HomeMy WebLinkAboutContract 45350 (2)CITY SECRETS VEHICLE WEIGHT ENFORCEMENT cp�ma�±Y351.) .
EQUIPMENT LEASE
(GENERAL ELECTRODYNAMICS CORPORATION)
This Vehicle Weight Enforcement Equipment Lease ("Lease") is entered into be
effective as of the first day of October, 2013 (the "Effective Date"), by and between General
Electrodynamics Corporation, a Texas corporation ("Lessor"), and City of Fort Worth, Police
Fiscal & Equipment Management, ("Lessee").
1. Lease and License. , certain portable weighing equipment for use in Lessee's
business (the "Equipment") upon the terms and conditions set forth in this Lease. The Equipment
leased hereunder is more particularly described on Exhibit "A" attached hereto and made a part
hereof. The Equipment shall be used by Lessee at its place of business located in Fort Worth
Texas_(the "Licensed Location"), or at such other location as shall be approved in writing by
Lessor. In connection with and as part of this Lease, for the Tern of the Lease, Lessor grants to
Lessee a non-exclusive, non -transferable license for the use of the vehicle weighing software
program and other intellectual property of Lessor that is contained within the Equipment
(collectively, the "Intellectual Property"). This license shall terminate automatically whenever
the Lease terminates or expires for any reason.
2. Lease Tenn. The "Commencement Date" shall be the date that the Equipment is
first delivered to the Licensed Location. The "Tern" of this Lease shall be sixty (60) months
commencing on the Commencement Date and expiring sixty (60) months after such date, unless
this Lease is sooner terminate or extended, as hereinafter provided. At anytime during the Lease
agreement, the City of Fort Worth may elect to purchase said equipment.
3. Rent. In consideration of the leasing of the Equipment and licensing of the
Intellectual Property, Lessee agrees to pay to Lessor as rent the sums set forth below:
(a) Monthly payments of $638.00 due and payable no later than the 10th day of each
month commencing the first month after the Commencement Date, or 5 annual payments of
$7645.00 and continuing to be due and payable no later than the 10t11 day of each month
thereafter throughout the Tern of this Lease.
(b) All payments shall be made payable to the order of General Electrodynamics
Corporation, and mailed or delivered to 8000 Calender Road, Arlington, Tarrant County,
Texas 76001, or to such other address as Lessor notifies Lessee in writing.
RECEIVED Fie 0 7 2014
FBO EQUIPMENT LEASE
OFFICM RECOM
CITY SECRETARY
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(c) In the event any Rent is not received within thirty (30) days after its due date
for any reason whatsoevei, then in addition to the past due amount, Lessee shall pay Lessor
interest on the Rent then due at the Maximum Rate (but in no event to exceed one percent (1 %)
per month), such interest to accrue continuously on any unpaid balance due to Lessor by Lessee
during the period commencing with the Rent Due date and terminating with the date on which
Lessee makes a full payment of all amounts owing to Lessor at the time of said payment.
Interest payment shall be treated as additional Rent, and shalbe payable immediately on
demand. Notwithstanding anything contained in this Section sq*_in this Lease to the contrary,
no sum received by Lessor under this Lease as interest shall ever- the Maximum Rate, and
Lessor shall immediately refund or credit Lessee any amount received under this Lease in excess
of the Maximum Rate. For purposes of this Lease, the term "Maximum Rate' shall mean the
greatest of the rates of interest from time to time permitted under applicable federal and state
law.
(d) In the event no funds or insufficient funds are appropriated by Lessee in any
fiscal period for any payments due hereunder, Lessee will notify Lessor of such occurrence and
this Lease shall terminate on the last day of the fiscal period for which appropriations we
received without penalty or expense to the Lessee of any kind whatsoevei, except as to the
portions of the payments herein agreed upon for which funds have been appropriated.
4. Training and Support. Within ten days of the Commencement Date, Lessor shall
provide, at no additional charge, initial weight and balance training and certification to one or
more agents of Lessee designated to be the operators of the Equipment. Thereafter, for a
reasonable fee at Lessor's then current rates, upon request, Lessor will train and certify
additional agents of Lessee to be operators of the Equipment.
5. Limited Warranty and Conditions. Lessor warrants to Lessee that:
(a) Warranties* Lessor warrants to Lessee that:
(1) the Equipment will perform in substantial accordance with the
specifications and descriptions contained in the documentation or literature provided by Lessor
to Lessee relating to the Equipment;
(2) the accuracy of the Equipment will meet Federal Standards;
(3) the Equipment, under normal use, will be free from defects in
materials and workmanship;
(b) Warranty Conditions: This warranty shall not apply if:
(1) the Equipment is not used in accordance with Lessor's instructions;
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(2) the Equipment (or the Intellectual Property) has been modified or
altered without the prior written consent of Lessor; or
(3) any improper act or omission of Lessee causes the malfunction of the
Equipment.
(c) Warranty Remedies: Lessor's obligations for a breach of the warranties in the
Agreement is limited to, at Lessor's sole discretion, making corrections or replacing the non-
performing item, or if the corrections or a replacement cannot be made after reasonable effort,
permitting Lessee as its sole remedy to terminate this Lease and all Licenses granted hereunder.
Such correction, replacement or termination shall be Licensee's sole remedy for breach of this
warranty. The liability of Lessoi to Lessee with respect to the Equipment shall in no event
exceed the amount actually received by Lessoi from Lessee with respect to each item of
Equipment to which any such relates.
6. Lessee's Representations and Warranties. None.
7. Use Lessee shall use the Equipment in a careful and proper manner and shall
comply with and conform to all national, state, municipal and other laws, ordinances, and
regulations in anywise relating to the possession, use or maintenance of the Fquipment. If at any
time during the term of the Lease, Lessor supplies Lessee with labels, plates or other markings,
stating that the Equipment is owned by Lessor; Lessee shall affix and keep the same upon a
prominent place on the Equipment Lessee agrees that it shall not permit the name of any person
interpreted as a claim of ownership or security interest.
8. Lessor's Inspection Lessor shall during business hours, and only twenty-four
(24) hours written notice to Lessee, have the right to entei into and upon the premises where the
Equipment may be located for the purpose of inspecting the same or observing its use; provide,
however, Lessor may not thereby interfere with Lessee's business operations Lessee shall give
Lessor immediate notice of any attachment or the judicial process affecting any part of the
Equipment and shall, whenever requested by Lessor, advise Lessor of the exact location of the
Equipment.
9. Alterations. Without the prior written consent of Lessor which consent may not
be unreasonably withheld, Lessee shall not make any alterations, additions or improvements to
the Equipment. Any permitted alterations, additions or improvements may, at Lessee's option,
be removed by Lessee upon the expiration or earlier termination of this Lease if and only if such
removal may be accomplished without material damage to the Equipment or otherwise reducing
its value below that which it would have been in the event no such alterations, additions or
improvements had been made.
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10. Repairs Lessee, at its own cost and expense, shall keep the Equipment in good
repair, condition and woiking order and shall furnish any and all parts mechanisms and devices
required to keep the Equipment in good woiking order.
11. Insurance. The City is a self -funded entity and is not required to procure
commeicial insurance under this lease.
12. Loss or Damage. In the event of loss of or damage to Equipment, Lessee, at
Lessee's option shall:
(a) Repair the Equipment to good working order, or
(b) Replace the Equipment with like property in good repair, which property
shall then become subject to this Lease.
13. Surrendei. Upon the expiration or earlier termination of this Lease, Lessee shall
return the Equipment to Lessor in good repair, condition and working order, ordinary wear and
tear resulting from proper use thereof alone expected, by delivering the Equipment at Lessee's
cost and expense to such place within the continental United States as Lessoi shall specify.
14. Taxes and Fees. Lessee will pay all license fees, assessments, use, property, or
other similar taxes or changes (the "Tax" or Taxes), now or in the future imposed on the
Equipment but reason of Lessee's leasing, renting, possession, or use of the Equipment, whether
such charges which arise as a result of Lessee's actions, excepting federal, state or local
government taxes, or payments in lieu of such taxes, imposed on or measured by income of the
Lessor. If any Tax is, by law, to be assessed or billed to Lessor in connections with the levy,
assessment, billing, or payment of such Tax and is authorized by Lessor to act on Lessor's
behalf in such r espects Lessee will cause all billings of such Taxes to Lessor to be made to
Lessor in care of Lessee and will, from time to time, upon reasonable request by Lessoi, submit
written evidence of the payment of all Taxes. Licensee shall pay all license fees. However,
Licensee is a government entity under the laws of the State of Texas and shall not be subject to
the payment of any taxes under this Lease.
15. Optional Payments by Lessor. Should Lessee fail to make any payment or
otherwise fail to fulfill any of its obligations under this Lease, then Lessor will have the right but
not the obligation, without notice to or demand on Lessee, and without releasing Lessee from
any obligation under this Lease, to make or do the same, and to pay, purchase, contest, or
compromise any encumbrance, charge or lien that in the judgment of Lessoi appears to affect the
Equipment, and in exercising any such rights, incui any liability and expend whatever amounts
in its discretion it may deem necessary thereof. All expenses so incurred by Lessor will be due
and payable by Lessee upon demand and will bear interest at the rate of ten percent (10%) per
year thereafter until paid.
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16. Liability and Indemnity Lessee shall be liable for any and all loss or damage to
the Equipment to the extent such as loss or damage is caused by the negligence or intentional
misconduct of Lessee, its employee's officers, directors or agents Lessor agrees to defend,
settle, or pay, it its own cost and expense, any claim or action against the Lessee for the
infringement of any patent, copyright, trade secret or similar property light arising from Lessee's
use of the Intellectual Property in accordance with this Lease Lessor shall have the sole right to
conduct the defense of any such claim or action and all negotiations for its settlement or
compromise and to settle compromise any such claim, but Lessee shall be allowed to participate
with Lessor in doing so Lessee agrees to give Lessor timely written notice of any such claim or
action, with copies of all papers Lessee may receive relating thereto. If the Intellectual Pi operty
or any part thereof is held to infringe and the use thereof is enjoined or restrained or, if as a result
of a settlement or compromise, such use is materially adversely restricted, Lessor shall, at its
own expense and as Lessee's sole remedy, either
(a) Procure for Lessee the right to continue to use the Intellectual Property;
(b) Modify the Intellectual Property to make it non -infringing, provided that
such modification does no materially adversely affect Lessee s authorized use of the Intellectual
Property;
(c) Replace the Intellectual Property with equally suitable, compatible, and
functionally equivalent non -infringing Intellectual Property at no additional charge to Lessee;
(d) If none of the foregoing alternatives is reasonably available to Lessor,
terminate this Lease and refund to Lessee the payments actually made to Lessor under this lease.
17. Default. If Lessee, with regard to the Equipment, fails to pay any rent or
other amount herein provided within ten (10) days after the same is due and payable; or if Lessee
ceases all or substantially all of Lessee's business operations or those business operations of
Lessee in which the Equipment is being used; or if Lessee with regard to the Equipment, fails to
observe, keep or perform any other provisions of this Lease required to be observed, kept or
performed by Lessee, or breaches any representation or provision contained herein and if Lessee
fails to remedy, cure or remove such failure in payment or such other failure or breach in
observing, keeping or performing the provisions of this Lease within ten (10) days of receipt of
written notice thereof from Lessor, Lessor shall have the right to exercise any one or more of the
following remedies:
(a) To either:
(1) Declare, immediately due and payable, the entire amount of r ent
remaining unpaid for the remainder of the term of this Lease less the fair market value of the
leasehold estate, discounted to present value at the of ten percent (10%) per annum, or
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(2) Sue for all rents and other payments, the accrued or thereafter
accruing, with respect to the Equipment.
(b) To take possession of any or all items of Equipment, without further
demand or notice, wherever same may be located, without any court order or other process of
law Lessee herby waives any and all damages occasioned by such taking of possession unless
caused by Lessor's gross negligence or will full misconduct. Any said taking of possession shall
not constitute a termination of this Lease as to any or all items of Equipment unless Lessor
expressly so notifies Lessee in writing
(c) To terminate this Lease as to any or all items of Equipment.
(d) To pursue any other remedy at law or in equity.
(e) Notwithstanding any repossession, Lessee shall remain liable for the full
performance of all obligations on the part of Lessee to be performed under this Lease.
(f) All such remedies are cumulative (except that the remedies in (a) 1 and 2,
above are alternative), and may be exercised concunently or separately.
(g) Lessor shall have no duty or obligation to mitigate any damages resulting
from any default by Lessee.
18. Bankruptcy. Neither this Lease nor any interest herein is assignable or
transferable by operation of law. If Lessee files for bankruptcy under that Bankruptcy Act, as
amended, or if such an action is commenced against Lessee and is not dismissed within sixty
(60) days after the commencement thereof, or if Lessee is adjudged insolvent, or if Lessee makes
and assignment for the benefit of creditors or is a writ of attachment or execution is levied on any
item or items of the Equipment and is not released or satisfied within thirty (30) days thereafter,
to take possession or control of any item or items of the Equipment, Lessor shall have and may
exercise any one or of the remedies set forth in paragraph 16 hereof, and this Lease shale, at the
option of Lessor, after providing written notice to Lessee immediately terminate and shale not be
treated as an asset of Lessee after the exercise of said option.
19. Concur rent Remedies. With the exception of the alternative remedies in
paragraph 16 (a) 1 and 2, no right or remedy herein conferred upon is reserved to Lessor is
exclusive of any other right or remedy herein or by law or equity provided or permitted; but each
such right or remedy shall be cumulative of every other right or remedy given hereunder or now
concurrently therewith or from time to time.
20. Effect of Waiver. No delay or omission to exercise any right, power or remedy
accruing under the Lease shall impair any such right, power or remedy, noi shall it be construed
to be a waiver of such breach or default or an acquiescence therein, or of or in any similar breach
or default thereafter occurring; nor shall any waiver of any single breach or default be deemed a
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waiver of any breach or default. Any waiver, perrnit, consent, or approval of any kind of
character of any breach or default undei this Lease, or any waiver of any provision or condition
of this Lease, must be in wining, signed by Lessor, and will effective only to the extent in such
writing specifically set forth. Except as expressly set forth herein, all remedies, under this Lease
or by law or other wise, afforded shall be cumulative and not alternative.
21. Attorney's Fees Each party shall be liable for its own attorney's fees.
22. Assignment of Sublease. Without the prior written consent of Lessor which
consent shall not be unreasonably withheld, Lessee shall not (a) assign, transfer, pledge or
hypothecate this Lease, the Equipment or any part thereof or any interest therein; (b) sublet or
lend the Equipment or any part thereof, or (c) permit the Equipment or any part thereof to be
used by any other than the Lessee and Lessee's employees. Lessor may assign part or all of its
right, title and interest in and to this Lease, with or without notice to Lessee.
23. Location of Equipment. Lessee will not, without prior written consent of Lessor,
which consent may not be unreasonably withheld, perrnit the Equipment to be moved from the
Licensed Location identified in paragraph 1 above.
24. Title and Proprietary Information. Title and full ownership rights in the
Equipment and the Intellectual Property is and will at all times remain with Lessor, and Lessee
shall have not right, title or interest therein except as expressly set forth in this Lease Lessee
acknowledges that it has been advised by Lessor that the Intellectual Property has been
developed by Lessor as valuable trade secrets and constitutes confidential and proprietary
information Lessee agrees that the execution of this Lease establishes a confidential relationship
between the parties, and Lessee agrees to preserve the confidential and proprietary nature of the
Intellectual Property, and agrees to not disassemble reverse compile, or reverse engineer the
Intellectual Property, noi permit the use of the Intellectual Property or disclosure of information
relating to the Intellectual Property to unauthorized person. Notwithstanding the forgoing,
Lessee is a government entity undei the laws of the state of Texas, and all information
maintained by Lessee is subject to disclosure undei the Texas Public Information Act Lessee
shall not be held liable for any information that is disclosed in accordance with applicable law,
rule, regulation or court order.
25. Personal Propel ty. The Equipment leased and the Intellectual Property licensed
is, and shall at all times remain, personal property, notwithstanding that it or any part of it may
now be, or may in the future become, in any manner attached to, or embedded in, or permanently
resting on, real property or any building on such real property, or attached in any manner to what
is permanent by means of nails, bolts or screws.
26. Applicable Law. This Lease shall be governed by and construed under the lays of
the State of Texas.
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27. Notices. Any communications between Lessor and Lessee, payments and notices
provided herein to be given or made, may be given or made by mailing them certified mail,
return receipt requested, or by hand deliver, to Lessor at General Electrodynamics Corporation,
P.O. Box 150089, Arlington, Texas 76015, and to Lessee at 1000 Thiockmorton Street, Fort
Worth, Texas 76102, with copy to the City Attorney at the same address.
28. Recording. Lessee shall, at its own expense and responsibility, cause this Lease
to be kept, filed and recorded with Lessee s official custodian of Records, City Secretary, to
perfect and preserve Lessor's rights hereunder and shall, upon request by Lessor provide
evidence of such filing and recording Lessee authorizes Lessor to file notice UCC filing in
offices as Lessor deems necessary or appropriate to put the public on notice of Lessor's interest
in the Equipment.
29. Gender, Number. Whenever the contents of this Lease require, the masculine,
feminine and neuter genders include each of the other genders, and the singular and plural
numbers include the other. Whenever the word "Lessor" is used herein it shall include all
assignees of Lessor. Whenever the woid "Lessee ' is used herein, it shall include all permitted
assignees of Lessee. If there is more than one Lessee named in this Lease, the liability of each
shall be joint and several.
30. Titles. The titles of the paragraphs of this Lease are solely for the convenience of
the parties and are not an aid in the interpretation of the instrument.
31. Time. Time is of the essence if this Lease and each and all of its provisions.
32. Entire Agreement. This instrument constitutes the entire agreement between
Lessor and Lessee, and it shall not be amended, altered or changed except by written agreement
signed by both parties hereto.
IN WITNESS WHEREOF the parties hereto have executed this Lease to be effective as of the
Effective Date.
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LESSOR:
GENERAL ELECTRODYNAMICS C
OPORA7'jONj
A TEXAS CORPORATION
BY:
NAME: ,
CRESPfN BERNAL
TITLE: CUSTOMER SERVICE MANAGER
DATE: 06/,JAN/2014
LESSEE:
CITY OF FORT WORTH
POLICE L & EQUIPMENT MANAGEMENT
BY:
NAME: C
p- Its kJ ntiruseic
TlTLE: ��f, �
Cr 111 e K
DATE: 4
2- 4 .e - /4-""
ACCEPTED AND AGED:
APPROVAL RECOMMENDED;
By:W
Jeffre «T Lralstead
Chief of Police
Date:
OFFICIAL RECORD
CITY SECREV\RW
Ft WOTH, 11/7
J
•
•
.
%if
APPROVED AS TO FORM
AND LEGALITY:
Males la Fanner
Sr.
Assistant City Attorney
Contract Authorization:
.114&C • Mk —
Date Approved:
ATTEST:
By:
Mari/ J. Ka s
City Secretary
•