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EXHIBIT 10.6
CHAMPIONSHIP AUTO RACING TEAMS, INC.
OFFICIAL ORGANIZER/PROMOTER AGREEMENT
FOR MILWAUKEE, WISCONSIN
Draft as of: June 5, 1996
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CHAMPIONSHIP AUTO RACING TEAMS, INC.
OFFICIAL ORGANIZER/PROMOTER AGREEMENT
The undersigned hereby applies for the right to conduct an Indy Car World Series
race Competition sanctioned or co-sanctioned by Championship Auto Racing Teams,
Inc. ("CART"), upon the following terms and conditions. It is understood that
this is an application only until accepted and approved by CART in writing and
that this Competition shall not be advertised or communicated to the public,
press or any other media or business arrangement as having been approved by CART
until this application has been so approved and until an official sanction has
been granted by CART.
Track: Wisconsin State Park Speedway
Location: West Allis, Wisconsin
Organizer/Promoter: Xxxx Xxxx Racing Teams, Ltd.
Address: 000 Xxxxx Xxxxxxx 0000 X. Xxxxxxxxxx Xxxxxx
Xxxxxxxxxxxx, XX 00000 Xxxx Xxxxx, XX 00000
Telephone: (000) 000-0000 (000) 000-0000
Facsimile: (000) 000-0000 (000) 000-0000
Race Distance: 200 miles, 200 laps
Track Length and Type: 1-mile oval
Postponed Date: Next clear day
1. A. The term "Competition" as used herein shall include the annual
Indy Car race(s) designated hereinabove, as well as all time
trials, practice runs and rain or postponed dates related
thereto.
B. The term "Event" as used herein shall include the
Competition(s) as well as any other race(s), race-related
activities or any other activities associated with the
Competition(s), as approved by CART hereunder.
C. The terms "Dollars" and "$" refer to the lawful currency of
the United States of America.
D. References in this Agreement to "PPG" shall be to PPG
Industries, Inc., or any successor Series sponsor.
2. A. Subject to compliance with all the terms and conditions set
forth in this Agreement, Organizer/Promoter shall organize,
promote and conduct a CART Indy Car race Competition in the
following year(s): 1995, 1996, 1997 and 1998.
B. The date for the 1995 race will be June 4, 1995. The races to
be conducted in 1996, 1997 and 1998 will be scheduled for the
first Sunday in June (i.e., one week after the traditional
Indianapolis 500 mile race date),
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provided, however, that in the event the Indianapolis 500 mile
race is postponed due to rain, it may be necessary to
reschedule this Event in such year to a mutually agreeable
date. In addition, the parties recognize that the preferred
local start time for the race is 2:00 p.m. and agree that the
start time will not be scheduled for earlier than 1:00 p.m. if
television time is available on this date.
C. Organizer/Promoter agrees not to organize, promote, conduct,
authorize or permit the staging of any other major motor
racing event(s) at the track(s) designated hereinabove,
without the approval of CART, within two (2) weeks either
preceding or following any Competition hereunder.
D. The parties shall have a reciprocal right of first negotiation
for the extension of this Agreement beyond the Events covered
hereunder, through a reasonable period of good faith
negotiation. In addition, such right of first negotiation
shall specifically include a right of first refusal in the
event the terms and conditions offered to a prospective
replacement Organizer/Promoter or venue are less favorable to
CART than those offered to Organizer/Promoter.
3. The total Organization and Rights Fee payable for the 1995 Competition
shall be Seven Hundred Fifty Thousand ($750,000.00) Dollars and shall
be paid to CART as follows:
A. Fifteen (15%) percent, or One Hundred Twelve Thousand Five
Hundred ($112,500.00) Dollars by January 1, 1995.
B. Thirty-five (35%) percent, or Two Hundred Sixty Two Thousand
Five Hundred ($262,500.00) Dollars by April 1, 1995.
C. The balance due of Three Hundred Seventy Five Thousand
($375,000.00) Dollars not later than thirty (30) days prior to
the date of the race.
4. The total Organization and Rights Fee payable for the 1996 Competition
shall be Seven Hundred Fifty Thousand ($750,000.00) Dollars and shall
be paid to CART as follows:
A. Fifteen (15%) percent, or One Hundred Twelve Thousand Five
Hundred ($112,500.00) Dollars by January 1, 1996.
B. Thirty-five (35%) percent, or Two Hundred Sixty Two Thousand
Five Hundred ($262,500.00) Dollars by April 1, 1996.
C. The balance due of Three Hundred Seventy Five Thousand
($375,000.00) Dollars not later than thirty (30) days prior to
the date of the race.
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5. The total Organization and Rights Fee payable for the 1997 competition
shall be Eight Hundred Thousand ($800,000.00) Dollars and shall be paid
to CART as follows:
A. Fifteen (15%) percent, or One Hundred Twenty Thousand
($120,000.00) Dollars by January 1, 1997.
B. Thirty-five (35%) percent, or Two Hundred Eighty Thousand
($280,000.00) Dollars by April 1, 1997.
C. The balance due of Four Hundred Thousand ($400,000.00) Dollars
not later than thirty (30) days prior to the date of the race.
6. The total Organization and Rights Fee payable for the 1998 Competition
shall be Eight Hundred Fifty Thousand ($850,000.00) Dollars and shall
be paid to CART as follows:
A. Fifteen (15%) percent, or One Hundred Twenty Seven Thousand
Five Hundred ($127,500.00) Dollars by January 1, 1998.
B. Thirty-five (35%) percent, or Two Hundred Ninety Seven
Thousand Five Hundred ($297,500.00) Dollars by April 1, 1998.
C. The balance due of Four Hundred Twenty Five Thousand
($425,000.00) Dollars not later than thirty (30) days prior to
the date of the race.
7. Organizer/Promoter expressly understands and agrees that said
Organization and Rights Fees are intended to be net and are
non-refundable except as expressly provided in this Agreement. If said
Organization and Rights Fees are not paid to CART in the manner and by
the time provided above, CART shall have the option to declare this
Agreement terminated, upon a fifteen (15) day notice of
default/opportunity to cure, in which circumstance CART will be
relieved from any further liability or responsibility hereunder, and in
addition, Organizer/Promoter shall forthwith pay to CART and CART shall
be entitled to enforce collection of the total amount required under
this Agreement as liquidated damages and not as a penalty, together
with all costs incurred by CART in connection therewith, including
reasonable attorney fees, and interest at the rate of twelve (12%)
percent per annum.
8. Organizer/Promoter shall not be responsible for any purse distribution
whatsoever in respect to a Competition. CART must approve any and all
awards given in conjunction with a Competition and/or for the PPG Indy
Car World Series. Organizer/Promoter agrees to provide driver and
entrant/owner trophies in recognition and representative of the
achievements of at least the first three (3) finishing positions in
each Competition.
9. A. CART shall be responsible for providing not less than eighteen
(18) entrants for each Competition. If CART is unable to
provide eighteen (18) entrants for any Competition,
Organizer/Promoter shall have the right to
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cancel such Competition, providing that Organizer/ Promoter
first informs CART in writing of such intent, and provided
further that eighteen (18) entries have not been received
within seven (7) days after receipt by CART of such notice. If
Organizer/Promoter under these circumstances exercises this
cancellation right, it will be entitled to the return of the
portion of the Organization and Rights Fee theretofore paid
for such Competition.
B. Either party hereto shall have the right to cancel a
Competition due to a "force majeure". "Force majeure" shall
mean any event or circumstances (whether arising from natural
causes, human or governmental agency or otherwise) beyond the
control of the parties including by way of illustration, but
not by way of limitation, strikes, lock-outs or other labor
disputes, civil strife, war, flood, fire, or acts of God. If
there is an unexpected cancellation due to a "force majeure",
Organizer/Promoter will be entitled to the return of the
portion of the Organization and Rights Fee theretofore paid,
except that Organizer/Promoter agrees that CART may retain a
sum equivalent to the necessary expenses reasonably incurred
by CART and its teams in preparing for such Competition, which
expenses shall be mutually agreed by the parties provided,
however, that if the parties are unable to agree informally as
to the amount of such expenses, such dispute shall be
submitted to binding arbitration and the result of such
arbitration shall be enforceable by any court having
jurisdiction.
C. If Organizer/Promoter cancels or fails to stage a Competition
for any reason other than those mentioned within this
paragraph 9, Organizer/Promoter shall forthwith pay to CART
and CART shall be entitled to enforce collection of the total
amount required under this Agreement as liquidated damages and
not as a penalty, together with all costs incurred by CART in
connection therewith, including reasonable attorney fees, and
interest at the rate of twelve (12%) percent per annum.
10. Except as expressly provided herein, Organizer/Promoter owns and shall
have exclusive control over all commercial rights to each Event
including by way of illustration, but not by way of limitation, the
right to sell and receive all the proceeds from Event sponsorships,
signage, admission tickets, programs, novelties, concessions (including
food and beverage), catering (including food and beverage), hospitality
facilities, hotel rooms, expositions, displays, parking spaces,
banquets, and licenses to parades.
11. Organizer/Promoter shall assume and perform all organizational and
promotional activities for each Event except as otherwise provided
herein, including but not limited to business organization, promotional
activity, management, marketing, general affairs, selling tickets,
track maintenance and accommodations of the press, and further
understands and agrees that CART disclaims any warranty expressed or
implied, as to the potential success of any Event organized hereunder.
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12. Organizer/Promoter shall organize and promote the races hereunder as
major motor racing events. Organizer/Promoter shall have the right to
on-site track entitlement, and revenues therefrom. On-site entitlement
is to designate the title/name of the race at the venue, subject to
CART approval which shall not be unreasonably withheld. All media
releases, public announcements and public disclosures by either party
or its employees or agents relating to this Agreement, including but
not limited to promotional or marketing material, but not including any
announcement intended solely for internal distribution at either party
or any disclosure required by legal, accounting or regulatory
requirements beyond the reasonable control of the disclosing party,
shall be coordinated with and approved by the other in writing prior to
the release thereof.
13. A. CART hereby grants Organizer/Promoter the non-exclusive right
to use the IndyCar name and logo in its promotion of each
Event during the term hereof, in accordance with all
provisions contained in this Agreement. Any logo, design, xxxx
or representation made, formulated, or developed in
conjunction with such Event shall be subject to the prior
written approval of CART.
B. Organizer/Promoter shall display in all advertising and
publicity material including but not limited to news releases,
posters, banners, program covers, brochures, tickets, passes
and credentials relating to each Event the phrase: "PPG Indy
Car World Series" and the logos of PPG and IndyCar (as
approved and supplied by CART). CART reserves the right to
change such phrase and logo.
C. Organizer/Promoter shall include in its display of the IndyCar
logo the symbol (R) to indicate that it is a registered xxxx.
A sheet of camera ready art depicting these logos shall be
provided by CART. Further, in promoting and advertising each
Event, Organizer/Promoter shall promote the Competition as a
part of the PPG Indy Car World Series or as otherwise
designated by CART. Organizer/Promoter shall provide such
verification of compliance with the provisions contained in
this paragraph 13 as CART may reasonably request.
D. Organizer/Promoter shall not use the names, logos or
trademarks of CART or PPG for any purpose other than as herein
defined.
E. Upon the expiration or termination of this Agreement for any
reason, Organizer/Promoter shall cease and desist any and all
use of the names, logos or trademarks of CART or PPG or any
colorable imitation, variation or adaptation thereof.
F. CART and Organizer/Promoter shall promptly take such action as
may be necessary to protect the names, logos and trademarks of
CART and PPG
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against any infringement or threatened infringement or any
common law "passing off".
14. Organizer/Promoter agrees that each Competition shall be organized,
approved by CART and conducted in accordance with all applicable
statutes, ordinances, regulations or other requirements of any
government authority, and the IndyCar Rule Book as amended from time to
time and as the same may be modified or supplemented by any other
rules, regulations, bulletins or releases that may be applicable to
such Competition. CART reserves the right to terminate this Agreement
at any time without further liability for material failure of
Organizer/Promoter to abide by said requirements, regulations, rules,
or the terms and conditions of this Agreement, by so notifying
Organizer/Promoter in writing, upon a five (5) day notice of
default/opportunity to cure. CART shall notify Organizer/Promoter in
writing of any alleged default and Organizer/Promoter shall have five
(5) days after receipt of such notice to cure the default; provided,
however, if the nature of the default is such that it cannot reasonably
be cured within five (5) days, Organizer/Promoter shall not be deemed
to be in default if it commences the cure within such five (5) day
period and thereafter completes the curative action within a reasonable
time. Organizer/Promoter acknowledges receipt of a copy of the IndyCar
Rule Book.
15. Organizer/Promoter represents and warrants that it has or will have
sole control of the track and of the premises upon which the track is
located, including all facilities thereon, and that Organizer/Promoter
has full authority to conduct each Event thereon as provided for herein
for the defined scheduled term of each Event.
16. Organizer/Promoter shall provide at its expense during each Event the
track, race course, and facilities in good repair and ready for use,
and Organizer/Promoter shall permit CART or its insurance broker or
other designated representative to inspect the track, race course
and/or facilities before, during and after each Event. All repairs
deemed reasonably necessary in order for the track to meet CART's
safety requirements must be made at Organizer/Promoter's expense and
the failure to make the necessary repairs may result in the
postponement or cancellation of such Event, in CART's sole discretion.
The track site, design and condition shall be subject to review and
approval by the CART Vice President, Competition and Chief Xxxxxxx.
Organizer/Promoter shall consult with CART on the layout and design of
the track, including but not limited to the pit area, safety barriers,
and other facilities for the Competition.
17. Organizer/Promoter shall provide at its expense such facilities as CART
deems reasonably adequate for the use of CART personnel and those
directly associated with the Event, including but not limited to race
control facilities, facilities for participant registration,
television, scoring, race car inspection, compiling and distributing
media information, a media work area, and facilities and services as
may be reasonably required by those who supply products and/or services
for the Event. Further details of these and other operational and
facility requirements of Organizer/Promoter are agreed to as outlined
in SCHEDULE A attached hereto and made a part hereof.
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18. Organizer/Promoter shall at its expense furnish all facilities,
personnel, equipment, and services for accommodating and controlling
the public during each Event, for whose safety and comfort
Organizer/Promoter is solely responsible and liable.
19. Organizer/Promoter shall provide at its expense all necessary personnel
as required by CART for the conduct of each Competition hereunder
(other than the CART staff and officials), and Organizer/Promoter shall
assume all the responsibilities pertaining to workers, volunteers and
subcontractors for each Event weekend.
20. Organizer/Promoter at its expense shall obtain and maintain insurance
for each Event with an insurance company approved by CART. Such
insurance must conform to the minimum coverages, specifications,
limits, etc., as set forth in SCHEDULE B attached hereto and made a
part hereof. If Organizer/Promoter fails to maintain such policies with
the required minimum coverage throughout the Event, CART may cancel
such Event immediately without prior notice to Organizer/Promoter, or
CART may, in its discretion, obtain the required insurance from an
approved insurance company, with acceptable terms, at
Organizer/Promoter's expense.
21. Only those individuals approved by CART or Organizer/Promoter,
including but not limited to drivers and pit crew and necessary fire,
wrecker, ambulance and security crews, shall have access to or be
allowed in the paddock, garage and pit areas, the racing surface, and
other areas to which admission by the general public is normally
prohibited during the Event, and Organizer/Promoter shall be solely
responsible and provide sufficient security personnel in such areas to
enforce this provision at all times during each Event. Such access must
be in compliance with the IndyCar Rule Book and may not interfere with
or adversely affect the Competition.
22. Organizer/Promoter shall honor CART's Unified Credential System and
shall comply with the facility access provisions implemented by CART,
as set forth in SCHEDULE C attached hereto and made a part hereof, and
as the same may be amended by future discussions and concurrence
between CART and its race promoters through the promoter group.
23. CART shall have the exclusive right to contract out or to take or cause
to be taken by others, make, broadcast, rebroadcast, use, reproduce,
transmit, copyright, sell, license or otherwise dispose of for any
purpose whatsoever, television pictures, sound film and tape, motion
pictures, still photographs, electronic images and sound of each Event.
CART shall retain all national, international and local broadcast
rights including broadcast television, cable and radio.
Organizer/Promoter will assure that the presence of personnel and
equipment for these or similar purposes shall not be inconsistent with
the rights of CART herein provided and shall not interfere or conflict
with the exercise of any such rights by CART as herein provided.
24. Organizer/Promoter recognizes and acknowledges that CART has entered or
intends to enter into a television contract with a national broadcast
or cable network for the coverage of each Competition hereunder.
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A. Detailed operational and facility requirements of
Organizer/Promoter in respect to television and other on-site
media are identified in SCHEDULE A.
B. CART has arranged with the television production companies
(subject to network approval) to provide the video portion of
the program feed from the mobile unit to Organizer/Promoter,
so that Organizer/Promoter may feed the video signal as a
courtesy to the media center and hospitality suites. This feed
is limited to on-site press and hospitality use only. Any
other feeds to hotels, bars, or other establishment(s) whether
on-site or off, are strictly prohibited. Organizer/Promoter
shall be responsible for the installation and maintenance of
appropriate cable originating at the television compound which
will then feed the system. Maintenance and operation of the
system is the sole responsibility of Organizer/Promoter.
C. CART and Organizer/Promoter agree that it is in the best
interest of the sport, its promoters and sponsors to have the
same on-site and television title sponsor. CART and
Organizer/Promoter recognize and agree that all television
entitlements are derived from a privilege granted by the
television network and are subject to network approval. In the
event Organizer/Promoter provides CART with a television
entitlement sponsor, such sponsor must agree to: (i) purchase
one (1) of several commercial unit package options for either
network or cable coverage to be published by CART or its
designee each year, (ii) enter into a negotiated agreement
with CART or its designee, or (iii) guarantee a payment for
entitlement in return for which Organizer/Promoter will
receive eight (8) thirty (30) second commercial units to
package with its on-site title. The published rate option
packages and payment option will be made available to
Organizer/Promoter at least one (1) year in advance.
D. Organizer/Promoter may, at its option, and subject to approval
by CART or its designee and the appropriate network, elect to
guarantee over-the-air broadcast network coverage of its
Event. In this event Organizer/Promoter will be required to
provide a television title sponsor subject to: (i) purchase of
one (1) of several published minimum commercial unit packages,
(ii) enter into a negotiated agreement with CART or its
designee, or (iii) guarantee a payment for entitlement to be
determined each year. In the payment option (iii)
Organizer/Promoter will receive eight (8) thirty (30) second
units in the telecast to package with its on-site title.
E. In the event Organizer/Promoter elects not to provide CART
with a television entitlement sponsor or to guarantee
over-the-air broadcast network coverage, then CART or its
designee shall have the option to secure a television
entitlement sponsor which need not be the same as the on-site
entitlement sponsor.
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F. CART and Organizer/Promoter agree that the policy and terms
set forth as a condition of television coverage of this Event
may change from time to time, and, therefore, the television
agreement may supersede portions of this Agreement. In the
event that the television agreement supersedes a portion of
this Agreement, CART will immediately notify
Organizer/Promoter and work toward a mutually agreed upon
solution.
25. Organizer/Promoter recognizes and acknowledges that CART has the right
to contract for an official car and/or truck for the PPG IndyCar World
Series.
26. PPG shall have the exclusive right to provide any and all pace cars
throughout the entire Event. In addition, only PPG pace cars shall be
allowed to participate in the parade laps immediately preceding the
start of the Indy Car race. Further details of these and other
responsibilities of Organizer/Promoter to PPG are agreed to as outlined
in SCHEDULE D attached hereto and made a part hereof.
27. Organizer/Promoter agrees that the scheduled CART activities during
each Event, including those associated with the Competition, PPG Pace
Car on track activities, and CART's official support series, Indy
Lights, shall have priority over any other race or other activity
scheduled during such Event. Organizer/Promoter will not schedule any
supporting races or ancillary activities on the same day as
registration or inspection, or on any other day during an Event,
without prior written approval of CART. Further details of these and
other scheduling considerations/requirements are agreed to as outlined
in SCHEDULE E attached hereto and made a part hereof.
28. CART shall conduct mutually agreed upon grid/pre-race activities which
shall include but are not limited to the pole awards, driver
introductions, etc.
29. CART shall conduct mutually agreed upon Victory Circle proceedings.
Details of these proceedings and the requirements of Organizer/Promoter
in regard thereto are agreed to as outlined in SCHEDULE F attached
hereto and made a part hereof.
30. CART shall have reasonable access to the PA system in order for CART to
fulfill its contractual obligations to its sponsors and inform
participants and spectators of activities during the Event.
31. A. CART merchandise, as supplied by CART or its licensed
representative, will be afforded the opportunity to be sold
from its own official concession stand to be located in a
prominent, high-traffic location, generally near the paddock
area. Selected items of merchandise may also be prominently
offered for sale in the track concession sales booths.
Merchandise sold from the CART booth will generate a royalty
of twenty-five percent (25%) of the gross sales, after taxes,
paid to Organizer/Promoter. Merchandise placed in the
concessionaire booths will be done so on a consignment basis
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with the concessionaire given a forty (40%) percent discount
on the retail price of all merchandise sold. Retail prices
will be agreed upon in writing prior to the merchandise being
placed in concessionaire booths. All accounting will be
completed by noon of the day following the conclusion of each
Event. All payments will be made and unsold merchandise
returned at the same time.
B. It is Organizer/Promoter's responsibility to insure that any
and all concessions and/or merchandise is properly licensed.
In the event that CART discovers any unlicensed products, it
will have the right to take appropriate action in its sole
discretion.
C. All IndyCar teams will be afforded the opportunity to sell
merchandise within the confines of the race facility. All
teams will be in a prominent, high-traffic location.
Participating IndyCar teams will pay a rights fee for the
location, which fee shall be (i) consistent with the then
current market price and (ii) no less favorable for any
IndyCar team than the terms and conditions provided to other
vendors located within the same area.
32. In conjunction with the PPG IndyCar Winner's Circle Club endorsed by
CART, Organizer/Promoter shall provide at its expense:
A. Limited access to restricted areas for club members during
group tours and club functions.
B. Inclusion of a PPG IndyCar Winner's Circle Club advertisement
in the official race program. Camera ready art shall be
provided by CART or its designee.
C. Covered facility for meetings with a PA system, if not
provided by PPG.
33. Organizer/Promoter shall cooperate with CART in its spectator research
efforts, including but not by way of limitation allowing CART
representatives access to spectators for personal interviews and
questionnaire distribution and inclusion of a CART questionnaire in the
official race program, for which camera ready art will be provided. The
results of such research shall be made available to Organizer/Promoter.
34. A. The parties agree that, commencing in 1996, CART shall have
the right to designate up to eight (8) sponsorships utilizing
the following entitlements to be provided by
Organizer/Promoter for each sponsorship at no cost to CART
except as otherwise stated:
- designation as an Event sponsor on a totally
exclusive basis;
- inclusion in the Event press kit;
- priority hospitality access;
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- one (1) page of advertising in the Event
Program (to be produced and supplied by the
sponsor - 4 color camera ready art to be
provided);
- one (1) 10' x 10' Expo space;
- six (6) public address system announcements
(two per day);
- twenty (20) grandstand admission tickets;
and
- four (4) 3' x 10' wall signs (to be provided
by the sponsor).
All costs associated with the design and production of the
advertising page and wall signs shall be borne by CART. The
parties acknowledge the following categories represent
acceptable potential sponsorships:
- payment systems;
- mineral water;
- confectionery;
- savory snacks;
- film;
- camera;
- electronics (i.e., television, hi-fi, audio,
etc.); and
- one additional mutually agreeable category.
Except as provided in the following sentence, all revenues
received from such sponsorships will be retained by CART. The
collective revenues received from sponsorships in the
electronics, film and camera categories shall be applied as
follows: the first Seventy Five Thousand ($75,000.00) Dollars
shall be retained by CART; the balance of the proceeds
received after Seventy Five Thousand ($75,000.00) Dollars
shall be divided equally between CART and Organizer/Promoter.
B. One additional page in the program shall be provided without
charge for CART's own use for an offered Sponsor Corporate
Advertisement.
CART questionnaire in the official race program, for which
camera ready art will be provided. The results of such
research shall be made available to Organizer/Promoter.
C. Organizer/Promoter recognizes that each participating team has
a race sponsor. Organizer/Promoter agrees that each team may
place its team name and sponsor(s) on both sides of the wall
in the team's assigned pit box, subject to applicable
governmental laws and regulations.
35. Organizer/Promoter shall provide CART at no cost mutually agreed upon
hospitality provisions for not less than forty (40) guests per day.
Hospitality provisions will include food and beverage (at CART's
expense).
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36. Each Competition shall appear on the FIA calendar as a full
international FIA event. Organizer/Promoter agrees to file this listing
through CART and reimburse CART for all applicable listing fees. In
addition, Organizer/Promoter agrees to pay through CART the applicable
National Motorsports Council assessments, as determined by the
Council's Executive Committee.
37. Organizer/Promoter agrees to indemnify and hold harmless CART, its
directors, officials and officers, agents and employees, members and
sponsors from any and all liabilities including liability resulting
from the ordinary (but not gross) negligence of the same and all costs
and expenses, including attorneys fees incurred in the defense thereof,
asserted or imposed upon CART, its directors, officials, official
representatives, employees, officers, members and sponsors arising out
of or as a result of an Event hereunder.
38. Organizer/Promoter agrees not to take any action adverse to the
interest of CART and, in consideration of the acceptance and approval
of this application, releases and discharges CART and its officials and
representatives from all liability for personal injury that may be
received, and from all claims and demands for damages to real or
personal property or to any person growing out of or resulting from an
Event hereunder, whether caused by any construction or condition or any
track or track equipment, cars or debris, or resulting from any act or
failure of any official or any person assisting the officials serving
in connection therewith.
39. Nothing contained herein shall be construed to place CART in the
relationship of a partner or joint venturer with Organizer/Promoter,
and Organizer/Promoter shall have no power to obligate or bind CART in
any manner whatsoever other than as specifically provided for herein.
Neither party undertakes by this Agreement to perform any obligations
of the other, whether regulatory or contractual, or to assume any
responsibility for the other's business or operations.
40. The validity, interpretation and construction of this Agreement shall
be governed and construed by the laws of the State of Michigan. Any
litigation commenced by a party to this Agreement as the result of any
alleged breach of this Agreement shall be commenced in the circuit
court for the County of Oakland, State of Michigan, or in the
appropriate lower district court in said county, or in the U.S.
District Court for the Eastern District of Michigan, and the parties
hereby consent to such personal jurisdiction.
41. This Agreement is not transferable or assignable. Any transfer or
assignment in violation of this provision shall be void.
42. Any notice or written communication required or permissible hereunder
shall be sent by registered mail (or certified mail with return
receipt), postage prepaid, addressed as follows:
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To CART: To Organizer/Promoter:
Championship Auto Racing Teams, Inc. Xxxx Xxxx Racing Teams, Inc.
000 X. Xxx Xxxxxx Xx., Xxxxx 000 000 Xxxxx Xxxxxxx
Xxxx, XX 00000 Xxxxxxxxxxxx, XX 00000
43. A. This Agreement (including the Schedules annexed hereto)
contains the entire agreement of the parties hereto and no
representations, inducements, promises, or agreements, oral or
otherwise, not embodied herein shall be of any force or
effect. This Agreement may be modified only upon the written
consent of the parties hereto.
B. No waiver by either party, whether expressed or implied, of
any provision of this Agreement or any breach or default shall
constitute a continuing waiver thereof.
C. Each and every of the rights, remedies and benefits provided
by this Agreement shall be cumulative, and shall not be
exclusive of any other said rights, remedies and benefits, or
of any other rights, remedies and benefits allowed by law.
D. If any provision in this Agreement is held to be invalid or
unenforceable, it shall be ineffective only to the extent of
the invalidity, without affecting or impairing the validity
and enforceability of the remainder of the provision or the
remaining provisions of this Agreement.
44. The parties acknowledge the importance of each party's reputation, good
will and public image and, accordingly, agree to maintain and enhance
such image by restraining from taking any action contrary to the best
interest of either party, or detracting from the reputation of either
party. Each party shall refrain from making any statements about the
other party that adversely affects, casts in an unfavorable light, or
otherwise maligns the business or reputation of such other party or any
of its principals.
45. At all times, the terms and conditions of this Agreement are
confidential to CART, Organizer/Promoter, their parent companies and
their respective subsidiaries, and shall not be disclosed to any other
entity or individual without the other party's prior written consent.
Notwithstanding the foregoing, disclosure may be made if necessary to
enforce a party's rights under this Agreement, or if required by a
governmental agency, in which case any and all documents, information,
or materials disclosed shall be marked "confidential" and such party
shall seek confidential treatment of such information.
46. The following Schedules are attached hereto, incorporated herein by
reference as though set forth in their entirety in this Agreement, and
labeled as follows:
15
Schedule A - Operational and Facility Requirements
Schedule B - Insurance Requirements
Schedule C - Unified Credential System and Facility Access Provisions
Schedule D - PPG Program and Official Cars
Schedule E - Event Activities
Schedule F - Post Race Procedures/Activities
Any person or organization having responsibility in the organization, promotion
or staging of any Competition, whether by contract or otherwise, shall co-sign
this Agreement and shall be jointly responsible hereunder. Organizer/Promoter
and the undersigned warrant and represent that Applicant has the full right and
authority to enter into and perform this Agreement, and that the execution and
delivery of this Agreement has been duly authorized by all necessary
governmental and/or corporate action.
Date: June 1, 1994 /s/ Xxxx X. Xxxx
------------------------- ----------------------------------------
Applicant
By: Xxxx X. Xxxx
----------------------------------------
Its: President
----------------------------------------
Date: June 1, 1994
------------------------- ----------------------------------------
Co-Signer's Signature
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CART APPROVAL
The foregoing application is hereby approved and accepted in accordance
with the terms stated therein.
Date: Championship Auto Racing Teams, Inc.
-------------------------
By:
-------------------------------------
Its:
------------------------------------
CART sanction number granted:
----------------------------------------
Date:
------------------------- ----------------------------------------
Authorized Signature
17
SCHEDULE "A"
OPERATIONAL AND FACILITY REQUIREMENTS
I. MEDIA CENTER
FACILITIES:
Solid, climate controlled, weatherproof structures capable of
supporting separate work area for IndyCar Media Relations, Event Media
Relations, Support Event Media Relations, deadline media, non-deadline
media, and a dedicated, separate media interview room.
ELECTRIC/POWER REQUIREMENTS:
Organizer/Promoter should provide CART Communications staff at least
two (2) 10 volt, 20 amp, single phase circuits or equivalent with a
minimum of eight (8) electrical outlets. Adequate power and at least
one electrical outlet for each assignable seat for press in media
center.
TELEPHONE REQUIREMENTS:
Twenty (20) direct and five (5) dedicated lines and instruments.
EQUIPMENT:
five (5) photocopy machines;
ten (10) large screen television sets/monitors (including audio) with
direct video feed from television production mobile units (one pair
should be available for CART Communications staff);
three (3) golf carts for exclusive use by CART.
II. OPERATIONS
FACILITIES:
Solid, quite, climate controlled, weatherproof structure capable of
accommodating a minimum of sixty (60) people.
18
ELECTRIC/POWER REQUIREMENTS:
Radio Trailer 110v/115v 2 30 amp single phase
or /220v 30 amp single phase
Timing and Scoring 110v/115v 6 30 amp single phase
Operations Trailer #1 110v/115v 30 amp single phase
Operations Trailer #2 110v/115v 2 30 amp single phase
Medical Coach 110v/115v 50 amp single phase
IndyCar Coach 110v/115v 50 amp single phase
Inspection Area 110v/115v 2 20 amp single phase
EDS/Timing &
Scoring Truck 110v/115v 50 amp single phase
Delco Battery 110v/115v 2 30 amp single phase
or 220v single phase
DieHard Battery 110v/115v 2 30 amp single phase
or 220v
IndyCar Fuel Compound 110v/115v 4 25 amp single phase
IndyCar Tire Compound 220v/240v 2 50 amp single phase
Fuel Compound 110v/115v 30 amp single phase
Scales 110v/115v 20 amp single phase
TELEPHONE REQUIREMENTS:
As a minimum, the following areas must be supplied telephones which
provide access to commercial telephone lines:
Operations Trailer #2 - telephone and facsimile line
Medical Coach
IndyCar Coach
Race Control
Timing & Scoring
Start/Finish Line
EQUIPMENT:
One (1) print quality hi-speed photo copier.
Organizer/Promoter at its expense shall provide, install and maintain
the equipment necessary to operate the Timing and Scoring system
managed for CART by EDS in accordance with the specifications supplied
by CART and EDS. Organizer/Promoter will provide EDS free of charge at
the start/finish line, on the Timing and Scoring structure and at least
one other prominent location, space to affix and display the "EDS" logo
and/or "EDS Official Timing Technology Provider".
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COMMUNICATION CIRCUITS:
Land line communication system connecting all trackside stations, pit
in, pit out, race control and start/finish line.
Private land line communication circuit connecting timing and scoring,
race control, pit center and starters stand.
FUEL:
Organizer/Promoter will provide gasoline for all safety, track
maintenance vehicles and the jet dryer:
Track Dryer Jet A or #1 diesel approximately 50 gallons
(The parties recognize that Organizer/Promoter provides its own track
dryer and, therefore, will be required to provide fuel under this
provision only in the event that use of CART's track dryer is
required.)
Safety Vehicles gasoline approximately 200 gallons
GENERAL:
Minimum of three hundred fifty (350) pounds of ice each day from
Thursday until Sunday of race weekend.
Worker lunches and drinking water will be provided for each day of the
Event weekend. The quantity will be supplied by CART.
All areas and utilities shall be accessible for use by CART on or
before 8:00 AM the Wednesday prior to the published race date.
III. TELEVISION AND RADIO
FACILITIES:
Television Compound Area - Organizer/Promoter shall provide a level,
hard-surfaced area approximately 150 feet x 150 feet for use by IndyCar
Productions and network television production mobile units, broadcast
equipment, and personnel. Compound should be located as follows:
Street Course: As close as possible to the announcement booth
or as close to the majority of camera positions as possible,
but definitely outside the course.
20
Road Course: As close as possible to the announcement booth,
as close to the majority of camera positions as possible,
preferably outside the course.
Oval Course: As close as possible to the announcement booth
and allowing the most direct cable access to the majority of
camera positions as possible, but definitely outside the
course.
Announcement Booths - Climate controlled. Booths should have a wide
expanse of glare-proof (non-tinted) glass overlooking the pits and
track. Sound deadening materials should be used in construction,
including proper insulation, carpeting, panelling, and double-paned
glass.
The front window overlooking the track and pits should begin around 3.5
feet - 4 feet above the floor. Booth should also have windows on the
sides of the booth facing the track, around 3-4 feet deep from the
front of the booth, to provide sight lines up and down the track and
pits. Where possible, back half of each booth should be elevated 4
inches - 6 inches (minimum) to allow raised sight lines for those
working in rear of booth.
A ledge/table should run the entire width of the front window wall, set
under the window and should be well braced to support necessary video
monitors, timing & scoring monitors, and audio equipment, etc.
Ledge/table should extend two (2') feet into the room from the
front-windowed wall, and where possible, should provide a removable
cut-out against the wall, with a support brace under the cut-out, to
allow monitors to be partially recessed on an angle within the
ledge/table.
Access panels, conduits, and cable troughs (minimum 6 in diameter),
should be provided by promoter as necessary to allow cables to enter
booth for video, audio, timing & scoring, and antennae feeds.
Entry door should have a locking system installed, so that the room and
equipment may be secured. A keyless or combination access system is
preferred. Door should also have a mail slot for press releases, etc.
As other international networks (more than three) may wish to originate
commentary from the site of a CART Event, CART may request, and
Organizer/Promoter agrees to provide, additional announcement booths.
CART agrees to provide at least thirty (30) days notice to
Organizer/Promoter in such cases. All reasonable costs, subject to
competitive bidding, associated with the construction and provision of
any additional booths and required facilities (i.e. telephone, power,
etc.) for international networks shall be the responsibility of CART.
U.S. Television Network:
BOOTH SIZE: 15 feet x 15 feet booth.
21
LOCATION: Should be placed on the outside of the track
and nearest to the start/finish line,
providing the widest view of the track and
pits. Where possible, booth should be
located alone or at one end of any row of
booths or suites.
IndyCar Radio Network:
BOOTH SIZE: 8 feet x 8 feet (minimum) booth.
LOCATION: Preferred placement on the outside of the
track and nearest to pit center, providing
the widest view of the track and, then, the
start/finish line and pits.
International Networks:
BOOTH SIZE: A minimum of three (3) 8 feet x 8 feet
(minimum) booths.
LOCATION: Preferred placement providing the widest
view of the pits and, then, the track and
start/finish. Where possible, location
should be on the outside of the track.
ELECTRIC/POWER REQUIREMENTS:
Organizer/Promoter shall ensure necessary lighting (minimum of 125 foot
candles) is available for television coverage during the Event.
All power should be "shore" power, as opposed to generator power, where
possible. If "shore" power is not available, generator power must meet
the requirements of the network television production company,
including but not limited to: back-up power, redundant systems,
frequency controlled, and automatic switch-over features. Requirements
to be provided before execution of this Agreement, as follows:
TV COMPOUND - U.S. NETWORK
Mobile Unit #1 208v 200 amp 3 phase
Mobile Unit #2 208v 200 amp 3 phase
Uplink Truck #1 208v 150 amp 3 phase
Office Trailer #1 208v 150 amp 3 phase
Office Trailer #2 208v 100 amp single phase
Mobile Support Unit 208v 100 amp single phase
In-Car Camera Truck 208v 60 amp single phase
RF Camera Truck 208v 60 amp single phase
Catering 110v 60 amp single phase
TV COMPOUND - INTERNATIONAL NETWORKS
International M.U. 208v 200 amp 3 phase
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Uplink Truck #2 208v 150 amp 3 phase
Uplink Truck #3 208v 150 amp 3 phase
REMOTE LOCATIONS
RF Receive Site 110v 20 amp single phase
RF Receive Site 110v 20 amp single phase
TV Interview Room 110v 20 amp single phase
ANNOUNCEMENT BOOTHS
U.S. Network Production 110v 20 amp single phase
U.S. Network Monitors 110v 20 amp single phase
U.S. Network Audio 110v 20 amp single phase
Radio Production 110v 20 amp single phase
Radio Monitors 110v 20 amp single phase
International #1 Production 110v 20 amp single phase
International #1 Monitors 110v 20 amp single phase
International #2 Production 110v 20 amp single phase
International #2 Monitors 110v 20 amp single phase
International #3 Production 110v 20 amp single phase
International #3 Monitors 110v 20 amp single phase
EACH ADDITIONAL INTERNATIONAL BOOTH
Additional Production 110v 20 amp single phase
Additional Monitors 110v 20 amp single phase
Minimum four (4) outlets per electrical circuit.
Air-Conditioning/heating systems must be on separate circuits from
those shown above.
TELEPHONE REQUIREMENTS:
Television Compound Area - Organizer/Promoter shall ensure twenty-five
(25) dry pair telephone lines are permanently installed in television
compound.
Announcement Booths -
IndyCar Radio Network:
A maximum of eight (8) dry pair telephone lines permanently
installed in booth.
International Networks:
Eight (8) dry pair telephone lines permanently installed in
each announce booth.
23
ACCESS:
Organizer/Promoter shall accord all broadcast networks and/or their
designees the right to install and maintain at, and remove from, the
site of the Event and associated areas such wires, cables, and
apparatus as the network or its designee deems necessary for recording
and/or telecasting the Event (provided that there shall not be any
interference with the use of or means of ingress or egress at the site
or associated areas).
INTERVIEW ROOM:
Organizer/Promoter shall provide a small room (8 feet x 8 feet minimum)
which may be used exclusively by the network production companies for
driver interviews. Room should be climate controlled and quiet from
other on track sounds and activities and should be located near the
paddock, media center, or team hospitality area. In the event the
Organizer/Promoter provides an office trailer for meetings or other use
by IndyCar Operations, the side room of this trailer would be
acceptable.
SECURITY:
Organizer/Promoter must provide sufficient security, with radio
communications, for all broadcast equipment in the television compound
and around the track, including camera, remote, and booth locations.
Security should be available from the first evening of arrival through
the morning of the last day of departure of all broadcast equipment.
ADDITIONAL FACILITIES:
CART may also require, and Organizer/Promoter agrees to provide,
additional space to locate one (1) or more mobile announce booths to
accommodate international networks, plus any required electrical power.
All reasonable costs associated with the provision of power and other
required facilities (i.e. telephone, etc.) for these additional
international networks shall be the responsibility of CART.
EQUIPMENT VENDORS:
Broadcast crews will use best efforts to achieve highest quality,
lowest cost for renting equipment from Organizer/Promoter's exclusive
source. If this cannot be achieved, then the exclusive track source
will not apply to production company's needs.
IV. GENERAL
As the execution of the Competition and broadcast coverage of CART events is
vital to the success and growth of the Series and each Event, and as newer and
additional technical facilities may be required to meet media, operational and
broadcast production standards in order to enhance and upgrade the facility and
broadcast quality, Organizer/Promoter agrees to provide
24
additional space, power, facilities, or other services as may be requested by
CART. CART agrees to provide Organizer/Promoter as much advance notice as
possible of these additional requirements.
25
SCHEDULE "B"
INSURANCE REQUIREMENTS
In an effort to protect the interest of track owners, Organizers/Promoters,
sponsors, CART, its Members, Associate Members and participants, CART has
established certain minimum criteria for insurance coverage which must be in
effect for all CART Events.
The insurance requirements for CART events consist of the following areas of
insurance coverage:
1. Spectator and Participant Legal Liability Insurance; and
2. Participant Accident Insurance.
The minimum specifications and requirements for acceptable coverage are:
$10,000,000 LIABILITY INSURANCE (coverage must be primary)
V. POLICY FORM
The policy must be a Comprehensive General Liability form and may be
either a manuscript Automobile Racing policy or a Commercial General Liability
policy with endorsements that provide the amendments required to cover
automobile racing events.
Coverage provided must include, but shall not be limited to:
1. Spectator/Public Bodily Injury Liability
2. Participant Legal Liability - Participant Bodily Injury
Liability - Participant to Participant Liability
3. Property Damage Liability
a. Including participants' property except when in
restricted areas.
b. No more than a Fifty Dollar ($50.00) deductible.
4. Refreshments/Products Liability including Concession Hard
Goods and Host Liquor Liability.
5. Personal Injury Liability, including false arrest, detentions,
imprisonment or malicious prosecution, libel and slander;
wrongful entry or eviction.
6. Mobile Equipment Liability
26
7. Incidental Medical Malpractice Liability including primary
coverage for medical professionals.
8. Temporary and Air Ambulance Liability.
9. Off Premises Sign Liability.
10. Official Vehicle Physical Damage
a. Two Hundred Fifty Dollar ($250.00) maximum
deductible.
11. Contractual Liability
VI. MINIMUM LIMITS OF COVERAGE
CART reserves the right to change insurance limits as long as ninety (90) days
notice is given to Organizer/Promoter.
1. 1996 Event - $10 million combined single limits per occurrence
for Bodily Injury and Property damage with no aggregate limit.
2. 1996 Event - $5 million minimum for Participant Legal
Liability. Subsequent Events subject to 50% of limits in place
in paragraph 2A.
3. 1996 Event - $1 million Medical Malpractice Liability with $1
million aggregate per incident. Coverage to include Medical
Professionals. (See paragraph 1[G]).
VII. NAMED INSUREDS
Must include:
1. CART, its officers, directors and employees; PPG Industries,
Inc.
2. CART reserves the right to add additional named insureds
provided however, that notice be given no later than sixty
(60) days prior to the Event.
VIII. PERSONS INSURED
Must include:
27
All participants, race car owners, sponsors for this Competition, Event or the
Series of which the Competition is a part, and CART Members and Associate
Members. The definition of participants must include drivers, mechanics, pitmen,
officials of the race, and those assisting the officials, event staff,
announcers, emergency and safety crews and security personnel and all other
persons allowed access to restricted areas. Such definition also applies to Indy
Car and support series events.
IX. WAIVER AND RELEASE FROM LIABILITY
The insurance policy must require the utilization of a system at all CART Events
which secures properly executed and signed "Waiver and Release from Liability"
forms from all participants. The procedure for obtaining such executed waivers
from CART participants shall be determined by CART.
X. GENERAL SPECIFICATIONS
1. The insurer must be admitted or approved to write insurance in
the state, province and country where the insured track is
located. The broker or agent must be licensed to transact
business in the state, province and country where the track is
located. It is Organizer/Promoter's responsibility to inform
all participants of all coverages and conditions available
throughout the Event.
2. The insurer must have a minimum of a Best A rating, and the
name of the insurer must be supplied to CART for the purposes
of confirmation.
3. The insurer must formally agree to send duplicate notice of
cancellation to CART in the event of cancellation a minimum of
thirty (30) days in advance of the cancellation. The reason
for the cancellation must be included with this notification.
The insurer must also formally agree to immediately notify
CART of each instance of the insured's failure to remit proper
premium or other required payments.
4. The agent or broker must submit a narrative explanation of
systems, procedures and authority for adjusting and paying
liability and participant accident claims.
PROCEDURES FOR OBTAINING APPROVAL OF AND UTILIZING INSURANCE COVERAGE
1. Any request or submission for approval of insurance coverage not
meeting the minimum specifications and requirements or procedures will
not be accepted.
28
2. To obtain approval for sources of insurance, Organizer/Promoter or its
insurance broker must submit a certified true specimen copy of the
proposed policy forms to CART at least ninety (90) days prior to the
first date proposed to be insured by the insurance.
3. CART will notify the party submitting the request in writing of the
acceptance or rejection of insurance submissions within fifteen (15)
days of receipt of the submission. Only formal written approval of the
acceptance of insurance coverage by CART shall be considered valid.
4. Upon acceptance, Organizer/Promoter must provide CART a certified true
copy of the actual policy of insurance issued to track operators or
Organizer/Promoter at the time of issuance and no later than thirty
(30) days prior to the first day of the Event.
5. Should Organizer/Promoter fail to comply with the above requirements,
CART shall have the right to purchase the insurance and obtain
reimbursement from Organizer/Promoter.
6. PARTICIPANT ACCIDENT INSURANCE FOR CART PARTICIPANTS
Organizer/Promoter shall reimburse CART for the cost of participant
accident disability, medical and life insurance which minimum coverages
for 1995 are as follows:
Accidental Death and Dismemberment $ 50,000.00
Primary Accident Medical $ 150,000.00
Excess Major Medical $ 350,000.00
Weekly Disability (to 104 weeks) $ 250.00
Monthly Disability (to 48 months) $ 300.00
29
SCHEDULE "C"
UNIFIED CREDENTIAL SYSTEM AND FACILITY ACCESS PROVISIONS
CART SEASON CREDENTIALS (PLASTIC PICTURE IDENTIFICATION)
A. TEAMS
Each CART Owner Membership is entitled to a maximum of forty (40) CART picture
I.D. license/credentials upon acceptance of application and payment of fees due
CART. Additional license/credentials (41-100) may be purchased at a cost of
$185.00 each per season. Revenues derived from such purchases less $25.00 per
credential will be divided equally among all CART Organizer/Promoters.
These license/credentials are to be issued to team members, i.e., owner, team
manager, chief mechanic, crew members, designated team and/or sponsor public
relations representative and any other associates the owner desires within the
allotted maximum number. This credential will permit access to the facility and
restricted areas including the pit area at all times during any CART Event. At
specified Events, a limited number of special credentials will be issued to
allow only necessary and appropriate personnel access to the pit area thirty
(30) minutes prior to and during the IndyCar race.
B. DRIVERS
Each driver will be issued a permanent CART picture license/credential. An
additional picture license/credential will be issued to the driver's spouse or
companion. Both credentials will permit access to the facility and restricted
areas including the pit area at all times during any CART Event. At specified
Events, a limited number of special credentials will be issued to allow only
necessary and appropriate personnel access to the pit area thirty (30) minutes
prior to and during the IndyCar race.
C. INDY LIGHTS OR CART OFFICIAL SUPPORT SERIES
CART will provide credentials to Indy Light competitors, sponsors and suppliers
pursuant to provisions in the contract between CART and American Racing Series.
D. OFFICIALS
Each CART official will be issued a permanent CART picture I.D.
license/credential. This credential will permit access to the facility and
restricted areas including the pit area at all times during any CART Event. At
specified Events, a limited number of special credentials will be issued to
allow only necessary and appropriate personnel access to the pit area thirty
(30) minutes prior to and during the IndyCar race.
30
E. SUPPLIERS AND AWARD POSTERS
A reasonable number of suppliers and award posters will be issued credentials as
determined by CART. These credentials will permit access to the facility and
restricted areas including the pit area at all times during any CART Event. At
specified Events, a limited number of special credentials will be issued to
allow only necessary and appropriate personnel access to the pit area thirty
(30) minutes prior to and during the IndyCar race.
Commencing in 1996, each CART authorized supplier and award poster shall be
entitled to a maximum of five (5) credentials at no charge. Additional
credentials may be purchased at a cost of $100.00 each per season. Revenues
derived from such purchases less $10.00 per credential will be divided equally
among all CART Organizer/Promoters.
F. MEDIA
CART will issue a limited number of credentials to nationally and
internationally recognized print journalists and photographers covering the
majority of Series Events on assignment for recognized media. They will clearly
be marked "MEDIA" and "PHOTO" respectively. Television talent and key production
staff are also credentialed and marked "TV". All media, photo and TV credentials
will permit access to the facility and restricted areas including the pit area
at all times during any CART Event. At specified Events, a limited number of
special credentials will be issued to allow only necessary and appropriate
personnel access to the pit area thirty (30) minutes prior to and during the
IndyCar race.
G. SPONSORS
A reasonable number of CART sponsors will be issued credentials as determined by
CART. These credentials will permit access to the facility and restricted areas
including the pit area at all times during any CART Event. At specified Events,
a limited number of special credentials will be issued to allow only necessary
and appropriate personnel access to the pit area thirty (30) minutes prior to
and during the IndyCar race.
Commencing in 1996, each CART sponsor shall be entitled to a maximum of five (5)
credentials at no charge. Additional credentials may be purchased at a cost of
$500.00 each per season. Revenues derived from such purchase less $50.00 per
credential will be divided equally among all CART Organizer/Promoters.
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EVENT CREDENTIALS (PROVIDED BY THE ORGANIZER/PROMOTER)
A. ISSUED BY CART:
1. ASSISTANTS
Organizer/Promoter shall make Event credentials available to
CART for those persons assisting CART Officials. These
credentials shall be the same type of credentials as those
issued by Organizer/Promoter to others assisting in the
production of the Event and will permit access to the facility
and restricted areas including the it areas at all times
during any CART Event. At specified events, a limited number
of special credentials will be issued to allow only necessary
and appropriate personnel access to the pit area thirty (30)
minutes prior to and during the IndyCar race.
2. SPONSORS
For each Owner Membership accepted by CART the entrant may be
entitled to a maximum of twenty (20) credentials per accepted
membership for team sponsors. These credentials will permit
access to the facility and restricted areas during CART
activities. Access to the pit area will be terminated thirty
(30) minutes prior to the start of and during the CART race.
Each credential purchased hereunder shall apply to all CART
sanctioned events during the season and shall be purchased at
a cost equivalent to the sum of $45.00 for each permanent race
circuit on the schedule and $55.00 for each temporary race
circuit on the schedule. Revenues derived from such purchases
will be divided equally among all CART Organizer/Promoters.
3. ADDITIONAL CREDENTIALS, PASSES, TICKETS AND PARKING
Organizer/Promoter will provide CART with additional
credentials, passes, tickets and parking to be utilized as
stated below for distribution at the discretion of CART.
a. CREDENTIALS AND PASSES
General - Forty (40) corporate village suite passes or other
mutually agreed upon passes and credentials; Three Hundred
(300) credentials for distribution by CART;
Drivers - Four (4) credentials to each participating IndyCar
driver;
U.S. Television Network - Promoter will provide all IndyCar
Productions and network & international network television
crews with specifically designated all access "NETWORK" TV
credentials, which accord production personnel free and
unrestricted access to the site of the Event and all
associated areas, including all
32
media areas and activities, broadcast facilities, practice &
qualifying and race pit activities, and all other areas, and
also including hospitality and restricted trackside areas for
the sole purpose of producing coverage of the Event. This
"NETWORK" TV credential should be restricted for distribution
to and use by IndyCar Productions and network television crews
only. Individuals accredited by an CART Season Credential
marked "TV" should receive access to the same areas as any
credential issued by the promoter to the television production
crews;
International Television Networks - Same as U.S. Television
Networks; designated "NETWORK" TV;
IndyCar Radio Network - Promoter will provide the IndyCar
Radio Network crews with general media credentials, but which
specifically allow access to all media areas and activities,
broadcast facilities, practice & qualifying and race pit
activities, and, when requested by CART, access to restricted
trackside areas. "NETWORK" TV credentials are acceptable, CART
to coordinate;
Indy Lights - Organizer/Promoter will provide Event
credentials for Indy Lights sponsors, suppliers, and guests.
CART to coordinate.
b. TICKETS
General - Fifty (50) tickets (prime location seating) for
intended use by CART's TV network; Fifty (50) tickets (deluxe
grandstand seating) for use by CART - received thirty (30)
days prior to race day;
c. PARKING
General - Twenty-five (25) parking passes for corporate
village suite guests;
U.S. Television Network - Parking passes shall be provided by
Organizer/Promoter up to a total of (10) ten. Ten (10) service
vehicle passes to allow delivery and servicing of equipment to
all areas of Event, excluding track access. For road & street
courses, an additional three (3) on-track access passes for
delivery and servicing of equipment under radio-controlled
supervision of race control and track security. CART to
coordinate;
International Television Networks - Parking passes shall be
provided by Organizer/Promoter up to a total of three (3) per
attending network, preferably in general media or general
network TV parking areas. One (1) parking pass to allow
equipment delivery as close as possible to these booths. CART
to coordinate;
IndyCar Radio Network - Parking passes shall be provided by
Organizer/Promoter up to a total of (3) three, preferably in
general media or general network TV
33
parking areas. One (1) parking pass to allow parking or
equipment delivery as close as possible to radio booth. CART
to coordinate;
Deadline Media - At least twenty-five (25) parking spaces for
deadline media in the vicinity of the press area, which
convenient overflow parking;
Competitor Transporter Space - each entrant (i.e. each
separately entered car/driver combination) will be allocates
sufficient parking space in the paddock for one (1)
transporter and work area (minimum 85 feet x 31 feet);
Competitor Motor Coach/Hospitality Space - Each entrant (i.e.
each separately entered car/driver combination) will be
allocated sufficient parking space for (1) motor coach
(minimum 50 feet x 15 feet); Additional space over and beyond
the 50 feet x 15 feet will be charges to the teams;
Owners/Drivers/Team Affiliates/CART Officials & Staff -
Organizer/Promoter will designate a parking area which will
accommodate owners, drivers, team affiliates and CART
officials and staff. Such area will be located in close
proximity to the paddock and/or garage area. Decaled vehicles
supplied by CART's Official car and truck suppliers and
IndyCar owners and drivers will have access to park in the
paddock or motor coach areas. The number of passes required
will be mutually agreed upon by Organizer/Promoter and CART's
Manager of Customer Services/Registrar;
CART Business Coach - Organizer/Promoter shall provide space
in an area easily accessible from the pit and paddock for the
parking of CART's business coach;
Supplier and Manufacturers - Organizer/Promoter will provide
parking and work areas in the paddock for suppliers and
manufacturers that provide entrants with products and
services;
Indy Lights or CART Officials Support Series -
Organizer/Promoter will provide an area in the paddock for
Indy lights transporter parking, competitor work areas,
administrative functions and technical inspection. An area
close to the paddock for team parking will be available.
B. ISSUED BY PROMOTER:
1. RACE PIT CREDENTIALS
This Event credential, provided by Organizer/Promoter for
issue by the organizer/Promoter and CART allows the bearer
access to the facility, paddock/garage and the pit area at any
time during a weekend racing Event. At specified Events, a
limited number of special credentials will be issued to allow
only necessary and appropriate personnel access to the pit
area thirty (30) minutes
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prior to and during the IndyCar race. Persons with this
credential must remain behind the pit wall during on track
activity. The dress code will be in effect during races with
scheduled pit stops.
2. PRACTICE & QUALIFYING CREDENTIALS
This Event credential, provided by Organizer/Promoter for
issue by Organizer/Promoter and CART allows the bearer access
to the pit area during all on track activity except races when
scheduled pit stops are a part of the race. Persons with this
credential must remain behind the pit wall during on track
activity. The bearer must leave the pit lane thirty (30)
minutes prior to the start of a race with scheduled pit stops.
3. REDEEMABLE CREDENTIAL
This credential provides the bearer general admission and
paddock/garage area access, but does not allow admission into
other restricted areas. To gain access to the pit area, the
bearer must present the credential for validation or reissue
and sign the proper waiver at a redemption center. The
redemption center will be operated by CART or
Organizer/Promoter and will be located in the infield, paddock
or other area mutually agreed upon by CART and
Organizer/Promoter. The purpose of this credential is to allow
distribution of credentials to V.I.P.'s that would be issued a
pit access credential prior to the Event. This system will
ensure easy access to the facility and not allow pit access
until the proper waiver is signed.
4. MEDIA
Organizer/Promoter shall issue credentials to media personnel
in accordance with the criteria established by CART and
Organizer/Promoter to meet local market obligations.
C. All credentials shall be plainly market "RACE PIT" or "PRACTICE &
QUALIFYING PIT", "MEDIA", "PHOTO", etc. Terms such as "HOT PITS" or
"COLD PITS" are not acceptable.
RULES
1. Credentials are not transferable.
2. Persons in restricted areas may not enter team areas unless
invited, must obey the instructions given by CART officials
and security personnel in regards to their safety and well
being and may not interfere in any way with the activities of
CART participants or the Event. All credentialed persons are
bound by the rules set forth in the IndyCar Rule Book which
pertain to conduct and safety.
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3. Persons not properly attired must leave the pit area thirty
(30) minutes prior to the scheduled start of the race. Proper
attire is defined as including the following tenets:
A. Shorts are not permitted.
B. Shirts fully covering the shoulders must be worn at
all times.
C. Open-toe shoes are not permitted.
IMPLEMENTATION
1. All security, gate guards, pit workers, registrars and staff
members with activities that may be affected by this policy,
will be notified of this policy.
2. All CART Owners, Drivers, team Managers, Chief Mechanics and
corporate Sponsors will be notified of this policy.
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SCHEDULE "D"
PPG PROGRAM AND OFFICIAL CARS
PACE CARS
The PPG pace cars will serve as the Official Pace Cars at all IndyCar Events
sanctioned by CART and shall be the only pace cars referred to as "Official Pace
Cars" in any advertising, publicity, or promotion of a CART Event by the
Organizer/Promoter.
Track announcers shall identify the PPG pace cars during the parade laps and
continue to identify the starting PPG pace car when it starts the race and when
it is on the track during caution flag periods.
SIGNS AND FLAGS
A. Organizer/Promoter shall furnish PPG at no charge with one (1) location
for a painted sign, highly visible to the principal grandstands and to
television cameras covering the race. PPG will assume responsibility
and cost for painting the sign.
B. PPG shall receive preferential treatment in placement of temporary
banners, signs, and flags at each track for CART Events only. Where
there is a tower, or two towers, PPG's banner shall be placed in a
center location, separate and apart from all other signs and banners.
PPG shall receive at no charge at least two (2) choice locations at
each track. Additional placement of PPG signs and banners will be in
such locations as may be determined by discussions between
Organizer/Promoter and representatives of PPG.
TICKETS AND CREDENTIALS
Organizer/Promoter shall provide choice seating locations for PPG when it makes
ticket purchase for its customers at the same rates, including discounts,
provided any other corporation or group. Also, Organizer/Promoter shall provide
PPG with a reasonable number of pit passes and parking stickers at no cost.
PROGRAM
Organizer/Promoter shall provide PPG with one (1) full-page, full color ad, for
which PPG will furnish color separations, and one (1) full-page of editorial in
their program at no cost to PPG.
VICTORY LANE
A banner bearing the words "PPG Indy Car World Series" shall appear above the
banner of the race sponsor on all podiums or stands in Victory Lanes or Winners'
Circles. Or, where a painted
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podium is used, "PPG Indy Car World Series" logo shall appear just above the
logo of the race sponsor in at least equal size. The backdrop built, maintained
and transported by PPG shall serve as the official and only backdrop unless
PPG's Racing Coordinator agrees for substitution of a special backdrop built by
Organizer/Promoter to specifications and approval of the PPG racing Coordinator.
NEWS RELEASES
The CART-sanctioned PPG Indy Car World Series and/or PPG Cup shall be identified
in all news releases and publicity issued by Organizer/Promoter, and such race
shall be identified as part of the Series, i.e., "... second race in the PPG
Indy Car World Series."
DISPLAY IN WORK AREA
Organizer/Promoter shall provide an area for the display and maintenance of the
PPG Pace Car fleet as required by PPG and CART.
PPG ON TRACK ACTIVITIES
The Event schedule will include time for PPG on track activities. The scheduling
(placement and allotted time) of these activities will be consistent with
Paragraph 26 of the Organizer/Promoter Agreement and Schedule E.
OFFICIAL CARS
In the event that Organizer/Promoter is able to obtain an official car from a
national automobile manufacturer and/or its local auto dealer, the parties agree
to designate that car as the Official Car of the Event and Organizer/Promoter
shall obtain any revenue derived as a result of the participation of the
national automobile manufacturer and/or its local dealer as a sponsor. In the
event that the national automobile manufacturer from which Organizer/Promoter
obtains a car is a manufacturer of a participating PPG car (whether such car is
obtained by the Organizer/Promoter directly from the manufacturer or from a
local dealer), CART agrees that such official car, if represented in the PPG
fleet, or if not so represented, such other model produced by said manufacturer
which is represented in the PPG fleet as may be selected by such manufacturer
shall be designated by CART as the Official Pace Car of such Event.
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SCHEDULE "E"
EVENT ACTIVITIES
INDYCAR ACTIVITIES
The appropriate (road course, oval or 500 mile) standard IndyCar schedule will
be in effect at all Events.
OFFICIAL SUPPORT SERIES AND PPG PACE CAR ACTIVITIES
Indy Lights or CART's official support series shall be entitled to compete at
this Event at no cost to CART or the support series. CART shall have the right
to schedule, at any time during the Event, including race day, its official
support series event as part of the overall CART activities. Standardized
schedules similar to the IndyCar standard format schedules will be developed for
PPG Pace Car on track activities and CART's official support series.
OTHER SUPPORT RACE ACTIVITIES
Any additional motor racing events must be approved by CART's Vice-President of
Operations. These activities will be scheduled in a manner which will minimize
any interference with any scheduled IndyCar, Indy Lights or CART's official
support series and PPG Pace Car on track activities. Support activities should
be selected to provide an appropriate complement to IndyCar activities and must
be a balanced program and offer good entertainment value to the fans. A one
half-hour break between scheduled competition activities is recommended. All on
track support activities must be sanctioned by a recognized FIA affiliate. A
formal sanction agreement executed between the sanctioning body and the event
organizer must be on file with CART. This agreement must verify the performance
and obligations of the sanctioning body and the event organizer and must not
infer any organizational or operational responsibility to CART. These activities
must be held in compliance with the sanctioning body's rules. The participant
accident and liability insurance limits and carrier must be acceptable to CART.
In addition, celebrity events must comply with the following:
1. All drivers must have successfully completed both classroom and on
track instruction.
2. Race cars must meet the safety requirements prescribed by the
sanctioning body of record and as a minimum must be equipped as
follows:
a. A seat that provides proper driver support in case of impact.
b. A five (5) point competition seat belt and harness.
c. Rollover protection
i) roll cage for closed-wheel production-type or -based
vehicles
ii) roll hoop for sports race and open-wheel race cars
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d. The electrical system must include an accessible master switch
and an impact/rollover switch. Both of these devices must
interrupt the current to all onboard circuits.
3. Historic and vintage car practice, qualifying, race or exhibition
activities will not be scheduled as part of this Event.
ENTERTAINMENT ACTIVITIES
Parades, exhibitions, stunts and other entertainment activities must be
scheduled in a manner which will not interfere with any racing activity. CART
does not accept any organizational or operational responsibility for these
activities. These activities must be held in compliance with any applicable
local, state or federal guidelines or regulations. Event liability insurance
must be in place to cover these activities.
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SCHEDULE "F"
POST RACE PROCEDURES/ACTIVITIES
The following post-race Victory Circle procedures are to be followed by all
drivers, teams, sponsors, promoters, track and security personnel, P.R.
representatives and the media. Procedures may vary at individual tracks by prior
arrangement between Organizer/Promoter and CART. In the event of such change,
notification will be made in the Drivers Meeting and in the Press Room.
The objectives of these procedures are to develop a uniform handling of the
victory Circle procedure in order to provide for a safe conclusion to the Event,
protect the integrity of the live television coverage of the Event, and to
present the winning drivers to the fans and the media in a organized fashion
that showcases the sport, and the sponsors who support it, in the most positive
way possible.
These procedures are meant to provide a guideline for the ideal handling of the
conclusion of the Event. Some of these procedures or the order of them may be
modified to take advantage of the physical properties of the Competition. It is
not meant in any way to deter the spontaneity or enthusiasm associated with
winning the race.
VICTORY CIRCLE PROCEDURES
1. The backdrop supplied by PPG will be the exclusive backdrop used on the
victory stand for all CART Competitions. The backdrop may not be
covered over. Its appearance or function may not be changed without
permission of the PPG Director of Racing.
2. Security sets temporary fencing across from the track at designated
location near the finish line and along the side or sides of the track
to form a "U" shape into which the cars will drive. Security will
coordinate with the Assistant Technical Director. All personnel are
reminded of the IndyCar Rule Book which prohibits the crossing of the
track and pit areas while hot.
3. Accredited photographers move behind security on up track side to await
the top three (3) cars.
4. The top three (3) cars stop perpendicular to security line side by
side. Or, alternately, winning car pulls into permanent track Victory
Circle where available.
5. Security sets temporary fencing across track behind top three (3) cars,
totally surrounding the cars, however, establishing two (2) entry
points on opposite ends of the Victory Circle for access. The following
personnel will be admitted: CART officials, TV and radio crews,
owners/teams, drivers's immediate family, key sponsor executives,
senior track and security, limited other personnel as determined by
CART.
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6. CART TV Coordinator gives Goodyear Hat or appropriate tire manufacturer
to winner for television interviews. Television interviews will be
conducted in the following order with priority given to live shows over
tape:
a. Host TV broadcaster
b. Foreign TV broadcaster
c. Network radio - if live
d. Local radio - if live
e. IndyCar Productions
Note that with three (3) drivers available, some interviews may occur
simultaneously. Live television will have preference of interviewing
drivers one, two and three without wait.
Teams, P.R. representatives, sponsors and other should respect the
integrity of the television broadcast and act appropriately. All three
(3) drivers should be respected. No unauthorized hats, products, signs,
etc. may be thrust in front of Television cameras. No hats may be
exchanged during televisions interviews or in front of the camera.
7. PPG/Title Sponsor Victory Podium Truck, if applicable, moves into
position during interviews.
8. After all television/radio interviews, top three (3) drivers proceed to
Victory Podium Truck or permanent podium where available. Security will
provide escort for drivers. In the event Television is still live,
security will expedite same.
9. Drivers will be presented and interviewed by the track announcer on
stage in the following order: 3-2-1
10. Trophies are presented by executive presenters according to agreement
between Organizer/Promoter and CART. Event title sponsor hats are worn.
Beauty queens should not be on stage unless stated in pre-existing
agreements with title sponsor.
11. Winning owner(s) are present on podium for presentation of Trophy.
12. First round of photography. Executive presenters and/or owner(s) leave
platform.
13. CART TV Coordinator effectuates changes of driver's hats for still
photography session(s). This sequence will not appear on television.
Hats will be accommodated in the following order:
a. PPG Industries
b. Team Sponsor(s)
c. Limited number of additional sponsor(s) only by prior
agreement-time permitting
14. Champagne will be discouraged unless there is a prior sponsorship
agreement, and will not be sprayed until all photo sessions are
concluded.
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VICTORY LAP
Drivers should be showcased to the fans. CART Pit Reporters may accompany
drivers if sufficient space is available.
Upon completion of Victory Lap drivers proceed to Press Room for interviews.
Security will provide proper escort.
