Exhibit 4.40


 


Technology Service Agreement


 


Between 


 


Beijing Ambow Shida Education Technology
Co., Ltd.


 


And


 


Beijing BoheLe Science and Technology
Co. Ltd.


 


June 15, 2020 











 


This Technology Service Agreement (this “Agreement”)
is entered into by the following parties on June 15, 2020:


 


(1) Beijing Ambow Shida Education Technology
Co., Ltd. (“Party A”), a limited liability company duly established and validly existing under the laws of People’s
Republic of China (“China”), with its registered address at Room 503, 5/F, No. 25, Wanliu East Road, Haidian District,
Beijing, China, and


 


(2) Beijing BoheLe Science and Technology
Co. Ltd. (“Party B”), a limited liability company duly established and validly existing under the laws of China, with
its registered address at Room 1210, 12/F, Tower 1, Courtyard 54, Shijingshan Road, Shijingshan District, Beijing, China.


 


WHEREAS:


 


(1) Party A engages in internet information
service; technology development, technical consultation, technical exchange, technology transfer, technology promotion; software
development and consulting; computer technology training; basic software services; application software services; computer system
services; data processing; production and processing of software and hardware; sale of computer, software and auxiliary equipment;
electronics; mechanical and communication equipment; investment consulting; education consulting; business management consulting;
dancing, painting, vocal training; design, production, agency, distribution of advertising;


 


(2) Party B has expertise and experience in
software and hardware design and development;


 


(3) Party A and Party B (collectively referred
to as the “Parties”) plan to promote their business development by mutual cooperation and developing their respective
advantages.


 


NOW THEREFORE, the Parties agree as follows
through friendly consultations:


 


Section 1 – Terms of Service



 


1.1 Party A hereby agrees to engage Party
B as Party A’s exclusive education technology service provider, and Party B hereby agrees to accept such engagement.


 


1.2 Party A agrees that Party A shall not
engage any other third party as its technology service provider without Party B’s prior written consent during the term of
this Agreement.


 


1.3 Party A agrees that Party B shall have
the right to provide other entities or individuals with the technology service equivalent or similar to that hereunder and to appoint
other entities or individuals to provide the technology service hereunder.



     


     


    



Section 2 – Scope of Service



 


See Appendix 1 for the scope of relevant technology
service provided by Party B to Party A.


 


Section 3 – Service Fee 


 


3.1 The Parties hereto agree that the fee
for the technology service hereunder shall be determined and paid as specified in Appendix 2.


 


3.2 If Party A fails to pay service fee and
other fees in accordance with the provisions of this Agreement, Party A shall pay Party B liquidated damages at 0.05% per day for
the overdue amount.


 


3.3 Party B shall have the right to, at its
own expense, appoint one of its employees or a certified public accountant it engages (“Party B’s Authorized Representative”)
to examine Party A’s accounts in order to review the calculation method and amount of the service fee. To that end, Party
A shall provide Party B’s Authorized Representative with documents, accounts, records, data, etc. that are necessary to audit
Party A’s accounts and to determine the amount of the service fee. Unless there is any significant error, the amount of the
service fee shall be as determined by Party B’s Authorized Representative.


 


3.4 Unless as otherwise agreed by the Parties,
the service fee payable to Party B by Party A hereunder shall not be subject to any deduction or offset (e.g. bank charges).


 


3.5 In addition to the service fee described
above, Party A shall pay Party B with the actual costs incurred by Party B for rendering consulting services hereunder, including
without limitation, traveling expenses, car fare, printing expenses and postage.


 


Section 4 – Confidentiality



 


4.1 The Parties acknowledge that, during the
term of this Agreement, either Party may obtain (1) the other Party’s non-public information, technical data, trade
secrets or know-how relating to the actual and expected business or research and development of either Party, including without
limitation research, product plans or other information relating to either Party’s products or services or promotions for
products or services, customers’ lists and customers, software, development, invention, processes, formula, technologies,
designs, drawings, engineering, hardware configuration information, marketing, financial or other business information, and (2) any
third party’s confidential or proprietary information for which either Party assume confidentiality obligations and which
shall be only used for certain limited purposes (“Confidential Information”). The Confidential Information does not
include (1) any information that one Party already knows at the time such information is disclosed to such Party by the other
Party; (2) any information that becomes public known or generally available not because of either Party’s illegal conduct;
or (3) the information lawfully obtained by one Party from a third party authorized to make the disclosure.



     


     


    



4.2 Either Party will take reasonable measures
to keep confidential the other Party’s Confidential Information and prevent disclosure and unauthorized use of such Confidential
Information. Without limiting the foregoing, the Parties will at least take such measures as it will take for its own Confidential
Information. Unless as reasonable required for the performance of its obligations hereunder or unless as the other Party approves
in writing, neither Party shall make any copy of the other Party’s Confidential Information. Either Party shall reproduce
the other Party’s proprietary rights notices on any approved copy in the manner in which such notice was set forth in or
on the original.


 


4.3 Either Party shall (1) not disclose
such Confidential Information to any person other than any of its directors, employees, authorized agents or independent contractors
who need to know such Confidential Information to perform their duties hereunder; (2) only use Confidential Information for
the purposes of fully performing its obligations hereunder; and (3) ensure any person from such Party who knows Confidential
Information comply with the confidentiality obligations and other restrictive provisions hereunder as if such person were a party
hereto. If one Party is required by law to disclose the other Party’s Confidential Information, such Party shall promptly
notify the other Party in writing of such requirement prior to the disclosure, and shall assist the other Party in securing the
order to protect such information against public disclosure. Neither Party shall reverse engineer, dissemble or decompile any prototype,
software or any tangible object that contains the other Party’s Confidential Information and that is provided to such Party.


 


4.4 Either Party further agree to return to
the other Party all written Confidential Information obtained from the other Party upon termination of this Agreement or at any
other time requested by the other Party.


 


Section 5 – Intellectual Property



 


5.1 The Parties acknowledge and agree that
Party B shall exclusively own all technical data, software, findings, inventions, developments, trade secrets, copyrights, documents
and other materials improved or prepared by Party B under this Agreement, whether they are patentable or copyrighted.


 


5.2 If Party A makes improvements to “intellectual
property”, such improvements shall be Party B’s exclusive proprietary property. Party A hereby transfers to Party B
all of its rights, title and interests in and to such improvements.


 


Section 6 – Independent Contractor



 


The Parties expressly acknowledge and agree
that Party B performs all the technology services hereunder as an independent contractor, and shall not be deemed to enter into
any partnership, joint venture or other relationships of substantially the same or similar nature with Party A.


 


Section 7 – Representations
and Warranties 


 


7.1 Party A represents and warrants that:


 


(1) Party A is a company duly registered and
validly existing under the laws of China;



     


     


    



(2) Party A’s execution and performance
of this Agreement is within its corporate power and business scope; it has taken necessary corporate action and obtained proper
authorization as well as the consents and approvals of third parties and government departments; it does not violate any legal
or corporate restrictions binding upon or affecting it; and


 


(3) Upon execution, this agreement shall constitute
Party A’s legal, valid and binding obligations that may be enforced against it in accordance with the terms hereof.


 


7.2 Party B represents and warrants that:


 


(1) Party B is a company registered and validly
existing under the laws of China;


 


(2) Party B’s execution and performance
of this Agreement is within its corporate power and business scope; it has taken necessary corporate action and obtained proper
authorization as well as the consents and approvals of third parties and government departments; it does not violate any legal
or corporate restrictions binding upon or affecting it; and


 


(3) Upon execution, this agreement shall constitute
Party B’s legal, valid and binding obligations that may be enforced against it in accordance with the terms hereof.


 


Section 8 – Liability for Breach



 


8.1 Either Party’s direct or indirect
violation of any provisions hereof or failure to perform its obligation hereunder or failure to perform such obligation in a timely
and adequate manner shall constitute breach of this Agreement. The non-breaching Party (“Non-Breaching Party”) shall
have the right to require the breaching Party (“Breaching Party”) by written notice to redress its breach.


 


8.2 After the occurrence of the breach, if,
according to the reasonable and objective judgment of the Non-Breaching Party, such breach has made it impossible or unfair for
the Non-Breaching Party to perform its relevant obligations hereunder, then the Non-Breaching Party shall have the right to notify
the Breaching Party in writing that the Non-Breaching Party will suspend the performance of its relevant obligations hereunder
until the Breaching Party ceases such breach.


 


8.3 Party B’s liability arising out
of this Agreement shall be limited to the amount of service fee received by Party B hereunder. In no event shall Party B be liable
for any special, incidental, indirect or direct damages arising out of this Agreement.


 


Section 9 – Force Majeure 


 


9.1 “Force Majeure” means any
event that is beyond the reasonable control of the Parties hereto, unable to be foreseen or unable to be overcome even foreseen,
which impedes, affects or delays either Party’s performance of all or part of its obligations under this Agreement. Such
event includes without limitation any government act, act of God, war, hacker attack or any other similar event.


 


9.2 The Party affected by a Force Majeure
event may suspend the performance of its relevant obligations hereunder that cannot be performed due to the Force Majeure until
the effect of such Force Majeure event is eliminated, and shall not be held liable for such suspension. However, such Party shall
use its best endeavor to overcome such event and mitigate its negative effect.



     


     


    



9.3 The Party affected by a Force Majeure
event shall provide the other Party with a legitimate certificate issued by a notary public (or other proper agency) in the place
where such event occurs to evidence the occurrence of such Force Majeure event. If such Party cannot provide such certificate,
the other Party may hold such Party liable for breach in accordance with the provisions hereof.


 


Section 10 – Effectiveness and
Term 


 


This Agreement shall come into effect from
the date when it is signed by the Parties’ authorized representatives. This Agreement shall remain effective unless it is
terminated in accordance with the provisions hereof.


 


Section 11 – Termination 


 


11.1 Party B shall have the right to terminate
this Agreement at any time during the term of this Agreement upon fifteen (15) days’ notice to Party A.


 


11.2 If Party A materially or continually
breaches this Agreement, and fails to remedy such breach within fourteen (14) days upon receipt of Party B’s notice specifying
details of such breach (to the extent such breach is remediable), Party B shall have the right to terminate this Agreement immediately
by sending a written notice of termination to Party A.


 


11.3 This Agreement may be terminated at any
time by a written agreement between Party A and Party B.


 


Section 12 – Non-solicitation



 


Party A shall not take the following actions
directly or indirectly in any manner for its own, any other individual or entity’s account, or together with any other individual
or entity: (1) causing any employee of Party B to terminate his employment with Party B by solicitation, including employing or
encouraging such employee; or attempting to solicit, induce, employ or encourage any employee of Party B. (2) causing any existing
or previous client of Party A to terminate its business relationship with Party B.


 


Section 13 – Dispute Resolution



 


13.1 If any dispute arises in connection with
the interpretation and performance of this Agreement, the Parties hereto shall first resolve such dispute in good faith through
discussions. If no agreement can be reached within sixty (60) days after one Party receives the notice of the other Party
requesting the beginning of discussions or any longer period agreed upon separately by the Parties, either Party shall have the
right to submit such dispute to The Republic of China Arbitration Association for arbitration in accordance with its then effective
rules. The arbitration shall be held in Beijing. The award of the arbitration shall be final and binding upon the Parties.



     


     


    



13.2 If any dispute arises in connection with
the interpretation and performance of this Agreement, or such dispute is under arbitration, either Party shall continue to have
the rights hereunder other than those in dispute and perform the obligations hereunder other than those in dispute.


 


Section 14 – Governing Law 


 


The execution, validity, performance, interpretation
and enforcement of this Agreement shall be governed by the laws of China.


 


Section 15 – Assignment 


 


15.1 Party A shall not assign its rights and
obligations hereunder to any third party without Party B’s prior written consent.


 


15.2 Party A hereby agrees that Party B may
assign its rights and obligations hereunder to any third party at its sole discretion, and Party B only needs to send a written
notice to Party A upon such assignment without obtaining Party A’s consent.


 


15.3 This Agreement shall inure to and be
binding upon the Parties and their respective successors and permitted assigns.


 


Section 16 – Severability 


 


If any provision herein becomes partly or
wholly invalid or unenforceable for violation of laws or government regulations or other reasons, then the part of such provision
that is affected shall be deemed as deleted. However, the deletion of such part of such provision shall not affect the legal effect
of other parts of such provision or the other provisions herein. The Parties shall cease to execute such invalid or unenforceable
provision, and modify such provision so that it has the closest intent to the original provision and becomes valid and enforceable
under relevant facts and circumstances.


 


Section 17 – Amendment and Supplement



 


The Parties may amend and supplement this
Agreement by written agreement. Any amendments or supplements in connection with this Agreement that are duly signed by the Parties
are part of this Agreement, and shall have the same force and effect as this Agreement.


 


Section 18 – Miscellaneous 


 


18.1 The headings herein are for convenience
only, and shall not affect the interpretation of any provisions hereof.


 


18.2 Unless otherwise provided herein, either
Party’s failure to exercise or delay in exercising any of its rights or powers hereunder shall not be construed as a waiver
of such rights or powers. Any single or partial exercise of any rights or powers shall not preclude the exercise of other rights
or powers.


 


18.3 This Agreement shall supersede any prior
or concurrent verbal or written agreement, understanding and communication between the Parties in connection with this Agreement.




     


     


    

IN WITNESS HEREOF, the duly authorized representatives
of the Parties have executed this Agreement on the date first above written.


 


	
        Party A: Beijing
        Ambow Shida Education Technology Co., Ltd.

         

        (Corporate
Seal) 
	 	 
	 	 	 
	Authorized Representative:	 	
        /s/ 
	 	 
	 	 	 


	 	 	 	 	 
	
        Party B: Beijing BoheLe Science and
        Technology Co. Ltd. 

         

        (Corporate Seal)

        
	 	 
	 	 	 
	Authorized Representative:	 	
        /s/
	 	 
	 	 	 





     


     


    



Appendix 1


 


Scope of Service 


 


1. Providing Party A with programs relating
to education and training;


 


2. Providing Party A’s employees with
proper training, technical support and assistance, including without limitation training and technical support for education programs;


 


3. Providing Party A with administration and
consulting services necessary for Party A’s business operations, including without limitation administration and consulting
for education programs; and


 


4. Other
arrangements relating to technology services subject to mutual consent.



     


     


    



Appendix 2


 


The calculation and payment method of
technical service fee 


 


1. Party B shall provide Party A with bills
in the light of the service price by mutual consent and the actual workload;


 


2. Party A shall pay the relevant service
fee in accordance with the date and the amount prescribed by the bill;


 


3. Party A and Party B may make other arrangements
relating to the payment of the service fee subject to mutual consent.