Operator hereby gives Vendor the exclusive right to lease and place for operation Coin Operated Amusement Machines (“COAMS”) at its place of business.
Section 1: Location and Maintenance
1. Operator shall provide a space within its business Location for the COAMs. The space is located at .
2. Operator shall be responsible for any damage to the COAMs due to Operator’s negligence or otherwise, with the exception of normal wear and tear. Vendor will be responsible for ordinary maintenance. Operator agrees to notify Vendor immediately of any malfunction of the COAMs.
Section 2: Removal of Existing COAMs
3. Upon execution of this Agreement, Operator hereby authorizes Vendor to remove any COAMs currently in the Location and agrees to store them at Operator's expense. The Operator indemnifies Vendor from any damages incurred during removal.
Section 3: Exclusive Agreement
4. This is an exclusive agreement whereby Operator agrees that no similar equipment from any other entity, including the Vendor, will be installed or used at the Location.
Section 4: Term and Renewal
5. The term of this Agreement is months.
6. This Agreement shall automatically renew for two (2) twenty-four (24) month periods unless either party provides written notice of non-renewal 60-90 days prior to expiration.
Section 5: Compensation
7. Compensation terms:
a. Operator receives % of Net Proceeds, and Vendor receives %.
b. Optional Civil Litigation Assistance: Opt-in for Civil Litigation Assistance (20% of Net Profits surrendered to Vendor)
Section 6: Confidentiality
8. Operator agrees to keep all Confidential Information provided by Vendor secure, and not disclose any details without the written consent of Vendor. Operator agrees to the confidentiality terms: Yes
Section 7: Liability and Indemnity
9. Operator agrees to indemnify Vendor from all claims, losses, and liabilities arising from operations of the COAMs under this Agreement. This includes legal fees and other costs incurred by Vendor.
Section 8: Termination
10. Operator agrees to return all property and documents related to the COAMs within 30 days of termination of this Agreement.
11. In case of termination due to the Operator's fault, the Operator shall be liable for all costs associated with products and services offered by the Vendor, including transportation and damages.
12. Operator agrees that during the term of this Agreement and for 24 months after termination, it will not place COAMs or similar equipment in the Location without Vendor’s approval, or incur a fee of $5,000 per month.
13. Should this Agreement terminate due to Operator’s default, Vendor reserves the right to claim the balance of rent for the remaining lease term, as well as any associated legal fees or costs.
Additional Clauses (14–26)
14. Within thirty (30) days from the termination of this Agreement, Operator shall return to Vendor all property, documentation, records, or confidential information.
15. The Vendor reserves the right to terminate the lease and pursue any damages, legal fees, or costs related to enforcing this Agreement in case of the Operator’s default.
16. Should Operator sell, assign, or transfer its business, this Agreement shall survive and the new owner shall assume all responsibilities under this Agreement. Operator remains liable for any damages resulting from a failure to honor this provision.
17. In the event of termination due to Operator’s fault, Operator shall be liable for all costs accrued by the Vendor, including transportation, damages, and loss.
18. The covenants in this Agreement shall be construed independently. If any part is invalid, the rest remains enforceable.
19. The Vendor reserves the right to enforce all other remedies available under law in the event of Operator’s default.
20. The Operator is required to secure insurance coverage for the amusement machines leased from Sneak Preview Play LLC. Each machine, valued at $25,000 per unit, must be added to the lessee's existing insurance policy as equipment. While a copy of the Certificate of Insurance (COI) is not mandatory to be provided, it is essential that the machines are properly listed and covered under the policy to ensure adequate protection. This insurance requirement is in place to safeguard both the Operator and Sneak Preview Play LLC against potential liabilities and damages associated with the operation of the equipment.
21. Operator agrees to indemnify and hold Vendor harmless for all claims, losses, or penalties arising from the operation of COAMs.
22. All disputes arising from this Agreement will be submitted to arbitration under the rules of the American Arbitration Association. The arbitration will be held in Fulton County, Georgia.
23. This Agreement will be interpreted under the laws of Georgia. All disputes related to the Agreement will be settled in Fulton County Superior Court, Georgia.
24. The parties acknowledge that they have read this Agreement and had the opportunity to consult counsel before signing.
25. Vendor reserves the right to transfer its rights under this Agreement, while the Operator may not transfer rights unless otherwise provided.
26. This Agreement may not be modified except by mutual consent of both parties in writing.
27. All notices under this Agreement shall be sent as follows: