vary based upon the complexity of the issues.
However, if time and cost vary from the estimate provided, Vector Choice must
obtain pre-approval from Client in writing. Client may halt Out-of-Scope Work
at any time with written notice and payment of balance of work performed.
Different hourly rates may apply based upon work outside of Business Hours, overtime,
weekends or Holiday time, different levels of personnel experience, and/or
sophistication of work. Unless otherwise provided in an Addendum, said fee will
be payable within thirty (30) days of Vector Choice's invoice to Client. Vector
Choice shall add any sales, use and excise taxes, and any other similar taxes,
duties and charges of any kind imposed by any federal, state or local
governmental entity on any amounts payable by Client hereunder; provided, that,
in no event shall Client pay or be responsible for any taxes imposed on, or
with respect to, Vector Choice's income, revenues, gross receipts, personnel or
real or personal property or other assets.
6.
Intellectual
Property Rights; Ownership.
6.1
Vector Choice hereby irrevocably
assigns a nonexclusive right throughout the world in and to the Deliverables.
6.2
Vector Choice and its licensors are,
and shall remain, the sole and exclusive owners of all right, title and
interest in and to its Intellectual Property.
6.3
Except as
explicitly set forth in this Section 6, no other license or transfer of any
Intellectual Property right is conveyed or implied by this Agreement.
7.
Confidential
Information.
7.1
Defined.
Confidential Information shall mean any and all non-public information provided
to Vector Choice by Client, including but not limited to Client's customer
data, personally identifiable information, employee information, customer
lists, internal Client documents, and related information. Confidential
Information shall not include information that: (i) has become part of the
public domain through no act or omission of Vector Choice; (ii) was developed
independently by Vector Choice; (iii) is or was lawfully and independently provided
to Vector Choice prior to disclosure by Client, from a third party who is not
and was not subject to an obligation of confidentiality or otherwise prohibited
from transmitting such information.
7.2
Use. Vector Choice shall keep Client's
Confidential Information confidential and shall not use or disclose such
information to any third party for any purpose except as needed to perform the
Services in accordance with this Agreement and its addendums. If Vector Choice is required to disclose the
Confidential Information to any third party, then Vector Choice shall, by
written agreement, keep the information confidential under terms that are at
least as restrictive as those stated in this Section.
7.3
Due Care.
Vector Choice shall exercise the same degree of care with respect to the
Confidential Information it receives from Client as Vector Choice normally
takes to safeguard its own confidential and proprietary information, which in
all cases shall be at least a commercially reasonable level of care.
7.4
Compelled Disclosure.
If Vector Choice is legally required by subpoena or similar process to disclose
Confidential Information, Vector Choice shall notify Client in writing so that
Client may seek a judicial remedy. Vector Choice will cooperate, at Client's
expense, with Client efforts to obtain judicial relief. Failing Client securing
judicial relief, Vector Choice may disclose, without liability hereunder, that
portion of the Confidential Information that it is legally required to
disclose.
7.5
Vector
Choice Information. Client shall
not disclose information provided to Client by Vector Choice relating to
proposals, reports or other compliance information, pricing or deliverables of
Vector Choice to Client.
8.
Limited
Warranty.
8.1
Vector Choice warrants that its
technicians are qualified to provide the Services and that Services and Deliverables will be in
conformity in all material respects with all requirements or specifications
stated in this Agreement and any applicable Addendum.
In the event of Vector Choice's breach of the foregoing warranty, Vector
Choice's sole and exclusive obligation and liability and Client's sole and
exclusive remedy shall be as follows:
(a)
Vector Choice shall use reasonable
efforts to cure such breach; provided, that if Vector Choice cannot cure such
breach within a reasonable time (but no more than thirty (30) days) after
Client's written notice of such breach; Client may, at its option, terminate
the Agreement by serving written notice of termination in accordance with
Section 13.1.
(b)
In the event the Agreement is
terminated in accordance with this Section 8.1, Vector Choice shall within
thirty (30) days after the effective date of termination, refund to Client any
fees paid by the Client as of the date of termination for such Service or
Deliverable less a deduction equal to the fees for receipt or use of such
Deliverables or Service up to and including the date of termination on a
pro-rated basis.
(c)
The foregoing remedy shall not be
available unless Client provides written notice of such breach within thirty
(30) days after delivery of such Service or Deliverable to Client or with
respect to changes made by any Person other than Vector Choice or at Vector
Choice's direction.
8.2
EXCEPT FOR
THE EXPRESS WARRANTIES IN SECTION 8.1 ABOVE, (A) VECTOR CHOICE HEREBY DISCLAIMS
ALL WARRANTIES, EITHER EXPRESS, IMPLIED, STATUTORY, OR OTHERWISE UNDER THIS
AGREEMENT, AND; (B) VECTOR CHOICE SPECIFICALLY DISCLAIMS ALL IMPLIED WARRANTIES
OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, TITLE AND
NON-INFRINGEMENT. CLIENT SHALL RELY UPON
THE WARRANTY OF THE THIRD-PARTY MANUFACTURER OF PRODUCTS ONLY. CLIENT MAY
PURSUE WARRANTY CLAIMS AGAINST THE MANUFACTURER ONLY, AS PRODUCTS ARE PROVIDED
BY VECTOR CHOICE "AS IS", WITH ALL FAULTS AND SUBJECT TO ANY LICENSE AGREEMENT.
9.
Indemnification.
9.1
Each party
(an Indemnifying Party") hereby agrees to indemnify, defend and hold the other
party (an "Indemnified Party") harmless from and against any and all loss,
damage, cost, expense or liability, including reasonable attorney's fees,
(collectively "Damages") that arise from, or are related to the negligent acts,
negligent omissions or intentional wrongful misconduct of the Indemnifying
Party and/or the Indemnifying Party's uncured Material Breach of this MSA.
Wrongful misconduct shall include infringement of copyrights, patent rights,
trademark rights, and/or
unauthorized or unlicensed use of any material, property, or other work.
9.2
An Indemnitee seeking indemnification
hereunder shall promptly notify the Indemnifying Party in writing of any Action
and cooperate with the Indemnifying Party at the Indemnifying Party's sole cost
and expense. The indemnifying Party shall immediately take control of the
defense and investigation of such Action and shall employ counsel of its choice
to handle and defend the same, at the Indemnifying Party's sole cost and
expense. The indemnifying Party shall not settle any Action in a manner that
adversely affects the rights of the Indemnitee without the Indemnitee's prior
written consent, which shall not be unreasonably withheld or delayed. The
Indemnitee's failure to perform any obligations under this Section 9.2 shall
not relieve the Indemnifying Party of its obligations under this Section 9.2
except to the extent that the Indemnifying Party can demonstrate that it has
been materially prejudiced as a result of such failure. The Indemnitee may
participate in and observe the proceedings at its own cost and expense.
10.
Limitation of Liability.
10.1
IN NO EVENT SHALL EITHER PARTY BE
LIABLE TO THE OTHER PARTY OR TO ANY THIRD-PARTY FOR ANY LOSS OF USE, REVENUE,
OR PROFIT OR LOSS OF DATA OR DIMINUTION IN VALUE, OR FOR ANY CONSEQUENTIAL,
INCIDENTAL, INDIRECT, EXEMPLARY, SPECIAL, OR PUNITIVE DAMAGES WHETHER ARISING
OUT OF BREACH OF CONTRACT, TORT (INCLUDING NEGLIGENCE), OR OTHERWISE,
REGARDLESS OF WHETHER SUCH DAMAGE WAS FORESEEABLE AND WHETHER OR NOT A PARTY
HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, AND NOTWITHSTANDING THE
FAILURE OF ANY AGREED OR OTHER REMEDY OF ITS ESSENTIAL PURPOSE, EXCEPT THAT THIS LIMITATION
SHALL NOT APPLY TO: (A) EITHER PARTY'S INDEMNIFICATION OBLIGATIONS UNDER
SECTION 9; (B) EITHER PARTY'S BREACH OF CONFIDENTIALITY OBLIGATIONS UNDER
SECTION 7; (C) EITHER PARTY'S GROSS NEGLIGENCE OR WILLFUL MISCONDUCT; OR (D)
VECTOR CHOICE'S OBLIGATIONS UNDER SECTION 10.4.
10.2
IN NO EVENT SHALL VECTOR CHOICE'S
AGGREGATE LIABILITY ARISING OUT OF OR RELATED TO THIS AGREEMENT, WHETHER
ARISING OUT OF OR RELATED TO BREACH OF CONTRACT, TORT (INCLUDING NEGLIGENCE),
OR OTHERWISE, EXCEED THE AGGREGATE AMOUNTS PAID OR PAYABLE TO VECTOR CHOICE
PURSUANT TO THE APPLICABLE ADDENDUM IN THE TWELVE (12) MONTH PERIOD PRECEDING
THE EVENT GIVING RISE TO THE CLAIM.
10.3 In the event Vector Choice's insurance carrier
accepts the defense and indemnification of a claim submitted by Client, the preceding
provisions of Section 10 shall not apply and the limits of liability shall be
the accepted limit of the insurer. VECTOR CHOICE IS NOT REQUIRED TO CONTEST ITS
INSURANCE CARRIER'S DETERMINATION OF COVERAGE.
10.4 In the event that Vector Choice causeS any damage to
Client's personal property, Vector Choice shall replace the damaged personal
property.
10.5 VECTOR CHOICE SHALL NOT BE LIABLE FOR DELAY IN
PERFORMANCE OR NONPERFORMANCE OF ANY TERM OR CONDITION OF THIS AGREEMENT DIRECTLY
OR INDIRECTLY RESULTING FROM LACK OF FULL AND FREE ACCESS TO SYSTEM OR
PREMISES. THIS LIMITATION OF LIABILITY REPRESENTS A BARGAINED FOR EXCHANGE AND
IS A MATERIAL COMPONENT TO THE CALCULATION OF FEES BY VECTOR CHOICE.
NOTWITHSTANDING THE FOREGOING, VECTOR CHOICE SHALL NOT BE LIABLE FOR ANY
DAMAGES WHICH WERE CAUSED OR WOULD HAVE BEEN PREVENTED BY PRODUCTS OR SOFTWARE
OFFERED TO CLIENT BY VECTOR CHOICE FOR WHICH CLIENT DECLINED OR DELAYED
IMPLEMENTATION, OR FOR THE INTENTIONAL CRIMINAL ACTS OF THIRD PARTIES.
10.6 IF VECTOR CHOICE'S PERFORMANCE OF ITS OBLIGATIONS
UNDER THIS AGREEMENT IS PREVENTED OR DELAYED BY ANY ACT OR OMISSION OF CLIENT
OR CLIENT'S AFFILIATES, AGENTS, SUBCONTRACTORS, CONSULTANTS OR EMPLOYEES,
VECTOR CHOICE SHALL NOT BE DEEMED IN BREACH OF ITS OBLIGATIONS UNDER THIS
AGREEMENT OR OTHERWISE LIABLE FOR ANY COSTS, CHARGES OR LOSSES SUSTAINED OR
INCURRED BY CLIENT, IN EACH CASE, TO THE EXTENT ARISING DIRECTLY OR INDIRECTLY
FROM SUCH PREVENTIONS OR DELAY.
11. Placement
Fee.
11.1
Both parties agree that during the
Term of this Agreement and for a period of twelve (12) months thereafter, either
party will pay the Placement Fee for hiring or retaining, whether
individually or in conjunction with others, directly or indirectly,
any of the other Party's employees or subcontractors in order to compensate the
other party for the internal and external costs of recruitment, interviewing,
placement expenses, training, certification and other efforts relative to such
person. "Placement Fee" means fifty percent (50%) of that employee or
subcontractor's annualized compensation (including any bonuses) which shall be
due and payable fifteen (15) days following the hiring of such employee.
12.
Force
Majeure. No Party shall be liable or
responsible to the other Party, nor be deemed to have defaulted for any failure
or delay in fulfilling or performing any (except for payment obligations of
Client for Services actually rendered), to the extent such failure or delay is
caused by, or results from, acts beyond the affected Party's reasonable control
(a "Force Majeure Event"), including, without limitation: (a) nature disaster;
(b) flood, fire or explosion; (c) war, invasion, riot or other civil unrest;
(d) actions, embargoes or blockades; (e) national or regional emergency; (f)
strikes, labor stoppages or slowdowns; (g) compliance with any law or
governmental order, rule, regulation or direction, embargo, export or import
restriction, quota or other restriction or prohibition; (h) shortage of
adequate power or telecommunications facilities; (i) epidemic; or (j) public
health emergency. A Party whose performance is affected by a Force Majeure
Event shall give notice to the other Party, stating the period of time the occurrence
is expected to continue and shall use diligent efforts to end the failure or
delay and minimize the effects of such Force Majeure Event. During the Force Majeure Event, the
non-affected Party may similarly suspend its performance obligations until such
time as the affected Party resumes performance. The non-affected Party may
terminate any affected Addendum if such failure or delay continues for a period
of thirty (30) days or more, and if the non-affected Party is the Client,
receive a refund of any amounts paid to Vector Choice in advance for the
affected Services which are directly and materially impacted by the Force
Majeure event causing impossibility of performance by Vector Choice.
13.
Miscellaneous.
13.1
Notices.
All notices, requests, consents, claims, demands, waivers and other
communications hereunder shall be in writing and shall be deemed to have been
given (a) when delivered by hand (with written confirmation of receipt); (b)
when received by the addressee if sent by a nationally recognized overnight
courier (receipt requested); or (c) on the third day after the date mailed, by
certified or registered mail, return receipt requested, postage prepaid. Such
communications must be sent to the respective Parties at the addresses
indicated below, or at such other address for a Party as shall be specified in
a notice given in accordance with this Section 13.1.
If to Vector Choice:
Vector Choice Technologies, LLC
5280 34th St
Lubbock, TX 79407
Attn: William Nobles, CEO
If to Client:
Client Primary Address on Addendum.
13.2
Entire
Agreement. This Agreement, together
with Addendums, constitutes the sole and entire agreement of the Parties to
this Agreement with respect to the subject matter contained herein, and
supersedes all prior and contemporaneous understandings and agreements, both written
and oral, with respect to such subject matter. In the event of any direct conflict
between the terms and provisions of this Agreement, and any Addendum, the Addendum
shall have precedence and control except as it relates to limitation of
liability, indemnification and warranties which shall be controlled by this
Agreement.
13.3
Assignment. Neither Party may assign or transfer its
rights or obligations under this Agreement without the prior written consent of
the other Party, which consent shall not be unreasonably withheld or delayed. Notwithstanding
the foregoing, upon prior written notice
to the Client, Vector Choice may assign the Agreement to an
Affiliate or to a successor of all or substantially all of the assets of Vector
Choice through merger, reorganization, consolidation or acquisition. Any
attempted assignment, transfer or other conveyance in violation of the
foregoing shall be null and void. This Agreement shall be binding upon and
shall inure to the benefit of the Parties hereto and their respective
successors and permitted assigns.
13.4
Recording of Conversations.
For training and quality purposes, each party to this Agreement acknowledges
and agrees to the tape recording of conversations between the Parties.
13.5
Amendments.
This Agreement may only be amended, modified, or supplemented in a writing
signed by both Parties hereto. No waiver by any Party of any of the provisions
hereof shall be effective unless explicitly set forth in writing and signed by
the Party so waiving.
13.6
Severability.
If any term or provision of this Agreement is invalid, illegal, or
unenforceable in any jurisdiction, such invalidity, illegality, or
unenforceability shall not affect any other term or provision of this Agreement
or invalidate or render unenforceable such term or provision in any other
jurisdiction. Upon such determination that any term or other provision is
invalid, illegal, or unenforceable, the Parties hereto shall negotiate in good
faith to modify this Agreement so as to affect the original intent of the
Parties as closely as possible in a mutually acceptable manner in order that
the transactions contemplated hereby be consummated as originally contemplated
to the greatest extent possible. If no such
modification is possible, this Agreement shall terminate, and Client shall pay
any sums outstanding for Services actually rendered within thirty (30) days,
and Vector Choice shall refund any sums paid in advance for Services not
rendered within thirty (30) days.
13.7
Choice
of Law and Venue. This Agreement shall be governed by
and construed in accordance with the internal laws of the State of Texas
without giving effect to any choice or conflict of law provision or rule
(whether of the State of Texas or any other jurisdiction) that would cause the
application of Laws of any jurisdiction other than those of the State of Texas.
Any legal suit, action or proceeding arising out of or related to this
Agreement or the Services provided hereunder shall be instituted exclusively in
the federal courts of the United States or the courts of the State of Texas in
each case located in the City of Lubbock, TX, and each Party irrevocably
submits to the exclusive jurisdiction of such courts in any such suit, action
or proceeding. Service of process, summons, notice or other document by mail to
such Party's address set forth herein shall be effective service of process for
any suit, action or other proceeding brought in any such court.
13.8
Disputes; ARBITRATION. In the event that a dispute arises between the
Parties in connection with, out of, or under this Agreement, the Parties agree
to attempt initially to settle such dispute between themselves by conducting
good faith negotiation and consultation. If the Parties are unable to settle
the matter between themselves and at least thirty (30) days have elapsed since
initial notification of the dispute pursuant to Section 13.1, the matter shall
thereafter be resolved by alternative dispute resolution, starting with
mediation pursuant to the Commercial Mediation Procedures of the American
Arbitration Association (the "AAA"), and including, IF NECESSARY, A
FINAL AND BINDING ARBITRATION IN ACCORDANCE WITH THE EXPEDITED PROCEDURES OF
THE COMMERCIAL ARBITRATION RULES OF THE AAA. EACH SUCH ARBITRATION SHALL BE
CONDUCTED BY A PANEL OF THREE ARBITRATORS: ONE ARBITRATOR SHALL BE APPOINTED BY
EACH OF CLIENT AND VECTOR CHOICE, AND THE THIRD SHALL BE APPOINTED BY THE
AMERICAN ARBITRATION ASSOCIATION. TO THE EXTENT THAT THE AAA PROCEDURES AND
THIS AGREEMENT ARE IN CONFLICT, THE TERMS OF THIS AGREEMENT SHALL CONTROL, AND
THE ARBITRATORS SHALL BE BOUND BY THE EXPRESSED TERMS OF THIS AGREEMENT. The
Parties agree that each party shall bear their own costs in connection to any
of the remedial activities set forth in this section.
13.9
Waiver of Jury Trial. Each Party acknowledges that any controversy that
may arise under this Agreement, INCLUDING ADDENDA, is likely to involve
complicated issues and, therefore, each such Party irrevocably and
unconditionally waives any right it may have to a trial by jury in respect of
any legal action arising out of or relating to this Agreement.
13.10
Equitable
Relief. Each Party acknowledges that a breach by a
Party of Intellectual Property Rights or confidentiality obligations may cause
the non-breaching Party irreparable damages, for which an award of damages
would not be adequate compensation and agrees that, in the event of such breach
or threatened breach, the non-breaching Party will be entitled to seek
equitable relief, including a restraining order, injunctive relief, specific
performance and any other relief that may be available from any court, in
addition to any other remedy to which the non-breaching Party may be entitled
at law or in equity. Such remedies shall not be deemed to be exclusive but
shall be in addition to all other remedies available at law or in equity,
subject to any express exclusions or limitations in this Agreement to the
contrary.
13.11
Attorneys'
Fees. In the event that any action, suit, or other
legal proceeding by either Party against the other Party arising out of or
relating to this Agreement, the prevailing Party shall be entitled to recover
its reasonable attorneys' fees and court costs from the non-prevailing Party.
13.12
Counterparts.
This Agreement may be executed in counterparts, each of which shall be deemed
an original, but all of which together shall be deemed to be one and the same
agreement. A signed copy of this Agreement delivered by facsimile, e-mail or
other means of electronic transmission shall be deemed to have the same legal
effect as delivery of an original signed copy of this Agreement.
*Last reviewed for Legal Compliance 01/22/2026