Swarovski Brand Control AgreementStarting from October 1st 2021, anyone who wishes to purchase and use Swarovski components in their products or services must accept Swarovski's Brand Control Agreement. In general, the new rules are as follow: How to get approval to make purchase on Swarovski products?
This Brand Control Agreement for Customers (“Agreement”) is made by and between the Parties, namely the Swarovski company (hereafter “Swarovski”) and you (hereafter “Customer”). WHEREAS, Swarovski wishes to sell to Customer and/or Customer’s supplier certain Swarovski components (“Products”) and Customer and/or Customer’s supplier wishes to purchase such Products to incorporate Products into finished goods of/for Customer (but not to resellers of Products). WHEREAS, Swarovski wishes to avoid confusion in the marketplace as to the nature and branding of such Products. Furthermore, Swarovski wishes to limit the brand usage to ensure clarity in branding and communications in the resale of finished goods incorporating Products. Effective Date. The Effective Date will be the date of the acceptance of the Brand Control Agreement. In case customer has a branding agreement that will be terminated, the Brand Control Agreement will be effective only after the sell-off period which is specified in the termination letter. 1. Definitions. As used in this Agreement, the following terms have the following meanings: 1.1. “Brand” means Swarovski. 1.2. “Products” means those components and related goods from Swarovski marketed and sold by Swarovski irrespective whether they are already on Customer’s stock or will be purchased in future by Customer from Swarovski or a supplier of the Customer. 1.3. “Swarovski Family of Marks” means all Swarovski company names, the word and logo marks such as but not limited to SWAROVSKI, the Swarovski Swan Logo, the Crystals from Swarovski Ingredient Brand Logo, the Zirconia from Swarovski Ingredient Brand logo, the Gemstones from Swarovski Ingredient Brand Logo and the Made with Swarovski Created Diamonds Ingredient Brand logo, and all other SWAROVSKI-based and SWARO-based marks and names whether or not in use by Swarovski. 1.4. “Origin Indicators” means any indirect references to Swarovski or the origin of its Products like “Crystals from Austria”, “Austrian crystals”, “Made in Austria” or the like. 2. Customer Obligations. Customer acknowledges and agrees that Swarovski has a paramount interest in protecting its brand in the context of branding and marketing of the Products and finished goods made with the Products, in the clear presentation of the Brand, and in maintaining and protecting the reputation and quality image of Swarovski and the Swarovski Family of Marks. Customer accordingly agrees as follows: 2.1. No Use of SWAROVSKI Brand Identity. Customer agrees that the purchase of the Products does not entitle Customer, to use the Brand, designs, distinguishing slogans, designations, product designs, confidential information or any other intellectual property rights in any manner, including but not limited to the Brand, the Swarovski Family of Marks, or the use of Origin Indicators to customers and consumers. This Customer commitment not to use the Brand, the Swarovski Family of Marks or Origin Indicators includes any descriptive and/or nominative fair use of the Brand and the Swarovski Family of Marks (such as but not limited to “Product is embellished with crystals from Swarovski”, “Product is made with Austrian crystals”) in any kind of communication materials and for any kind of marketing activities and sales channels (such as but not limited to online, social media, print or other carrier material). 2.2. Order specifics. Swarovski will only accept Customer specific orders, which are made (i) directly by Customer or (ii) by Customer’s suppliers using a Global Sourcing Key (“GSK”) number issued by Swarovski, following the Customer’s proper completion and acceptance of Swarovski’s Brand Control Agreement for Customers. Customer agrees that Swarovski may provide Customer with a list of all Products purchased by supplier under the GSK number. 2.3. Customer shall inform third parties conducting the marketing, promotion and sale of any and all finished goods incorporating the Products that they shall make no direct (e.g., product embellished with Swarovski crystals) or indirect reference (e.g., Austrian supplier) to any Swarovski company and/or the Origin Indicators. Nor shall third parties make any reference to, or any use whatsoever of, “SWAROVSKI” or the Swarovski Family of Marks or any portion thereof without a written Agreement signed by authorized Officers of Swarovski. 2.4. In the event that Customer learns (i) of any unauthorized use of the Brand, Swarovski Family of Marks and/or the Origin Indicators, (ii) of any infringement or imitation or counterfeiting of the Brand, Swarovski Family of Marks or Products, Customer will promptly notify Swarovski thereof. 3. Breach or Default. Customer’s obligations set forth in this Agreement are necessary and reasonable in order to protect Swarovski, its business and its assets. Due to the value of the Swarovski Family of Marks, pure monetary damages would be inadequate and not sufficient to compensate Swarovski for any breach by Customer of its covenants and agreements set forth in this Agreement. Accordingly, Customer agrees and acknowledges that any such violation or threatened violation may cause irreparable injury to Swarovski and, in addition to any other remedies that may be available, in law, in equity or otherwise, Swarovski shall be entitled to obtain injunctive relief against the breach or threatened breach of this Agreement or the continuation of any such breach by Customer. Customer is also aware that any breach of this Agreement may entitle Swarovski to end the business relationship, and/or to cancel orders already confirmed, and/or to terminate the condition letter stipulating performance and partnership discounts and bonuses in whole or in part, irrespective whether the agreed on turnover has been reached, and to have removed the Swarovski Family of Marks or Origin Indicators from Customer products, packaging, online and offline materials, have the Products, Customer products and/or Customer materials recalled from the market if removal is not possible (altogether “Measures”). Customer shall indemnify and hold harmless Swarovski and its Affiliates from and against any claims, damages, costs and expenses (including reasonable attorney fees) arising out of or resulting from or in connection with the Measures. 4. No Waiver. The failure of any Party at any time or times to demand strict performance by any other Party of any of the terms, covenants or conditions of this Agreement shall not be construed as a continuing waiver or relinquishment thereof, and any Party may at any time demand strict performance by any other Party of the terms, covenants and conditions of this Agreement. 5. Term & Termination. This Agreement shall remain in effect as long as Customer purchases Products from Swarovski or Customer’s suppliers and uses the Products in its finished goods. This Agreement shall expire in the event that Customer permanently ceases to purchase Products and resell finished goods embellished with Products. In the event of a breach by either Party, this Agreement as well as any sales relationship between Swarovski and Customer (whether relating to the Products or other products of Swarovski), may be terminated immediately upon written notice. The obligations set out in clauses 1, 2, 3, and 7 of this Agreement shall survive the termination of this Agreement. 6. Execution and Effective Date. This Agreement will become effective on the date you accepted this Agreement. 7. Entire Agreement. This Agreement constitutes the entire Agreement between the Parties with respect to the subject matter hereof and supersedes all prior negotiations and agreements, whether written or oral, relating to such subject matter. This Agreement may not be altered, amended, modified, or otherwise changed in any respect except by an instrument in writing duly executed by authorized representatives of the Parties hereto. |