Objective: To create an understanding and an operating agreement between a printer and an a vendor or trade shop. Disclaimer: When in doubt, always get competent local legal advice. This sample agreement, may or may not be totally operable in all respects in every state. Check with a lawyer. =================SAMPLE AGREEMENT BELOW====================== VENDOR CONFIDENTIALITY and NON-COMPETE AGREEMENT This Agreement is made this ___ day of ____________, 1998 by and between This Print Shop, Inc. (hereinafter referred to as "THE PRINTER" for the purposes of this Agreement), AND The Trade Shop (hereinafter referred to a "THE VENDOR" for the purposes of this Agreement) Whereas THE VENDOR is an organization primarily engaged in the products or services which may be purchased by THE PRINTER and resold to THE PRINTER'S Clients. Whereas THE PRINTER regards its relationship with its Clients as of the essence of its business and of the essence of any agreement it makes with THE VENDOR. Therefore, in consideration of THE PRINTER placing orders for printing and related items to be produced by THE VENDOR, and as an inducement to do business together, the parties agree as follows: 1. The parties agree that a "Client" is a company or person who issues the original orders for completed printing projects and is, at all times, the exclusive Client of THE PRINTER. 2. THE VENDOR agrees to maintain complete confidentiality of all Client information, Client job specifications, Client artwork, and Client job descriptions provided by THE PRINTER in the process of quoting and/or producing a job together. 3. THE VENDOR agrees to exercise care and caution to keep confidential any and all proprietary information concerning the business and operation of THE PRINTER and its client, which becomes known to THE VENDOR by reason of the production of orders submitted by THE PRINTER. 4. THE VENDOR acknowledges and agrees that it has no prior or current relationship directly with the Client who places orders through THE PRINTER, and that THE VENDOR'S relationship is to be exclusively through THE PRINTER, and that THE VENDOR will not communicate directly or indirectly with the Client unless authorized by THE PRINTER. 5. THE VENDOR agrees that it shall not solicit business, directly or indirectly, or accept orders, or make quotations, or engage in business, directly or indirectly, with THE PRINTER'S Client. 6. Both parties agree that if THE VENDOR is to directly bill THE PRINTER'S Client, the invoice will be prepared in strict accordance with the instructions of THE PRINTER and that THE VENDOR may never invoice THE PRINTER'S Client(s) directly without express prior consent in writing. 7. In such cases where THE VENDOR may direct bill the Client(s) of THE PRINTER, THE VENDOR agrees to pay to THE PRINTER the cash difference between the Client invoice amount and the agreed job price to THE PRINTER and that the payment be made to THE VENDOR within ___ days following receipt of payment from Client. 8. THE VENDOR agrees that all prices quoted to THE PRINTER shall be considered as firm for a period of ____ days. 9. Both parties agree that orders shall be in writing and are not binding until accepted in writing. Both parties agree that verbal orders shall not be binding in any event. 10. THE VENDOR agrees not to directly or indirectly solicit or engage in business with Client of THE PRINTER through the services of another printer or broker. 11. THE VENDOR agrees not to directly or indirectly disclose any marked or identified information about THE PRINTER'S Client(s) to any person outside the employ of THE VENDOR. 12. Both parties agree that a waiver of any portion of the terms of this agreement by THE PRINTER shall not constitute as a waiver for similar situations or occurrences at a later time. 13. THE VENDOR agrees to return all information and materials submitted by THE PRINTER in the course of producing work for the Client. 14. The parties agree that this agreement shall also be governed by the current Trade Customs of the American Printing Industry. IN WITNESS WHEREOF, the parties have caused this agreement to be signed on the day and year first appearing above herein. _____________________ By: ________________________ PRINTER _____________________ By: ________________________ VENDOR _____________________________________________________ The Client