1. "Confidential" or "Proprietary" information shall mean the
disclosing party information, or products in which the disclosing party
claims a proprietary interest, related trade secrets, methods of
expression, processes, the disclosing party trademarks and copyrights,
contact lists, details of past current or future projects, and all
materials labeled confidential or trade secret or which the receiving
party is advised prior to disclosure are confidential or proprietary.
2. "Derivative Works" shall mean any works based on preexisting
works, such as a revision, compilation, translation, modification,
abridgment, condensation, expansion, or any other form in which such
preexisting works may be recast, transformed, or adapted, and that would
constitute copyright infringement or other infringement of proprietary
rights of others therein if prepared without the consent of the copyright
proprietor of the pre-existing work.
"Documentation" shall mean and include all written explanations, in hard
copy or machine readable format, prepared by disclosing party to describe
its products, services or other works.
4. The receiving party shall hold and maintain Confidential
Information in strictest confidence and in trust for the sole and
exclusive benefit of disclosing party.
5. The receiving party hereby recognizes the disclosing party’s
proprietary interest in its Confidential or Proprietary information,
software and products, Derivative Works and Documentation. The receiving
party agrees not to communicate, provide, disclose, transfer or otherwise
make available during the term of this Agreement or any time thereafter,
any information relating to the disclosing party’s trade secrets or
Confidential Information which the receiving party may acquire or is
disclosed to the receiving party under this Agreement, unless previously
authorized in writing by the disclosing party. The restrictions contained
herein shall not apply to (a) any information that is in the public domain
through wrongful act of the receiving party, (b) any information that is
disclosed to the receiving party by a third party having legitimate
possession thereof and the unrestricted right to make such disclosure, (c)
any information that receiving party can demonstrate was within its
legitimate possession without any obligation to keep confidential prior to
the time of disclosure under this Agreement, or (d) any information
independently developed by the receiving party where the receiving party
can establish that the development was accomplished without access to the
disclosing party's information.
6. For a period of 2 years from the termination of this Agreement,
the receiving party shall not disclose any information it receives from
the disclosing party that is orally disclosed, or that is in written or
visual form and which is marked Proprietary, Confidential, or comparable
legend, such as "Company Strictly Private" or "Company Internal Data" to
any third party, except upon on a need to know basis, with the prior
written approval from the disclosing party, and where such other party has
executed a nondisclosure agreement with the receiving party that is in
substantial conformity with this agreement, but which in no event provides
less protection to the disclosing party than under this Agreement. The
receiving party shall use the same degree of care to avoid disclosure or
use of the Proprietary Information as the receiving party employs with
respect to its own proprietary information of like importance.
7. The receiving party acknowledges and agrees that any disclosure
or misappropriation of any of the Confidential or Proprietary Information
in violation of this Agreement may cause the disclosing party irreparable
harm, the amount of which may be difficult to ascertain and, therefore,
agrees that the disclosing party shall have the right to apply to a court
of competent jurisdiction for any order restraining any such further
disclosure or misappropriation and for such other relief as may be
appropriate. Such right of the disclosing party is in addition to remedies
otherwise available to the disclosing party at law or in equity.
8. At the termination of the obligations under this Agreement, or
upon the written request of the disclosing party the receiving party shall
either return to the disclosing party all confidential and Proprietary
Information, Derivative Works and Documentation received by the receiving
party or the receiving party shall destroy such materials and all copies,
and said destruction shall be certified in writing by officer of the
receiving party.
9. If any provision of this Agreement as applied to either party
or to any circumstance, shall be adjudged by a court of competent
jurisdiction to be void or unenforceable for any reason, unless such court
decision defeats the purpose of this Agreement, the same shall in no way
affect (to the maximum extent permissible by law) any other provision
under circumstances different from those adjudicated by the court, or the
validity or enforceability of this Agreement as a whole.
Neither party may assign any rights nor delegate any duties under this
Agreement without the other party’s prior written consent, and any
attempt to do without that consent shall be void. This Agreement will bind
and inure to the benefit of the parties and their respective successors
and permitted assigns.
This Agreement terminates three (3) years from the Effective Date.
12. This Agreement is entered into in the State of New York and will
be governed and construed according to the laws of the State of New York,
without regard to principles of conflicts of law.