- 15 - video game basis with respect to the fees for the lease employees and other services. Under the Agreement, which sets forth a nonexclusive list of 10 “Services”, PPI agreed to provide “Day to day management of employees leased by EAPR pursuant to Section 2 [of the Agreement].” Section 2 of the Agreement, entitled “Lease of Employees”, provides in pertinent part as follows: All employees leased by PPI hereunder shall be located in the Premises leased by EAPR from PPI and shall be under the general supervision of EAPR. EAPR shall also supervise and control all technical and product-related training required by such employees. EAPR shall have the right to locate its own employees in the building space leased by it from PPI for the purpose of overseeing and directing the work of the employees leased to it by PPI subject to the requirements of the Lease attached hereto as Exhibit A. [The Lease is not attached to the stipulated copy of the Agreement, but the Lease is in the record in the instant cases as a separately stipulated exhibit.] The Lease provides in pertinent part as follows: 3. USE: The Premises are to be used as a manufacturing facility for the manufacture of videogame cartridges and shall be used solely by those employees leased from Lessor [PPI] by Lessee [EAPR] pursuant to a manufacturing services agreement and by one additional employee of Lessee, unless Lessor consents to use by other employees, and for no other purpose, without the prior written consent of Lessor. PPI invoiced EAPR for all labor costs as specified under the Agreement on the basis of the number of completed video games. This invoice charge included the amount of any taxes and unemployment contributions paid with respect to lease employees. The amount invoiced was determined based on labor costs, taxes,Page: Previous 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Next
Last modified: May 25, 2011