Document:

Exhibit 10.2

 

POOLING AGREEMENT

 

THIS POOLING AGREEMENT (this “Agreement”) is made as of April 23, 2012, by and among Sonesta International Hotels Corporation (“Manager”) and the parties listed on Schedule A (each an “Owner” and collectively, “Owners”).

 

RECITALS:

 

Each Owner has entered into a Management Agreement with Manager (each a “Management Agreement” and collectively, the “Management Agreements”) with respect to the real estate and personal property described in Schedule B opposite such Owner’s name which is operated as a full service or a limited service hotel (each a “Hotel” and collectively, the “Hotels”), which Management Agreements are listed on Schedule C.

 

The parties desire that working capital of each of the Hotels and all revenues from operation of each of the Hotels be pooled for purposes of paying operating expenses of the Hotels, fees and other amounts due to Manager and Owners.

 

NOW, THEREFORE, the parties agree as follows:

 

ARTICLE I
 DEFINED TERMS

 

1.01.                        Definitions.  Capitalized terms used, but not otherwise defined in this Agreement shall have the meanings given to such terms in the Management Agreements. The following capitalized terms as used in this Agreement shall have the meanings set forth below:

 

“Additional Hotel” is defined in Section 7.01.

 

“Additional Owner” is defined in Section 7.01.

 

“Agreement” is defined in the Preamble.

 

“Aggregate Additional Manager Advances” means the sum of Additional Manager Advances under all Management Agreements.

 

“Aggregate Annual Operating Statement” is defined in Article IV.

 

“Aggregate Base Management Fee” means an amount equal to 3% of the Aggregate Gross Revenues attributable to full service Hotels and 5% of the Aggregate Gross Revenues attributable to limited service Hotels.

 

“Aggregate Deductions” means the sum of Deductions of the Hotels.

 

“Aggregate Gross Room Revenues” mean the sum of Gross Room Revenues of the Hotels.

 

“Aggregate Gross Revenues” means the sum of Gross Revenues of the Hotels.

 

 

“Aggregate Incentive Management Fee” means with respect to each Year or portion thereof, an amount equal to twenty percent (20%) of Aggregate Operating Profit remaining after deducting amounts paid or payable in respect of Aggregate Owner’s Priority Return and Aggregate Reimbursable Advances for such Year; provided that for purposes of determining the Aggregate Incentive Management Fee, Aggregate Operating Profit shall be determined based upon ninety-five percent (95%) of Aggregate Gross Revenues.

 

“Aggregate Invested Capital” means the sum of the Invested Capital for each of the Hotels.

 

“Aggregate Monthly Statement” is defined in Article IV.

 

“Aggregate Operating Profit” means an amount equal to Aggregate Gross Revenues less Aggregate Deductions.

 

“Aggregate Owner Advances” means the sum of Owner Advances under all Management Agreements.

 

“Aggregate Owner’s Priority” means, for each Year or portion thereof, an amount equal to eight percent (8%) of Aggregate Invested Capital.

 

“Aggregate Owner’s Residual Payment” means with respect to each Year or portion thereof, an amount equal to Aggregate Operating Profit remaining after deducting amounts paid or payable in respect of Aggregate Owner’s Priority, Aggregate Reimbursable Advances and the Aggregate Incentive Management Fee for such Year.

 

“Aggregate Reservation Fee” means for each Year or portion thereof, an amount equal to one and one-half percent (1.5%) of Aggregate Gross Room Revenues.

 

“Aggregate Reimbursable Advances” means the sum of Reimbursable Advances of the Hotels.

 

“Aggregate System Fee” means with respect to each Year or portion thereof, an amount equal to one and one-half percent (1.5%) of Aggregate Gross Revenues.

 

“Hotel” and “Hotels” is defined in the Recitals.

 

“Landlord(s)” means the owner of the Hotel(s) set forth on Exhibit B.

 

“Management Agreement” and “Management Agreements” is defined in the Recitals.

 

“Manager” is defined in the Preamble.

 

“Marketing Party” is defined in Section 5.01.

 

“Non-Economic Hotel” is defined in Section 5.01.

 

“Non-Marketing Party” is defined in Section 5.02.

 

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“Owner” and “Owners” are defined in the Preamble.

 

ARTICLE II
 GENERAL

 

The parties agree that so long as a Hotel is subject to this Agreement, all Working Capital and all Gross Revenues of such Hotel shall be pooled pursuant to this Agreement and disbursed to pay all Aggregate Disbursements, fees and other amounts due Manager and Owners (not including amounts due pursuant to Section 11.20 of the Management Agreements) with respect to the Hotels and that the corresponding provisions of each Management Agreement shall be superseded as provided in Section 3.03.  The parties further agree that (a) if Manager gives a notice of non-renewal of the Term with respect to any Hotel, it shall be deemed to be a notice of non-renewal of the Term with respect to all the Hotels and (b) if Owner gives notice of termination of any Management Agreement without cause pursuant to Section 2.02 1. of the Management Agreements, or upon a Change in Control of Manager pursuant to Section 2.02 4. of the Management Agreements, or if Manager gives notice of termination of any Management Agreement upon a Change in Control of Owner pursuant to Section 2.02 3. of the Management Agreements, in any such case, it shall be deemed to be a notice of termination with respect to all Management Agreements.

 

ARTICLE III
 PRIORITIES FOR
 DISTRIBUTION OF AGGREGATE GROSS REVENUES

 

3.01.                        Priorities for Distribution of Aggregate Gross Revenues.  Aggregate Gross Revenues shall be distributed in the following order of priority:

 

A.                                   First, to pay all Aggregate Deductions (excluding the Aggregate Base Management Fee, the Aggregate Reservation Fee and the Aggregate System Fee);

 

B.                                     Second, to Manager, an amount equal to the Aggregate Base Management Fee, the Aggregate Reservation Fee and the Aggregate System Fee;

 

C.                                     Third, to Owners, an amount equal to Aggregate Owner’s Priority;

 

D.                                    Fourth, pari passu, to (i) Owners, in an amount necessary to reimburse Owners for all Aggregate Owner Advances which have not yet been repaid pursuant to this Section 3.01, and (ii) to Manager, in an amount necessary to reimburse Manager for all Aggregate Additional Manager Advances which have not yet been repaid pursuant to this Section 3.01.  If at any time the amounts available for distribution to Owners and Manager pursuant to this Section 3.01 are insufficient (a) to repay all outstanding Aggregate Owner Advances, and (b) all outstanding Aggregate Additional Manager Advances, then Owner and Manager shall be paid from such amounts the amount obtained by multiplying a number equal to the amount of the funds available for distribution by a fraction, the numerator of which is the sum of all outstanding Aggregate Owner Advances, or all outstanding Aggregate Additional Manager Advances, as the case may be, and the denominator of which is the sum of all outstanding Aggregate Owner Advances plus the sum of all outstanding Aggregate Additional Manager Advances;

 

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E.                                      Fifth, to Manager, an amount equal to the Aggregate Incentive Management Fee;

 

F.                                      Finally, to Owners, the Aggregate Owner’s Residual Payment.

 

3.02.                        Timing of Payments.  Payment of the Aggregate Deductions, excluding the Aggregate Base Management Fee, the Aggregate Reservation Fee and the Aggregate System Fee, shall be made in the ordinary course of business.  The Aggregate Base Management Fee, the Aggregate Reservation Fee and the Aggregate System Fee shall be paid on the last Business Day of each calendar month, in arrears, based upon the prior month’s Aggregate Gross Revenues or Aggregate Gross Room Revenues, as the case may be, as reflected in the Aggregate Monthly Statement for such prior month.  The Aggregate Owner’s Priority shall be paid on the last Business Day of each calendar month, in arrears, in equal monthly installments, based upon Aggregate Invested Capital most recently reported to Manager by Owners.  If any installment of the Aggregate Base Management Fee, the Aggregate Reservation Fee, the Aggregate System Fee or the Aggregate Owner Priority is not paid when due, it shall accrue interest at the Interest Rate. The Aggregate Incentive Fee and Aggregate Owner’s Residual Payment shall be paid on the last Business Day of the calendar month following the calendar quarter to which such Aggregate Incentive Fee and/or Aggregate Owner’s Residual Payment relates, in arrears, based upon the year-to-date Aggregate Operating Profit as reflected in the Aggregate Monthly Statement for the last calendar month of such calendar quarter and shall be adjusted, after the first calendar quarter, to reflect distributions for prior calendar quarters.  Additional adjustments to all payments will be made on an annual basis based upon the Aggregate Annual Operating Statement for the Year and any audit conducted pursuant to Section 4.02 of the Management Agreements.

 

If the portion of Aggregate Gross Revenues to be distributed to Manager or Owner pursuant to Section 3.01 is insufficient to pay amounts then due in full, any amounts left unpaid shall be paid from and to the extent of Aggregate Gross Revenues available therefor at the time distributions are made in successive calendar months until such amounts are paid in full, together with interest thereon, if applicable, and such payments shall be made from such available Aggregate Gross Revenues in the same order of priority as other payments made on account of such items in successive calendar months.

 

Calculations and payments of the fees and other payments in Section 3.01 and distributions of Aggregate Gross Revenues within a Year shall be accounted for cumulatively within a Year, but shall not be cumulative from one Year to the next.  Calculations and payments of Aggregate Reimbursable Advances shall be accounted for cumulatively within a Year, and shall be cumulative from one Year to the next.

 

The Aggregate Owner’s Priority and Aggregate Owner’s Residual Payment shall be allocated among Owners as the Owners shall determine in their sole discretion and Manager shall have no responsibility or liability in connection therewith.

 

3.03.                        Relationship with Management Agreements.  For as long as this Agreement is in effect with respect to a Hotel, the provisions of Section 3.01 and 3.02 shall supersede Sections 3.02 and 3.03 of the Management Agreement then in effect with the applicable Hotel.

 

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ARTICLE IV
 FINANCIAL STATEMENTS

 

Manager shall prepare and deliver the following financial statements to the Owners:

 

(a)                             Within twenty (20) days after the close of each calendar month, Manager shall deliver an accounting to Owner showing Aggregate Gross Revenues, Aggregate Gross Room Revenues, occupancy percentage and average daily rate, Aggregate Deductions, Aggregate Operating Profit, and applications and distributions thereof for the preceding calendar month and year-to-date (“Aggregate Monthly Statement”).

 

(b)                            Within sixty (60) days after the end of each Year, Manager shall deliver to Owner and Landlord a statement (the “Aggregate Annual Operating Statement”) in reasonable detail summarizing the operations of the Hotels for the immediately preceding Year and an Officer’s Certificate setting forth the totals of Aggregate Gross Revenues, Aggregate Deductions, and the calculation of the Aggregate Incentive Management Fee and Aggregate Owner’s Residual Payment for the preceding Year and certifying that such Aggregate Annual Operating Statement is true and correct.  Manager and Owner shall, within ten (10) Business Days after Owner’s receipt of such statement, make any adjustments, by cash payment, in the amounts paid or retained for such Year as are required because of variances between the Aggregate Monthly Statements and the Aggregate Annual Operating Statement.  Any payments shall be made together with interest at the Interest Rate from the date such amounts were due or paid, as the case may be, until paid or repaid.  The Aggregate Annual Operating Statement shall be controlling over the Aggregate Monthly Statements and shall be final, subject to adjustments required as a result of an audit requested by Owner or Landlord pursuant to Section 4.02.B of the Management Agreements.

 

(c)                             Manager shall also prepare and deliver such other statements or reports as any Owner may, from time to time, reasonably request.

 

The financial statements delivered pursuant to this Article IV are in addition to any financial statements required to be prepared and delivered pursuant to the Management Agreements.

 

ARTICLE V
 NON-ECONOMIC HOTELS

 

5.01.                        Non-Economic Hotels.  If the Gross Revenues of any Hotel are insufficient to pay the Owner’s Priority for such Hotel in full during any two (2) out of four (4) consecutive Years, each of Manager and the relevant Owner shall, upon thirty (30) days notice to the other, be entitled to designate such Hotel a “Non-Economic Hotel.”  Notwithstanding the foregoing, Manager and Owners shall not be entitled to designate Hotels for which the Invested Capital in the aggregate would exceed twenty percent (20%) of Aggregate Invested Capital and further provided for purposes of this Section 5.01 only, Aggregate Invested Capital shall be determined without giving effect to the termination of the Management Agreement of a Non-Economic

 

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Hotel and without reduction for proceeds from the sale, or deemed sale, of any Non-Economic Hotel.

 

The party designating a Hotel as a Non-Economic Hotel (“Marketing Party”) shall market such Non-Economic Hotel for sale and any costs incurred by the Marketing Party or any other Person in connection with such marketing activities and the sale of such Hotel shall be paid out of the net proceeds of such sale.  The relevant Owner, Landlord and Manager, as the case may be, shall cooperate with the Marketing Party in compiling any relevant information, preparing marketing materials and otherwise in connection with the sale of a Non-Economic Hotel.

 

5.02.                        Sale Process.  If a Non-Economic Hotel is marketed for sale in accordance with Section 5.01 and the Marketing Party receives an offer therefor which it wishes to accept on behalf of the relevant Owner and relevant Landlord, the Marketing Party shall give the relevant Owner, or the Manager, as the case may be (the “Non-Marketing Party”), prompt notice thereof, which notice shall include a copy of the offer and any other information reasonably requested by the non-Marketing Party.  If Manager is the Non-Marketing Party, Manager shall have a right of first refusal to purchase such Non-Economic Hotel on the terms of the offer by notice given to the Marketing Party within seven (7) Business Days after receipt of such notice and other information from the Marketing Party.  If an Owner is the Non-Marketing Party, such Owner, on behalf of the relevant Landlord, may reject the offer by notice given to the Marketing Party within seven (7) Business Days after receipt of such notice and other information from the Marketing Party, in which event the Non-Economic Hotel shall be deemed to have been sold to the relevant Landlord on the date, at the price and on the other terms contained in the offer.  If a Non-Economic Hotel is sold to a third party or deemed to have been sold to the relevant Landlord, in each case pursuant to such offer, effective as of the date of sale or deemed sale: (i) the Management Agreement shall terminate with respect to such Non-Economic Hotel; (ii) the Aggregate Invested Capital shall be reduced by an amount equal to the net proceeds of sale after reduction for the costs and expenses of the relevant Landlord, relevant Owner and/or Manager (or, in the case of a deemed sale, the net proceeds of sale determined by reference to such offer, after reduction for any amounts actually expended and any amounts which would reasonably have been expected to have been expended if the sale had been consummated, by the relevant Owner, relevant Landlord and/or Manager).  If the reduction of Aggregate Invested Capital is less than the Invested Capital of the Non-Economic Hotel sold or deemed sold, the difference shall be proportionately reallocated to the Invested Capital of the remaining Hotels.

 

ARTICLE VI
 ACCOUNTS

 

All Working Capital and all Gross Revenues of each of the Hotels may be pooled and deposited in one or more bank accounts in the name(s) of Owners designated by Manager, which accounts may, except as required by any Mortgage and related loan documentation or applicable law, be commingled accounts containing other funds owned by or managed by Manager.  Manager shall be authorized to access the accounts without the approval of Owners, subject to any limitation on the maximum amount of any check, if any, established between Manager and Owners as part of the Annual Operating Projections.  One or more Owners shall be a signatory on all accounts maintained with respect to the Hotel, and Owners shall have the right to require that one or more Owner’s signature be required on all checks/withdrawals after the

 

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occurrence of an Event of Default by Manager.  The Owners shall provide such instructions to the applicable bank(s) as are necessary to permit Manager to implement the Manager’s rights and obligations under this Agreement.  The failure of any Owner to provide such instructions shall relieve Manager of its obligations hereunder until such time as such failure is cured.

 

ARTICLE VII
 ADDITION AND REMOVAL OF HOTELS

 

7.01.                        Addition of Hotels.  At any time and from time to time, Manager and any Owner or any Affiliate of an Owner (an “Additional Owner”) which enters into a management agreement with Manager for the operation of an additional Hotel (an “Additional Hotel”), the Additional Owner may become a party to this Agreement by signing an accession agreement confirming the applicability of this Agreement to such Additional Hotel.  If an Additional Hotel is made subject to this Agreement other than on the first day of a calendar month, the parties shall include such prorated amounts of the Gross Revenues and Deductions (and other amounts as may be necessary) applicable to the Additional Hotel for such calendar month, as mutually agreed in their reasonable judgment, in the calculation of Aggregate Gross Revenues and Aggregate Deductions (and other amounts as may be necessary) for the calendar month in which the Additional Hotel became subject to this Agreement and shall make any other prorations, adjustments, allocations and changes required.  Additionally, any amounts held as Working Capital for the Additional Hotel or to fund capital expenditures, if any, shall be held by Manager under this Agreement.

 

7.02.                        Removal of Hotels.  From and after the date of termination of any Management Agreement, the Hotel managed thereunder shall no longer be subject to this Agreement.  If the termination occurs on a day other than the last day of a calendar month, the parties shall exclude such prorated amounts of the Gross Revenues and Deduction (and other amounts as may be necessary) applicable to such Hotel for such calendar month, as mutually agreed in their reasonable judgment, in the calculation of Aggregate Gross Revenues and Aggregate Deductions (and other amounts as may be necessary) for the calendar month in which the termination occurred.  Additionally, the relevant Owner and Manager, both acting reasonably, shall mutually agree to the portion of the Aggregate Working Capital and Aggregate Gross Revenues allocable to the Hotel being removed from this Agreement and the amount of the Aggregate Working Capital, Aggregate Gross Revenues so allocated and any amounts held to fund capital expenditures, shall be remitted to the relevant Owner and the relevant Owner and Manager shall make any other prorations, adjustments, allocations and changes required.

 

ARTICLE VIII
 TERM AND TERMINATION

 

8.01.                        Term.  This Agreement shall continue and remain in effect indefinitely unless terminated pursuant to Section 8.02.

 

8.02.                        Termination.  This Agreement may be terminated as follows:

 

(a)                             By the mutual consent of Manager and Owners which are parties to this Agreement.

 

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(b)                            Automatically, if all Management Agreements terminate or expire for any reason.

 

(c)                             By Manager, if any or all Owners do not cure a material breach of this Agreement by any Owner or Landlord within thirty (30) days of written notice of such breach from Manager and if such breach is not cured, it shall be an Owner Event of Default under the Management Agreements.

 

(d)                            By Owners, if Manager does not cure a material breach of this Agreement by Manager within thirty (30) days of written notice of such breach from any Owner and if such breach is not cured, it shall be a Manager Event of Default under the Management Agreements.

 

8.03.                        Effect of Termination.  Upon the termination of this Agreement, except as otherwise provided in Section 2.02.1. or 9.04.B. of the Management Agreements, Manager shall be compensated for its services only through the date of termination and all amounts remaining in any accounts maintained by Manager pursuant to Article VI, after payment of such amounts as may be due to Manager hereunder, shall be distributed to Owners.  Notwithstanding the foregoing, upon the termination of any single Management Agreement, pooled funds shall be allocated as described in Section 7.02.

 

8.04.                        Survival.  The following Sections of this Agreement shall survive the termination of this Agreement:  8.03 and Article IX.

 

ARTICLE IX
 MISCELLANEOUS PROVISIONS

 

9.01.                        Notices.  All notices, demands, consents, approvals, and requests given by any party to another party hereunder shall be in writing and shall be deemed to have been duly given when delivered in person, upon confirmation of receipt when transmitted by facsimile transmission, or on the next business day if transmitted by nationally recognized overnight courier, to the parties at the following addresses:

 

To Owners:

 

Cambridge TRS, Inc.

Two Newton Place

225 Washington Street

Newton, Massachusetts 02458

Attn:  President

Facsimile:

 

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To Manager:

 

Sonesta International Hotels Corporation

Two Newton Place

225 Washington Street

Newton, Massachusetts 02458

Attn:  President

Facsimile:

 

9.02.                        Applicable Law; Arbitration.  This Agreement shall be interpreted, construed, applied and enforced in accordance with the laws of the Commonwealth of Massachusetts, with regard to its “choice of law” rules.  Any “Dispute” (as such term is defined in the Management Agreements) under this Agreement shall be resolved through final and binding arbitration conducted in accordance with the procedures and with the effect of, arbitration as provided for in the Management Agreements.

 

9.03.                        Severability.  If any term or provision of this Agreement or the application thereof in any circumstance is held invalid, illegal or unenforceable in any respect for any reason, the validity, legality and enforceability of any such provision in every other respect and of the remaining provisions hereof shall not be in any way impaired, unless the provisions held invalid, illegal or unenforceable shall substantially impair the benefits of the remaining provisions hereof.

 

9.04.                        Gender and Number.  Whenever the context of this Agreement requires, the gender of all words herein shall include the masculine, feminine, and neuter, and the number of all words herein shall include the singular and plural.

 

9.05.                        Headings and Interpretation.  The descriptive headings in this Agreement are for convenience of reference only and shall not affect in any way the meaning or interpretation of this Agreement.  References to “Section” in this Agreement shall be a reference to a Section of this Agreement unless otherwise indicated.  Whenever the words “include,” “includes” or “including” are used in this Agreement they shall be deemed to be followed by “without limitation.”   The words “hereof,” “herein,” “hereby,” and “hereunder, when used in this Agreement shall refer to this Agreement as a whole and not to any particular provision unless otherwise indicated.  The word “or” shall not be exclusive.  This Agreement shall be construed without regard to any presumption or rule requiring construction or interpretation against the party drafting.

 

9.06.                        Confidentiality of Information.  Any information exchanged between the Manager and each Owner pursuant to the terms and conditions of this Agreement shall be subject to Section 11.07 of the Management Agreements.

 

9.07.                        Assignment.  Neither Manager nor any Owner may assign its rights and obligations under this Agreement to any other Person without the prior written consent of the other parties.

 

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9.08.                        Entire Agreement; Construction; Amendment.  With respect to the subject matter hereof, this Agreement supersedes all previous contracts and understandings between the parties and constitutes the entire Agreement between the parties with respect to the subject matter hereof.  Accordingly, in the event of any conflict between the provisions of this Agreement and the Management Agreements, the provisions of this Agreement shall control, and the provisions of the Management Agreements are deemed amended and modified, in each case as required to give effect to the intent of the parties in this Agreement.  All other terms and conditions of the Management Agreements shall remain in full force and effect; provided that, to the extent that compliance with this Agreement shall cause a default, breach or other violation of the Management Agreement by one party, the other party waives any right of termination, indemnity, arbitration or otherwise under the Management Agreement related to that specific default, breach or other violations, to the extent caused by compliance with this Agreement.  This Agreement may not be modified, altered or amended in any manner except by an amendment in writing, duly executed by the parties hereto.

 

9.09.                        Third Party Beneficiaries.  The terms and conditions of this Agreement shall inure to the benefit of, and be binding upon, the respective successors, heirs, legal representatives or permitted assigns of each of the parties hereto and except for Landlord(s), which are intended third party beneficiaries, no Person other than the parties hereto and their successors and permitted assigns is intended to be a beneficiary of this Agreement.

 

[Signatures begin on the following page.]

 

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IN WITNESS WHEREOF, the parties hereto have executed and delivered this Agreement with the intention of creating an instrument under seal.

 

	
 
    	
SONESTA   INTERNATIONAL HOTELS CORPORATION
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   William J. Sheehan
    
	
 
    	
 
    	
William   J. Sheehan
    
	
 
    	
 
    	
Chairman   and Chief Executive Officer
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
CAMBRIDGE   TRS, INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   John G. Murray
    
	
 
    	
 
    	
John   G. Murray
    
	
 
    	
 
    	
President   and Chief Operating Officer
    

 

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Schedule A

 

Owners

 

Cambridge TRS, Inc.

 

 

Schedule B

 

Hotels

 

	
Owner
    	
 
    	
Hotel
    	
 
    	
Landlord
    
	
Cambridge   TRS, Inc.
    	
 
    	
Royal   Sonesta Cambridge

40   Edwin Land Boulevard

Cambridge,   MA 02142
    	
 
    	
HPT   Cambridge LLC
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Sonesta   Hilton Head Resort

130   Shipyard Drive

Hilton   Head, SC 29928
    	
 
    	
HPT   IHG-2 Properties Trust
    

 

 

Schedule C

 

Management Agreements

 

Management Agreement between Sonesta Acquisition Corp. (now known as Sonesta International Hotels Corporation) and Cambridge TRS, Inc., dated as of January 31, 2012.

 

Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of April 23, 2012 (effective as of April 27, 2012).Exhibit 10.1

 

TRADEMARK AND DOMAIN NAME LICENSE AGREEMENT

 

This Trademark and Domain Name License Agreement (this “Agreement”) is entered into by and between Riviera Operating Corporation, a Nevada corporation (“Licensor”), on the one hand, and Riviera Black Hawk, Inc., a Colorado corporation (“Licensee”), on the other hand.  Licensor and Licensee (each, a “Party,” and, collectively, the “Parties”) agree to the terms herein as of April 26, 2012 (the “Effective Date”).

 

RECITALS

 

A.           Monarch Growth Inc., a Nevada corporation (“Buyer”), and Licensor have entered into a Stock Purchase Agreement along with Riviera Holdings Corporation, a Nevada corporation, and Monarch Casino & Resort, Inc., a Nevada corporation, dated as of September 29, 2011 (the “Purchase Agreement”), pursuant to which Buyer agreed to purchase all of the issued and outstanding stock of Licensee and Licensee and Licensor agreed to enter into this Agreement.

 

B.           Concurrently with the execution of this Agreement, Buyer is purchasing all of the issued and outstanding stock of Licensee and will concurrently assume the operation of the Riviera Casino in Black Hawk, Colorado (hereinafter referred to as the “Black Hawk Casino”).

 

C.           Licensor is the owner of trademark rights in the trademarks listed on Exhibit A attached hereto (collectively, the “Riviera Marks”) and is the owner and registrant of the domain names rivierablackhawk.com and rivwinners.com (the “Domain Names”).

 

D.           Licensor is willing to license to Licensee the Riviera Marks and the Domain Names for use at and in connection with the Black Hawk Casino for a transition period.

 

In consideration of the mutual covenants of the Parties and other valuable consideration, the sufficiency and receipt of which is hereby acknowledged, the Parties agree as follows:

 

TERMS

 

1.            GRANT OF LICENSE.  Subject to the terms and conditions of this Agreement, Licensor hereby grants to Licensee permission to use the Domain Names for a website (and the domain name rivwinners.com in connection with email marketing) and an exclusive (within the town of Black Hawk, Colorado), royalty-free, fully paid license to use the Riviera Marks, in connection with the operation, promotion and marketing of the Black Hawk Casino and in connection with goods and services specifically related to the Black Hawk Casino, for the Term (defined below).  Licensee agrees to operate the Black Hawk Casino pursuant to this license for the Term in compliance with the terms of this Agreement, including, without limitation, the Quality Standard (as defined below).  Licensee shall not use the Riviera Marks or the Domain Names in connection with any other casino, hotel, hotel/casino, business or activities anywhere in the world at any time, except as expressly permitted in this Agreement.  Licensee acknowledges and agrees that all duties, covenants and obligations of Licensee under this Agreement are material to Licensor as a condition of granting this license to Licensee.  Licensor specifically reserves all rights not herein granted.  Nothing in the foregoing shall limit Licensor’s right to market goods and services under the trademark RIVIERA throughout the world; provided however, that for three years after the Effective Date, Licensor (or its

 

 

affiliates or licensees other than Licensee) shall not operate a casino in the state of Colorado using the trademark RIVIERA.

 

2.            TERM.  The term of this Agreement shall be for a period of twelve months, commencing on the Effective Date, (the “Initial Term”) which Initial Term may be extended for up to an additional six (6) months upon Licensee’s written request to Licensor, specifying the additional time desired, no later than sixty (60) days prior to the expiration of the Initial Term (the Initial Term and any extension, the “Term”).  Notwithstanding the foregoing, Licensor shall, for up to thirty (30) months after the Effective Date of this Agreement, cause the Domain Names to redirect to the Black Hawk Casino website designated by Licensee and redirect email sent to the rivwinners.com domain to the email domain designated by Licensee.  Licensor may terminate such redirection on the same basis and in the same manner as Licensor may terminate this Agreement.

 

3.            ASSIGNMENT; NO SUBLICENSING.  This Agreement and the licenses granted in this Agreement may not be assigned by Licensee without the express prior written consent of Licensor, which consent may be withheld in Licensor’s sole and absolute discretion.  Licensee may not grant any sub-licenses with respect to the licenses granted in this Agreement to any third parties without the prior express written permission of Licensor, which permission may be withheld in Licensor’s sole and absolute discretion.

 

4.            QUALITY CONTROL.  Licensee acknowledges that providing substandard services and goods would have an adverse effect upon the reputation of Licensor and the value of the goodwill represented by the Riviera Marks.  Accordingly, Licensor agrees that it will take no action that dilutes or damages the Riviera Marks, or any goodwill associated therewith.  Further, Licensee shall take no action that impairs, contests or tends to impair or contest the validity of, or Licensor’s respective rights, title and interest in and to, the Domain Names or the Riviera Marks, or the goodwill associated therewith.  Licensee agrees to operate, promote and market the Black Hawk Casino and provide goods and services specifically related thereto at a level of quality that at least meets the quality of services and goods provided during the one-year period prior to the Effective Date at the Black Hawk Casino, and in a manner that fully complies with all local, state, and federal laws, and regulations (the “Quality Standard”).  The offering of goods or services that are consistent with the Quality Standard does not require prior approval by Licensor except in the case of a Rebrand Mark (defined below) as discussed in Section 5 hereof.

 

5.            MARKETING MATERIALS.  The quality, contents and workmanship of all promotional, packaging and advertising material containing or bearing the Riviera Marks (the “Ancillary Materials”) shall at all times be of a high standard, feature proper usage of the Riviera Marks, and be of such style, appearance and quality as to be adequate and suited to their exploitation to the best advantage and to the protection and enhancement of Licensor, the Riviera Marks and the goodwill pertaining thereto; and no less than the best quality of Ancillary Material used at the Black Hawk Casino by Licensee’s predecessor in interest during the one-year period prior to the Effective Date (the “Ancillary Materials Standard”).  The use of Ancillary Materials that are consistent with the Ancillary Materials Standard does not require prior approval by Licensor.  Notwithstanding the foregoing, any use of or reference to the Riviera Marks in conjunction with any other trademark for the purposes of introducing or furthering the rebranding of the Black Hawk Casino under such other trademark (“Rebrand Mark”) must be approved by Licensor in advance, such approval not to be unreasonably withheld.  Licensee may submit to Licensor templates for Licensor’s prior written

 

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approval of proposed reference to or usage of the Riviera Marks in conjunction with a Rebrand Mark and, if Licensor approves such a template, Licensee may use or reference the Riviera Marks in conjunction with a Rebrand Mark in accordance with that approved template, the Quality Standard, and the Ancillary Materials Standard, without obtaining Licensor’s further approval.

 

6.            SAMPLES AND INSPECTION.  Licensee will supply Licensor, at Licensor’s request, with samples of the Ancillary Materials and any goods bearing the Riviera Marks.  Licensee agrees to permit Licensor or its representative to conduct periodic inspections of the Black Hawk Casino in order to determine compliance with this Agreement.  Notwithstanding the foregoing, Licensor’s receipt of sample Ancillary Materials and goods (or observation during an inspection of the Black Hawk Casino, goods, services or Ancillary Materials) that do not meet the Quality Standard or the Ancillary Materials Standard, as applicable, will: (i) not serve as notice to Licensor by Licensee that any goods or services fail to meet the Quality Standard or that any Ancillary Materials fail to meet the Ancillary Materials Standard and (ii) not act as a waiver if Licensor fails to notify Licensee concerning a failure to meet the Quality Standard or the Ancillary Materials Standard.  If the quality of a particular good or service falls below the Quality Standard or if the quality of a particular Ancillary Material falls below the Ancillary Material Standard, Licensee shall use commercially reasonable efforts to restore such quality.  In the event that Licensee has not taken appropriate steps to restore such quality within thirty (30) days after the earlier of:  (i) written notification by Licensor or (ii) such time as Licensee otherwise becomes aware of such quality issue, Licensor shall have the right to remove such good, service or Ancillary Material from the scope of the license granted in this Agreement, and Licensee shall no longer be permitted to manufacture, perform, offer, market, distribute or use such good, service or Ancillary Material under the Riviera Marks.  Nothing in the foregoing is intended to require prior approval of goods, services or Ancillary Materials under the Quality Standard or the Ancillary Materials Standard except as set forth in Section 5.

 

7.            INTELLECTUAL PROPERTY NOTICES.  Licensee agrees to affix to goods and services bearing the Riviera Marks, and to any Ancillary Materials, such legal notices as required by Licensor.  In addition, wherever appropriate and required by Licensor, Licensee shall affix the appropriate symbol ® or TM to any such material, as well as such other reasonable notice or notices of trademark as requested by Licensor.

 

8.            REGISTRATION.  The Parties acknowledge and agree that Licensor has the right, but not the obligation, to apply for any and all registrations in the United States and elsewhere for the Riviera Marks under its own name.  Licensee agrees to provide reasonable assistance to Licensor with respect to filing such applications and obtaining and maintaining the resulting registrations for the Riviera Marks.

 

9.            GOODWILL INURES TO BENEFIT OF LICENSOR.  Licensee acknowledges that Licensor is the owner of the Riviera Marks, including all goodwill associated therewith.  Licensee further acknowledges that its use of the Riviera Marks inures to the benefit of Licensor and that Licensee shall not acquire any rights therein.  Licensor will retain all right, title and interest in and to the Riviera Marks, including any goodwill associated therewith, subject to the limited license granted to Licensee hereunder.

 

10.         WARRANTEES, REPRESENTATIONS, ADDITIONAL COVENANTS AND INDEMNIFICATION.

 

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a.            Licensor represents and warrants that it has full right, power and authority to enter into this Agreement and that it owns all necessary rights in and to the Riviera Marks and the Domain Names to grant the license under this Agreement to Licensee.  Licensor agrees to defend, indemnify, save and hold harmless Licensee, its Affiliates and their respective Representatives, equityholders, successors and assigns from and against any and all costs, losses, liabilities, damages, claims, demands, expenses, including interest, penalties, actual and reasonable professional fees (including, but not limited to, attorneys’ fees) and all amounts paid in investigation, defense or settlement of any of the foregoing (collectively, “Damages”), paid or incurred, in connection with, arising out of or resulting from any breach of the warranties or the inaccuracy of any of the representations set forth in the foregoing sentence.  “Affiliate” means, with respect to any Person, any other Person that directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control with, such first-mentioned Person.  “Person” means an individual, corporation, limited liability company, partnership (of any kind), association, trust, unincorporated organization, other entity or “group” (as defined in Rule 13d-5(b)(1) promulgated under the Securities Exchange Act of 1934, as amended), or Governmental Entity.  “Governmental Entity” means any (i) nation, state, commonwealth, province, territory, county, municipality, district or other jurisdiction of any nature, or any political subdivision thereof, (ii) federal, state, local, municipal, foreign or other government, or (iii) governmental or quasi-governmental authority of any nature (including any governmental division, department, bureau, agency, commission, instrumentality, official, organization, body or entity and any court, arbitrator or other tribunal).  “Representatives” means, with respect to any Person, the Gaming Representatives, employees, financial advisors, legal advisors, agents or other representatives of such Person.  “Gaming Representative” means, with respect to any Person, the directors, officers, key employees, shareholders, members or managers of such Person, or Persons otherwise holding any ownership interest in such Person.

 

b.            Licensee represents and warrants that it has full right, power and authority to enter into this Agreement.  Licensee agrees that:  (i) it shall comply with all applicable laws and regulations in connection with the use, manufacture, production, performance, sale, distribution, advertising and promotion of goods and services relating to, and the use of the Domain Names in connection with, the Black Hawk Casino; (ii) it shall be solely responsible for the manufacture, production, performance, sale, distribution, advertising and promotion of goods and services relating to, and the use of the Domain Names in connection with, the Black Hawk Casino, and will bear all related costs associated therewith; (iii) it will conduct itself in a business-like and professional manner so as not to bring disrepute to the Riviera Marks; (iv) any actions taken by Licensee in connection with the Riviera Marks and the use of the Domain Names shall not infringe upon any intellectual property right or misappropriate any third party trade secret(s) or confidential information; and (v) it has not taken, and will not take during the Term, any action in conflict with this Agreement.  Licensee agrees to defend, indemnify, save and hold harmless Licensor, its Affiliates and their respective Representatives, equityholders, successors and assigns from and against any and all Damages paid or incurred, in connection with, arising out of or resulting from (x) any breach of the warranties or the inaccuracy of any of the representations set forth in this Section 10(b), (y) Licensee’s use of the Riviera Marks or the Domain Names, or (z) any breach or of failure to perform any covenant or agreement made, or to be performed, by Licensee in this Agreement.

 

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11.         IMMEDIATE TERMINATION.  Licensor shall have the right to immediately terminate this Agreement by giving written notice to Licensee in the event that Licensee does any of the following:

 

a.            files a petition in bankruptcy or is adjudicated a bankrupt or insolvent, or makes an assignment for the benefit of creditors, or an arrangement pursuant to any bankruptcy law, or if Licensee is unable to meet its financial obligations when they become due or discontinues its business or a receiver is appointed for Licensee or for Licensee’s business and such receiver is not discharged within thirty (30) days; or

 

b.            breaches any of the provisions of this Agreement relating to the unauthorized assignment or sublicensing of the Agreement or the licenses granted in this Agreement; or

 

c.            after receipt of written notice from Licensor, fails to immediately discontinue the distribution or sale of goods or services or the use of any Ancillary Materials pursuant to Section 6 hereof; or

 

d.            undergoes a change of control of more than 50% of its outstanding shares, or merges, consolidates with or into any other corporation or other entity, or directly or indirectly sells or otherwise transfers, sells or disposes of all or a substantial portion of its business or assets.

 

Notwithstanding the foregoing, if Licensor elects, in its sole discretion, to provide Licensee with notice and an opportunity to cure any breach described in this Section 11, such action will not constitute a waiver of or bar to Licensor’s right to strictly enforce immediate termination in the future, without any right to cure, in the event of the same or any other breach.

 

Licensee may terminate this Agreement immediately (or upon the passage of such time as Licensee otherwise designates) upon written notice to Licensee.

 

12.         TERMINATION AFTER NOTICE.  In addition to the termination rights set forth in Section 11, this Agreement may be terminated by either Party upon thirty (30) days’ written notice to the other Party in the event of a material breach of a provision of this Agreement by the other Party, provided that, during the thirty (30)-day period, the breaching Party fails to cure such breach.

 

13.         EFFECT OF TERMINATION.  Upon the expiration or termination of this Agreement, all of the rights of Licensee under this Agreement shall forthwith terminate and immediately revert to Licensor (except, in the event of expiration, for redirection of the Domain Names solely as expressly set forth in this Agreement), and Licensee shall immediately discontinue all use of the Domain Names and the Riviera Marks, including discontinuing the use of any trade name incorporating the Riviera Marks and changing any entity name incorporating the Riviera Marks and destruction of all Ancillary Materials at no cost whatsoever to Licensor.  Licensee recognizes and agrees that the use of any trademark, trade name, trade dress or other industrial or intellectual property similar to the Riviera Marks has the potential to cause significant consumer confusion after termination or expiration of this Agreement.  Therefore, after expiration or termination of this Agreement, Licensee will not use or adopt the use of any trademark, trade name, entity

 

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name, trade dress or other industrial or intellectual property that is not just confusingly similar, but similar in any way to the Riviera Marks.

 

14.         REMEDIES UPON BREACH.  In the event that a Party breaches this Agreement, each Party reserves the right to immediately assert any and all claims against the breaching Party that it deems appropriate, including, without limitation, taking action to enforce the Agreement, and/or taking action to obtain or enforce a judgment against the breaching Party.

 

15.         ENFORCEMENT.  Licensor shall have the sole right and responsibility to enforce the Riviera Marks and shall retain 100% of any recovery it obtains in any such enforcement activity.  Licensee, however, will promptly notify Licensor of any infringement of the Riviera Marks of which it becomes aware and shall reasonably cooperate with Licensor, at Licensor’s cost, in any such enforcement activity.

 

16.         CONFIDENTIALITY.  The Parties agree to keep the terms of this Agreement confidential.  This confidentiality provision does not restrict either Party in any way from making any internal reports or reports to its affiliates or advisors concerning the terms of this Agreement consistent with its standard operating procedures and a report to its Board of Directors in a public meeting or making such disclosure as may be required by law, regulation or the rules of a stock exchange or trading market.

 

17.         GOVERNING LAW; CONSENT TO JURISDICTION; WAIVER OF TRIAL BY JURY.

 

a.            This Agreement shall be governed by and construed in accordance with the internal substantive Laws (other than conflicts-of-law principles) of the State of Nevada.  Each Party irrevocably consents to the personal jurisdiction of the state and federal courts located in the State of Nevada in connection with any controversy related to this Agreement, waives any argument that venue in any such forum is not convenient and agrees that any litigation initiated by any of them in connection with this Agreement shall be venued in a state or federal court located in Clark County, Nevada.

 

b.            EACH PARTY ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY THAT MAY ARISE UNDER THIS AGREEMENT IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT ISSUES, AND, THEREFORE, EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY ACTION, PROCEEDING OR COUNTERCLAIM (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE) DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT OR THE ACTIONS OF ANY PARTY IN THE NEGOTIATION, ADMINISTRATION, PERFORMANCE AND ENFORCEMENT OF THIS AGREEMENT.  EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT (i) NO REPRESENTATIVE OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE EITHER OF THE WAIVERS, (ii) IT UNDERSTANDS AND HAS CONSIDERED THE IMPLICATIONS OF SUCH WAIVERS, (iii) IT MAKES SUCH WAIVERS VOLUNTARILY, AND (iv) IT HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 17.

 

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18.         NOTICES.  All notices and other communications under this Agreement shall be in writing and shall be deemed given (a) on the date of delivery, if delivered by hand or sent by fax (which is confirmed) or e-mail (which is confirmed), (b) on the first Business Day following the date of dispatch by a nationally recognized private overnight courier service, or (c) on the fifth Business Day following the date on which it was deposited in the U.S. mail, postage prepaid, if mailed by registered or certified mail (return receipt requested), to the Parties at the following addresses (or at such other address for a Party as shall be specified by like notice):

 

if to Licensee, to:

 

Monarch Casino & Resort, Inc.

Executive Offices

3800 South Virginia Street

Reno, Nevada  89502

Attention: John Farahi

Fax:  (775) 332-9171

Jfarahi@atlantiscasino.com

 

with a copy to (which shall not constitute notice):

 

Greenberg Traurig, LLP

3773 Howard Hughes Parkway, Suite 400N

Las Vegas, Nevada 89169

Attention: Michael  J. Bonner

Fax:  (702) 549-2728

Bonnerm@gtlaw.com

 

if to Licensor, to:

 

Riviera Operating Corporation

2901 Las Vegas Boulevard South

Las Vegas, Nevada  89109

Attention:  Tullio J. Marchionne

Fax:  (702) 794-9560

tmarchionne@theriviera.com

 

with a copy to (which shall not constitute notice):

 

Brownstein Hyatt Farber Schreck, LLP

410 Seventeenth Street, Suite 2200

Denver, CO  80202

Attention:  Kevin A. Cudney

Fax:  (303) 223-1111

kcudney@bhfs.com

 

19.         INTERPRETATION.  When a reference is made in this Agreement to Sections or exhibits, such reference shall be to a Section or exhibit of this Agreement unless otherwise indicated.  All exhibits to this Agreement are incorporated herein by reference.  Whenever the words “include,” “includes” or “including” are used in this Agreement, they shall be deemed to be followed by the words “without limitation.”  The words “hereof,”

 

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“herein” and “hereunder” and words of similar import when used in this Agreement shall refer to this Agreement as a whole and not to any particular provision of this Agreement.  The phrase “made available” in this Agreement shall mean that the information referred to has been made available if requested by the Party to whom such information is to be made available.

 

20.         HEADINGS.  The headings contained in this Agreement are for reference purposes only and shall not affect in any way the meaning or interpretation of this Agreement.

 

21.         ENTIRE AGREEMENT.  This Agreement and all documents and instruments referred to in this Agreement constitute the entire agreement and supersede all prior agreements and understandings, both written and oral, between the Parties with respect to the subject matter of this Agreement.  The Parties make no representations or warranties to each other, except as contained in this Agreement, and any and all prior representations and warranties made by any Party or its representatives, whether verbally or in writing, are deemed to have been merged into this Agreement, it being intended that no such prior representations or warranties shall survive the execution and delivery of this Agreement.

 

22.         SEVERABILITY.  If any term or other provision of this Agreement is invalid, illegal or incapable of being enforced by any rule of law or public policy, all other conditions and provisions of this Agreement shall nevertheless remain in full force and effect so long as the economic or legal substance of the transactions contemplated by this Agreement is not affected in any manner materially adverse to any Party or provision shall be ineffective to the extent, but only to the extent, of such invalidity, illegality or unenforceability without invalidating the remainder of such invalid, illegal or unenforceable provision or provisions or any other provisions of this Agreement, unless such a construction would be unreasonable.

 

23.         BINDING EFFECT; PARTIES OF INTEREST.  This Agreement shall be binding upon and inure solely to the benefit of each Party and their respective successors and assigns, and nothing in this Agreement, express or implied, is intended to or shall confer upon any other Person any right, benefit or remedy of any nature whatsoever under or by reason of this Agreement except as expressly provided in this Agreement, including in Section 10 (which, from and after the Effective Date, shall be for the benefit of each indemnified Person set forth in Section 10).

 

24.         MUTUAL DRAFTING.  Each Party has had full opportunity to review and consider the contents of this Agreement.  All of the terms contained in this Agreement, including the Recitals concerning the intentions of the Parties and the purpose of this Agreement, are material terms.  Each Party has participated in the drafting of this Agreement, which each Party acknowledges is the result of good faith negotiations among the Parties.  In the event any ambiguity or question of intent arises, this Agreement shall be construed as if drafted jointly by the Parties, and no presumption or burden of proof shall arise favoring or disfavoring any Party by virtue of the authorship of any of the provisions of this Agreement.

 

25.         AMENDMENT.  This Agreement may be amended by Licensor and Licensee; provided, however, that such amendment is effected by an instrument in writing signed on behalf of each of Licensor and Licensee.

 

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26.         EXTENSION; WAIVER.  Any term or provision of this Agreement may be waived, or the time for its performance may be extended, by the Party or Parties entitled to the benefit thereof.  Any agreement on the part of a Party to any such extension or waiver shall be valid only if set forth in a written instrument signed on behalf of such Party.  The failure of any Party to enforce at any time any provision of this Agreement shall not be construed to be a waiver of such provision, nor in any way to affect the validity of this Agreement or any Party or the right of any Party thereafter to enforce each and every such provision.  No waiver of any breach of this Agreement shall be held to constitute a waiver of any other or subsequent breach.

 

27.         FACSIMILE SIGNATURES; COUNTERPARTS.  This Agreement may be executed by facsimile and in one or more counterparts, and by the different Parties in separate counterparts, each of which when executed shall be deemed to be an original but all of which taken together shall constitute one and the same agreement.

 

28.         FEES AND EXPENSES.  The Parties shall bear their own legal fees and costs incurred in the negotiation of this Agreement and prior to the execution of this Agreement.  However, in the event that legal action ensues to compel performance of this Agreement, the prevailing party shall be entitled to an award of the reasonable costs and attorney’s fees incurred in such action.

 

29.         ACKNOWLEDGEMENT.  Each Party acknowledges that it has read this Agreement, understands it and agrees to be bound by its terms, that it has had the advice of counsel with respect to this Agreement, that it has the capacity and right to enter into this Agreement, and that it accepts the duties, obligations, privileges and rights granted hereunder.

 

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IN WITNESS WHEREOF, the undersigned have caused this Agreement to be signed by their respective duly authorized officers as of the Effective Date.

 

	
Licensor:
    	
Licensee
    
	
 
    	
 
    
	
Riviera Operating Corporation
    	
Riviera Black Hawk, Inc.
    
	
 
    	
 
    
	
By: 
    	
/s/ Andy Choy
    	
 
    	
By: 
    	
/s/   Ronald Rowan
    
	
Name: 
    	
Andy Choy
    	
 
    	
Name: 
    	
Ronald Rowan
    
	
Its: 
    	
President and Chief Executive   Officer
    	
 
    	
Its: 
    	
Treasurer
    
						

 

 

Signature Page for Trademark and Domain Name License Agreement

 

 

EXHIBIT A

 

Riviera Marks

 

1.  RIVIERA (US Trademark Registration No. 2090347

 

2.   (US Trademark Registration No. 3388841)

 

3.(US Trademark Registration No. 2389433)

 

 

4.  The word mark RIVIERA and the two stylized RIVIERA marks referenced above each in conjunction with the phrase BLACK HAWK

 

5.  THE RIV

 

6.  LIVE AT THE RIV

 

7.  WIN AT THE RIV

 

8.  WIN AT THE RIV (Stylized)

 

9.  RIVIERA PLAYER’S CLUB

 

10.  R Logo -- Stylized “R” (without a circle)

 

11.  R Circle Logo -- Stylized “R” inside a circle

 

12.  R PLAYER’S CLUB -- featuring the R Circle Logo

 

13.  RIVWINNERS

 

14.  RIV WINNERS

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