BCSI » Topics » 26. CONFIDENTIALITY

These excerpts taken from the BCSI 10-K filed Jun 30, 2008.

17. CONFIDENTIALITY

17.1 Proprietary Information. Prior to and during the performance of this Agreement, the parties may disclose or furnish to each other proprietary marketing, technical or business information either verbally or in tangible form (the “Confidential Information”). Any information concerning Product design, the Base Unit, construction, assembly, manufacture, development, or architecture or the Product, and information concerning the business, products, marketing efforts, technology or finances of Blue Coat shall be deemed to be the Confidential Information of Blue Coat. All information

 

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referenced in Section 6.2 and 8.6 above and any information concerning proprietary electronics and manufacturing techniques (except those invented pursuant to Synnex’s obligations under the Agreement) and information concerning the business, products, marketing efforts, technology or finances of Synnex, shall be deemed to be the Confidential Information of Synnex. All Confidential Information of the disclosing party shall be held in confidence by the receiving party and not directly or indirectly disclosed, copied or used. The terms and existence of this Agreement are confidential and neither party shall disclose such information except as required by operation of law or regulatory authority.

17.2 Non-Confidential Information. The confidentiality obligation set forth in Section 17.1, shall not apply to information that (a) is already known to the receiving party without any obligation of confidentiality; (b) has entered the public domain through no action or inaction of the receiving party; (c) is generally available to the public; or (d) was disclosed to the receiving party by a third party not in violation of the disclosing party’s proprietary rights.

17.3 Injunction. Each party acknowledges that the Confidential Information of the disclosing party constitutes valuable trade secrets of the disclosing party and that the unauthorized disclosure or use of such Confidential Information by the receiving party will cause irreparable harm, for which no remedies of law will be adequate. Accordingly, the parties agree that the disclosing party shall have the right, in addition to any other remedies, to obtain injunctive relief against the receiving party in the event that the receiving party breaches the confidentiality obligations set forth in this Section 17.

18. INFRINGEMENT INDEMNIFICATION. Blue Coat shall defend, indemnify and hold harmless Synnex with respect to any claim, demand, cost or expense (including reasonable attorney’s fees), settlement, and damages finally awarded to the extent that it is based upon a third party claim that a Product infringes any United states or foreign patent, copyright, trademark or trade secret. Blue Coat’s indemnification obligations herein are conditioned upon Synnex (a) providing prompt notice of any indemnifiable claim to Blue Coat, (b) permitting Blue Coat to assume sole control of the defense and settlement of such claim or action provided that Blue Coat does not prejudice Synnex’s position by admitting liability for Synnex for which Blue Coat has no obligation to indemnify Synnex or cause Synnex to incur any costs for which Blue Coat has no obligation to indemnify Synnex (in such case, Synnex must provide consent for the settlement, such consent not to be unreasonably withheld or delayed), and (c) Synnex reasonably cooperating (at Blue Coat’s expense) in the defense and settlement thereof. The foregoing states the sole and exclusive remedy and obligations of Blue Coat for infringement arising from this Agreement.

19. LIENS AND SECURITY INTERESTS. Synnex warrants that Synnex has not and will not, directly or indirectly create, incur or permit to exist any lien, encumbrances or security interest on or with respect to the Components or Products during the term (except those persons claiming by, through or under Blue Coat).

 

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26. CONFIDENTIALITY

26.1 Proprietary Information. Prior to and during the performance of this Agreement, the parties may disclose or furnish to each other proprietary marketing, technical or business information either verbally or in tangible form (the “Confidential Information”); all or any of which have been identified or marked at the time of disclosure as “proprietary” or “confidential” by the disclosing party and, if not in tangible form, reduced to writing marked in a manner to indicate its confidential nature and furnished to the receiving party within ninety (90) days of the initial disclosure. Notwithstanding the above, the Product Design Document(s), the Product Information Document(s), any information concerning Product design, construction, assembly, manufacture, development, or architecture or a Product and information concerning Customers shall be deemed to be the Confidential Information of Blue Coat regardless of being marked as such. Confidential Information of the disclosing party shall be held in confidence by the receiving party and not directly or indirectly disclosed, copied or used by the receiving party (except as necessary to perform under this Agreement). Each party agrees that, except as may be required by law, including the rules and regulations of the United States Securities and Exchange Commission, the terms and existence of this Agreement are confidential and neither party shall disclose such information. Notwithstanding the foregoing, each party may, without further consent of the other party, disclose the contents of this Agreement to its shareholders, potential acquirors, accountants, professional and financial advisors, insurers and other persons necessary for the functioning of such party’s business operations.

26.2 Non-Confidential Information. Confidential Information shall not include information that (a) is already known to the receiving party without any obligation of confidentiality; (b) has entered the public domain through no action or inaction of the receiving party; (c) is generally available to the public; (d) was disclosed to the receiving party by a third party not in violation of the disclosing party’s proprietary rights or (e) independently developed by the receiving party without access to the Confidential Information or (f) is required to be disclosed in accordance with a judicial or other governmental order, provided that, the receiving party, subject to what is permitted under the applicable law, either (i) gives the disclosing party reasonable notice prior to such disclosure to allow the disclosing party a reasonable opportunity to seek a protective order or equivalent, or (ii) obtains a written assurance from the competent judicial or governmental entity that it will afford Confidential Information the highest level of protection afforded under the applicable law or regulation.

26.3 Injunction. Each party acknowledges that the Confidential Information of the disclosing party constitutes valuable trade secrets of the disclosing party and that the unauthorized disclosure or use of such Confidential Information by the receiving party will cause irreparable harm, for which no remedies of law will be adequate. Accordingly, the parties agree that the disclosing party shall be entitled to injunctive relief against the receiving party in the event that the receiving party breaches the confidentiality obligations set forth in this Section 26.

26.4 Insider Trading. Vendor acknowledges that it is aware that Blue Coat is a publicly-traded company and that its Confidential Information may constitute material non-public information under U.S. securities laws and regulations. As such, Vendor shall ensure that its agents and employees are contractually prohibited from transacting in Blue Coat’s securities based on such Confidential Information or from communicating such Confidential Information to others in connection with the trading of such securities.

 

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Design & Manufacturing Services Agreement

 

26.5 Data Security. The receiving party shall implement safeguards and procedures to prevent unauthorized access to, and the destruction, loss, misuse or improper alteration of, all Confidential Information of the disclosing party. If the receiving party becomes aware of any unauthorized access to the disclosing party’s Confidential Information, it shall report immediately in detail such incident to the disclosing party and take appropriate remedial actions. Vendor will comply with Blue Coat’s written requirements for vendors and offsite development companies, as Vendor is notified of such requirements which may be revised from time to time. In addition to such requirements, Vendor will also adhere to data security requirements and procedures, that provide for, without limitation: (i) the highest industry standard security systems, computers and technologies, including firewalls and encryption; (ii) physical security procedures, including security guards and regular monitoring of all work areas; (iii) background checks on Vendor’s personnel; (iv) restriction of use and copying of Blue Coat Confidential Information on a “need-to-know” basis and only at authorized locations; (v) regular monitoring of the transport and storage of Blue Coat Confidential Information; (vi) regular monitoring of password procedures; and (vii) regular and random monitoring of Suppliers and other employees providing Design Services or working on Blue Coat Products.

26. CONFIDENTIALITY

26.1 Proprietary Information. Prior to and during the performance of this Agreement, the parties may disclose or furnish to each other proprietary marketing, technical or business information either verbally or in tangible form (the “Confidential Information”); all or any of which have been identified or marked at the time of disclosure as “proprietary” or “confidential” by the disclosing party and, if not in tangible form, reduced to writing marked in a manner to indicate its confidential nature and furnished to the receiving party within ninety (90) days of the initial disclosure. Notwithstanding the above, the information contained in the Product Design Document(s), the information contained in the Product Information Document(s), any Product Information, and information concerning Customers shall be deemed to be the Confidential Information of Blue Coat regardless of being marked as such. Confidential Information of the disclosing party shall be held in confidence by the receiving party and not directly or indirectly disclosed, copied or used by the receiving party (except as necessary to perform under this Agreement). Each party agrees that, except as may be required by law, including the rules and regulations of the United States Securities and Exchange Commission, the terms and existence of this Agreement are confidential and neither party shall disclose such information. Notwithstanding the foregoing, each party may, without further consent of the other party, disclose the contents of this Agreement to its shareholders, potential acquirors, accountants, professional and financial advisors, insurers and other persons necessary for the functioning of such party’s business operations and who are bound by terms and conditions of confidentiality no less restrictive than the terms contained in this Agreement.

26.2 Non-Confidential Information. Confidential Information shall not include information that (a) is already known to the receiving party without any obligation of confidentiality; (b) has entered the public domain through no action or inaction of the receiving party; (c) is generally available to the public; (d) was disclosed to the receiving party by a third party without a duty of confidentiality; (e) independently developed by the receiving party without access to the Confidential Information or (f) is required to be disclosed in accordance with a judicial or other governmental order, provided that, the receiving party, subject to what is permitted under the applicable law, either (i) gives the disclosing party reasonable notice prior to such disclosure to allow the disclosing party a reasonable opportunity to seek a protective order or equivalent, or (ii) obtains a written assurance from the competent judicial or governmental entity that it will afford Confidential Information the highest level of protection afforded under the applicable law or regulation.

 

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Design & Manufacturing Services Agreement

 

26.3 Injunction. Each party acknowledges that the Confidential Information of the disclosing party constitutes valuable trade secrets of the disclosing party and that the unauthorized disclosure or use of such Confidential Information by the receiving party will cause irreparable harm, for which no remedies of law will be adequate. Accordingly, the parties agree that the disclosing party shall be entitled to injunctive relief against the receiving party in the event that the receiving party breaches the confidentiality obligations set forth in this Section 26.

26.4 Insider Trading. Each party acknowledges that it is aware that the other party is a publicly-traded company and that its Confidential Information may constitute material non-public information under U.S. or Taiwan securities laws and regulations. As such, each party shall ensure that its agents and employees are contractually prohibited from transacting in the other party’s securities based on such Confidential Information or from communicating such Confidential Information to others in connection with the trading of such securities.

26.5 Data Security. The receiving party shall implement safeguards and procedures to prevent unauthorized access to, and the destruction, loss, misuse or improper alteration of, all Confidential Information of the disclosing party. If the receiving party becomes aware of any unauthorized access to the disclosing party’s Confidential Information, it shall report immediately in detail such incident to the disclosing party and take appropriate remedial actions. Vendor will comply with Blue Coat’s written requirements for vendors and offsite development companies, as Vendor is notified of such requirements which may be revised from time to time. In addition to such requirements, the receiving party will also adhere to data security requirements and procedures, that provide for, without limitation: (i) the highest industry standard security systems, computers and technologies, including firewalls and encryption; (ii) physical security procedures, including regular monitoring of all work areas; (iii) background checks on its personnel; (iv) restriction of use and copying of the disclosing party’s Confidential Information on a “need-to-know” basis and only at authorized locations; (v) regular monitoring of the transport and storage of the disclosing party’s Confidential Information; (vi) regular monitoring of password procedures; and (vii) regular and random monitoring of Suppliers and other employees providing Design Services or working on Blue Coat Products.

17. CONFIDENTIALITY

FACE="Times New Roman" SIZE="2">17.1 Proprietary Information. Prior to and during the performance of this Agreement, the parties may disclose or furnish to each other proprietary marketing, technical or business information either verbally or
in tangible form (the “Confidential Information”). Any information concerning Product design, the Base Unit, construction, assembly, manufacture, development, or architecture or the Product, and information concerning the business,
products, marketing efforts, technology or finances of Blue Coat shall be deemed to be the Confidential Information of Blue Coat. All information

 


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referenced in Section 6.2 and 8.6 above and any information concerning proprietary electronics and manufacturing techniques (except those invented
pursuant to Synnex’s obligations under the Agreement) and information concerning the business, products, marketing efforts, technology or finances of Synnex, shall be deemed to be the Confidential Information of Synnex. All Confidential
Information of the disclosing party shall be held in confidence by the receiving party and not directly or indirectly disclosed, copied or used. The terms and existence of this Agreement are confidential and neither party shall disclose such
information except as required by operation of law or regulatory authority.

17.2 Non-Confidential Information. The confidentiality
obligation set forth in Section 17.1, shall not apply to information that (a) is already known to the receiving party without any obligation of confidentiality; (b) has entered the public domain through no action or inaction of the
receiving party; (c) is generally available to the public; or (d) was disclosed to the receiving party by a third party not in violation of the disclosing party’s proprietary rights.

STYLE="margin-top:12px;margin-bottom:0px; text-indent:4%">17.3 Injunction. Each party acknowledges that the Confidential Information of the disclosing party constitutes valuable trade secrets of the
disclosing party and that the unauthorized disclosure or use of such Confidential Information by the receiving party will cause irreparable harm, for which no remedies of law will be adequate. Accordingly, the parties agree that the disclosing party
shall have the right, in addition to any other remedies, to obtain injunctive relief against the receiving party in the event that the receiving party breaches the confidentiality obligations set forth in this Section 17.

STYLE="margin-top:12px;margin-bottom:0px">18. INFRINGEMENT INDEMNIFICATION. Blue Coat shall defend, indemnify and hold harmless Synnex with respect to any claim, demand, cost or expense (including
reasonable attorney’s fees), settlement, and damages finally awarded to the extent that it is based upon a third party claim that a Product infringes any United states or foreign patent, copyright, trademark or trade secret. Blue Coat’s
indemnification obligations herein are conditioned upon Synnex (a) providing prompt notice of any indemnifiable claim to Blue Coat, (b) permitting Blue Coat to assume sole control of the defense and settlement of such claim or action
provided that Blue Coat does not prejudice Synnex’s position by admitting liability for Synnex for which Blue Coat has no obligation to indemnify Synnex or cause Synnex to incur any costs for which Blue Coat has no obligation to indemnify
Synnex (in such case, Synnex must provide consent for the settlement, such consent not to be unreasonably withheld or delayed), and (c) Synnex reasonably cooperating (at Blue Coat’s expense) in the defense and settlement thereof. The
foregoing states the sole and exclusive remedy and obligations of Blue Coat for infringement arising from this Agreement.

19. LIENS AND SECURITY
INTERESTS.
Synnex warrants that Synnex has not and will not, directly or indirectly create, incur or permit to exist any lien, encumbrances or security interest on or with respect to the Components or Products during the term (except those
persons claiming by, through or under Blue Coat).

 


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EXCERPTS ON THIS PAGE:

10-K (4 sections)
Jun 30, 2008
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