This Independent Contractor Agreement (this “ICA”) governs the rights, remedies, and obligations of Fair Isaac Corporation or its affiliate named in the SOW (“Company” or “FICO”) and a supplier (“Supplier” or “you”) of certain Services described in the order, statement of work or purchase order executed by the Company and Supplier that refer to or incorporate this ICA (the “SOW”). This ICA and the SOW are collectively referred to as the “Agreement”.
1. SERVICES. The Company hereby engages you, and you hereby accept such engagement, as an independent contractor to provide certain services to the Company on the terms and conditions set forth in the Agreement. You shall provide to the Company the services set forth in the SOW (the “Services"). The Company does not and shall not control or direct the manner or means by which you, your employees, or your contractors perform the Services, including but not limited to the time and place you perform the Services. As set forth in the SOW, the Company shall provide you with access to its premises, materials, information, and systems to the extent necessary for the performance of the Services. The Services performed are outside the usual course of the Company’s business. You are customarily engaged in an independently established trade, occupation, or business of the same nature as the Services performed. Unless otherwise specified in the SOW, you shall furnish, at your own expense, the materials, equipment, and other resources necessary to perform the Services. You shall comply with all third-party access rules and procedures communicated to you in writing by the Company, including those related to safety, security, and confidentiality.
2. TERM. The term of the Agreement shall commence on the effective date stated in the SOW or if one is not stated, the execution date of the last Party to sign the SOW (“Effective Date”); and shall continue for a period stated in the SOW, unless earlier terminated in accordance with Section 10 (“Term”). Any extension of the Term will be subject to mutual written agreement between you and the Company (each referred to as “Party” and collectively as the “Parties”).
3. FEES AND EXPENSES. As full compensation for the Services and the rights granted to the Company in the Agreement, the Company shall pay you the fee set forth in the SOW (“Fees”), payable on completion of the Services to the Company’s satisfaction. You acknowledge that you will receive an IRS Form 1099-NEC from the Company, and that you shall be solely responsible for all federal, state, and local taxes, as set out in Section 4.2. You are solely responsible for any travel or other costs or expenses incurred by you in connection with the performance of the Services, and in no event shall the Company reimburse you for any such costs or expenses. All travel billable to the Company must be pre-approved in writing by the Company before you are authorized to incur the expense. Invoices for billable travel shall be invoiced at cost, without additional markup, and shall be accompanied by documentation substantiating the expense, such as receipts. The Company shall pay all undisputed Fees within 45 calendar days after the Company’s receipt of an acceptable invoice submitted by you upon completion of the Services (or after Company’s issuance of a purchase order if applicable) in accordance with the SOW.
4. RELATIONSHIP OF THE PARTIES.
4.1. You are an independent contractor of the Company, and the Agreement shall not be construed to create any association, partnership, joint venture, employment, or agency relationship between you and the Company for any purpose. You have no authority (and shall not hold yourself out as having authority) to bind the Company and you shall not make any agreements or representations on the Company’s behalf without the Company's prior written consent.
4.2. Without limiting Section 4.1 and due to the independent contractor relationship, you will not be eligible to participate in any vacation, group medical or life insurance, disability, profit sharing or retirement benefits, or any other fringe benefits or benefit plans offered by the Company to its employees, and the Company will not be responsible for withholding or paying any income, payroll, Social Security, or other federal, state, or local taxes, making any insurance contributions, including for unemployment or disability, or obtaining workers' compensation insurance on your behalf. You shall be responsible for, and shall indemnify the Company against, all such taxes or contributions, including penalties and interest. Any persons employed or engaged by you in connection with the performance of the Services shall be your employees or contractors and you shall be fully responsible for them and indemnify the Company against any claims made by or on behalf of any such employee or contractor.
5. INTELLECTUAL PROPERTY RIGHTS.
5.1. You hereby irrevocably assign to the Company, for no additional consideration, your entire right, title, and interest throughout the world in and to all results and proceeds of the Services performed under the Agreement, including but not limited to the deliverables set out in the SOW (collectively, the “Deliverables”) and all other writings, technology, inventions, discoveries, processes, techniques, methods, ideas, concepts, research, proposals, and materials, and all other work product of any nature whatsoever, that are created, prepared, produced, authored, edited, modified, conceived, or reduced to practice in the course of performing the Services or other work performed in connection with the Services or the Agreement (collectively, and including the Deliverables, “Work Product”), and all patents, copyrights, trademarks (together with the goodwill symbolized thereby), trade secrets, know-how, and other confidential or proprietary information, and other intellectual property rights (collectively “Intellectual Property Rights”) therein, shall be owned exclusively by the Company. You acknowledge and agree that any and all Work Product that may qualify as “work made for hire” as defined in the Copyright Act of 1976 (17 U.S.C. § 101) is hereby deemed “work made for hire” for the Company and all copyrights therein shall automatically and immediately vest in the Company. To the extent that any Work Product does not constitute “work made for hire,” you hereby irrevocably assign to the Company and its successors and assigns, for no additional consideration, your entire right, title, and interest in and to the Work Product and all Intellectual Property Rights therein, including the right to sue, counterclaim, and recover for all past, present, and future infringement, misappropriation, or dilution thereof. Further, to the extent any Company Work Product is created under the Agreement, it is in no way indicative of or representative of an employment relationship.
5.2. To the extent any copyrights are assigned under this Section 5, you hereby irrevocably waive in favor of the Company, to the extent permitted by applicable law, any and all claims you may now or hereafter have in any jurisdiction to all rights of paternity or attribution, integrity, disclosure, and withdrawal and any other rights that may be known as “moral rights” in relation to all Work Product to which the assigned copyrights apply.
5.3. You shall make full and prompt written disclosure to the Company of any inventions or processes, as such terms are defined in 35 U.S.C. § 100, that constitute Work Product, whether or not such inventions or processes are patentable or protected as trade secrets. You shall not disclose to any third party the nature or details of any such inventions or processes without the prior written consent of the Company. Any patent application for or application for registration of any Intellectual Property Rights in any Work Product that you may file during the Term or at any time thereafter will belong to the Company, and you hereby irrevocably assign to the Company, for no additional consideration, your entire right, title, and interest in and to such application, all Intellectual Property Rights disclosed or claimed therein, and any patent or registration issuing or resulting therefrom.
5.4. Upon the request of the Company, during and after the Term, you shall promptly take such further actions, including execution and delivery of all appropriate instruments of conveyance, and provide such further cooperation, as may be necessary to assist the Company to apply for, prosecute, register, maintain, perfect, record, or enforce its rights in any Work Product and all Intellectual Property Rights therein. In the event the Company is unable, after reasonable effort, to obtain your signature on any such documents, you hereby irrevocably designate and appoint the Company as your agent and attorney-in-fact, to act for and on your behalf solely to execute and file any such application or other document and do all other lawfully permitted acts to further the prosecution and issuance of patents, copyrights, or other intellectual property protection related to the Work Product with the same legal force and effect as if you had executed them. You agree that this power of attorney is coupled with an interest.
5.5. Notwithstanding Section 5.1, to the extent that any of your pre-existing materials identified in the SOW are incorporated in or combined with any Deliverable, or otherwise necessary for the use or exploitation of any Work Product, you hereby grant to the Company an irrevocable, worldwide, perpetual, royalty-free, non-exclusive license to use, publish, reproduce, perform, display, distribute, modify, prepare derivative works based upon, make, have made, sell, offer to sell, import, and otherwise exploit such preexisting materials and derivative works thereof. The Company may assign, transfer, and sublicense (through multiple tiers) such rights to others without your approval.
5.6. As between you and the Company, the Company is, and will remain, the sole and exclusive owner of all right, title, and interest in and to any documents, specifications, data, know-how, methodologies, software, and other materials provided to you by the Company (“Company Materials”), and all Intellectual Property Rights therein. You have no right or license to reproduce or use any Company Materials except solely during the Term to the extent necessary to perform your obligations under the Agreement. All other rights in and to the Company Materials are expressly reserved by the Company. You have no right or license to use the Company's trademarks, service marks, trade names, logos, symbols, or brand names.
5.7. You shall require each of your employees and contractors to execute written agreements containing obligations of confidentiality in Section 6 below and non-use and assignment of inventions and other work product consistent with the provisions of this Section 5 prior to such employee or contractor providing any Services under the Agreement.
6. CONFIDENTIALITY.
6.1. You acknowledge that you will have access to information that is treated as confidential and proprietary by the Company including without limitation the existence and terms of the Agreement, trade secrets, technology and information pertaining to business operations and strategies, customers, pricing, marketing, finances, sourcing, personnel, or operations of the Company, its affiliates, or their suppliers or customers, in each case whether spoken, written, printed, electronic, or in any other form or medium (collectively, the “Confidential Information”). Any Confidential Information that you access or develop in connection with the Services, including but not limited to any Work Product, shall be subject to the terms and conditions of this clause. You agree to treat all Confidential Information as strictly confidential, not to disclose Confidential Information or permit it to be disclosed, in whole or part, to any third party without the prior written consent of the Company in each instance, and not to use any Confidential Information for any purpose except as required in the performance of the Services. You shall notify the Company immediately in the event you become aware of any loss or disclosure of any Confidential Information. Confidential Information shall not include information that: (a) is or becomes generally available to the public other than through your breach of the Agreement; or (b) is communicated to you by a third party that had no confidentiality obligations with respect to such information. Nothing herein shall be construed to prevent disclosure of Confidential Information as may be required by applicable law or regulation, or pursuant to the valid order of a court of competent jurisdiction or an authorized government agency, provided that the disclosure does not exceed the extent of disclosure required by such law, regulation, or order. You agree to provide written notice of any such order to an authorized officer of the Company within 5 calendar days of receiving such order, but in any event sufficiently in advance of making any disclosure to permit the Company to contest the order or seek confidentiality protections, as determined in the Company’s sole discretion.
6.2. Notice of Immunity Under the Defend Trade Secrets Act of 2016 (“DTSA”). Notwithstanding any other provision of the Agreement: (a) you will not be held criminally or civilly liable under any federal or state trade secret law for any disclosure of a trade secret that: (i) is made: (A) in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney; and (B) solely for the purpose of reporting or investigating a suspected violation of law; or (ii) is made in a complaint or other document that is filed under seal in a lawsuit or other proceeding; and (b) if you file a lawsuit for retaliation by the Company for reporting a suspected violation of law, you may disclose the Company's trade secrets to your attorney and use the trade secret information in the court proceeding if you: (i) file any document containing the trade secret under seal; and (ii) do not disclose the trade secret, except pursuant to court order.
7. REPRESENTATIONS AND WARRANTIES.
7.1. You represent and warrant to the Company that: (a) you have the right to enter into the Agreement, to grant the rights granted herein, and to perform fully all of your obligations in the Agreement; (b) your entering into the Agreement with the Company and your performance of the Services do not and will not conflict with or result in any breach or default under any other agreement to which you are subject; (c) you have the required skill, experience, and qualifications to perform the Services, you shall perform the Services in a professional and workmanlike manner in accordance with best industry standards for similar services, and you shall devote sufficient resources to ensure that the Services are performed in a timely and reliable manner; (d) you shall perform the Services in compliance with all applicable federal, state, and local laws and regulations, including by maintaining all licenses, permits, and registrations required to perform the Services; (e) the Company will receive good and valid title to all Work Product, free and clear of all encumbrances and liens of any kind; and (f) all Work Product is and shall be your original work (except for material in the public domain or provided by the Company) and does not and will not violate or infringe upon the intellectual property right or any other right whatsoever of any person, firm, corporation, or other entity.
7.2. The Company hereby represents and warrants to you that: (a) it has the full right, power, and authority to enter into the Agreement and to perform its obligations hereunder; and (b) the execution of the Agreement by its representative whose signature is set forth at the end of the Agreement has been duly authorized by all necessary corporate action.
8. INDEMNIFICATION. You shall defend, indemnify, and hold harmless the Company and its affiliates and their officers, directors, employees, agents, successors, and assigns from and against all losses, damages, liabilities, deficiencies, actions, judgments, interest, awards, penalties, fines, costs, or expenses of whatever kind, including reasonable attorneys’ fees, arising out of or resulting from: (a) bodily injury, death of any person, or damage to real or tangible personal property resulting from your acts or omissions; or (b) your breach of any representation, warranty, or obligation under the Agreement. The Company may satisfy such indemnity (in whole or in part) by way of deduction from any payment due to you.
9. INSURANCE. During the Term, you shall maintain in force adequate workers’ compensation, commercial general liability, errors and omissions, and other forms of insurance, in each case with insurers reasonably acceptable to the Company, with policy limits sufficient to protect and indemnify the Company and its affiliates, and each of their officers, directors, agents, employees, subsidiaries, partners, members, controlling persons, and successors and assigns, from any losses resulting from your acts or omissions or the acts or omissions of your agents, contractors, servants, or employees. You shall forward a certificate of insurance verifying such insurance upon the Company's written request, which certificate will indicate that such insurance policies may not be canceled before the expiration of a 30 calendar day notification period and that the Company will be immediately notified in writing of any such notice of termination.
10. TERMINATION.
10.1. Notwithstanding anything to the contrary contained herein, the Company may terminate the Agreement without cause at any time by providing written notice to you. In the event of termination pursuant to this clause, the Company shall pay you on a pro-rata basis any Fees then due and payable for any Services completed up to and including the date of such termination.
10.2. You or the Company may terminate the Agreement, effective immediately upon written notice to the other Party to the Agreement, if the other Party materially breaches the Agreement, and such breach is incapable of cure, or with respect to a material breach capable of cure, the other Party does not cure such breach within 30 calendar days after receipt of written notice of such breach.
10.3. Upon expiration or termination of the Agreement for any reason, or at any other time upon the Company’s written request, you shall promptly after such expiration or termination: (a) deliver to the Company all Deliverables (whether complete or incomplete) and all materials, equipment, and other property provided for your use by the Company; (b) deliver to the Company all tangible documents and other media, including any copies, containing, reflecting, incorporating, or based on the Confidential Information; (c) permanently erase all of the Confidential Information from your computer systems; and (d) certify in writing to the Company that you have complied with the requirements of this clause.
10.4. The terms and conditions of this clause and Section 4, Section 5, Section 6, Section 7, Section 8, Section 11, Section 12, Section 13, Section 14, Section 15, and Section 16 shall survive the expiration or termination of the Agreement.
11. OTHER BUSINESS ACTIVITIES. You may be engaged or employed in any business, trade, profession, or other activity while providing services to the Company, in which case you shall abide by the terms of Section 6 and Section 7.
12. NON-SOLICITATION. You agree that during the Term of the Agreement and for a period of 12 months following the termination or expiration of the Agreement, you will not disrupt or interfere with the business of the Company by directly or indirectly soliciting, recruiting, attempting to recruit, or raiding the employees of the Company, or otherwise inducing the termination of employment of any employee of the Company. You also agree and covenant not to use any of the Company's trade secrets or confidential information to directly or indirectly solicit the employees of the Company. For the purposes of this clause, a general advertisement or notice of a job listing or opening or other similar general publication of a job search or availability to fill employment positions, including on the internet, shall not be construed as a solicitation or inducement, and the hiring of any such employees or independent contractor who freely responds thereto shall not be a breach of this clause.
13. ASSIGNMENT. You shall not assign any rights or delegate or subcontract any obligations under the Agreement without the Company's prior written consent. Any assignment in violation of the foregoing shall be deemed null and void. The Company may freely assign its rights and obligations under the Agreement at any time. Subject to the limits on assignment stated above, the Agreement will inure to the benefit of, be binding on, and be enforceable against each of the Parties hereto and their respective successors and assigns.
14. REMEDIES. In the event you breach or threaten to breach Section 5, Section 6 or Section 12 of the Agreement, you hereby acknowledge and agree that money damages would not afford an adequate remedy and that the Company shall be entitled to seek a temporary or permanent injunction or other equitable relief restraining such breach or threatened breach from any court of competent jurisdiction without the necessity of showing any actual damages, and without the necessity of posting any bond or other security. Any equitable relief shall be in addition to, not in lieu of, legal remedies, monetary damages, or other available forms of relief.
15. GOVERNING LAW, JURISDICTION, AND VENUE. The Agreement and all related documents, including all schedules attached thereto and all matters arising out of or relating to the Agreement and the Services provided hereunder, whether sounding in contract, tort, or statute, for all purposes shall be governed by and construed in accordance with the laws of the State of New York, without giving effect to any conflict of laws principles that would cause the laws of any other jurisdiction to apply. Any action or proceeding by either of the Parties to enforce the Agreement shall be brought only in any state or federal court located in the State of Minnesota, County of Hennepin subject to the last sentence of this section. The Parties hereby irrevocably submit to the non-exclusive jurisdiction of these courts and waive the defense of inconvenient forum to the maintenance of any action or proceeding in such venue. If you are a resident of the State of California, then any action or proceeding by either of the Parties to enforce the Agreement shall be brought only in any state or federal court located in the State of California, County of Santa Clara.
16. MISCELLANEOUS. You shall not export, directly or indirectly, any technical data acquired from the Company, or any products utilizing any such data, to any country in violation of any applicable export laws or regulations. All notices, requests, consents, claims, demands, waivers, and other communications hereunder (each, a “Notice”) shall be in writing and addressed to the Parties at the addresses set forth on the first page of the Agreement, or to such other address that may be designated by the receiving Party from time to time in accordance with this Section. All Notices shall be delivered by personal delivery, nationally recognized overnight courier (with all fees prepaid), email if listed in the first page of the Agreement, or certified or registered mail (in each case, return receipt requested, postage prepaid). Except as otherwise provided in the Agreement, a Notice is effective only if: (a) the receiving Party has received the Notice; and (b) the Party giving the Notice has complied with the requirements of this Section. The Agreement includes this ICA and the SOW, and any other documents incorporated therein or herein by reference, and related exhibits and schedules, and constitutes the sole and entire agreement of the Parties to the Agreement with respect to the subject matter contained herein, and supersedes all prior and contemporaneous understandings, agreements, representations, and warranties, both written and oral, with respect to such subject matter. The SOW may contain additional terms so long as they do not conflict with this ICA. Any terms, conditions or provisions of any Supplier quotation, confirmation, order acknowledgement, invoice, or other commercial document sent to the Company are hereby rejected, and shall not constitute additional or modified terms to the Agreement. The Agreement may only be amended, modified, or supplemented by an agreement in writing signed by each Party hereto, and any of the terms thereof may be waived, only by a written document signed by each Party to the Agreement or, in the case of waiver, by the Party or Parties waiving compliance. If any term or provision of the Agreement is invalid, illegal, or unenforceable in any jurisdiction, such invalidity, illegality, or unenforceability shall not affect any other term or provision of the Agreement or invalidate or render unenforceable such term or provision in any other jurisdiction.