Distribution Agreement
Distribution Agreement
Distribution Agreement
BETWEEN:
(1) The Group, a group of Vermont Law School students, an unregistered organization (the
“Group”); and
(2) The Climate Change Network, a web-based distribution channel (the “CCN”).
WHEREAS:
(A) CCN carries on the business of distributing and the Group’s Program within the Market (as
defined below), and is also involved in certain marketing activities.
(B) The Group wishes to appoint the Distributor as non-exclusive distributor for the promotion
and broadcasting of the Program (as defined below) in the Market, on the terms and subject
to the conditions of this Agreement.
1. INTERPRETATION
1.1 In this Agreement, unless the context otherwise requires, the following words and
expressions bear the meanings respectively set out below:
1. INTERPRETATION
2. GRANT OF RIGHTS
The Group (the “Group”) hereby grants to The Climate Change Network (“CCN”)
(collectively “Parties”), the non-exclusive right to distribute, license, market and exploit the
Programs and all elements thereof in the Media and in the Territory. These rights include the
rights to stream the Program on demand via CCN’s web-based distribution operation, make the
Program available through secondary channels, provided CCN does so lawfully. The scope of
the CCN’s License is world-wide, however limited to internet, cable, satellite and broadcast
delivery. CCN’s license of the Program does not extend to theatrical, DVD and other similar
devices.
3. MEDIA
The licensed media (the "Media") shall be those set forth in the Term Sheet. The grant of
television rights shall permit CCN to exploit the Programs and all elements thereof in all forms
of television now or hereafter known, including but not limited to free television, cable
television, pay cable television, pay-per-view television, subscription television, over-the-air pay
television, open video system television, television via telephone and/or the intemet, video-dial
tone, closed circuit television, master antenna television, multi-point service television, direct
broadcast satellite television, armed forces, in-flight use, video cassettes and video discs for
home use, and non-theatrical educational sales (collectively "Television Rights").
4. LICENSED TERRITORY
The territory described in paragraph 5 of the Term Sheet shall constitute the "Licensed
Territory."
5. TERM
The Parties agree to a six (6) month basic licensing term. After the six (6) month period,
either party may terminate this Agreement by giving the other party thirty (30) days’ prior
written notice. Notwithstanding any termination of this Agreement, CCN’s obligations under
this Agreement will survive and continue in effect for six (6) months following such termination.
6. DISTRIBUTION
CCN shall seek in good faith, subject to CCN's reasonable business judgment, to maximize
the exploitation of the rights granted hereunder. Notwithstanding the foregoing, CCN shall have
the sole control over all distribution activities, and may at any time suspend or resume active
distribution of the Programs, as it deems fit, without any penalty.
7. DELIVERY
The Group shall deliver to CCN the delivery items described in paragraph 10 or in the Term
Sheet and any other elements of each of the Programs that may be reasonably necessary for CCN
to perform CCN's services hereunder. Except as pre-approved in the Term Sheet, the Programs
as delivered shall be subject to CCN's sole approval for acceptance.
8. DISTRIBUTION FEES
(a) In consideration for the services CCN is rendering to The Group hereunder, CCN shall
retain as its sole and exclusive property from all exploitation of the Programs the distribution
fees described on Exhibit A attached hereto.
(b) In calculating such fees, "gross sales" shall be defined to mean all revenue (without any
deductions), generated by the exploitation of the Programs by CCN, including the gross amounts
received by any of its subsidiaries or affiliates acting as sub-CCNs, sub-licensees and agents. The
commissions indicated above are maximum commissions for CCN and any such subsidiaries or
affiliates. If CCN uses unaffiliated sub-CCNs, sub-licensees, agents, etc., however, the fees of
such entities shall not be subject to any limitation, but shall be deducted prior to calculating gross
sales. CCN and its subsidiaries and affiliates may take fees for additional services undertaken by
them connected with the distribution of the Program, including fees for placing advertising in
connection with syndication, provided that such fees shall not exceed those customary in the
industry and shall not be subject to the limitations set forth above and shall be deducted before
calculating gross sales.
(c) To the extent that CCN may grant licenses longer than the term of this Agreement or, if
this Agreement shall be terminated early for any reason, CCN shall be entitled to receive
commissions due to it in respect of all agreements, and extensions and renewals thereof, for
exploitation of the Program in the Licensed Territory, and made by or on behalf of the The
Group between the dates of the commencement and termination of the rights granted to CCN
hereunder.
15. INDEMNIFICATION
(a) The Group shall indemnify and hold CCN harmless from and against any demand, claim,
action, liability and expense (including reasonable attorneys' fees) arising out of The Group's
breach of any of the representations, warranties or provisions contained in this Agreement;
provided that CCN shall promptly notify The Group of any such demand, claim, etc., and that
The Group shall have the right to control the defense and to approve any settlement thereof.
(b) CCN shall defend, indemnify and hold The Group harmless from and against any
demand, claim, action, liability and expense (including reasonable attorneys' fees) arising out of
CCN's breach of any of the representations, warranties or provisions contained in this
Agreement; provided that The Group shall promptly notify CCN of any such demand, claim,
etc., defense and to approve any settlement thereof.
Any claim, dispute or difference of whatsoever nature arising out of or in connection with
this Agreement (“Dispute”) shall be referred to and finally determined by arbitration before an
arbitral tribunal. The arbitral tribunal for any Dispute (i) relating to a claim for less than
US$1,000,000 or (ii) which the parties agree is a minor Dispute (“Minor Disputes”) shall be
composed of one Arbitrator and for any other Disputes (“Major Disputes”) shall be composed of
three Arbitrators (the “Arbitral Tribunal”). Any such determination before the Arbitral Tribunal
shall be final and binding on the Parties and the Parties shall have no further right of appeal to
the courts in respect of such Dispute.
In the case of a Minor Dispute, the Group and CCN shall jointly nominate one Arbitrator and
in the case of a Major Dispute, the Group on the one part and CCN on the other part shall
nominate one Arbitrator, in each case within 14 days of receipt of any notice referring a Dispute
to arbitration.
17. NOTICES
Any notice required to be given hereunder shall be given by receipted telefax or by prepaid
telegram or certified mail to the parties at their respective addresses set forth in the Term Sheet
or at such other address as either party may hereafter notify the other. Any notice sent by
telegram or by fax shall be deemed given on the day such notice is faxed or given to the
telegraph office. Any notice sent by certified mail shall be deemed given three business days
after such notice is mailed.
18. NO PARTNERSHIP
This agreement shall not be construed so as to constitute a partnership or a joint venture
between the parties hereto, and no party is deemed to be the representative or the agent of the
other except as herein otherwise provided.
IN WITNESS whereof the parties hereto have hereunder set their hands the day and year first
above written
SIGNED by )
for and on behalf of )
The Group )
SIGNED by )
for and on behalf of )
The Climate Change Network )
2. For armed forces, in-flight and any other ancillary television use: 18% of gross sales.
3. Videocassettes and videodiscs and other devices for home use and non-theatrical
educational uses are prohibited under this License: