________________________ (Registration number ____________________) company incorporated in South Africa having its registered office
at ______________________ (the “Customer”)
Vodacom (Pty) Ltd, a company incorporated in South Africa (Registration number. 1993/003367/07) having its registered office at Corporate Park Building, 082 Vodacom Boulevard, Vodavalley, Midrand (“Vodacom”).
WHEREAS the Customer wishes to appoint Vodacom to render to it certain converged services;
AND WHEREAS Vodacom, having the necessary competence and capacity to provide the services, wishes to accept such appointment.
NOW THEREFORE the parties agree as follows:
1.1 In this Agreement unless the context indicates a contrary intention -
1.1.1 an expression which denotes any gender includes the other genders and a natural person includes an artificial person and vice versa;
1.1.2 the singular includes the plural and vice versa;
1.1.3 when any number of days is prescribed, same shall be reckoned exclusively of the first and inclusively of the last day unless the last
day falls on a Saturday, Sunday or public holiday, in which case it shall be inclusive of the first day following the said Saturday, Sunday
or public holiday;
1.1.4 if any provision in the definition clause is a substantive provision conferring rights or imposing obligations on a party, then
notwithstanding that such provision is contained in this clause, effect shall be given thereto as if such provision were a substantive
provision in the body of the agreement;
1.1.5 any reference in this agreement to legislation or subordinate legislation is to such legislation or subordinate legislation at the date of
signature hereof and as amended and/or re-enacted from time to time;
1.1.6 the head notes to the clauses to this agreement are inserted for reference purposes only and shall not affect the interpretation of any of
the provisions to which they relate; and
1.1.7 no provision herein shall be construed against or interpreted to the disadvantage of any party by reason of such party having or being
deemed to have structured, drafted or introduced such provision.
2.1 Unless otherwise determined by the context, the following words will bear the meanings assigned to them hereunder –
2.1.1 “this Agreement” means these General Terms and Conditions together with all Service Schedules, the Acceptable Use Policy and
any other annexures, schedules and/or amendments from time to time;
2.1.2 “Access Codes” means usernames, passwords, email addresses and other unique identifiers allowing the Customer access to the
2.1.3 “Acceptable Use Policy” means Vodacom’s Acceptable Use Policy posted on www.Vodacombusiness.co.za, as amended from time to
time by Vodacom in its sole discretion;
2.1.4 “Applicable Law” means law, regulation, binding code of practice, rule or requirement of any relevant government or governmental
agency, professional or regulatory authority, each as relevant to (i) Vodafone in the provision/receipt of the Services and/or
(ii) Customer/Supplier in the receipt/provision of the Services or the carrying out of its business.
2.1.5 “Business Days” means Monday to Friday, both days inclusive, but excluding officially promulgated South African public holidays that
fall on or between a Monday and Friday;
2.1.6 “Business Hours” means those hours between 08:00 to 17:00 Monday to Friday on any Business Day;
2.1.7 “Commencement Date” means ……………………….. notwithstanding the date of signature of this Agreement;
2.1.8 "ECNS provider" means electronic communications network services providers licensed to provide those services in terms of the
Electronic Communications Act 36 of 2005, other than Vodacom;
2.1.9 “Equipment” means equipment supplied by Vodacom to the Customer, on the basis of a loan or rental, to enable the Customer to utilise
2.1.10 “Group” means any corporation, company, or other entity which is (i) controlled by a Party; (ii) controls a Party; or (iii) is under common
control with a Party and “control” means that more than 50% (fifty percent) of the controlled entity’s shares or ownership interest
representing the right to make decisions for such entity are owned or controlled, directly or indirectly, by the controlling entity.
2.1.11 “the Network” means the physical wireless and wired network operated and made available by Vodacom as well as a virtual network
(using Multi Packet Label Switching or related technologies) operated and made available by Vodacom over its own network as well as
the networks of ECNS providers;
2.1.12 “the Services” means the converged solutions services provided by Vodacom to the Customer pursuant to the conclusion of a Service
2.1.13 “Service Schedule” means, in respect of each Service which Vodacom provides to the Customer, the Service Schedule concluded
between the parties setting out, inter alia, a description of the Service, the fees payable, the service levels applicable.
2.1.14 “the System” means, collectively, the Network, any network provided by an ECNS provider (if applicable), the Equipment and the
3. COMMENCEMENT AND DURATION
3.1 This Agreement will commence on the Commencement Date and shall continue for an indefinite period unless terminated by either party on
not less than 90 (ninety) days written notice of its intention to so terminate. For the avoidance of doubt, it is recorded that upon termination of
all Service Schedules, this Agreement shall ipso facto terminate.
3.2 Notwithstanding any termination of this Agreement in terms of clause 3.1 above, such termination shall not affect the validity of any Service
Schedule in force at the time of termination which shall continue to be of full force and effect and subject to the terms and conditions herein
contained until such time as all obligations of each party vis-à-vis the other have been discharged in full.
3.3 Each Service Schedule shall commence on the date provided for therein and shall continue for the period provided for therein subject to
termination as provided for therein.
3.4 Notwithstanding the provisions of clause 3.1 above, the Customer may, on not less than 1 (one) calendar month’s written notice to Vodacom,
cancel any Service Schedule during the initial period provided for therein, subject to payment by the Customer of the then-applicable early
termination penalty. For clarity and the avoidance of doubt, individual services comprising of a Service Schedule may not be terminated
without written agreement between the parties and terms applicable to such termination.
3.5 Any notice of termination by the Customer pursuant to the provisions of this clause shall not be valid where the Customer is in arrears with its
payment obligations to Vodacom.
4. SERVICE SCHEDULES
4.1 Each Service Schedule shall be deemed to be a separate agreement on the terms and conditions set out herein and the termination of any
specific Service Schedule shall not be deemed to constitute a termination of any other Service Schedule or this Agreement, all of which shall
continue to be of full force and effect.
4.2 In the event of any conflict or inconsistency between a Service Schedule and the main body of the Agreement, then the provisions of the
Service Schedule shall prevail.
4.3 Each Service Schedule shall be catalogued numerically for identification purposes and shall provide:
4.3.1 a description of the Service to be rendered;
4.3.2 the effective date, initial period and termination period particular to the Service;
4.3.3 the pricing and payment terms as well as any discounts applicable to the Service;
4.3.4 the Key Performance Indicators (“KPI’s”), means of measurement thereof and required service levels;
4.3.5 escalation procedure in the event of a fault;
4.3.6 particular undertakings and terms and conditions not contained in this Agreement which pertain to the Service; and
4.3.7 any other information required as provided for in this Agreement.
5. CHARGES AND FEES AND PAYMENT TERMS
5.1 The charges and fees payable by the Customer in respect of a Service shall be specified in the relevant Service Schedule as shall the
applicable payment terms and any discounts.
5.2 Where any Service is activated by Vodacom on any day of a month other than the first day, the Customer shall be charged a pro-rata portion
of the monthly fees in respect of that month.
5.3 Save as expressly stated to the contrary, all prices specified in any Service Schedule shall be exclusive of:
5.3.1 value-added tax and any other taxes, duties and other imposts of whatsoever nature which shall likewise, be payable by the Customer.
If Vodacom is required to be registered for value added tax and any other taxes (including without limitation instances where reverse tax
is applicable), duties or imports, in the territory where the Customer is a tax resident, then the Customer shall attend to such registration
and make the required payments on behalf of Vodacom. The Customer shall be liable for and hereby fully indemnifies Vodacom against
any penalties and/or interest levied against Vodacom in respect of delayed payments or non-compliance by the Customer with the
provisions of this clause; and
5.3.2 service fees relating to any ECNS provider which are procured by the Customer directly and not by Vodacom either on its own or on
the Customer’s behalf and which are not specified in a Service Schedule, for which the Customer agrees to make payment directly to
the ECNS provider on such terms as are agreed between the ECNS provider and the Customer.
5.4 If Vodacom is required to pay any withholding taxes imposed by the government or taxing authority of any country, state, province,
municipality or any other government jurisdiction arising as a result of this Agreement, in the territory where the Customer is a tax resident,
then the Customer shall attend to make the required payments on behalf of Vodacom. The Customer shall be liable for and hereby fully
indemnifies Vodacom against any penalties and/or interest levied against Vodacom in respect of delayed payments or non-compliance by
the Customer with the provisions of this clause.
5.4.1 Upon payment of withholding tax costs by the Customer in terms of this clause 5.4, the Customer shall, provide Vodacom with a valid
tax receipt certificate issued by the relevant tax authority as evidence that the Customer has accounted to the relevant tax authority for
withholding tax costs.
5.4.2 In the event that a double taxation treaty applies which provides for a reduced withholding tax rate, the Customer shall pay the
reduced tax rate subject to the issuance of a valid exemption certificate by the competent tax authority.
5.5 The computerised accounts of Vodacom or any certificate signed by any credit manager of Vodacom shall be prima facie proof of all
payments made by the Customer and the validity of all charges and fees payable by the Customer pursuant to this Agreement and of the
amounts outstanding at any time by the Customer.
5.6 Vodacom may, in its sole discretion, levy interest equal to 2% (two per centum) above the prime rate of one of the 4 (four) large banks in
South Africa, selected by Vodacom on any unpaid or overdue amount. In addition, should any payment instrument tendered by the Customer
or amount drawn by Vodacom in terms of a debit order authority not be met by the Customer’s bankers, Vodacom reserves the right, in its sole
discretion, to levy a fee in regard thereto.
6. ADJUSTMENT OF CHARGES
6.1 Notwithstanding anything to the contrary herein contained, Vodacom shall have the right, on each anniversary of the effective date of a
Service Schedule, by written notice to the Customer, to vary the charges and fees payable by the Customer thereunder, on 1 (one) months’
notice to the Customer, provided that:
6.1.1 in the case of Service which are not regulated by a regulatory authority, any increase levied by Vodacom in terms of this clause 6
shall not exceed the latest published Consumer Price Index excluding interest rates on mortgage bonds (“CPI”) as published from time to time by Statistics South Africa, or any other relevant Government Agency on the anniversary date. For the avoidance of doubt, the latest officially published CPI figures immediately preceding the anniversary date will be used in the determination of such increase; and
6.1.2 in the case of Services which are regulated by a regulatory authority, any increase levied by Vodacom in terms of this clause 6 shall not
exceed those charges and fees lodged with and approved by the regulatory authority.
6.2 Without in any way derogating from the provisions of this clause 6, Vodacom undertakes to the Customer that it shall review its charges to
the Customer in the event of a downward adjustment of its tariffs in respect of the Services, to ensure that its charges to customers in respect
of like Services are, in aggregate, comparative.
7. THE CUSTOMER’S OBLIGATIONS
7.1 The Customer shall, at all times, comply strictly with all restrictions imposed on computer networks by legislation through which any
information and/or data transmitted by the Customer passes. In particular, the Customer shall at all times comply with the Acceptable Use
7.2 The Customer shall not commit nor attempt to commit any act or omission which directly or indirectly:
7.2.1 in any manner damages Vodacom’s technical infrastructure or the Network or any part thereof;
7.2.2 impedes, impairs or precludes Vodacom from being able to provide the Services in a reasonable and business-like manner; and/or
7.2.3 constitutes an abuse or misuse, whether malicious or otherwise, of the Services.
7.3 The Customer shall not:
7.3.1 allow any person other than its personnel and authorised parties, access to the Services; and/or
7.3.2 use or allow others to use the Services for any improper, immoral or unlawful purpose.
7.4 The Customer acknowledges that all or any Access Codes allocated to or created by the Customer are personal to the Customer. The
Customer undertakes to maintain the security and confidentiality of Access Codes and hereby indemnifies Vodacom against any loss or
damage suffered by Vodacom arising out of the disclosure by the Customer of any Access Code.
7.5 Notwithstanding the provisions of clause 7.4 above, the Customer acknowledges that all Access Codes allocated to the Customer by
Vodacom are and shall at all times remain the property of Vodacom and are provided to the Customer for its use for the duration of the
Service Schedule in terms of which they are allocated or created. The Customer shall not be entitled to sell, lease, transfer, assign, encumber
or otherwise alienate its rights in and to such Access Codes.
7.6 The Customer acknowledges that any third party services and products accessible or used in conjunction with any Services are provided
subject to the terms and conditions specified by the third party providers thereof.
8. THE EQUIPMENT
8.1 The Customer acknowledges and agrees that all rights of ownership in and to the Equipment shall, at all times, remain vested in Vodacom
and accordingly, the Customer shall not hold itself out as the owner of the Equipment, nor sell, transfer, dispose of, mortgage, charge or
pledge the Equipment or permit the possession of the Equipment to be taken away from the Customer.
8.2 Notwithstanding the provisions of clause 8.1 above, all risk in and to the Equipment shall pass to the Customer on delivery thereof to the
Customer and the Customer shall be liable for any and all loss, theft or destruction of or damage thereto, howsoever arising.
8.3 The Customer shall:
8.3.1 display in relation to the Equipment no lesser degree of care than it would had same belonged to it and shall take all reasonably
necessary precautions to avoid loss, theft or destruction of or damage to the Equipment;
8.3.2 not procure repair or maintenance of the Equipment by any third party without the prior written consent of Vodacom or in any other
manner tamper with the Equipment;
8.3.3 not make any alteration or modification to the Equipment nor use the Equipment or permit the Equipment to be used for any purpose for
which it is not designed or in contravention of any applicable law or regulation;
8.3.4 not affix the Equipment to any land or building in such a manner as to become a fixture;
8.3.5 allow Vodacom to affix or to cause to be affixed to the Equipment plates or the markings indicating the ownership of the Equipment;
8.3.6 subject to the Customer’s reasonable security restrictions, allow Vodacom and persons authorised by it, at all reasonable times during
Business Hours, access and entry to any premises where the Equipment is situated for purposes of inspecting the Equipment.
8.4 Vodacom shall be entitled to recover from the Customer any costs relating to repairs, replacements, adjustments or error corrections arising
out of a failure by the Customer to abide by the provisions of this clause 8 and the Customer shall make payment to Vodacom in respect of
such costs upon demand.
9.1 Vodacom warrants unto and in favour of the Customer that:
9.1.1 it has the necessary competency to fulfil its obligations as set out in this Agreement read together with the relevant Service Schedule;
9.1.2 the Services shall be of the industry standards in terms of quality and service and shall be rendered in a proper, professional and
workman-like manner by appropriately qualified personnel;
9.1.3 to the best of its knowledge, no claim, lien or action exists or is threatened against Vodacom which will interfere with the Customer’s
rights under this Agreement; and
9.1.4 all regulatory licenses, permits, approvals, authorisations and consents required to perform the Services have been obtained and are
valid as at the Commencement Date.
9.2 Save as expressly otherwise stated in this Agreement or any Service Schedule, Vodacom does not make any representations nor gives any
warranties or guarantees of any nature whatsoever in respect of the Services (whether express, implied or tacit, by statute, common law or
9.3 Where any equipment is purchased by the Customer from Vodacom, Vodacom undertakes to cede to the Customer all warranties and/or
guarantees on the equipment provided by the manufacturer and shall provide the Customer with all documentation detailing the terms and
conditions thereof as well as any exclusions therefrom.
10. MONITORING OF CONTENT AND COMMUNICATIONS
10.1 The Customer acknowledges and agrees that in the event that Vodacom, in consultation with the Customer and in its reasonable discretion
or if obliged by any applicable law, determines that any content hosted by Vodacom, published by Vodacom on the Customer’s behalf or
transmitted by the Customer by means of the Service (“Content”) is in violation of any law or the Acceptable Use Policy, Vodacom shall be
10.1.1 request the Customer to forthwith remove such Content;
10.1.2 require the Customer to forthwith amend or modify such Content;
10.1.3 terminate the Customer’s access, to any Service and/or suspend or terminate any Service with notice that is practicable in the
10.1.4 delete, the offending Content with notice that is practicable in the circumstances;
10.2 The Customer acknowledges that any exercise by Vodacom of its rights in terms of clause 10.1 above shall not be construed as an
assumption of liability by Vodacom for the Content and/or the publication thereof whether or not Vodacom has knowledge of such Content,
having cognisance of the fact that Vodacom has no general obligation in law to monitor Content. The Customer hereby indemnifies Vodacom
and holds it harmless against any liability, claims, fines or other penalties of whatsoever nature imposed on Vodacom by any person arising
either directly or indirectly out of the Content or the publication or hosting or transmission thereof.
10.3 The Customer further acknowledges that Vodacom has certain obligations in terms of the Regulation of Interception of Communications and
Provision of Communications-related Information Act concerning the lawful interception of communications and provision of information. The
Customer hereby indemnifies Vodacom and holds it harmless against any liability, claims, fines or other penalties as a result of Vodacom
complying with such obligations.
10.4 Sanctions and Trade/Export Control
10.4.1 Each Party shall, in the context of the Services:
10.4.1.1 comply with all economic, trade and financial sanctions laws, regulations, -embargoes or restrictive measures administered
(“Sanctions”), as well as all trade control laws and regulations (“Trade Control Laws”) enacted or enforced by the governments
of the United Kingdom, European Union, United States of America and any other relevant country;
10.4.1.2 not knowingly do anything which may cause the other Party or members of its Group to breach Sanctions;
10.4.1.3 provide such assistance, documentation and information to the other party as that Party may reasonably request, including
but not limited to, end customer information, destination and intended use of goods or services;
10.4.1.4 notify the other Party in writing as soon as it becomes aware of an actual or potential investigation/breach in relation to the
Applicable Laws (and in particular, Sanctions and Export controls restrictive measures) or any material change in the status of
any of the parties to this agreement in respect of:
10.4.1.4.1 Sanctions status e.g. the inclusion on a Sanctions list in any applicable jurisdiction (as stated in 10.4.1.1 above;
10.4.1.4.2 Licence or authorisation status e.g. a loss of licence/authorisation in respect of Sanctions or Trade Controls;
10.4.1.5 have the right to terminate this agreement if any of the provisions of this clause are breached; and
10.4.1.6 have the right to seek indemnities from the Party which has breached the relevant provisions for any direct losses incurred.
11. CHANGE CONTROL PROCEDURE
11.1 Should either party wish to propose any change or amendment to any Service Schedule, such party shall address a written proposal to the other party detailing the desired changes or amendments.
11.2 Should the written proposal envisaged in clause 11.1 above be made by:
11.2.1 Vodacom, Vodacom shall detail, in such proposal, the technical impact of the proposed changes or amendments, delivery dates, cost variations, if any, and the effect on the terms and conditions of the Agreement and the applicable Service Schedule and the Customer shall revert with a written response to Vodacom’s proposal within a 30 (thirty) day period;
11.2.2 the Customer, Vodacom shall, within a 30 (thirty) day period, revert to the Customer with a written response detailing the technical impact of the proposed changes or amendments, delivery dates, cost variation, if any, and the effect on the terms and conditions of the Agreement and the applicable Service Schedule.
11.3 No alteration or variation of this Agreement or any Service Schedule shall be of any effect unless and until agreed upon between the parties in writing. Pending agreement between the parties in respect of any variation or alteration of this Agreement or any Service Schedule, Vodacom shall provide the Services in accordance with such agreed terms and conditions that have been reduced to writing and signed by or on behalf of the parties.
12. NEW TECHNOLOGIES AND ADDITIONAL SERVICES
12.1 Vodacom shall provide the Services using such up-to-date technology which is made generally available to its other customers. Vodacom shall promptly notify the Customer of potential enhancements and improvements that it believes the Customer may wish to consider implementing. If the Customer learns of a potential service enhancement or improvement to an existing Service (“New Technologies/Additional Service”), provided that such enhancement or improvement is offered by Vodacom to its customers, the Customer may request information from Vodacom in order to evaluate its interest in implementing such enhancement or improvement.
12.2 Upon the Customer’s request, Vodacom shall provide the indicative price, performance specifications, installation interval, or effects then known to Vodacom of any New Technologies/Additional Service. The provision of the new technology or additional services shall be subject to Vodacom standard charges and the then applicable standard terms and conditions.
13. DISCONTINUATION OR SUBSTITUTION OF TECHNOLOGY
13.1 Vodacom reserves the right in its sole discretion, without cost or penalty to itself, to substitute or discontinue (in whole or in part) the technology in terms of which the Services are delivered to the Customer, provided that Vodacom shall be obliged to furnish the Customer with 6 (six) months prior written notice of such substitution or discontinuation .
13.2 In the event that Vodacom elects to substitute the technology or to discontinue in part the technology in terms of which the Services are delivered to the Customer and the new technology and the partially discontinued technology has no lesser functionality or features than the substituted or partially discontinued technology, the Customer shall not be entitled to resile from this Agreement. In all other instances, the Agreement in respect of the affected Services shall ipso facto terminate upon the expiry of the 6 (six) month written notice furnished by Vodacom to the Customer pursuant to clause 13.1 above and Vodacom shall render all reasonable assistance to the Customer in respect of the migration to an alternate provider of the affected Services.
13.3 Network Sunset: Customer hereby acknowledges and accepts that (a) certain Network technologies used to provide the Service on Vodacom Device Hardware or Customer Device Hardware may retire prior to the expiry of the contract; (b) Current Networks may be replaced by further advanced Network technologies during the term of the contract. As a result, Customer agrees that maintaining compatibility of its devices with the available Networks from time to time shall be its responsibility and any associated costs shall be borne by Customer.
14. SUSPENSION OF THE SERVICES
14.1 Vodacom shall be entitled, without prejudice to any right it may have in terms of this Agreement or at law, at any time and on such notice as
may be reasonable in the circumstances to suspend provision of the Services or any part thereof in any of the following circumstances:
14.1.1 for so long as the Customer remains in breach of its obligations under this Agreement;
14.1.2 in the event that the quality of the Services, the System or the operation of the Network is adversely affected due to any act or
omission on the part of the Customer; and/or
14.1.3 in the event that the Customer infringes the intellectual property rights of any third party in relation to the provision of the Services.
14.2 All liability on the part of Vodacom for any loss or damage (whether direct or consequential) incurred or for any costs, claims, or demands of
any nature arising out of the suspension of the Services as contemplated in clause 14.1 above, is excluded.
14.3 Notwithstanding anything to the contrary contained herein, the Customer shall be obliged to continue to pay all charges and fees due under
each Service Schedule during the period during which the Services is/are suspended and acknowledges and agrees that under no
circumstances shall it be entitled to resile from this Agreement or withhold or defer payment or be entitled to a reduction in any charge or
have any other right or remedy against Vodacom, its servants, its agents or any other persons for whose acts and omissions Vodacom is
vicariously liable in law (and in whose favour this provision constitutes a stipulatio alteri).
15. INTELLECTUAL PROPERTY
15.1 The Customer acknowledges that any and all of the trademarks, trade names, copyrights, patents and other intellectual property rights used
or embodied in or in connection with the Services belong exclusively to and shall be and remain the sole property of Vodacom and save as
set out herein, nothing contained in this Agreement shall be construed so as to confer on the Customer any copyright or other intellectual
property rights in respect of any particular Services provided by Vodacom to the Customer.
15.2 The Customer acknowledges that all rights in any copy, translation, update, upgrade, adaptation or derivation of the Services including
without limitation any improvement or development thereof belong exclusively to and shall be and remain the sole property of Vodacom.
15.3 The Customer shall not, in any manner, remove, alter or in any manner whatsoever, tamper with any copyright and/or other proprietary notice
or legend of Vodacom, its vendors or suppliers.
15.4 Nothing contained in this Agreement shall be construed so as to confer on the Customer any copyright or other intellectual property rights in
respect of any particular Services provided by Vodacom to the Customer.
16. INFRINGEMENT OF INTELLECTUAL PROPERTY RIGHTS
16.1 Vodacom hereby indemnifies the Customer against any damages (including costs) suffered or sustained by the Customer or any third party
in respect of a claim that possession or use of the Service or any part thereof (“the infringing Service”) supplied by Vodacom to the Customer
infringes any patent, copyright or other intellectual property rights of any third party, provided that:
16.1.1 the infringement or alleged infringement has not arisen by virtue of the Customer's failure to use the infringing Service in
accordance with instructions given by Vodacom or from any modifications or adaptation to or alteration of the infringing Service by a
third party without the prior written consent of Vodacom;
16.1.2 the Customer shall have notified Vodacom as soon as practicably possible of any actual, alleged or suspected infringement and shall
have made no admission of liability in respect of any such claim;
16.1.3 Vodacom shall have sole control of all aspects of the defence of such a claim and sole rights to any damages or any counterclaim;
16.1.4 the Customer shall provide Vodacom with all such documentation, information and assistance as Vodacom may reasonably require to
assist it in relation to such claim provided that Vodacom shall reimburse the Customer its reasonable costs in providing same.
16.2 If any such claim for which Vodacom is liable to indemnify the Customer under clause 16.1 above is upheld by law or in the reasonable
opinion of the Customer is likely to be upheld by law, then Vodacom shall be obliged to either:
16.2.1 modify or replace the infringing Service or Product any part thereof to the extent that same is rendered non-infringing provided that
such modification or replacement does not materially alter the performance or functionality of the infringing Service; or
16.2.2 to procure the right for the Customer to continue using the infringing Service.
17. LIMITATION OF LIABILTY
17.1 The maximum liability of Vodacom under this Agreement in respect of any claim for direct damages by the Customer in respect of any wilful
misconduct and/or negligent act or omission of Vodacom or any person for whose acts and omissions Vodacom is vicariously liable in law, for
any event or series of connected events, whether as a result of breach of contract, delict or any reason whatsoever, shall be limited to the
total fees, excluding Value Added Tax, paid by the Customer to Vodacom in the 12 (twelve) month period immediately preceding the month in
which the incident arose which gave rise to the claim.
17.2 Under no circumstances whatsoever shall any party shall be liable for any indirect, incidental or consequential damages, (including, but not
limited to, damages for loss of business, profits, revenue, data, use, or other economic advantage) incurred by the other party, arising out of
or relating to this Agreement and/or any Service Schedule.
18. CONFIDENTIAL INFORMATION
18.1 For the duration of this Agreement and a period of 1 (one) year thereafter, each party hereby undertakes to the other to:
18.1.1 keep confidential all information (written or oral) concerning the business and affairs of the other that it shall have obtained or
received as a result of the discussions leading up to or entering into or to performance of this Agreement (“the information");
18.1.2 not without the other party’s written consent to disclose the information in whole or in part to any other person save those of its
employees, agents and sub-contractors involved in the implementation, of this Agreement and who have a need to know the same;
18.1.3 to use the information solely in connection with the implementation of this Agreement and not for its own or the benefit of any third
18.1.4 protect the confidential information of the providing party using the same standard of care used to safeguard its own confidential
information and agrees further to store and handle the confidential information in such a way as to prevent any unauthorised disclosure
18.2 The provisions of clause 18.1 above shall not apply to the whole or any part of the information to the extent that it is:
18.2.1 trivial or obvious;
18.2.2 already in the other's possession other than as a result of a breach of this clause;
18.2.3 independently developed by one party prior to the execution of this Agreement;
18.2.4 in the public domain through no fault of the receiving party; or
18.2.5 is disclosed by the receiving party to satisfy the order of a court of competent jurisdiction or to comply with the provisions of any law or
regulations in force from time to time; provided that in these circumstances, the receiving party shall, to the extent permitted by law,
advise the disclosing party in writing prior to such disclosure to enable the disclosing party to take whatever steps it deems necessary to
protect its interest in this regard; provided further that the receiving party will disclose only that portion of the information which it is legally
required to disclose and the receiving party will use its reasonable endeavours to protect the confidentiality of such information to the widest
extent possible in the circumstances.
18.3 Each party hereby undertakes to the other to make all relevant employees, agents and sub-contractors aware of the confidentiality of the
information and the provisions of this clause 18 and without prejudice to the generality of the aforegoing, to take all such steps as shall from
time to time be necessary to ensure compliance by its employees, agents and sub-contractors with the provisions of this clause 18.
19. ASSIGNMENT AND SUB-CONTRACTING
19.1 The Agreement is specific to the Customer and the Customer shall not be entitled to cede or assign its rights and/or delegate its
obligations, either partially or entirely, to a third party without the prior written consent of Vodacom.
19.2 Vodacom shall be entitled with notice to the Customer, at any time, to cede, assign, transfer, encumber or delegate any of its rights, title,
interest or obligations in terms of this Agreement to any Affiliate(s) without the Customer’s consent. For the purposes of this clause 19.2,
“Affiliate(s)” means any corporation, company, or other entity which is (i) controlled by Vodacom; (ii) controls Vodacom; or (iii) is under
common control with Vodacom and “control” means that more than 50% (fifty percent) of the controlled entity’s shares or ownership interest
representing the right to make decisions for such entity are owned or controlled, directly or indirectly, by the controlling entity.
19.3 Vodacom shall be entitled to sub-contract any or all of its obligations under this Agreement without the prior written consent of the Customer.
Notwithstanding that any obligations may have been sub-contracted by Vodacom under this clause 19.3, Vodacom shall be, and at all times
remain, fully responsible and liable for the fulfilment of all Vodacom’s obligations so sub-contracted.
20.1 In the event of the Customer on the one hand or Vodacom on the other (hereinafter referred to as “the defaulting party”):
20.1.1 committing or allowing the commission of any breach of this Agreement or any Service Schedule and failing to remedy that breach
within a period of 10 (ten) days after receipt of written notice to that effect from the party not so in breach (“the aggrieved party”); and/or
20.1.2 repeatedly breaching any of the terms of this Agreement or any Service Schedule in such manner as to justify the aggrieved party in
reasonably holding that the defaulting party’s conduct is inconsistent with the intention or ability of the defaulting party to carry out the
terms of this Agreement, then and in any of such events the aggrieved party shall have the right, (but shall not be obliged), forthwith to
cancel this Agreement or the applicable Service Schedule (either wholly or in relation to the affected portion) or to claim specific
performance, in either event without prejudice to the aggrieved party’s rights to claim damages. The aforesaid is without prejudice to such
other rights as the aggrieved party may have at law.
20.2 Notwithstanding anything to the contrary contained herein, either party may, without prejudice to its rights in terms of the Agreement or at
law, immediately terminate the Agreement, or any Service Schedule appended to the Agreement, in the event that the other party:
20.2.1 takes steps to place itself, or is placed in liquidation, whether voluntary or compulsory, or under judicial management, in either
case whether provisionally or finally;
20.2.2 takes steps to de-register itself or is de-registered; or
20.2.3 commits an act which would be an act of insolvency as defined in the Insolvency Act, 1936 (as amended) if committed by a natural
person, provided that the aggrieved party acting in good faith considers such event to be detrimental to it for sound business reasons.
20.3 Upon termination of this Agreement for whatsoever reason:
20.3.1 the Customer shall no longer be entitled to use of the Equipment and will forthwith tender return of the Equipment to Vodacom who
shall be entitled to enter any premises where the Equipment is located to recover same;
20.3.2 the Customer shall forthwith make payment to VODACOM all arrear amounts as well as all current amounts due as at the date of
21. DISPUTE RESOLUTION AND ARBITRATION
21.1 Any dispute arising out of or in connection with this Agreement shall, in the first instance, be referred for consideration and attempted resolution to the duly authorised senior management representatives of the Customer and Vodacom.
21.2 Should the representatives referred to in clause 21.1 above be unable to resolve the dispute within 7 (seven) days of same being referred to them, then they shall appoint a third party to act as a mediator (and not an arbitrator) to mediate in the resolution of the dispute. Such mediator shall be selected by the President for the time being of the Association of Law Societies of South Africa.
21.3 Should the mediation referred to in clause 21.2 above fail to resolve the dispute within 7 (seven) days of appointment of the mediator, then such dispute shall be finally resolved in accordance with the Rules of the Arbitration Foundation of Southern Africa by an arbitrator or arbitrators appointed by the Foundation.
21.4 Notwithstanding the provisions of this clause 21, neither party shall be precluded from obtaining relief on an urgent basis from a court of competent jurisdiction pending the decision of the arbitrator.
22. FORCE MAJEURE
22.1 Neither party shall be liable to the other for inability to perform or delayed performance in terms of the Agreement, should such inability or
delay arising from any cause beyond the reasonable control of such party, provided that the existence/happening of such cause has been
drawn to the attention of the other party within a reasonable time of occurrence of such cause (hereinafter referred to as “a Force Majeure
22.2 For the purposes of this clause a Force Majeure Event shall without limitation of the generality of the aforegoing, be deemed to include
strikes, lock outs, accidents, fires, explosions, theft, war (whether declared or not), invasion, foreign enemies, hostilities rights, civil
insurrection, flood, earthquake, lightning, act of local or national Government, Martial Law or any other cause beyond the reasonable control
of the party effected.
22.3 Should Vodacom be unable to fulfil a material obligation under this Agreement or any Service Schedule, as the case may be, for a period of
not less than 30 (thirty) days due to circumstances beyond its control more fully set out in clauses 22.1 and 22.2 above, and be unable to
provide a suitable temporary alternative to the affected Service or Service Element, as the case may be, then the Customer may terminate
this Agreement or the applicable Service Schedule.
22.4 Notwithstanding anything to the contrary herein contained, as an alternative to termination in terms of clause 22.3 above, in the event of a
Force Majeure Event, the Customer may, at its option, extend this Agreement or the applicable Service Schedule (whichever is appropriate in
the circumstances) for a period equal to the period during which the Force Majeure Event subsists.
23. DOMICILIA AND NOTICES
23.1 The parties choose domicilium citandi et executandi (“domicilium”) for the purposes of the giving of any notice, the serving of any process, the payment of any monies and for any other purpose arising from this Agreement, as follows:
23.1.1 Vodacom – Vodacom Commercial Park, 082 Vodacom Boulevard, Vodavalley, Midrand
23.1.2 The Customer – ………………………………………….
23.2 Each of the parties shall be entitled from time to time, by written notice to the other, to vary its domicilium to any other address which is not a post office box or poste restante.
23.3 Any notice given by either party to the other (“the Addressee”) which:
23.3.1 is delivered by hand during the normal Business Hours of the Addressee at the Addressee’s domicilium for the time being shall be presumed, until the contrary is proved by the Addressee, to have been received by the Addressee at the time of delivery;
23.3.2 is posted by prepaid registered post to the Addressee at the Addressee’s domicilium for the time being shall be presumed, until the contrary is proved by the Addressee, to have been received by the Addressee on the 4th (fourth) day after the date of posting.
24. GOVERNING LAW
This Agreement shall be governed, construed and interpreted in accordance with the laws of the Republic of South Africa.
Nothing in the Agreement shall constitute a partnership, joint venture, agency or employment between the parties hereto, and neither party shall have the authority or power to bind, or contract in the name of, or to create a liability against the other in any way for any purpose.
26. BINDING ON SUCCESSORS AND RELATED PARTIES
The terms and conditions of this Agreement shall be binding upon the assigns and/or other successors-in-title of the parties from time to time.
No addition to, variation, or agreed cancellation of this Agreement shall be of any force or effect unless recorded in a written document and signed by or on behalf of the duly authorized representatives of both parties. For purposes hereof a "written document" shall exclude any written document that is in the form, either wholly or partly, of a data message as defined in the Electronic Communications and Transactions Act 25 of 2002, and "signed" shall mean a signature executed by hand with a pen and without any electronic process or intervention.
28. INVALIDITY AND SEVERABILITY
If any provision of the Agreement shall be found by any Court or administrative body of competent jurisdiction to be invalid or unenforceable, the invalidity or unenforceability of the said provision shall not affect the other provisions of the Agreement and all provisions not affected by such invalidity or unenforceability shall remain in full force and effect. The parties hereby agree to attempt to substitute for any invalid or unenforceable provision a valid or enforceable provision, with the retention of the economic, legal and commercial objectives of the said invalid or unenforceable provision.
29.1 The waiver by either party of a breach or default of any of the provisions of the Agreement by the other party shall not be construed as a
waiver of any succeeding breach of the same or any provisions nor shall any delay or omission on the part of either party to exercise or avail
itself of any right, power or provision that it has or may have hereunder operate as a waiver of that right or power or of any breach or default
by the other party.
29.2 Any concession or relaxation of any of the terms of the Agreement that either party may make or allow the other party will not in any way
compromise any or all of the rights contained herein or in law of the party making or allowing the said concession or relaxation to demand
30. WHOLE AGREEMENT
This Agreement, together with all schedules, appendices, Service Schedules, annexures and/or amendments from time to time and any specifically referenced documents if applicable, constitutes the complete and exclusive statement of the Agreement between the Parties and supersedes all prior or contemporaneous agreements, promises, representations, understandings and negotiations between the Parties, whether written or oral, with respect to the subject matter hereof. The terms and conditions of any and all schedules, appendices, Service Schedules (including any specifically referenced documents, if applicable) to this Agreement, as amended from time to time by mutual agreement of the Parties or in accordance with the terms of this Agreement, are incorporated herein by reference and shall constitute part of this Agreement as if fully set out herein.