**LIMITED      EXCLUSIVE PATENT LICENSE AGREEMENT**

**BETWEEN**

**DOCUMENT      SECURITY SYSTEMS, INC.**

**AND**

**ERGONOMIC      GROUP, INC.**

**RECITALS**

**AGREEMENT**

| **1.** | **Definitions** |
|--------|-----------------|

| 1.1 | “**Agreement**”                shall have the meaning ascribed in the first paragraph of this                Agreement. |
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| 1.2 | **“Affiliate”**                shall mean any corporation, partnership or limited liability company                of                which more than 50% of the voting control and economic ownership                is owned,                directly, or indirectly, by a                Party                or                under common control of any                Party. |
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| 1.3 | **“****Approved                Sub-Licensee****”**                shall mean the companies which have been approved in writing by Licensor                and have executed an AuthentiGuard Technology Sublicense                Agreement. |
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|   |   |
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| 1.4 | **“AuthentiGuard                Pantograph 4000”**shall                mean the technology which creates pantograph backgrounds embedding                hidden                symbols, words and designs into the printed document background that                appear when the document is copied using industry standard copiers                and computer publishing systems and currently marketed by Licensor                under                the trade                name“AuthentiGuard                Pantograph 4000TM.” |
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| 1.5 | **“Calendar                Quarter”**                shall mean a three (3) month period denoting the time span over which                royalties are to be calculated and paid (pro                rated                for any partial period(s)).                The first Calendar Quarter commences on the Effective Date of this                Agreement. Subsequent Calendar Quarters shall begin on the first                day                following the end of the previous Calendar Quarter (i.e., if the                Effective                Date is February                15, 2007,                the first Calendar Quarter would end March 30, 2007 and the second                Calendar Quarter would begin April 1,                2007.) |
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|   |   |
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| 1.6 | **“Calendar                Year”**                shall mean each period of four (4) Calendar Quarters during the Term,                commencing on the Effective Date. |
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|   |   |
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| 1.7 |  “**Claims**”                shall have                the meaning ascribed in Section 10.1                below. |
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| 1.8 | “**Copies**”                shall have                the meaning ascribed in Section 8.4                below. |
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| 1.9 | **“Confidential                Information”**                shall mean any information furnished or made available on a paper,                electronic or mechanical medium by one Party to another Party                that                (a) is designated by a Party on the medium as confidential, proprietary,                a                trade secret or with a similar designation; (b)                relates to past, present or future research, developments, improvements,                inventions, processes, software, programs, Intellectual Property,                techniques, designs or other technical data, contact lists or other                compilations for marketing or development, or regarding administrative,                management, financial or marketing activities of the Party disclosing                such                information or regarding the identities of customers of the Party                disclosing such information;                and (c) relates to the subject matter of this                Agreement. |
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|   |   |
|--------|--------|

| 1.10 | **“Digital                File”**                shall mean any executable code owned and delivered by Licensor                for                use by Licensee in connection with the Technology (as defined hereinbelow)                to enable the placement of security features in Licensed                Products. |
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|   |   |
|--------|--------|

| 1.11 | “**Disclosing                Party**”                shall have the meaning ascribed                in                Section 8.1                below. |
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|   |   |
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| 1.12 | “**DSS**”                shall have the meaning ascribed in the first paragraph of this                Agreement. |
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| 1.13 | “**Effective                Date**”                shall mean the date set forth in the first paragraph of this                Agreement. |
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| 1.14 | “**Gross                Margin**”                shall mean the invoiced amount of a product or service, less the                direct,                unburdened cost of goods sold; allowances and discounts actually                credited;                taxes, tariffs and import/export duties (but not value-added taxes                assessed on income derived from sales); and commissions paid to                independent sales entities that are not in the employ or under the                control                of Licensee. Installation and set-up fees charged to a customer by                Licensee shall not be included in Gross                Margin. |
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| 1.15 | **“Improvements”**                shall have the meaning ascribed in Section 4.1                below. |
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|   |   |
|--------|--------|

| 1.16 | “**Initial                Term**”                shall have                the meaning ascribed in Section 13.1                below. |
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| 1.17 | **“Intellectual                Property”**shall                mean, wherever existing in the world, (i) patents, whether in the                form of                utility patents, design patents or industrial designs, and all pending                applications thereof; (ii) trademarks, trade names, service marks,                domain                names, designs, logos, trade dress and trade styles, whether or not                registered, and all pending applications for registration thereof;                (iii)                copyrights, whether or not registered, and all pending applications                for                registration thereof; (iv) know-how, inventions, improvements, methods,                processes, operations manuals and procedures, research records, trade                secrets, confidential information, product designs, engineering                specifications and drawings, technical information, formulas, customer                lists, supplier lists and market analyses; (v) computer software                and                programs, and related flow charts, programmer notes, documentation,                updates, and data, whether in object or source code form; and (vi)                all                other similar proprietary rights, whether or not                registered. |
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|   |   |
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| 1.18 | “**Licensed                Field**”                shall mean all implementations of the                Technology (as subsequently defined herein) which involve the transmission                of a file on the Internet or by any other electronic means of                communication, which file is printed or viewed on a monitor after                transmission. |
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| 1.19 | “**Licensed                Patents**”                shall mean the                patents and patent applications listed on Exhibit A, and all other                present                and future United States and foreign patents owned by Licensor or                under                which Licensor has rights that protect inventions that are useful                in the                Licensed Field. |
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| 1.20 | **“Licensed                Products”**** **shall                mean products                and services in                the Licensed Field that incorporate the Technology and/or are covered                by                the Licensed Patents. |
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| 1.21 | “**Licensee**”                shall have the meaning ascribed in the first paragraph of this                Agreement. |
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| 1.22 | “**Licensee                Indemnified Parties**”                shall have                the meaning ascribed in Section 9.1                below. |
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| 1.23 | “**Licensor**”                shall have the meaning ascribed in the first paragraph of this                Agreement. |
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| 1.24 | “**Licensor                Indemnified Parties**”                shall have                the meaning ascribed in Section 10.1                below. |
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| 1.25 | “**Receiving                Party**”                shall                have                the meaning ascribed in Section 8.1. |
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|   |   |
|--------|--------|

| 1.26 | “**Renewal                Term**”                shall have                the meaning ascribed in Section 13.1                below. |
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| 1.27 | “**Royalty****Fee**”                shall have                the meaning ascribed in Section 6.1                below. |
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|   |   |
|--------|--------|

| 1.28 | “**Sales                Report**”                shall have                the meaning ascribed in Section 7.1                below. |
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| 1.29 | “**Technology”**                shall mean (i) AuthentiGuard Pantograph                4000, AuthentiGuard Survivor                21, and all other AuthentiGuardTM technologies                including, without limitation, AuthentiGuard Prism, AuthentiGuard                Block-Out, AuthentiGuard Laser Moiré, and all Improvements thereon                developed and owned by Licensor, (ii) all Digital Files now and in                the                future owned by                or under license to                Licensor,                and all Improvements thereon developed and owned by Licensor;                and (iii) all                specialized, novel or unique techniques, practices, inventions, digitized                formats, improvements, drawings, computer imaging, computer generated                step                and repeat, discoveries, know-how, trade secrets, and all related                knowledge, skill, experience, technical and other proprietary information                and data and other Intellectual Property now or in the future owned                by or                under license to Licensor                that are used to secure documents and files and to thwart counterfeiting,                all of which Licensee acknowledges to be proprietary and valuable                trade                secrets of Licensor. |
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| 1.30 | **“Target                Markets”**                shall mean each of (a) the high technology industry, (b) the aerospace                industry, (c) the financial industry and (d) the healthcare industry,                and                such other industries as the Parties shall mutually agree in                writing. |
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| 1.31 | **“Technology                Marks”**                shall mean Licensor’s                trademarks                and service marks which identify Licensor as the source of the                Technology. |
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| 1.32 | **“Term”** shall                have                the meaning ascribed in Section 13.1                below. |
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| 1.33 | **“Territory”**                shall mean the                entire world including but not limited to the                United States of America. |
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| **2.** | **Grant                of Licenses** |
|--------|--------------------------------------|

| 2.1 | **Grant                of Licenses.** Licensor                hereby grants to Licensee for the Term (as defined in Section 13.1)                and in                the Territory an exclusive,                non-transferable license                to use the Technology and the Licensed Patents in the Licensed Field                to be                sold by Licensee to its customers in the Target Markets. Licensee                shall                have no other rights to                any software, technology, know-how or other Intellectual Property                related                to the production                of Technology,                implied or express,                except as expressly provided in this Agreement.                Under this Agreement, Licensee is not given the right to manufacture,                market or sell, directly or indirectly, or the right or power to                license                to any other person the right to manufacture,                market or sell, directly or indirectly, blank safety paper which                utilizes                the Technology. For purposes hereof, the term “blank safety paper” means                paper which does not have customer specific information AND does                not have                visible                color                such as words, symbols, borders, artwork                or similar features. Licensee understands and agrees that it shall                not                have the right to print “generic” or “blank safety paper” under                this Agreement. |
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| 2.2 | **Proprietary                Rights.**                Except as expressly set forth in this Agreement, all rights or licenses                with respect to the Technology (including any Improvements or                modifications to the Technology made by Licensor), Technology Marks,                Licensor Confidential or Proprietary Information or other know-how                and                Intellectual Property of Licensor are reserved to Licensor.                Licensee acknowledges that the Technology contains substantial trade                secrets of Licensor, and Licensee agrees to employ reasonable security                precautions to maintain the confidentiality of such trade                secrets.                Except as otherwise provided herein,                Licensee shall                not knowingly                assist any third party                to                reverse engineer                or                assemble,                produce, use, license, sell or otherwise distribute or exploit the                Technology                or                Intellectual Property derived therefrom or                bypass or defeat protection methods for                preventing unauthorized access to the Technology. Notwithstanding                the foregoing, for purposes of this Section 2.3, Licensee shall not                be in                violation of the restrictions provided herein in connection with                the sale                of Licensed Products to customers otherwise in compliance with this                Agreement. |
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| **3.** | **Distribution                of Technology** |
|--------|-----------------------------------------------|
|   |   |
|--------|--------|

| 3.1 | **Distribution                of Technology.**                Licensee may only distribute the Technology to its customers as the                Technology is embedded in Licensed Products prepared by Licensee                for a                customer of Licensee in the Target Markets. |
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| 3.2 | **Sublicense****Agreements****with                Approved Sub-Licensees.** Licensee                shall have the right to enter                into sub-license                agreements only                with Approved Sub-Licensees, granting                to                such Approved Sub-Licensees all                rights, interest and licenses (except                the right to further sub-license, which is explicitly not granted                to                Approved Sub-Licensees) granted                by Licensor to Licensee under this Agreement.                Licensee shall provide Licensor with true and correct complete copies                of                all Sublicense                Agreements and shall, on an annual basis, provide Licensor with a                list of                all Sublicense                Agreements entered into by Licensee, which list shall be certified                by an                officer of Licensee. **Notwithstanding                anything to the contrary herein, Licensee shall ensure that each****Sublicense****Agreement shall contain the terms set forth in this Agreement for                the                protection of Licensor. FURTHER, LICENSOR SHALL HAVE, AT ITS OPTION                AND IN                ITS SOLE DISCRETION, THE RIGHT TO PRE-APPROVE OR REJECT ANY SUB-LICENSEE                AND THE TERMS OF ANY SUB-LICENSE AGREEMENT. LICENSEE SHALL PROVIDE                COPIES                OF ALL****SUBLICENSE****AGREEMENTS TO LICENSOR PRIOR TO LICENSEE’S EXECUTION OF SUCH SUB-LICENSE                AGREEMENT. ANY SUB-LICENSE AGREEMENT NOT APPROVED BY LICENSOR SHALL                BE                NULL AND VOID**. |
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| 3.3 | **Patent                Marking**.                Licensee hereby agrees to use reasonable commercial efforts to mark,                without charge to Licensor,                all Licensed Products made under the terms and conditions of this                Agreement with (a) a suitable legend in accordance with statutory                requirements in a form approved in advance by the Licensor indicating                that                the Licensed                Products                contain Technology licensed under specified patents; and (b) any                other                warning labels or other markings as may be reasonably requested by                the                Licensor                from time to time during the Term. Should                the Licensor believe that any Licensed                Product                of the Licensee                should be marked in accordance with this Agreement, the Licensor                shall                inform the Licensee in writing, particularly identifying such Licensed                Products                and the specific patents which are contained in such Licensed                Products.                However, Licensee shall not be required to mark Licensed Products                with a                degree of care beyond that exercised by Licensor to mark its own                products. |
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| **4.** | **Improvements** |
|--------|------------------|

| 4.1 | **Ownership                of Improvements.**During                the Term, each Party shall advise the other of any technical improvements,                modifications or enhancements relating to the Technology created                from time to time and                useful in the Party’s sole discretion to effectively operate the                Technology (collectively                referred to as “Improvements”). All                such Improvements shall be the property of the Party that made the                Improvement. All Improvements made by Licensor shall be included                in the                license grant of paragraph 2.1. All Improvements made by Licensee                shall be                licensed royalty-free to Licensor for its use, and for the use of                any                other licensees that Licensor has, in all fields other than the Licensed                Field during the Term. Improvements that are made jointly by the                parties                shall be owned jointly and equally; however, Licensee shall have                the                exclusive right to use such Improvements in the Licensed Field during                the                Term. Each Party agrees to execute any and all documents requested                by the                other to perfect rights to jointly-made Improvements. |
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| **5.** | **Technical                Support; Training and Technology                Services** |
|--------|---------------------------------------------------------------------------------------|

| 5.1 | **General                Support Services.**                Licensor shall, at no additional charge, provide to Licensee reasonable                assistance and technical support related to the Technology, Improvements                (other than those Improvements owned by Licensee), Technology Marks                and                Confidential Information. |
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| 5.2 | **Limitation                on Liability for Support Services.**                Except in the event of willful misconduct, in no event shall the                technicians, employees, officers or agents of Licensor or its affiliates                be liable to Licensee for any damages or claims for damages which                may                occur during the provision of Support                Services. |
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| **6.** | **Royalty                and Other Fees** |
|--------|-------------------------------------------|

| 6.1 | **Royalty                Fees**.                In consideration for the rights and licenses granted herein to                be rendered by Licensor,                Licensee agrees to pay royalties to Licensor as                follows: |
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| 6.2 | **Failure                to Pay.**                If                Licensee fails to pay any amount owed to Licensor under this Agreement                when such amount is due and payable, Licensee shall also pay Licensor                interest                on                the amount of such under-payment or non-payment at                the rate equal to three quarters of a percent (0.75%) per month,                accruing                from                the due date until paid. Licensor                shall also have the right, at its option, to terminate this Agreement                should Licensee not cure any default within a reasonable time under                the                circumstances. Any                payments received from Licensee, when there is any amount overdue,                shall                be applied first to discharge any such accrued late charges. In addition                to the amounts payable by Licensee as                specified herein or other fees arising                from this Agreement, Licensee shall pay or reimburse Licensor for                all                federal, state, or local taxes, duties, or similar assessments arising                from Licensee’s sales of Licensed Products pursuant to this Agreement,                except taxes based on Licensor’s net income, which taxes shall be paid                solely by Licensor. Each Party agrees to defend, indemnify and hold                the                other Party harmless for, from and against any claim, liability,                loss,                costs or other damages, including, without limitation, attorneys’ fees,                expert witness                fees,                and costs of collection, arising from any federal, state or local                income,                sales, use, excise, import or export, value added or similar tax                or duty,                and                any other tax incurred by the other Party arising from or in connection                with this Agreement,                except for taxes based on either Party’s                income. |
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| **7.** | **Sales                Reports; Record Inspection and                Audit** |
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| 7.1 | **Sales                Reports**.                Within                forty-five (45) days after the end of each Calendar Quarter, Licensee                shall deliver a report to Licensor                certified by an authorized officer of Licensee                showing in detail the dollar value of Licensed Products sold, and                the                amount of Royalty Fees due to Licensor for the                prior                Calendar Quarter (a “Sales Report”). Licensee shall also                provide                additional supporting information and documentation relating                to Licensed                Products                sold as Licensor may reasonably request.                The failure of Licensee to deliver a Sales Report on its due date                shall be                deemed to be a material breach of this                Agreement. |
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| 7.2 | **Maintenance                of Books and Records; Record Inspection and Audit.**                 During the Term and for a period of two                (2)                years thereafter, Licensee agrees to keep and maintain accurate and                separate records related to this Agreement, including Customer agreements                which resulted in the distribution of Licensed Products. Licensee                further agrees that during such two (2) year period it                shall                make these records available for inspection, from                time to time, by Licensor, or a                third party retained by Licensor, at                Licensee’s site and at Licensor’s cost.                Any audit and/or inspection shall be conducted during regular                business hours at Licensee’s facilities upon at least three                (3)                days prior written notice. Such examination shall be conducted in                such a                manner as to not unduly interfere with Licensee’s business. Subject                to Section 7.3, if the audit reveals an underpayment of Royalty Fees                by                Licensee under this Agreement, Licensee shall pay to Licensor the                full                amount of any underpayment revealed by the audit, plus interest on                the                underpaid amounts accruing at the rate of three quarters of a percent                (0.75%) per month until all underpaid amounts are paid in full.                Notwithstanding                the foregoing, if such audit reveals an underpayment by an amount                in                excess of twenty percent (20%) for the period covered by the audit                report,                Licensee shall pay                to Licensor                all of the fees and                costs associated with such audit,                the amount underpaid, interest due and an additional payment of fifteen                percent (15%) of the total amount due for the audited period. |
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| 7.3 | **Audit                Dispute Resolution Process.**                If                Licensee disputes or otherwise desires to obtain third party verification                of an audit report, the Parties agree that Licensee, within thirty                (30)                days from the date of the subject audit report, shall notify Licensor                of                its intent to verify the audit report. Licensee shall schedule, with                an                independent auditor, an audit of the subject records as soon as possible                following the date of Licensee’s notice to Licensor hereunder. Licensor                shall timely cooperate with and provide to the auditor all documentation                and other information requested by the auditor. If the results of                the                independent audit are consistent with Licensor’s audit results, Licensee                shall pay all amounts due as set forth in Section 7.2 and all costs                and                fees associated with the independent audit. If the results of the                independent audit differ from Licensor’s audit, the Parties shall rely                upon the results of the independent audit in determining what, if                any,                amounts are due pursuant to Section 7.2 and both Parties shall equally                share the cost and fees of the independent audit. The Parties agree                that a                final determination of Licensee’s underpayment by an amount in excess of                ten percent (10%) for the period covered by the audit report shall                be                deemed to be a material breach of this                Agreement. |
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| **8.** | **Confidentiality** |
|--------|---------------------|

| 8.1 | The                Parties acknowledge that in the course of their performance under                this                Agreement, they may be furnished with, receive, or otherwise have                access                to Confidential Information of or concerning the other Party. For                the purposes of this Agreement, the Party disclosing Confidential                Information shall be referred to as the “Disclosing Party” and the Party                receiving Confidential Information shall be referred to as the “Receiving                Party.” Any Technology shall be treated as the                Confidential Information of Licensor. |
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| 8.2 | A                Receiving Party shall not use the Disclosing Party’s Confidential                Information for any purpose other than in accordance with this Agreement                and shall not disclose, without the prior written consent of the                Disclosing Party, Confidential Information to any person,                other than Approved                Sub-Licensees and their respective employees and independent                contractors who                (a) are subject to a nondisclosure obligation comparable in scope                to this                Section;                and (b) have a need to know such Confidential Information. All information                disclosed or otherwise provided shall be presumed Confidential                Information, unless indicated otherwise by the Disclosing                Party. |
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| 8.3 | A                Receiving Party shall not be liable for disclosure or use of any                particular Confidential Information that: (a) is or becomes publicly                known                through no fault of the Receiving Party; (b) is developed independently                by                the Receiving Party without reference to any Confidential Information                of                the Disclosing Party; (c) is known by the Receiving Party at the                time of                disclosure by the Disclosing Party if the Receiving Party does not                then                have a duty to maintain its confidentiality,                as                evidenced by the Receiving Party’s records; or (d) is rightfully obtained                by the Receiving Party from a third party not obligated to preserve                its                confidentiality. A Receiving Party also may disclose Confidential                Information solely to the extent required by a court or other governmental                authority, provided that (i) the Receiving Party gives the Disclosing                Party prompt prior notice of the required disclosure;                (ii) the Receiving Party uses reasonable efforts to resist disclosing                the                Confidential Information;                (iii) the Receiving Party cooperates with the Disclosing Party to                obtain                a protective order or otherwise limit the disclosure;                and (iv) as soon as reasonably possible, the Receiving Party provides                a                letter from its counsel confirming that the Confidential Information                is in                fact                required to be disclosed. Licensee                hereby acknowledges and agrees that Licensor may be required under                applicable federal securities laws and regulations to disclose the                terms                of this Agreement, which shall not be deemed a violation of this                Section                8. |
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| 8.4 | All                Confidential Information shall remain the property of and be deemed                proprietary to the Disclosing Party. At any time upon the Disclosing                Party’s request, the Receiving Party shall promptly return to the                Disclosing Party all Confidential Information, including all copies                thereof, and all documents, materials, or products generated or produced                by,                or at the request of,                the Receiving Party that contain, summarize, outline or otherwise                reference the Disclosing Party’s Confidential Information (individually                and collectively, “Copies”). At the Disclosing Party’s option,                Receiving Party shall destroy all of                the Disclosing Party’s                Confidential Information and Copies and                certify such destruction to the Disclosing Party. This paragraph                shall not                apply to Confidential Information that is furnished to Licensee under                its                license rights and that is used in exercising those                rights. |
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| 8.5 | A                Receiving Party further agrees to receive Confidential Information                in                strict confidence and to accord such Confidential Information at                least the                same level of protection against unauthorized use or disclosure that                the                Receiving Party customarily accords to its own confidential, proprietary                or trade secret information of a like nature, but in no event less                than a                reasonable level of protection. The Receiving Party shall have sole                responsibility for the physical security and maintenance of the                confidentiality of all Confidential Information delivered to it by                the                Disclosing Party. The Disclosing Party shall have the right, upon                at least                three (3) business days prior written notice to the Receiving Party                and                during the Receiving Party’s normal business hours, to visit and inspect                the Disclosing Party’s places of business for the purpose of verifying, to                the satisfaction of the Disclosing Party, that the Receiving Party                is                performing its obligations under this Section                8. |
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| **9.** | **Infringement                Indemnity; Infringement Lawsuits and Patent                Prosecution** |
|--------|--------------------------------------------------------------------------------------------------------|

| 9.1 | Licensor                shall indemnify, defend and hold the Licensee and its affiliates,                shareholders, directors, officers, members, managers, employees,                agents,                independent contractors, licensees and representatives (“Licensee                Indemnified Parties”) harmless for, from and against, any and all suits,                actions and proceedings, claims, threats, demands, liabilities, losses,                damages, judgments, obligations, fines, expenses (including, without                limitation, attorneys’ fees and expert witness fees) and costs                (individually and collectively, “Infringement Claims”), made against a                Licensee Indemnified Party by a third party arising from or in connection                with any actual or alleged claims that the Technology, Improvements                (other                than improvements owned by Licensee or jointly owned by Licensee),                Technology Marks, Confidential Information and/or other proprietary                information provided by Licensor under this Agreement infringes any                patent, trademark, copyright, trade secret or other property right                of a                third party. The indemnification in this Section 9 is contingent                upon (a)                the Licensee Indemnified Parties promptly notifying the Licensor                in                writing of any known claim which may give rise to an Infringement                Claim;                (b) Licensor’s control of the defense and settlement of such Infringement                Claims at Licensor’s sole expense; provided, however, that any settlement                be made with the consent or an unconditional full release of the                Licensee                Indemnified Parties; and (c) the Licensee Indemnified Parties cooperate                with all reasonable requests of the Licensor (at the Licensor’s expense)                in defending or settling an Infringement Claim. Licensee Indemnified                Parties reserve the right to retain their own counsel, in addition                to                Licensor’s counsel, at Licensee’s sole                expense                to participate in the defense of any Infringement                Claims;                provided, however, Licensee Indemnified Parties may not take deliberate                and willful action that impairs Licensor’s defense of the Infringement                Claims. |
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| 9.2 | In                addition to the rights and obligations of the Parties set forth in                Section                9.1, if an Infringement Claim is made or threatened, Licensor, at                its own                expense and in its sole discretion, may exercise any of the following                remedies: (i) obtain for Licensee the right to continue to use the                Technology, Improvements, Technology Marks, and/or Confidential                Information, as the case may be, consistent with this Agreement;                (ii)                modify the Technology, Improvements, Technology Marks, and/or Confidential                Information, as the case may be, so it is non-infringing and complies                in                all material respects with this Agreement; (iii) replace the Technology,                Improvements, Technology Marks, and/or Confidential Information,                as the                case may be, with non-infringing technology, trademarks or information                and/or materials, as the case may be, that complies in all material                respects with this Agreement; or (iv) refund all License Fees paid                hereunder by Licensee and Approved Sub-Licensees for the prior twelve                (12)                month period. Licensor will have no obligation to indemnify Licensee                or                Licensee personnel for claims that Licensor’s Technology, Improvements,                Technology Marks, and/or Confidential Information, infringe the                intellectual property rights of a third party to the extent such                claims                arise solely as a result of Licensee's avoidable implementation of                Licensor’s Technology with other software and/or hardware not furnished or                authorized in writing by Licensor, and provided such infringement                or claim                would have been avoided in the absence of such implementation, or                Licensee's modification of the Technology by anyone not authorized                in                writing by Licensor other than Licensor’s agents or subcontractors, and                provided such infringement or claim would have been avoided in the                absence                of such modification. The foregoing represents                Licensor’s entire obligation, and Licensee’s entire remedy, with respect                to Infringement Claims. |
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| 9.3 | **Infringement                Lawsuits**.                In the event that Licensee learns of the infringement of one or more                Licensed Patents in the Licensed Field that are actually in substantial                use by customers of Licensee, Licensee may request that Licensor                take                legal action against the infringement of the Licensed Patents. Such                request shall be made in writing and shall include reasonable evidence                of                such infringement and damages to Licensee. If the infringing activity                has                not been abated within one hundred and twenty (120) days following                the                effective date of such request and Licensor shall not have filed                suit                against the infringing party, , then Licensee shall have the right                to                commence suit on its own account. In such case, (1) Licensee shall                prosecute the suit at its own expense and shall be the sole beneficiary                of                any recovery, and (2) Licensor will reasonably cooperate and advance                such                suit, but at Licensee’s expense. |
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| 9.4 | **Patent                Prosecution**.                Licensor will diligently prosecute and maintain the Licensed Patents                at                its expense using counsel of its choice. Licensor’s obligation hereunder                shall continue for so long as this Agreement remains in                effect. |
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| **10.** | **Indemnification                by Licensee** |
|---------|------------------------------------------------|

| 10.1 | Licensee shall                indemnify, defend and hold the Licensor and its directors, officers,                employees, agents and independent contractors (“Licensor Indemnified                Parties”) harmless from and against, any and all suits, actions and                proceedings, claims, liabilities, losses, damages, expenses (including                attorneys’ fees) and costs (individually                and collectively, “Claims”),                made against a Licensor Indemnified Party by a third party to the                extent                arising from                Licensee’s                (or its officers’, directors’, employees’, agents’ and independent                contractors’)                improper or unauthorized use of the Technology. The indemnities                in                this Section 10 are                contingent upon: (a) the Licensor Indemnified Parties promptly notifying                the Licensee in writing of any claim which may give rise to a                Claim                for indemnification hereunder;                (b) the Licensee being allowed to control the defense and settlement                of                such Claims; provided, however, that any settlement be made with                the                consent of                the Licensor Indemnified Parties or includes, as                an                unconditional part                thereof, a full                release of the Licensor Indemnified Parties; and (c) the Licensor                Indemnified Parties cooperating                with all reasonable requests of the Licensee (at the Licensee’s expense)                in defending or settling a Claim. Licensor Indemnified Parties reserve                the                right to retain their                own counsel, in addition to Licensee’s counsel, at Licensor’s sole expense                to participate in the defense of any Claim                provided                that Licensor Indemnified Parties may not take deliberate and willful                action that impairs Licensee’s defense of the                Claim. |
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| **11.** | **Limited                Warranties; Limitation of                Liability** |
|---------|-------------------------------------------------------------------------------|

| 11.1 | Each                Party represents and warrants to Licensee that it has the right,                power and                authority to enter into this Agreement and that the signatory on                behalf of                such Party to this Agreement has full authority to enter into and                bind the                Party to the obligations set forth in this                Agreement. |
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| 11.2 | Licensor                represents and warrants to Licensee that it has no knowledge of patents                or                other proprietary rights of another party, or a claim by another                party                that it has patents or other proprietary rights, that are infringed                by the                Technology licensed hereunder. |
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| 11.3 | Licensor                represents and warrants to Licensee that as of the Effective Date                and                throughout the Term that: (a) Improvements (except as otherwise provided                herein), Technology Marks, and Licensor’s Confidential Information are the                sole and exclusive property of Licensor; (b) that Licensor has all                right,                title and interest in the Technology, Improvements (except as otherwise                provided herein), Technology Marks, and Licensor Confidential Information                to grant to Licensee the rights provided in this Agreement; (c) that                nothing contained in this Agreement conflicts with any other obligation                or                agreement of Licensor; and (d) that no liens, claims or other obligations                exist that will affect Licensee’s and/or Approved                Sub-Licensees’                use or rights to any Technology, Improvements, Technology Marks,                and/or                Confidential Information granted under this Agreement.                Licensor does not warrant that the Technology will meet Licensee’s                requirements or that the use of the Technology will be uninterrupted                or                error-free. |
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| 11.4 | **LIMITATION                OF LIABILITY**.                NEITHER PARTY SHALL BE LIABLE TO THE OTHER PARTY FOR ANY INDIRECT,                CONSEQUENTIAL, INCIDENTAL, SPECIAL OR PUNITIVE DAMAGES WHATSOEVER,                INCLUDING, WITHOUT LIMITATION, DAMAGES FOR LOSS OF BUSINESS PROFITS,                BUSINESS INTERRUPTION, LOSS OF BUSINESS INFORMATION, AND THE LIKE,                ARISING                OUT OF THE USE OF OR INABILITY TO USE THE TECHNOLOGY OR ANY PRODUCTS                OR                SERVICES PROVIDED HEREUNDER, REGARDLESS OF THE FORM OF ACTION, WHETHER                IN                CONTRACT, TORT, STRICT LIABILITY OR OTHERWISE, EVEN IF THE OTHER                PARTY HAS                BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. BECAUSE SOME STATES                DO                NOT ALLOW THE EXCLUSION OR LIMITATION OF LIABILITY FOR CONSEQUENTIAL                OR                INCIDENTAL DAMAGES, THE ABOVE LIMITATION MAY NOT                APPLY. |
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| **12.** | **Marketing                and Advertising Obligations; Technology                Marks.** |
|---------|--------------------------------------------------------------------------------------------|
|   |   |
|--------|--------|

| 12.1 | **Marketing                and Advertising Requirements**.                Licensee shall actively advertise and promote the Technology during                the                Term, which promotional efforts shall include, without limitation,                attending and presenting at industry trade shows, preparing customer                mailings and presentations, brochures or other promotional material                and                references to the Technology on Licensee’s websites. During the Term,                Licensee shall confer with Licensor on a semi-annual basis to review                and                plan the Licensor’s promotional activities. Licensor shall have the right                to pre-approve all promotional materials, but pre-approval shall                not be                withheld unreasonably.                Licensor shall cooperate and assist Licensee on all reasonable requests                with respect to the aforementioned marketing and advertising                efforts. |
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| 12.2 | **License                for Technology Marks.**                Licensor hereby grants to Licensee a non-exclusive, royalty-free                license,                including the right to sublicense to Approved                Sub-Licensees(s),                to use the Technology Marks on Licensed Products, advertising and                promotional material, and elsewhere, as contemplated herein. Licensee                (and/or                Approved Sub-Licensees) shall,                upon reasonable notice from Licensor, fully and promptly correct                and                remedy any deficiencies in its use of the Technology                Marks. |
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| 12.3 | **Ownership                of Technology Marks.**                Licensee acknowledges Licensor’s claim of sole ownership of the Technology                Marks and all associated goodwill. Nothing in this Agreement or in                the                performance thereof, or that might otherwise be implied by law, shall                operate to grant Licensee any right, title, or interest in or to                the                Technology Marks, other than as specified in the limited license                grant                herein. Licensee’s use of the Technology Marks shall inure solely to the                benefit of Licensor. Licensor shall have the sole right to, and in                its                sole discretion may, commence, prosecute or defend, and control any                action                concerning the Technology Marks. Licensee shall not contest the validity                of, by act or omission jeopardize, or take any action inconsistent                with,                Licensor’s rights or goodwill in the Technology Marks, including attempted                registration of the Technology Marks, or use or attempt registration                of                any mark confusingly similar thereto. Licensee shall maintain and                not                alter or remove, without Licensor’s consent, any copyright, trademark,                patent and other proprietary or protective notices contained in any                Technology. |
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| **13.** | **Termination** |
|---------|-----------------|

| 13.1 | **Term**.                This                Agreement will begin as of the Effective Date and will continue for                a                period of two                (2)                years (the “Initial Term”), unless earlier terminated in accordance                with Section 13.2 below.                Upon expiration of the Initial Term, this Agreement shall automatically                renew for additional two-year terms (each a “Renewal Term”), unless                Licensee provides Licensor with thirty (30) days written notice prior                to                the expiration of the Initial Term or any Renewal Term, of its intent                NOT                to renew the Agreement.                The Initial Term and any Renewal Term(s) shall each be referred to                as the                “Term.” |
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| 13.2 | **Termination****.**                Either Party may terminate this Agreement for cause: (a) upon thirty                (30)                days prior written notice of a material breach of the other Party,                if the                breach has not been cured within such thirty (30) day period; or                (b)                immediately upon written notice to the other Party (i)                if the other Party declares or a petition is filed in any court for                insolvency or bankruptcy and such petition is not dismissed in                sixty (60) days;                or                (ii) for the other Party’s reorganization under the United States                bankruptcy act of                any similar statute; (iii) if the other Party consents to the appointment                of a trustee in bankruptcy or a receiver or similar entity. |
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| 13.3 | **Effect                of Termination.** Upon                the expiration or                termination of this Agreement for                any reason                (a)                all licenses granted hereunder shall cease; (b)                each Party shall return to the other and make no further use of                the                any                of the other Party’s Confidential Information                in                its possession                and all Copies                thereof;                (c)                the Parties shall immediately discontinue any and all promotional                activities hereunder and Licensee shall cease all use of Technology                Marks                and promotional materials and return, at no charge, all sales, promotional                and display or advertising materials, which were furnished by Licensor;                and (d)                all amounts due to                Licensor by Licensee                through the termination date under the terms of this Agreement shall                become immediately due and payable. Upon                termination of this Agreement, Licensee and Approved Sub-Licensees                shall                be permitted a reasonable opportunity, not to exceed ninety (90)                days, to                sell their remaining inventory of finished Licensed Products. The                provisions of Sections 2.2,                4.1 and 8, 9, 10, 11,                12.3, 13, 14 and 15                shall survive the termination or expiration of this                Agreement. |
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|   |   |
|--------|--------|

| **14.** | **Notices** |
|---------|-------------|

| 14.1 | All                notices sent under this Agreement shall be in writing and (i) hand                delivered; (ii) transmitted by legible facsimile with a copy sent                concurrently by certified mail, return receipt requested; or (iii)                delivered by prepaid overnight courier. Notice shall be effective                (i) upon                receipt if delivered by hand; (ii) one (1) business day after deposit                with                an overnight courier service; or (iii) three (3) business days after                deposit with the United States Postal Service if sent via certified                mail.                Notices shall be sent to the Parties                at                the following addresses or such other addresses as the Parties                subsequently may provide in accordance with this Section 14.1: |
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| *If                to Licensor:*Document                Security Systems, Inc.25                East Main StreetSuite                1525Rochester,                NY 14614Fax:                585-325-2977 Attention:                Chief Executive Officer                                                                                                     | *With                a copy to:*Law                Offices of Michael T. Hughes, Esq.60                E. 42nd Street, Suite 1812New                York, NY 10165Fax:                (212) 697-3969Attention:                Michael T. Hughes,                Esq.  |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                       |
| *If                to Licensee*:The                Ergonomic Group191                Herricks RoadGarden                City Park, NY 11040 Fax:                (516) 746-7809Attn:                Mr. Robert Girards    Executive                Vice                President    Chief                Operating Officer | *With                a copy to*:Gottlieb                Rackman & ReismanNew                York City, NY 10016Fax:                (212) 684-3999Attn:                Michael                I. Rackman, Esq.                                                          |

| **15.** | **Miscellaneous** |
|---------|-------------------|

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| 15.1 | **Assignment.**                 Licensee may not assign this Agreement or the rights and obligations                hereunder to any third party                except as contemplated herein                without the prior express written approval of the Licensor.                Any                purported assignment without the consent of the Licensor shall be                void.                The provisions of this Agreement shall be binding upon, and shall                inure                to, the benefit of the Parties hereto, their legal representatives,                permitted                successors                and permitted assigns.                In                the event of a “change of control” of Licensee, Licensor shall have the                right to terminate this Agreement, unless such change of control                is                acceptable to Licensor, such acceptance not to be unreasonably withheld.                For purposes hereof, the term “change of control” shall mean the sale or                other transfer of more than 50% of the outstanding ownership of Licensee. |
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| 15.2 | **Governing                Law; Jurisdiction.**                This Agreement shall be governed in accordance with the laws of the                State                of New York, without regard to conflict of laws principles. All disputes                under this Agreement shall be resolved in the appropriate state or                federal                courts located in Rochester, New York.                Each                Party consents to the jurisdiction of and venue in such courts, agrees                to                accept service of process by mail and hereby waives any jurisdictional,                lack of venue, or forum defenses otherwise available to it. |
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| 15.3 | **Force                Majeure.**                No                Party shall be in default or otherwise liable for any delay in or                failure                of its performance under this Agreement, other than of obligations                regarding payments or confidentiality, if such delay or failure is                caused                by something beyond its reasonable control and without its fault                or                negligence, including,                but not limited to,                any act of God, strikes, lockouts, riots, any acts of the common                enemy,                the elements, earthquakes, floods, fires, epidemics, governmental                laws and                regulations ,                inability to secure products or services from other persons, entities                or                transportation facilities, failures or delay in transportation or                communications or power failures. Such delay or failure shall not                constitute a breach of this Agreement and shall automatically extend                any                completion dates for a period equal to the duration of such events.                Lack                of funds shall not constitute a reason beyond the Party’s reasonable                control. |
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| 15.4 | **Remedies                Cumulative; Waivers.**                The rights and remedies provided in this Agreement and all other                rights                and remedies available to either Party                at                law or in equity are, to the extent permitted by law, cumulative                and not                exclusive of any other right or remedy now or hereafter available                at law                or in equity. A Party’s failure to assert any right or remedy shall not                constitute a waiver of that right or remedy. No                waiver by either Party of any default shall be deemed as a waiver                of prior                or subsequent default of the same or other provisions of this                Agreement. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 15.5 | **Construction;                Severability.**** **The                Parties acknowledge that they have reviewed this Agreement and bargained                over its terms. Accordingly, this Agreement shall be construed without                regard to the Party or Parties responsible for its preparation, and                shall                be deemed to have been prepared jointly by the Parties.                Headings contained in this Agreement are not intended to be full                and                accurate descriptions of the contents of this Agreement and shall                not                affect the meaning or interpretation of this Agreement. If any term,                clause, or provision hereof is held invalid or unenforceable by a                court of                competent jurisdiction, such invalidity shall not affect the validity                or                operation of any other term, clause, or provision and such invalid                term,                clause, or provision shall be deemed to be severed from the Agreement.                This Agreement may be executed in counterparts, each of which shall                be                deemed to be original but all of which together shall constitute                a single                instrument. The                signatures required for execution may be transmitted to the other                Party                via facsimile and such signatures shall be deemed a duplicate                original. |
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| 15.6 | **Relationship                of Parties.**                Nothing in this Agreement shall be construed as creating a partnership,                joint venture or agency relationship between the Parties,                or as authorizing either Party to act as agent for the                other. |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 15.7 | **Entire                Agreement; Termination of Prior Agreements.**                This Agreement and the                Exhibits and                Schedules hereto                constitute                the entire agreement between the Parties                and supersedes                any and                all prior agreements between the Parties                concerning the subject matter of this Agreement. The                pre-printed terms and conditions on any forms, purchase orders, invoices,                or confirmations of the Parties shall not be construed as superseding                this                Agreement and in the event of any conflict between such documents                and this                Agreement, the terms of this Agreement shall prevail. No modifications                or                amendments may be made to this Agreement except as expressed in writing                and signed by each Party. |
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| 15.8 | **Publicity.**                    Either Party may refer to the other by name in advertising, promotional                    materials and publications in connection with this Agreement                    only upon                    receiving the prior written consent of the other Party, which                    consent                    shall not be unreasonably withheld. Notwithstanding anything                    to the                    contrary herein, Licensee acknowledges and agrees that (a) it                    is the                    Licensor’s intention to issue a press release within ten (10) days of                    the                    date hereof regarding the signing of this Agreement;                    and (b) either Party may be required, under applicable securities                    laws, to                    disclose the existence and contents of this Agreement. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 15.9 | **Export                Control; Government Customers.**Anything                contained in this Agreement notwithstanding, the obligations of the                Parties hereto shall be subject to all laws, present and future,                including                export control laws and regulations, of any government having jurisdiction                over the Parties                hereto and to orders, regulations, directions or requests of any                such                government. Each Party                shall undertake to comply with and will be solely responsible for                complying with such laws applicable to such party.                Both Parties agree and acknowledge that an appropriate restrictive                rights                legend pertaining to government Customers shall be contained in any                license agreement concerning the                Technology. |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 15.10 | **Irreparable                Damage**:                The                Parties acknowledge and agree that any violation of this Agreement                would                subject the other to irreparable injury for which monetary damages                will                not be an adequate remedy. Therefore,                in addition to any remedies otherwise available, the non-breaching                Party                will be entitled to any injunctive relief and specific performance                to                enforce the terms of this Agreement. The                breaching Party shall pay all reasonable attorney's fees and court                costs,                arbitration cost, and/or appeal costs incurred by the non-breaching                Party                should it be necessary for the non-breaching Party to enforce the                terms of                this Agreement. |
|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| LICENSOR DOCUMENT                SECURITY SYSTEMS, INC.  By:                /s/                Patrick                White                               Name:                Patrick WhiteTitle:                 Chief                Executive Officer | LICENSEE                 ERGONOMIC                GROUP, INC.   By:                /s/                Robert                Girards             Name: Robert                GirardsTitle:                 Executive                Vice President and                Chief Operating Officer |
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