CCR2005069.
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AMENDED
COMMON COUNCIL - CITY OF MUSKEGO
RESOLUTION #069-2005
APPROVAL OF BEVERAGE AGREEMENT BETWEEN
PEPSIAMERICAS, INC. AND THE CITY OF MUSKEGO
BE IT RESOLVED That the Common Council of the City of Muskego, upon the
recommendation of the Parks and Recreation Board and the Finance Committee, does
hereby approve the attached Agreement between PepsiAmericas, Inc. and the City of
Muskego.
BE IT FURTHER RESOLVED That the Mayor is authorized to sign the Agreement in
the name of the City upon his review and approval of the final document.
DATED THIS 12th DAY OF APRIL ,2005.
SPONSORED BY
FINANCE COMMITTEE
Ald. Nancy Salentine
Ald. Eric Schroeder
Ald. Eileen Madden
This is to certify that this is a true and accurate copy of Resolution #069-2005 which
was adopted by the Common Council of the City of Muskego.
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BEVERAGE AGREEMENT
This Beverage Agreement (the "Agreement") is made on April 1, 2005 by and between
PepsiAmericas, Inc. ("PAS") and City of Muskego, W182 S8200 Racine Avenue,
Muskego, Wisconsin, 53150 (the "CUSTOMER"). The customer has independently
selected PAS as a beverage supplier pursuant to the terms of this agreement.
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WHEREAS, CUSTOMER and PAS each desire that PAS, through its Brands (as hereinafter
defined), serve as the sole, exclusive and official Beverage (as hereinafter defined) supplier,
distributor and advertiser of CUSTOMER at each and every location owned, operated, controlled
or utilized by it including, but not limited to, each and every location, fountain location, special
events area, concession vending area and any and all other areas and locations that become
operational during the term of this Agreement (the "Facilities").
NOW THEREFORE, in consideration of the mutual covenants PAS and CUSTOMER
hereby agree as follows:
1. Beverages shall be defined as any and all non-alcoholic drinks except hot brewed
coffee, hot brewed tea and milk.
2. Brands shall mean any and all Beverages sold and distributed by PAS and any and all
Beverages PAS may sell or distribute in the future including, but not limited to, carbonated soft
drinks, non-carbonated soft drinks, juices, juice containing beverages, teas, sports or isotonic
drinks, bottled waters and bottled coffees.
3. Subject to the renewal provisions set forth herein below, the term of this Agreement
shall commence on April 1, 2005 and terminate on March 31, 2012.
4. The parties agree as follows:
b.
PAS shall pay CUSTOMER an annual payment of $5000.00 within 30
days of full execution of this Agreement. Annual payments to be paid
within 30 days of anniversary date of contract agreement.
PAS will provide annually the CUSTOMER 20 cases of CSD can product
and 10 cases of bottled water.
PAS will provide annually the $200.00 in promotional and
merchandising material to be used as mutually agreed upon by PAS and
the customer.
a.
c.
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. d. All vending to be Full Service 20 ounce with a minimum of $1.00 vend
rate, PAS and the CUSTOMER to mutually agree upon locations of
vending machines, minimum of 5 placements.
PAS shall pay the CUSTOMER a one time electric hook-up of $100.00
for each vendor needing an electrical outlet.
e.
5. CUSTOMER hereby licenses and appoints PAS, through its Brands, as the sole,
exclusive and official Beverage supplier, distributor and advertiser of CUSTOMER and the
Facilities. CUSTOMER shall cause the Brands to be exclusively available at the Facilities and no
Beverages or Beverage related items including, but not limited to, cups or premium items, that
compete with or are the same as or similar to the Brands shall be made available, advertised
and/or promoted at the Facilities or by CUSTOMER.
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6. CUSTOMER recognizes that PAS has paid valuable consideration to ensure an
exclusive Beverage associational relationship with CUSTOMER with respect to an exclusive
Beverage supply and distribution program and that any dilution or diminution of such exclusivity
seriously impairs PAS's valuable rights. Accordingly, in the event another person or entity
attempts, without PAS's explicit consent, to associate Beverages that compete with or are the
same as or similar to the Brands ("Competitive Products") with CUSTOMER or to suggest that
Competitive Products are endorsed by or associated with CUSTOMER by referring directly or
indirectly to CUSTOMER (all of which actions described herein are sometimes referred to as
"Ambush Marketing"), CUSTOMER will promptly oppose such actions and take any and all steps
necessary including, but not limited to written complaints to the violating party and local media
outlets; private and public cease and desist announcements; and the filing of appropriate legal
actions including actions for temporary and permanent injunctive relief, to stop the Ambush
Marketing and to protect the exclusive associational rights granted to PCGB in this Agreement.
In the event any such Ambush Marketing occurs during the term of this Agreement or any
renewal thereof, immediately upon learning thereof, each party shall notify the other party
hereto. Purchasing agreements shall be made available between PAS and the third party
concessions who have a working relationship with City of Muskego, ie: Waterbugs Ski Team,
Muskego Athletic Association and Land of Lakes Baseball.
7. CUSTOMER grants to PAS the right of first refusal to serve as the sole, exclusive
and official Beverage sponsor, supplier, distributor, advertiser and promoter to CUSTOMER and
the Facilities for the two year period immediately following the expiration of this Agreement
upon such conditions as the parties mutually agree.
8. CUSTOMER agrees to inform, require and cause any food provider, caterer or
concessionaire that operates or will operate at the Facilities or third party that leases or builds
on any portion of the Facilities during the term of this Agreement to be bound by the terms and
conditions of this Agreement and to honor the Brand sales, advertising and promoting
exclusivity. The Muskego Community Festival is excluded from this agreement.
9. All art work and logo sheets to be used in any advertisements, signage and press
releases promoting the Brands are subject to the prior mutual approval of PAS and CUSTOMER,
with neither party unreasonably withholding such approval.
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10. Except if prohibited by law, PAS will provide service on all equipment without
charge to CUSTOMER. All rights, title and interest in all PAS equipment leased to CUSTOMER
shall at all times remain with PAS.
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. 11. CUSTOMER represents and warrants to PAS that all appropriate approvals required
to enter into this Agreement have been granted and the individual executing this Agreement on
behalf of CUSTOMER has been duly authorized by any and all persons or entities of which
authorization is required to enter into this Agreement on behalf of CUSTOMER. CUSTOMER also
agrees that at no time will it challenge, contest, disclaim or deny the authority of the individual
signing this Agreement on behalf of CUSTOMER or use as a basis to void, cancel or nullify this
Agreement a claim that the individual signing below was not authorized to sign this Agreement
on behalf of CUSTOMER. Further, CUSTOMER guarantees and warrants that the execution,
delivery and performance of this Agreement by CUSTOMER will not and does not violate any
agreements with or the rights of third parties.
12. In the event any of the covenants, agreements, terms or provisions contained
in this Agreement shall be invalid, illegal or unenforceable in any respect, the validity of the
remaining covenants, agreements, terms and provisions contained herein shall not in any way
be affected, prejudiced or disturbed thereby.
13. In the event either party believes there has been a material breach of this
Agreement it shall notify the party alleged to be in breach, in writing, of the alleged breach.
The notice shall state the alleged breach and the steps necessary to cure. In the event the
alleged breach is not cured, and/or the parties are unable to agree on the nature of the breach
or cure, either party may terminate this Agreement.
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14. If either party fails to perform any of the promises set forth in this Agreement
after an opportunity to cure, then as an option but not as its sole remedy, a party may
terminate this Agreement. Upon termination CUSTOMER shall return to PAS a pro rata portion
of all paid but unearned monetary payments.
16. In the event the parties are unable to resolve an alleged breach or termination
of this Agreement, the dispute shall be resolved by non-binding arbitration to be conducted in
Milwaukee, Wisconsin, pursuant to the American Arbitration Association's rules of commercial
arbitration before a single arbitrator. In the event of arbitration or other litigation, the prevailing
party shall be entitled to collect its reasonable attorney's fees and costs from the non-prevailing
party.
17. Any failure by either party hereto to enforce at any time or for any period of time
anyone or more of the terms or conditions of this Agreement, shall not be a waiver of such
terms or conditions or of either party's right thereafter to enforce each and every term and
condition of this Agreement.
18. It is mutually understood and agreed, and it is the intent of PAS and CUSTOMER
that an independent contractor relationship be established and is hereby established under the
terms and conditions of this Agreement: that employees of CUSTOMER are not, nor shall they
be deemed to be, employees of PAS; and, that employees of PAS are not nor shall they be
deemed to be employees of CUSTOMER.
19. This Agreement may not be assigned by either party hereto without the express
written consent of the other.
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20. This Agreement fully expresses the entire understanding of PAS and
CUSTOMER. Any and all prior understandings are hereby canceled. No future changes in the
terms of this Agreement shall be valid, except when and if reduced to writing and signed by
legally authorized officials of PAS and CUSTOMER.
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21. This Agreement shall be governed by Wisconsin law.
IN WITNESS WHEREOF, the parties have executed this Agreement on the date and year
first above written.
City of Muskego PepsiAmericas, Inc.
By: /JI((/d d~ I
By: ~c#~ Marti Latour
Title: ~/? Date: - /J/t?J
Title:
Date:
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COMMON COUNCIL - CITY OF MUSKEGO
RESOLUTION #069-2005
APPROVAL OF BEVERAGE AGREEMENT BETWEEN
PEPSIAMERICAS, INC. AND THE CITY OF MUSKEGO
BE IT RESOLVED That the Common Council of the City of Muskego, upon the
recommendation of the Parks and Recreation Board and the Finance Committee, does
hereby approve the attached Agreement between PepsiAmlricas, Inc. and the City of
Muskego. J
BE IT FURTHER RESOLVED That the Mayor is ~uthi,ted to sign the Agreement in
the name of the City.
I
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DATED THIS DAY OF 'J.:.'Ìf
í~ l P NSORED BY
rI\>
r.~ !l NANCE COMMITTEE \) lAid. Nancy Salentine
i / Ald. Eric Schroeder
\' :/ Ald. Eileen Madden
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This is to certify that this is a true and accurate copy of Resolution #069-2005 which
was adopted by the Common Council of the City of Muskego.
Clerk-Treasurer
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