Reseller Agreement

SUBJECT TO HERMES NOTIFYING YOU OF ITS ACCEPTANCE OF YOUR RESELLER APPLICATION, THIS RESELLER AGREEMENT (AGREEMENT) FORMS A LEGALLY BINDING AGREEMENT BETWEEN YOU AND HERMES SQUARE PTY LTD (HERMES) AND ACCEPTANCE BY YOU OF THE TERMS OF THIS AGREEMENT IS A CONDITION TO ACCEPTANCE OF YOUR RESELLER APPLICATION BY HERMES. BEFORE CLICKING ON THE ‘I ACCEPT AND SUBMIT MY APPLICATION’ BUTTON, PLEASE READ THIS AGREEMENT CAREFULLY. BY CLICKING ON THE ‘I ACCEPT AND SUBMIT MY APPLICATION’ BUTTON, YOU (THE PERSON SUBMITTING THE RESELLER APPLICATION) REPRESENT TO US THAT YOU REVIEWED THE TERMS OF THIS AGREEMENT, HAVE THE AUTHORITY TO ENTER INTO THIS AGREEMENT ON BEHALF OF THE RESELLER, AND THAT THE RESELLER AGREES TO BE BOUND BY THIS AGREEMENT. THIS AGREEMENT DOES NOT NEED TO BE SIGNED IN ORDER TO BE BINDING. YOU INDICATE YOUR ACCEPTANCE OF THE TERMS OF THE AGREEMENT BY CLICKING ON THE ‘I ACCEPT AND SUBMIT MY APPLICATION’ BUTTON. A LEGALLY BINDING AGREEMENT WILL ONLY BE FORMED BETWEEN HERMES AND THE RESELLER UPON HERMES NOTIFYING YOU OF ITS ACCEPTANCE OF YOUR RESELLER APPLICATION.

1. DEFINITIONS

For purposes of this Agreement, the following terms have the corresponding definitions listed below.

‘Application Software Products’ means those Products which are software as a service products pursuant to which the End Customer is given access to Hermes’s application software.

‘Confidential Information’ means all know-how, specifications, catalogues, books, price books, maintenance, parts and service manuals, data sheets, sales, service and technical bulletins, customer lists, sales and marketing programs, price lists, cost data, sales aids, such as filmstrips and recordings, and all other publications and information, whether or not reduced to writing, relating to the formulation, manufacture, use, marketing and sale of the Products, as well as any other information relating to the business of Hermes which may be disclosed to Reseller in the course of its performance of this Agreement.

‘Effective Date’ means the date on which Hermes provides written notice of its acceptance of your Reseller Application, which may take the form of an electronic mail message.

‘End Customer(s)’ means Hermes’s end customers only, and explicitly excludes other resellers, distributors, or any other person or entity that purchases the Products for any reason other than to use in a directly owned and operated network.

‘Hardware Products’ means those Products which are hardware products and physical devices, such as the Hermes Probe.

‘Notice’ means written notification and can be delivered by e-mail at Hermes’s discretion pursuant to clause 7.

‘Products’ means only those products of Hermes specifically listed in the Reseller Pricing and Listed.

‘Purchase Order’ means a purchase order for Products in a form specified by Hermes duly completed and submitted by you to Hermes through Hermes’s website.

‘Purchase Price’ means the aggregate price of any purchase order submitted to us taking into account the pricing specified in clause 2.2.

‘Reseller, ‘you’, ‘your’ and ‘yours’ means the company, person or other entity submitting the Reseller Application.

‘Reseller Application’ means the application to become a Hermes reseller on the terms of this Agreement submitted by you online through Hermes’s website.

‘Reseller Price List’ means the product/s, and corresponding pricing available through Hermes’s website or requested via sales@hermes-square.co.za.

‘Hermes’ ‘we’, ‘us’ and ‘our’ means Hermes Square (Pty) Ltd, a company incorporated in South Africa.

‘Hermes EULA’ means the Hermes End User Licence Agreement available at www.hermes-square.co.za/eula.

‘Term’ means the term of this agreement as set out in clause 6.1.

‘Trademarks’ means Hermes’s trademarks, service marks, designs, markings, logos, or trade names as may be designated by Hermes from time to time.

2. APPOINTMENT, PRICING, PURCHASE AND DELIVERY

2.1 Appointment and Acceptance

Subject to your continued compliance with the terms of this Agreement, Hermes appoints you as a non-exclusive reseller of the Products, and you accept such appointment. Nothing in this Agreement prevents Hermes from: (i) appointing other resellers or distributors; (ii) marketing, selling, or distributing Products directly to End Customers; or (iii) maintaining direct sales channels for the marketing, selling and distribution of the Products. Reseller will not, directly or indirectly, without the prior written consent of Hermes: (i) market, distribute or sell Products to third party resellers, agents or sales representatives for resale; or (ii) purchase Products from third party resellers, authorised distributors of Hermes, agents or sales representatives for resale.

2.2 Pricing

As a Reseller, you will be entitled to purchase the Products at the various prices listed on the Reseller Price List. Resellers that have been approved by Hermes will be issued with coupon codes to access discounts to listed prices. You will pay the Purchase Price pursuant to clause 2.5. directly to Hermes. Hermes reserves the right at any time to change the prices listed on the Reseller Price List. Any changes to the prices on the Reseller Price List will be effective 30 days from notification of the change on Hermes’s website.

2.3 Purchase Orders

All purchases of Products made under this Agreement will be subject to the terms and conditions of this Agreement and will be supported by a Purchase Order. Any terms or conditions of any Purchase Order or acknowledgements given or received that are accepted by Hermes will form part of this Agreement. If there is inconsistency between the terms of a Purchase Order and the terms of this Agreement the terms of this Agreement will prevail. Purchase orders will, at a minimum, include terms regarding: (i) the Product name and identification; (ii) quantity of Products; (iii) time of requested delivery; and (v) all applicable addresses, including End Customer information where available. Purchase Orders will be deemed to be accepted unless Hermes provides you written notice of rejection (which may take the form of an electronic mail message).

2.4 Delivery
Application Software Products

Where a Purchase Order for purchase of Application Software Products is created, Hermes will enable access for you or the End Customer, as applicable, to the Application Software Products.

2.5 Payment

Unless otherwise agreed to in writing, you will pay the Purchase Price to us at time you submit a Purchase Order. All orders will be processed when received. Access will be given to Application Software Products only upon receipt of full payment unless alternative payment terms have been agreed to in writing by Hermes.

2.6. Taxes

All payments made by Reseller to Hermes are payable in full without reduction for any such taxes, customs duties or tariffs. Reseller is responsible for and will indemnify Hermes against any such taxes, customs duties and tariffs assessed against Hermes, based on payments to Hermes hereunder or on the use or possession by Reseller or End Customer of Products.

2.7 End Customer Pricing and Payment

You will sell at the guided pricing to each End Customer. You bear all risk of non-payment by End Customers, and you are solely responsible for all of your costs and expenses. You may not terminate a Purchase Order or receive any refunds due to non-payment by an End Customer. If Hermes provides any refund to an End Customer under our standard warranty policy, Hermes, at its option, will refund the applicable amounts either directly to the End Customer or to you for distribution to the End Customer. You agree to cooperate with Hermes relating to such refund.

3. RESELLER’S OBLIGATIONS AND RESTRICTION

3.1. Hermes EULA

All use of the Products by End Customers is subject to the Hermes EULA, and you may not purport to impose any other terms pertaining to their use of the Products.

3.2 Enforcement and defect cooperation

You agree to immediately notify us of: (i) any known or suspected breach of the Hermes EULA or other unauthorised use of the Products and to assist us in the enforcement of the terms of the Hermes EULA; and (ii) any suspected or actual defects or safety problems with respect to the Products.

3.3 Marketing

Subject to the license and the restrictions in clause 5, Reseller will market the Products only under the Trademarks. Reseller will not publish or use or co-operate in the publication or use of, any misleading or deceptive advertising material with regard to Hermes, its suppliers or the Products. Reseller must only use descriptions of the Products approved by Hermes in any marketing material used by Reseller to promote the Products.

3.4 Training and Hermes policies

Reseller will comply: (i) as soon as practicable with any and all training requirements with respect to the Products that Hermes may require from time to time via written notice; and (ii) with all policies and procedures of Hermes relating to sale and marketing of the Products, as notified by Hermes from time to time (including information provided by Hermes to the Reseller as part of the Reseller welcome pack provided after acceptance of the Reseller Application).

3.5 Independent contractor status.

Reseller is an independent reseller of the Products. Reseller is not and will not be considered a legal representative of Hermes for any purpose and, accordingly, will have no power or authority, expressed or implied, to make any commitment or incur any obligations on behalf of Hermes.

3.6. Compliance with Laws, including Anti-Corruption Laws.

In connection with the resale of the Products, Reseller will comply with all country, federal, state and local laws, ordinances, codes, regulations, rules, policies, licensing requirements, regulations and procedures, including, without limitation, such laws and regulations related to recycling or take-back programs for packaging, resale or use of Products, the use of Products under telecommunications laws/regulations, and all applicable anti-corruption laws.

4. WARRANTY, LIMITIATION OF LIABILITY AND INDEMNITY

4.1 Warranty Disclaimer

Hermes makes warranties directly to its End Customers pursuant to the Hermes EULA. Reseller will not make any representations, warranties, or any other commitments regarding Hermes or the Products. Hermes will not be responsible for any representation, warranties, or other commitments made by Reseller without Hermes’s prior written consent. To the extent permitted by law: (i) Hermes’s entire responsibility to the Reseller with respect to warranties is to the extent required to grant the Reseller the right to pass to the End Customer the benefit of any warranties in the Hermes EULA; and (ii) Hermes makes no other warranties, express or implied, regarding the Products.

4.2 Consequential loss

Hermes will not be liable for any loss of use, lost data, failure of security mechanisms, interruption of business, or any indirect, special, incidental, or consequential damages of any kind (including lost profits), whether in contract, delict or otherwise.

4.3 Liability cap

To the fullest extent permitted by law, Hermes’s entire liability to Reseller under this Agreement will be limited to the: (i) re-supply of the Product; or (ii)refund of any amounts paid to Hermes in respect of the Product.

4.4 Indemnity

You are fully responsible for all liabilities and expenses of any type whatsoever that may arise from or on account of your resale of Products. You will indemnify, hold harmless and (at Hermes’s option) defend Hermes from and against any claim, loss, cost, liability or damage, including legal fees, for which Hermes becomes liable arising from or relating to: (i) any breach or alleged breach by you of any term of this Agreement; (ii) the issuance by you of any warranty or representation regarding Hermes or its Productsnot specifically authorised by Hermes by prior written consent; or (iii) any of your other acts or omissions in connection with the marketing or resale of the Products under this Agreement.

5. INTELLECTUAL PROPERTY

5.1. License to Trademarks

Subject to Reseller’s compliance with this Agreement, Hermes hereby grants to Reseller a royalty-free license to use the Trademarks during the Term solely in connection with the marketing and promotion of the Products as contemplated in this Agreement. The license granted hereunder shall be revocable at will by Hermes effective upon notice to Reseller.

5.2. Ownership of Trademarks

The Trademarks provided by Hermes are and will remain the sole property of Hermes, and Hermes reserves all rights in trademarks, trade names and logos not expressly granted to Reseller under the terms of this Agreement. Reseller will not register any domain name, trade name, or corporate name containing or comprising any of the Trademarks or anything that would cause confusion in the marketplace, and will not remove or efface any of the Trademarks on any Products sold by Reseller. Reseller will not contest the validity of any of the Trademarks or Hermes’s exclusive ownership of the Trademarks.

5.3. Other Intellectual Property

As between the parties, Hermes owns all right, title, and interest in and to all intellectual property in or relating to the Products and, no rights to such intellectual property are granted to Reseller, except as expressly provided in this Agreement. The Hardware Products may only be used with Application Software Products provided by Hermes. Reseller will not and will not permit any third party to: (i) modify, duplicate, disassemble, or attempt to reverse engineer the Products; (ii) remove or erase the software from the Products, or otherwise try to disable or alter the Application Software Products functionality; or (iii) load any other software onto the Products. Products offered for sale and are sold by Hermes subject in every case to the condition that such sale does not convey any license, expressly or by implication, to manufacture, modify, duplicate, or otherwise copy or reproduce any Product or component thereof.

5.4. Protection of Proprietary Rights

If Reseller becomes aware that any third party is infringing or misappropriating any intellectual property in or relating to any Product (including the Trademarks), then Reseller must promptly notify Hermes in writing and cooperate with and assist Hermes, at Hermes’s expense, in the protection of such intellectual property.

6. TERM AND TERMINATION

6.1. Term

This Agreement will commence in force on the Effective Date and will remain in force until terminated under this clause 6.

6.2 Termination for Convenience

Either party may terminate this Agreement upon 30 days’ prior written notice to the other party.

6.3 Termination for Cause

Either party may terminate this Agreement immediately if the other party breaches a term of this Agreement, and the breaching party fails to cure the breach within 15 days of receipt of written notice thereof. In addition, either party may immediately terminate this Agreement upon: (i) the insolvency of the other party; (ii) the institution of any proceeding in relation to the credit standing of the other party, such as bankruptcy, reorganisation, rehabilitation or composition, by or against the other part; or (iii) the appointment of any receiver or trustee for the other party.

6.4. Effect of Termination

Termination of this Agreement will not release any party either from any liability which, at the time of such termination, has already accrued to the other party or which is attributable to a period prior to such termination. Upon termination of this Agreement, each party will return (or destroy) any Confidential Information of the other party in its possession. The following provisions of this Agreement will survive any termination of the Agreement: clause 1, clause 4, clause 5, clause 6.4 and clause 7.

7. MISCELLANEOUS

7.1 Confidentiality

Any and all non-public information provided directly or indirectly by one party (the ‘Disclosing Party’) to the other party (the ‘Receiving Party’) related to the business or technology of the Disclosing Party (collectively, ‘Confidential Information’), will be kept confidential by the Receiving Party and may not be used, except as necessary in the performance of the Receiving Party’s obligations under this Agreement or otherwise in connection with the marketing, sale, deployment, operation, or maintenance of the Products. The Receiving Party agrees to limit access to the Confidential Information to those of its employees or contractors as are reasonably required for the purpose of performing the Receiving Party’s obligations under this Agreement or otherwise in connection with the deployment, operation, and maintenance of the Products and will ensure that each such employee or contractor is subject to an agreement with the Receiving Party with respect to third party confidential information substantially as protective of the Disclosing Party’s Confidential Information as the provisions of this Section 8.1. Notwithstanding the foregoing, Confidential Information does not include any information that the Receiving Party can verify based on its written records was (a) already lawfully in the Receiving Party's possession without confidentiality obligations prior to receiving it from the Disclosing Party, (b) independently received from a third party without an accompanying duty of confidentiality and without breach of such third party’s obligations of confidentiality, (c) becomes available in the public domain through no action or inaction of the Receiving Party, or (d) developed independently by the Receiving Party without use of or reference to Disclosing Party’s Confidential Information. If Receiving Party becomes legally compelled to disclose any Confidential Information, other than pursuant to a confidentiality agreement, Receiving Party will provide Disclosing Party prompt written notice, if legally permissible, and will use its best efforts to assist Disclosing Party in seeking a protective order or another appropriate remedy.

7.2 Entire agreement

This Agreement, together with the terms and conditions set out in Hermes’s acceptance of your Reseller Application, constitutes the entire agreement between Hermes and the Reseller with respect to the subject matter of this Agreement and supersedes all prior agreements, understandings, and arrangements, oral or written, between Hermes and Reseller. No agreement or representations, oral or otherwise, express or implied, with respect to the subject matter of this Agreement have been made either by Hermes or Reseller which is not expressly set forth in this Agreement.

7.3 Notices

All notices required or permitted under this Agreement will be in writing, including notices sent by email, and will be deemed received by Reseller: (a) for email notices, upon the time the email enters the information processing system that the recipient has designated or uses for the purposes of receiving email (as provided below); or (b) for mailed notices, one day after deposit with a commercial express courier specifying next day delivery, or two days for international courier packages specifying two-day delivery, with written verification of receipt by the courier. All notices to Reseller will be sent to the email address provided under clause 7.4 or for mailed notices to the Reseller’s address provided at the time of application. All notices to Hermes will be sent to the address provided in the definition of ‘Hermes’ in clause 1 of this Agreement or to sales@hermes-square.co.za.

7.4 Electronic Notice

Reseller hereby consents to receiving any notice(s) required under this Agreement by electronic mail (email). Reseller acknowledges that legal notices such as notices of termination or non-renewal, changes in pricing, software license terms, policies or programs may be given by email. Reseller will provide an email address of a person authorised by Reseller to accept such notices either at the time of application or after receipt of an approval notice by sending such information, including any additional or alternative email addresses to Hermes by email to sales@hermes-square.co.za. Notices from Hermes to Reseller will be deemed effective when sent to Reseller’s email address(es) provided to Hermes under this Section 8.4.

7.5 Force Majeure

Neither Reseller nor Hermes will be liable under this Agreement by reason of any failure or delay in the performance of its obligations (except for payment obligations) on account of strikes (other than strikes of a party’s own employees), riots, insurrection, fires, flood, storm, explosions, acts of God, war, governmental action, labour conditions (other than with respect to a party’s own employees), earthquakes, material shortages, or any other causes that are beyond the reasonable control of such party so long as the parties use commercially reasonable efforts, including the implementation of business continuity measures, to mitigate the effects of such force majeure.

7.6 Governing Law

This Agreement is governed by the laws of the Republic of South Africa. Each party irrevocably and unconditionally submits to the non-exclusive jurisdiction of the courts of South Africa and any courts which have jurisdiction to hear appeals from any of those courts in respect of any proceedings relating to this Agreement.

7.7 Severability

Any provision of, or the application of any provision of this Agreement, which is prohibited, void, illegal or unenforceable in any jurisdiction: (i) is, in that jurisdiction, ineffective only to the extent to which it is void, illegal, unenforceable or prohibited; (ii) does not affect the validity, legality or enforceability of that provision in any other jurisdiction or of the remaining provisions of this Agreement in that or any other jurisdiction; and (iii) is severable from this Agreement and will not affect the remaining provisions of this Agreement.

The application of this clause 7.7 is not limited by any other provision of this Agreement in relation to severability, prohibition or enforceability.

7.8 Waiver

No failure or delay by you or by us to exercise any right under this Agreement will constitute a waiver of that right.

7.9 Assignment

Hermes may assign, in whole or in part, any of its rights under this Agreement upon written notice to the Reseller. The Reseller cannot assign any of its rights under this Agreement, in whole or in part, without the prior written consent of Hermes.

7.10 Amendment to terms

From time to time, we may modify this Agreement. The version of this Agreement in place at the time you submit each Purchase Order is the version that will govern such order. We will use reasonable efforts to notify you of these changes through communications through our website or other forms of communication.

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