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<br />such Rerlod has expired, except as set forth below in this
<br />subsection.
<br />For additional licenses for which the Customer has made copies
<br />pursuant to the subsection entitled "Additional licenses" and for
<br />which there is no testing period, periodic charges will commence
<br />and Of her charges will be due upon the Effective Date for
<br />Additional License designated in the Supplement.
<br />Process charges will be due upon receipt by the Customer of
<br />the licensed program materials to which such charges apply and
<br />are not refundable even if the Customer discontinues the licensed
<br />program prior to or during the testing period.
<br />Payment will be made as stated in the invoice.
<br />Applicable Taxes
<br />In addition to the charges due under this Agreement, the
<br />Customer agrees to pay amounts equal to any taxes resulting
<br />from this Agreement, or any activities hereunder, exclusive of
<br />taxes.,based on IBM's net income.
<br />Price Changes
<br />Periodic charges are subject to change by IBM upon three
<br />months' written notice to the Customer. Any changes in periodic
<br />charges become effective on the first day of the Period which
<br />commences on or after the effective date specified in the notice.
<br />Initial charges, one-time charges, process or upgrade charges.
<br />and charges for licensed optional materials are subject to change
<br />without prior notice except that such charges shall not be
<br />increased if, prior to the date of the notice. 1) the licensed program
<br />materials had been shipped by IBM, or 2) the Customer had
<br />copied licensed program materials pursuant to the subsection
<br />entitled "Additional Licenses." In addition, if the Customer's
<br />written order was received by IBM prior to the announcement of
<br />such increase in charges. such charges shall not be increased if,
<br />within one month after the date of notice, shipment of the licensed
<br />program materials occurs or the Customer copies licensed
<br />program materials pursuant to the subsection entitled "Additional
<br />Licenses."
<br />If charges are increased for any licensed program materials, tl18
<br />Customer may discontinue them in accordance with the
<br />provisions of this Agreement; otherwise, the new charges will
<br />become effective.
<br />
<br />SHIPMENT
<br />The Estimated Shipment Date for licensed programs will be
<br />specified by IBM. However, IBM does not represent or warrant
<br />that such shipment date will be met.
<br />IBM will notify the Customer of the type of program storage
<br />media required for shipment. Unless returnable or disposable
<br />media are used, the program storage media mus~' be provided by
<br />the Customer or ordered from IBM at the applicable charge.
<br />Except when otherwise specified by IBM. licensed program ma-
<br />terials will be shipped to the Customer without Shipping charge.
<br />Any special shipment requested by the Customer will be at
<br />Customer expense.
<br />
<br />LICENSED PROGRAM TESTING
<br />For each licensed program IBM will specify the testing period, If
<br />any, during which the licensed program will be made available for
<br />nonproductive use. The purpose of the testing period is to permit
<br />the Customer to determine whether the licensed program
<br />functions selected by the Customer operate together and to assist
<br />the Customer in determining whether the licensed program meets
<br />the Customer's requirements. The testing period will begin 10
<br />days after shipment of the licensed program by IBM or on the
<br />Effective Date for Additional License. unless otherwise specified.
<br />The Customer may discontinue the licensed program. upon
<br />written notice effective immediately. at any time during the testing
<br />period, in which event periodic charges, one-time charges, initial
<br />charges, upgrade charges and licensed optional materials
<br />charges will not be due. However, process charges will be
<br />payable. Unless such notice of discontinuance is given, the
<br />Customer will be deemed, at the end of the testing period. to have
<br />decided to retain the licensed program under the provisions of this
<br />Agreement.
<br />In the event that the licensed program is used for productive
<br />purposes during the testing period, the Customer will notify IBM
<br />and the testing period wi II be deemed to have ended as ofthe date
<br />upon which the Customer commences productive use
<br />Subsequent releases, if any, of a licensed program which have
<br />the same program number will be made available to the Customer
<br />
<br />2125-9029-01
<br />
<br />for productive use and/or test on the designated machine while
<br />the Customer continues productive use of a previous release on
<br />that machine and pays applicable charges therefor. The Customer
<br />has the right to decide whether to intall any such releases or
<br />continue use of a previous release having given due regard to the
<br />provisions of the section entitled "Program Services."
<br />In the event of discontinuance of a licensed program and
<br />subsequent reordering of the same licensed program forthe same
<br />installation (or location, when IBM has specified "Location
<br />License Applies"). there will be no testing period for the
<br />subsequent license.
<br />
<br />RISK OF LOSS
<br />If licensed program materials are lost or damaged during
<br />shipment from IBM. IBM will replace such licensed program
<br />materials and program storage media at no additional charge to
<br />the Customer.
<br />If licensed program materials are lost or damaged while in the
<br />possession of the Customer. IBM will replace such licensed
<br />program materials at the applicable charges. if any. for
<br />processing, distribution. and/or program storage media.
<br />
<br />EARLY SHIPMENT OF LICENSED PRINTED MATERIALS
<br />When the Customer has received a Supplement issued by IBM
<br />for a generally available licensed program, licensed program
<br />materials which are provided by IBM in printed form will, upon
<br />Customer request, be shipped to the Customer up to six months
<br />prior to shipment of the machine readable portion of the licensed
<br />program materials. The licensed printed materials, thus provided,
<br />may not be copied in any form for any purpose.
<br />If the Customer does not request that the machine readable
<br />portion of the licensed program materials be shipped within six
<br />months following the date of shipment of the licensed printed
<br />materials, the Customer will discontinue the license and return or
<br />destroy the printed materials
<br />The charge for early shipment of licensed printed materials will
<br />consist of any applicable process charges.
<br />Program services. if any, will not be provided prior to shipment
<br />of the machine readable portion of the licensed program
<br />materials.
<br />
<br />PROGRAM SERVICES
<br />For each licensed program, IBM will specify the types and
<br />durations of program services, if any. to be provided without
<br />additional charge for a current release of the licensed program.
<br />Program services will commence at the beginning of the licensed
<br />program testing period or. if there is no testing period for that
<br />license, when periodic charges commence or other charges are
<br />due. Program services will be sUbject to the provisions of the
<br />section entitled "Specified Operating Environment."
<br />
<br />Types of Service
<br />Central Service - When Centra! Service is specified one or
<br />more service locations will be designated which will accept
<br />documentation, in a format prescribed by IBM, indicating that a
<br />problem is caused by a defect in the licensed program. Central
<br />Service will respond to a defect in the unaltered portion of a
<br />current release of the licensed program by issuing: defect
<br />correction information such as correction documentation, cor-
<br />rected code. or notice of availability of corrected code; or a
<br />restriction or a bypass. Unless Local Service is also specified for
<br />the licensed program, the Customer will be responsible for the
<br />preparation and submission of documentation to Central Service.
<br />IBM may also establish a center (Support Center) to provide the
<br />Customer with telephone assistance in problem diagnosis and
<br />resolution. When a Support Center is established for a licensed
<br />program and a problem occurs wtlich the Customer believes is
<br />related to the use of a licensed program, the Customer will contact
<br />the Support Center and will perform appropriate problem
<br />definition activities and remedial actions, as prescribed by the
<br />Support Center, prior to any dispatch of an IBM representative.
<br />IBM also offers other services through Support Centers with or
<br />without charge, as applicable
<br />Local Servlce~When Local Service is specified and a problem
<br />occurs which the Customer determines is caused by the use of a
<br />licensed program and the diagnosis of the IBM representative
<br />indicates the problem is caused by a defect in the unaltered
<br />portion of a current release of the licensed program. the IBM
<br />representative will perform the following problem resolution
<br />activities:
<br />
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