EXHIBIT 10.18
ADVERTISING AND PROMOTION AGREEMENT
This Advertising and Promotion Agreement (the "Agreement") is entered
--------- into as of June 7, 1999 (the "Effective Date") between Yahoo! Inc., a
-------------- Delaware Corporation ("Yahoo") and US SEARCH.com Inc., a Delaware corporation ("1-800 U.S. SEARCH").
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In consideration of the mutual promises contained in this Agreement, Yahoo and 1-800 U.S. SEARCH hereby agree as follows:
1. Definitions.
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The following terms are used in this Agreement with the respective meanings set forth below:
"1-800 U.S. SEARCH Banner Advertisements" means banner advertisements
--------------------------------------- meeting Yahoo's standard requirements and that: (a) promote the products and services of 1-800 U.S. SEARCH, (b) have dimensions no larger than 468 pixels wide by 60 pixels high, (c) do not have "looped" animation, (d) do not have any animation longer than six seconds, (e) have a file size of no greater than 12K, (f) may, at the election of 1-800 U.S. SEARCH, be an "html" banner provided such banners meet Yahoo's standard published specifications located at www.yahoo.com/docs/advertising/ops/banner_html.html, and (g) will permit users - ------------------------------ to navigate directly to a page on the 1-800 U.S. SEARCH dedicated to the online purchase of Public Record Information.
"1-800 U.S. SEARCH Link" means any link placed by Yahoo under this
---------------------- Agreement, including, without limitation, the 1-800 U.S. SEARCH Banner Advertisements, and 1-800 U.S. SEARCH Search Module, Graphic Link, and Functional Text Link.
"1-800 U.S. SEARCH Marks" means all domain names, trademarks and logos
----------------------- (collectively, the "Marks") of 1-800 U.S. SEARCH designated by 1-800 U.S. SEARCH for Yahoo's use in conjunction with Yahoo's performance under this Agreement.
"1-800 U.S. SEARCH Search Module" means a search module that: (a) appears
------------------------------- in a manner substantially similar to the examples set forth in Exhibits A and B,
---------------- (b) contains the 1-800 U.S. SEARCH name, logo or other 1-800 U.S. SEARCH Marks (or any Mark that is a successor company of 1-800 U.S. SEARCH) and (c) contains input fields where a user can designate an individual's name, date of birth, date and/or social security number.
"1-800 U.S. SEARCH Site" means the web site owned or operated by 1-800 U.S.
---------------------- SEARCH currently located at http://www.1800ussearch.com or any sub pages that is dedicated to providing users with online access and the ability to search for Public Record Information.
"Functional Text Link" means a text link that: (a) contains, at 1-800 U.S.
-------------------- SEARCH's option either (1) a 1-800 U.S. SEARCH Mark, without graphic, (or any Mark that is a successor
[*]=Certain information in this exhibit has been omitted and filed separately with the commission. Confidential treatment has been requested with respect to the omitted portions.
company of 1-800 U.S. SEARCH) or (2) a textual reference to the services of 1- 800 U.S. SEARCH relevant to the listing where the link appeared that is mutually agreed to by the parties, (b) is of no more than 21 characters (including spaces), (c) appears in a manner similar to the examples set forth on Exhibits F and G, and (c) permits users to navigate directly to a page on the 1-800 U.S. SEARCH Site dedicated to the online purchase of Public Record Information specific to the listing where the link appeared.
"Graphic Link" shall mean a link that: (a) contains a 1-800 U.S. SEARCH
------------ Mark (or any Mark that is a successor company of 1-800 U.S. SEARCH), (b) has dimensions no larger than 88 pixels wide by 31 pixels high (c) has a maximum file size of less than 2 KB, (d) is accompanied by a text link of no more than twenty-five (25) characters, (e) does not contain animation and (f) permits users to navigate directly to a page on the 1-800 U.S. SEARCH Site dedicated to providing users with online access to and the ability to search for Public Record Information.
"Page View" means a user's request for a page on a world wide web site.
---------
"Public Record Information" includes information about individuals and
------------------------- businesses that is obtained from the records of local, state and federal government agencies and entities and also includes publicly available information from non-government sources.
"Term" means the period beginning on the date this Agreement is fully
---- executed and continuing until January 31, 2001.
"Yahoo Main Site" means Yahoo's principal U.S. based directory to the World
--------------- Wide Web currently located at http://www.yahoo.com.
--------------------
"Yahoo People Search" means Yahoo's U.S. based service that is part of
------------------- Yahoo Main Site and is currently located at http://people.yahoo.com that allows
----------------------- users to search for and access individual telephone numbers and email addresses.
"Yahoo Properties" means any Yahoo branded or co-branded media properties,
---------------- including, without limitation, Internet guides, that are developed in whole or in part by Yahoo or its affiliates.
2. 1-800 U.S. SEARCH Search Module. Subject to Section 5.6 hereof:
-------------------------------
2.1 Yahoo will place a Graphic Link and a 1-800 U.S. SEARCH Search Module
on (a) the top page of Yahoo People Search in a manner substantially
similar to the example set forth in Exhibit A, (b) the page of Yahoo
---------
People Search that results when no listings are returned on a search
query submitted on Yahoo People Search for a telephone listing in a
manner substantially similar to the example set forth on Exhibit B,
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(c) the page of Yahoo People Search that results when no listings are
returned on a search query submitted on Yahoo People Search for an
email address in a manner substantially similar to the example set
forth on Exhibit
-------
C, and (d) the page of Yahoo People Search that results when a user
-
chooses to conduct an advanced email search in a manner substantially
similar to the example set forth on Exhibit D.
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2.2 Yahoo will place a Functional Text Link and a Graphic Link on (a) the
page of Yahoo People Search that results when telephone listings are
returned on a search query submitted on Yahoo People Search for a
telephone listing in a manner substantially similar to the example set
forth on Exhibit E and (b) the page of Yahoo People Search that
---------
results when email listings are returned on a search query submitted
on Yahoo People Search for an email address in a manner substantially
similar to the example set forth on Exhibit F. In addition, a
---------
Functional Text Link will be associated with each result as designated
in (a) and (b) above.
2.3 Yahoo will use all reasonable efforts in a timely fashion (no later
than [*] days from the time Yahoo receives the $2,034,615.28
payment due under Section 8.1) to write to an API provided by 1-800
U.S. SEARCH such that when a user clicks on the Functional Text Link
placed (a) in telephone listings, the first name, last name, city and
state of the individual listing will be populated into the page that
results on the 1-800 U.S. SEARCH Site, provided such information
exists from the Yahoo People Search database and (b) in email
listings, the first name, last name, and addresses of the individual
listing will be populated into the page that results on the 1-800 U.S.
SEARCH Site provided such information exists from the Yahoo People
Search database.
2.4 Each 1-800 U.S. SEARCH Search Module will allow users to search for
information regarding an individual by submitting a query into input
fields in a manner similar to the examples in Exhibits A-D. All search
------------
queries submitted via the 1-800 U.S. SEARCH Search Module shall direct
the user to a page on the U.S. SEARCH Site with the ability to search
for Public Record Information.
3. 1-800 U.S. SEARCH Banner Advertisements. Subject to Section 5.6 hereof:
---------------------------------------
3.1 Yahoo shall place 1-800 U.S. SEARCH Banner Advertisements on certain
directory and keyword search result pages of the Yahoo Main Site
described on Exhibit G.
---------
3.2 All 1-800 U.S. SEARCH Banner Advertisements shall be placed subject to
availability and pursuant to Yahoo's standard insertion orders to be
completed upon execution of this Agreement.
4. Representations and Warranties.
------------------------------
[*]=Certain information on this page has been omitted and filed separately with the commission. Confidential treatment has been requested with respect to the omitted portions.
1-800 U.S. SEARCH represents and warrants that (a) it is in compliance with
all applicable rules and regulations of any and all governmental entities
or agencies of any jurisdiction, (b) it is in compliance with all
applicable laws, rules and regulations of any jurisdiction, including,
without limitation, all federal, state, and local rules and regulations
relating to consumer protection, privacy, the promotion, distribution,
reproduction and sale of any and all material, content, products and
services offered, provided or distributed on the 1-800 U.S. SEARCH Site and
any other applicable laws of any jurisdiction in effect and that may come
into existence during the Term hereof that is material to its business and
the satisfaction of its obligations under this Agreement and (c) there are
no pending or threatened claims, suits, actions or charges against it
alleging any violation of any of rules and regulations referred to in
clauses (a) and (b) above.
5. Implementation.
---------------
5.1 Yahoo will be solely responsible for the user interface and placement
of the 1-800 U.S. SEARCH Links. 1-800 U.S. SEARCH shall promptly
provide Yahoo all URLs, URL formats (as applicable), content, and
other materials necessary for Yahoo to provide the 1-800 U.S. SEARCH
Links. All content and material contained in the 1-800 U.S. SEARCH
Links is subject to Yahoo's approval, such approval shall not be
unreasonably withheld and must comply with all applicable federal,
state and local laws, rules and regulations, including, without
limitation, consumer protection laws and rules and regulations
governing product claims, truth in labeling, and false advertising.
5.2 1-800 U.S. SEARCH hereby grants to Yahoo a non-exclusive, worldwide,
fully paid license to use, reproduce and display the 1-800 U.S. SEARCH
Marks (a) to indicate the location of the 1-800 U.S. SEARCH Links as
set forth herein and (b) in connection with the marketing and
promotion of 1-800 U.S. SEARCH in the Yahoo Properties. Yahoo's use of
the 1-800 U.S. SEARCH Marks is subject to the 1-800 U.S. SEARCH
trademark guidelines set forth in Exhibit K hereto. Yahoo shall not
---------
take any actions inconsistent with 1-800 U.S. SEARCH's ownership of
the 1-800 U.S. SEARCH Marks, and any benefit accruing from use of such
1-800 U.S. SEARCH Marks shall automatically vest in the owner.
5.3 In no event shall the first page on the 1-800 U.S. SEARCH Site to
which users directly click-through from any link placed by Yahoo in
connection with this Agreement, including, without the 1-800 U.S.
SEARCH Links, contain graphic or textual hyperlinks, promotion or
advertising banners relating to [*].
[*] = Certain information on this page has been omitted and filed separately
with the commission. Confidential treatment has been requested with
respect to the omitted portions.
5.4 1-800 U.S. SEARCH shall place a "back to Yahoo" graphic link only on
the first page of the 1-800 U.S. SEARCH Site to which users directly
click-through from any link placed by Yahoo on Yahoo People Search. In
addition, 1-800 U.S. SEARCH shall make reasonable efforts to place a
"back to Yahoo" graphic link on the first page of the 1-800 U.S.
SEARCH Site to which users directly click-through from all other links
placed by Yahoo under this Agreement. In each case, the Yahoo graphic
link shall (a) be placed on the 1-800 U.S. SEARCH Site in a manner
mutually acceptable to 1-800 U.S. SEARCH Site and Yahoo (b) contain
the Yahoo name and logo as provided by Yahoo and (c) directly link the
user back to the front page of Yahoo Main Site Yahoo located at
http://www.yahoo.com or directly to the page from where they
immediately came from. Yahoo hereby grants to 1-800 U.S. SEARCH a non-
exclusive, worldwide, fully paid license to use, reproduce and display
the Yahoo name and logo to indicate the location of the Yahoo graphic
link as set forth herein.
5.5 The 1-800 U.S. SEARCH Site shall provide users the ability to search
from a comprehensive database of Public Record Information. The 1-800
U.S. SEARCH Site shall comply with the scale, speed and performance
requirements consistent with other merchants participating in programs
of similar scope and nature on the Yahoo Main Site.
5.6 Yahoo will place the 1-800 U.S. Search Graphic Links, Search Modules,
Functional Text Links and Banner Advertisements as provided in Section
2.1, 2.2 and 3.1 within [*] business days of receiving the
$2,034,615.28 payment made in accordance with Section 8.1. Yahoo shall
have no obligation to perform under Section 2 or Section 3 prior to
such time.
6. Exclusivity; Right of First Presentation.
-----------------------------------------
6.1 During the Term, Yahoo will not place advertisements on behalf of or
integrate a third party in Yahoo People Search which competes with 1-
800 U.S. SEARCH with respect to any of the following services relating
to individuals and businesses (a) location information, (b) background
checking, (c) compiling of public records information reports, or (d)
verification of status (including, without limitation, any of
entities listed on Exhibit L attached hereto); provided, however, that
if a third party's primary business is not any of or a combination of
the foregoing services, the exclusivity provision set forth in this
Section 6.1 shall be limited to the services, divisions, segments or
subsidiary that provide the competing service.
6.2 1-800 U.S. SEARCH acknowledges that, notwithstanding the limited
exclusivity set forth in Section 6.1, (a) Yahoo shall not be precluded
from incorporating or otherwise advertising or promoting search
services, mapping services, directory
[*] = Certain information on this page has been omitted and filed separately
with the commission. Confidential treatment has been requested with
respect to the omitted portions.
services and other world wide web search services on any Yahoo
Property including Yahoo People Search (subject to the exclusivity set
forth in Section 6.1 above and the terms set forth in Section 6.4
below), (b) Yahoo may honor its current contracts with merchants that
may directly compete with 1-800 U.S. SEARCH, the terms of which
contracts would otherwise constitute a breach of the obligations of
Yahoo, however, Yahoo represents and warrants that neither of
KnowX.com or Information America have any agreements with Yahoo to
promote, advertise or otherwise integrate their services into Yahoo
People Search (c) Yahoo shall not be precluded from including links
(but not advertising and promotional links) to any entity in any
directory, merchant listing or other shopping service or feature on
any Yahoo Property, (d) except as expressly set forth in this
Agreement, Yahoo shall not be restricted from placing advertisements
and promotions for or on behalf of other entities that provide
services similar to that provided on the 1-800 U.S. SEARCH Site,
including without limitation, location services for individuals and
businesses, public records reports, verification and background check
services and conducting its normal course of business with such
entities on any Yahoo Property other than Yahoo People Search.
6.3 In the event that Yahoo intends to create, develop or otherwise make
available a new advertising opportunity that integrates a third party
public records search module for Public Records Information similar in
scope and nature to the 1-800 U.S. SEARCH Module described in this
Agreement on a site directed to a U.S. audience that is solely "Yahoo"
branded, maintained, controlled and hosted by Yahoo, Yahoo agrees that
1-800 U.S. SEARCH will have a right of first presentation to purchase
this program prior to Yahoo presenting to any other party for a period
of [*] days. Yahoo will deliver to 1-800 U.S. SEARCH a written
notice describing Yahoo's reasonable business requirements for the
opportunity. If 1-800 U.S. SEARCH declines to commence good faith
negotiations within the aforementioned [*] days period of
receiving such written notice by Yahoo, or if the parties fail to
reach agreement within [*] days following the commencement of
good faith negotiations (or such later date as is agreed by the
parties) Yahoo may offer the program to any other parties.
6.4 In the event that Yahoo elects to develop its own Public Records
Information search service that includes the same level of information
offered by 1-800 U.S. SEARCH on the 1-800 U.S. SEARCH Site, and Yahoo
intends to integrate such service into Yahoo People Search, Yahoo will
provide to 1-800 U.S. SEARCH written notice of such intent (a) [*]
days prior to integrating such service into Yahoo People Search if the
date of the notice is within the first six (6) months from the
Effective Date and (b) [*] days prior to integrating such service into
Yahoo People Search if the date of the notice is after the first six
(6) months from the Effective Date. 1-800 U.S. SEARCH shall
[*] = Certain information on this page has been omitted and filed separately
with the commission. Confidential treatment has been requested with
respect to the omitted portions.
have the right to terminate this Agreement upon [*] days
written notice to Yahoo; provided that (1) 1-800 U.S. SEARCH must
provide notice of termination no later than [*] days after
the date of Yahoo's notice to 1-800 U.S. SEARCH and (2) 1-800 U.S.
SEARCH is current with all payments that are due prior to the date of
termination. Upon any such termination, 1-800 U.S. SEARCH shall be
given a "pro rata credit" to be applied by 1-800 U.S. SEARCH towards
the cost of advertising on areas of any Yahoo U.S. Based Properties
that both parties mutually agreed upon where standard advertising and ...
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