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Website Development and Service
Agreement
SERVICE AGREEMENT the (Agreement) made as of the 1st day of
March, 2005 (the
Effective Date) by and between Brooklyn Cheesecake &
Desserts Company, Inc. a
corporation organized and operating under the laws of New York
and having
offices at 20 Passaic Avenue, Fairfield, New Jersey 07004 (the
"Client") and
Burbro Capital, Inc, a corporation organized and operating under
the laws of New
York and having offices at 4 Five Ponds Road, Waccabuc, New York
10509.
WHEREAS, Consultants are in the business of providing certain
software and
computer consulting services pertaining to the international
network of
computers and computer networks known by the name Internet;
and
WHEREAS, Client wishes to retain the services of Consultants
to:
(i) locate, establish, install and maintain computer hardware
and software to
provide Client with a system to provide information via the
World Wide Web
protocol of the Internet (the "World Wide Web"), and allow
Internet users to
make transactions (the "Web and Database Server"); (ii) assist
Client with
Client's development and operation of a content server to make
Client-related
multimedia information accessible via the World Wide Web to
Internet users (the
"Client Server") (the Client's presence on the World Wide Web
under this
Agreement by the Web and Database Server and the Client Server
referred to
herein as the "Site"); (iii) promote the Site; (iv) develop and
improve computer
programs and other deliverables to be used in connection with
the Site; and (v)
consult with Client with respect to the ultimate transfer of all
hardware and
software components of the Web and Database Server to Client's
location and
facilities.
WHEREAS, Consultants wish to provide Client with such
services;
NOW, THEREFORE, in consideration of the conditions and covenants
set forth
hereinafter, it is agreed as follows:
1. Retention
Client hereby retains Consultants and Consultants hereby accept
such retention
by the Client.
2. Services
Upon the terms and subject to the conditions contained herein,
Consultants agree
to provide to Client consulting services as described in
statements of work to
be agreed to in writing between the parties from time to time
during the term
hereof (the "Statements of Work") and which shall be
consecutively numbered and
annexed hereto as Schedule A. Such services shall be provided in
accordance with
the provisions of this Agreement and the applicable Statement of
Work.
3. Additional Services
In addition to the services described in this agreement,
Consultants shall
perform the following additional services in accordance with the
timetable set
forth as Schedule B (the "Timetable"):
3.1. Configuration and Operation of Web and Database Server
Consultants will configure and operate the Web and Database
Server at an agreed
upon fully-qualified hosting center as outlined in Schedule C.
Consultants and
authorized third parties will have access to the Web and
Database Server. No
third-party will have access to the Web and Database Server.
Without limitation
of the foregoing, to the extent that any third party software
licenses are
required to be obtained by Consultants to perform their
obligations hereunder,
Consultants shall obtain such licenses on Client's behalf at no
additional cost.
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3.2. Removed
3.3. Removed
3.4. Translations into HTML OR EQUIVALENT Format
Provide consulting services to Client and translate
Client-supplied text,
graphics and other materials into Hypertext Markup Language
(HTML OR EQUIVALENT)
format for use on the Site (such materials, as periodically
updated by Client as
part of the Client Server, shall be known as the "Internet
Display"). Additional
obligations of the parties with respect to the development of
the Internet
Display are further set forth below in Section 4.
3.5. Site Related Programs and Other Deliverables
Develop, in accordance With Section 5 herein, the Site Related
Programs and
other Deliverables (as defined herein).
3.6. Site Related Software Developed by Client
Copy, reformat, improve, review or advise on Site related
software developed by
the Client, as requested by Client and as set forth in any
Statement of Work.
3.7. Software Scripting Routines
In accordance with the Timetable, develop software scripting
routines as set
forth in Schedules A and B, Consultants will generate HTML OR
EQUIVALENT to make
Client's catalog information of retail merchandise appear on the
Web and
Database Server as specified herein (the catalog, together with
the software
routines and underlying database is referred to herein as (the
"Catalog") and
install, configure and customize the Web and Database Server to
enable and track
purchases from the Catalog.
3.8. Recordkeeping
Manage the recordation of all information made available from
people accessing
the Site, or purchasing items from the Catalog, including,
without limitation
name, address, credit card numbers, products requested and any
other information
directly or indirectly obtained from such users (collectively,
"User
Information").
3.9. Removed
3.10 Return of Merchandise.
Consultants shall have no liability or obligations in connection
with
merchandise acquired by credit card which is subsequently
returned to Client by
customer(s) or for the credit of Client's customers, unless such
return is
caused by fraud on the part of Consultants or Consultants' gross
negligence.
3.11. Removed
3.12. Training
Provide such training, advice and information concerning the use
and features of
the Site as Client shall reasonably request.
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4. Development of the Internet Display
Consultants shall develop the Internet Display for use on the
Client Server.
Upon the provision by Client to Consultants of text, graphics or
other
information (collectively, "Content") for use in the Internet
Display,
Consultant shall promptly adapt, translate and reformat the
Content as necessary
into HTML OR EQUIVALENT format. Client shall make the final
determination of all
Content to be used on the Internet Display. All photographs,
trademarks, images
or other works owned or controlled by Client and which are
specified by Client
for inclusion in the Internet Display shall be provided by
Client in clear and
camera ready form necessary for digital translation, or in other
format agreed
upon by the parties. The completed version of the Internet
Display shall be
provided to Client for acceptance in accordance with the
Timetable set forth in
Schedule B.
5. Statements of Work.
5.1. Site Related Programs
As used in this Agreement, the term "Site Related Programs"
shall mean the
software deliverables (other than the Internet Display) to be
produced by
Consultants hereunder.
5.2. Milestone Schedule
As used in this Agreement, the term "Milestone Schedule" shall
mean the schedule
for the development of Site Related Programs as set forth as
part of the
relevant Statement of Work.
5.3. Specifications
As used in this Agreement, the term "Specifications" shall mean
the requirements
for the development of a Site Related Program or other
deliverable, including
operational and functional capabilities and performance, all as
set forth as
part of the relevant Statement of Work.
5.4. Information to be Included in the Statement of Work
The Statement of Work shall include the Specifications,
Milestone Schedule, and
any other information that may reasonably and customarily be
included to provide
the services desired by Client All work hereunder, shall be
compensated pursuant
to Schedule D. Consultants shall prepare a Statement of Work in
good faith.
Consultants shall not be required to commence work until both
parties have
agreed in writing to the Statement of Work. The performance of
the services
required in the Statement of Work shall be completed in
accordance with the time
frame set forth in the Statement of Work.
6. Delivery and Acceptance of Deliverables
As used in this Agreement, the term "Deliverable" shall mean any
product
produced by Consultant hereunder in connection with the Internet
Display or any
Statement of Work.
6.1. Time and Manner of Delivery
Consultant shall deliver each Deliverable at the times and in
the manner
specified therefore under this Agreement, including any relevant
Statement of
Work.
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6.2. Procedure for Acceptance
The procedure for acceptance of any Deliverable shall be as
follows:
(1) Client shall have thirty (30) days to inspect and test each
such Deliverable
when received to determine if it conforms to the
Specifications.
(2) If any Deliverables fails to conform to its Specifications,
Client shall
give Consultants written notice of the failure stating the
defect in the
Deliverables. Consultant shall then have thirty (30) days to
remedy such failure
and redeliver such Deliverable to Client. After resubmission,
Client shall again
inspect the Deliverable to confirm that it conforms to the
Specifications. If
the resubmitted Deliverable again fails Client's acceptance
testing, Client may,
in its sole discretion accept the Deliverable as a
non-conforming Deliverable.
If Client elects to accept the Deliverable as a non-conforming
Deliverable,
Client may in its sole discretion either: (i) withhold a
mutually agreed upon
offset from the development fees payable to Consultants for the
Deliverable or
(ii) invoice and recover from Consultants the amount of Client's
reasonable
out-of-pocket costs to correct, modify, and/or complete the
Deliverable in
accordance with the Specifications.
(3) Each Deliverable shall be deemed to be accepted unless
notice is provided by
Client in accord with Section 6.2 (2).
(4) Except in instances of Force Majeure or in the case of an
extension pursuant
to Sections 5.4 or 6.2 herein, a failure by Consultant to
provide Deliverables
to Client within the agreed upon time period shall be a breach
under this
Agreement.
7. Confidentiality
7.1. Confidential Information
"Confidential Information" shall mean any information relating
to or disclosed
in the course of the Agreement, which is marked as
"confidential" or
"proprietary" by the disclosing party. Confidential Information
shall not
include any information, which is or becomes generally available
to the public
without breach of this Agreement; is in the possession of a
party prior to its
disclosure by the other party; or becomes available from a third
party not in
breach of any obligations of confidentiality to the disclosing
party.
7.2. Prohibition on Disclosure
Each party acknowledges that it will receive Confidential
Information of the
other party relating to its technical, marketing, product and/or
business
affairs. All Confidential Information of the other party shall
be held in strict
confidence and shall not be disclosed or used without express
written consent of
the other party, except as may be required by law. Each party
shall use
reasonable measures and reasonable efforts to provide protection
for
Confidential Information, including measures at least as strict
as those, such
party uses to protect its own Confidential Information.
7.3. Confidentiality of User Information
Without limitation of the foregoing, Consultants acknowledge and
agree that the
User Information shall be deemed to be Confidential Information
of the Client,
and that Consultant not use User Information for any purpose
other than that of
fulfilling Consultants' obligations under this Agreement.
Neither Consultants
nor any third party on behalf of Consultants, shall have the
right, directly or
indirectly, to use, exploit, disclose, transmit, sell, assign,
lease or
otherwise convey or make available for access by third parties,
any User
Information.
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7.4. Confidentiality of Agreement
Except as required by applicable securities laws, neither Client
nor Consultants
shall make any announcement or other disclosure to any third
party of the
transactions contemplated by this Agreement without the prior
approval of the
other party. All requests by Consultants to Client in this
regard shall be
directed to the attention of Chief Executive Officer of
Client.
8. No Employment
During the term of this Agreement, Client shall not solicit for
employment any
agent acting on behalf of Consultants without Consultants prior
written consent.
9. Development Credit
Client shall acknowledge Consultants as the site developers of
the Site in text
in an "acknowledgments page" of the Internet Display.
10. Intellectual Property
10.1. Ownership and Licensing of Consultants Materials
All techniques, algorithms and methods or rights thereto owned
by Consultants at
the time this Agreement is executed and employed by Consultants
in connection
with the Site Related Programs (the "Consultants Materials")
shall be and remain
the property of Consultants unless they are in the public
domain. Consultants
grant to Client a perpetual, irrevocable, royalty free,
unrestricted right to
use, modify, transfer and maintain Consultants Materials.
10.2. Ownership of Program Codes
Unless otherwise specified in a Statement of Work, and except
for the
Consultants Materials, all Deliverables and other materials,
products,
modifications developed or prepared for Client by Consultants
under this
Agreement (including any Statement of Work) including without
limitation program
images and text viewable on the Internet, any HTML OR EQUIVALENT
Code relating
thereto, or any program code created at the request of Client,
is the property
of Client and all title and interest therein shall vest in
Client and shall be
deemed to be a "work made for hire" and made in the course of
the services
rendered hereunder. To the extent that title to any such works
may not, by
operation of law, vest in Client or such works may not be
considered works made
for hire, all right, title and interest therein are hereby
irrevocably assigned
to Client. All such materials shall belong exclusively to Client
with Client
having the right to obtain and to hold in its own name,
copyrights,
registrations or such other protection as may be appropriate to
the subject
matter, and any extensions and renewals thereof. Consultant
agrees to give
Client and any person designated by Client, any reasonable
assistance required
to perfect the rights defined in this Section.
10.3. Site Related Programs
Client and Consultants recognize that Site Related Programs may
contain code
created during the development of such Site Related Program.
Notwithstanding any
other provisions of this Agreement, Consultants shall retain a
royalty-free
license to utilize any other code developed by it hereunder.
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10.4. Property of Client
Nothing herein shall be construed to grant any right or license
to Consultants
in or to any Content or other material provided to Consultants
hereunder by
Client, other than the right to use such material solely on
behalf of Client in
accordance with the terms hereto. All of the foregoing
materials, including
without limitation any and all copyrights, trademarks or trade
names, are and
shall remain the property of Client.
11. Warranties
11.1. Consultants Warranties
Consultants represent and warrant that:
(a) all of the services to be performed hereunder will be
rendered using sound,
professional practices and in a competent and professional
manner by
knowledgeable, trained and qualified personnel;
(b) the Deliverables will operate in conformance with the
relevant terms of this
Agreement, including without limitation, the Statements of
Work;
(c) Consultants are the owner of or otherwise have the right to
use and
distribute all materials and methodologies used in connection
with providing the
Deliverables;
(d) Consultants will comply with all applicable federal, state
and local laws in
the performance of obligations hereunder; the Deliverables are
and will be free
of any software disabling devices or internal controls,
including, without
limitation, time bombs, viruses, or devices of similar
nature;
(f) the Deliverables (other than information or materials
supplied by Client and
reproduced accurately in the Deliverables) shall not infringe
upon any third
party copyright, patent, trade secret or other proprietary
right; and
(g) the Web and Database Server shall be maintained and kept
up-to
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