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HomeMy WebLinkAboutResolution - 4614 - License Agreement - Maria Elena Holly - Buddy Holly Memorabilia - 09/22/1994Resolution No. 4614 Item X621 September 22, 1994 RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to execute for and on behalf of the City of Lubbock a License Agreement and all related documents by and between the City of Lubbock and Maria Elena Holly, which Agreement is attached herewith, which shall be spread upon the minutes of the Council and as spread upon the minutes of this Council shall constitute and be a part of this Resolution as if fully copied herein in detail. Passed by the City Council this 22nd da, ATTEST: i Betty M. ohnson, Vity Secretary AS TO CONTENT: APPROVED AS TO FORM: Donald G. VandiverFirst Assistant1 C Attorney WV ja/CONAGMT.RES ccdocs/July 19, 1994 Resolution No. 4614 Item 121 September 22, 1994 LICENSE AGREEMENT THE STATE OF TEXAS § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS § THIS LICENSE AGREEMENT made as of the 22nd day of September 1994, between MARIA ELENA HOLLY, ("Licensor"), and THE CITY OF LUBBOCK, TEXAS, (Licensee"): WITNESSETH: WHEREAS, Licensor has rights in and to the valuable name, character, likeness, and, in certain instances, visual representation of Charles Hardin Holley, professionally known as Buddy Holly, who died February 3, 1959 (which name, character, likeness and visual representation and/or each of the individual components thereof shall hereinafter be called the "Name"); and WHEREAS, Licensor has, over the years, protected and defended the Name from commercial utilization and defended and protected the rights of publicity incident to the Name, as those rights have heretofore been defined in common law; and WHEREAS, effective September 1, 1987, rights of publicity and the descendibility thereof were codified in Texas when H.B. 834 was passed by both Houses of the Texas Legislature, signed into law by the Governor of Texas, and enacted as Chapter 26 of Texas Property Code; and WHEREAS, on September 29, 1987, Licensor filed in the Office of the Secretary of State of the State of Texas REGISTRATION OF CLAIM under Section 26.006 of said Property Code, reflecting that Licensor, as Claimant, was and is the surviving spouse of Charles Hardin Holley (BUDDY HOLLY), and thus statutorily perfected the rights of Licensor in and to the Name; and WHEREAS, Licensee is a Texas Home Rule Municipal Corporation, organized in 1917; and WHEREAS, Licensee is in the process of obtaining a collection of Buddy Holly memorabilia with the intent of enhancing the acclaim and knowledge of the contributions of Buddy Holly to the world of music, with particular emphasis on his roots in Lubbock and West Texas, by means of displaying said memorabilia in City of Lubbock (Licensee) facilities; and WHEREAS, Licensor and Licensee recognize that there is a mutuality of interest between them in preserving and enhancing the public's awareness of the role of Buddy Holly and the Lubbock area in the musical history of Texas, the United States of America and the world; and WHEREAS, Licensee very much desires to be able to keep the aforementioned Buddy Holly memorabilia in Lubbock, rather than to have it be sold at international auction to bidders; and WHEREAS, the Buddy Holly memorabilia plays a very important role in Licensee's being able to demonstrate and promote the musical heritage of Lubbock and the South Plains and in preserving and enhancing the reputation of Buddy Holly; and WHEREAS, Licensee also may desire to promote the image and memory of Buddy Holly by naming one or more public buildings or other facilities in his honor from time to time; and LICENSE AGREEMENT — MARIA ELENA HOLLY Page 2 WHEREAS, the Licensee believes that having the Buddy Holly memorabilia as a display attraction for visitors to the City of Lubbock will enhance both the City's position with regard to tourism and convention activities, and, as well, will promote the image and memory of Buddy Holly; and WHEREAS, Licensee recognizes that the written consent of Licensor is required before the Licensee may use the name, voice, signature, photograph or likeness of Buddy Holly in memorabilia display and otherwise as herein contemplated, pursuant to Section 26.011 of the Texas Property Code; and WHEREAS, Licensee desires to utilize the Name upon and in connection with, and only upon and in connection with the matters set forth hereinbelow: NOW, THEREFORE, in consideration of the mutual promises and agreements, covenants and conditions herein contained, the parties hereto have agreed, and by these presents do agree, as follows: Addresses of Parties: The correct mailing address of Licensor is #135, P. O. Box 93402, Colleyville, Texas 76034, but with copy of all mail to Licensor in connection with this License to be sent to Shannon Jones, Jr., Passman & Jones, 1201 Elm Street, Suite 2500, Dallas, Texas 75270. The correct mailing address of Licensee is City Manager, City of Lubbock, P. O. Box 2000, Lubbock, Texas 79457. 2. Grant of License and Consent: A. Scope: This License and Consent covers the right, for a period beginning on the date set forth hereinabove and continuing through February 3, 2009, for Licensee to display, in one or more facilities owned or leased by the City of Lubbock, Texas, and, temporarily, at Texas Tech University Museum (with the Texas Tech LICENSE AGREEMENT — MARIA ELENA HOLLY Page 3 University Museum's agreeing in writing in advance to abide by the terms of this License Agreement during the temporary period of such display) the aforementioned Buddy Holly memorabilia for historical and memorial purposes, which display may be accompanied by incidental sales of souvenirs and related items. Licensee shall also have the right to name one or more public facilities in the City of Lubbock, Texas, in honor of Buddy Holly including appropriate signage as contemplated in Exhibit A hereto and which shall be created in good taste. In addition, Licensee shall also have the right to provide flyers or other printed materials, radio, video or television coverage, placed, displayed, produced or published by Licensee itself or by others at the direction of Licensee, describing, depicting or portraying through the above-described media the display or the aforementioned public facilities bearing the name of Buddy Holly, and to refer to such display or public facilities in any advertising materials utilized in any media promoting the City of Lubbock for convention, tourism and entertainment purposes. A list of permitted convention, tourism and entertainment advertising uses by the Licensee, which list shall not be deemed to be comprehensive, but which shall be by way of example only and not limitation, is attached hereto as Exhibit A and made a part hereof for all intents and purposes. If any commercial enterprise that is not City -owned, such as hotels, motels, restaurants, banks or other commercial ventures also desires to place an ad in any advertising media, and if the name of Buddy Holly is howsoever utilized in such advertising, then the commercial venturer or venturers must, in each instance, procure a License from Licensor upon mutually agreeable terms as a condition precedent the publication of such advertising. This License to display memorabilia or display or sell LICENSE AGREEMENT — MARIA ELENA HOLLY Page 4 souvenir items is limited to public facilities owned or leased by Licensee within the municipal limits of the City of Lubbock, Texas, or at such other locations as may be specifically approved in writing in advance by Licensor, such as, by way of example but not limitation, a traveling display in other cities promoting Buddy Holly and the City of Lubbock. It is expressly agreed and understood that, in any building bearing the name of Buddy Holly, a commercially sponsored enterprise utilizing the name of Buddy Holly in any way other than as part of the name of the facility must obtain the Licensor's prior written consent and a separate License Agreement and provision for royalty payments. By way of example, where a concert held in a Buddy Holly Arena owned or leased by Licensee, with admission charge made, and with Buddy Holly's name used by the entertainer, in connection therewith such as a "Buddy Holly Jamboree", a separate License Agreement would be required between Licensor and the entertainer or promoter and a royalty would be due and payable to Licensor thereunder. On the other hand, if an entertainer, a "Joe Smith", were to have a concert in a Buddy Holly Arena owned or leased by Licensee with no mention made of Buddy Holly in any advertising (other than mention of the fact that the performance to be held in the Buddy Holly Arena) and with all advertising pertaining to and only to "Joe Smith", then no separate License with the entertainer would be required and no royalty would be payable to Licensor in connection therewith. Licensee is further granted the right and License to sell, in connection with the display of Buddy Holly memorabilia in any public facility of Licensee, such items as key chains, T-shirts, postcards and posters depicting Buddy Holly. It is expressly understood that no person other than Buddy Holly is to be depicted on such memorabilia without LICENSE AGREEMENT — MARIA ELENA HOLLY Page 5 Licensee's having obtained the express written consent in advance of such other person or persons, as, for example, members of The Crickets; however, such memorabilia may depict the City of Lubbock or City of Lubbock public facilities that are now or hereafter may be named in honor of Buddy Holly. 3. Photographs and Si ns: Subject to the rights granted to and the obligations imposed upon the Licensee in numbered paragraph 2 of this Agreement, Licensee hereby agrees to post conspicuous signs in, around, and/or leading to any display of memorabilia of Buddy Holly, stating that PHOTOGRAPHING OR VIDEO TAPING OF ANY PART OF THIS DISPLAY OF BUDDY HOLLY MEMORABILIA IS PROHIBITED, AND THE SALE OR PUBLICATION OF ANY PHOTOGRAPHS OR VIDEO TAPES OR OTHER REPRODUCTIONS OF ALL OR ANY PART OF THIS MEMORABILIA IS PROHIBITED BY LAW. 4. Quality Control: Licensee acknowledges that if any articles manufactured or sold under this License (merchandise) were of inferior quality in design, material or workmanship, the substantial goodwill which Licensor has built up and now possesses in the name would be impaired. Accordingly, it is an essential condition of this License, and Licensee hereby covenants and agrees to use its best efforts to ensure that the articles covered by this LICENSE AGREEMENT (articles of merchandise) shall be of high standard and of such quality, style and appearance as shall be reasonably adequate and suited to their exploitation to the best advantage and to the protection and enhancement of the Name and the goodwill pertaining thereto; that such articles shall be manufactured, sold and distributed in accordance with all applicable Federal, State, and local laws; and that the policy of sale, distribution and/or exploitation by Licensee shall be of high LICENSE AGREEMENT — MARIA ELENA HOLLY Page 6 standard and to the best advantage of the Name, and that the same shall in no manner reflect adversely upon the good name of Licensor, of any of Licensoes programs, or of the Name. True samples of each item of contemplated merchandise shall be submitted to Licensor, who shall have ten (10) days after receipt to approve or disapprove the item and if Licensor shall disapprove an item, Licensor shall state the reason for such disapproval in writing. If the Licensor does not respond to such submission within the stated time period, the item will be deemed to be approved. In the event the Licensee's vendor holds a license from Licensor, the product may be sold by the Licensee without product approval by Licensor or royalty payment to Licensor by Licensee. It is not presently contemplated by Licensor nor by Licensee, nor is it agreed that any merchandise covered by this License shall include any product such as food or drink, intended for human consumption, or soap, shampoo, or a similar product. All T-shirts sold by Licensee under this License shall be of 50% cotton/501/6 polyester construction and preshrunk. Territory: It being in the best interest of both the Licensor and the Licensee to draw visitors from the largest area possible, except as expressly otherwise provided herein, this License shall therefore apply to the City of Lubbock, Texas, and all relevant market areas, including state, national and international markets. It also shall include radio and television advertising in the radio and television relevant market areas. 6. Approval: Licensee has been advised and expressly recognizes that, heretofore, Licensor has granted certain rights to Innovisions, Inc., as the producer of the motion picture ultimately named "The Buddy Holly Story" and others. Subject to the rights granted to and the obligations imposed upon the Licensee in numbered paragraph 2 LICENSE AGREEMENT — MARIA ELENA HOLLY Page of this Agreement, this License does not include, and expressly excludes, the right to make video tapes, television tapes, or motion picture films for portrayal in any media. 7. Disclaimers by Licensor: Licensor disclaims exclusivity in rights to and copyrights on the music authored, composed, and/or performed by Buddy Holly. Licensee expressly agrees that the Licensee shall, in connection with the performance of Buddy Holly music in any City -owned or leased facility, see that the place of performance is a licensee of the applicable performing rights societies, such as ASCAP, BMI and SESAC, and shall and does hereby indemnify and hold the Licensor harmless, of, from and against any claim on the part of any copyright holder or performing rights society that the performance of any such live concert is violative of the rights of any such claimants. 8. Royalty and Term of Payment: A. Rate: Licensee shall pay to Licensor a royalty of ten percent (10%) of gross sales (exclusive of sales taxes) on each souvenir item sold pursuant to the provisions of this Agreement. B. Time of Payment: The royalty provided for herein shall be paid to Licensor by Licensee quarterly in Dallas County, Texas, within fifteen (15) days after the end of each calendar quarter, with quarters being deemed to end on March 31, June 30, September 30 and December 31 of each year. Licensee shall provide, concurrently with each royalty payment, an accounting of the merchandise sold, the unit price, and the resulting total sum realized, exclusive of sales taxes. In any quarter in which there are no sales, a negative report that no sales were effected shall be made, reflecting that no royalty is due and payable to Licensor. LICENSE AGREEMENT — MARIA ELENA HOLLY Page 9 C. Attorneys' Fees: Licensee shall further pay, as additional compensation to Licensor hereunder and in addition to all of the sums specified hereinabove, the reasonable attorneys' fees of Licensor's attorney in connection with the exchange of correspondence leading up to and the preparation and granting of this License and the preparation and review of further correspondence and royalty statements and payments in connection herewith and hereunder, which fees shall not exceed the reasonable fees charged by Licensor's attorney as "standard hourly rates" to all clients; and Licensee shall further pay said attorney's out-of-pocket expenses, including but not limited to photocopy expense, long distance charges, and special (such as Federal Express) mail charges. Such fees shall be payable upon presentation of statements to Licensee from Licensor's attorney, which may be rendered in one or more statements, depending upon the time frame in which the work occurs, both prior to and subsequent to the execution of this license agreement. hereto. D. Minimum Royalties. No minimum annual royalty is applicable 9. Limited Grant: A. No Exclusivity: The Licensor has fully explained to the Licensee that the Licensor is not possessed of a right to grant exclusivity by the granting of this License, and the Licensee so understands. By execution hereof, Licensor indemnifies and holds the City harmless of, from and against any claim that Licensor has hereby authorized the City to exercise any right or privilege that the Licensor has heretofore granted exclusively to another person or entity. The recovery of any damages from Licensor LICENSE AGREEMENT — MARIA ELENA HOLLY Page 9 under this provision shall be limited to an amount not exceeding future royalties due Licensor under this license agreement. B. Performer's Name and/or Likeness: The name and/or likeness of any performer portraying, live, Buddy Holly, shall not be and is not included in the definition of "Name", and the use thereof is not licensed herein, nor does the Licensor claim any rights therein except those expressly set forth herein. 10. odwill: Licensee recognizes the great value of the goodwill associated with the Name and acknowledges that the Name and all rights therein and goodwill pertaining thereto, subject only to the grant of other licenses heretofore or hereafter granted by the Licensor, belong exclusively to the Licensor, and that the Name has a secondary meaning in the mind of the public. 11. Licensor's Title and Protection of Licensor's Rights: Licensee agrees that it shall not, during the term of this LICENSE AGREEMENT or thereafter, attack the title or any rights of Licensor or Licensor's grantors in and to the Name or attack the validity of this License. 12. Records: Licensee agrees to keep accurate books of account and records covering all transactions relating to the License hereby granted, and Licensor and Licensor's duly authorized representatives shall have the right at all reasonable times during normal business hours to examine said books of account and records and all other documents and material in the possession of or under the control of the Licensee with respect to the subject matter and terms of this LICENSE AGREEMENT. 13. Indemni : Licensee hereby indemnifies Licensor against any and all claims and suits, damages, judgments, attorney's fees and costs arising out of any claim or lawsuit LICENSE AGREEN E 17 — MARIA ELENA HOLLY Page 10 brought by any third party as a result of Licensee's display of Buddy Holly memorabilia in its public facilities or use of Buddy Holly's name in and on and in connection with the sale of any souvenirs or other items promoting the name of Buddy Holly or Licensee's facilities bearing the name of Buddy Holly other than a proven claim of superior or prior license granted by Licensor to another person or entity. 14. Public Appearances by Maria Elena Holly: Licensee may desire that Licensor be present at the formal opening of any Buddy Holly display or exhibit, or at any ceremony naming any City of Lubbock facility for Buddy Holly. If the Licensee desires that Licensor be present for any of said purposes, Licensee shall notify Licensor, as well in advance as possible, of the date of such desired public appearance, sending the notice directly to Licensor's home address with copy to Licensor's attorney named herein. Her health permitting, and in the absence of a prior commitment, Licensor agrees, for a reasonable and mutually agreeable appearance fee, to appear and to be present at such ceremony. In addition to an agreed appearance fee, Licensee shall provide to Licensor, in advance, a round-trip airline ticket from Dallas, Texas (either D/FW Airport or Love Field, as Licensor may direct) and Lubbock, Texas, on the best available class of air travel that flies non-stop from the Dallas area to Lubbock, together with ground transportation with a driver during the time that Licensor is at the airport and in and around Lubbock, Texas, plus ground transportation from Licensor's home to Love Field if the flight emanates out of Love Field, and will provide all of Licensoes lodging and meal costs in and around Lubbock, Texas, without any expense whatsoever to Licensor, the lodging accommodations to be first-class accommodations at a hotel in Lubbock, and with all of Licensor's incidental expenses to be borne, as well, in connection with Licenwes LICENSE AGREEMENT — MARIA ELENA HOLLY Page 11 appearance. If Licensoes appearance is desired by the promoter at a commercially - sponsored event, such as a concert, Licensor and Licensee agree that Licensor's appearance shall be subject to a separate License Agreement which only Licensor can grant. 15. No Joint Venture or Partnership: Nothing herein contained shall be construed to place the parties in the relation or partners or joint venturers, and Licensee shall have no power to obligate or bind Licensor in any manner whatsoever. 16. Assimment or Sublicensing: The Licensee shall have the right to perform all its rights and duties under this Agreement by means of one or more public non-profit corporations operating under the direction and control of Licensee under its governmental authority. The Licensor shall have the right to assign, mortgage or otherwise encumber the Licensoes rights or duties hereunder, but such act shall not be binding on the Licensee unless and until fifteen (15) days after the Licensee is sent written notice thereof. 17. Applicable Law: This Agreement is made and shall be construed under the laws of the State of Texas, particularly Chapter 26 of the Texas Property Code, and the laws of the United States of America. LICENSE AGREEMENT — MARIA ELENA HOLLY Page 12 18. Hscellaneous Provisions: None of the terms of this LICENSE AGREEMENT can be waived or modified except by an express agreement in writing, signed by Licensor and Licensee. There are no representations, promises, warranties, covenants or undertakings other than those contained in this LICENSE AGREEMENT, which represents the entire understanding of the parties. The failure of either party hereto to enforce, or the delay by either party in enforcing, any of that party's rights under this LICENSE AGREEMENT shall not be deemed a continuing waiver or a modification thereof, and either party, may, within the time provided by applicable law, commence appropriate legal proceedings to enforce any or all of such rights. No person, firm, group or corporation (whether included in the Name or otherwise) other than the Licensee and Licensor, shall be deemed to have acquired any rights by reason of anything contained in this LICENSE AGREEMENT. While this LICENSE AGREEMENT may be executed in multiple copies, each fully executed copy shall for all purposes be deemed to be the original hereof, but all of such copies shall be deemed to constitute but one Agreement. While it is recognized that Licensee has limited control over promotion of events at its facilities by commercial promoters and entertainers since Licensee only provides a venue for such events, nevertheless Licensee shall not authorize nor negligently permit the sale of Buddy Holly souvenir items of any kind or character on its owned or leased premises unless the vendor holds a separate License from the Licensor, or is operating under the License herein granted to the Licensee, with the latter sales made under this License being subject to royalty and accounting to Licensor, as required herein. Licensee shall inquire as to whether all artists and vendors intend to use the name Buddy Holly and, if the answer is LICENSE AGREEMENT — MARIA ELENA HOLLY Page 13 yes, require such artist or vendor to provide a copy of a license from Licensor for such use of the name. Licensee shall not attempt to obtain any trademark or service mark registration of a logo of a facility containing or pertinent to Buddy Holly's name. However, Licensee shall have the right to obtain a trademark or service mark registration containing or pertinent to Buddy Holly's name as such trademark or service mark would identify or depict a public facility owned or operated by Licensee which bears the name of Buddy Holly so long as the application and registration shall disclaim protection of the name Buddy Holly. 19. Notices. All notices required or permitted by this Agreement shall be given or made as follows: If to Licensor: Mrs. Maria Elena Holly # 13 5 P. O. Box 93402 Colleyville, Texas 76034 With Copy to: Shannon Jones, Jr., Attorney 1201 Elm Street, Suite 2500 Dallas, Texas 75270 If to Licensee: City Manager City of Lubbock P. O. Box 2000 Lubbock, Texas 79457 20. Not a debt of the City. As required by the Texas Constitution, this License Agreement does not constitute and shall not be construed as being a "debt" of the City within the meaning of any constitutional or statutory provision, and all obligations of the City payable hereunder are payable solely from the sale of items licensed hereunder or from other current revenues lawfully available to the City. LICENSE AGREEMENT — MARIA ELENA HOLLY Page 14 IN WITNESS WHEREOF, the parties hereto have caused this instrument to be duly executed as of the day and year first above written. W„_1-147 DAVID R. I;GSTON,YOR ATTEST: VV Betty M. Johnson, City Secretary APPROVU,D AS TO CONTENT: / " / &I , T-- Direct ro ofof sure LICENSOR: MARIA ELENA HOLLY SHANNON JONES, JR., Attorney for Maria Elena Holly APPROVED AS TO FORM: nald G. Vandiver, First Assistant City Attorney DGV:da/dgv14A HOLLY.doc rev. September 20, 1994 LICENSE AGREEMENT — MARIA ELENA HOLLY Page 15 EXHIBIT A List of Potential Convention and Tourism Uses of the Name 'Buddy Holly' by the City of Lubbock as part of a facility name only: FACILITY SPECIFIC: Facility brocures Advertising placed by facility, both electronic and print Examples: Television Radio Trade Publications EX: BillBoard Agent and Manager Aud-Arena Guide Performance Trade Show Weekly Pollstar Amusement Business IAAM Directory and Publications Grammy's Program CMA Awards Program American Music Awards Program TSAE Directory and publications Chamber of Commerce publications Newcomers Guide National Association of Sports Commissions Directory EOMI Directory Cavalcade of Acts and Attractions Directory Other facility Directories Texas Highways Texas Monthly Telephone Directories Local Newspapers Area Newspapers Exhibit Booth Display to promote use of facility Other Local, National, and International Magazines, newspapers, and printed publications Schedule of Events Letterhead Stationary/Envelopes Business Cards Outdoor/Indoor Electronic Message Centers Signage on the facility itself (new arena) Interior signage Employee Uniforms Employee nametags Event Programs Dedication Plaque Critic reviews of performances in print publications Invitations to performances, receptions, or events Tickets printed to events/Ticket Envelopes Notepads Identification of facility equipment Banners, both interior and exterior Advertising placed by the Convention and Visitor's Bureau on behalf of the City of Lubbock, both electronic and print advertising. Examples would include brochures, Lubbock Travel Guide, Group Tour Manual, Meeting Planners Guide, etc. Advertising placed by Promoters/Lessees. Facility has no control over which media and/or publications that Promoters/Lessees use to advertise an event, using the name of the facility as the event location. Would include both electronic and print advertising, posters, flyers, tickets, or anything that would identify the name of the facility as the location of the event. Promoters/Lessees will be required to obtain their own license agreements with Mrs. Holly as needed for promotion or souvenir sales. MEMORABILIA COLLECTION: Electronic and Print advertising by City of Lubbock or Visitors and Convention Bureau in travel, tourism, and special interest publications, not including photos of the actual collection. Ex: Texas Monthly Ladies Home Journal Woman's Day Better Homes and Gardens Midwest Living Reader's Digest Adventure Road West Texas Travel Guide Southwest Spirit Rand McNally Road Atlas Other airline on -board publications Lubbock Travel Guide Group Tour Manual Meeting Planner's Guide Signage located at the collection location LICENSE AGREEMENT THE STATE OF TEXAS § Resolution No. 4614 Item #21 September 22, 1994 § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS § THIS LICENSE AGREEMENT made as of the 22nd day of September 1994, between MARIA ELENA HOLLY, ("Licensor"), and THE CITY OF LUBBOCK, TEXAS, (Licensee"): WITNESSETH: WHEREAS, Licensor has rights in and to the valuable name, character, likeness, and, in certain instances, visual representation of Charles Hardin Holley, professionally known as Buddy Holly, who died February 3, 1959 (which name, character, likeness and visual representation and/or each of the individual components thereof shall hereinafter be called the "Name"); and WHEREAS, Licensor has, over the years, protected and defended the Name from commercial utilization and defended and protected the rights of publicity incident to the Name, as those rights have heretofore been defined in common law; and WHEREAS, effective September 1, 1987, rights of publicity and the descendibility thereof were codified in Texas when H.B. 834 was passed by both Houses of the Texas Legislature, signed into law by the Governor of Texas, and enacted as Chapter 26 of Texas Property Code; and WHEREAS, on September 29, 1987, Licensor filed in the Office of the Secretary of State of the State of Texas REGISTRATION OF CLAIM under Section 26.006 of said Property Code, reflecting that Licensor, as Claimant, was and is the surviving spouse of Charles Hardin Holley (BUDDY HOLLY), and thus statutorily perfected the rights of Licensor in and to the Name; and WHEREAS, Licensee is a Texas Home Rule Municipal Corporation, organized in 1917; and WHEREAS, Licensee is in the process of obtaining a collection of Buddy Holly memorabilia with the intent of enhancing the acclaim and knowledge of the contributions of Buddy Holly to the world of music, with particular emphasis on his roots in Lubbock and West Texas, by means of displaying said memorabilia in City of Lubbock (Licensee) facilities; and WHEREAS, Licensor and Licensee recognize that there is a mutuality of interest between them in preserving and enhancing the public's awareness of the role of Buddy Holly and the Lubbock area in the musical history of Texas, the United States of America and the world; and WHEREAS, Licensee very much desires to be able to keep the aforementioned Buddy Holly memorabilia in Lubbock, rather than to have it be sold at international auction to bidders; and WHEREAS, the Buddy Holly memorabilia plays a very important role in Licensee's being able to demonstrate and promote the musical heritage of Lubbock and the South Plains and in preserving and enhancing the reputation of Buddy Holly; and WHEREAS, Licensee also may desire to promote the image and memory of Buddy Holly by naming one or more public buildings or other facilities in his honor from time to time; and LICENSE AGREEMENT — MARIA ELENA HOLLY Page 2 WHEREAS, the Licensee believes that having the Buddy Holly memorabilia as a display attraction for visitors to the City of Lubbock will enhance both the City's position with regard to tourism and convention activities, and, as well, will promote the image and memory of Buddy Holly; and WHEREAS, Licensee recognizes that the written consent of Licensor is required before the Licensee may use the name, voice, signature, photograph or likeness of Buddy Holly in memorabilia display and otherwise as herein contemplated, pursuant to Section 26.011 of the Texas Property Code; and WHEREAS, Licensee desires to utilize the Name upon and in connection with, and only upon and in connection with the matters set forth hereinbelow: NOW, THEREFORE, in consideration of the mutual promises and agreements, covenants and conditions herein contained, the parties hereto have agreed, and by these presents do agree, as follows: 1. Addresses of Parties: The correct mailing address of Licensor is #135, P. O. Box 93402, Colleyville, Texas 76034, but with copy of all mail to Licensor in connection with this License to be sent to Shannon Jones, Jr., Passman & Jones, 1201 Elm Street, Suite 2500, Dallas, Texas 75270. The correct mailing address of Licensee is City Manager, City of Lubbock, P. O. Box 2000, Lubbock, Texas 79457. 2. Grant of License and Consent: A. Scope: This License and Consent covers the right, for a period beginning on the date set forth hereinabove and continuing through February 3, 2009, for Licensee to display, in one or more facilities owned or leased by the City of Lubbock, LICENSE AGREEMENT — MARIA ELENA HOLLY Page 3 Texas, and, temporarily, at Texas Tech University Museum (with the Texas Tech University Museum's agreeing in writing in advance to abide by the terms of this License Agreement during the temporary period of such display) the aforementioned Buddy Holly memorabilia for historical and memorial purposes, which display may be accompanied by incidental sales of souvenirs and related items. Licensee shall also have the right to name one or more public facilities in the City of Lubbock, Texas, in honor of Buddy Holly including appropriate signage as contemplated in Exhibit A hereto and which shall be created in good taste. In addition, Licensee shall also have the right to provide flyers or other printed materials, radio, video or television coverage, placed, displayed, produced or published by Licensee itself or by others at the direction of Licensee, describing, depicting or portraying through the above-described media the display or the aforementioned public facilities bearing the name of Buddy Holly, and to refer to such display or public facilities in any advertising materials utilized in any media promoting the City of Lubbock for convention, tourism and entertainment purposes. A list of permitted convention, tourism and entertainment advertising uses by the Licensee, which list shall not be deemed to be comprehensive, but which shall be by way of example only and not limitation, is attached hereto as Exhibit A and made a part hereof for all intents and purposes. If any commercial enterprise that is not City -owned, such as hotels, motels, restaurants, banks or other commercial ventures also desires to place an ad in any advertising media, and if the name of Buddy Holly is howsoever utilized in such advertising, then the commercial venturer or venturers must, in each instance, procure a License from Licensor upon mutually agreeable terms as a condition precedent the LICENSE AGREEMENT — MARIA ELENA HOLLY Page 4 publication of such advertising. This License to display memorabilia or display or sell souvenir items is limited to public facilities owned or leased by Licensee within the municipal limits of the City of Lubbock, Texas, or at such other locations as may be specifically approved in writing in advance by Licensor, such as, by way of example but not limitation, a traveling display in other cities promoting Buddy Holly and the City of Lubbock. It is expressly agreed and understood that, in any building bearing the name of Buddy Holly, a commercially sponsored enterprise utilizing the name of Buddy Holly in any way other than as part of the name of the facility must obtain the Licensor's prior written consent and a separate License Agreement and provision for royalty payments. By way of example, where a concert held in a Buddy Holly Arena owned or leased by Licensee, with admission charge made, and with Buddy Holly's name used by the entertainer, in connection therewith such as a "Buddy Holly Jamboree", a separate License Agreement would be required between Licensor and the entertainer or promoter and a royalty would be due and payable to Licensor thereunder. On the other hand, if an entertainer, a "Joe Smith", were to have a concert in a Buddy Holly Arena owned or leased by Licensee with no mention made of Buddy Holly in any advertising (other than mention of the fact that the performance to be held in the Buddy Holly Arena) and with all advertising pertaining to and only to "Joe Smith", then no separate License with the entertainer would be required and no royalty would be payable to Licensor in connection therewith. Licensee is further granted the right and License to sell, in connection with the display of Buddy Holly memorabilia in any public facility of Licensee, such items as key chains, T-shirts, postcards and posters depicting Buddy Holly. It is expressly understood LICENSE AGREEMENT — MARIA ELENA HOLLY Page 5 that no person other than Buddy Holly is to be depicted on such memorabilia without Licensee's having obtained the express written consent in advance of such other person or persons, as, for example, members of The Crickets; however, such memorabilia may depict the City of Lubbock or City of Lubbock public facilities that are now or hereafter may be named in honor of Buddy Holly. 3. Photographs and Signs: Subject to the rights granted to and the obligations imposed upon the Licensee in numbered paragraph 2 of this Agreement, Licensee hereby agrees to post conspicuous signs in, around, and/or leading to any display of memorabilia of Buddy Holly, stating that PHOTOGRAPHING OR VIDEO TAPING OF ANY PART OF THIS DISPLAY OF BUDDY HOLLY MEMORABILIA IS PROHIBITED, AND THE SALE OR PUBLICATION OF ANY PHOTOGRAPHS OR VIDEO TAPES OR OTHER REPRODUCTIONS OF ALL OR ANY PART OF THIS MEMORABILIA IS PROHIBITED BY LAW. 4. Quality Control: Licensee acknowledges that if any articles manufactured or sold under this License (merchandise) were of inferior quality in design, material or workmanship, the substantial goodwill which Licensor has built up and now possesses in the name would be impaired. Accordingly, it is an essential condition of this License, and Licensee hereby covenants and agrees to use its best efforts to ensure that the articles covered by this LICENSE AGREEMENT (articles of merchandise) shall be of high standard and of such quality, style and appearance as shall be reasonably adequate and suited to their exploitation to the best advantage and to the protection and enhancement of the Name and the goodwill pertaining thereto; that such articles shall be manufactured, LICENSE AGREEMENT — MARIA ELENA HOLLY Page 6 sold and distributed in accordance with all applicable Federal, State, and local laws; and that the policy of sale, distribution and/or exploitation by Licensee shall be of high standard and to the best advantage of the Name, and that the same shall in no manner reflect adversely upon the good name of Licensor, of any of Licensor's programs, or of the Name. True samples of each item of contemplated merchandise shall be submitted to Licensor, who shall have ten (10) days after receipt to approve or disapprove the item and if Licensor shall disapprove an item, Licensor shall state the reason for such disapproval in writing. If the Licensor does not respond to such submission within the stated time period, the item will be deemed to be approved. In the event the Licensee's vendor holds a license from Licensor, the product may be sold by the Licensee without product approval by Licensor or royalty payment to Licensor by Licensee. It is not presently contemplated by Licensor nor by Licensee, nor is it agreed that any merchandise covered by this License shall include any product such as food or drink, intended for human consumption, or soap, shampoo, or a similar product. All T-shirts sold by Licensee under this License shall be of 50% cotton/50% polyester construction and preshrunk. 5. Territory: It being in the best interest of both the Licensor and the Licensee to draw visitors from the largest area possible, except as expressly otherwise provided herein, this License shall therefore apply to the City of Lubbock, Texas, and all relevant market areas, including state, national and international markets. It also shall include radio and television advertising in the radio and television relevant market areas. 6. Approval: Licensee has been advised and expressly recognizes that, heretofore, Licensor has granted certain rights to Innovisions, Inc., as the producer of the LICENSE AGREEMENT — MARIA ELENA HOLLY Page 7 motion picture ultimately named "The Buddy Holly Story" and others. Subject to the rights granted to and the obligations imposed upon the Licensee in numbered paragraph 2 of this Agreement, this License does not include, and expressly excludes, the right to make video tapes, television tapes, or motion picture films for portrayal in any media. 7. Disclaimers by Licensor: Licensor disclaims exclusivity in rights to and copyrights on the music authored, composed, and/or performed by Buddy Holly. Licensee expressly agrees that the Licensee shall, in connection with the performance of Buddy Holly music in any City -owned or leased facility, see that the place of performance is a licensee of the applicable performing rights societies, such as ASCAP, BMI and SESAC, and shall and does hereby indemnify and hold the Licensor harmless, of, from and against any claim on the part of any copyright holder or performing rights society that the performance of any such live concert is violative of the rights of any such claimants. 8. Royalty and Term of Payment: A. Rate: Licensee shall pay to Licensor a royalty of ten percent (10%) of gross sales (exclusive of sales taxes) on each souvenir item sold pursuant to the provisions of this Agreement. B. Time of Payment: The royalty provided for herein shall be paid to Licensor by Licensee quarterly in Dallas County, Texas, within fifteen (15) days after the end of each calendar quarter, with quarters being deemed to end on March 31, June 30, September 30 and December 31 of each year. Licensee shall provide, concurrently with each royalty payment, an accounting of the merchandise sold, the unit price, and the resulting total sum realized, exclusive of sales taxes. In any quarter in which there are no LICENSE AGREEMENT — MARIA ELENA HOLLY Page 8 sales, a negative report that no sales were effected shall be made, reflecting that no royalty is due and payable to Licensor. C. Attorneys' Fees: Licensee shall further pay, as additional compensation to Licensor hereunder and in addition to all of the sums specified hereinabove, the reasonable attorneys' fees of Licensor's attorney in connection with the exchange of correspondence leading up to and the preparation and granting of this License and the preparation and review of further correspondence and royalty statements and payments in connection herewith and hereunder, which fees shall not exceed the reasonable fees charged by Licensor's attorney as "standard hourly rates" to all clients; and Licensee shall further pay said attorney's out-of-pocket expenses, including but not limited to photocopy expense, long distance charges, and special (such as Federal Express) mail charges. Such fees shall be payable upon presentation of statements to Licensee from Licensor's attorney, which may be rendered in one or more statements, depending upon the time frame in which the work occurs, both prior to and subsequent to the execution of this license agreement. hereto. D. Minimum Royalties. No minimum annual royalty is applicable 9. Limited Grant: A. No Exclusivity: The Licensor has fully explained to the Licensee that the Licensor is not possessed of a right to grant exclusivity by the granting of this License, and the Licensee so understands. By execution hereof, Licensor indemnifies and holds the City harmless of, from and against any claim that Licensor has hereby authorized LICENSE AGREEMENT — MARIA ELENA HOLLY Page 9 the City to exercise any right or privilege that the Licensor has heretofore granted exclusively to another person or entity. The recovery of any damages from Licensor under this provision shall be limited to an amount not exceeding future royalties due Licensor under this license agreement. B. Performer's Name and/or Likeness: The name and/or likeness of any performer portraying, live, Buddy Holly, shall not be and is not included in the definition of "Name", and the use thereof is not licensed herein, nor does the Licensor claim any rights therein except those expressly set forth herein. 10. Goodwill: Licensee recognizes the great value of the goodwill associated with the Name and acknowledges that the Name and all rights therein and goodwill pertaining thereto, subject only to the grant of other licenses heretofore or hereafter granted by the Licensor, belong exclusively to the Licensor, and that the Name has a secondary meaning in the mind of the public. 11. Licensor's Title and Protection of Licensor's Rights: Licensee agrees that it shall not, during the term of this LICENSE AGREEMENT or thereafter, attack the title or any rights of Licensor or Licensor's grantors in and to the Name or attack the validity of this License. 12. Records: Licensee agrees to keep accurate books of account and records covering all transactions relating to the License hereby granted, and Licensor and Licensoes duly authorized representatives shall have the right at all reasonable times during normal business hours to examine said books of account and records LICENSE AGREEMENT — MARIA ELENA HOLLY Page 10 and all other documents and material in the possession of or under the control of the Licensee with respect to the subject matter and terms of this LICENSE AGREEMENT. 13. Indemni : Licensee hereby indemnifies Licensor against any and all claims and suits, damages, judgments, attorney's fees and costs arising out of any claim or lawsuit brought by any third party as a result of Licensee's display of Buddy Holly memorabilia in its public facilities or use of Buddy Holly's name in and on and in connection with the sale of any souvenirs or other items promoting the name of Buddy Holly or Licensee's facilities bearing the name of Buddy Holly other than a proven claim of superior or prior license granted by Licensor to another person or entity. 14. Public Appearances by Maria Elena Holly: Licensee may desire that Licensor be present at the formal opening of any Buddy Holly display or exhibit, or at any ceremony naming any City of Lubbock facility for Buddy Holly. If the Licensee desires that Licensor be present for any of said purposes, Licensee shall notify Licensor, as well in advance as possible, of the date of such desired public appearance, sending the notice directly to Licensor's home address with copy to Licensor's attorney named herein. Her health permitting, and in the absence of a prior commitment, Licensor agrees, for a reasonable and mutually agreeable appearance fee, to appear and to be present at such ceremony. In addition to an agreed appearance fee, Licensee shall provide to Licensor, in advance, a round-trip airline ticket from Dallas, Texas (either D/FW Airport or Love Field, as Licensor may direct) and Lubbock, Texas, on the best available class of air travel that flies non-stop from the Dallas area to Lubbock, together with ground transportation with a driver during the time that Licensor is at the airport and in and around Lubbock, LICENSE AGREEMENT — MARIA ELENA HOLLY Page 11 Texas, plus ground transportation from Licensor's home to Love Field if the flight emanates out of Love Field, and will provide all of Licensor's lodging and meal costs in and around Lubbock, Texas, without any expense whatsoever to Licensor, the lodging accommodations to be first-class accommodations at a hotel in Lubbock, and with all of Licensor's incidental expenses to be borne, as well, in connection with Licensor's appearance. If Licensor's appearance is desired by the promoter at a commercially - sponsored event, such as a concert, Licensor and Licensee agree that Licensor's appearance shall be subject to a separate License Agreement which only Licensor can grant. 15. No Joint Venture or Partnership: Nothing herein contained shall be construed to place the parties in the relation or partners or joint venturers, and Licensee shall have no power to obligate or bind Licensor in any manner whatsoever. 16. Assignment or Sublicensing: The Licensee shall have the right to perform all its rights and duties under this Agreement by means of one or more public non-profit corporations operating under the direction and control of Licensee under its governmental authority. The Licensor shall have the right to assign, mortgage or otherwise encumber the Licensor's rights or duties hereunder, but such act shall not be binding on the Licensee unless and until fifteen (15) days after the Licensee is sent written notice thereof. 17. Applicable Law: This Agreement is made and shall be construed under the laws of the State of Texas, particularly Chapter 26 of the Texas Property Code, and the laws of the United States of America. LICENSE AGREEMENT — MARIA ELENA HOLLY Page 12 18. Miscellaneous Provisions: None of the terms of this LICENSE AGREEMENT can be waived or modified except by an express agreement in writing, signed by Licensor and Licensee. There are no representations, promises, warranties, covenants or undertakings other than those contained in this LICENSE AGREEMENT, which represents the entire understanding of the parties. The failure of either party hereto to enforce, or the delay by either party in enforcing, any of that party's rights under this LICENSE AGREEMENT shall not be deemed a continuing waiver or a modification thereof, and either party, may, within the time provided by applicable law, commence appropriate legal proceedings to enforce any or all of such rights. No person, firm, group or corporation (whether included in the Name or otherwise) other than the Licensee and Licensor, shall be deemed to have acquired any rights by reason of anything contained in this LICENSE AGREEMENT. While this LICENSE AGREEMENT may be executed in multiple copies, each fully executed copy shall for all purposes be deemed to be the original hereof, but all of such copies shall be deemed to constitute but one Agreement. While it is recognized that Licensee has limited control over promotion of events at its facilities by commercial promoters and entertainers since Licensee only provides a venue for such events, nevertheless Licensee shall not authorize nor negligently permit the sale of Buddy Holly souvenir items of any kind or character on its owned or leased premises unless the vendor holds a separate License from the Licensor, or is operating under the License herein granted to the Licensee, with the latter sales made under this License being subject to royalty and accounting to Licensor, as required herein. Licensee shall inquire as to whether all artists and vendors intend to use the name Buddy Holly and, if the answer is LICENSE AGREEMENT — MARIA ELENA HOLLY Page 13 yes, require such artist or vendor to provide a copy of a license from Licensor for such use of the name. Licensee shall not attempt to obtain any trademark or service mark registration of a logo of a facility containing or pertinent to Buddy Holly's name. However, Licensee shall have the right to obtain a trademark or service mark registration containing or pertinent to Buddy Holly's name as such trademark or service mark would identify or depict a public facility owned or operated by Licensee which bears the name of Buddy Holly so long as the application and registration shall disclaim protection of the name Buddy Holly. 19. Notices. All notices required or permitted by this Agreement shall be given or made as follows: If to Licensor: Mrs. Maria Elena Holly #135 P. O. Box 93402 Colleyville, Texas 76034 With Copy to: Shannon Jones, Jr., Attorney 1201 Elm Street, Suite 2500 Dallas, Texas 75270 If to Licensee: City Manager City of Lubbock P. O. Box 2000 Lubbock, Texas79457 20. Not a debt of the City. As required by the Texas Constitution, this License Agreement does not constitute and shall not be construed as being a "debt" of the City within the meaning of any constitutional or statutory provision, and all obligations of the City payable hereunder are payable solely from the sale of items licensed hereunder or from other current revenues lawfully available to the City. LICENSE AGREEMENT -- MARIA ELENA HOLLY Page 14 IN WITNESS WHEREOF, the parties hereto have caused this instrument to be duly executed as of the day and year first above written. CITY MA ATTEST: Betty X4. John n, City Secretary TO CONTENT: Aliamus, APPROVED AS TO FORM: LICENSOR: G?/'c.c.aJ G7 ELENA AOLLY SHANNON 7O S, ., Attorney for Mari Ina Holly Culture/Leisure D nald & Vandiver, First Assistant City Attorney DGV:d&/dgv1/1A HOLLY.doc rev. September 20, 1994 LICENSE AGREEMENT — MARIA ELENA HOLLY Page 15 EXHIBIT A List of Potential Convention and Tourism Uses of the Name 'Buddy Holly' by the City of Lubbock as part of a facility name only: FACILITY SPECIFIC: Facility brocures Advertising placed by facility, both electronic and print Examples: Television Radio Trade Publications EX: BillBoard Agent and Manager Aud-Arena Guide Performance Trade Show Weekly Pollstar Amusement Business [AAM Directory and Publications Grammy's Program CMA Awards Program American Music Awards Program TSAE Directory and publications Chamber of Commerce publications Newcomers Guide National Association of Sports Commissions Directory EOMI Directory Cavalcade of Acts and Attractions Directory Other facility Directories Texas Highways Texas Monthly Telephone Directories Local Newspapers Area Newspapers Exhibit Booth Display to promote use of facility Other Local, National, and International Magazines, newspapers, and printed publications Schedule of Events Letterhead Stationary/Envelopes Business Cards Outdoor/Indoor Electronic Message Centers Signage on the facility itself (new arena) Interior signage Employee Uniforms Employee nametags Event Programs Dedication Plaque Critic reviews of performances in print publications Invitations to performances, receptions, or events Tickets printed to eventsJTicket Envelopes Notepads Identification of facility equipment Banners, both interior and exterior Advertising placed by the Convention and Visitor's Bureau on behalf of the City of Lubbock, both electronic and print advertising. Examples would include brochures, Lubbock Travel Guide, Group Tour Manual, Meeting Planners Guide, etc. Advertising placed by Promoters/Lessees, Facility has no control over which media and/or publications that Promoters/Lessees use to advertise an event, using the name of the facility as the event location. Would include both electronic and print advertising, posters, flyers, tickets, or anything that would identify the name of the facility as the location of the event. Promoters/Lessees will be required to obtain their own license agreements with Mrs. Holly as needed for promotion or souvenir sales. MEMORABILIA COLLECTION: Electronic and Print advertising by City of Lubbock or Visitors and Convention Bureau in travel, tourism, and special interest publications, not including photos of the actual collection. Ex: Texas Monthly Ladies Home Journal Woman's Day Better Homes and Gardens Midwest Living Reader's Digest Adventure Road West Texas Travel Guide Southwest Spirit Rand McNally Road Atlas Other airline on -board publications Lubbock Travel Guide Group Tour Manual Meeting Planner's Guide Signage located at the collection location