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4.4. SR 02-01-2016
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4.4. SR 02-01-2016
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<br /> <br /> The Ultimate Software Group, Inc. <br /> UltiPro Agreement <br /> <br />rev 08.2015 Page 4 of 19 <br /> <br />GENERAL TERMS AND CONDITIONS <br /> <br />Preamble: This Agreement is effective as of the Effective Date outlined above between The Ultimate Software Group Inc. <br />(“Ultimate Software”), a Delaware Corporation with offices at 2000 Ultimate Way, Weston, FL 33326 and the organization specified <br />as CUSTOMER as referenced above. <br /> <br />Ultimate Software is engaged in the business of providing software, support, activation, consulting, training and Software as a <br />Service type (“SaaS”) services, and CUSTOMER wishes to use Ultimate Software’s UltiPro software, support, activation, <br />consulting, training and SaaS services on a subscription basis (the “Subscription Offering”). In consideration of the covenants and <br />agreements contained herein, CUSTOMER and Ultimate Software hereby agree as follows: <br /> <br />1. Fees and Payment Terms <br />“Subscription Fees” – The Subscription Fee is quoted on a Per Employee Per Month (“PEPM”) basis. The computed monthly <br />PEPM amount (number of Compensated Employees, HR Only Employees and Terminated Web Employees (all as defined below) <br />multiplied by the applicable Subscription Fee) may increase or decrease if the number of Compensated Employees, HR Only <br />Employees, or Terminated Web Employees increases or decreases but in no event shall the Subscription Fee calculated on less <br />than one hundred seventy five (175) Compensated Employees. <br /> “Compensated Employees” are defined as persons employed by or being compensated by the CUSTOMER (i.e., persons <br />receiving a check, advice of deposit, or otherwise compensated by CUSTOMER using the UltiPro software). <br />“HR Only Employees” are defined as all persons who do not have a terminated status in the UltiPro software and are not <br />Compensated Employees. <br />“Terminated Web Employees” are defined as persons with a status of terminated who have access to the UltiPro portal at any time <br />during a month. CUSTOMER acknowledges that it will use the software modules as set forth on Page 1, Section 4.A. of this <br />Agreement for both human resource record keeping and payroll processing activities. <br /> <br />Ultimate Software may utilize a script, program, sequence of instructions or functional equivalent to determine an accurate number <br />of Compensated Employees, HR Only Employees, and Terminated Web Employees. Such internal electronic audit shall be <br />conducted in conformity with the Confidential Information paragraph outlined in this Agreement. <br /> <br />Commencing on the First Live Date and for a period of twenty-four (24) months thereafter, Ultimate Software agrees not to <br />increase the Subscription Fees. Any increase thereafter shall not exceed ten percent (10%) per annum. <br /> <br />CUSTOMER agrees to pay Ultimate Software for all fees due pursuant to this Agreement plus any applicable federal, state, and local <br />taxes. All invoices and expense reimbursements are due within thirty (30) days of invoice date. All invoices and expense <br />reimbursements not paid within thirty (30) days after the date such amounts are due and payable shall bear interest at a rate of one <br />and one half percent (1.5%) per month. <br /> <br />Payments may be wired to: <br />Wells Fargo Bank, N.A. <br />350 East Las Olas Blvd., Suite 1800, Ft. Lauderdale, FL 33301 <br />ABA#121000248 Account#2000029434105 <br />Beneficiary Name: The Ultimate Software Group, Inc. <br /> <br />Payment may be mailed to: <br />The Ultimate Software Group, Inc. <br />P.O. Box 930953 <br />Atlanta, Georgia 31193-0953 <br /> <br />2. Term and Termination <br />This Agreement shall commence on the Effective Date and shall continue in effect from that date until thirty-six (36) months from <br />the First Live Date (“Initial Term”) which, for all functionality and services being provided pursuant hereto, is defined as the first date <br />when payroll processing commences for a Compensated Employee to receive a check or advice of deposit from the UltiPro <br />software or the UltiPro software is used for human resource record keeping for an HR Only Employee. CUSTOMER may not <br />cancel the Agreement during this Initial Term except as set forth below. This Agreement shall automatically renew for successive <br />renewal terms of one (1) year each. The CUSTOMER may terminate this Agreement after the Initial Term by serving written notice <br />of its intention at least ninety (90) days in advance of the termination. In the event of cancellation, Ultimate Software shall be <br />entitled to compensation for any amounts due to it including, but not limited to, compensation for hours worked as well as <br />outstanding expenses. Either Party shall have the right to terminate this Agreement upon thirty (30) days prior written notice upon <br />any breach hereof by the other Party, provided the party in breach shall not have cured such breach during such thirty (30) day <br />period. Upon termination of this Agreement, all rights granted to CUSTOMER will terminate and revert to Ultimate Software. <br />
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