1. Schedule 1 Maintenance and Support Agreement

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1 1. Schedule 1 Maintenance and Support Agreement The following terms and conditions represent an Agreement for Klyp Pty Ltd ACN (Klyp) to provide Software Maintenance and Support Services to the Client on the terms and conditions as provided in this Schedule 1 and the Klyp Master Contract and apply to any or all of the following: SMS Marketing Services Program; and Marketing Services Program. 1.2 Defined terms In this Agreement the following capitalised terms have the meanings shown unless the term is defined in the Master Contract: Marketing Services means the provision of a commercial electronic message service whereby a commercial message is sent by the Client to their customers for commercial benefit. Error means a reproducible failure of the Program to perform in substantial conformity with the Program specifications set forth in the corresponding user s guide(s), help files or other printed documentation. Initial Support Term CMS means the period of one (1) year from the date of the Master Contract. Initial Support Term SMS means the period beginning the first day of the month and ending the last day of the month unless renewed at which point the support term will be rolled over and applies to Klyp SMS License users. Initial Support Term means the period beginning the first day of the month and ending the last day of the month unless renewed at which point the support term will be rolled over and applies to Klyp marketing users. Major Enhancement means any major functional revision to the Program (designated by a renumbered release number such as 5.1 to 6.0) released by Klyp during the Initial Support Term or any Renewal Support Term. Minor Enhancement means any minor release, update, modification or bug fix (designated by a renumbered release number such as 6.0 to 6.1) which does not necessarily provide materially new functionality, as determined by Klyp in its sole discretion, and made generally available to Klyp s supported clients. Renewal Support Term CMS means a successive one-year renewal term following the Initial Support Term agreed upon by the parties. Unless terminated pursuant to section 9 of this Schedule 1 all Renewal Support Terms are based on a calendar year beginning on the first day of access and ending 1 year (365 days) after that. Renewal Support Terms will Schedule Maintenance and Support Agreement Page 1

2 automatically renew sixty (60) days prior to the expiration of the current Initial or Renewal Support Term, at the same Support Plan level currently in effect at the time of renewal. Renewal Support Term SMS means a successive monthly renewal term following the Initial Support Term. Unless terminated pursuant to section 9 of this Schedule1 all Renewal Support Terms are based on a calendar month beginning on the first day of access and ending the last day of that month. Renewal Support Terms will automatically renew fourteen (14) days prior to the expiration of the current Initial or Renewal Support Term, at the same Support Plan level currently in effect at the time of renewal. Renewal Support Term means a successive monthly renewal term following the Initial Support Term agreed upon by the parties. Unless terminated pursuant to section 9 of this Schedule 1. Unless otherwise specified, all Renewal Support Terms are based on a calendar month beginning on the first day of access and ending the last day of that month. Renewal Support Terms will automatically renew fourteen (14) days prior to the expiration of the current Initial or Renewal Support Term, at the same Support Plan level currently in effect at the time of renewal. Response means Klyp s acknowledgment of a reported Error and does not necessarily mean that a resolution will be achieved. Software Maintenance and Support Services means the services performed by Klyp to ensure the proper functioning of any and all Klyp licensed software applications including Klyp CMS, SMS and marketing software applications. Support Contacts means the individual(s) that the Client designates in Table 1 of this Schedule 1 to be the individuals to be contacted by Klyp for the provision of Software Maintenance and Support Services. Support Time means the hours of each day and the days of each week set forth in Schedule 1 hereto. Support Incident means one specific Error or other technical issue that begins when a client contacts Klyp Technical Support (via telephone, , internet or fax) and ends when either the single specific Error or other technical issue is resolved or Klyp Technical Support deems it non-resolvable. Each specific support incident will generate a ticket, which will be opened, tracked and closed separately from any other specific support incidents. 2. Klyp s Obligations Klyp will: perform the Maintenance and Support Services for the Client after commencement of this Agreement subject to the Client; (i) making payment of the Fees outlined in Table 2 and Table 3 of this Schedule 1; and Schedule Maintenance and Support Agreement Page 2

3 (ii) compliance with its obligations set forth in section 6 and elsewhere in this Schedule 1; (d) use reasonable endeavours to provide the Maintenance and Support Services when required; perform the Maintenance and Support Services with the standard of care and diligence of a reasonably competent systems architect; and use any sub-contractors that it so desires in providing the SMS Marketing and Support Services to the Client. 3. Software Maintenance and Support Services 3.1 Help Desk Klyp will provide the Client with reasonable help desk assistance during the Support Times outlined in Table 1 of this Agreement, regarding: (i) (ii) installation and implementation of the Program; and identification, diagnosis and correction of Errors. Klyp will attempt to resolve any support questions posed by Client. However, if Klyp determines that it would be appropriate to do so, Klyp may defer resolution of a support question until a later time. At its discretion Klyp may provide the Client with help desk support during times other than the Support Time and or beyond the maximum number of monthly and or annual Support Incident limits (if applicable) at Klyp s then standard rates. The Client will be responsible for paying charges for such additional help desk support. 3.2 Website Klyp will provide the Client with access to technical information via its Website(s). 3.3 Minor Enhancements Klyp will provide the Client with copies of all Minor Enhancements at no additional cost to the Client. 3.4 Major Enhancements Major Enhancements for the Program are not included under this Agreement unless otherwise specified in Table 2 of this Agreement. Klyp may, but is not obligated to offer Major Enhancements to the Client at a reduced fee. 4. Procedures for Error correction 4.1 Notification To obtain Error correction services the Client must notify Klyp immediately of any suspected Error and must provide Klyp with details of the nature and circumstances surrounding the Error including but not limited to complete software, hardware and network configuration information. 4.2 Remote diagnostics Klyp may perform remote diagnostics to determine the existence and nature of an Error. Schedule Maintenance and Support Agreement Page 3

4 4.3 Error correction Klyp will make reasonable commercial efforts to correct and resolve Errors that the Client reports to Klyp which Klyp is able to reproduce. The Client will promptly provide Klyp with all information requested by Klyp to reproduce such Errors. For each Error, Klyp will use reasonable commercial efforts to provide Client with a work-around, software patch or, if Klyp is unable to provide Client with either of the foregoing, a specific action plan for addressing the Error, including a good faith estimate of the time required to correct and resolve such Error. 4.4 Remote correction Klyp may perform any Error correction work, via remote telecommunications. If such remote support is unavailable, in Klyp s opinion, to satisfactorily resolve the confirmed Error, Klyp may require Client to provide data files on removable media via overnight courier (or other shipping method that provides end to end tracking) or other mutually agreed upon electronic medium at the Client s expense. 4.5 Response Times Klyp will use reasonable commercial efforts to communicate with the Client by telephone, , fax or Klyp s website within the following targeted Response times regarding Errors that the Client reports to Klyp during the Support Times. Error Priorities and Response Times (Business Days) Priority Failure Description Response Time in Working Days 1 Fatal: Program not operational 1 2 Severe Impact: (functionality disabled) Errors that result in a lack of Program Functionality of that cause intermittent system failure 3 Degraded Operations: Errors that cause non-critical Program features to consistently malfunction. 4 Minimal Impact: Errors that cause attributes and/or Optional modules of Program not to operate in Accordance with specifications. 4.6 Limitations on Klyp s support obligations Notwithstanding anything to the contrary elsewhere in this Agreement, Klyp will have no obligation to provide any support services to Client if: (d) Such support relates to or involves any products, data, features, devices, or equipment not provided by Klyp; The Client or a third Party has altered or modified any portion of the Program in any manner without the prior written consent of Klyp; The Client has not used the Program in accordance with instructions provided by Klyp, including failure to follow implementation procedures; The Client is not in full compliance with the other terms of this Agreement, the terms of the License Agreement, or any other agreement between Klyp and Client. Schedule Maintenance and Support Agreement Page 4

5 4.7 Hardware Klyp s support obligations under this Agreement will not include computer hardware, computer network electrical telephone interconnection, or the installation or repair of accessories, alterations, parts or devices not furnished by Klyp. 4.8 Additional Services In its discretion Klyp may provide the Client with additional support services for the Program not otherwise covered under this section to specifically excluded insection 3.4 above, provided that the Client pays Klyp for such service at Klyp s current standard hourly and expense reimbursement rates. Except to the extent specifically otherwise provided in this Agreement, such support service is not included within the terms of this Agreement. 5. Client s obligations 5.1 Access During the Initial Support Term or any Renewal Support Term, Client will provide Klyp with reasonable access (via remote telecommunications or on-site access at the Client s premises) to Client s copies of the Program to the extent necessary in Klyp s discretion, to enable Klyp to meet its support obligations as set forth in this Agreement. 5.2 Communications link During the Agreement, Client, at its sole expense, will provide access via the internet. Klyp will be entitled to use this Internet connection in discharging its responsibilities under this Agreement. Klyp will have no liability to Client if Klyp s ability to render support is impaired by Client s inability to provide telecommunications functionality required for remote support. 5.3 Support contact The Client will: designate one employee and one alternate as it s Support Contacts to be generally available during the Support Times to confer with Klyp regarding Errors and other support-related issues; notify Klyp immediately of any changes in the persons designated as Support Contacts as Klyp will provide technical support only to Client s Support Contacts; and agree that if Klyp is to provide technical support to Client s employees, representatives, or consultants other than Client s Support Contacts, Klyp may charge additional fees for such support at its sole discretion. Schedule Maintenance and Support Agreement Page 5

6 6. Fees and charges 6.1 General Fees and charges Client will pay Klyp the Fees for the Support Plan as provided in Table 2 of this Schedule 1 and as invoiced by Klyp. Klyp reserves the right to charge additional amounts to any Client who required additional or excessive support at its sole discretion. 6.2 Miscellaneous items The Client will bear all costs associated with procuring, installing, and maintaining all equipment, telephone lines, and communication interfaces necessary for the Client to obtain Klyp support services. 6.3 Payment procedures At the start of the Initial Support Term and on an annual basis sixty (60) days prior to any Renewal Support Term, Klyp will invoice the Client for all Fees incurred by the Client pursuant to this Agreement. Renewal Support Terms will be invoiced at the rates for the Support plan that is in effect as of the renewal date. The Client will pay all invoiced amounts in within fourteen (14) days of the date of invoice. Any payments made after this date will be subject to a 10% late fee and incur interest at 1.5% per month until the fees are paid in full. 7. Term and termination 7.1 Termination for convenience SMS and Marketing Services If at any point either Party decides not to renew this Agreement it will provide the other Party written notice of its intention not to renew at least fourteen (14) days prior to the end of the Initial Support Term or the then-current renewal Support Term, as the case may be. Schedule Maintenance and Support Agreement Page 6

7 Table 1: Support times and contacts Contact Name Contact Phone and Support Times 8am to 5pm Monday to Friday Table 2: Maintenance and Support Fees Fees Standard Hourly Professional Services Additional training & travel fees Rate $150/hour + GST $150/hour + GST Miscellaneous fees CMS Starter CMS Business CMS Corporate CMS ecommerce $480/year $600/year $720/year $840/year Schedule Maintenance and Support Agreement Page 7

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