terms of service

TaxStatus Partner Terms of Service

Last updated: June 27, 2023

TaxStatus offers a SaaS Solution, which provides a conduit through which users can receive Taxpayer Information about individual and organizational Taxpayers at the request, and with the authorization of, such Taxpayers. These Partner Terms of Service that follow (“Terms of Service”) govern the use of the SaaS Solution and apply to the signed order referencing these Terms of Services (“Order”) between Tax Status, Inc. (“TaxStatus”) and the Partner indicated in the Order (“Partner”) pursuant to which Partner subscribes to the SaaS Solution.

Copies of these Terms of Service are available for download and printing by using current web browser software and going to https://www.taxstatus.com.

The “Agreement” consists of the Order and these Terms of Service. If there is a conflict between the terms in the Order and these Terms of Service, the terms in the Order will control. The parties may accept or execute an Order in writing, electronically or using any other process specified in the Order. The parties may execute the Order in several counterparts, all of which together constitute one agreement between the parties. This Agreement constitutes the entire agreement between the parties on the subject matter of this Agreement and supersedes all prior or contemporaneous agreements, negotiations, representations, and proposals with respect to the subject matter of this Agreement.

1.  Introduction

1.1       Defined Terms.

Some defined terms used in these Terms are defined in context; there is also a glossary of defined terms at the end.

1.2       Changes.

TaxStatus is constantly trying to improve its offerings. From time to time, TaxStatus may make changes to these Terms of Service. If TaxStatus makes a material change to the Terms of Service, TaxStatus will notify Partner and the respective change will become effective 30 days following that notice unless earlier implementation is required by law or is necessary to protect TaxStatus and/or users of the SaaS Solution. If Partner does not agree to the changes made, Partner may discontinue use of the SaaS Solution and close Partner’s account.

1.3       Contact TaxStatus.

Partner may contact TaxStatus regarding the SaaS Solution or these Terms of Service at: sales@taxstatus.com.

2.  SaaS Solution

2.1       SaaS Solution Subscription.

Subject to the terms and conditions of this Agreement, TaxStatus hereby grants Partner the nonexclusive, nontransferable (except in connection with an assignment permitted by this Agreement), non-sublicenseable right during the Term to permit its Authorized Users to access and use the SaaS Solution and such TaxStatus Materials as TaxStatus may supply or make available to Partner hereunder solely for  Partner and/or its Authorized Users to receive Taxpayer Information as authorized by the Taxpayer in accordance with the conditions and limitations set forth in this Agreement.  

2.2       Authorization and Consent for Taxpayer Information.

The IRS requires certain authorizations and consents from the Taxpayer in order for Partner to receive Taxpayer information through the SaaS Solution. The party responsible for obtaining the Taxpayer consents for retrieval and disclosure to Partner of Taxpayer Information is TaxStatus. Partner is responsible for using the TaxStatus SaaS Solution to obtain required authorizations and consents from the Taxpayer through documented and approved methods.

The SaaS Solution will present the Taxpayer with the necessary authorizations and consents appointing TaxStatus to serve as the Taxpayer’s agent for the purposes of requesting and obtaining the Taxpayer Information from the IRS and delivering to Partner the Taxpayer Information. Partner will have the ability to define the scope of consent that is presented to the Partner. Partner is responsible for verifying the Taxpayer’s identity either through utilization of the TaxStatus SaaS Solution or manual verification as may be required by the IRS as part of the authorization and consent. A Taxpayer may subscribe directly for TaxStatus’s services. Any relationship between TaxStatus and the Taxpayer for TaxStatus’s services is solely between TaxStatus and the Taxpayer.

2.3       Provision and Operation of SaaS Solution.

(a) Provision of SaaS Solution. TaxStatus shall provide to Partner the SaaS Solution in accordance with these Terms of Service and the Order, including the operation, provision, maintenance, and management TaxStatus Systems; TaxStatus reserves the right to engage and substitute Ordinary Course Providers as it deems appropriate.          

(b) Service Level Commitments. TaxStatus will use commercially reasonable efforts to make the SaaS Solution available 99.98% of the time in a given month, excluding downtime (e.g. caused by a Partner, caused by force majeure, scheduled maintenance, third party outages).  TaxStatus will not be able to obtain Taxpayer Information on Sundays from 12:00 a.m. to 4:00 p.m. or when the IRS is experiencing downtime.  

(c) Data Backup. The TaxStatus Systems are programmed to perform routine backups. In the event of any loss, destruction, damage or corruption of Taxpayer Information caused by the TaxStatus Systems, TaxStatus will, as its sole obligation and liability and as Partner’s sole remedy, use commercially reasonable efforts to restore the Taxpayer Information from TaxStatus’s then most current backup.

(d) Changes to SaaS Solution. TaxStatus reserves the right, in its sole discretion, to make any changes to the SaaS Solution and TaxStatus Materials that it deems necessary or useful.  

2.4       Use Limitations and Reservation of Rights.

As between the parties, TaxStatus reserves all right, title and interest in and to the SaaS Solution and TaxStatus Materials, including all Intellectual Property Rights therein, except for the limited rights to use the SaaS Solution and TaxStatus Materials set forth above. . Partner shall not, and shall not permit any other person or entity to, access or use the SaaS Solution or TaxStatus Materials except as expressly permitted by this Agreement and, in the case of Ordinary Course Providers, any applicable Ordinary Course Provider license terms. Without limiting the generality of the foregoing, Partner shall not, except as this Agreement expressly permits:

(a) copy, modify or create derivative works or improvements of the SaaS Solution or TaxStatus Materials;

(b) rent, lease, lend, sell, sublicense, assign, distribute, publish, transfer or otherwise make available the SaaS Solution or TaxStatus Materials to any person or entity;

(c) reverse engineer, disassemble, decompile, decode, adapt or otherwise attempt to derive or gain access to the source code of the SaaS Solution software or TaxStatus Materials, in whole or in part;

(d) bypass or breach any security device or protection used by the SaaS Solution or access or use the SaaS Solution other than by an Authorized User through the use of his/ her own then valid Access Credentials;

(e) input, upload, transmit or otherwise provide to or through the SaaS Solution or TaxStatus Systems, any information or materials that are unlawful or injurious, or contain, transmit or activate any Harmful Code;

(f) damage, destroy, disrupt, disable, impair, interfere with or otherwise impede or harm in any manner the SaaS Solution, TaxStatus Systems or TaxStatus’s provision of services to any third party, in whole or in part;

(g) remove, delete, alter or obscure proprietary rights notices or disclaimers from the TaxStatus Materials;

(h) access or use the SaaS Solution or TaxStatus Materials in any manner or for any purpose that infringes, misappropriates or otherwise violates any Intellectual Property Right or other right of any third party (including by any unauthorized access to, misappropriation, use, alteration, destruction or disclosure of the data of any other TaxStatus Partner), or that violates any Applicable Law; or

(i) access or use the SaaS Solution or TaxStatus Materials for purposes of competitive analysis of the SaaS Solution or TaxStatus Materials, the development, provision or use of a competing software service or product or any other purpose that is to the TaxStatus’s detriment or commercial disadvantage.

2.5       Use of IRS TIN Matching System

By participating in Services including use of the Internal Revenue Service Taxpayer Identification Number Matching System (the “IRS TIN Matching System”), Partner must:

(a) Comply with all requirements of Revenue Procedure 2003-9;

(b) Transmit only name/TIN combinations relating to accounts with respect to which a reportable payment is made;

(c) Transmit only name/TIN combinations that have not been previously transmitted by Partner to the Service for matching;

(d) Maintain the confidentiality of information obtained through TIN solicitation activities in accordance with the requirements of §31.3406(f)-1 of the Employment Tax Regulations; and

(e) Provide the Service with the information necessary to monitor the effectiveness of the IRS TIN Matching System

2.6       Suspension or Termination of SaaS Solution Access.

TaxStatus may, directly or indirectly, including by use of a TaxStatus Disabling Device or any other lawful means, suspend, terminate or otherwise deny Partner’s, any Authorized User’s or any other person’s access to or use of all or any part of the SaaS Solution without incurring any resulting obligation or liability, if:

(a) TaxStatus receives a judicial or other governmental demand or order, subpoena or law enforcement request that requires TaxStatus to do so;

(b) Partner fails to pay any undisputed amounts due under this Agreement within ten days following written notice thereof; or

(c) TaxStatus believes, in its discretion, that: (i) Partner or any Authorized User has failed to comply with any material term of this Agreement; (ii) Partner or any Authorized User is, has been, or is likely to be involved in any fraudulent, misleading or unlawful activities relating to or in connection with the SaaS Solution; (iii) this Agreement expires or is terminated; (iv) Partner or any Authorized User has failed to maintain the Partner Systems such that TaxStatus’s performance hereunder is no longer practicable; or (v) Partner’s or any Authorized User’s use of the SaaS Solution poses a security risk or threat to the function of the SaaS Solution, or to TaxStatus, its Affiliates, any TP Cloud Provider or any other third party. TaxStatus will restore Partner’s or its Authorized User’s suspended access and use rights promptly after such entity resolves the issue giving rise to the limitation (if resolvable) and, where the suspended party is an Authorized User, after Partner agrees to such restoration of the SaaS Solution service. This Section does not limit any of TaxStatus’s other rights or remedies, whether at law, in equity or under this Agreement. ‌

3.  Partner Obligations

3.1       Partner’s Management.  

Partner has and will retain sole control over the operation, maintenance, and management of, and all access to and use of, the Partner Systems, and sole responsibility for all access to and use of the SaaS Solution and TaxStatus Materials by any person or entity by or through the Partner Systems and any other means controlled by Partner or any Authorized User. Within Partner’s infrastructure, Partner is responsible for properly configuring and using the SaaS Solution in a manner that provides security and redundancy, such as, for example, using enhanced access controls to prevent unauthorized access to the SaaS Solution and Taxpayer Information, using encryption technology to prevent unauthorized access to Taxpayer Information, and ensuring the appropriate level of backup to prevent loss of Taxpayer Information.    If Partner becomes aware of any actual or threatened activity prohibited by the provisions of these Terms of Service or unauthorized use of any Access Credentials or any other known or suspected breach of security of the SaaS Solution, Partner shall immediately:

(a) take all reasonable and lawful measures within their respective control that are necessary to stop the activity or threatened activity and to mitigate its effects and permanently erase from their systems and destroy any data to which any of them have gained unauthorized access; and

(b) notify TaxStatus of any such actual or threatened activity

3.2       Reservation of Company’s Rights; Ownership.

Other than as expressly provided in this Agreement, Partner is not granted any right or license under, and Partner shall not use any TaxStatus Confidential Information or any TaxStatus Intellectual Property Rights, including, but not limited to the SaaS Solution and the TaxStatus Materials, and TaxStatus reserves all rights related thereto. No other right or license is to be implied by or inferred from this Agreement’s terms or TaxStatus’s conduct.            

3.3       Compliance.  

Partner shall comply with, and is solely responsible for its compliance with, Applicable Laws related to the manner in which Partner chooses to use the SaaS Solution and the Taxpayer Information.    

3.4       Effect of Partner Failure or Delay.

TaxStatus is not responsible or liable for any delay or failure of performance caused in whole or in part by Partner’s delay in performing, or failure to perform, any of its obligations under this Agreement.

4.  Fees; Payment Terms.

4.1       Fees.

Partner shall pay TaxStatus the fees set forth in the Order (“Fees”) . Unless otherwise set forth in an Order, Partner shall pay all Fees in U.S. dollars within 30 days after the date of the invoice therefor without deduction or setoff. If Partner fails to make any payment when due, then in addition to all other remedies that may be available (a)  TaxStatus may charge interest on the past due amount at a rate equal to the lesser of 1% per month or the highest rate allowed by Applicable Law; and (b) Partner shall reimburse TaxStatus for all costs incurred by TaxStatus in collecting any late payments or interest, including attorneys’ fees, court costs and collection agency fees

4.2       Fee Increases.

Unless otherwise set forth in an Order, TaxStatus may increase Fees no more than once every twelve (12) months or at any renewal of an Order by providing written notice to Partner at least sixty (60) calendar days prior to the change or beginning of the renewal.

4.3       Additional Charges.

Out-of-pocket expenses, if any, shall be billed to Partner as set forth in an Order.

4.4       Taxes.

All Fees and other amounts payable by Partner under this Agreement are exclusive of taxes and similar assessments. Partner is responsible for such taxes and similar assessments, including all sales, use and excise taxes, and any other similar taxes, duties and charges of any kind imposed by any federal, state or local governmental or regulatory authority on any amounts payable by Partner hereunder, other than any taxes imposed on TaxStatus’s income.

4.5       Fee Dispute.

If Partner objects to any portion of an invoice in good faith, Partner shall so notify TaxStatus identifying the specific cause of the disagreement and the amount in dispute in writing no later than the date the invoice is otherwise due for payment. Partner shall pay that portion of the invoice not in dispute in accordance with the other payment terms of this Terms of Service.  Any dispute over invoiced amounts due that cannot be resolved within thirty (30) calendar days after Partner notifies TaxStatus of the dispute by direct negotiation between the Parties shall be resolved in accordance with the Dispute Resolution provisions of this Terms of Service.

5.  Data.

5.1       Partner Data.

As between Partner and TaxStatus, Partner is and will remain the sole and exclusive owner of all rights, title and interest in and to all Partner Data. TaxStatus is providing the SaaS Solution hereunder as a service provider to Partner and TaxStatus shall only process Partner Data: (1) to provide the SaaS Solution and related obligations under this agreement; (2) to retain and employ another service provider as a subcontractor; (3) for internal use to build or improve the quality of its services; (4) to detect data security incidents, or protect against fraudulent or illegal activity; (5) to comply with Applicable Laws; (6) to comply with a civil, criminal, or regulatory inquiry, investigation, subpoena, or summons by federal, state, or local authorities; (7) to cooperate with law enforcement agencies concerning conduct or activity that TaxStatus or a third party believes may violate law; (8) to exercise or defend legal claims; or (9) as authorized by Partner.

5.2       Protection of Partner Data.

TaxStatus will implement and maintain reasonable and appropriate technical, physical, and administrative safeguards designed to secure Partner Data against accidental or unlawful loss, access or disclosure. The data protection addendum located in Schedule C (Data Protection Addendum) describes the privacy and security obligations related to TaxStatus’s handling of Partner Data.

5.3       Usage Data.  

As between the parties, TaxStatus owns, without restriction, all rights, including all Intellectual Property Rights, in the statistical usage data derived from the operation of the SaaS Solution, including data regarding web applications utilized in connection with the SaaS Solution, configurations, log data, and the performance results for the services (“Usage Data”).

5.4       Taxpayer Information.  

All rights in and to the Taxpayer Information are and will remain with the Taxpayer to whom the Taxpayer Information pertains. Partner has no right, license, or authorization with respect to any of the Taxpayer Information except as granted to and authorized in writing by the Taxpayer.  

5.5       Fair Credit Reporting Act.

The parties agree that for purposes of this Agreement TaxStatus is operating as a consumer reporting agency, as that term is defined in the Fair Credit Reporting Act (15 U.S.C. § 1681 et seq.) (“FCRA”) and Partner is a furnisher as that term is defined under the FCRA, each party having obligations and responsibilities under the FCRA. The parties acknowledge that the Taxpayer Information will be used only for purposes permissible by the FCRA and any other relevant federal and state laws, rules, and regulations. The parties acknowledge their respective obligations under the FCRA and compliance with these obligations.

A notice informing furnishing parties of their obligations under the FCRA is available on the TaxStatus Trust Center, as well as from the Federal Trade Commission and the Consumer Financial Protection Board (see https://consumer.ftc.gov/system/files/consumer_ftc_gov/pdf/notice-to-furnishers.pdf)

6.  Confidentiality.

6.1       Confidential Information.

In connection with this Agreement, each party may disclose or make available Confidential Information to the other party. Subject to Section 9.2, “Confidential Information” means the terms of this Agreement and all non-public information of the disclosing party in any form or medium, including, but not limited to, information consisting of or relating to the disclosing party’s technology, trade secrets, know-how, business operations, plans, strategies, Partners and pricing, and information with respect to which the disclosing party has contractual or other confidentiality obligations, in each case whether or not marked, designated or otherwise identified as “confidential”.

6.2       Exclusions.

Confidential Information does not include information that the receiving party can demonstrate by written or other documentary records: (a) was rightfully known to the receiving party without restriction on use or disclosure prior to such information’s being disclosed or made available to the receiving party in connection with this Agreement; (b) was or becomes generally known by the public other than by the receiving party’s or any of its Representatives’ noncompliance with this Agreement; (c) was or is received by the receiving party on a non-confidential basis from a third party that, to the receiving party’s knowledge, was not or is not, at the time of such receipt, under any obligation to maintain its confidentiality; or (d) the receiving party can demonstrate by written or other documentary records was or is independently developed by the receiving party without reference to or use of any Confidential Information of the disclosing party.

6.3       Protection of Confidential Information.

The receiving party shall (a)  not access or use Confidential Information other than as necessary to exercise its rights or perform its obligations under and in accordance with this Agreement, and (b) safeguard the Confidential Information from unauthorized use, access or disclosure using at least the degree of care it uses to protect its similarly sensitive information and in no event less than a reasonable degree of care. Except as may be permitted by and subject to its compliance with Section 6.4, the receiving party shall not disclose or permit access to Confidential Information other than to its Representatives who: (i) need to know such Confidential Information for purposes of the Receiving Party’s exercise of its rights or performance of its obligations under and in accordance with this Agreement; and (ii) are bound by written confidentiality and restricted use obligations at least as protective of the Confidential Information as the terms set forth in this Section 6. The receiving party shall ensure its Representatives’ compliance with and be responsible and liable for any of its Representatives’ non-compliance with, the terms of this Section 6.  

6.4       Compelled Disclosures.  

If the receiving party is compelled by Applicable Law to disclose any Confidential Information then, to the extent permitted by Applicable Law, the receiving party shall: (a) promptly, and prior to such disclosure, notify the disclosing party in writing of such requirement so that the disclosing party can seek a protective order or other remedy; and (b) provide reasonable assistance to the disclosing party, at the disclosing party’s sole cost and expense, in opposing such disclosure or seeking a protective order or other limitations on disclosure. if the disclosing party waives compliance or, after providing the notice and assistance required under this Section, the receiving party remains required by law to disclose any Confidential Information, the receiving party shall disclose only that portion of the Confidential Information that, on the advice of the receiving party’s legal counsel, the receiving party is legally required to disclose and, on the disclosing party’s request, shall use commercially reasonable efforts to obtain assurances from the applicable court or other presiding authority that such Confidential Information will be afforded confidential treatment.

7.  Term and Termination.

7.1       Term.

This Agreement will continue for the period set forth in the Order, unless the Agreement is earlier terminated as set forth in this Agreement.

7.2       Termination.  

A party may terminate this Agreement for convenience subject to the timeframe listed in the Order by notifying the other party in writing. A party may terminate Agreement by notifying the other party in writing:

(a)  if the other party commits a material breach of this Agreement, and such breach: (i) is incapable of cure; or (ii) being capable of cure, remains uncured 30 days after the breaching party receives written notice of such breach from the non-breaching party; or

(b) if the other party (i) becomes insolvent or is generally unable to pay, or fails to pay, its debts as they become due; (ii) files or has filed against it, a petition for voluntary or involuntary bankruptcy or otherwise becomes subject, voluntarily or involuntarily, to any proceeding under any domestic or foreign bankruptcy or insolvency law; (iii) makes or seeks to make a general assignment for the benefit of its creditors; or (iv) applies for or has appointed a receiver, trustee, custodian or similar agent appointed by order of any court of competent jurisdiction to take charge of or sell any material portion of its property or business.

7.3       Effect of Expiration or Termination.

Upon any expiration or termination of this Agreement, except as expressly otherwise provided in this Agreement:

(a)  all rights, licenses, consents and authorizations granted by TaxStatus hereunder will immediately terminate;

(b)  Partner shall immediately cease all use of any SaaS Solution and TaxStatus Materials and (i) within 30 days return to TaxStatus or destroy, all TaxStatus Materials or TaxStatus’s Confidential Information; (ii) permanently erase all TaxStatus Materials and TaxStatus’s Confidential Information from all systems that Partner directly or indirectly controls; and (iii) upon request; certify to TaxStatus in a signed, written instrument that it has complied with the requirements of this Section; and

(c)  TaxStatus may disable all Partner and Authorized User access to the SaaS Solution and TaxStatus Materials TaxStatus will within 30 days of termination and shall (i) return or destroy all Partner Data and Partner Confidential Information, (ii) permanently erase all Partner Data and Partner’s Confidential Information from all systems that TaxStatus directly or indirectly controls; and (iii) upon request certify to Partner in a signed, written instrument that it has complied with the requirements of this Section; except that TaxStatus is not, in connection with the foregoing obligations, be required to delete Partner’s Confidential Information or Partner Data held electronically in archive or backup systems in accordance with TaxStatus’s general systems archiving or backup policies or which cannot reasonably be separated from Taxpayer Information stored by TaxStatus.

7.4       Surviving Terms.

Any other right or obligation of the parties in this Agreement that, by its nature, should survive termination or expiration of this Agreement, will survive any expiration or termination of this Agreement, including but not limited to Sections 4, 6, 7.3, 7.4, 8.2, 9, 10, 12, 13, 14, and 17.

8.  Representations and Warranties.

8.1       Mutual Representations and Warranties.

Each party represents and warrants to the other party that:  (a)  it is duly organized, validly existing and in good standing as a corporation or other entity under the laws of the jurisdiction of its incorporation or other organization; and (b) it has the full right, power and authority to enter into and perform its obligations and grant the rights, licenses, consents and authorizations it grants or is required to grant under this Agreement and its performance hereunder does not breach any other agreement to which it is bound.

8.2       Disclaimer.


9.  Indemnification.

9.1       TaxStatus Indemnification.

TaxStatus shall defend any claim brought by a third party against Partner that Partner’s or an Authorized User’s use of the SaaS Solution or TaxStatus Materials in compliance with this Agreement infringes a U.S. Intellectual Property Right, and shall indemnify Partner for any award of damages and costs made against Partner in a final judgment by a court of competent jurisdiction, or any amount in settlement, arising out of the claim. The foregoing obligation does not apply to the extent arising out of or relating to any: (a) access to or use of the SaaS Solution or TaxStatus Materials in combination with any hardware, system, software, network or other materials or service not provided or authorized writing by TaxStatus; (b)   modification of the SaaS Solution or TaxStatus Materials other than by TaxStatus or its agents; (c)  Taxpayer Information, Partner Data or any other materials not provided by TaxStatus; or (d)  abuse, misuse, alteration or use of the SaaS Solution or (d) any act, omission or other matter described in Section 9.2 whether or not the same results in any claim against TaxStatus or Partner. If either of the SaaS Solution or TaxStatus Materials are, or in TaxStatus’s opinion are likely to be, claimed to infringe, misappropriate, or otherwise violate any third-party Intellectual Property Right, or if Partner’s or any Authorized User’s use of the SaaS Solution or TaxStatus Materials is enjoined or threatened to be enjoined, TaxStatus may, at its option and sole cost and expense: (i) obtain the right for Partner to continue to use the SaaS Solution and TaxStatus Materials materially as contemplated by this Agreement;  (ii)  modify or replace the SaaS Solution and TaxStatus Materials, in whole or in part, to seek to make the SaaS Solution and TaxStatus Materials (as so modified or replaced) non-infringing, while providing materially equivalent features and functionality; or (iii) by written notice to Partner, terminate this Agreement, and require Partner to immediately cease any use of the SaaS Solution and TaxStatus Materials, in which case TaxStatus shall return to Partner a prorated portion (calculated on a daily basis as of the date of notification of termination by TaxStatus) of any license fees which have been prepaid for the period of time for which Partner will no longer receive access to the SaaS Solution. THIS SECTION SETS FORTH PARTNER’S SOLE REMEDIES AND TAXSTATUS’S SOLE LIABILITY AND OBLIGATION FOR ANY ACTUAL, THREATENED OR ALLEGED CLAIMS THAT THE TAXSTATUS MATERIALS OR SAAS SOLUTION INFRINGES ANY THIRD-PARTY INTELLECTUAL PROPERTY RIGHT.

9.2       Partner Indemnification.

Partner shall defend any claim brought by a third party against TaxStatus and its Ordinary Course Providers, that arises out of any (a) allegation that Partner Data or any other materials or information provided by or on behalf of Partner or any Authorized User, including TaxStatus’s compliance with any specifications or directions provided by or on behalf of Partner or any Authorized User, infringes a U.S. Intellectual Property Right;  or (b)  Partner’s breach of Sections 2.2, 2.4, 3.1, or 3.3 of this Agreement; and shall indemnify them for any award of damages and costs made against them in a final judgment by a court of competent jurisdiction, or any amount in settlement, arising out of the claim.

9.3       Indemnification Procedure.

Each party shall promptly notify the other party in writing of any claim for which such party believes it is entitled to be indemnified. The indemnified party shall cooperate with the indemnifying party at the Indemnifying party’s sole cost and expense. The indemnifying party shall immediately take control of the defense and investigation of such claim and shall employ counsel to handle and defend the same, at the indemnifying party’s sole cost and expense. The indemnified party’s failure to perform any obligations under this Section 9.3 will not relieve the indemnifying party of its obligations under this Section 9 except to the extent that the indemnifying party can demonstrate that it has been materially prejudiced as a result of such failure. The indemnified party may participate in and observe the proceedings at its own cost and expense with counsel of its own choosing.

10.  Limitations of Liability.

10.1    Exclusion Of Damages.


10.2    Liability Cap.


11. Force Majeure.

11.1    Force Majeure.

In no event will either party be liable or responsible to the other party or be deemed to have defaulted under or breached this Agreement, for a Force Majeure Event. Either party may terminate this Agreement if a Force Majeure Event affecting the other party continues substantially uninterrupted for a period of ninety (90) days or more. In the event of any failure or delay caused by a Force Majeure Event, the affected party shall give prompt written notice to the other party stating the period of time the occurrence is expected to continue and use commercially reasonable efforts to end the failure or delay and minimize the effects of such Force Majeure Event.

12. Governing Law.

12.1    Governing Law.

This Agreement is governed by the laws of the State of Delaware without regard to any conflicts of law rules.

13. Dispute Resolution.  

13.1    Dispute Resolution.

Before initiating legal action against the other relating to a dispute herein, the parties agree to work in good faith to resolve disputes arising out of this Agreement. To this end, either party may request that each party designate an officer or other management employee with authority to bind such party to meet to resolve the dispute. If the dispute is not resolved within thirty (30) days of the commencement of informal efforts under this paragraph, either party may pursue formal legal process. This paragraph will not apply if expiration of the applicable time for bringing an action is imminent and will not prohibit a party from pursuing injunctive or other equitable relief to which it may be entitled.

14. Equitable Relief.

14.1    Equitable Relief.

A breach or threatened breach by a party of any of its restrictions on use or disclosure in Section 2.4, 5.2, or 6 would cause the other party irreparable harm for which monetary damages would not be an adequate remedy and agrees that, in the event of such breach or threatened breach, the other party will be entitled to equitable relief, without any requirement to post a bond or other security, or to prove actual damages or that monetary damages are not an adequate remedy. Such remedies are not exclusive and are in addition to all other remedies that may be available at law, in equity or otherwise.

15. Notices.  

15.1    Notices.

All notices, requests, consents, claims, demands, waivers, and other communications under this Agreement have binding legal effect only if in writing and addressed to a party at its address in the Order (or to such other address or such other person that such party may designate from time to time in accordance with this Section) . will be deemed effectively given: (a) upon receipt when delivered in person or by nationally recognized overnight courier; (b) two days the day after the date mailed by certified or registered mail, return receipt requested, postage prepaid; or (c) if sent by email, upon confirmation of receipt or upon delivery if sent by email via a commercially available email service which provides the sender legally valid and court admissible evidence of email correspondence.

16. Assignment.

16.1    Assignment.

Neither party may assign this Agreement without the prior written consent of the other, except that either party may assign this Agreement as a whole to an Affiliate or in connection with the sale of all or substantially all of the business or assets of such party including any merger, consolidation, or other reorganization of such party. Any purported assignment in violation of this Section is void. This Agreement is binding upon and inures to the benefit of the parties hereto and their respective permitted successors and assigns.

17. Miscellaneous.

17.1    Miscellaneous.

The parties are independent contractors and their relationship is nonexclusive. Nothing contained in this Agreement shall be construed as creating any agency, partnership, joint venture or other form of joint enterprise, employment or fiduciary relationship between the parties, and neither party shall have authority to contract for or bind the other party in any manner whatsoever. There are no third-party beneficiaries to this Agreement. Except as expressly provided above in Section 1, no waiver, amendment or modification of any provision of this Agreement will be effective unless it is in writing, refers to this Agreement, and is signed by authorized representatives of the parties.  No failure or delay by either party to exercise any right, power, or remedy constitutes a waiver of that right, power, or remedy.  A party’s waiver of the performance of any covenant or any breach is not to be construed as a waiver of any succeeding breach or of any other covenant. If any provision of this Agreement requires judicial interpretation, this Agreement is not to be more strictly construed against one party than the other. If any provision of this Agreement is declared invalid by a court of competent jurisdiction, the provision will be ineffective only to the extent of the invalidity, so that the remainder of that provision and all remaining provisions of this Agreement will continue in full force and effect.

18. Glossary.

“Access Credentials” means any username, identification number, password, license or security key, security token, PIN or other security code, method, technology, or device used, alone or in combination, to verify a user’s identity and authorization to access and use the SaaS Solution.

“Affiliate” means any entity that is directly or indirectly Controlled by, Controlling, or under common Control with an entity, where “control” used above means direct or indirect ownership or control of more than 50% of the voting interests of the subject entity.

“Applicable Law” means with respect to any person or entity any federal, state, local or foreign statute, law, ordinance, regulation, rule, code, order, constitution, treaty, common law, judgment, decree or other requirement of any federal, state, local or foreign government or political subdivision thereof, or any arbitrator, court or tribunal of competent jurisdiction that is binding upon or applicable to such person or entity.

“Authorized User” means one individual natural person, whether an employee, business partner, contractor, or agent of Partner or its Affiliates who is registered by Partner in Partner’s Saas Solution to use the TaxStatus services. An Authorized User must be identified by a unique user name, and two or more persons may not use the TaxStatus services as the same Authorized User. If the Authorized User is not an employee of Partner, use of the TaxStatus services will be allowed only if the user is under confidentiality obligations with Partner at least as restrictive as those in the Terms of Service and is accessing or using the TaxStatus services solely to support Partner’s and/or Partner Affiliates’ internal business purposes.

“Partner Data” means information, data and other content that is collected, downloaded, or otherwise received, directly or indirectly from Partner or an Authorized User by or through the SaaS Solution, including the information submitted by or about Authorized Users. Partner Data does not include Taxpayer Information.  

“Partner Systems” means Partner’s information technology infrastructure, including, without limitation any on-premises components required to enable or fully leverage the SaaS Solution, as well as computers, software, hardware, databases, electronic systems and networks, whether operated directly by Partner or through the use of third-party service providers.

“Force Majeure Event” means any act, event or cause, except in relation to obligations to make payments under this Agreement, beyond the reasonable control of the party affected by that event and not otherwise due to such party’s negligence including, without limitation, any act of God or any public enemy, fire, flood, epidemic, pandemic, breakdown of or damage to equipment or facilities, inability to obtain or unavailability of materials, strikes, war, sabotage, riot, national emergency, embargo, decree or order of any government, governmental authority or court. With respect to TaxStatus, a “Force Majeure Event” also includes failures or delays arising from or related to a TP Cloud Provider’s acts or omissions.

“Harmful Code” means any software, hardware or other technology, device or means, including any virus, worm, malware or other malicious computer code, the purpose or effect of which is to (a) permit unauthorized access to, or to destroy, disrupt, disable, distort, or otherwise harm or impede in any manner (i) any computer, software, firmware, hardware, system or network or (ii) any application or function of any of the foregoing or the security, integrity, confidentiality or use of any data processed thereby, or (b) prevent Partner or any Authorized User from accessing or using the SaaS Solution or TaxStatus Systems as intended by this Agreement. Harmful Code does not include any TaxStatus Disabling Device.

“Intellectual Property Rights” means any and all registered and unregistered rights granted, applied for or otherwise now or hereafter in existence under or related to any patent, copyright, trademark, trade secret, database protection or other intellectual property laws, and all similar or equivalent rights or forms of protection, in any part of the world.

“IRS” means the United States Internal Revenue Service.

“Ordinary Course Providers” means TP Cloud Providers and other service providers used by TaxStatus to support the provision of the SaaS Solution in the ordinary course of its business and not specifically for Partner.

“Representatives” means, with respect to a party, that party’s and its Affiliates’ employees, officers, directors, consultants, agents, independent contractors, service providers, sublicensees, Ordinary Course Providers and legal advisors.

“SaaS Solution” means the software as a service available through www.taxstatus.com that provides a conduit through which users can receive Taxpayer Information about Taxpayers at the request, and with the authorization of, such Taxpayers.

“Support Services” means the services that TaxStatus offers to Partners to assist with questions about and problems with the SaaS Solution.

“Taxpayer” means a single taxpayer as defined by United States law, generally including any person who is subject to United States internal revenue tax, and may be an individual or a trust, estate, partnership, association, company or corporation.

“Taxpayer Identification Number” or “TIN” means an unique employer identification number, social security number or individual Taxpayer identification number.

“Taxpayer Information” means a Taxpayer’s IRS account transcript(s) and tax return information available from the IRS.

“TaxStatus Disabling Device” means any software, hardware or other technology, device or means used by TaxStatus or its designee to disable Partner’s or any Authorized User’s access to or use of the SaaS Solution automatically with the passage of time or under the positive control of TaxStatus or its designee.

“TaxStatus Materials” means the SaaS Solution, documentation and TaxStatus Systems and all other information, data, documents, materials, works, devices, and other technologies and inventions, including any deliverables, technical or functional descriptions, or requirements, that are provided or used by TaxStatus or any Ordinary Course Providers in connection with the SaaS Solution or that otherwise comprise or relate to the SaaS Solution or TaxStatus Systems.

“TaxStatus Personnel” means all individuals involved in the performance hereunder as employees, agents or independent contractors of TaxStatus or any Ordinary Course Providers.

“TaxStatus Systems” means the information technology infrastructure used by or on behalf of TaxStatus in providing the SaaS Solution, including computers, software, hardware, databases, electronic systems (including database management systems) and networks, whether operated directly by TaxStatus or through the use of third-party services.  

“TP Cloud Provider” means a third-party service provider who provides cloud services, including hosting services, to TaxStatus and/or its service providers with respect to infrastructure, databases, and operations necessary for TaxStatus to perform hereunder.


This Data Protection Addendum (this Addendum) is made a part of the Agreement to which it is attached.  This Addendum sets forth additional protections regarding Partner Data.

1.         Definitions.

In addition to any terms defined elsewhere in the Addendum or Agreement, the following terms have the following meanings:

“Data Protection Laws” means all Applicable Laws regarding the privacy, security, or Processing of Personal Information.

“Personal Information” means any information constituting Partner Data (1) relating to an identified or identifiable natural person; and (2) any information defined as “personally identifiable information,” “personal information,” “personal data” or similar terms as such terms are defined under Applicable Laws that TaxStatus processes in connection with the SaaS Solution hereunder.

“Security Incident” means any unauthorized access to, or use or disclosure of, Personal Information in TaxStatus’s possession or control.

“Processed”, “Process” and “Processing” means any operation or set of operations which is performed on Partner Data or on sets of Partner Data, whether or not by automated means, such as creation, collection, sale, retention, deidentification, aggregation, accessing, recording, organization, structuring, storage, adaptation or alteration, retrieval, consultation, use, transmission, disclosure, dissemination or otherwise making available, alignment or combination, restriction, erasure, or destruction.

2.         Compliance.

TaxStatus shall comply with all applicable Data Protection Laws. TaxStatus also shall maintain an appropriate level of data security certification established by a qualified third-party certification body and regularly obtain an assessment of its Security Program (as defined below) consistent with industry best practices. In its use of the SaaS Services, Partner will comply with the Data Protection Laws, including any applicable requirements to provide notice to and/or obtain consent from individuals for Processing of Partner Data. Partner shall be solely responsible for the accuracy, quality, and legality of Partner Data and the means by which Partner acquired Partner Data.

3.         Security Program.

TaxStatus has implemented and will maintain a comprehensive written privacy and data security program (“Security Program”) that complies with Data Protection Laws; incorporates appropriate administrative, technical, and physical safeguards designed to ensure the security, confidentiality, integrity, and availability of Partner Data, to protect against any threats or hazards to the security, confidentiality, integrity, or availability of Partner Data, and to protect against unauthorized Processing of Partner Data (including unauthorized access to, use of, and disclosure of Partner Data). TaxStatus’s Security Program shall include at least the following safeguards:

3.1       Appropriate user authentication controls, including secure methods of assigning, selecting, and storing access credentials, restricting access to active users, blocking access after a reasonable number of failed authentication attempts, and multi-factor authentication;

3.2       Appropriate secure access controls, including controls that limit access to Partner Data to individuals that have a need-to-know, supported by policies, protocols and controls to facilitate access authorization, establishment, modification and termination;

3.3       Appropriate ongoing training and awareness programs designed to ensure workforce members and others acting on TaxStatus’s behalf are aware of and adhere to Security Program policies, procedures, and protocols, including training on TaxStatus’s privacy and data security obligations, TaxStatus’s administrative, physical, and technical safeguards, handling, use, and disposal of Partner Data, and threats to the privacy, confidentiality, integrity, availability, or security of Partner Data, including social engineering, phishing, and hacking threats;

3.4       Appropriate monitoring of systems and other technical security measures, including firewall protection, antivirus protection, security patch management, logging of access to or use or disclosure of data, and intrusion detection;

3.5       Appropriate business resumption, data backup, continuity, and contingency plans and safeguards and disaster recovery plans and safeguards, including at a minimum a disaster recovery/business continuity plan (“BCP”) designed to ensure that TaxStatus can continue to provide the services and protect Partner Data in compliance with the Agreement and this Addendum in the event of: (i) a disaster, (ii) another event that could result in the interruption of TaxStatus’s capability to perform its obligations to Partner under this Agreement; or (iii) another BCP-triggering event (as may be defined in the BCP).

3.6       Appropriate regular and timely adjustments to TaxStatus’s Security Program based on: periodic risk assessments; regular comprehensive evaluations (such as third-party assessments) of TaxStatus’s Security Program; monitoring and regular testing of the effectiveness of safeguards, including vulnerability assessment and penetration testing; and a review of safeguards at least annually and whenever there is a material change in TaxStatus’s technical environment or business practices that may implicate the confidentiality, availability, integrity, or security of Partner Data, or TaxStatus’s information systems;

3.7       Secure disposal of Partner Data;

3.8       Appropriate facility security measures, including access controls, designed to prevent unauthorized access to premises, information systems, and data;

3.9       Appropriate security checks and vetting of employees and other individuals with access to Partner Data, including through background checks;

3.10     Appropriate safeguards that conform with industry best practices and that ensure the services are not impacted by, and are free of, any computer program routines, devices, code, instructions, or features capable of accessing, modifying, deleting, damaging, disabling, deactivating, interfering with access to, or otherwise harming Partner Data;

3.11     Appropriate encryption of all Partner Data that constitutes Personal Information in transit and at rest. TaxStatus’s encryption shall meet industry standards and be sufficient to support application of legal safe harbors and effectively prevent unauthorized access in the event of a security incident.

3.12     Logical segmentation of Partner Data from data of others.

4.         Unauthorized Processing of Partner Data.  

TaxStatus shall not Process Partner Data, nor permit the Processing of Partner Data, except pursuant to the Agreement. For the avoidance of doubt, TaxStatus shall not sell any Personal Information, and TaxStatus shall not retain, use, or disclose Personal Information outside of the direct business relationship between TaxStatus and Partner. The parties acknowledge that Partner is not selling or providing any Personal Information to TaxStatus in return for monetary or other consideration. TaxStatus certifies that it understands the restrictions set forth in this section and will comply with them.

5.         Security Incidents.

5.1       TaxStatus agrees to notify Partner without undue dela after TaxStatus becomes aware of any Security Incident.

5.2       TaxStatus shall promptly take actions that are necessary and advisable to correct, mitigate, and designed to prevent recurrence of the Security Incident. TaxStatus shall reasonably cooperate fully with Partner and its designees in all efforts to investigate the Security Incident including responding to Partner’s inquiries about the Security Incident in a timely fashion. The obligations in this Section 5 do not apply to incidents that are caused by Partner or its Authorized Users.

5.3       In the event of a Security Incident, Partner’s point of contact at TaxStatus will be: Charles Almond phone: 469.346.5092, email: charles@taxstatus.com.

6.         Security Review.

On an annual basis and upon request, TaxStatus will provide Partner access to a standard due diligence package, inclusive of a copy of TaxStatus’ current SOC 2 report. Reasonable requests outside the scope of the standard due diligence package will be responded to within 30 days of Partner request and at the Partner’s expense.

7.         Audit Due To Security Incident.

Following any notice by TaxStatus to Partner of an actual or reasonably suspected Security Incident, upon Partner’s reasonable belief that TaxStatus is in breach of its Personal Information protection obligations under this Addendum, or if such audit is required by Partner’s supervisory authority under Data Protection Law, Partner may contact TaxStatus to request an audit of the procedures relevant to the protection of Personal Information. Any such audit shall be conducted remotely, except Partner and/or its supervisory authority may conduct on onsite audit at TaxStatus’s premises if so required by the Data Protection Laws. Before the commencement of any audit, Partner and TaxStatus shall mutually agree upon the scope, timing, and duration of the audit. In no event will any audit of TP Cloud Services Providers or other service provider of TaxStatus, beyond a review of reports, certifications and documentation made available by the service provider, be permitted without the service provider’s consent. Partner acknowledges that TaxStatus’s TP Cloud Services Providers will not allow on-site audits.

8.         Third Parties.

TaxStatus may permit its TP Cloud Services Providers and other service providers to Process Partner Data on behalf of TaxStatus, provided TaxStatus contractually requires that the third party service provider (to be subject to confidentiality and security obligations substantially equivalent to those in this Addendum. TaxStatus shall be responsible for the Processing of Partner Data by such service providers.

9.         International Data Transfer.

TaxStatus shall not transfer, store, process, or access Personal Information, or otherwise Process Personal Information, outside of the United States without prior express written approval from Partner, including transfers by TaxStatus to subcontractors or agents.

10.       Notice of Process.

In the event TaxStatus receives a request from a regulator, or other governmental or regulatory request, for or pertaining to, or any legal process from or initiated by any third party (including any subpoena or legal filing) requesting or pertaining to, any Partner Data, TaxStatus shall promptly notify Partner to the extent permitted by Applicable Law in order that Partner will have the option to defend such action, and TaxStatus shall provide Partner with ongoing status reports in connection with such requests or legal process. TaxStatus shall reasonably cooperate with Partner in Partner’s defense.  The costs of responding to and/or cooperating in Partner’s defense of any such request or legal process shall be borne by Partner unless and to the extent caused by TaxStatus’s breach of the Agreement or this Addendum.

11.       Individual Requests and Complaints.

TaxStatus shall promptly notify Partner in the event that TaxStatus receives: (1) requests from individuals relating to Partner Data, including requests to access, delete, or rectify Personal Information; or (2) complaints of any kind from individuals relating to the privacy, confidentiality, or security of Personal Information. TaxStatus will (taking into account the nature of the Processing of Personal Information) provide Partner with assistance reasonably necessary for Partner to perform its obligations under Data Protection Laws to fulfill requests under subsection (1) above with respect to Personal Information in TaxStatus's possession or control. Partner shall compensate TaxStatus for any such assistance at TaxStatus's then-current professional services rates, which shall be made available to Partner upon request. If TaxStatus receives a request pursuant to subsection (1) above, TaxStatus will advise the data subject to submit the request to Partner, and Partner will be responsible for responding to the request.

12.       Return or Deletion of Partner Data.

TaxStatus shall return or delete Partner Data in its possession, custody, or control, upon termination of the Agreement in accordance with the provisions of the Agreement.

13.       Survival.

Section 11 of this Addendum will survive termination of this Addendum and the Agreement. The remaining provisions of this Addendum will survive until such time as TaxStatus has fully complied with the provisions of Section 11 of this Addendum.