required. The Company waives strict compliance with these provisions
for any holiday week, provided that the Distributor makes reasonable good faith
efforts to supply all Territory customers.
3
B. The Company shall at least annually conduct a Distributor performance review
to determine whether the Distributor is making a good faith effort to comply
with this Agreement, and to secure full distribution. The Company will
thereafter inform the Distributor about the result of the review, and as
required, will thereafter discuss ways in which the Distributor can improve its
performance.
2.05
Distributor Use of Trademarks, Etc.
The Distributor will use the SBSI trademarks, service marks, intellectual
property, symbols, slogans, and advertising material (hereinafter referred to as
the "Materials") only upon such terms and conditions as SBSI may from time to
time prescribe. In the event that this Agreement is terminated for any reason
whatsoever, the Distributor shall forthwith discontinue the use of the
Materials, and shall forthwith return to SBSI all Materials in the possession of
the Distributor on which any such Materials appear. It is understood that if the
Distributor paid SBSI for such Material, SBSI shall have the right to purchase
the same from the Distributor for the receipted cost price paid by the
Distributor.
2.06
Uniforms
It is important for the Distributor to assist SBSI in promoting and
increasing recognition of the Service Marks and Materials. In accordance
therewith, the Distributor agrees that whenever any sales representative
employed by the Distributor is contacting customers or delivering Beverages,
said employees will wear Distributor furnished uniforms approved by the Company.
Notwithstanding the provisions hereof, SBSI may in its sole discretion from time
to time supply uniforms, or clothing to the Distributor for use by its
employees, or for distribution to customers.
2.07 Other Products
By complying with the Company's service and payment standards under this
Agreement, the Distributor shall be entitled to bottle, sell or distribute
products beyond an area five (5) miles distant from the Territory, as long as
such products: are not competing products; do not utilize names substantially
similar to any of the Licensed Marks; and the Distributor does not use delivery
vehicles identified by Licensed Marks. The term "competing products" is intended
to include any product which a store or ultimate consumer might confuse with the
Beverages, or which might be sold in place of Company Beverages within the
Territory or the other distributor territories. The term competing products may
also change from time to time in the event that SBSI alters the product line
offered to the Distributor. In the event that a Distributor wishes to handle a
product other than one supplied by the Company, the Distributor will discuss the
product with the Company in an attempt to reach agreement as to whether the
product is a competing product. While selling or distributing such other
products, and absent the express written and discretionary approval of the
Company, the Distributor will not use delivery vehicles, uniforms, or Licensed
Marks which include Company references or identifications.