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North American Network Operators Group Date Prev | Date Next | Date Index | Thread Index | Author Index | Historical RE: Exodus "locking down" customer gear due to bankruptcy?
10.1. Termination For Cause. Either party may terminate this Agreement
if: (i) the other party breaches any material term or condition of this
Agreement and fails to cure such breach within thirty (30) days after
receipt of written notice of the same, except in the case of failure to pay
fees, which must be cured within five (5) days after receipt of written
notice from Exodus; (ii) the other party becomes the subject of a voluntary
petition in bankruptcy or any voluntary proceeding relating to insolvency,
receivership, liquidation, or composition for the benefit of creditors; or
(iii) the other party becomes the subject of an involuntary petition in
bankruptcy or any involuntary proceeding relating to insolvency,
receivership, liquidation, or composition for the benefit of creditors, if
such petition or proceeding is not dismissed within sixty (60) days of
filing. Customer may also terminate this Agreement for cause in accordance
with the terms set forth in paragraph 5.2(f) ("Termination Option For
Chronic Problems") of this Agreement.
So unless they have changed the agreement or this was a special agreement
for us, then the clients can vacate.
Allen Baragar C.C.A.
Technical Analyst - Hosting
Bridgeway Software, Inc.
[email protected]
713.599.8361
-----Original Message-----
From: [email protected] [mailto:[email protected]]On Behalf Of
Christopher A. Woodfield
Sent: October 01, 2001 04:52 PM
To: [email protected]
Subject: Exodus "locking down" customer gear due to bankruptcy?
I've heard anecdotal evidence that Exodus has a clause buried in
at least some of their contracts that effectively prohibits the customer
from removing their equipment from their facilities in the event of
bankruptcy. Not the customer filing Ch. 7/11, but EXODUS going bankrupt.
Furthermore, it appears that as they have indeed filed Chapter 11, they are
actively enforcing this, at least at their Northern Virginia facility.
Has anyone else heard of this or been affected by this? Exodus customers,
can any of you look up your contracts and see if you can dig this up? I'm
interested in hearing the exact language, if it is indeed a standard
clause...I'm thinking there's no way that this could be enforceable,
although it would probably take a TRO to get them to let customers claim
their gear.
-Chris
---------------------------
Christopher A. Woodfield [email protected]
PGP Public Key: http://pgp.mit.edu:11371/pks/lookup?op=get&search=0xB887618B
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