This Basic Ordering Agreement is made and entered into effective on the below signed date by and between CragStone (Consultant) with its principal place of business at 3717 North Wayne Avenue, Suite 200, Chicago, IL 60613.

In this Agreement, the party who is contracting to receive services shall be referred to as "Client", and the party who will be providing the services shall be referred to as "Consultant".

Consultant has a background in required services and is willing to provide services to Client based on this background.

Client desires to have services provided by Consultant.

Therefore, the parties agree as follows:

1. DESCRIPTION OF SERVICES. Consultant will provide the following services (collectively, the "Services"): Technical, Programming, Creative Design and Consulting on technical and business concerns surrounding Client's business.

a.) SCOPE OF WORK

All Work Orders placed hereunder shall reference the number of this BOA (Agreement No.) and have assigned a Work Order number for reference to work being performed in accordance to work matching the description of the assigned Work Order.

Two types of “Work Order” and one "Change Order" are to be used as the guiding instruments in performing work under this Agreement. The Work Orders are named and described as follows:

a) "Project Work Order" - A written request for specific assignments of work to be performed by Consultant as identified by an assigned Work Order number; the original contract and scope of work.
(i) "Change Order" - A written request that alters the Project Work Order through modifications or adjustments of specific issues being addressed. Project Work Order areas not modified remain the same as in the original order. Changes will also systematically alter the estimate of time and fees accordingly. Finished, revised and approved document will become the effective "Project Work Order."

b) "Spot Work Order" - A standing order that allows a Client to request work outside of the scope of the current Project Work Order in process. This type of Work Order allows Consultant to channel Client requests for small amounts of time. Appropriate uses for a Spot Work Order include non-project-specific Client requests such as research on a subject, review of materials, general advisement or phone conferences, and other related requests that are outside of the ongoing specific Project Work Order(s) in place.

The Consultant agrees to perform the work as defined by the Project Work Order during the term of this Agreement. The Consultant's obligation to the Client shall become effective upon acceptance of particular Work Orders and Change Orders issued under the Agreement.

Each Work Order will include the following information from Client:

a) Detailed description of the work to be performed
b) Requested dates for completion
c) Key Client contact person(s) for completion of the Work Order and sign-off authorization on completed work phases.
d) Time lines with the deliverables required from both parties and the order in which deliverables must be received in order to continue Work Order job flow.
e) Approved time and monetary budget for work
f) The original Work Order number
g) Hourly rate for classification of work being performed

Consultant will collaborate with Client on the revision of final Project Work Order and seek approval signature of Client before work begins.

b.) TRANSFER OF MATERIALS AND INFORMATION
Consultant assumes all material and information provided by Client to be qualified as accurate and that Client has the legal rights to transfer and does transfer such rights of use to Consultant. Consultant does not actively monitor, verify, endorse or otherwise vouch for Client provided materials and information.

2. FEES AND PAYMENT. Fees and payments are determined on a Work Order basis. Upon termination of this Agreement, payments under this paragraph shall cease; excepting, however, that Consultant shall be entitled to payments for periods or partial periods that occurred prior to the date of termination and for which Consultant has not yet been paid.

3. EXPENSE REIMBURSEMENT. Client shall pay all "out-of-pocket" expenses as they relate to the project through specific Work Orders. Such expenses will be due upon receipt on a monthly basis. Typical expenses will include travel and hotel as well as pre-approved expenditures necessary for the progression and completion of project(s).

4. NEW PROJECT APPROVAL. Consultant and Client recognize that Consultant's Services may include working on various projects for Client. It shall be construed that Consultant has approval to begin project work when presented with appropriate and required signed Work Order prior to the start of a project.

5. TERM/TERMINATION. This Agreement shall remain in force until such time as there is proper termination by either Consultant or Client. Such proper termination shall consist of written notice by either party to the other party informing them of the desire to terminate the specific Work Order in force at the time. Additional notification will be required to also terminate the BASIC ORDERING AGREEMENT (BOA) which is the governing document to this contract.

6. RELATIONSHIP OF PARTIES. It is understood by the parties that Consultant is an independent contractor with respect to the work being performed, and not an employee of Client. Client will not provide fringe benefits, including health insurance benefits, paid vacation, or any other employee benefit, for the benefit of Consultant.

7. EMPLOYEES. Consultant's employees, if any, who perform services for Client under this Agreement shall also be bound by the provisions of this Agreement. At the request of Client, Consultant shall provide adequate evidence that such persons are Consultant's employees.

8. INDEMNIFICATION. Client agrees to indemnify and hold Consultant harmless from all claims, losses, expenses, fees including attorney fees, costs, and judgments that may be asserted against Consultant that result from the acts or omissions of Client, Consultant, Consultant's employees, or Contractors if any.

9. INTELLECTUAL PROPERTY. The following provisions shall apply with respect to copyrightable works, ideas, discoveries, inventions, applications for patents, and issued patents (collectively, "Intellectual Property"):

a. Intellectual Property developed under contract. All finalized deliverables provided by Consultant under this Agreement shall, to the extent permitted under the United States Copyright ct, be deemed a "work made for hire." Client will have the rights to use any finished deliverables in their finalized form. Source documents, such as program source code, Photoshop files (.psd), Macromedia Flash source files (.fla), or otherwise shall remain the sole property of Consultant unless specified in approved Work Order.

b. Intellectual Property developed outside of contract. Any intellectual property developed by Consultant or Client outside of this contract will remain the property of the developing parties with no claims made by the other for ownership.

10. CONFIDENTIALITY AND DISCLOSURE. Client recognizes that Consultant has and will have the following information: Information considered proprietary relating to Client's product either through business or technology means and other proprietary information (collectively, "Information") which are valuable, special and unique assets of Client and need to be protected from improper disclosure.

In consideration for the disclosure of the Information, Consultant agrees that Consultant will not at any time or in any manner, either directly or indirectly, use any Information for Consultant's own benefit, or divulge, disclose, or communicate in any manner any Information to any third party without the prior written consent of Client. Consultant will protect the Information and treat it as strictly confidential. A violation of this paragraph shall be a material violation of this Agreement.

Furthermore, for purposes of this Agreement, confidential information shall be defined to exclude information in the public domain, information in the possession of the Consultant prior to this Agreement, information that becomes public domain by no action of the Consultant, and information obvious to a person skilled in the art.

Consultant may use Client's confidential information only for the purposes of rendering the services to Client as outlined in this Agreement. Unless otherwise agreed to in writing, between the parties to this Agreement, Consultant shall not: reproduce, copy, divulge or use any confidential information to be produced, copied, duplicated, divulged, or used, except as expressly permitted above.

11. UNAUTHORIZED DISCLOSURE OF INFORMATION. If it appears that Consultant has disclosed (or has threatened to disclose) Information in violation of this Agreement, Client shall be entitled to an injunction to restrain Consultant from disclosing, in whole or in part, such Information, or from providing any services to any party to whom such Information has been disclosed or may be disclosed. Client shall not be prohibited by this provision from pursuing other remedies, including a claim for losses and damages.

12. CONFIDENTIALITY AFTER TERMINATION. The confidentiality provisions of this Agreement shall remain in full force and effect after the termination of this Agreement.

13. RETURN OF RECORDS. Upon termination of this Agreement, Consultant and Client shall deliver to each other all records, notes, data, memoranda, models, and equipment of any nature that are in Consultant's or Client's possession or under Consultant's or Client's control and that are Client's or Consultant's property or relate to Client's or Consultant's business.

14. WARRANTIES. a. WARRANTY AGAINST MATERIAL DEFECTS. For the period from delivery to Client acceptance, Consultant warrants deliverables free from errors and defects and to materially conform to the specifications set forth in the Work Order. If, during the term of this warranty, the Client reasonably determines that the deliverables fail to perform as specified, Consultants will make available resource to remedy any defects at rates established in the Work Order. The warranty contained in this Agreement will be null and void if the Client fails to use deliverables in accordance with intent or specifications.

b. WARRANTY OF GOOD TITLE. If intellectual property is transferred, Consultant warrants that it has the right to transfer good and legal title to Client. The Consultant represents that it will not knowingly infringe upon proprietary rights of any third party.

c. WARRANTY DISCLAIMER. Except as expressly set forth in this Agreement or a Work Order, the Consultant makes no other warranty with respect to this Agreement or in any performance hereunder, express or implied, and the Consultant expressly disclaims the implied warranties of merchantability and fitness for a particular purpose.

15. FORCE MAJEURE. Neither party to this Agreement shall be liable for failure to perform or delay in performance of any of its obligations under this Agreement (except payments already due and owing) where such failure or delay results from the act of God, military operation, national emergency, civil commotion, or utility, or the order, requisition, request or recommendation of any government agency or acting government authority, or any party's compliance therewith, or government probation, regulation, or priority, or any change in laws or regulations which prevent any party from providing services required by this Agreement, or any other cause beyond any party's reasonable control whether similar or dissimilar to the foregoing causes.

16. NOTICES. All notices required or permitted under this Agreement shall be in writing and shall be deemed delivered when delivered in person or deposited in the United States mail, postage prepaid, addressed as follows:

IF for Client:

CLIENT ADDRESS

IF for Consultant:

CragStone
3717 North Wayne Avenue, Suite 200
Chicago, IL 60613

Such address may be changed from time to time by either party by providing written notice to the other in the manner set forth above.

17. ENTIRE AGREEMENT. This Agreement contains the entire Agreement of the parties and there are no other promises or conditions in any other Agreement whether oral or written. This Agreement supersedes any prior written or oral Agreements between the parties.

18. AMENDMENT. This Agreement may be modified or amended if the amendment is made in writing and is signed by both parties.

19. SEVERABILITY. If any provision of this Agreement shall be held to be invalid or unenforceable for any reason, the remaining provisions shall continue to be valid and enforceable. If a court finds that any provision of this Agreement is invalid or unenforceable, but that by limiting such provision it would become valid and enforceable, then such provision shall be deemed to be written, construed, and enforced as so limited.

20. WAIVER OF CONTRACTUAL RIGHT. The failure of either party to enforce any provision of this Agreement shall not be construed as a waiver or limitation of that party's right to subsequently enforce and compel strict compliance with every provision of this Agreement.

21. APPLICABLE LAW. This Agreement shall be governed by the laws of the State of Nevada and both parties to this Agreement further agree to enter into mediation in order to resolve any disputes that can not be resolved through regular business negotiation. This mediation will be in lieu of any legal court action brought by either party.

 
 
 
home  ::  small business center  ::  about us  ::  services  ::  contact us
special offer registry  ::  edge series  ::  add-ons  ::  our portfolio  ::  things to consider
CragStone © 2005  ::  privacy policy :: terms of use :: order agreement