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3 <br />Rev. 101019 <br />invoiced upon execution of the applicable Order Form by Kronos and Customer. Unless otherwise indicated <br />on an Order Form, payment for all items shall be due 30 days following date of invoice. All payments shall <br />be sent to the attention of Kronos as specified on the invoice. Except as expressly set forth in this Agreement, <br />all amounts paid to Kronos are non-refundable. Customer is responsible for all applicable federal, state, <br />country, provincial or local taxes relating to the goods and services provided by Kronos hereunder (including <br />without limitation GST and/or VAT if applicable), excluding taxes based on Kronos’ income or business <br />privilege. <br />3.2 If any amount owing under this or any other agreement between the parties is thirty (30) days or more <br />overdue, Kronos may, without limiting Kronos’ rights or remedies, suspend Services until such amounts are <br />paid in full. Kronos will provide at least seven (7) days prior written notice that Customer’s account is <br />overdue before suspending Services. <br />3.3 At the later of (i) one (1) year after the effective date of this Agreement, or (ii) expiration of the Initial <br />Term, and at each annual anniversary of that date thereafter, Kronos may increase the Monthly Service Fee <br />rates in an amount not to exceed four percent (4%). The increased Monthly Service Fees will be reflected in <br />the monthly invoice following the effective date of such increase without additional notice. For renewals <br />based on the Annual in Advance Billing Frequency, Kronos will provide Customer with the renewal invoice <br />prior to commencement of the Renewal Term and payment will be made by Customer in accordance with <br />the payment terms agreed upon with Customer for the Initial Term. <br /> <br />4. RIGHTS TO USE <br />4.1 Subject to the terms and conditions of the Agreement, Kronos hereby grants Customer a limited, <br />revocable, non-exclusive, non-transferable, non-assignable right to use during the Term and for internal <br />business purposes only: a) the Applications and related services, including the Documentation; b) training <br />materials and KnowledgePass Content; and, c) any embedded third party software, libraries, or other <br />components, which form a part of the Services. The Services contain proprietary trade secret technology of <br />Kronos and its Suppliers. Unauthorized use and/or copying of such technology are prohibited by law, <br />including United States and foreign copyright law. Customer shall not reverse compile, disassemble or <br />otherwise convert the Applications or other software comprising the Services into uncompiled or <br />unassembled code. Customer shall not use any of the third party software programs (or the data models <br />therein) included in the Services except solely as part of and in connection with the Services. The JBoss® <br />Enterprise Middleware components of the Service are subject to the end user license agreement found at <br />http://www.redhat.com/licenses/jboss_eula.html Customer acknowledges that execution of separate third <br />party agreements may be required in order for Customer to use certain add-on features or functionality, <br />including without limitation tax filing services. <br />4.2 Customer acknowledges and agrees that the right to use the Applications is limited based upon the <br />amount of the Monthly Service Fees paid by Customer. Customer agrees to use only the modules and/or <br />features for the number of employees and users as described on the Order Form. Customer agrees not to use <br />any other modules or features nor increase the number of employees and users unless Customer pays for such <br />additional modules, features, employees or users, as the case may be. Customer may not license, relicense <br />or sublicense the Services, or otherwise permit use of the Services (including timesharing or networking use) <br />by any third party. Customer may not provide service bureau or other data processing services that make use <br />of the Services without the express prior written consent of Kronos. No license, right, or interest in any <br />Kronos trademark, trade name, or service mark, or those of Kronos’ licensors or Suppliers, is granted <br />hereunder. <br />4.3 Customer may authorize its third party contractors and consultants to access the Services through <br />Customer’s administrative access privileges on an as needed basis, provided Customer: a) abides by its <br />obligations to protect Confidential Information as set forth in this Agreement; b) remains responsible for all <br />such third party usage and compliance with the Agreement; and c) does not provide such access to a <br />competitor of Kronos who provides workforce management services. <br />4.4 Customer acknowledges and agrees that, as between Customer and Kronos, Kronos retains ownership <br />of all right, title and interest to the Services, all of which are protected by copyright and other intellectual <br />property rights, and that, other than the express rights granted herein and under any other agreement in writing <br />with Customer, Customer shall not obtain or claim any rights in or ownership interest to the Services or <br />Applications or any associated intellectual property rights in any of the foregoing. Customer agrees to <br />comply with all copyright and other intellectual property rights notices contained on or in any information <br />obtained or accessed by Customer through the Services. <br />4.5 When using and applying the information generated by the Services, Customer is responsible for ensuring <br />that Customer complies with applicable laws and regulations. If the Services include the Workforce Payroll <br />Applications or Workforce Absence Management Applications: (i) Customer is solely responsible for the