Document:

Exhibit 4.3

 

LICENSE AGREEMENT

 

This License Agreement (the Agreement) is made effective as of the April 28,2003 (the “Effective Date”), between the UNIVERSITY OF CONNECTICUT (“UCONN”) c/o the Center for Science and Technology Commercialization, 263 Farmington Avenue, Farmington, CT 06030-6207 and OPEL, INC. (“OPEL”) having a principal place of business at 22 Quail Run, Mansfield, CT 06268.

 

RECITALS

 

WHEREAS, UCONN, in the laboratory under the direction of Dr. Geoff Taylor, has been engaged in basic research in the field of gallium arsenide-based technology for development of integrated optoelectronic components, and devices for communication;

 

WHEREAS, that research led to the patents and patent applications listed in Exhibit A, which are owned or jointly owned by UCONN and which are included in the Intellectual Property (as defined in Section 1.4, below); and

 

WHEREAS, OPEL is desirous of obtaining, and UCONN wishes to grant to OPEL, an exclusive license (as defined below) to the Intellectual Property in order that the Intellectual Property be commercially developed.

 

NOW, Therefore, OPEL and UCONN agree as follows:

 

ARTICLE I

DEFINITIONS

 

Section 1.1 “Expiration Date” means the date upon which the last patent included in the Patent Rights expires or otherwise becomes no longer valid.

 

Section 1.2 “Field” means all optical, electronic, and optoelectronic integrated circuit applications, including but not limited to components and devices for communications, computing, and imaging.

 

Section 1.3 “Improvements” means any modification, correction, addition, extension, upgrade, variation, enhancement, use, indication, or method of fabrication or production as may be generated by or under the direction of Dr. Geoff Taylor at UCONN during the term of this Agreement, that falls within the claims of the Patent Rights, whether owned solely or jointly by UCONN.

 

Section 1.4 “Intellectual property” means all Patent Rights, Related Technology and Improvements.

 

Section 1.5 “Patent Rights” means all United States and foreign patents and/or patent applications referred to on Exhibit A attached hereto and incorporated herein by reference, and continuations, continuations-in-part, divisionals, joint inventions that exist as of the date of this

 

 

Agreement for which US and/or foreign patent applications are in the future filed, issued patents, patent applications in preparation, provisional patent applications, patent extensions, reissues, re-examinations, renewals, substitutions and supplementary protection certificates or additions thereof, and all other United States and foreign patents and/or patent applications which UCONN owns in whole or in part, including but not limited to its joint ownership of certain patents with Opel, or has a right to license, including, but not limited to, continuations, continuations-in-part, divisionals, issued patents, patent applications in preparation, provisional patent applications, patent extensions, reissues, re-examinations, renewals, substitutions and supplementary protection certificates or additions claiming: (i) any invention in the Field; (ii) any Improvement; and/or (iii) any use, indication, or method for fabrication or production of same, conceived, discovered, characterized, synthesized, reduced to practice and/or conducted by or under the direction of Dr. Geoff Taylor at UCONN prior to the Effective Date or during the term of this Agreement.

 

Section 1.6 “Product” means any optoelectronic component or device for any product or any process in the Field, whose manufacture, use, sale or import would, absent the license granted to OPEL hereunder, infringe one or more claims of the Patent Rights. Product, as that term is defined herein shall not include products used in customer and strategic association or partner alpha or beta tests, samples and prototypes.

 

Section 1.7 “Related Company’’ means any subsidiary of OPEL and/or any entity the voting stock of which is directly or indirectly at least’ fifty percent (50%) owned or controlled by OPEL; an entity which directly or indirectly controls at least fifty percent (50%) of the voting stock of OPEL; or an entity at least fifty percent (50%) of which is owned by another entity and wherein the other entity owns at least fifty percent (50%) of OPEL.

 

Section 1.8 “Related Technology” means proprietary information, samples of optoelectronic components or devices, know-how, and data that UCONN owns that is generated by or under the direction of Dr. Geoff Taylor at UCONN, prior to the Effective Date or during the term of this Agreement, which is in the Field.

 

Section 1.9 “Sublicensee” means any sublicensee other than a Related Company of all or any portion of the rights granted to OPEL by UCONN under this Agreement.

 

Section 1.10 “Sublicense Revenues” means any payments and/or the fair market value at the time of receipt by Opel of other consideration that OPEL receives from a Sublicensee in consideration for a sublicense of Intellectual Property rights granted OPEL under this Agreement, including without limitation license fees, royalties, milestone royalty payments that are not made in consideration for engineering services performed by or on behalf of OPEL, and license maintenance fees, but excluding (i) the payments specifically committed to research relating to a Product and (ii) investments by any Sublicensee(s) in equity or debt or similar investments convertible into equity of Opel.

 

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ARTICLE II

INTELLECTUAL PROPERTY; LICENSE GRANTS

 

Section 2.1 License Grant. UCONN hereby grants to OPEL an exclusive as to all parties, including UCONN, world-wide, transferable license in the Field, with the unrestricted right to sublicense at any tier to any person or party: (i) under the Patent Rights, to discover, develop, make, have made, import, have imported, use, have used, sell, have sold, offer for sale, have offered for sale, and otherwise exploit Products and to practice all other applications; and (ii) to copy, use, display, prepare derivative works of, and distribute all of any portion of Related Technology.

 

Section 2.2 Retained. UCONN retains the rights to make, have made and use the Intellectual Property (unmodified by or for OPEL) for noncommercial educational and research purposes at UCONN or at other educational institutions, including the right of UCONN to send gallium arsenide-based optoelectronic components or devices to its academic collaborators (other than components or devices fabricated by or for OPEL), provided that the academic collaborators receiving any Intellectual Property or Products shall be obligated in a writing to not disclose or transfer such Intellectual Property or Products to, or otherwise share Related Technology with, third parties and to not use such Intellectual Property or Products in research sponsored by or in collaboration with third party commercial entities without prior written approval of both UCONN and OPEL. In no event shall UCONN (i) transfer Intellectual Property or Products for sale or other distribution to third parties other than to educational institutions for the above-stated purposes and under the above-stated conditions, or (ii) provide to any party practical information or instructions regarding the actual fabrication of Products consisting of gallium arsenide-based optoelectronic components or devices or related Products. Any such academic collaborators of UCONN must, in advance, enter a non-disclosure and non-use agreement that contains the above prohibitions, that covers such components and devices and is satisfactory to UCONN and OPEL and is executed before delivery of such components or devices to the academic collaborator.

 

Section 2.3 Ownership. OPEL shall own without restriction and without charge or royalty all intellectual property and technology that it had rights to prior to the Effective Date of this Agreement, or that it develops or which is developed for it or on its behalf by a third party during the term of this Agreement, including intellectual property developed by Opel at UCONN facilities without the collaboration of UCONN employees. Intellectual Property in the Field made jointly by OPEL and UCONN either prior to the date of this Agreement or subsequently shall be jointly owned by OPEL and UCONN. Nothing in this Agreement will impair OPEL’s right to independently acquire, license, develop for itself, or have others develop for it, intellectual property and technology performing similar functions as the Intellectual Property or to market and distribute products other than Products based on such other intellectual property and technology. All Intellectual Property developed by UCONN, without any collaboration or funding of OPEL and without using any intellectual property developed by, for or with OPEL shall be owned by UCONN and shall be subject to the terms of this Agreement and shall automatically become Intellectual Property that is exclusively licensed to OPEL subject to the terms of this Agreement. From time to time at the request of Opel, UCONN shall provide an updated Exhibit A listing the then current Patent Rights. For the purpose of this Agreement and only to the extent that it does not conflict with his role, responsibility and obligations as a full

 

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time member of the faculty of UCONN, all work done by Dr. Geoff Taylor in his capacity as an executive of OPEL shall not be attributable to UCONN.

 

Section 2.4 Government Funding. To the extent that UCONN’s Intellectual Property was or in the future is developed with the support of federal and/or state funding, the licenses granted hereunder are subject to certain rights the respective government funding sources may have to the Intellectual Property under the terms of the funding contracts.

 

Section 2.5 Information; Cooperation. UCONN shall supply to OPEL all Related Technology and all information in the Field that is or was generated by or under the direction of Dr. Geoff Taylor at UCONN regarding the Intellectual Property including originals or copies of all available drawings, technical information, software, prototypes and manuals and other information or demonstration materials of every nature now in existence or developed during the term of this License.

 

Section 2.6 Invention Disclosures. UCONN shall provide Opel with prompt notice of invention disclosures falling within the scope of the Field. Should the invention disclosure not be an Improvement subject to this License, UCONN will give Opel an opportunity to negotiate a license therefore on reasonable and fair terms. Such negotiations shall begin no later than 120 days after receipt by OPEL of any such invention disclosure.

 

ARTICLE III

CONSIDERATION

 

Section 3.1 Annual Maintenance Fees. OPEL shall pay to UCONN an annual maintenance fee of Fifty-Thousand Dollars ($50,000.00) (the “Annual Maintenance Fee”), The first such payment shall be due on March 31st following the first year in which OPEL ships One Hundred Thousand Dollars ($100,000) of Product based on the revenue received for such Product by OPEL and thereafter payable on each subsequent March 31st. The amount of the Annual Maintenance Fee shall be increased by 25% every two years, up to a maximum of one million dollars ($1,000,000) per year. The first such increased payment shall be due March 31st following the third year after the first Annual Maintenance Fee is due.

 

Section 3.2 Sublicense Revenue. OPEL shall pay to UCONN an amount equal to Thirty percent (30%) of the Sublicense Revenue it receives, for commercial, royalty bearing sublicenses of the Intellectual Property to third parties. Such payments shall be made annually. Notwithstanding the above, within a period of four (4) years from the Effective Date in order to aid OPEL in its financing requirements, OPEL will not be required to share Sublicensing revenue with UCONN that is not based on product sales by sublicensees and is below an aggregate of five million US dollars (US$5,000,000.)

 

Section 3.3 Payments in U.S. Dollars. All payments due under this Agreement shall be payable in United States dollars. Conversion of foreign currency to U.S. dollars shall be made at the rate of exchange at which U.S. dollars are listed in The Wall Street Journal (or its equivalent if The Wall Street Journal is no longer being published at the time) on the last business day of the royalty period in which such sales were made.

 

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ARTICLE IV

COMMERCIALIZATION BY OPEL

 

Section 4.1 OPEL shall have complete discretion over the commercialization of Products. However, OPEL agrees to use commercially reasonable efforts to introduce commercial Product(s) in the United States, directly or through Sublicensees, as soon as is commercially reasonable, consistent with available funds, its progress in developing the Products and sound and reasonable business practices and judgments. OPEL shall be deemed to have satisfied its obligations under this Section 4.1 if OPEL has an ongoing and active development or marketing program, as appropriate, directed toward production and use of one or more Product(s) within four (4) years following the Effective Date. To this end, OPEL shall provide UCONN written copies of its development and marketing programs no less than annually on March 31st of each year for the first four years of this Agreement, and, prior to the end of the term specified above, shall have secured a non-residential business location, shall have employed on a permanent basis at least two full-time employees, and shall have either (A) any combination of debt and equity financing unrelated to research support of twenty million dollars ($20,000,000), or (B) achieved gross revenues of at least $100,000 per year from the commercial sale of Product or in Sublicense Revenue, exclusive of research support payments.

 

Section 4.2 However, any delay or failure that is attributable in whole or in part to the UCONN laboratory facility used by OPEL to develop the Products, shall be deemed to be an event of Force Majeure and the above four (4) year deadline shall be extended by the period of time that such failure or delay occurred, but in no case shall be extended beyond a total of six (6) years; Other events of Force Majeure may also be applied to extend the four (4) year deadline.

 

ARTICLE V

INTELLECTUAL PROPERTY INFRINGEMENT

 

Section 5.1 Protection of UCONN Intellectual Property and Defense Against Infringement Claims. OPEL shall have the right but not the obligation, at its own expense, to protect the Intellectual Property from infringement and prosecute infringers when, in its judgment, such action may be reasonably necessary, proper and justified, in the name of UCONN, OPEL or both as may be required by law. In addition, to the extent that the UCONN Intellectual Property or Products infringe any third party’s patent or other intellectual property right, OPEL shall have the right but not the obligation, at its own expense, to defend itself against the infringement claim, and UCONN will exercise its best efforts to aid OPEL in such defense. To the extent that OPEL pays for any of the costs of prosecution or defense, where the subject matter is (a) infringement of the Intellectual Property or jointly owned intellectual property, including OPEL’s defenses in the case the allegedly infringing party brings a counter-claim against OPEL alleging that OPEL Products infringe the defendant’s intellectual property, or (b) an alleged infringement of the Intellectual Property or jointly owned Intellectual Property, such costs shall be credited by UCONN against future Sublicense Revenue and/or Annual Maintenance Fees owed by OPEL to UCONN hereunder, only to the extent such costs are not recoverable as a result of a payment out of an award described in Article 5.2 (iv), below, and further provided that payments otherwise due to UCONN hereunder shall not be decreased in any one year by more than fifty percent (50%). To the extent that there is a claim by or against jointly owned Intellectual Property, it is agreed that the amount of such costs that can be used as

 

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Setoff, as described below, against sublicense Revenue and/or Annual maintenance Fees hereunder shall be limited to one-half of the costs of such prosecution or defense. It is agreed that such payments that exceed the foregoing annual limit on setoff against Sublicense Revenue and/or Annual Maintenance Fees due UCONN may be carried forward by OPEL without restriction and used as setoff against up to fifty percent (50%) of any future year’s or years payments due to UCONN hereunder. The amount of the credit will be one hundred percent (100%) of OPEL’s litigation and/or settlement costs in prosecution or defense of non-jointly owned Intellectual Property including attorney’s fees and any award against OPEL therein that requires OPEL to pay any damages to the defendant, excluding any sums paid by UCONN toward the prosecution of such an action, unless the claim is against jointly owned Intellectual Property, in which case the amount of credit will be fifty percent (50%) of the above costs. Notwithstanding the foregoing, OPEL shall have the right in connection with a settlement of an infringement claim made by OPEL to sublicense an alleged infringing party pursuant to Section 2.1.

 

Section 5.2 If an action for a declaratory judgment that alleges the invalidity, unenforceability or noninfringement of any of the Intellectual Property is brought against OPEL and/or UCONN, OPEL may elect to have sole control of the action, and if OPEL so elects, it shall bear all the costs of the action, subject to the credits set forth in Section 5.1.

 

(i)                                     Notice of Infringement. If UCONN supplies OPEL with evidence of a third party’s infringement of the Intellectual Property, UCONN may, by notice, request OPEL to take steps to enforce UCONN’s Intellectual Property rights. If UCONN provides such notice, and OPEL does not, within one hundred and eighty (180) days of the receipt of such notice, either (i) cause the infringement to terminate, or (ii) initiate settlement negotiations or a legal action against the infringer, UCONN may, upon notice to OPEL, take the actions it deems necessary, proper and justified to protect the Intellectual Property, including initiating an action against the infringing party at UCONN’s expense, in the name of UCONN, OPEL or both as may be required by law. If UCONN takes such action, UCONN shall have sole control of any such action and it shall bear all the costs of the action.

 

(ii)                                  Cooperation. In the event one party institutes or carries on a legal action, whether it be prosecution or defense pursuant to this Article 5, the other party shall fully cooperate with and supply all assistance reasonably requested by the party instituting or carrying on such action, including by using commercially reasonable efforts to have its employees testify when requested and to make available relevant records, papers, information, samples, specimens, and the like. A party controlling an action pursuant to this Article 5 shall bear the reasonable out-of-pocket expenses incurred by said other party in providing such assistance and cooperation as is requested pursuant to this section 5.2. A party instituting or carrying on such an action shall keep the other party informed of the progress of such action, and said other party shall be entitled to be represented by counsel in connection with such action at its own expense.

 

(iii)                               Settling or Abandoning Actions. The party controlling any action referred to in this Article 6 shall have the right to settle any claims, but only upon terms and conditions that are reasonably acceptable and agreed to in writing by the other party. Should either party elect to abandon such an action other than pursuant to a settlement with the alleged infringing party that

 

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is reasonably acceptable to the other party the party, controlling the action shall give timely notice to the other party who, if it so desires, may continue the action; provided, however, that the sharing of expenses and any recovery in such suit shall be as agreed upon between the parties.

 

(iv)                              Allocation of Payments. Any amounts paid to a party by third parties as the result of any action contemplated in this Section 5 shall first be applied to reimbursement of the documented unreimbursed out-of-pocket expenses (including attorneys’ fees and expert fees) incurred by each party. Any remainder shall be divided between the parties as follows:

 

(1)         To the extent the amount recovered reflects lost Sublicense Revenue and/or Annual Maintenance Fees to UCONN, withheld under Section 5.1, OPEL shall pay UCONN the lost percentage of Sublicense Revenue and/or Annual Maintenance Fees that would have been due UCONN, and OPEL shall retain the remainder.

 

(2)         To the extent Sublicense Revenues and/or Annual Maintenance Fees were not withheld Under Section 5.1, such recovery shall be retained by the party who brought or defended the action, and who also paid the costs of such action.

 

ARTICLE VI

RECORDS, REPORTS AND PAYMENTS

 

Section 6.1 Sublicensing Activity. Although OPEL has the unilateral right without soliciting the approval of UCONN to sublicense third parties with the right to use the Intellectual Property including or consisting entirely of intellectual property that is jointly owned by the parties hereunder, OPEL shall inform UCONN about its ongoing sublicensing activities on a regular basis, but no less frequently than annually, and shall provide UCONN with a complete copy of each sublicense agreement it executes within thirty (30) days of such execution. However, OPEL may redact proprietary information that is not pertinent to accounting for Sublicense Revenue or to OPEL’s due diligence obligation under Article IV.

 

Section 6.2 Records; inspections. OPEL shall keep records and books of account in respect of all product shipped prior to the payment first Annual Maintenance Fee and Sublicense Revenues OPEL receives directly from Sublicensees. UCONN shall have the right, during business hours, but no more often than annually, to examine, or to have its designated auditors examine, such records and books, subject to the agreement of OPEL as to when and where such audit may be conducted. OPEL shall preserve such records for at least three (3) years after it pays UCONN the amounts due from Sublicensees. UCONN shall enter and be subject to a mutually agreeable non-disclosure agreement that commits UCONN not to disclose to any third party OPEL confidential information learned through an examination of such records and books, except as required by law, nor shall UCONN use any such information for any purpose other than determining and enforcing its rights under this Agreement.

 

Section 6.3 Reporting; Royalty Payments. On March 31st of every year in which this Agreement is in effect, OPEL shall render to UCONN a report in writing, setting forth (1) the Sublicense Revenues OPEL received during the past year, and (2) prior to the time that one-

 

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Hundred Thousand Dollars ($100,000) of product has been shipped, the revenue received for any Product shipped during the past year and a projection of the value of Product to be shipped in the subsequent calendar year. Each such report shall also set forth an explanation of the calculation of the percentage of Sublicense Revenues payable hereunder and shall be accompanied by payment of the percentage of Sublicense Revenues shown by said report-to be due UCONN. Notwithstanding the foregoing, if (i) UCONN materially breaches this Agreement, (ii) OPEL gives UCONN written notice of the breach at least forty-five (45) days prior to the date that such report and payment of percentage of Sublicense Revenues are due to UCONN, and (iii) UCONN has not cured the breach by the time a payment is due under this Section, then OPEL shall not be required to make the required payment into an interest bearing escrow account to be released when the breach is cured. Should the UCONN breach be cured on a timely basis, OPEL agrees to set aside an amount of funds necessary to pay UCONN its portion, as described above, of Sublicense Revenues.

 

ARTICLE VII

PUBLICATION; CONFIDENTIALITY

 

Section 7.1 Publications. UCONN shall provide to OPEL copies of any proposed presentation or publication or abstract including Intellectual Property prior to the submission of such documents for presentation or publication. Such proposed presentations or publications shall be supplied to OPEL at least thirty (30) days in advance of presentation or submission to a journal, editor, or third party; abstracts shall be supplied at least seven (7) days in advance of such submission. OPEL may request changes and/or deletions to be made in any proposed publication in order to prevent public disclosure of OPEL confidential information. UCONN agrees that it will honor OPEL’s requests to remove any confidential information of OPEL included in any such proposed public disclosure. If OPEL believes that the subject matter to be disclosed or published warrants patent protection, OPEL will identify the subject matter requiring protection and notify UCONN within the thirty (30) day or seven (7) day review period and, UCONN shall delay the proposed public disclosure for no more than an additional sixty (60) day period in order to file US patent applications thereon. OPEL may file a patent application describing the Intellectual Property disclosed in the proposed publication or presentation at the United States Patent and Trademark Office, and/or foreign equivalent. UCONN agrees to cooperate in the filling of patent applications prior to any date that such material may be publicly disclosed including the electronic transmission or Internet release of the material or presentation of the subject matter, UCONN and OPEL acknowledge that no restrictions are acceptable that limit the use and distribution of any student’s research and/or thesis conducted in conjunction with his/her academic program or that delay any student’s progress toward completion of his/her academic degree.

 

Section7.2 Confidentiality.

 

(1)                                 Except as expressly provided herein, each party agrees not to disclose any terms of this Agreement to any third party without the prior written consent of the other party; provided, however, that disclosures may be made as required by law, or, in confidence, to actual or prospective investors or corporate partners, or to a party’s accountants, attorneys, and other professional advisors.

 

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(2)                                 OPEL agrees not to disclose to any third party intellectual property received from UCONN, and UCONN agrees not to disclose to any third party intellectual property or financial or other reports received from OPEL, unless already covered by a pending U.S. patent application or issued U.S. patent, without the prior written consent of UCONN or OPEL, respectively; provided, however, that disclosures may be made as required by law, or by OPEL, in confidence, to OPEL’s actual or prospective sublicensees, investors, corporate partners or customers, or to accountants, attorneys, and other professional advisors.

 

(3)                                 Obligations under this Article shall not extend to any part of the information (i) that can be demonstrated to have been in the public domain or publicly known and readily available to the trade or the public prior to the date of the disclosure; (ii) that can be demonstrated, from written records to have been made available to recipient by another source not under obligation of confidentiality to the disclosing party; (iii) that can be demonstrated from written records to have been independently developed by the recipient without reference to such confidential information; or (iv) that becomes part of the public domain or publicly known by publication or otherwise, not due to any unauthorized act by the recipient.

 

ARTICLE VIII

PATENT PROSECUTION

 

Section 8 Patents. OPEL, at its own expense, shall be responsible for the preparation, filing, prosecution, and maintenance of any patent application, patent, copyright, or other intellectual property rights falling within the Intellectual Property, including, without limitation, reissue and re-examination of issued patents. UCONN shall provide OPEL with all information necessary or useful for OPEL to make such filings. If OPEL decides to not file a patent application(s), UCONN shall have the right to pursue the same at UCONN’s expense and then UCONN shall have the right to use or license to third parties the Patent Rights that are the subject of such patent application(s); provided, however, that such use or license does not otherwise conflict with the terms of this Agreement. In addition, UCONN shall provide OPEL with timely disclosures regarding any invention or potential invention in the Patent Rights conceived, discovered, characterized, synthesized, reduced to practice, manufactured and/or conducted by or under the direction of Dr. Geoff Taylor at UCONN during the term of this Agreement. If OPEL notifies UCONN within sixty (60) days of such disclosure that it wishes to file a patent application claiming such invention, then such invention shall automatically become Intellectual Property licensed to OPEL under this Agreement and subject to the terms and conditions of this Agreement. If OPEL does not so notify UCONN, UCONN shall have the right to pursue the same at UCONN’s expense and UCONN shall have the sole right to use or license such patent rights to third parties provided, however that such use or license does not otherwise conflict with the terms of this Agreement.

 

ARTICLE IX

TERMINATION

 

Section 9.1 Term and Termination. The term of this Agreement shall commence upon the Effective Date and expire upon the Expiration Date, after which time OPEL shall have no further obligation to UCONN hereunder, except as described in this Article IX. All license

 

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rights granted to OPEL hereunder shall survive the termination of this Agreement at the end of its term. UCONN shall have the right to terminate this Agreement prior to the date it would otherwise expire pursuant to this Section 9.1 if: (i) OPEL fails to make any uncontested payment due hereunder or to provide the equity interest required hereunder and OPEL continues to fail to make the payment or provide equity interest to UCONN directly for a period of ninety (90) days after receiving notice from UCONN specifying OPEL’s failure to make payment; or (ii) at any time after the fourth anniversary of the Effective Date, OPEL shall cease to use commercially reasonable efforts to pursue commercial exploitation of the Intellectual Property in the Field for a period in excess of one year, otherwise than due to an event of Force Majeure, or (iii) if OPEL shall initiate or conduct actions in order to declare a state of bankruptcy which actions are not dismissed within sixty (60) days; or (iv) OPEL fails to use commercially reasonable efforts to commercialize the Products as described in Section IV, above, and such failure has not been excused by UCONN, is not due to an event of Force Majeure, or is hot cured for a period of ninety (90) days after receiving notice from UCONN specifying OPEL’s failure.

 

9.1.1 Notwithstanding any statement in this Agreement to the contrary, OPEL may convert this License Agreement to an irrevocable license that UCONN under no circumstances may terminate for any reason, including for an uncured breach of this Agreement by OPEL, by the payment to UCONN of a sum of one hundred thousand US dollars (US$100,000). This offer shall remain open for the life of this Agreement and may be exercised by delivery to UCONN of the above stated sum. The foregoing shall not constitute or be construed as a waiver of any and all rights under law or equity that UCONN may have as a result of a breach of this agreement by OPEL, however, upon payment of the above sum to UCONN, the foregoing shall constitute a permanent and irrevocable waiver of UCONN’s right to terminate this License Agreement.

 

Section 9.2 Breach. If either party materially breaches this Agreement, the other party may elect to give the breaching party written notice describing the alleged breach. If the breaching party has not cured such breach within ninety (90) days after receipt of such notice, the notifying party will be entitled, in addition to any other rights it may have under this Agreement, to terminate this Agreement effective immediately; provided, however, that if either party receives notification from the other of a material breach and if the party alleged to be in default notifies the other party in writing within thirty (30) days of receipt of such default notice that it disputes the asserted default, the matter will be submitted to dispute resolution as provided in Article 12 of this Agreement, Nothing herein shall be deemed to preclude the seeking of other remedies or relief by either party.

 

Section 9.3 OPEL Termination. OPEL shall have the right to terminate this Agreement in its entirety upon ninety (90) days written notice. If OPEL does so, it shall submit all required reports and make all required payments in accordance with Article VI Pursuant to this Article IX, all right, title and interest in and to the licensed intellectual Property shall revert to UCONN.

 

Section 9.4 UCONN Termination. Subject to the Section 9.1.1, upon termination by UCONN for cause under section 9.1 or 9.2, UCONN, to the extent it is capable and legally able to do so, shall accept an assignment by OPEL of any sublicenses granted by OPEL to entities other than Related Companies, and any sublicense so assigned shall remain in full force and effect.

 

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Section 9.5 No Release. Termination of this Agreement for any reason shall not release any party hereto 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, nor preclude either party from pursuing any rights and remedies it may have hereunder or at law or in equity which accrued or are based upon any event occurring prior to such termination.

 

Section 9.6 Survival. Articles IV, V, VI, section 7.2, Article 8, section 9.1.1 and Articles X, XI, XII and XIII of this Agreement shall survive termination of this Agreement for any reason. Article II, INTELLECTUAL PROPERTY AND LICENSE GRANTS, shall survive termination of this Agreement for any reason other than termination for convenience without cause by Opel or termination by UCONN before the end of the above stated term for a cause stated in Section 9.1 that is not cured by OPEL or for an uncured material breach of this Agreement by OPEL under Section 9.2, above.

 

ARTICLE X

REPRESENTATIONS AND LIMITATION OF REPRESENTATIONS, WARRANTIES,

IMPLIED LICENSES AND AGENCY

 

Section 10.1 UCONN Representations. UCONN represents that (i) to the best of its knowledge it owns all right, title and interest in and to the Intellectual Property subject to this license; (ii) to the best of its knowledge it has disclosed to OPEL any third party right or interest granted in any of the Intellectual Property; (iii) the execution, delivery, and performance of this Agreement have been duly authorized by all necessary action on the part of UCONN; (iv) it has the right to grant the rights and licenses granted herein, and, to the best of its knowledge, the Intellectual Property is free and clear of any lien, encumbrance, security interest, or restriction; and (v) to the best of its knowledge, there are no threatened or pending actions, suits, investigations, claims, or proceedings in any way relating to the Intellectual Property.

 

Section 10.2 Limitation of Representations. Nothing in this Agreement shall be construed as:

 

(a)                                 a representation or warranty of UCONN as to the validity or scope of Patent Rights in the Intellectual Property or any claim thereof; or

 

(b)                                 a representation or warranty that any Product is or will be free from infringement of rights of third parties; or

 

(c)                                  conferring by implication, estoppel or otherwise, any license or rights under any patents of UCONN other than the rights granted herein to the Intellectual Property.

 

Section 11.3 No Implied Agency. UCONN and OPEL are independent parties in this Agreement. Accordingly, there is no agency relationship between UCONN and OPEL under this Agreement with respect to any Products made or sold, or any methods used, by OPEL under this Agreement.

 

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Section 10.4 Disclaimer. UCONN MAKES NO EXPRESS OR IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, AND ASSUMES NO RESPONSIBILITIES WHATEVER WITH RESPECT TO THE USE, SALE, OR OTHER DISPOSITION BY OPEL OF PRODUCT(S).

 

ARTICLE XI

DISPUTE RESOLUTION

 

Section 11.1 Dispute. In the event of any dispute, controversy or claim arising out of or relating to this Agreement or any subsequent amendments to this Agreement including, without limitation, the breach, termination, validity or invalidity thereof, or any non-contractual issues relating to this Agreement (each, a “Dispute’), each of the parties will appoint a designated officer to meet for the purpose of endeavoring to resolve such Dispute or to negotiate for an adjustment to such provision. No formal proceedings for the judicial resolution of such Dispute, except for the seeking of temporary restraining orders or injunctions, may begin until this dispute resolution procedure has been elevated to the President, in the case of OPEL, and the Vice Provost for Research, in the case of UCONN, and either of such officers of UCONN or OPEL in good faith conclude, after a good faith attempt to resolve the Dispute, that amicable resolution through continued negotiation of the matter at issue does not appear likely. Such attempt to resolve the dispute may be accomplished by conference between such officers of OPEL and UCONN, either face-to-face or by telephone, or by the exchange of correspondence.

 

Section 11.2 Mediation. If the parties are unable to reach a solution by negotiation within a period of sixty (60) days, the parties agree to try in good faith to settle the Dispute by mediation administered by the American Arbitration Association under its Commercial Mediation Rules (the “Rules”). Neither party may submit such a dispute to litigation in a court of law without first completing mediation, except for the seeking of temporary restraining orders or injunctions. In the event that any dispute shall remain unresolved thirty (30) days after completion of mediation, then either party shall be free to commence legal proceedings of any nature in any court of competent jurisdiction.

 

Section 11.3 Statute of Limitations. Any statute of limitations will be tolled upon initiation of Dispute mediation under this Article and will remain tolled until the Dispute is resolved in accordance herewith; provided, however, that tolling will cease if the party against which the statute of limitations would be applied fails to observe the procedures set forth in this Article XI.

 

ARTICLE XII

PRODUCT LIABILITY

 

Section 12.1 Indemnification. OPEL agrees that UCONN shall have no liability to OPEL, Sublicensees, or Related Companies or to any purchasers or users of Products made or sold by OPEL, Sublicensees, or Related Companies for any claims, demands, losses, costs, or damages suffered by OPEL, Sublicensees, or Related Companies or purchasers or users of such Products, or any other party, which may result from personal injury, death, or property damage related to the manufacture, use, or sale of such Products (“Claims”). OPEL agrees to defend,

 

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indemnify, and hold harmless UCONN, its trustees, officers, agents, and employees from any such Claims, provided that (i) OPEL is notified promptly of any Claims, (ii) OPEL has the sole right to control and defend or settle any litigation within the scope of this indemnity, (iii) all indemnified parties cooperate to the extent necessary in the defense of any Claims, and (iv) Claims are not solely the result of UCONN’s negligence or willful misconduct.

 

Section 12.2 Insurance. At such time as OPEL begins to sell or distribute Products, OPEL shall at its sole expense, procure and maintain policies of comprehensive general liability insurance in commercially reasonable amounts not less than $1 million per incident and $2 million in annual aggregate and naming those indemnified under Section 12.1 as additional insureds and shall require Sublicensees and Related Companies to do the same. Such comprehensive general liability insurance shall provide (i) product liability coverage and (ii) broad form contractual liability coverage for OPEL’s indemnification under Section 12.1. In the event the aforesaid product liability coverage does not provide for occurrence liability, OPEL shall maintain such comprehensive general liability insurance for a reasonable period of not less than five (5) years after it has ceased commercial distribution or use of any Product. OPEL shall provide UCONN with written evidence of such insurance upon request of UCONN. OPEL shall provide UCONN with notice at least fifteen (15) days prior to any cancellation, non-renewal or material change in such insurance, to the extent OPEL receives advance notice of such matters from its insurer.

 

ARTICLE XIII

MISCELLANEOUS

 

Section 13.1 No Publicity. OPEL agrees that it shall not use the name of UCONN or its employees, with the exception of Geoff Taylor, in any advertising or publicity material regarding a Product or for any other purpose, or make any form of representation or statement which would constitute an express or implied endorsement by UCONN or its employees of any Product, and that it shall not authorize others to do so, without first having obtained written approval from UCONN, except to accurately describe this Agreement in connection with fundraising or as may be required by governmental law, rule or regulation.

 

Section 13.2 Marking Products. OPEL agrees to mark the appropriate U.S. patent number or numbers in conjunction with all Products made or sold in the United States and, to the extent commercially feasible, in conjunction with all Products made or sold outside of the US in accordance with all applicable governmental laws, rules and regulations.

 

Section 13.3 Complete Agreement. This Agreement sets forth the complete agreement of the parties concerning the subject matter hereof. No claimed oral agreement in respect thereto shall be considered as any part hereof. No waiver of or change in any of the terms hereof subsequent to the execution hereof claimed to have been made by any representative of either party shall have any force or effect unless in writing, signed by duly authorized representatives of the parties.

 

Section 13.4 Binding Effect; Assignment. This Agreement shall be binding upon and inure to the benefit of any successor or assignee of each of the parties hereto. This Agreement is not assignable by either party without the prior written consent of the other party, except that

 

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OPEL may assign this Agreement to a Related Company or any successor of, or purchaser of substantially all of the assets of the business to which this Agreement pertains or a party that acquires the majority of the outstanding capital stock of OPEL. Any such permitted assignee shall automatically and without further document succeed to all of the rights and obligations of OPEL under this Agreement. This Agreement is not assignable by UCONN without the prior written consent of OPEL, except that UCONN reserves the right to assign the Agreement and any equitable or financial interest therein or related thereto to any related entity, including but not limited to the University of Connecticut Foundation and/or its R & D Corporation. Any such permitted assignee shall succeed automatically and without further document to all of the rights and obligations of UCONN under this Agreement.

 

Section 13.5 Applicable Laws. This Agreement is subject in all respects to the laws and regulations of the United States of America, including the Export Administration Act of 1979, as amended, and any regulations thereunder.

 

Section 13.6 Governing Law. This Agreement shall be deemed to have been entered into in Connecticut and shall be construed and enforced in accordance with Connecticut law without regard for any choice or conflict of laws or principle that would result in the application of the domestic substantive law of any other jurisdiction.

 

Section 13.7 Notices. Any notice, payment or communication required or permitted to be given or made under this Agreement shall be addressed as follows:

 

UCONN:                                               Executive Director

Center for Science and Technology Commercialization

University of Connecticut Health Center

263 Farmington Avenue

Farmington, CT 06030-6207

Phone (860) 679-8800

Fax (860) 679-7512

Email newborg@adp.uchc.edu

 

OPEL:                                                            Daniel C. Upp

Chief Executive Officer

OPEL Corporation

15 Pepper Tree Hill Road

Southbury, CT 06488

Phone (203) 267-6247

Fax (203) 267-6247

Email danupp@earthlink.net

 

With a copy to:

 

George C. McKinnis

Chief Legal Officer

Opel Corporation

 

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C/o McKinnis & Lapera, LLC

Two Corporate Drive, Suite 745

Shelton, CT 06484

Email mckinnis@mlawtek.com

 

Either party may notify the other in writing of a change of address, in which event any subsequent communication relative to this Agreement shall be sent to the last said notified address, provided, however, that the parties shall deliver all material notices under this Agreement by registered mail or overnight delivery service. All notices and communications relating to this Agreement shall be deemed to have been given when received.

 

Section 13.8 No Consequential Damages. NEITHER PARTY SHALL BE LIABLE TO THE OTHER FOR ANY SPECIAL, CONSEQUENTIAL, INCIDENTAL, OR INDIRECT DAMAGES ARISING OUT OF THIS AGREEMENT, HOWEVER CAUSED, UNDER ANY THEORY OF LIABILITY.

 

Section 13.9 Force Majeure. Neither party shall lose any rights hereunder or be liable to the other party for damages or losses (except for payment obligations) on account of failure of performance by the defaulting party if the failure is occasioned by war, strike, fire, Act of God, earthquake, flood, lockout, embargo, governmental acts or orders or restrictions, failure of suppliers, or any other reason where failure to perform is beyond the reasonable control and not caused by the negligence or intentional conduct or misconduct of the nonperforming party, and such party has exerted all reasonable efforts to avoid or remedy such force majeure; provided, however, that in no event shall a party be required to settle any labor dispute or disturbance.

 

Section 13.10 Severability. In the event that any provisions of this Agreement are determined to be invalid or unenforceable by a court of competent jurisdiction, the remainder of the Agreement shall remain in full force and effect without said provision. The parties shall in good faith negotiate a substitute clause for any provision declared invalid or unenforceable, which shall most nearly approximate the intent of the parties entering this Agreement.

 

Section 13.11 Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.

 

Section 13.12 Headings. The headings of the several Sections are inserted for convenience of reference only and are not intended to be a part of or to affect the meaning or interpretation of this Agreement.

 

Section 13.13 Consent. Whenever provision is made in this Agreement for either party to secure the consent or approval of the other, that consent or approval shall not unreasonably be withheld or delayed, and whenever in this Agreement provisions are made for one party to object to or disapprove a matter, such objection or disapproval shall not unreasonably be exercised.

 

THE NEXT PAGE IS THE SIGNATRUE PAGE

 

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In Witness Whereof, the parties have caused this Agreement to be executed and effective as of the date first written above.

 

 

	
UNIVERSITY OF CONNECTICUT
    	
OPEL CORPORATION
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/ Dr. Michael F. Newborg
    	
 
    	
By:
    	
/s/ Daniel C. Upp
    
	
 
    	
Name: Dr. Michael F. Newborg
    	
 
    	
 
    	
Name: Daniel C. Upp
    
	
 
    	
Title: Executive Director, Center for
    	
 
    	
 
    	
Title: Chief Executive Officer
    
	
 
    	
Science and Technology
    	
 
    	
 
    	
 
    
	
 
    	
Commercialization
    	
 
    	
 
    	
 
    

 

16Exhibit 4.4

 

University of Connecticut

 

 

First Amendment to the
 Lease Agreement Between
 The University of Connecticut
  and

ODIS Inc.

 

	
University of Connecticut                                                                                                                                                and

Office   of Real Estate and Risk Management

31   LeDoyt Road, Unit 3094

Storrs,   CT  06269-3094

hereinafter “University”
    	
ODIS, Inc.

3 Corporate Drive, Suite 304

Shelton, CT    06484

 

hereinafter “Company”
    
	
 
    	
 
    
	
Robert Sitkowski, Real Estate Officer

University   Contact/860-486-3396
    	
Leon M. Pierhal, President

Company   Contact
    

 

The original lease (attached hereto) between the University of Connecticut and the Company, last executed on February 10, 2011 (Current Lease”) is hereby amended as follows:

 

Reason(s) for Amendment: To extend the lease for two additional years from the current end date of March 31, 2013, and to incorporate special provisions.

 

1.1       Term:  The term of the Current Lease is extended for an additional two years and the end date is changed from March 31, 2013 to March 31, 2015.

 

1.2  Maximum Amount Payable/Payment Terms:  The total maximum amount payable under the Current Agreement is increased by $252,436.98, from $296,967.00 (former maximum total) to $549,403.98 (new maximum total).  The payment schedule is updated to the following:

 

	
Lease Term
    	
 
    	
Monthly Rent
    	
 
    	
Annual Rent (or portion)
    	
 
    
	
4/1/10 to 6/30/11
    	
 
    	
$
    	
6,130.00
    	
 
    	
$
    	
 18,390.00
    	
 
    
	
7/1/11 to 9/30/11
    	
 
    	
$
    	
7,130.00
    	
 
    	
$
    	
21,390.00
    	
 
    
	
10/1/12 to 3/31/11
    	
 
    	
$
    	
8,077.83
    	
 
    	
$
    	
48,466.98
    	
 
    
	
4/1/11 to 3/31/12
    	
 
    	
$
    	
8,249.08
    	
 
    	
$
    	
98,989.00
    	
 
    
	
4/1/12 to 3/31/13
    	
 
    	
$
    	
9,144.25
    	
 
    	
$
    	
109,731.00
    	
 
    
	
4/1/13 to 3/31/14
    	
 
    	
$
    	
10,070.63
    	
 
    	
$
    	
120,847.50
    	
 
    
	
4/1/14 to 3/31/15
    	
 
    	
$
    	
10,965.79
    	
 
    	
$
    	
131,589.50
    	
 
    

 

Maximum  Total Amount of Contract .....................$549,403.98

 

2.              Lessee’s  Obligations. The following provisions are not present in the Current Lease and are added to Section 6.3 as follows:

 

6.3(c)                 COMPANY’s team will meet with the Director of TIP monthly to provide an overall detailed status update on the company’s progress to include current funding levels and its capital raise status.

 

6.3(d)                COMPANY’s team will meet with the TIP Committee for a review meeting every 6 months to provide an overall detailed status update on the company’s progress.

 

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3.                               Required State Contract Terms:

 

Deleted Terms:  Section 21 and 23 of the Current Agreement are hereby deleted in their entirety and the following language is substituted in these sections:

 

21.                                          Non-Discrimination

 

(a)  For purposes of this Section, the following terms are defined as follows: (i) “Commission” means the Commission on Human Rights and Opportunities;  (ii) “Contract” and “contract” include any extension or modification of the Contract or contract; (iii) “Contractor” and “contractor” include any successors or assigns of the Contractor or contractor; (iv) “Gender identity or expression” means a person’s gender-related identity, appearance or behavior, whether or not that gender-related identity, appearance or behavior is different from that traditionally associated with the person’s physiology or assigned sex at birth, which gender-related identity can be shown by providing evidence including, but not limited to, medical history, care or treatment of the gender-related identity, consistent and uniform assertion of the gender-related identity or any other evidence that the gender-related identity is sincerely held, part of a person’s core identity or not being asserted for an improper purpose; (v) “good faith” means that degree of diligence which a reasonable person would exercise in the performance of legal duties and obligations; (vi) “good faith efforts” shall include, but not be limited to, those reasonable initial efforts necessary to comply with statutory or regulatory requirements and additional or substituted efforts when it is determined that such initial efforts will not be sufficient to comply with such requirements; (vii) “marital status” means being single, married as recognized by the State of Connecticut, widowed, separated or divorced; (viii) “mental disability” means one or more mental disorders, as defined in the most recent edition of the American Psychiatric Association’s “Diagnostic and Statistical Manual of Mental Disorders”, or a record of or regarding a person as having one or more such disorders; (ix) “minority business enterprise” means any small contractor or supplier of materials fifty-one percent or more of the capital stock, if any, or assets of which is owned by a person or persons: (1) who are active in the daily affairs of the enterprise, (2) who have the power to direct the management and policies of the enterprise, and (3) who are members of a minority, as such term is defined in subsection (a) of Connecticut General Statutes § 32-9n; and (x) “public works contract” means any agreement between any individual, firm or corporation and the State or an y political subdivision of the State other than a municipality for construction, rehabilitation, conversion, extension, demolition or repair of a public building, highway or other changes or improvements in real property, or which is financed in whole or in part by the State, including, but not limited to, matching expenditures, grants, loans, insurance or guarantees.

 

For purposes of this Section, the terms “Contract” and “contract” do not include a contract where each contractor is (1) a political subdivision of the state, including, but not limited to, a municipality, (2) a quasi-public agency, as defined in Conn. Gen. Stat. Section 1-1 20, (3) any other state, including but not limited to any federally recognized Indian tribal governments, as defined in Conn. Gen. Stat. Section 1-267, (4) the federal government, (5) a foreign government, or (6) an agency of a subdivision , agency, state or government described in the immediately preceding enumerated items (1), (2), (3), (4) or (5).

 

(b) (I) The Contractor agrees and warrants that in the performance of the Contract such Contractor will not discriminate or permit discrimination against any person or group of persons on the grounds of race, color, religious creed, age, marital status, national origin, ancestry, sex, gender identity or expression, mental retardation, mental disability or physical disability, including, but not limited to, blindness, unless it is shown by such Contractor that such disability prevents performance of the work involved, in any manner prohibited by the laws of the United States or of the State of Connecticut; and the Contractor further agrees to take affirmative action to insure that applicants with job-related qualifications are employed and that employees are treated when employed without regard to their race, color, religious creed, age, marital status, national origin, ancestry, sex, gender identity or expression, mental retardation, mental disability or physical disability, including, but not limited to, blindness, unless it is shown by the Contractor that such disability prevents performance of the work involved ; (2) the Contractor agrees, in all solicitations or advertisements for employees placed by or on behalf of the Contractor, to state that it is an “affirmative action-equal opportunity employer”  in accordance  with regulations adopted by the Commission ; (3) the Contractor agrees to provide each labor union or representative of workers with which the Contractor  has a collective bargaining Agreement or other contract or understanding and each vendor with which the Contractor  has a contract or understanding, a notice to be provided by the Commission, advising the labor union or workers’ representative of the Contractor’s commitments under this section and to post copies of the notice in conspicuous places available to employees and applicants for employment; (4) the Contractor agrees to comply with each provision of this Section and Connecticut General Statutes §§ 46a-68e and 46a-68f and with each regulation or relevant order issued by said Commission pursuant to Connecticut General Statutes §§ 46a-56, 46a-68e and 46a-68f; and (5) the Contractor agrees to provide the Commission on Human Rights and Opportunities with such information requested by the Commission, and permit access to pertinent books, records and accounts, concerning the employment practices and procedures of the Contractor as relate to the provisions of this Section and Connecticut General Statutes § 46a-56. If the contract is a public works contract, the Contractor agrees and warrants that he will make good faith efforts to employ minority business enterprises as subcontractors and suppliers of materials on such public works projects.

 

(c)         Determination of the Contractor’s good faith efforts shall include, but shall not be limited to, the following factors: The Contractor’s employment and subcontracting policies, patterns and practices; affirmative advertising, recruitment and training; technical assistance activities and such other reasonable activities or efforts as the Commission may prescribe that are designed to ensure the participation of minority business enterprises in public works projects.

 

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(d)    The Contractor shall develop and maintain adequate documentation, in a manner prescribed by the Commission, of its good faith efforts.

 

(e)    The Contractor shall include the provisions of subsection (b) of this Section in every subcontract or purchase order entered into in order to fulfill any obligation of a contract with the State and such provisions shall be binding on a subcontractor, vendor or manufacturer unless exempted by regulations or orders of the Commission.  The Contractor shall take such action with respect to any such subcontract or purchase order as the Commission may direct as a means of enforcing such provisions including sanctions for noncompliance in accordance with Connecticut General Statutes §46a-56; provided if such Contractor becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction by the Commission, the Contractor may request the State of Connecticut to enter into any such litigation or negotiation prior thereto to protect the interests of the State and the State may so enter.

 

(f)  The Contractor agrees to comply with the regulations referred to in this Section as they exist on the date of this Contract and as they may be adopted or amended from time to time during the term of this Contract and any amendments thereto.

 

(g)    (1) The Contractor agrees and warrants that in the performance of the Contract such Contractor will not discriminate or permit discrimination against any person or group of persons on the grounds of sexual orientation, in any manner prohibited by the laws of the United States or the State of Connecticut, and that employees are treated when employed without regard to their sexual orientation; (2) the Contractor agrees to provide each labor union or representative of workers with which such Contractor has a collective bargaining Agreement or other contract or understanding and each vendor with which such Contractor has a contract or understanding, a notice to be provided by the Commission on Human Rights and Opportunities advising the labor union or workers’ representative of the Contractor’s commitments under this section , and to post copies of the notice in conspicuous places available to employees and applicants for employment; (3) the Contractor agrees to comply with each provision of this section and with each regulation or relevant order issued by said Commission pursuant to Connecticut General Statutes§ 46a-56; and (4) the Contractor agrees to provide the Commission on Human Rights and Opportunities with such information requested by the Commission, and permit access to pertinent books, records and accounts, concerning the employment practices and procedures of the Contractor which relate to the provisions of this Section and Connecticut General Statutes § 46a-56.

 

(h)                                The Contractor shall include the provisions of the foregoing paragraph in every subcontract or purchase order entered into in order to fulfill any obligation of a contract with the State and such provisions shall be binding on a subcontractor, vendor or manufacturer unless exempted by regulations or orders of the Commission.  The Contractor shall take such action with respect to any such subcontract or purchase order as the Commission may direct as a means of enforcing such provisions including sanctions for noncompliance in accordance with Connecticut General Statutes § 46a-56; provided, if such Contractor becomes involved in, or is threatened with , litigation with a subcontractor or vendor as a result of such direction by the Commission, the Contractor may request the State of Connecticut to enter into any such litigation or negotiation prior thereto to protect the interests of the State and the State may so enter.

 

23.                                       STATE ELECTION ENFORCEMENT COMMISSION (SEEC) CAMPAIGN CONTRIBUTION BAN:  This Lease is subject to the provisions of the State Election Enforcement Commission (SEEC) Campaign Contribution Ban.  For all State Contracts as defined in P.A. 10-1 having a value in a calendar year of $50,000 or more or a combination or series of such agreements or contracts having a value of $100,000 or more, the authorized signatory to this Agreement expressly acknowledges receipt of the State Elections Enforcement Commission’s notice advising state contractors of state campaign contribution and solicitation prohibitions, and will inform its principals of the contents of the notice.  See SEEC Form (below):

 

CONNECTICUT STATE ELECTIONS ENFORCEMENT COMMISSION

Rev. 1/11

 

NOTICE TO EXECUTIVE BRANCH STATE CONTRACTORS AND PROSPECTIVE STATE CONTRACTORS OF CAMPAIGN CONTRIBUTION AND SOLICITATION LIMITATIONS

 

This notice is provided under the authority of Connecticut General Statutes §9-612(g)(2), as amended by P.A. 10-1, and is for the purpose of informing state contractors and prospective state contractors of the following law (italicized words are defined on the reverse side of this page).

 

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CAMPAIGN CONTRIBUTION AND SOLICITATION LIMITATIONS

 

No state contractor, prospective state contractor, principal of a state contractor or principal of a prospective state contractor, with regard to a state contract or state contract solicitation with or from a state agency in the executive branch or a quasi-public agency or a holder, or principal of a holder of a valid prequalification certificate, shall make a contribution to (i) an exploratory committee or candidate committee established by a candidate for nomination or election to the office of Governor, Lieutenant Governor, Attorney General, State Comptroller, Secretary of the State or State Treasurer, (ii) a political committee authorized to make contributions or expenditures to or for the benefit of such candidates, or (iii) a party committee (which includes town committees).

 

In addition, no holder or principal of a holder of a valid prequalification certificate, shall make a contribution to (i) an exploratory committee or candidate committee established by a candidate for nomination or election to the office of State senator or State representative, (ii) a political committee authorized to make contributions or expenditures to or for the benefit of such candidates, or (iii) a party committee.

 

On and after January 1, 2011 , no state contractor, prospective state contractor, principal of a state contractor or principal of a prospective state contractor, with regard to a state contract or state contract solicitation with or from a state agency in the executive branch or a quasi-public agency or a holder, or principal of a holder of a valid prequalification certificate, shall knowingly solicit contributions from the state contractor’s or prospective state contractor’s employees or from a subcontractor or principals of the subcontractor on behalf of (i) an exploratory committee or candidate committee established by a candidate for nomination or election to the office of Governor, Lieutenant Governor, Attorney General, State Comptroller, Secretary of the State or State Treasurer, (ii) a political committee authorized to make contributions or expenditures to or for the benefit of such candidates, or (iii) a party committee.

 

DUTY TO INFORM

 

State contractors and prospective state contractors are required to inform their principals of the above prohibitions, as applicable, and the possible penalties and other consequences of any violation thereof.

 

PENALTIES FOR VIOLATIONS

 

Contributions or solicitations of contributions made in violation of the above prohibitions may result in the following civil and criminal penalties:

 

Civil penaltiesCUp to $2,000 or twice the amount of the prohibited contribution, whichever is greater, against a principal or a contractor. Any state contractor or prospective state contractor which fails to make reasonable efforts to comply with the provisions requiring notice to its principals of these prohibitions and the possible consequences of their violations may also be subject to civil penalties of up to $2,000 or twice the amount of the prohibited contributions made by their principals.

 

Criminal penaltiesCAny knowing and willful violation of the prohibition is a Class D felony, which may subject the violator to imprisonment of not more than 5 years, or not more than $5,000 in fines, or both.

 

CONTRACT CONSEQUENCES

 

In the case of a state contractor, contributions made or solicited in violation of the above prohibitions may resulting the contract being voided.

 

In the case of a prospective state contractor, contributions made or solicited in violation of the above prohibitions shall result in the contract described in the state contract solicitation not being awarded to the prospective state contractor, unless the State Elections Enforcement Commission determines that mitigating circumstances exist concerning such violation.

 

The State shall not award any other state contract to anyone found in violation of the above prohibitions for a period of one year after the election for which such contribution is made or solicited, unless the State Elections Enforcement Commission determines that mitigating circumstances exist concerning such violation.

 

Additional information may be found on the website of the State Elections Enforcement Commission, www.ct.gov/seec. Click on the link to “Lobbyist/Contractor Limitations.”

 

DEFINITIONS

 

“State contractor” means a person, business entity or nonprofit organization that enters into a state contract. Such person, business entity or nonprofit organization shall be deemed to be a state contractor until December thirty-first of the year in which such contract terminates. “State contractor” does not include a municipality or any other political subdivision of the state, including any entities or associations duly created by the municipality or political subdivision exclusively amongst themselves to further any purpose authorized by statute or charter, or

 

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an employee in the executive or legislative branch of state government or a quasi-public agency, whether in the classified or unclassified service and full or part-time, and only in such person’s capacity as a state or quasi-public agency employee.

 

“Prospective state contractor” means a person, business entity or nonprofit organization that (i) submits a response to a state contract solicitation by the state, a state agency or a quasi-public agency, or a proposal in response to a request for proposals by the state, a state agency or a quasi-public agency, until the contract has been entered into, or (ii) holds a valid prequalification certificate issued by the Commissioner of Administrative Services under section 4a-l 00. “Prospective state contractor” does not include a municipality or any other political subdivision of the state, including any entities or associations duly created by the municipality or political subdivision exclusively amongst themselves to further any purpose authorized by statute or charter, or an employee in the executive or legislative branch of state government or a quasi-public agency, whether in the classified or unclassified service and full or part-time, and only in such person’s capacity as a state or quasi-public agency employee.

 

“Principal of a state contractor or prospective state contractor” means (i) any individual w ho is a member of the board of directors of, or has an ownership interest of five per cent or more in, a state contractor or prospective state contractor, which is a business entity, except for an individual who is a member of the board of directors of a nonprofit organization, (ii) an individual who is employed by a state contractor or prospective state contractor, which is a business entity, as president, treasurer or executive vice president, (iii) an individual who is the chief executive officer of a state contractor or prospective state contractor, which is not a business entity, or if a state contractor or prospective state contractor has no such officer, then the officer who duly possesses comparable powers and duties, (iv) an officer or an employee of any state contractor or prospective state contractor who has managerial or discretionary responsibilities with respect to a state contract, (v) the spouse or a dependent child who is eighteen years of age or older of an individual described in this subparagraph, or (vi) a political committee established or controlled by an individual described in this subparagraph or the business entity or nonprofit organization that is the state contractor or prospective state contractor.

 

“State contract” means an agreement or contract with the state or any state agency or any quasi-public agency, let through a procurement process or otherwise, h avi ng a value of fifty thou sand dollars or more, or a combination or series of such agreements or contracts having a value of one hundred thousand dollars or more in a calendar year, for (i) the rendition of services, (ii) the furnishing of any goods, material, supplies, equipment or any items of any kind , (iii) the construction, alteration or repair of any public building or public work, (iv) the acquisition, sale or lease of any land or building, (v) a licensing arrangement, or (vi) a grant, loan or loan guarantee. “State contract” does not include any agreement or contract with the state, any state agency or any quasi-public agency that i s exclusively federally funded, an education loan, a loan to an individual for other than commercial purposes or any agreement or contract between the state or any state agency and the United States Department of the Navy or the United States Department of Defense.

 

“State contract solicitation” means a request by a state agency or quasi-public agency, in whatever form issued, including, but not limited to, an invitation to bid , request for proposals, request for information or request for quotes, inviting bids, quotes or other types of submittals, through a competitive procurement process or another process authorized by law waiving competitive procurement.

 

“Managerial or discretionary responsibilities with respect to a state contract” means having direct, extensive and substantive responsibilities with respect to the negotiation of the state contract and not peripheral, clerical or ministerial responsibilities.

 

“Dependent child” means a child residing in an individual’s household who may legally be claimed as a dependent on the federal income tax of such individual.

 

“Solicit” means (A) requesting that a contribution be made, (B) participating in any fund-raising activities for a candidate committee, exploratory committee, political committee or party committee, including, but not limited to, forwarding tickets to potential contributors, receiving contribution s for transmission to any such committee or bundling contributions, (C) serving as chairperson, treasurer or deputy treasurer of any such committee, or (D) establishing a political committee for the sole purpose of soliciting or receiving contributions for any committee. Solicit does not include: (i) making a contribution that is otherwise permitted by Chapter 155 of the Connecticut General Statutes; (ii) informing any person of a position taken by a candidate for public office or a public official, (iii) notifying the person of any activities of, or contact information for, any candidate for public office; or (iv) serving as a member in any party committee or as an officer of such committee that is not otherwise prohibited in this section.

 

“Subcontractor” means any person, business entity or nonprofit organization that contracts to perform par1or all of the obligations of a state contractor’s state contract. Such person, business entity or nonprofit organization shall be deemed to be a subcontractor until December thirty first of the year in which the subcontract terminates. “Subcontractor” does not include (i) a municipality or any other political subdivision of the state, including any entities or associations duly created by the municipality or political subdivision exclusively amongst themselves to further any purpose authorized by statute or charier, or (ii) an employee in the executive or legislative branch of state government or a quasi-public agency, whether in the classified or unclassified service and full or part-time, and only in such person’s capacity as a state or quasi-public agency employee.

 

“Principal of a subcontractor” means (i) any individual who is a member of the board of directors of, or has an ownership interest of five per cent or more in, a subcontractor, which is a business entity, except for an individual who is a member of the board of directors of a nonprofit organization, (i i) an individual who is employed by a subcontractor, which is a business entity, as president, treasurer or executive vice president, (iii) an individual who is the chief executive officer of a subcontractor, which is not a business entity, or if a subcontractor has no such officer, then the officer who duly possesses comparable powers and duties, (iv) an officer or an employee of any subcontractor who has managerial or discretionary responsibilities with respect to a subcontract with a state contractor, (v) the spouse or a dependent child who is eighteen years of age or older of an individual described in this subparagraph, or (vi) a political committee established or controlled by an individual described in this subparagraph or the business entity or nonprofit organization that is the subcontractor.

 

5

 

All provisions of the Current Lease, except those which are explicitly changed herein, shall remain unchanged and in full force and effect.

 

	
THE UNIVERSITY OF CONNECTICUT:
    	
COMPANY: ODIS, Inc.
    
	
 
    	
 
    
	
 
    	
 
    
	
By:
    	
/s/ Alexandria Roe
    	
 
    	
By:   
    	
/s/   Leon M. Pierhal
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Print   Name::
    	
Alexandria   Roe
    	
 
    	
Print   Name:
    	
Leon   M. Pierhal
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
Title:
    	
Director   of University Planning
    	
 
    	
Title:
    	
President
    
	
 
    	
(Authorized   Signatory)
    	
 
    	
 
    	
(Authorized   Signatory)
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
Date:
    	
March 27,   2013
    	
 
    	
Date:
    	
3/20/13
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
APPROVED pursuant to C.G.S.   4b-38(g)
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Date:
    	
April 9,   2013
    
	
Denise Nappier, State Treasurer
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
(Or   Designee,
    	
Christine   Shaw
    	
)
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
(Title   of Designee:
    	
Deputy   State Treasurer
    	
)
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
APPROVED AS TO FORM:
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Date:
    	
4/15/13
    
	
Associate   Attorney General
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
Print   Name:
    	
Joseph   Rubin
    	
 
    	
Title:
    	
Assoc.   Attorney General
    
								

 

6

 

Rev.l/07110

 

 

LEASE

 

This Lease is made and entered into by and between the UNIVERSITY OF CONNECTICUT (hereinafter “LESSOR” or “UNIVERSITY”), acting herein by its Associate Vice President for Operations and Administration pursuant to the provisions of Conn. Gen. Stat. Section 4b-38, as revised, AND ODIS Inc., a Connecticut company (hereinafter “LESSEE”), having its principal address at 3 Corporate Drive, Suite 304, Town of Shelton, State of Connecticut, acting herein by Leon Pierhal, its President and CEO, duly authorized.

 

WITNESSETH:

 

The parties hereto for the consideration mentioned covenant and agree as follows:

 

1.                                      LEASE OF PREMISES:   The LESSOR hereby leases unto the LESSEE space comprising a total of approximately 5371 square feet, consisting of Room(s) 100, 100A, 100B, 107 and 112 of the building known as the Merritt Building, located on the grounds of the University of Connecticut- Depot Campus at Storrs, Connecticut (hereinafter the “Premises”), as these rooms are identified in Exhibit A, which is attached to and made a part of this Lease as if fully set forth, together with the right of ingress into and egress out of the Premises.

 

2.                                      TERM OF LEASE:   The term of the Lease shall extend for three (3) years, commencing on April 1, 2010 and ending on March 31, 2013 (hereinafter “Lease Term”).

 

3.                                      RENT:

 

3.1                               The LESSEE shall pay the LESSOR annual fixed rent according to the following schedule:

 

a.              Year One (April 1, 2010 to March 31, 2011):  Eighty-Eight Thousand, Two Hundred Forty-Seven and 00/100 Dollars ($88,247), which shall be payable on the 1st day of each calendar month in installments according to the following sub-schedule, prorated for any partial month, in advance, during the term of this Lease:

 

a.              April 1, 2010 to June 30, 2010:  Six Thousand, One Hundred Thirty and 00/100 Dollars ($6,130) per month;

 

b.              July 1, 2010 to September 30, 2010:  Seven Thousand, One Hundred Thirty and 00/100 Dollars ($7,130) per month; and

 

7

 

c.               October 1, 2010 to March 31, 2011:  Eight Thousand, Seventy Seven and 83/100 Dollars (8,077.83) per month.

 

b.                                      Year Two (April 1, 2011 to March 31, 2012):  Ninety-Eight Thousand, Nine Hundred Eighty-Nine and 00/100 Dollars ($98,989), which shall be payable on the 1st day of each calendar month in equal installments of Eight Thousand, Two Hundred Forty-Nine and 08/100 Dollars ($8,249.08) and prorated for any partial month, in advance, during the term of this Lease.

 

c.                                       Year Three (April 1, 2012 to March 31, 2013):  One Hundred Nine Thousand, Seven Hundred Thirty-One and 00/100 Dollars ($109,731), which shall be payable on the 1st day of each calendar month in equal installments of Nine Thousand, One Hundred Forty-Four and 25/100 Dollars ($9,144.25) and prorated for any partial month, in advance, during the term of this Lease.

 

Rent will increase at a rate of $2.00 per square foot annually for each subsequent year of occupancy.

 

Maximum Total Amount of Lease . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $296,967.00

 

3.2                               The LESSEE shall pay rent by check, payable to the University of Connecticut, and mailed to:

 

University of Connecticut

Cash Operations

343 Mansfield Road, U-2331

Storrs, Connecticut 06269-2331

 

3.3                               If the LESSEE fails to pay the rent within ten (10) days of first of each month, as stated in Paragraph 3.1 herein, the LESSEE shall pay the LESSOR a late payment charge of $50.00 per occurrence.

 

4.                                      USE OF PREMISES:   The Premises shall be used only for the purpose of a laboratory research facility of LESSEE and no other purpose.  LESSEE agrees that all activities conducted within the Premises shall be in full compliance with all federal and/or State rules and regulations, as well as any existing University of Connecticut written policies.  Subsequent University policies (and amendments to existing policies) shall not be binding upon LESSEE unless LESSEE so agrees in writing.

 

5.                                      LESSOR’S OBLIGATIONS:

 

5.1                                LESSOR will provide and pay for:  electricity; one telephone connection and one datajack in each room (additional jacks will be provided at a cost of $200.00 each to the LESSEE); heat; hot and cold running water and sewer systems; snow and ice removal; sanding; groundskeeping; janitorial service; parking in common with the other tenants of the Merritt Building under the prevailing terms and conditions for LESSOR’S employees; security; rubbish removal; any renovations necessary to comply with any applicable fire, health, handicap accessibility and safety codes, including without limitation the American with Disabilities Act (ADA); replacement of 

 

8

 

burnt-out bulbs, tubes and ballasts; toilet supplies; and structural maintenance and repairs.

 

5.2                               The LESSOR, through its Technology Incubation Program (“TIP”), agrees to provide to the LESSEE access to the LESSOR’S library and computer network; hazardous waste removal, in common with the quantities of other labs in the building; business support services; conference rooms; cold room and fax/copier. TIP may offer, under special arrangement: (1) access to specialized equipment and instrumentation, (2) connections to researchers and scientists, (3) animal facilities, as space allows and with appropriate faculty collaboration, and (4) access to the Bioservices Center at Storrs and Core Facilities at the University of Connecticut Health Center.

 

5.3                               The LESSOR agrees that parking will be available to the LESSEE under the same prevailing terms and conditions that parking is available to University of Connecticut employees.

 

5.4                               The LESSOR agrees to provide at no cost to LESSEE a bottled water dispenser to ensure that potable water is available on the Premises.

 

5.5                               The LESSOR agrees to promptly notify University Facilities Operations concerning reasonable issues related to heat on the Premises upon reasonable notice by the LESSEE of the existence of such issues.

 

6.                                      LESSEE’S OBLIGATIONS:

 

6.1                               Except as otherwise provided for in Section 5, LESSEE shall be responsible for the following expenses, services and financial obligations related to use of the Premises:

 

a.                                      payment of real and personal property taxes limited to LESSEE’S personal property and, in the case of real property taxes, a percentage of such taxes equal to the percentage of square footage of the property taxed which is occupied by LESSEE (prorated for partial years of occupancy), assessments, special assessments or special permits, or similar charges, if any, related to the Premises, of any nature whatsoever, utilities separately metered; refuse removal from the demised Premises; leasehold improvements; renovations to the building which must comply with local fire, health, handicap and safety codes; plate glass replacement; signs, subject to reasonable consent of the LESSOR; repair and/or replacement for any damage caused to the property by the LESSEE’s or its invitees; and commercial extermination service.

 

b.                                      telephone installation and call charges; any repair and/or replacement to the Premises by the LESSEE or its invitees; any modifications or renovations made at the request or under the direction of the LESSEE, subject to the prior written approval of the LESSOR.

 

6.2                               LESSEE agrees it will conform to all Federal, State and University Environmental Health and Safety (EHS) requirements relating to hazardous waste removal, radiation safety and animal health and welfare.  The LESSEE agrees that the University will provide monitoring and training in these areas. Prior to execution of the Lease, the LESSEE will complete an EHS questionnaire.  The LESSEE agrees to allow site inspections of the Premises upon occupancy and at any time thereafter that may be determined necessary by EHS personnel.

 

6.3                               LESSEE agrees to provide to the LESSOR’S TIP management:

 

a.              brief quarterly updates on the LESSEE’S scientific progress; new and existing grants; and any company business issues.  In addition, LESSEE will provide LESSEE’S

 

9

 

financial statements upon request from TIP management: and

 

b.              comprehensive updates utilizing non-confidential data, on scientific progress, new and existing grants and business issues of LESSEE to the TIP committee within six months of the start date for the Lease Term and annually thereafter.

 

6.4                               LESSEE will provide, before the Lease is fully executed, a current Certificate of insurance, in accordance with Section 15 of the Lease.  This shall be supplied annually each year thereafter.

 

6.5                               LESSEE agrees that the Premises will be fully staffed during the term of this Lease.

 

6.6                               LESSEE agrees to provide annual data regarding jobs, revenue and taxes generated by the business with the understanding that the LESSOR agrees that this data will only be used in aggregate for determining TIP impact.

 

6.7                               LESSEE agrees that it will supply copies, as they are executed, of all consulting arrangements and/or use and occupancy agreements, supporting the TIP Lab, with other entities at the University.

 

6.8                               LESSEE agrees to supply to the LESSOR, upon execution of this Lease, a copy of its incorporation papers including documents indicating current officer names and ownership.

 

6.9                               The LESSEE will develop a full business plan utilizing non-confidential and non-proprietary data relative to the TIP operation.  In addition, LESSEE agrees to provide its financial statements if requested by TIP management.

 

6.10                        During Year Two identified in Paragraph 3.1 above, the LESSEE shall develop a plan for transition from the Premises to a non-TIP location by the end of Year Three.  The LESSOR shall assist and provide support services to the LESSEE in developing this transition plan.

 

6.11                         LESSEE agrees that all improvements to the Premises are the responsibility of the LESSEE, upon written permission of the LESSOR and in accordance with Article 13 of this Lease.

 

6.12                         LESSEE agrees that all costs associated with removing furniture and cabinets, including storage, will be the responsibility of LESSEE.

 

6.13                         LESSEE agrees that rent in Article 3.1 will be paid from the start date of the Lease regardless of occupancy of the Premises, unless such postponement of occupancy is a result of delay by the LESSOR.

 

6.14                         LESSEE agrees to immediately notify LESSOR’S Department of Public Safety regarding any injuries or accidents occurring on the Premises.

 

6.15                         LESSEE further agrees to promptly notify LESSOR of any new employees who will be working at the Premises to ensure that they receive timely orientation relative to applicable University policies.

 

6.16                         The LESSEE agrees to the terms set forth in the Memorandum of Understanding

 

10

 

dated May 26, 2010, a copy of which is attached as Exhibit Band made a part  of this Lease as if fully set forth.

 

7.                                      CONDITIONS OF PREMISES:   The Premises are leased to and taken by the LESSEE “as is,” and in its present condition; provided, however, that nothing contained herein shall modify LESSOR’S obligations under Section 5 hereof, and this provision shall not apply to latent defects or conditions or to non-obvious structural matters.  LESSEE covenants that it will maintain the Premises in a clean, orderly and safe condition, ordinary wear and tear excepted, free from waste, and shall not permit any nuisance therein or the accumulation of trash or debris thereon or appurtenant thereto.

 

8.                                      ASSIGNMENT AND SUBLETTING:   LESSEE shall not sublet the Premises, in whole or in part, or assign this Lease, or permit the Premises to be used or occupied, in whole or in part, by others without the prior written consent of the LESSOR which shall not be unreasonably withheld, delayed or conditioned.  In the event such consent is given, the LESSEE shall not be relieved from any obligation under this Lease by reason of any such assignment or subletting.

 

9.                                      LESSOR’S RIGHT OF ENTRY:   The LESSEE agrees that the LESSOR shall have the right to enter upon the Premises at any time or from time to time for whatever purpose the LESSOR deems necessary to enforce its rights or perform its obligations under this Lease, provided that LESSOR will use its best efforts to avoid interfering with LESSEE’S business on the Premises.

 

10.                               COMPLIANCE WITH LAW:   The LESSEE agrees that it will use the Premises so as to conform with and not violate any laws, regulations and/or requirements of the United States and/or the State of Connecticut and/or any ordinance, rule or regulation of the Town of Mansfield, now or hereafter made, relating to the use of the Premises to the extent applicable, and the LESSEE shall indemnify and save the LESSOR harmless from any fines, penalties or costs for violation of or noncompliance with the same, relating to the operation of LESSEE’S business on the Premises.

 

11.                               LIENS:   LESSEE will not permit any lien for money claimed against or owing by LESSEE to be placed against the Premises during the term hereof and should any such lien be recorded, LESSEE shall, within fifteen (15) days after such lien is recorded, bond over or pay and discharge same.  Should any such lien be recorded and not be bonded over, released or discharged, LESSOR may, at LESSOR’S option (but without obligation so to pay or discharge such lien), pay and discharge any such lien, at the cost and expense of LESSEE.

 

12.                               DEFAULT BY LESSEE; RIGHT TO TERMINATE

 

12.1            In the event LESSEE shall:  (a) fail to pay any rent payable pursuant to this Lease within ten (10) days following written notice that same is due or if; for a period of thirty (30) days after notice thereof has been given to LESSEE; or (b) LESSEE shall fail to perform or comply with any term hereof or any duty or obligation imposed upon it by this Lease or by any other rule or regulation of LESSOR (provided, however, that if such cure cannot be accomplished within such thirty (30) days, and if LESSEE promptly commences and diligently pursues such cure, LESSEE may have up to thirty (30) additional days to effect such a cure); or (c) if LESSEE shall abandon the Premises; or (d) there shall be filed by or against LESSEE, or any guarantor of LESSEE’S obligations hereunder, a petition in bankruptcy or insolvency or for reorganization, dissolution, liquidation or for the appointment of a receiver or trustee of all or a portion of LESSEE’S or such guarantor’s property and in the case of an involuntary bankruptcy, the same is not discharged within

 

11

 

sixty (60) days thereafter; or (e) if LESSEE or such guarantor makes an assignment for the benefit of creditors or enters into an arrangement or admits its inability to pay its debts as they become due, then and in any such event LESSOR shall have the right, in addition to any other rights and remedies LESSOR may have at LESSOR’S option, to enter upon the Premises, repossess, and enjoy the same in accordance with applicable law, as if this Lease had not been made, and thereupon this Lease shall terminate without prejudice.  Upon demand by LESSOR, LESSEE shall surrender to LESSOR complete and peaceable possession of the Premises.

 

12.2            Without such re-entry as provided in Section 12.1, LESSOR may recover possession thereof in any manner permitted by law, including summary process, it being understood that no demand for rent or re entry for condition broken, as at common law, shall be necessary to enable LESSOR to recover such possession.

 

12.3            Upon the breach by the LESSEE of any terms and conditions of this Lease, the parties hereto agree that this Lease may be terminated immediately at the option of the LESSOR, without any obligations being thrust upon the LESSOR of any nature whatsoever.

 

12.4            Either party may terminate this Lease without cause or penalty upon sixty (60) days prior written notice.

 

13.                               ALTERATIONS AND IMPROVEMENTS:   LESSEE shall not make any alterations or improvements in or to the Premises without the written consent of LESSOR, which consent shall not be unreasonably withheld or delayed. Any approved alteration or improvement shall be done by contractors consented to by LESSOR, which consent shall not be unreasonably withheld or delayed.  Such approved alteration or improvement shall be made in a good and workmanlike manner and in a manner so that the structural integrity of the Building shall not be impaired.  LESSEE shall obtain all necessary permits and, at LESSOR’S option, shall submit to LESSOR architectural renderings, insurance certificates and lien waivers as reasonably required by LESSOR.  Upon the making of such alterations or improvements the same shall become the property of LESSOR, provided, however, that should LESSOR require removal of such improvements, LESSOR shall notify LESSEE in writing at the time consent is given that LESSOR will require that LESSEE remove the same at no expense to LESSOR and repair-any damage caused by such removal and that the Premises shall be left by LESSEE in the condition that the Premises were in at the commencement to the term of this Lease, ordinary wear and tear excepted.

 

14.                               PERSONAL PROPERTY:   All personal property of every kind and description, which may at any time be on the Premises, shall be at the LESSEE’s sole risk and the LESSOR shall have no liability therefore.

 

15.                               INSURANCE:

 

15.1                        The LESSEE shall maintain its own insurance policy covering such personal property.

 

15.2                        LESSEE shall obtain and keep in force at its sole expense during the Lease Term, the following insurance coverage:

 

(a)                                 Commercial General Liability

 

	
1.
    	
 
    	
Each Occurrence
    	
 
    	
$
    	
1,000,000
    	
 
    

 

12

 

	
2.
    	
 
    	
Personal and Advertising Injury
    	
 
    	
$
    	
 
    	
1,000,000
    	
 
    
	
3.
    	
 
    	
General Aggregate
    	
 
    	
$
    	
 
    	
2,000,000
    	
 
    
	
4.
    	
 
    	
Fire Legal Liability
    	
 
    	
$
    	
 
    	
100,000
    	
 
    

 

The insurance shall provide for a retroactive date of placement prior to or coinciding with the effective date of this Lease.

(b)                                 Business Automobile Liability:  Minimum Limits for Owned, Scheduled, Non Owned, or Hired Automobiles with a combined single limit of not less than $1,000,000 per occurrence.

(c)                                  Workers’ Compensation and Employer’s Liability:  As required under state law.

(d)                                 Such other insurance in such amounts which from time to time may reasonably be required by the mutual consent of the LESSOR and LESSEE against other insurable hazards relating to performance.

 

15.3                        All policies of insurance provided for in this Section shall be issued by insurance companies with general policyholder’s rating of not less than A- and a financial rating of not less than Class VITI as rated in the most current available A.M. Best Insurance Reports and be licensed to do business in the State of Connecticut. All such policies shall be issued in the name of LESSEE, and shall name, as Additional Insured, The State of Connecticut, University of Connecticut with respects to liability arising out of operations, maintenance or use of that party the Premises leased to the LESSEE.  Certificates thereof shall be delivered to LESSOR within thirty (30) days after substantial completion of the Premises, and thereafter certificates thereof shall be delivered to LESSOR within ten (10) days prior to the expiration of the term of each such policy, all at no cost to LESSOR. All certificates delivered to LESSOR shall contain a provision that the company writing said policy will give to LESSOR at least twenty (20) days notice in writing in advance of any material change, cancellation, termination or lapse of the Effective Date of any reduction in the amounts of insurance below the requirements of the Lease. Policies shall waive the right of recovery against the LESSOR and shall be primary.

 

16.                               INDEMNIFICATION:   The LESSEE shall at all times protect, defend, indemnify and save harmless the LESSOR and its officers, agents, and employees on account of any and all claims, damages, losses, reasonable litigation costs, expenses, reasonable counsel fees and compensation arising out of injuries (including death) sustained by or alleged to have been sustained by the officers, agents, and employees of the LESSEE or the LESSOR and from injuries (including death) sustained by or alleged to have been sustained by the public or by any other person or property, real or personal (including property of the LESSEE or the LESSOR), to the extent caused by the willful misconduct or gross negligence of the LESSEE or the employees, agents, clients, contractors or invitees of the LESSEE.

 

17.                              SURRENDER OF PREMISES:   At the expiration or other termination of this Lease, the LESSEE will surrender the Premises in as good condition as that existing at the beginning of the Lease Term (excluding reasonable use and wear thereof), and except for: damage caused by unavoidable circumstances; and any alterations or additions which may have been made by the LESSEE at the LESSEE’S expense with the written consent of the LESSOR, or otherwise permitted hereunder.  Any such alterations or additions shall become, at no cost to the LESSOR, the property of the LESSOR, at the end of the Lease Term, unless as otherwise provided in Section 12 hereof. The LESSOR reserves the right; however, at the termination or expiration of the Lease, to demand, upon reasonable notice to the LESSEE, that the LESSEE removes such alterations and additions at the LESSEE’s expense, leaving the Premises in substantially the same condition as it was at the beginning of the Lease Term.

 

13

 

18.                               HOLDING OVER:   If at the expiration or termination of the Lease (including any applicable extension option periods contained therein) the LESSEE shall hold over for any reason without the consent of the LESSOR, the LESSEE thereafter shall be a tenant at sufferance, and the base rent shall be one hundred fifty percent (150%) of the rent specified in the final year of the Lease.  Any holding over by LESSEE shall not operate to extend or renew this Lease.

 

19.                               NOTICES:

 

19.1                        All notices, demands or requests provided for or permitted to be given pursuant to this Lease must be in writing.  All notices demands and requests shall be deemed to have been properly served if sent by Federal Express or other reputable express carrier for next business day delivery, charges billed to or prepaid by shipper; or if deposited in the United States mail, registered or certified with return receipt requested, proper postage prepaid, addressed as follows:

 

If directed to LESSOR, written notice shall be addressed to:

 

Real Estate Officer

Real Estate and Property Risk Management

31 LeDoyt Road, U-3047

Storrs, CT 06269-3047

 

If directed to LESSEE, written notice shall be directed to:

 

President and CEO

ODIS, Inc.

Merritt Building

270 Middle Turnpike

Mansfield, CT  06269

 

20.                               COMPLETE AGREEMENT:   No prior stipulations, agreements or understandings, verbal or otherwise, of the parties hereto or their agents, shall be valid or enforceable unless embodied in the provisions of this Lease.

 

21.                               NON-DISCRIMINATION:   References in this section to “Contract” shall mean this Lease and references to “Contractor” shall mean the LESSEE.

 

(a)              The following subsections are set forth here as required by section 4a-60 of the Connecticut General Statutes:

 

(1) The Contractor agrees and warrants that in the performance of the Contract such Contractor will not discriminate or permit discrimination against any person or group of persons on the grounds of race, color, religious creed, age, marital status, national origin, ancestry, sex, mental retardation, mental disability or physical disability, including, but not limited to, blindness, unless it is shown by such Contractor that such disability prevents performance of the work involved, in any manner prohibited by the laws of the United States or of the state of Connecticut. The Contractor further agrees to take affirmative action to insure that applicants with job-related qualifications are employed and that employees are treated when employed without regard to their race, color, religious creed, age, marital status,

 

14

 

national origin, ancestry, sex, mental retardation, mental disability or physical disability, including, but not limited to, blindness, unless it is shown by such Contractor that such disability prevents performance of the work involved;  (2) the Contractor agrees, in all solicitations or advertisements for employees placed by or on behalf of the Contractor, to state that it is an “affirmative action-equal opportunity employer” in accordance with regulations adopted by the commission;  (3) the Contractor agrees to provide each labor union or representative of workers with which such Contractor has a collective bargaining agreement or other contract or understanding and each vendor with which such Contractor has a contract or understanding, a notice to be provided by the commission advising the labor union or workers’ representative of the Contractor’s commitments under this section, and to post copies of the notice in conspicuous places available to employees and applicants for employment;  (4) the Contractor agrees to comply with each provision  of this section and sections 46a-68e and 46a-68f and with each regulation or relevant order issued by said commission pursuant to sections 46a-56, 46a-68e and 46a-68f;  (5) the Contractor agrees to provide the Commission on Human Rights and Opportunities with such information requested by the commission, and permit access to pertinent books, records and accounts, concerning the employment practices and procedures of the Contractor as relate to the provisions of this section and section 46a-56.

 

(b)               If the Contract is a public works contract, the Contractor agrees and warrants that he will make good faith efforts to employ minority business enterprises as subcontractors and suppliers of materials on such public works project.

 

(c)                “Minority business enterprise” means any small contractor or supplier of materials fifty-one per cent or more of the capital stock, if any, or assets of which is owned by a person or persons:  (1) Who are active in the daily affairs of the enterprise, (2) who have the power to direct the management and policies of the enterprise and (3) who are members of a minority, as such term is defined in subsection (a) of section 32-9n; and “good faith” means that degree of diligence which a reasonable person would exercise in the performance of legal duties and obligations.  “Good faith efforts” shall include, but not be limited to, those reasonable initial efforts necessary to comply with statutory or regulatory requirements and additional or substituted efforts when it is determined that such initial efforts will not be sufficient to comply with such requirements.

 

(d)               Determination of the Contractor’s good faith efforts shall include but shall not be limited to the following factors:  The Contractor’s employment and subcontracting policies, patterns and practices; affirmative advertising, recruitment and training; technical assistance activities and such other reasonable activities or efforts as the commission may prescribe that are designed to ensure the participation of minority business enterprises in public works projects.

 

(e)                The Contractor shall develop and maintain adequate documentation, in a manner prescribed by the commission, of its good faith efforts.

 

(f)                 The Contractor shall include the provisions of sections (a) and (b) above in every subcontract or purchase order entered into in order to fulfill any obligation of a contract with the state and such provisions shall be binding on a subcontractor, vendor or manufacturer unless exempted by regulations or orders of the commission.  The Contractor shall take such action with respect to any such subcontract or purchase order as the commission may direct as a means of enforcing such provisions including sanctions for noncompliance in accordance with section 46a-56; provided, if such Contractor becomes involved in, or is threatened with, litigation with a

 

15

 

subcontractor or vendor as a result of such direction by the commission, the Contractor may request the state of Connecticut to enter into· any such litigation or negotiation prior thereto to protect the interests of the state and the state may so enter.

 

(g)                The following subsections are set forth here as required by section 4a-60a of the Connecticut General Statutes:

 

(1) The Contractor agrees and warrants that in the performance of the Contract such Contractor will not discriminate or permit discrimination against any person or group of persons on the grounds of sexual orientation, in any manner prohibited by the laws of the United States or of the state of Connecticut, and that employees are treated when employed without regard to their sexual orientation;  (2) the Contractor agrees to provide each labor union or representative of workers with which such Contractor has a collective bargaining agreement or other contract or understanding and each vendor with which such Contractor has a contract or understanding, a notice to be provided by the Commission on Human Rights and Opportunities advising the labor union or workers’ representative of the Contractor’s commitments under this section, and to post copies of the notice in conspicuous places available to employees and applicants for employment;  (3) the Contractor agrees to comply with each provision of this section and with each regulation or relevant order issued by said commission pursuant to section 46a-56; and (4) the Contractor agrees to provide the Commission on Human Rights and Opportunities with such information requested by the commission, and permit access to pertinent books, records and accounts, concerning the employment practices and procedures of the Contractor which relate to the provisions of this section and section 46a-56.

 

(h)               The Contractor shall include the provisions of section (g) above in every subcontract or purchase order entered into in order to fulfill any obligation of a contract with the state and such provisions shall be binding on a subcontractor, vendor or manufacturer unless exempted by regulations or orders of the commission.  The Contractor shall take such action with respect to any such subcontract or purchase order as the commission may direct as a means of enforcing such provisions including sanctions for noncompliance in accordance with section 46a-56; provided, if such Contractor becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction by the commission, the Contractor may request the state of Connecticut to enter into any such litigation or negotiation prior thereto to protect the interests of the state and the state may so enter.

 

(i)                   For the purposes of this entire Non-Discrimination section, “Contract” or “contract” includes any extension or modification of the Contract or contract, “Contractor” or “contractor” includes any successors or assigns of the Contractor or contractor, “marital status” means being single, married as recognized by the state of Connecticut, widowed, separated or divorced, and “mental disability” means one or more mental disorders, as defined in the most recent edition of the American Psychiatric Association’s “Diagnostic and Statistical Manual Mental Disorders”, or a record of or regarding a person as having one or more such disorders.  For the purposes of this section, “Contract” does not include a contract where each contractor is (1) a political subdivision of the state, including, but not limited to, a municipality, (2) a quasi-public agency, as defined in Conn. Gen. Stat. Section 1-120, (3) any other state, including but not limited to any federally recognized Indian tribal governments, as defined in Conn. Gen. Stat. Section 1-267, (4) the federal government, (5) a foreign government, or (6) an agency of a subdivision, agency, state or government described in the immediately preceding enumerated items (1), (2), (3), (4)

 

16

 

or (5).

 

22.                               EXECUTIVE ORDERS:   The Contract is subject to the provisions of Executive Order No. Three of Governor Thomas J. Meskill, promulgated June 16, 1971, concerning labor employment practices, Executive Order No. Seventeen of Governor Thomas J. Meskill, promulgated February 15, 1973, concerning the listing of employment openings and Executive Order No. Sixteen of Governor John G. Rowland promulgated August 4, 1999, concerning violence in the workplace, all of which are incorporated into and are made a parto the Contract as if they had been fully set forth in it.  At the Contractor’s request, the Client Agency shall provide a copy of these orders to the Contractor.  The Contract may also be subject to Executive Order No. 7C of Governor M. Jodi Rell, promulgated July 13, 2006, concerning contracting reforms and Executive Order No. 14 of Governor M. Jodi Rell, promulgated April 17, 2006, concerning procurement of cleaning products and services, in accordance with their respective terms and conditions.

 

23.                               STATE ELECTION ENFORCEMENT COMMISSION (SEEC) CAMPAIGN CONTRIBUTION BAN:   This Lease is subject to the provisions of the State Election Enforcement Commission (SEEC) Campaign Contribution Ban.  For all State Contracts as defined in P.A. 07-1 having a value in a calendar year of $50,000 or more or a combination or series of such agreements or contracts having a value of $100,000 or more, the authorized signatory to this Agreement expressly acknowledges receipt to the State Elections Enforcement Commission’s notice advising state contractors of state campaign contribution and solicitation prohibitions, and will inform its principals of the contents of the notice.  See SEEC Form (below):

 

17

 

SEEC FORM 11

 

NOTICE TO EXECUTIVE BRANCH STATE CONTRACTORS AND PROSPECTIVE STATE

CONTRACTORS OF CAMPAIGN CONTRIBUTION AND SOLICITATION BAN

 

This notice is provided under the authority of Connecticut General Statutes 9-612(g)(2), as amended by P.A. 07-1, and is for the purpose of informing state contractors and prospective state contractors of the following law (italicized words are defined below):

 

Campaign Contribution and Solicitation Ban

 

No state contractor, prospective state contractor, principal of a state contractor or principal of a prospective state contractor, with regard to a state contract or state contract solicitation with or from a state agency in the executive branch or a quasi-public agency holder, or principal of a holder of a valid prequalification certificate, shall make a contribution to, or solicit contributions on behalf of (I) an exploratory committee or candidate committee established by a candidate for nomination or election to the office of Governor, Lieutenant Governor, Attorney General, State Comptroller, Secretary of the State or State Treasurer, (ii) a political committee authorized to make contributions or expenditures to or for the benefit of such candidates, or (iii) a party committee;

 

In addition, no holder or principal of a holder of a valid prequalification certificate, shall make a contribution to, or solicit contributions on behalf of (I) an exploratory committee or candidate committee established by a candidate for nomination or election to the office of State senator or State representative, (ii) a political committee authorized to make contributions or expenditures to or for the benefit of such candidates, or (iii) a party committee.

 

Duty to Inform

 

State contractors and prospective state contractors are required to inform their principal of the above prohibitions, as applicable, and the possible penalties and other consequences of any violation thereof

 

Penalties for Violations

 

Contributions or solicitations of contributions made in violation of the above prohibitions may result in the following civil and criminal penalties:

 

Civil Penalties—$2000 or twice the amounto the prohibited contribution, whichever is greater, against a principal or a contractor.  Any state contractor or prospective state contractor which fails to make reasonable efforts to comply with the provisions requiring notice to its principals of these prohibitions and the possible consequences of their violations may also be subject to civil penalties of $2000 or twice the amounto the prohibited contributions made by their principals.

 

Criminal penalties-Any knowing and willful violation of the prohibition is a Class D felony, which may subject the violator to imprisonment of not more than 5 years, or $5000 in fines, or both.

 

Contract Consequences

 

Contributions made or solicited in violation of the above prohibitions may result, in the case of a state contractor, in the contract being voided.

 

Contributions made or solicited in violation of the above prohibitions, in the case of a prospective state contractor, shall result in the contract described in the state contract solicitation not being awarded to the prospective state contractor, unless the State Election Enforcement Commission determines that mitigating circumstances exist concerning such violation.

 

The State will not award any other state contract to anyone found in violation of the above prohibitions for a period of one year after the election for which such contribution is made or solicited, unless the State Election Enforcement Commission determines that mitigating circumstances exist concerning such violation.

 

Additional information and the entire text of P.A. 07-1 may be found on the website of the State Elections Enforcement Commission, www.ct.gov/seec. Click on the link to “State Contractor Contribution Ban”

 

Definitions:

 

“State contractor” means a person, business entity or nonprofit organization that enters into a state contract. Such person, business entity or nonprofit organization shall be deemed to be a state contractor until December thirty-firsto the year in which such contract terminates. “State contractor” does not include a municipality or any other political subdivision of the state, including any entities or associations duly created by the municipality or political subdivision exclusively amongst themselves to further any purpose authorized by statute or charter, or an employee in the executive or legislative branch of state government or a quasi-public agency, whether in the classified or unclassified service and full or part-time, and only in such person’s capacity as a state or q\lasi-public agency employee.

 

“Prospective state contractor” means a person, business entity or nonprofit organization that (i) submits a response to a state contract solicitation by the state, a state agency or a quasi-public agency, or a proposal in response to a request for proposals by the state, a state agency or a quasi-public agency, until the contract has been entered into, or (ii) holds a valid prequalification certificate issued by the Commissioner of Administrative Services under section 4a-l 00. “Prospective state contractor” does not include a municipality or any other political subdivision of the state, including any entities or associations duly created by the municipality or political subdivision exclusively amongst themselves to further any purpose authorized by statute or charter, or an employee in the executive or legislative branch of state government or a quasi-public agency, whether in the classified or unclassified service and full or part-time, and only in such person’s capacity as a state or quasi-public agency employee.

 

“Principal of a state contractor or prospective state contractor” means (i) any individual who is a member of the board of directors of, or has an

 

18

 

ownership interest of five per cent or more in, a state contractor or prospective state contractor, which is a business entity, except for an individual who is a member of the board of directors of a nonprofit organization, (ii) an individual who is employed by a state contractor or prospective state contractor, which is a business entity, as president, treasurer or executive vice president, (iii) an individual who is the chief executive officer of a state contractor or prospective state contractor, which is not a business entity, or if a state contractor or prospective state contractor has no such officer, then the officer who duly possesses comparable powers and duties, (iv) an officer or an employee of any state contractor or prospective state contractor who has managerial or discretionary responsibilities with respect to a state contract, (v) the spouse or a dependent child who is eighteen years of age or older of an individual described in this subparagraph, or (vi) a political committee established or controlled by an individual described in this subparagraph or the business entity or nonprofit organization that is the state contractor or prospective state contractor.

 

“State contract” means an agreement or contract with the state or any state agency or any quasi-public agency, let through a procurement process or otherwise, having a value of fifty thousand dollars or more, or a combination or series of such agreements or contracts having a value of one hundred thousand dollars or more in a calendar year, for (i) the rendition of services, (ii) the furnishing of any goods, material, supplies, equipment or any items of any kind, (iii) the construction, alteration or repair of any public building or public work, (iv) the acquisition, sale or lease of any land or building, (v) a licensing arrangement, or (vi) a grant, loan or loan guarantee. “State contract” does not include any agreement or contract with the state, any state agency or any quasi-public agency that is exclusively federally funded, an education loan or a loan to an individual for other than commercial purposes.

 

“State contract solicitation” means a request by a state agency or quasi-public agency, in whatever form issued, including, but not limited to, an invitation to bid, request for proposals, request for information or request for quotes, inviting bids, quotes or other types of submittals, through a competitive procurement process or another process authorized by law waiving competitive procurement.

 

“Managerial or discretionary responsibilities with respect to a state contract” means having direct, extensive and substantive responsibilities with respect to the negotiation of the state contract and not peripheral, clerical or ministerial responsibilities.

 

“Dependent child” means a child residing in an individual’s household who may legally be claimed as a dependent on the federal income tax of such individual.

 

“Solicit” means (A) requesting that a contribution be made, (B) participating in any fund-raising activities for a candidate committee, exploratory committee, political committee or party committee, including, but not limited to, forwarding tickets to potential contributors, receiving contributions for transmission to any such committee or bundling contributions, (C) serving as chairperson, treasurer or deputy treasurer of any such committee, or (D) establishing a political committee for the sole purpose of soliciting or receiving contributions for any committee. Solicit does not include: (i) making a contribution that is otherwise permitted by Chapter 155 of the Connecticut General Statutes;(ii) informing any person of a position taken by a candidate for public office or a public official, (iii) notifying the person of any activities of, or contact information for, any candidate for public office; or (iv) serving as a member in any party committee or as an officer of such committee that is not otherwise prohibited in this section.

 

24.                               POWER TO EXECUTE.   The individual signing this Lease on behalf of the LESSEE certifies that s/he has full authority to execute the same on behalf of the LESSEE and that this Lease has been duly authorized, executed and delivered by the LESSEE and is binding upon the LESSEE in accordance with its terms.  The LESSEE shall provide a Corporate Resolution or other signature authority documentation certifying that the individual executing this Lease has been authorized by the governing body of the LESSEE to sign on behalf of the LESSEE, signed on or after the date of the Lease execution by LESSEE.

 

25.                               ETHICS AFFIDAVITS AND NONDISCRIMINATION CERTIFICATION REQUIREMENTS

 

25.1                        The LESSOR, as an agency of the State of Connecticut, requires that notarized Gift and Campaign Contribution Certificates (Office of Policy and Management “OPM” Form 1) and Consulting Agreement Affidavits (OPM Form 5) accompany all State contracts/agreements with a value of $50,000 or more in a calendar or fiscal year. (Form 1 is also used with a multi-year contract to update the initial certification on an annual basis.)

 

25.2                        An executed Nondiscrimination Certification must also be provided by the LESSEE at the time of Lease execution for all Leases with individuals, corporations and other entities, regardless of type, term, cost or value.  The Certification requires the signer to disclose his/her title and certify that the LESSEE has in place a properly-adopted policy, which supports the nondiscrimination requirements of Connecticut law. This Certification is required for all original

 

19

 

Leases as well as Lease Amendments, signed on or after the date of the Lease execution by the LESSEE.

 

26.                               GOVERNING LAW:   This Lease shall be governed by the laws of the State of Connecticut.

 

27.                              CLAIMS AGAINST THE STATE:   The LESSEE agrees that the sole and exclusive means for the presentation of any claim against the State arising from this Lease shall be in accordance with Chapter 53 of the Connecticut General Statutes (Claims Against the State) and the LESSEE further agrees not to initiate any legal proceedings in any state or federal court in addition to, or in lieu of, said Chapter 53 proceedings.

 

28.                               MODIFICATION:   The terms of this Lease may be modified or altered only by written Amendment to Lease between the LESSOR and LESSEE, and no act or omissions of any employee or agent of LESSOR or LESSEE shall alter, change or modify any of the provisions hereof.

 

29.                               APPROVAL OF BOARD OF TRUSTEES, ATTORNEY GENERAL AND TREASURER:   This Lease shall not be binding on the LESSOR or LESSEE unless and until approved by the LESSOR’S Board of Trustees, approved and signed by both the Attorney General and the Treasurer of the State of Connecticut and delivered to the LESSEE.

 

30.                               FORCE MAJEURE.   LESSOR and LESSEE shall be excused for the period of delay in the performance of any of their respective obligations, excepting monetary obligations hereunder, and shall not be considered in default when prevented from so performing due to a labor strike, riot, war, fire, flood or other casualty, or Acts of God so extensive as to prevent LESSEE from conducting business or preventing LESSEE or LESSOR from complying with their obligations under the Lease.

 

IN WITNESS WHEREOF, the parties have hereunto set their hands.

 

	
Signed in the presence of:
    	
 
    	
LESSEE: ODIS, Inc.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
{Signed}
    
	
{Signed by Michael McCoy}
    	
 
    	
By:
    	
 
    
	
 
    	
)
    	
 
    	
Leon Pierhal, its President and CEO
    
	
 
    	
 
    	
 
    	
Duly Authorized
    
	
)
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
)
    	
 
    	
 
    	
 
    
	
 
    	
)
    	
 
    	
Date signed: 10-21-10
    

 

 

State of Connecticut

ss:

County of Fairfield

 

The foregoing instrument was acknowledged before me this 21 day of October, 2010 by

 

20

 

Leon Pierhal of ODIS a DE. company, on behalf of the company.

 

 

	
 
    	
{Signed}
    
	
 
    	
 
    
	
 
    	
Notary Public:
    
	
 
    	
My commission expires:
    

 

ALYSON J DOWNS

Notary Public

Connecticut

My Commission Expires Feb 28, 2013

 

 

	
Signed in the presence of:
    	
 
    	
LESSOR:
    
	
 
    	
 
    	
University of Connecticut
    
	
 
    	
 
    	
 
    
	
{Signed}
    	
 
    	
{Signed}
    
	
 
    	
)
    	
By:
    	
 
    
	
 Melanie   J.F. Sanko 
    	
 
    	
 
    	
Barry M. Feldman
    
	
)
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
Vice President
    
	
{Signed}
    	
 
    	
 
    	
 And   Chief Operating Officer,
    
	
)
    	
 
    	
 
    	
 
    
	
 
    	
)
    	
 
    	
Duly Authorized
    
	
 Angelo   Marsh
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
Date signed: 
    	
3 Dec. 2010
    

 

State of Connecticut

ss:  Mansfield

County of Tolland

 

On this the 3rd day of December, 2010, before me, Melanie Sanko, the undersigned officer, personally appeared Barry M. Feldman, Vice President and Chief Operating Officer for the University of Connecticut, Storrs, Connecticut, known to me to be the person described in the foregoing instrument, and acknowledged that he executed the same in the capacity therein stated and for the purposes therein contained.

 

	
 
    	
{Signed}
    
	
 
    	
 
    
	
 
    	
Notary Public:
    

 

21

 

	
 
    	
My commission expires:
    
	
 
    
	
 
    	
MELANIE   J. F. SAVINO
    
	
 
    	
NOTARY PUBLIC
    
	
 
    	
MY   COMMISSION EXPIRES DEC. 31, 2012
    
			

 

Approved pursuant to C.G. S. § 4b-38(g):

 

 

	
{Signed}
    	
 
    	
Date: 
    	
1/28/11
    
	
 Denise   L. Nappier, State Treasurer
    	
 
    	
 
    
	
(or designee, 
    	
Lawrence A. Wilson
    	
 
    	
 
    
	
(Title of designee : 
    	
Deputy Treasurer
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
  APPROVED   AS TO FORM:
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
{Signed}
    	
 
    	
Date: 
    	
2-10-11
    
	
Assistant Associate Attorney General
    	
 
    	
 
    
						

 

22

 

EXHIBIT A

 

{MAP}

 

University of Connecticut Merritt Hall - First Floor

 

23

 

EXHIBIT B

 

May 26, 2010

 

MEMORANDUM OF UNDERSTANDING

Between

OPEL International and UCONN School of Engineering

 

This memorandum between the University Of Connecticut School Of Engineering [SOE] and OPEL international, Inc., for itself and its related companies, OPEL Inc., and ODIS Inc. [OPEL] is associated with the lease OPEL has signed with the University of Connecticut Technology Incubator Program, running from August 1, 2007 through July 31, 2010.

 

OPEL has had a lease for space and for access to equipment in the Merritt Building on the University of Connecticut Depot Campus since November, 2001. In conjunction with the research that is ongoing, OPEL has purchased and donated the following equipment to SOE:

 

	
PECVD System
    	
 
    	
$
    	
50,000
    	
 
    
	
RIE System
    	
 
    	
157,000
    	
 
    
	
Implant Chiller
    	
 
    	
2,730
    	
 
    
	
Overhead Shelf
    	
 
    	
1,240
    	
 
    
	
Optical Table
    	
 
    	
6,120
    	
 
    
	
Egun Controller
    	
 
    	
8,350
    	
 
    
	
Neslab Chiller
    	
 
    	
9,350
    	
 
    

 

In addition, OPEL has purchased the following equipment that has not as yet been donated to SOE:

 

	
Spectrophotometer
    	
 
    	
$
    	
50,000
    	
 
    
	
Optical Spectrum   Analyzer
    	
 
    	
20,000
    	
 
    
	
Parameter Analyzer
    	
 
    	
45,000
    	
 
    
	
High Speed Scope
    	
 
    	
24,000
    	
 
    
	
Monochromatic   system
    	
 
    	
30,000
    	
 
    
	
Optical   Table+Shelves
    	
 
    	
16,000
    	
 
    
	
RTA System
    	
 
    	
30,000
    	
 
    
	
Furnace
    	
 
    	
3,500
    	
 
    
	
Spinner
    	
 
    	
10,000
    	
 
    

 

24

 

OPEL has also provided funds to supplement SOE equipment purchases:

 

	
 
    	
 
    	
UCONN SOE
    	
 
    	
 
    	
OPEL
    	
 
    
	
MBE
    	
 
    	
$
    	
350,000
    	
 
    	
 
    	
$
    	
200,000
    	
 
    
	
Ion Implanter
    	
 
    	
30,000
    	
 
    	
 
    	
150,000
    	
 
    
	
Sputter Tool
    	
 
    	
10,000
    	
 
    	
 
    	
50,000
    	
 
    
	
Egun
    	
 
    	
83,000
    	
(OPEL grant)
    	
 
    	
12,000
    	
 
    
									

 

Finally, OPEL provides annual upgrade/maintenance funds that total about $150,000 per year and will continue to provide these funds during the new lease period.

 

In terms of personnel, efforts made with respect to the research associated with OPEL products, about 30% of those efforts are made by OPEL employees and thus about 70% are made by UCONN faculty, employees, graduate students, and post-docs. There are currently two OPEL employees working here on the Depot Campus- with an additional two employees anticipated to be added during the new lease period.  There are currently four graduate students supported by OPEL funds with an additional four anticipated to be added during the new lease period. And finally, there is one post doc currently supported by OPEL funds with an additional two anticipated to be added during the new lease period.

 

Based upon these financial and personnel data, the University of Connecticut School of Engineering agrees to provide access to SOE equipment and laboratory space to OPEL employees at no additional cost to OPEL International Inc. during the new lease period.

 

 

	
{Signed}
    	
 
    	
{Signed}
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Dr. Mun Y. Choi
    	
 
    	
Leon M. Pierhal
    
	
Dean
    	
 
    	
President and Chief Operating Officer
    
	
School of Engineering
    	
 
    	
OPEL International, Inc
    
	
University of Connecticut
    	
 
    	
 
    

 

25

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