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OUTSIDE DEVELOPER'S AGREEMENT
THIS AGREEMENT , is entered into this day of 19
between _________________ ("___________") and ,
having its principal place of business, or residence, at
, (the "Developer").
WHEREAS , _________________ desires to retain the services
of the Developer as an INDEPENDENT CONTRACTOR to perform
software design, programming, writing, debugging and modifying
for _________________ , and Developer desires to perform such
services, all on the basis set forth more fully herein;
NOW, THEREFORE , in consideration of the promises, mutual
covenants and agreements set forth herein and other good a
valuable consideration, the parties hereto agree as follows:
1. DEFINITIONS:
(a) The term "Inventions" means discoveries, improvements
and ideas (regardless of whether or not patentable or
copyrightable) relating to any part of the business or
activities of _________________ . (b) The term "Confidential Information" means any
information, technical data or know-how of _________________,
including without limitation, _________________ research,
products, software, services, development, engineering,
marketing or finance which is disclosed by _________________
whether directly or indirectly in writing, orally or by drawings
or inspections of parts or equipment to Developer.
(c) The term "Competitor" means any person, firm or
organization (or division thereof) engaged in or about to become
engaged in research or the production and/or sale of any product
with which Developer's work for _________________ has been
directly concerned, or with respect to which Developer may have
acquired Confidential Information by reason of association with
_________________ . (d) The term "_________________ System" means the
programs, program decks, routines, subroutines, translators,
compilers, operating systems, object and source codes, updates
thereto, and related items, including, but not limited to,
specifications, lay-outs, cards, card decks, charts and other
like material and documentation, together with all information,
data and know-how, technical or otherwise, included therein,
manuals, print-outs and notes, discs, diskettes, tapes or
cassettes used therefor, both masters and duplicates, and any
changes, modifications or improvements thereafter.
2. WARRANTIES, REPRESENTATIONS(a) The Developer, who has been hired solely as an
independent contractor, warrants and represents that the
Developer is capable of fulfilling the terms of this Agreement
and is an expert in and fully acquainted with the hardware,
operating system, other software and peripherals of the
_________________ System.
3. NON-DISCLOSURE OF INFORMATION
The Developer acknowledges and agrees that the _________________
System, its concept, the ideas associated with it, its form, and
any and all ensuing series or derivations based upon it,
constitute valuable trade secrets and proprietary information
and data of _________________ and that they are and shall at all
times remain the sole and exclusive property of
_________________ and that _________________ has all right,
title and interest therein. The Developer agrees to use
reasonable efforts to hold in strict confidence all information
which is in any manner related to the _________________ System.
The Developer further agrees to use reasonable care in the
selection and assignment of personnel to work with such
information or any ideas related thereto. The Developer does not
have and shall not be deemed to have any right, title or
interest in the _________________ System, whether under trade
secrecy, copyright, patent or related laws. The Developer
further agrees that neither the Developer nor any of the
Developer's employees, agents, independent contractors, or
others will transfer, lease, license, publish, use, disclose or
divulge the contents of, or any aspects of, the
_________________ System to third parties unless specifically
authorized in advance by the written consent of _______________.
4. RELATIONSHIP OF PARTIES
It is understood and agreed that the Developer is an independent
contractor and that Developer shall perform services under the
general direction of _________________ as to the results of such
activity, but that Developer shall determine, in Developer's
sole discretion, the manner and means by which the services are
accomplished, subject to the express condition that Developer
shall at all times comply with applicable laws and regulations.
It is also expressly understood that the Developer and
Developer's employees and agents, if any, are not agents or
employees of the _________________ , and have no authority
whatsoever to bind _________________ by contract or otherwise.
5. EMPLOYMENT TAXES and BENEFITS
The Developer acknowledges and agrees that it shall be the
obligation of the Developer to report as income all compensation
received by Developer pursuant to this Agreement. Developer
shall indemnify _________________ and hold it harmless from and
against any obligation imposed on Developer to pay withholding
taxes, social security, unemployment, or disability or workers'
compensation insurance or similar items in connection with any
payments made to Developer by _________________ pursuant to this
Agreement on account of Developer or Developer's agents or
employees, if any. Neither Developer nor any of Developer's
employees or agents, if any, shall be entitled to participate in
any plans, arrangements or distributions by _________________
pertaining to any bonus, stock option, profit sharing,
insurance, or similar benefits.
6. PROPERTY OF _________________
With respect to all Inventions made or conceived by Developer
(either solely or jointly with others) during the period of
Developer's service and work for _________________ , which
utilizes _________________ ' Confidential Information; and with
respect to Inventions made or conceived by Developer (either
solely or jointly with others) within one (1) year after
termination of such service which utilized _________________ '
Confidential Information:
(a) The Developer will and hereby does assign to
_________________ , or to such subsidiary corporation as
_________________ may designate, all of Developer's rights to
all such Inventions, and to all Applications for Letters Patent
and Applications for Copyright and for all Letters Patent and
Copyrights granted thereupon covering all such inventions.
(b) The Developer will promptly upon request by
_________________ (at the sole expense of _________________ )
execute, acknowledge and deliver to _________________ such
written instruments and do such other lawful acts as may be
necessary in the opinion of _________________ and/or its
Counsel, to obtain and maintain Letters of Patent or Copyright
and to vest the entire right, title and interest thereto in
_________________ or in such subsidiary corporation as
_________________ may designate.
(c) The Developer hereby acknowledges and agrees that all
works of authorship, included in the Inventions, shall be
considered "WORKS MADE FOR HIRE " pursuant to §201(b) of the 1976
Copyright Act, and that all ownership of patent and/or copyright
in such works shall vest entirely in _________________ . To the
extent that the foregoing does not convey all rights in such
works of authorship to _________________ , and in the event that
the Inventions are not subject to copyright law, Developer
agrees to assign, and does hereby assign to _________________ ,
all of Developer's entire right, title and interest in and to
all such Inventions and all copyrights, copyright registrations,
patent applications filed, and patents granted thereon.
7. INDEMNIFICATION AND LIABILITY INSURANCE
The Developer does hereby indemnify and shall hold
harmless(including all costs of litigation and reasonable
attorney's fees) _________________ , its corporate affiliates,
and any employee or agent thereof against all liability to third
parties arising from the negligence of the Developer or its
agents in providing services to _________________ under this
Agreement. The Developer agrees to maintain adequate liability
insurance, and to provide _________________ proof of same upon request.
8. PATENT AND COPYRIGHT INDEMNITY
The Developer will indemnify and defend or settle any claim,
suit, action or proceeding brought against _________________ ,
to the extent that such claim, suit, action or proceeding is
based on a claim that Developer's services provided to
_________________ under this Agreement constitutes an
infringement or misappropriation of a patent, copyright or other
proprietary right. Developer will pay resulting costs, damages
and attorney's fees.
9. NON-COMPETITION
(a) The Developer agrees that it will not, for a period of two
(2) years from the date of termination of Developer's work for
_________________ , render services, directly or indirectly, to ANY Competitor of _________________ .
(b) The Developer may accept employment with a Competitor whose
business is diversified, and which, as to part of its business,
is not a Competitor with _________________ , provided
_________________ shall receive, prior to Developer's
employment, reasonable assurance that Developer will not be
expected or required to render services directly or indirectly
to any part of such organization which is a Competitor of
_________________ .
(c) In the event that the Developer is unable to obtain
employment consistent with the Developer's technical qualifications SOLELY because of the provisions of this Section
9 and not because of any restrictions otherwise imposed by law,
the provisions of this Section shall be binding upon the
Developer only for so long as _________________ shall make
payments to the Developer equal to eighty percent (80%) of
Developer's monthly base pay at termination (exclusive of extra
compensation) for each month in which Developer shall notify
_________________ in writing setting forth Developer's efforts
to obtain such employment and advising that although Developer
conscientiously sought such employment, Developer has been
unable to obtain the same SOLELY because of the provisions of
this Section 9.
(d) _________________ may at anytime relieve itself of the
obligation to make or continue the payments herein provided: i) _________________ gives the Developer written
permission to accept available employment with a specific
prospective Competitor, or (ii)_________________ gives
Developer a written release from all obligations under this
Section 9.
(e) _________________’s obligation to make the monthly payments
herein specified shall in no event continue for more than 24
months immediately following termination of Developer's services
with _________________ , and in no event shall _________________
be liable, under this Agreement, or any action relating thereto,
for any amount greater than the aggregate of said monthly payments.
(f) All payments due Developer hereunder shall be made in
accordance with _________________'s established regular procedures.
(g) Upon written notice by Developer to _________________
stating that the Developer desires to accept employment with a
Competitor, naming him or it, _________________ will promptly
advise Developer whether it will waive the requirements of this
Section 9 paragraph (without waiving other sections or
provisions of this Agreement).
10. NON-INTERFERENCE WITH _________________'S BUSINESS
The Developer agrees that it will not, during the period of
Developer's services to _________________ , and for a period of
two (2) years thereafter, interfere with or attempt to impair
the relationship between _________________ and any person or
firm that is a customer of _________________ at the time of the
termination of Developer's services. Nor will Developer attempt,
directly or indirectly to solicit, entice, hire or to otherwise
induce any customer or employee of _________________ to
terminate such customer or employee relationship with _________________.
11. COMPENSATION; PERIOD OF SERVICE
_________________ has hired Developer, and _________________
has agreed to compensate Developer for its services on a regular
basis in accordance with the Payment Schedule described in
Attachment A to this Agreement. The Developer's period of
service with _________________ is not for any particular period;
and it is agreed that Developer's services for _________________
my be terminated "at will", with or without cause, either by
_________________ or by Developer, at any time.
12. SEVERABILITY
It is understood that if any provision of this Agreement is
declared to be invalid by a court of competent jurisdiction,
such provision shall be severed from this Agreement and the
other provisions hereof shall remain in full force and effect.
13. ENTIRE UNDERSTANDING
It is understood that this Agreement contains the
entire understanding of the parties with respect to the subject
matter contained herein. There are no promises, covenants or
understandings other than those expressly set forth herein. This
Agreement may not be modified except by a writing signed by
authorized representatives of _________________ and Developer.
14. ASSIGNMENT
It is understood that Developer may not assign any rights under
this Agreement. Subject to the foregoing sentence, this
Agreement shall be binding upon _________________ , its
successors and assigns, as well as upon Developer's heirs,
executors and administrators.
15. WAIVER
It is understood that no delay or omission in exercising any
right or remedy identified herein shall constitute a waiver of
such right or remedy, and shall not be construed as a bar to or
a waiver of any such right or remedy on any other occasion.
16. CHOICE OF LAWS
This Agreement shall be governed by and construed in accordance
with the laws of the State of _______________________. In the
event of any dispute under this Agreement, a suit may be brought
only in a court of competent jurisdiction in the State of
_______________________. Any dispute or controversy arising from
or relating to this Agreement and its resolution shall be
conducted, insofar as
possible, in the utmost secrecy; and in the event of litigation,
subject to a protective order where all documents, testimony,
and records shall be received, heard, and maintained by the
court sealed, available for inspection only by _________________
or by Developer, and by their respective attorneys and experts
who shall agree, in advance and in writing, to receive all such
information confidentially, and to maintain such information in
secrecy until such information shall become generally known.
17. ACCEPTANCE
It is understood that upon acceptance by _________________ as
above provided, this instrument supersedes any former written
agreement heretofore executed relating to the subject matter of
this Agreement.
IN WITNESS WHEREOF Developer agrees that it has carefully read
and understands the terms of this Agreement and has signed this
Agreement on the date written below. Developer agrees the
provisions of this Agreement shall be applicable commencing with
the date of Developer's signing of this Agreement.
__________________________________
BY:
TITLE:
DATE: ______________________________
Developer
PRINTED NAME:
ADDRESS:
DATE: