SPRINT COMMUNICATIONS COMPANY, L.P.
ALAMOSA PCS, LLC
December 6, 1999
SPRINT TRADEMARK AND
SERVICE MARK LICENSE AGREEMENT
THIS AGREEMENT is made as of the 6th day of December, 1999, by and between SPRINT COMMUNICATIONS COMPANY, L.P., a Delaware limited partnership, as licensor ("Licensor ), and ALAMOSA PCS, LLC, a Delaware limited liability company, as
licensee ("Licensee"). THE DEFINITIONS FOR THIS AGREEMENT ARE SET FORTH ON THE "SCHEDULE OF DEFINITIONS."
RECITALS:
WHEREAS, Licensor is the owner of the U.S. trademarks and service marks "Sprint", together with related "Diamond" logo, "Sprint PCS", "Sprint Personal Communications Services" and the goodwill of the business symbolized thereby; and
WHEREAS, Licensee desires to use the trademarks and service marks in commerce;
NOW, THEREFORE, the parties, in consideration of the mutual agreements herein contained and for other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, do hereby agree as follows:
ARTICLE 1
GRANT OF TRADEMARK AND SERVICE MARK RIGHTS; EXCLUSIVITY
Section 1.1. License.
(a) Grant of License. Subject to the terms and conditions hereof,
Licensor hereby grants to Licensee, and Licensee hereby
accepts from Licensor, for the term of this agreement, a
non-transferable, royalty-free license to use the Licensed
Marks solely for and in connection with the marketing,
promotion, advertisement, distribution, lease or sale of
Sprint PCS Products and Services and Premium and Promotional
Items in the Service Area.
(b) Related Equipment. The rights granted hereunder to Licensee
shall not include the right to manufacture equipment under the
Licensed Marks. However, subject to the terms and conditions
hereof, Licensor hereby grants to Licensee, and Licensee
hereby accepts from Licensor, for the term of this agreement,
a non-transferable, royalty-free license to market, promote,
advertise, distribute and resell and lease Related Equipment
in connection with the marketing, promotion, advertisement,
distribution, lease or sale by Licensee of Sprint PCS Products
and Services, and to furnish services relating to such Related
Equipment (including installation, repair and maintenance of
Related Equipment), under the Licensed Marks.
ARTICLE 2
QUALITY STANDARDS, MAINTENANCE
Section 2.1. Maintenance of Quality.
(a) Adherence to Quality Standards. In the course of marketing,
promoting, advertising, distributing, leasing and selling
Sprint PCS Products and Services and Premium and Promotional
Items under the Licensed Marks, Licensee shall maintain and
adhere to standards of quality and specifications that conform
to or exceed those quality standards and technical and
operational specifications adopted and/or amended in the
manner provided below
("Quality Standards") and those imposed by Law. Such Quality
Standards are designed to ensure that the quality of the
Sprint PCS Products and Services and Premium and Promotional
Items marketed, promoted, advertised, distributed, leased and
sold under the Licensed Marks are consistent with the high
reputation of the Licensed Marks and are in conformity with
applicable Laws.
(b) Establishment of Quality Standards. The parties acknowledge
that the initial Quality Standards for the Sprint PCS Products
and Services and Premium and Promotional Items are attached to
the Affiliation Agreement as Exhibits 4.1, 4.2, 4.3, 7.2, and
8. 1. The Quality Standards shall (i) be consistent with the
reputation for quality associated with the Licensed Marks and
(ii) be commensurate with a high level of quality (taking into
account Licensee's fundamental underlying technology and
standards), consistent with the level of quality being offered
in the market for products and services of the same kind as
the Sprint PCS Products and Services.
(c) Changes in Quality Standards. In the event that Licensor
wishes to change the Quality Standards, it will notify
Licensee in writing of such proposed amendments, and will
afford Licensee a reasonable time period in which to adopt
such changes as may be required in order for Licensee to
conform to the amended Quality Standards.
Section 2.2. Rights of Inspection. In order to ensure that the Quality Standards are maintained, Licensor and its authorized agents and representatives shall have the right, but not the obligation, with
prior notice to Licensee, to enter upon the premises of any office or facility operated by or for Licensee with respect to Sprint PCS Products and Services and Premium and Promotional Items at all reasonable times, to inspect, monitor and test in a reason
a
ble manner facilities and equipment used to furnish Sprint PCS Products and Services and Premium and Promotional Items and, with prior written notice to Licensee, to inspect the books and records of Licensee in a manner that does not unreasonably interfer
e with the business and affairs of Licensee, all as they relate to the compliance with the Quality Standards maintained hereunder.
Section 2.3. Marking Compliance with Trademark Laws. Licensee shall cause the appropriate designation "(TM)" or "(sm
)" or the registration symbol "(R)" to be placed adjacent to the Licensed Marks in connection with the use thereof and to indicate such additional information as Licensor shall reasonably specify from time to time concerning the license rights under which
Licensee uses the Licensed Marks. Licensee shall place the following notice on all printed or electronic materials on which the Licensed Marks appear: "SPRINT", the "DIAMOND" logo and "Sprint PCS", "Sprint Personal Communications Services" are trademarks
and/or service marks of Sprint Communications Company, L.P., "used under license" or such other notice as Licensor may specify from time to time.
Section 2.4. Other Use Restrictions. Licensee shall not use the Licensed Marks in any manner that would reflect adversely on the image of quality symbolized by the Licensed Marks.
SPRINT PROPRIETARY INFORMATION - RESTRICTED
ARTICLE 3
CONFIDENTIAL INFORMATION
Section 3.1. Maintenance of Confidentiality. Each of Licensor and Licensee and their respective Controlled Related Parties (each a "Restricted Party") shall cause their respective officers and directors (in their capacity as such) to, and shall take all
reasonable measures to cause their respective employees, attorneys, accountants, consultants and other agents and advisors (collectively, and together with their respective officers and directors, "Agents") to keep secret and maintain in confidence the te
r
ms of this agreement and all confidential and proprietary information and data of the other party or its Related Parties disclosed to it (in each case, a "Receiving Party") in connection with the performance of its obligations under this agreement (the "C
o
nfidential Information") and shall not, and shall cause their respective officers and directors not to, and shall take all reasonable measures to cause their respective other Agents not to, disclose Confidential Information to any Person other than the pa
r
ties, their Controlled Related Parties and their respective Agents that need to know such Confidential Information. Each party further agrees that it shall not use the Confidential Information for any purpose other than determining and performing its obli
g
ations and exercising its rights under this agreement. Each party shall take all reasonable measures necessary to prevent any unauthorized disclosure of the Confidential Information by any of their respective Controlled Related Parties or any of their res
p
ective Agents. The measures taken by a Restricted Party to protect Confidential Information shall be not deemed unreasonable if the measures taken are at least as strong as the measures taken by the disclosing party to protect such Confidential Informatio
n.
Section 3.2. Permitted Disclosures. Nothing herein shall prevent any Restricted Party or its Agents from using, disclosing, or authorizing the disclosure of Confidential Information it receives and which:
(i) has been published or is in the public domain, or which
subsequently comes into the public domain, through no fault of
the receiving party;
(ii) prior to receipt hereunder was property within the legitimate
possession of the Receiving Party or, subsequent to receipt
hereunder is lawfully received from a third party having
rights therein without restriction of the third party's right
to disseminate the Confidential Information and without notice
of any restriction against its further disclosure.
(iii) is independently developed by the Receiving Party through
Persons who have not had, either directly or indirectly,
access to or knowledge of such Confidential Information;
(iv) is disclosed to a third party with the written approval of the
party originally disclosing such information, provided that
such Confidential Information shall cease to be confidential
and proprietary information covered by this agreement only to
the extent of the disclosure so consented to;
(v) subject to the Receiving Party's compliance with Section 3.4
below, is required to be produced under order of a court of
competent jurisdiction or other similar requirements of a
governmental agency, provided that such Confidential
Information to the extent covered by a protective order or its
equivalent shall otherwise continue to be Confidential
Information required to be held confidential for purpose of
this agreement; or
SPRINT PROPRIETARY INFORMATION - RESTRICTED
(vi) subject to the Receiving Party's compliance with Section 3.4
below, is required to be disclosed by applicable Law or a
stock exchange or association on which such Receiving Party's
securities (or those of its Related Party) are listed.
Section 3.3. Financial Institutions. Notwithstanding this Article 3, any party may provide Confidential Informatio
n to any financial institution in connection with borrowings from such financial institution by such party or any of its Controlled Related Parties, so long as prior to any such disclosure such financial institution executes a confidentiality agreement th
at provides protection substantially equivalent to the protection provided the parties in this Article 3.
Section 3.4. Procedures. In the event that any Receiving Party (i) must disclose Confidential Information in order to comply with applicable
Law or the requirements of a stock exchange or association on which such Receiving Party's securities or those of its Related Parties are listed or (ii) becomes legally compelled (by oral questions, interrogatories, requests for information or documents,
s
ubpoenas, civil investigative demand or otherwise) to disclose any Confidential Information, the Receiving Party shall provide the disclosing party with prompt written notice so that in the case of clause (i), the disclosing party can work with the Receiv
i
ng Party to limit the disclosure to the greatest extent possible consistent with legal obligations or in the case of clause (ii), the disclosing party may seek a protective order or other appropriate remedy or waive compliance with the provisions of this
a
greement. In the case of a clause (ii), (A) if the disclosing party is unable to obtain a protective order or other appropriate remedy, or if the disclosing party so directs, the Receiving Party shall, and shall cause its employees to, exercise all commer
c
ially reasonable efforts to obtain a protective order or other appropriate remedy at the disclosing party's reasonable expense, and (B) failing the entry of a protective order or other appropriate remedy or receipt of a waiver hereunder, the Receiving Par
t
y shall furnish only that portion of the Confidential Information which it is advised by opinion of its counsel is legally required to be furnished and shall exercise all commercially reasonable efforts to obtain reliable assurance that confidential treat
ment shall be accorded such Confidential Information, it being understood that such reasonable efforts shall be at the cost and expense of the disclosing party whose Confidential Information has been sought.
Section 3.5. Survival. The obligations
under this Article 3 shall survive, as to any party, until two (2) years following the date of termination of this agreement, and, as to any Controlled Related Party of a party, until two (2) years following the earlier to occur of (A) the date that such
P
erson is no longer a Controlled Related Party of a party, or (B) the date of the termination of this agreement; ]provided that such obligations shall continue indefinitely with respect to any trade secret or similar information which is proprietary to a p
arty or its Controlled Related Parties and provides such party or its Controlled Related Parties with an advantage over its competitors.
ARTICLE 4
REPRESENTATIONS, WARRANTIES AND COVENANTS OF LICENSEE
Section 4.1. Licensor's Ownership. Licensee acknowledges Licensor's exclusive right, title and interest in and to the Licensed Marks and acknowledges that nothing herein shall be construed to accord to Licensee any rights in the Service Area in the L
i
censed Marks except as expressly provided, herein. Licensee acknowledges that its use in the Service Area of the Licensed Marks shall not create in Licensee any right, title or interest in the Service Area in the Licensed Marks and that all use in the Ser
vice Area of the Licensed Marks and the goodwill symbolized by and connected with such use of the Licensed Marks will inure solely to the benefit of the Licensor.
SPRINT PROPRIETARY INFORMATION - RESTRICTED
Section 4.2. No C
hallenge by Licensee. Licensee covenants that (i) Licensee will not at any time challenge Licensor's rights, title or interest in the Licensed Marks (other than to assert the specific rights granted to Licensee under this agreement), (ii) Licensee will no
t
do or cause to be done or omit to do anything, the doing, causing or omitting of which would contest or in any way impair or tend to impair the rights of Licensor in the Licensed Marks, and (iii) Licensee will not represent to any third party that Licens
ee has any ownership or rights in the Service Area with respect to the Licensed Marks other than the specific rights conferred by this agreement.
ARTICLE 5
REPRESENTATIONS, WARRANTIES AND COVENANTS OF LICENSOR
Section 5.1. Title to the Licensed Marks. Licensor represents and warrants that:
(a) Licensor has good title to the Licensed Marks and has the
right to grant the licenses provided for hereunder in
accordance with the terms and conditions hereof, free of any
liabilities, charges, liens, pledges, mortgages, restrictions,
adverse claims, security interests, rights of others, and
encumbrances of any kind (collectively, "Encumbrances"), other
than Encumbrances which will not restrict or interfere in any
material respect with the exercise by Licensee of the rights
granted to Licensee hereunder.
(b) There is no claim, action, proceeding or other litigation
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