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Content Distribution Agreement
Document 4066A www.leaplaw.com
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CONTENT DISTRIBUTION AGREEMENT
THIS CONTENT DISTRIBUTION AGREEMENT (this “Agreement”) is entered into
by and between [NAME OF COMPANY], a [ ] corporation (the “Company”), and
[NAME OF DISTRIBUTOR], a [ ] corporation (“Distributor”), as of [ ], 20[ ] (the
“Effective Date”).
WHEREAS, Distributor owns and operates the electronic information distribution service
defined in Exhibit A (the “Distribution Service”); and
WHEREAS, Distributor wants to obtain from the Company the right to receive the
Licensed Content (defined below) by the Delivery Methods (defined below) and make the
Licensed Content available to certain users of the Distribution Service, all on the terms and
conditions set forth in this Agreement;
NOW THEREFORE, in consideration of the premises and the mutual covenants
contained in this Agreement, the parties agree as follows:
1. Definitions. The following definitions apply to capitalized terms in this Agreement. All
other capitalized terms are defined in the body of the Agreement.
1.1 “Ad Guidelines” means the Online Advertising Guidelines that have been
provided to the Distributor from the Company, they may be amended from time to time by the
Company
1.2 “Affiliate” means a Person which, directly or indirectly, owns or controls, is
owned or is controlled by or is under common ownership or control with another Person;
“control” and its derivatives means the power to direct the management or affairs of a Person;
and “own” and its derivatives means the beneficial ownership of 50% or more of the voting
equity securities or other equivalent voting interests of the Person.
1.3 “Change of Control” means as to Company or Distributor (a) the sale,
conveyance, transfer, or disposition of all or substantially all of such party’s assets, business,
technology, intellectual property or other material goods, to a third party, (b) the acquisition of
such party by a third party (whether through a merger, acquisition, consolidation or other
transaction or series of transactions) the consummation of which results in a Person (other than
an Affiliate of such party prior to such transaction) becoming the beneficial owner of fifty (50%)
percent or more of the outstanding equity interests or voting power in such party, other than, in
the case of this clause (b), an acquisition or a merger or consolidation in which holders of shares
of voting capital stock immediately prior to the acquisition, merger or consolidation will not
have at least fifty (50%) percent of the ownership of voting capital stock of the acquiring third
party or the surviving corporation in such merger or consolidation, or transaction effected solely
for purpose of changing the corporate domicile of such party, as the case may be, immediately
after the merger or consolidation.
1.4 “Company Composite Feed” means the specifications set forth on Exhibit E.
1.5 “Licensed Content” means information owned by the Company that is more
fully described in Exhibit B attached hereto.
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1.6 “Commercial Available Date” means the date that the Licensed Content is first
made commercially available in the Distribution Service.
1.7 “Confidential Information” means all confidential and proprietary information
of a party (“Disclosing Party”) disclosed to the other party (“Receiving Party”), whether orally
or in writing, that is either marked or designated as confidential or is identified in writing as
confidential or proprietary within fifteen (15) days of disclosure to the Receiving Party; provided
that the following shall be deemed to be Confidential Information even if not so marked or
identified: the terms and conditions of this Agreement (including pricing and other terms
reflected in all schedules hereto), the Disclosing Party’s business and marketing plans,
technology and technical information, product designs, and business processes, any information
or materials with the name, sign, trade name or trademark of the Disclosing Party and any
information that a reasonable person would deem confidential or proprietary given the nature of
the information and the circumstances under which it is disclosed. “Confidential Information”
does not include any item of information which (a) is or becomes available in the public domain
without the fault of the Receiving Party; (b) is disclosed or made available to the Receiving Party
by a third party without restriction and without breach of any relationship of confidentiality; (c)
is independently developed by the Receiving Party without access to the disclosing party’s
Confidential Information; or (d) is known to the recipient at the time of disclosure.
1.8 “Delivery Methods” means [delivery methods of the Licensed Content by the
Company that is more fully described in Exhibit C attached hereto] OR [a format that will allow
Distributor to easily upload or post the Licensed Content onto the Site]..
1.9 “Marks” means the trademarks and service marks owned by the Company.
1.10 “Intellectual Property Rights” means (a) all inventions (whether or not
patentable and whether or not reduced to practice), all improvements thereto, and all patents,
patent applications, and patent disclosures, together with all reissuances, divisions, continuations,
continuations-in-part, revisions, renewals, extensions, and reexaminations thereof, (b) all works
of authorship, including all mask work rights, database rights and copyrightable works, all
copyrights, all applications, registrations and renewals in connection therewith, and all moral
rights, (c) all trade secrets, (d) all registered and unregistered trademarks, service marks, trade
dress, domain names, logos, trade names, and corporate names, together with all translations,
adaptations, derivations, and combinations thereof and including all goodwill associated
therewith, and all applications, registrations and renewals in connection therewith, (e) all
derivative works of any of the foregoing; (f) any other similar rights or intangible assets
recognized under any laws or international conventions, and in any country or jurisdiction in the
world, as intellectual creations to which rights of ownership accrue, and all registrations,
applications, disclosures, renewals, extensions, continuations or reissues of the foregoing now or
hereafter in force, and (g) all copies and tangible embodiments of all of the foregoing (a) through
(f) in any form or medium throughout the world.
1.11 “Member Agreement” means the form that is entered into between the Company
and its Registered Users, a form of which is attached as Exhibit D.
1.12 “Registered User” means an individual who (i) provides at least his or her first
and last name and e-mail address to Distributor, (ii) becomes legally bound by Distributor’s
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online member agreement and (iii) has access, by subscription or other arrangement with
Distributor, to any portion of the Licensed Content.
2. Grant of Rights; Restrictions.
2.1 Access to Licensed Content. The Company hereby grants to Distributor, subject
to the terms and conditions contained in this Agreement, a limited, non-exclusive, [world wide]
nontransferable right to: (a) receive by the Delivery Methods the Licensed Content; (b) store
only the most recent transmission of the Licensed Content on one host computer owned and
operated by Distributor located within the United States (the “Distributor Host Computer”);
and (c) distribute and display the Licensed Content solely to “Registered Users” (as defined in
Section 2.2(a) (Registered Users; License Restrictions), solely by means of the Distribution
Service using the Authorized Distribution Methods. No provision of this Agreement shall be
deemed to restrict or limit the Company’s right to market, sell, distribute, display or otherwise
provide access to the Licensed Content directly or indirectly anywhere in the world, or enter into
contracts, grant licenses or make arrangements with any other party to market, sell, distribute,
display or otherwise provide access to the Licensed Content anywhere in the world. Distributor
shall not sublicense or otherwise transfer or assign any right granted in this Section 2.1 (Access
to Licensed Content) to any other person or entity. Any such attempted sublicense or transfer
shall be void.
2.2 Registered Users; License Restrictions.
(a) Distributor shall cause each Registered User to be legally bound by its online
Member Agreement. Distributor shall not amend the Member Agreement in any way [that is
unfavorable to the Company] [without the Company’s written consent].
(b) Distributor shall not:
(i) post the Licensed Content in any “public” or “free” area, or area
accessible without a password, on the World Wide Web;
(ii) distribute the Licensed Content to any third party other than a Registered
User;
(iii) distribute the Licensed Content by any means other than through the
Distribution Service and using the Authorized Distribution Methods;
(iv) incorporate or “bundle” the Distribution Service as one information source
or service of many available through third-party front-end software or a
third-party, electronic information service or web site;
(v) permit Registered Users to access the Licensed Content through any
interactive online or electronic information service other than the
Distribution Service;
(vi) actively engage in or authorize making any of the Licensed Content
available: (A) as part of a “co-branded” or “private label” web site, web
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