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CM-2024-192 - 7/5/2024 1 Enterprise Subscription Agreement Business Package This Enterprise Subscription Agreement – Business Package (the “Agreement”) is entered into on , by and between Artlist Ltd., a company incorporated under the laws of the State of Israel, having its principal offices at 20 Ahad Ha’am, Tel Aviv, Israel (“Artlist”), and City of Round Rock, a company incorporated under the laws of Round Rock, Texas, having its principal offices at 221 East Main Street, Round Rock, Texas 78664, United States (“ The Customer”). Artlist and The Customer shall also be known, each as a “Party” and collectively as the “Parties”. WHEREAS, Artlist offers certain rights to use songs, sound effects, clips, footage, animation, 3D and video templates available in Artlist’s website. WHEREAS, Artlist offers certain rights to use certain digital media files and plug-ins available in Motion Array website. WHEREAS, The Customer desires to purchase a Subscription (as defined below) for usage in multiple seats and with additional services and further special terms as described below. WHEREAS, Artlist is willing to grant to The Customer the rights under the terms described below. NOW THEREFORE, in consideration of the mutual promises contained herein, and intending to be legally bound, the Parties hereto hereby declare and agree as follows: 1.Definitions In this Agreement, the following words and expressions shall have the meaning described below: 1.1. “The Assets” – shall mean copies of the assets as described in the Order Form (as defined below). 1.2. “Business Package Services” – access to the Websites and the catalogue of The Assets presented thereon under The Plan described in the Order Form, including the search engine, the curated collections, personalized content suggestion features and all other services provided on the Websites from time to time, as well as premium customer success and dedicated account manager, as determined by Artlist from time to time which shall be provided by Artlist during the Subscription Period. 1.3. “Order Form” – a mutually agreed order form signed by the parties as of the date hereof or thereafter. 1.4. “Project” – means an audio-visual production created by or on behalf of The Customer, combining sound and visual media, which incorporate any of The Assets. DocuSign Envelope ID: 0A9CB243-8D98-455E-A6F4-A5D90C77A2E0 CM-2024-185 2 1.5. “Right to Use” – the rights granted to The Customer to access, download and use The Assets as further detailed in this Agreement and in the Order Form. 1.6. “Start Date”; “Subscription Period”; “Payment Terms”; “The Plan” – each as set forth in the applicable Order Form. 1.7. “Websites” – www.artlist.io; www.motionarray.com. 2.Subscription 2.1. Subscription. The Parties may enter into one or more Order Form(s), pursuant to which The Customer may purchase a subscription to access and use the Business Package Services and the Right to Use, all subject to this Agreement (each a “Subscription”). The Business Package Services are subject to modifications from time to time at Artlist’s sole discretion, provided that such modifications shall not result in a material degradation to the features or functions of The Business Package Services. 2.2. Right to Use. Artlist hereby grants to The Customer, subject to the payment of the Fees (as defined below), a non-exclusive, non-transferable, worldwide right, subject to the terms of this Agreement, to access, download and use The Assets in order (i) to incorporate, integrate and/or synchronize any item of The Assets into any Projects, (ii) to present, display and/or play in public and/or distribute, copy and reproduce The Assets together with and as an integral part of a Project in all existing means of media, including TV, internet sites, social networks and video sharing platforms, and (iii) to transfer, assign, sell any Projects to affiliates and third parties, allowing them to use the Projects subject to the terms of this Agreement. 2.3. The Right to Use granted under this Agreement only permits The Customer to use The Assets for the purpose of editing it and incorporating, integrating and/or synchronizing it into a Project and publishing The Assets together with and as part of a Project, as detailed in Section 2.2. For example, it does not permit The Customer to create any cover version of any item (including the tune and/or lyrics in) of The Assets. 2.4. Number of Users. The Customer will be entitled to allow up to the number of users described in the Order Form to access The Customer’s account with Artlist subject to the Right to Use granted hereunder (“The Customer Users”). The Right to Use granted under this Agreement does not limit the number of Projects in which The Customer may use The Assets. The Customer Users are only allowed to use The Assets under the terms of this Agreement and for the creation of Projects for and on behalf of The Customer and not for any other purposes, such as for its own personal or commercial needs. 2.5. Entity and Relevant Department. The rights granted under this Agreement are solely to be used by the legal entity described as The Customer in this Agreement and in the Order Form. In addition, only the department/group/area of The Customer as described in the Order Form (“Department”) shall receive access to the rights granted under this Agreement. DocuSign Envelope ID: 0A9CB243-8D98-455E-A6F4-A5D90C77A2E0 3 Notwithstanding the above, the Projects are The Customer’s property and, therefore, can be assigned, transferred, and shared with any third parties by The Customer. 2.6. PRO Payments. For the avoidance of doubt, the Right to Use does not exempt The Customer from its obligations to pay any accruing remuneration or royalties for the public reproduction of The Assets as part of any Project or any mechanical rights thereto, including any remuneration that might be charged by collecting societies (“PRO Royalties”).Accordingly, The Customer shall be solely liable for the payment of any such PRO Royalties and will not demand any such payment or reimbursement from Artlist. 2.7. Non-Exclusive. The Right to Use granted under this Agreement is non-exclusive, meaning that all The Assets will be open for the use by others who have subscribed to or otherwise have access to the Websites or who engage in any other manner with Artlist. Accordingly, nothing in this Agreement shall limit Artlist in any manner from selling and/or transferring and/or granting licenses to use The Assets, in whole or in part, to third parties, at its sole discretion. The Customer hereby undertakes not to claim ownership of any of The Assets and shall not register any Project containing The Assets under YouTube content identification, Facebook Rights Manager or other similar copyrights registrations. Notwithstanding the above, The Customer is permitted to monetize any Project created and published during the Subscription Period under social networks; Artlist will clear such Projects to allow monetization, subject to the Customer providing Artlist with the Project URL on the Customer's account settings. 2.8. Changes in the Catalogue. Artlist is entitled, at its sole discretion, to remove any assets from its Websites at its sole discretion. In addition, Artlist is entitled to cancel the Subscription with regards to any of The Assets that it removes from its Websites if, to Artlist understanding, the relevant assets: (i) are involved with or becomes subject to a claim of infringement of intellectual property rights; or (ii) become illegal or contrary to applicable rule, regulation, guideline or request of any regulatory authority. If, by the time of Artlist’s removal of assets as set out above, the relevant assets have already been incorporated, integrated and/or synchronized by The Customer into a Project, The Customer may continue to use such Project. 2.9. Duration of the Right to Use. The Right to Use granted under this Agreement provides The Customer with access to The Assets only during the Subscription Period, subject to earlier termination of this Agreement pursuant to Section 12 below. Without derogating from the above, subject to the Right to Use granted under this Agreement, it is hereby clarified that The Customer will be allowed to use any Project in perpetuity, provided that The Assets have been incorporated, into the relevant Project during the Subscription Period. 3. Limitations of Use DocuSign Envelope ID: 0A9CB243-8D98-455E-A6F4-A5D90C77A2E0 4 The use of The Assets granted under this Agreement is only for the Projects as detailed in Section 2 above, therefore, The Customer may not: (i) use The Assets as separate files and/or present them as separate files and/or make them available for download as separate files, in any manner whatsoever; (ii) sell, transfer, share and/or give license to use and/or allow others to record anew or present and/or perform in public, copy, reproduce and/or distribute in any manner The Assets (as a whole or a part) as stand-alone package, whether for any consideration or for no consideration; (iii) use or enable the use by others of The Assets in order to provide service which competes with Artlist. 4.Forbidden Uses It is forbidden to use The Assets in any manner which (i) is illegal and/or contrary to court orders; (ii) may damage Artlist or its’ reputation; (iii) that violates the rights of third parties, and/or (iv) inclusive of as part of The Project, in context of promotion or encouragement of violence, pornography and abomination, racism, hate and discrimination against any person or based on race, religion, sex, sexual orientation, community or nationality, threats, hurting the helpless, violating privacy, slander and any other insulting contents. 5.Payments 5.1. In consideration for the Subscription , The Customer shall pay Artlist a fee per Subscription Period in the amount and manner set forth in the Order Form, (the “Fees”), subject to Section 5.2. 5.2. Artlist will invoice The Customer and The Customer will pay the Fees via bank transfer to Artlist’s account as detailed in the invoice in accordance to the Payment Terms described in the applicable Order Form 5.3. The Customer agrees to pay any and all applicable taxes, fees and duties that may be levied in connection with The Customer’s use of The Assets and or with the payment of the Fees and The Customer hereby undertakes to reimburse Artlist for any taxes actually paid by Artlist on behalf of The Customer and/or anyone on his behalf. All sums payable under this Agreement shall be made in the currency described in the Order Form. 6.Warranties and Representations 6.1. Except as expressly set forth in this Agreement, Artlist hereby represents and warrants that it is fully entitled to grant the Subscription , including the Rights to Use The Assets whether by virtue of being the proprietor of The Assets or by being authorized to administer the copyrights in The Assets and grant rights to use it according to terms of this Agreement. 6.2. The Customer hereby represents and warrants that it is authorized to sign and enter this Agreement and by executing this agreement The Customer is bound by all undertakings in this Agreement. DocuSign Envelope ID: 0A9CB243-8D98-455E-A6F4-A5D90C77A2E0 5 6.3. The Assets are provided for use ‘AS IS’ and ‘AS AVAILABLE’ and The Customer will have no argument, claim, or demand towards Artlist regarding their suitability for The Customer’s needs or for their properties, except as set forth in Section 6.1 above. 6.4. Artlist will not bear any liability whatsoever with regards to the use of any contents which are not part of The Asset and that are provided by third parties to The Customer, which The Customer may integrate in a Project and The Customer will solely bear liability for such use. 7. Intellectual property rights 7.1. As between The Customer and Artlist, The Assets and contents contained therein, inclusive of text, illustrations, graphics, sound, graphic segments, software applications, graphs and photos are protected by copyrights and intellectual property rights of Artlist or of other suppliers and will remain its or their sole property. 7.2. The Customer is forbidden from using Artlist’s names, trademarks, service marks, trade names or services, or logos, including the Websites names and trademarks and logos which are in the Websites and or in The Assets, except for giving credit to Artlist for The Assets at its discretion. 7.3. The Customer hereby declares and confirms that The Customer does not and will not have any ownership and/or intellectual property rights in the recordings and/or in The Assets or the Websites' trademarks and design, and that The Customer’s right is restricted to the Right to Use and rights granted in this Agreement. 7.4. As between The Customer and Artlist, all intellectual property rights in each Party’s trademarks, service marks, trade names or services, or logos will remain the sole property of the relevant Party. Notwithstanding the above, The Customer consents to Artlist's use of The Customer's name and logo in written and oral presentations, advertising, marketing and PR materials, professional lists and websites for Artlist’s promotional and marketing purposes. 8. Indemnification 8.1. Artlist will indemnify, defend, and hold The Customer harmless from any liabilities, damages, judgment, awards, losses, costs and expenses (including reasonable attorneys’ fees) (“Losses”) arising out of any third-party claims alleging The Customer use of The Assets infringes or violates any third-party intellectual property rights. This Section 9.1 will not apply to any claim that arises from any use of The Assets which is not permitted under this Agreement or violates any terms hereunder. 8.2. The Customer will indemnify, defend, and hold Artlist harmless from any Losses in connection with The Customer’s use of The Assets beyond and/or in contradiction to the rights granted under this Agreement or resulting from The Customer’s violation of the terms of this Agreement. 8.3. The Customer hereby agrees that any unauthorized use by The Customer or by The Customer Users of any of The Assets or in a manner deviating from the Right to Use, constitute a material DocuSign Envelope ID: 0A9CB243-8D98-455E-A6F4-A5D90C77A2E0 6 breach of this Agreement. Accordingly, and without derogating from The Customer’s indemnification obligations above, Artlist will be entitled to exercise all rights and remedies available to it by law in such case. 8.4. Without derogating from the above, Artlist will be entitled, at its exclusive discretion, to block The Customer’s access to The Assets, temporarily or permanently, in case The Customer or any of The Customer Users violates applicable law or any material terms of this Agreement, and The Customer will have no claim or demand regarding losses resulting from such loss of access to The Assets. 9. Limitation of Liability. To the extent permitted by applicable law, except with respect to (i) fraud, willful misconduct, or gross negligence, or (ii) violation of Parties obligations under Sections 4 (Forbidden Uses), 7 (Intellectual Property Rights) and 10 (Confidentiality), each party’s entire liability arising out of or in connection with this Agreement, will not exceed the amount of the Fees , and neither party will be liable for any indirect, incidental, punitive, special or consequential damages, or for any loss of data or loss of profits, even if such damages or losses could have been foreseen or prevented. 10. Confidentiality. 10.1. Except as allowed under Section 7.4 above, The Parties will keep the terms of this Agreement and the engagement between the Parties confidential and will not disclose any part of it to any third party except to its affiliates, consultants and third-party contractors (including financial advisors, accountants and attorneys) who are acting on behalf of The Parties and are bound by non-disclosure commitments. 11. Subscription Period & Termination. 11.1. Subscription Period. Unless terminated pursuant to Sections 11.3 and 11.4 below, this Agreement shall be in effect as of the date it is signed by both parties and as long as an Order Form is in effect. Each Order Form shall be in effect during each applicable Subscription Period set forth in the relevant Order Form and each Order Form shall renew for similar successive periods, unless either party provides written notice of non-renewal, sent to the other party at least 30 (thirty) days before the end of the Subscription Period then in effect. 11.2. Fees Adjustment. The Fees set forth in each Order Form will be effective until the end of the relevant Order Forms’ Subscription Period. Thereafter, Artlist reserves the right to adjust the billing methods and raise the Fees by seven percent (7%) at the start of each new Subscription Period. The Customer acknowledges and agrees that it will be invoiced for the applicable Fees for the coming Subscription Period and shall pay any such Fees in accordance with this Agreement. 11.3. Termination for Breach. Either party may terminate this Agreement, immediately upon written notice, if the other party materially breaches this Agreement and the breach (a) remains uncured DocuSign Envelope ID: 0A9CB243-8D98-455E-A6F4-A5D90C77A2E0 7 thirty (30) days after the date the breaching party receives written notice from the other party describing the breach and requiring it to be cured; or (b) is incapable of being cured. 11.4. Termination for Insolvency. Either party may terminate this Agreement, immediately upon written notice, if (a) the other party enters into a composition with its creditors; (b) a court order is made for the winding up of the other party; (c) an effective resolution is passed for th e winding up of the other party, other than for the purposes of amalgamation or reconstruction; (d) the other party has a receiver, manager, administrative receiver or administrator appointed with respect to it; (e) the other party ceases to be able to pay its debts as they fall due; or (f) the other party takes or suffers any action similar to any of the above on account of debt. 11.5. Effects of Expiration and Termination. 11.5.1. In any event of early termination for a material breach by The Customer, The Customer will not be entitled to any refund whatsoever for the Fees. 11.5.2. Sections 5 (with respect to any Fees that accrue during the Subscription Period), 6, 7, 8, 9, 10, 11 and 12 will survive any expiration or termination of this Agreement. 12.Miscellaneous 12.1. The Parties are independent contractors. Neither Party is an employee, agent, co-venturer or legal representative of the other Party for any purpose. 12.2. Neither this Agreement, nor any rights or obligations hereunder, may be assigned or otherwise transferred without the prior written consent of the other party, except that either Party may assign this Agreement to an entity (including affiliate) that controls or acquires all or substantially all of its stock or assets. Any other attempted assignment or transfer will be void. 12.3. This Agreement contains the entire understanding and agreement between the Parties, and supersedes any prior agreements between the parties, in each case with respect to the subject matter hereof. Any terms and conditions, policies, or other documents that may be introduced or presented after the signing of this agreement shall not be binding upon the parties unless expressly agreed to and signed by both parties. If either party fails to sign additional terms or conditions, policies, or documents, they will not be bound by them. Any attempt to impose such terms or conditions without the signature of both parties will be considered null and void. For the avoidance of doubt, signature under this section shall only be considered valid if done through Docusign or wet ink. 12.4. This Agreement may not be modified or amended except in a writing signed by both Parties. No term or provision of this Agreement will be deemed waived, and no breach excused, unless such waiver or consent is in writing. No waiver or consent, whether expressed or implied, will constitute a waiver of, consent to or excuse for any other different or subsequent breach. 12.5. This Agreement shall be governed by and construed in accordance with the substantive laws of the State of New York without giving effect to its principle or rules of conflicts of laws. DocuSign Envelope ID: 0A9CB243-8D98-455E-A6F4-A5D90C77A2E0 8 Any dispute arising under or in relation to this Agreement shall be resolved in the competent court in the State of New York, N.Y., USA only, and each of the parties hereby submits irrevocably to the exclusive jurisdiction of such court. 12.6. The Parties may execute this Agreement in counterparts, including facsimile, PDF and other electronic copies, which taken together will constitute one instrument. [Signature Page follows] DocuSign Envelope ID: 0A9CB243-8D98-455E-A6F4-A5D90C77A2E0 9 [Signature Page Enterprise Subscription Agreement – Business Package with City of Round Rock] In the witness thereof: [8p97hh9_____________________] [zab47u1_____________________] The Customer Artlist By: [g1c7jhv_____________________] By: [ih443o7_____________________] Date: [3076i35_________] Date: [l8sj3hq_________] DocuSign Envelope ID: 0A9CB243-8D98-455E-A6F4-A5D90C77A2E0 Noa Zabar 07/02/2024 City Manager 07/05/2024 10 Order Form The Customer Information Artlist Information Company Name (“The Customer”): City of Round Rock Artlist Ltd. (“Artlist”) Department: Marketing Communications Billing Address: 221 East Main Street, Round Rock, Texas 78664, United States 20 Ahad Ha’am St., Tel Aviv, Israel Admin email: aellington@roundrocktexas.gov Billing Contact: Austin Ellington Billing Email: aellington@roundrocktexas.gov VAT No. (if applicable): Business Contact: Austin Ellington Artlist Contact Name: Semere Desta Business Email: aellington@roundrocktexas.gov Artlist Contact Email: semere.d@artlist.io Order Details The Plan: Enterprise Business Package – Motion Array The Assets: the digital media files and plug-ins, offered on www.motionarray.com The Customer Users (# of seats): 5 users to www.motionarray.com Subscription Period (in months): 12 Start Date: [m516g0j_________] Fees: $10,000.00 Currency: USD DocuSign Envelope ID: 0A9CB243-8D98-455E-A6F4-A5D90C77A2E0 11 Payment Terms: NET 60 This Order Form is subject to and part of the Enterprise Subscription Agreement by and between Artlist Ltd and City of Round Rock. In the witness thereof: [91z62fg_____________________] [oqnxdyo_____________________] The Customer Artlist By: [02zepgt_____________________] By: [ab2pdte_____________________] Date: [qj61e6e_________] Date: [2qfgh1e_________] DocuSign Envelope ID: 0A9CB243-8D98-455E-A6F4-A5D90C77A2E0 Noa Zabar 07/02/2024 City Manager 07/05/2024