Message-ID: <23752374.1075860243715.JavaMail.evans@thyme> Date: Mon, 30 Apr 2001 09:41:00 -0700 (PDT) From: mark.greenberg@enron.com To: jake.staffel@enron.com Subject: Re: Contract review for Sales force automation software Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: Mark Greenberg X-To: Jake Staffel X-cc: X-bcc: X-Folder: \Mark_Taylor_Jun2001\Notes Folders\Notes inbox X-Origin: Taylor-M X-FileName: mtaylor.nsf Jake - I looked at the attached. Here are a couple of points to be aware of (that would be revised under other circumstances): 1. Paragraph 5 - Method of payment is at the discretion of UpShot. This means payment could be required by any means listed or modified at UpShot's discretion. Dependent upon the means required, it may be in conflict with our payables system. 2. Paragraph 6 - Enron is totally responsible for security surrounding passwords and id's. Generally this is fine, but we try to carve out liability for any use of our passwords by the ASP and its employees. This is generally in relation to the trading environment, but could be applicable here. 3. Paragraph 7 - Agreement (and thus payment) is automatically renewed on a monthly basis regardless of usage. Enron is required to give 30 notice prior to the renewal in order to terminate. This means if we wanted to terminate as of May 31, we would have to give notice on May 1. Generally, we want to dispense with automatic renewal provisions because of administrative concerns and modify renewal provisions to be based upon agreement of the parties. In the electronic environment, it is almost beneficial to sign new agreements each month. This would ensure we see any changes to the agreement. Also, note there is a bit of an inconsistency in this paragraph as there are also provisions that discuss reduction in "Services" being applicable upon 10 days written notice. The 30 days above also relates to reduction of service levels. 4. Paragraph 8 - The disclaimer includes a disclaimer of any warranty of noninfringement. This is generally deleted as the ASP is in a much better position to know of any infringement of its product than a user and should be the party responsible for any infringement. A change in this area also generally brings about an addition to the liability provisions for indemnity of Enron by the ASP for infringement claims. 5. Paragraph 12 - This provision contains a requirement that any action in relation to the site must be brought within 1 year after the cause of action arose or it is barred. This type of provision is generally revised to reflect that actions are to be brought within statutory periods since statutory periods provide a longer time to bring claims. Other than the above, the agreement is fine. If this is truly a take-it or leave-it deal, moving forward is a business decision your group needs to make as none of the above are critical to the agreement. Mark Senior Counsel, EWS Phone: 713-345-8897 Facsimile: 713-646-3490 E-Mail: Mark.Greenberg@enron.com Jake Staffel/ENRON@enronXgate 04/30/2001 01:09 PM To: Mark Greenberg/NA/Enron@ENRON cc: Mike Haney/ENRON@enronXgate Subject: Contract review for Sales force automation software Mark, I don't know if you are the person I need to be talking to on this issue but I thought I would start with you and you could direct me as to where I need to go. Attached is the standard agreement with an ASP (Upshot.com) which is a sales force management (mostly contact management) software. This is a take or leave proposition. Who in legal do I have review the contract for acceptance. Any help you can give me on this would be greatly appreciated.Please let me know who I need to talk to Thanks Jake