Health Net 2010 Annual Report Download - page 189

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Final Execution Copy
The Charges for all disaster recovery Services described in this Agreement as of the Effective Date are included in the
Production Support Charge and Applications Development Charge.
Supplier shall not be entitled to charge Health Net for any rework or other Services required as a result of Supplier’s failure to
perform in accordance with this Agreement.
Supplier shall invoice Health Net for Disengagement Services payable by Health Net as provided in Section 16.5(b) of the
Terms and Conditions.
Supplier shall invoice Health Net for taxes payable by Health Net as provided in Section 9.3 of the Terms and Conditions.
(a) The chart in this Section 7.8 sets forth a minimum revenue commitment for each Contract Year of the Term (each a
“Minimum Commitment”). To the extent the total Charges payable by Health Net under this Agreement in a Contract Year are less
than (or reasonably likely to be less than) the applicable Minimum Commitment for that Contract Year as a result of Health Net’s
decision to withdraw Services from this Agreement and either perform them itself or use a third party to perform them, then the
Parties shall work in good faith to equitably adjust the Charges to reflect the reduced volume of Services. If after working in good
faith the Parties are unable to agree on such an equitable adjustment, then Health Net, at its option, shall either (i) pay Supplier an
additional amount equal to the difference between (A) the applicable Minimum Commitment for such Contract Year and (B) the total
Charges paid by Health Net in such Contract Year, to the extent such difference results from Health Net’s decision to withdraw
Services from this Agreement and either perform them itself or use a third party to perform them; or (ii) terminate this Agreement for
convenience. The Minimum Commitment shall be prorated for partial Contract Years.
(b) If Health Net terminates Services in part pursuant to Section 16.1 of the Terms and Conditions, the Minimum Commitment
for each Contract Year shall be reduced by an amount proportionate to the percentage of the Charges attributable to the terminated
Services for each Contract Year as set forth as of the Effective Date.
(a) ***.
(b) Health Net shall reimburse Supplier for actual expenses for travel requested by Health Net in connection with an
Applications Development Product or Minor Enhancement; provided such
7.4 Disaster Recovery
7.5 Remedial Services
7.6 Disengagement Services
7.7 Taxes
7.8 Minimum Commitment
Contract Year
CY 1 CY 2 CY 3 CY 4 CY 5
Minimum Commitment
***
***
***
***
***
7.9 Travel
Schedule C (Char
g
es)
C - 10
Health Net / Co
g
nizant Confidential