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modifications that may be recommended or directed by insurance <br />companies, government, state, municipal or other authority. However, <br />in the event any such recommendations occur, Carrier, at its option, <br />may submit a proposal for Customer's consideration in addition to this <br />Agreement. Carrier shall not be required to repair or replace <br />equipment that has not been properly maintained. <br />11. EQUIPMENT CONDITION & RECOMMENDED SERVICE <br />(Service Contracts only) - Upon the initial scheduled operating and/or <br />initial annual stop inspection, should Carrier determine the need for <br />repairs or replacement, Carrier will provide Customer in writing an <br />`equipment condition' report including recommendations for <br />corrections and the price for repairs in addition to this Agreement. In <br />the event Carrier recommends certain services (that are not included <br />herein or upon initial inspection) and if Customer does not elect to have <br />such services properly performed in a timely fashion, Carrier shall not <br />be responsible for any equipment or control failures, operability or any <br />long-term damage that may result. Carrier at its option will either <br />continue to maintain equipment and/or controls to the best of its ability, <br />without any responsibility, or remove such equipment from this <br />Agreement, adjusting the price accordingly. <br />12. PROPRIETARY RIGHTS (Service Contracts only) - During <br />the term of this Agreement and in combination with certain services, <br />Carrier may elect to install, attach to Customer equipment, or provide <br />portable devices (hardware and/or software) that shall remain the <br />personal proprietary property of Carrier. No devices installed, <br />attached to real property or portable device(s) shall become a fixture <br />of the Customer locations. Customer shall not acquire any interest, <br />title or equity in any hardware, software, processes, and other <br />intellectual or proprietary rights to devices that are used in connection <br />with providing service on Customer equipment. <br />13. DATA RIGHTS (Service Contracts only) - Customer hereby <br />grants and agrees to grant to Carrier a worldwide, non-exclusive, non - <br />terminable, irrevocable, perpetual, paid -up, royalty free license to any <br />Source Data, with the right to sub -license to its affiliates and suppliers <br />for (i) Carrier's performance of services pursuant to this Agreement, <br />(ii) the improvement of Carrier services, and Carrier's Analytics <br />Platform; (iii) improving product performance, operation, reliability, <br />and maintainability; (iv) to create, compile, and/or use datasets and/or <br />statistics for the purposes of benchmarking, development of best <br />practices, product improvement; (v) the provision of services to third <br />parties, (vi) research, statistical, and marketing purposes, and/or (vii) <br />in support of Carrier agreements. <br />Source Data — shall mean data that is produced directly from a system, <br />or device and received at a collection point or a central server (e.g. a <br />Carrier database, data lake, or third party cloud service). <br />Analytics Platform — shall mean server algorithms or web interface <br />systems used to (i) interpret, convert, manipulate, or calculate data, (ii) <br />perform data processing, and/or (iii) the delivery of data to Carrier, <br />affiliates or suppliers of Carrier, and/or Customer. <br />14. RETURN OF DATA (Service Contracts only) - Customer <br />understands and acknowledges that the portable devices will collect <br />Source Data that will be stored on and/or transmitted to Carrier's <br />servers and to suppliers or affiliates that are contracted by Carrier and <br />used to transmit, process, extract or store such Source Data for <br />purposes of Carrier's performance of the service in accordance with <br />this Agreement. Once such data and information has been stored <br />and/or transmitted to Carrier's servers, Customer agrees that such data <br />and information shall become part of Carrier's database and therefore <br />subject to the license terms under section 13. <br />15. DATA DELIVERY - During the term of the Agreement Customer <br />shall (i) make reasonable efforts to ensure that the hardware remains <br />powered on, (ii) avoid intentional action to impede, block or throttle <br />collection and transmission of Source Data by Carrier, and (iii) avoid <br />intentional action to disable, turn off, or remove the hardware without <br />Carrier's express written consent, which consent shall not be <br />unreasonably withheld. <br />16. REVERSE ENGINEERING - Customer shall not extract, <br />decompile or reverse engineer any software included with, <br />incorporated in, or otherwise associated with the hardware and shall <br />not reverse engineer any reports or analytics provided to or received <br />by Customer from Carrier. <br />17. WAIVER OF DAMAGES - Under no circumstances shall Carrier <br />be liable for any incidental, special or consequential damages, <br />including loss of revenue, loss of use of equipment or facilities, or <br />economic damages based on strict liability or negligence. <br />18. LIMITATION OF LIABILITY - Carrier's maximum liability for <br />any reason (except for personal injuries) arising from this Agreement <br />shall not exceed the value of the payments received by Carrier under <br />this Agreement. <br />19. CANCELLATION - Customer may cancel this Agreement only <br />with Carrier's prior written consent, and upon payment of reasonable <br />cancellation charges. Such charges shall take into account costs and <br />expenses inured, and purchases or contract commitments made by <br />Carrier and all other losses due to the cancellation including a <br />reasonable profit. <br />20. CUSTOMER TERMINATION FOR CARRIER NON- <br />PERFORMANCE - Customer shall have the right to terminate this <br />Agreement for Carrier's non-performance provided Carrier fails to <br />cure such non-performance within thirty (30) days after having been <br />given prior written notice of the non-performance. Upon early <br />termination or expiration of this Agreement, Carrier shall have free <br />access to enter Customer locations to disconnect and remove any <br />Carrier personal proprietary property or devices as well as remove any <br />and all Carrier -owned parts, tools and personal property. Additionally, <br />Customer agrees to pay Carrier for all incurred but unamortized service <br />costs performed by Carrier including overheads and a reasonable <br />profit. <br />21. CARRIER TERMINATION - Carrier reserves the right to <br />discontinue its service any time payments have not been made as <br />agreed or if alterations, additions or repairs are made to equipment <br />during the term of this Agreement by others without prior agreement <br />between Customer and Carrier. <br />22. CLAIMS - Any lawsuits arising from the performance or <br />nonperformance of this Agreement, whether based upon contract, <br />negligence, strict liability or otherwise, shall be brought within one (1) <br />year from the date the claim arose. <br />23. GOVERNMENT PROCUREMENTS - The components, <br />equipment and services provided by Carrier are "commercial items" as <br />defined in Section 2.101 of the Federal Acquisition Regulations <br />("FAR"), and the prices of such components, equipment and services <br />are based on Carrier's commercial pricing policies and practices <br />(which do not consider any special requirements of U.S. Government <br />cost principles, FAR Part 31, or any similar procurement regulations). <br />As such, Carrier will not agree to provide or certify cost or pricing data, <br />nor will Carrier agree to comply with the Cost Accounting Standards <br />(CAS). In addition, no government procurement regulations, such as <br />FARs or DFARs, shall apply to this Agreement except those <br />regulations expressly accepted in writing by Carrier. <br />Equipment and/or Service <br />CCS-TCES 031919 <br />Carrier Corporation 3 <br />