Common use of Reward Program Clause in Contracts

Reward Program. The parties acknowledge that Merchant currently operates the Gottschalks Reward Program pursuant to which Cardholders accrue points for net Card Sales and based on such points receive, from time to time, a rebate in the form of a coupon which may be used toward the purchase of Goods ("Preexisting Reward Program"). The parties agree that Household shall have no liability or obligation with respect to the obligations arising under, or the costs of the operation of, the Preexisting Reward Program prior to the Effective Date. Merchant shall defend, indemnify and hold harmless Household against any claims related to such liabilities or obligations. Household and Merchant agree as of the Effective Date to continue the operation of the Preexisting Reward Program (such program after the Effective Date, the "Reward Program"). Except as otherwise mutually agreed upon by the parties, the parties agree that the Reward Program will be substantially similar to the Preexisting Reward Program. From and after the Effective Date, Household shall be, except as set forth below, responsible for the management of the Reward Program and any costs associated with such Reward Program, excluding the amounts of any rewards, including without limitation, notification to Cardholders of the amount of points accrued. The management of the Reward Program shall include, without limitation, maintaining records of cumulative net card sales purchases by each Cardholder for purposes of determining the accrued Cardholder rewards. The amount of any coupons and the frequency of issuance shall be mutually agreed upon by Household and Merchant with respect to any new Reward Program. Coupons may be redeemed by Cardholders whose Accounts are in good standing. Merchant shall be responsible for the costs associated with the printing, production and mailing of the coupons. Any additional costs associated with the Reward Program shall be mutually agreed upon by the parties in advance of either party incurring such costs. Merchant shall indemnify and hold harmless Household against any claims related to the redemption or failure to redeem the coupons, or with respect to any Goods, or other related services purchased by a Cardholder utilizing such coupons.

Reward Program. The parties acknowledge that Merchant currently operates the Gottschalks Reward Program pursuant to which Cardholders accrue points for net Card Sales and based on such points receive, from time to time, a rebate in the form of a coupon which may be used toward the purchase of Goods ("“Preexisting Reward Program"”). The parties agree that Household shall have no liability or obligation with respect to the obligations arising under, or the costs of the operation of, the Preexisting Reward Program prior to the Effective Date. Merchant shall defend, indemnify and hold harmless Household against any claims related to such liabilities or obligations. Household and Merchant agree as of the Effective Date to continue the operation of the Preexisting Reward Program (such program after the Effective Date, the "“Reward Program"”). Except as otherwise mutually agreed upon by the parties, the parties agree that the Reward Program will be substantially similar to the Preexisting Reward Program. From and after the Effective Date, Household shall be, except as set forth below, responsible for the management of the Reward Program and any costs associated with such Reward Program, excluding the amounts of any rewards, including without limitation, notification to Cardholders of the amount of points accrued. The management of the Reward Program shall include, without limitation, maintaining records of cumulative net card sales purchases by each Cardholder for purposes of determining the accrued Cardholder rewards. The amount of any coupons and the frequency of issuance shall be mutually agreed upon by Household and Merchant with respect to any new Reward Program. Coupons may be redeemed by Cardholders whose Accounts are in good standing. Merchant shall be responsible for the costs associated with the printing, production and mailing of the coupons. Any additional costs associated with the Reward Program shall be mutually agreed upon by the parties in advance of either party incurring such costs. Merchant shall indemnify and hold harmless Household against any claims related to the redemption or failure to redeem the coupons, or with respect to any Goods, or other related services purchased by a Cardholder utilizing such coupons.