Exhibit 10.1
 HEARING CARE PROGRAM SERVICES AGREEMENT
 Agreement Effective Date HUSA AARP ASI the Parties Party AARP Parties AARP Party
 WITNESSETH
  Program
 ;
  SECTION I  DEFINITIONS
  1.1
    
    AARP Intellectual Property consists of the Licensed Marks (as defined in the License
Agreement), Member Data, AARPs name, and any Licensed Copyrights (as defined in the License
Agreement), and the goodwill associated therewith.1.2
    
    AARP Marks has the meaning set forth in the License Agreement.1.3
    
    Aural Rehabilitation means (i) instructional programs that are delivered to the
individual in a structured and approved format to supplement the initial
counseling/orientation material; (ii) care and maintenance of hearing products,
troubleshooting hearing aids, assistive technologies, listening strategies, auditory and
communication training; and (iii)
approved materials made available in various formats, including books, interactive online
programs, group support programs and DVDs.
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1.4
    
    HUSA Centers means HUSA company-owned retail hearing care centers.1.5
    
    HUSA Network means the network of independent audiologists and hearing care
specialists that contract with HUSA to participate in certain hearing benefit programs
contracted by HUSA with employer groups, health insurers and other benefit sponsors.1.6
    
    HUSA Network Providers means those independent Providers that are members of the HUSA
Network and not employees of HUSA.1.7
    
    Intellectual Property means all intellectual property and proprietary rights
worldwide (whether or not registered or registrable, patented or patentable), including,
without limitation, rights in inventions, patent rights, copyrights, trademark rights, trade
secret rights, rights in ideas, inventions and innovations, rights in Confidential
Information, moral rights, semiconductor chip rights, database rights, industrial design
rights, and all other similar rights, along with all applications, registrations, divisionals,
continuations, continuations-in-part, reexams, extensions, reissues and foreign counterparts
for the foregoing.1.8
    
    License Agreement means that certain AARP License Agreement entered into on August 8,
2008 between HUSA and AARP.1.9
    
    Member means an individual who, at the time in question, is a current member of AARP,
as evidenced by a valid membership number.1.10
    
    Member Communications means all electronic, print, visual, oral, or scripted
communications regarding the Program directed at Members or the general public, including
inserts in kits for new or renewing Members, promotional materials, advertisements, press
releases, web site design and copy, in-store signage and any other communications that bear
the AARP Marks or that address the Program.1.11
    
    Member Data means the names, addresses, telephone numbers, AARP membership numbers,
and e-mail addresses that AARP or ASI provide to HUSA or permit HUSA to access in connection
with this Agreement or the License Agreement, including Member mailing lists.1.12
    
    Products and Services means the hearing care products and services and related
discounts offered to Members pursuant to the Program as set forth on Exhibit E hereto, as the
same may be amended from time to time in accordance with the terms of this Agreement.1.13
    
    Program Year has the meaning set forth in the License Agreement.1.14
    
    Provider(s) means an audiologist or hearing care specialist delivering Products and
Services to Members pursuant to the Program, whether through a HUSA Center or the HUSA
Network.1.15
    
    Third Party means any person other than a Party to this Agreement.
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SECTION II
 ROLE OF ASI OR ITS SUCCESSOR(S)
 2.1
    
    General. On behalf of AARP and subject to Applicable Law, ASI shall perform Quality
Control Services and monitor HUSAs compliance with the Quality Control Standards as set forth
in this Agreement and in the License Agreement. ASIs role under this Agreement shall be that
of provider of Quality Control Services, solely on behalf of AARP and compensated for its
services by AARP, subject to a separate agreement between AARP and ASI governing ASIs
services. AARP, by written notice to HUSA at any time, may designate a different provider of
some or all of such Quality Control Services on AARPs behalf; HUSA will be afforded an
opportunity to consent, such consent not to be unreasonably withheld. In the event of such
designation, references to ASI in this Agreement and in the License Agreement, with respect to
those components of Quality Control Services covered by such designation, shall be deemed to
refer to the new provider of Quality Control Services.
 2.2
    
    Consulting Services. HUSA may, in its discretion, separately engage ASI to perform
consulting and marketing services in connection with the Program on behalf of HUSA, as may be
set forth in any consulting services agreement entered into by ASI and HUSA. HUSA shall
separately compensate ASI for any such consulting and marketing services. ASI performs no
consulting or marketing services for HUSA under this Agreement.
 SECTION III
 HUSA OBLIGATIONS
 3.1
    
    Products and Services. Subject to the terms and conditions of this Agreement, during
the Term HUSA shall provide the Products and Services to Members through the HUSA Centers and
the HUSA Network.
 3.2
    
    Medicare or Medicaid. It is expressly understood and agreed by the Parties that the
Program shall not apply to any products or services that are reimbursable by any federal or
state health care program. To the extent that any Product or Service provided to a Member
under the Program is covered by any federal or state health care program, such Product or
Service shall be deemed not to have been provided under the Program pursuant to this Agreement
and no discount or other benefit hereunder shall be afforded a Member for such Product or
Service. HUSA acknowledges and agrees to provide Products and Services under the Program only
to the extent that such Products and Services are not reimbursable by any federal or state
health care program, including the Medicare program. Notwithstanding anything else in this
Section 3.2 to the contrary, Products and Services may be provided to Members that use a
benefit under a Medicare Advantage Plan (Medicare Part C) to pay a portion of the cost of such
Products and Services. In the event that a Product or Service provided by a Provider as part
of the Program indicates a need for follow-up treatment that may be covered by any federal or
state health care program, the Provider shall advise the Member to consult the Members
primary care physician or health insurer for a referral to a qualified health care
practitioner for the provision of such treatment.
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3.3
    
    Program Roll Out. HUSA shall make the Program available to Members as follows:
 (a)
    
    Within one (1) year after the Effective Date, the Program shall be available to Members
through all the HUSA Centers in existence on the Effective Date and those audiologists that
are members of the HUSA Network on the Effective Date.(b)
    
    Within two (2) years after the Effective Date, the Program shall be available to Members
through a combination of HUSA Centers and HUSA Network Providers in all fifty (50) U.S.
States, the District of Columbia, and five U.S. Territories (American Somoa, Guam, Marianas
Islands, Puerto Rico, and the U.S. Virgin Islands).(c)
    
    HUSA will use commercially reasonable efforts to achieve the level of availability set
forth in Sections 3.3(a) and (b) above in less time.(d)
    
    The Parties will cooperate with one another and will confer with one another on a
quarterly basis to determine ways in which the roll out can be accelerated.
 3.4
    
    HUSA Network Providers. On or before the Effective Date, HUSA shall provide ASI with
the names, professional practice names, and practice locations of the audiologists and hearing
care specialists that will become Providers, whether HUSA Network Providers or HUSA employees.
HUSA shall deliver an updated list of Providers to ASI, or a Third Party designated by ASI,
monthly on the last business day of each month during the Term.3.5
    
    Hearing Care Specialists. Prior to the Effective Date, membership in the HUSA
Network has been limited to audiologists. On or before December 1, 2008, HUSA shall develop
and provide to ASI for ASIs approval, such approval not to be unreasonably withheld or
delayed, a detailed plan to increase the number of HUSA Network Providers that are hearing
care specialists to twenty-five percent (25%) of all HUSA Network Providers within one (1)
year of approval of the plan.3.6
    
    Access to Providers.
 (a)
    
    Upon full roll out of the Program as provided in Section 3.3(b), HUSA will use
its commercially reasonable efforts to expand access to Members to Providers who meet
of the Creditialing and Quality Standards set forth in Section 3.16 in all areas where
sufficient numbers of Providers exist as follows:
 (i)
    
    Urban: At least one (1) Provider within ten (10) miles
of the Members home address;(ii)
    
    Suburban: At least one (1) Provider within thirty (30)
miles of the Members home address; and(iii)
    
    Rural: At least one (1) Provider within sixty (60)
miles of the Members home address.
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(b)
    
    Using available data, HUSA and ASI shall review Members access to Providers
quarterly to determine the sufficiency thereof to support Members needs and to
determine the practicality and/or need for adjustments.(c)
    
    HUSA shall use commercially reasonable efforts to ensure access to a Members
preference for an audiologist or hearing care specialist.
 3.7
    
    Quality Standards and Measures. HUSA and ASI shall work together in developing
enhancements to the HUSA quality standards and measures for the Program using industry
recognized and best practices criteria and processes.3.8
    
    Implementation of the Program. In addition, HUSA shall work to develop and
implement, in cooperation with ASI and other providers of health products and services that
carry the AARP name, as necessary, educational, administrative and promotional programs,
materials, products, services, processes and procedures for the purpose of implementing,
improving and promoting the Program, as more fully described in HUSAs annual Operating and
Marketing Plan described below in Section 3.15.3.9
    
    Cooperation of the Parties. HUSA and ASI shall work together to develop and
implement a quarterly management plan that will serve to monitor sales, Member satisfaction
and overall Program operations. HUSA and ASI will meet to review the business operations and
marketing efforts no less than once per calendar quarter to assure that HUSA is managing the
Program successfully under the quality control oversight of ASI.3.10
    
    Economic Assistance Program. Starting with calendar year 2009 and continuing
annually during the term of this Agreement, HUSA shall donate hearing aids to be distributed
to economically disadvantaged individuals in a quantity to be mutually agreed upon by the
Parties. In calendar year 2009, HUSA shall donate at least one thousand (1,000) hearing aids.
In each subsequent calendar year of the Program, HUSA will donate a quantity of hearing aids
mutually agreed upon by the Parties. Donated hearing aids shall be distributed pursuant to
procedures established by the Parties and may include Third Parties in determining
qualifications of recipients.
 (a)
    
    HUSA will cooperate with ASI to establish mutually agreeable terms regarding
discounted services (provider fee) based upon the recipients economic situation;
including price, types of service and qualification of recipients.(b)
    
    HUSA will provide recipients of the donated hearing aids with the warranty,
free batteries and trial period more fully described in Exhibit E attached hereto
detailing the Products and Services offered under the Program.
 3.11
    
    Education/Awareness. If both the License Agreement and this Agreement are in effect
on November 30 of each year of the Term (beginning November 30, 2009) or on November 30 of
2012 and 2013 if the Option to Continue is exercised pursuant to Section 10.2, HUSA will
contribute $500,000 to AARP for campaigns to educate and promote hearing loss awareness and
prevention to Members and the public. The funds shall be used to develop collaborative
programs to educate about hearing awareness and prevention. The Parties shall work together
and, as appropriate, with hearing industry associations or organizations to develop program
concepts and activities (e.g.,
public service announcements, preventive screenings, educational forums) to fulfill this
requirement. HUSA shall remit the $500,000 payment annually for each year during the Term
within thirty (30) days after November 30 of that year, beginning November 30, 2009.
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3.12
    
    HUSAs Annual Marketing Budget. Starting in calendar year 2009 and continuing
annually for each calendar year during the Term, HUSA shall commit a minimum of $4.4 million
per calendar year as the marketing budget for the Program.3.13
    
    Marketing Materials.
 (a)
    
    The materials used by HUSA to market the Program and other Member
Communications by HUSA with Members will be designed to assist Members in making an
informed decision regarding the purchase of Products and Services. HUSA will strive to
present information concerning the Program and the characteristics of particular
Products and Services to Members in an objective and educational manner.(b)
    
    As a part of its Quality Control (as defined below) function, ASI shall review
and approve all Member Communications. HUSA shall submit all marketing and promotional
materials for the Program and other Member Communications to ASI for written approval
prior to dissemination of the materials. ASIs approval shall not be unreasonably
withheld. ASI shall use reasonable efforts to approve or disapprove of such materials
within fourteen (14) Business Days of receipt (or such longer time period specified by
HUSA). If ASI fails to approve or disapprove any such materials within the fourteen
(14) Business Days (or such longer time period specified by HUSA), HUSA shall notify
ASIs Senior Leaders in writing of such failure. Once any such materials are approved
by ASI, no further approval with respect to such materials is required for the twelve
(12) month period immediately following the date of approval, provided the materials
are not materially altered or modified during this period. Notwithstanding the
foregoing, ASI has the right to notify HUSA to stop the use of any previously approved
materials.(c)
    
    HUSA acknowledges and agrees that the AARP Intellectual Property shall remain
the exclusive property of AARP. Except as otherwise provided in this Agreement, HUSA
shall not use any marketing or promotional materials that incorporate any AARP
Intellectual Property without ASIs prior written consent.(d)
    
    ASI recognizes and acknowledges that all of HUSAs Intellectual Property, and
all goodwill associated therewith, shall remain the exclusive property of HUSA, and
agrees that nothing herein shall be construed to establish ownership by the AARP
Parties in any of HUSAs Intellectual Property. Notwithstanding the foregoing, HUSA
acknowledges and agrees that the AARP Parties may reference HUSA and the Program in
communications with Members about the products, services and other benefits made
available to them as Members; including references in the benefits guide distributed to
Members and in the identification of benefits on the AARP website, subject to HUSAs
prior written approval of any such communications or references, such approval not to
be unreasonably withheld or delayed.
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(e)
    
    HUSA acknowledges and agrees that any materials related to the Products and
Services and designed for Members using AARP Intellectual Property shall be used
exclusively for the Program.
 3.14
    
    HUSA Contribution to AARP Health Care Options. HUSA shall commit not less than $4.4
million annually towards marketing the Program as provided in Section 3.12. HUSA agrees that
9.25% of this annual marketing budget for the Program shall be contributed to the AARP Health
Care Options General Program (the General Program). The General Program is a
communications cooperative for all health products and services that carry the AARP name.
HUSA shall pay the annual contribution to the General Program in monthly installments as
invoiced by ASI.3.15
    
    Operating and Marketing Plan. HUSA shall develop an annual operating and marketing
plan for the Program and submit it to ASI for its prior review and written approval, from a
quality control perspective, which approval shall not be unreasonably withheld or delayed.
Said plan shall be delivered to ASI no later than January 31, 2009 for the 2009 operating year
and no later than November 1 of each subsequent year. Said plan shall include at a minimum:
 (a)
    
    Service and quality objectives that meet ASI criteria;(b)
    
    Staffing goals including enhancement of the HUSA Network consistent with
Section 3.6;(c)
    
    Projection of anticipated participation of Members in the Program;(d)
    
    Financial projections for the Program;(e)
    
    Marketing goals, objectives and tactics for the Program and the specific
budgets allocated to the marketing and promotional efforts;(f)
    
    New discounts or services to be offered in response to regulatory and
governmental developments and other external matters that may materially affect the
Program;(g)
    
    Description of how the Program is addressing the social impact goals of AARP:
economic security, health supportive services, livable communities, and quality of life
for the 50+ population;(h)
    
    Marketing strategies and tactics that will help promote the Program directly to
Members including efforts designated for in-store promotions and direct mail including
(i) an annual calendar of all marketing tactics, budget, expected sales and/or results
and (ii) detail of all plans, tactics planned, and target audiences;(i)
    
    Marketing strategies and efforts that cross-promote other health products and
services that carry the AARP name, including those efforts that promote the Program by
other providers of products and services that carry the AARP name; and
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(j)
    
    Issues or concerns regarding the financial sustainability of the Program.
 The Operating and Marketing Plans results shall be accessed and tracked via the reports
referred to in Section 3.22 and Exhibit G attached hereto.
 3.16
    
    Provider Credentialing and Quality Assurance. HUSA shall verify the credentials of
all Providers and shall perform on-going quality assurance activities in accordance with the
HUSA Professional Peer Review and Quality Assurance Program (QA Manual) attached as Exhibit
A hereto, as the same may be modified from time to time. HUSA shall provide to ASI copies of
any modifications to the QA Manual within thirty (30) days after the effective date of the
modifications. HUSA shall require all Providers to conform to all applicable standards and
requirements set forth in the QA Manual. The Parties hereto agree that a Provider shall not
begin to provide Products or Services pursuant to the Program until HUSA has received from the
Provider a complete, executed credentialing application, and evidence of the Providers
professional license and, with respect to HUSA Network Providers, a provider contract and
proof of current professional liability insurance which meets HUSAs required insurance
coverage limits.3.17
    
    AARP Hearing Care Program Training. HUSA shall train all Providers supporting the
Program in the operation of the Program and areas of special concern when dealing with senior
sensitivity and mature customers (AARP Program Training). ASI shall have the right to
approve, such approval not to be unreasonably withheld or delayed, prior to first use any
written materials and the curriculum developed for the AARP Program Training.3.18
    
    Continuing Education. HUSA will make continuing education information and programs
on hearing care available to all Providers on an ongoing basis and communicate the
availability to all new HUSA Center employees and HUSA Network Providers who join the HUSA
Network during the Term of this Agreement. HUSA shall provide ASI with samples of materials
used in continuing education efforts, subject to the provisions of Section VII of this
Agreement. In addition, HUSA will seek opportunities to provide continuing education for
Providers at medical conferences and other similar gatherings.3.19
    
    Customer Service and Complaint Resolution. HUSA shall provide, at no cost to Members
or the AARP Parties, customer service and complaint resolution services in accordance with
HUSAs and ASIs complaint procedures and the Performance Standards and Measurements referred
to in Section 3.20 and Exhibit F attached hereto and any applicable federal or state laws,
rules or regulations. HUSA also shall establish and maintain a toll-free customer service
telephone line dedicated to servicing Members, which shall be staffed by customer service
representatives who have undergone training in the operation of the Program. The customer
service telephone line shall be staffed, at a minimum, weekdays (other than National Holidays)
from 9:00 a.m. until 9:00 p.m. Eastern Time and on Saturdays from 9:00 a.m. until 5:00 p.m.
Eastern Time, subject to periods for scheduled maintenance. At least one telephone
representative shall be bilingual in Spanish and English. HUSA shall make available to
Members, twenty-four (24) hours per day, three hundred sixty-five (365) days per year and at
no charge to Members or the AARP Parties, an interactive voice response or other telephonic
system to provide information regarding Provider locations, subject to periods for scheduled
maintenance. HUSA shall report to ASI, quarterly and annually, in a format and medium to be
agreed upon by the Parties, the performance of HUSAs customer service
and complaint resolution services as measured by the standards set forth in the Customer
Service and Complaint Resolution sections of Exhibit F. HUSA shall cooperate with the
AARP Member Relations Group in order to best serve Members and address any specific
Member-related issues that arise from HUSAs performance under this Agreement.
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3.20
    
    Performance Standards and Measurements. HUSA shall meet or exceed the Performance
Standards and Measurements set forth in Exhibit F to this Agreement as applicable in
performing obligations under this Agreement and providing Services to Members.3.21
    
    Member Research. All research related to Members must be approved in advance and in
writing by ASI, except to the extent the same may be required by any federal or state law,
rule or regulation. Results of all Member research shall be provided to ASI, except to the
extent prohibited by any federal or state law, rule or regulation. At ASIs discretion, HUSA
shall participate in surveys conducted by ASI, including monthly Member satisfaction and
Member Services Quality Survey (MSQS).3.22
    
    Reporting. HUSA shall provide ASI with the reports describing the performance by
HUSA of its obligations arising under this Agreement and the License Agreement as set forth in
Exhibit G attached hereto, in a format and with such frequency as is reasonably acceptable to
ASI.3.23
    
    Changes in Ownership, Organizational Structure or Network. HUSA will notify ASI in
writing within five (5) days of the effective date of any change in HUSAs ownership, and will
notify ASI in writing immediately of any changes in HUSAs organizational structure, the HUSA
Centers or the HUSA Network, in each case that could reasonably be expected to have a material
adverse effect on HUSAs performance of its obligations under this Agreement.3.24
    
    Disaster Recovery Plan. HUSA shall maintain a disaster recovery and business
resumption plan, in form and substance reasonably satisfactory to ASI, to maintain HUSAs
systems and operations in the event of a disaster sufficient to permit performance of HUSAs
obligations under this Agreement. Such plan shall require, at a minimum, annual testing of
disaster recovery protocols and the submission of the results of such tests to ASI within
thirty (30) days of their completion. Such plan shall also provide, at a minimum, for the
resumption of services necessary to HUSAs performance of its obligations under this Agreement
within forty-eight (48) hours of any interruption of such services.3.25
    
    Licensure. HUSA shall, at all times during the term of this Agreement, require
Providers to maintain all licenses, certifications, permits and other authorizations required
by law to deliver the Products and Services pursuant to the Program. Upon reasonable request
by ASI, HUSA will submit to ASI evidence that HUSA and all Providers are in good standing with
all appropriate regulatory bodies. HUSA shall promptly notify ASI of any formal disciplinary
action taken against HUSA or any Provider of which HUSA is aware that seeks to suspend,
revoke, or restrict any authorization necessary to HUSAs performance of its obligations under
this Agreement or that relates to HUSAs performance under this Agreement, if an adverse
outcome in such action could
reasonably be expected to have a material adverse effect on HUSAs performance of its
obgliations under this Agreement.
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3.26
    
    Compliance with Applicable Law and AARP Policy. HUSA and the Providers shall comply
with all applicable federal, state and local laws, regulations, orders, and administrative
rulings, plus any applicable written AARP policies that are provided to HUSA and that do not
unreasonably restrict HUSAs performance of its obligations under this Agreement, in
connection with HUSAs performance under this Agreement and the offering of the Products and
Services to Members pursuant to the Program. HUSA shall notify ASI promptly in writing in the
event that HUSA becomes aware that implementation of the Program as set forth in this
Agreement or contemplated by the Parties does not or would not comply with applicable federal,
state or local laws, regulations, orders or administrative rulings.3.27
    
    No Pending Actions. HUSA represents and warrants that it is not aware of any action,
suit, investigation or proceeding pending or threatened against HUSA or a Provider by or
before any court, arbitrator or administrative or governmental body that could reasonably be
expected to have a material adverse effect on HUSAs ability to perform its obligations under
this Agreement. HUSA will notify ASI in writing within five (5) days of HUSA becoming aware
of the commencement or threat of any such action, suit, investigation or proceeding.3.28
    
    No Conflict or Violation. HUSA represents and warrants that the execution, delivery
and performance of this Agreement by HUSA will not:
 (a)
    
    Violate any provision of HUSAs articles of incorporation, bylaws or other
charter or organizational document;(b)
    
    Violate, conflict with, or result in the breach, acceleration or modification
of any material contract or other material agreement to which HUSA is a party;(c)
    
    Violate any order, judgment, injunction, award or decree of any court,
arbitrator or governmental or regulatory body binding upon HUSAs assets, operations or
business;(d)
    
    Result in the creation of any lien, charge or encumbrance on any HUSA asset or
property necessary to the performance of HUSAs obligations under this Agreement; or(e)
    
    Result in the breach of the terms and conditions of, or cause impairment of,
any license or other authorization necessary to the performance of HUSAs obligations
under this Agreement.
 3.29
    
    Financial Condition. HUSA represents and warrants that it is not insolvent, has not
filed or had filed against it a petition in bankruptcy, has not made an assignment for the
benefit of creditors or otherwise had a receiver or trustee appointed with respect to its
properties or affairs.
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3.30
    
    Audits, and Inspections; Access to Information. Subject to reasonable restrictions
to protect HUSAs Confidential Information, HUSA will, and will require Providers to, afford
ASI or its authorized representatives, including without limitation an independent actuary
or accountant, upon reasonable request by ASI, access during normal business hours to the
books and records of HUSA or Providers that relate to the Program, including any royalty and
compensation payments, service and performance standards, and records and data relating to
the Operating and Marketing Plan. In addition, subject to applicable law governing the
confidentiality, privacy and disclosure of individual patient information and personal
identification information, HUSA will, and will require Providers to, afford ASI or its
authorized representatives reasonable access to records and data relating to the Products
and Services provided to Members. Annual or bi-annual audits or inspections are deemed
reasonable for purposes of this Section 3.30, provided, that any specific problems detected
by ASI may be audited or inspected on a more frequent but reasonable basis until corrected.
ASI shall not have access to a Members claim files or medical information unless the
express written consent of the Member has been secured, or such access is necessary either
to respond fully to any written inquiry received from a Member by AARP or ASI, or otherwise
to fulfill the responsibilities of AARP or ASI to a Member and such access is permitted
under applicable federal and state laws, regulations, orders, and administrative rulings.
 3.31
    
    No Mediation or Arbitration. HUSA shall not use mediation or arbitration to settle
any dispute arising out of or relating to the Program between HUSA and any Member, user,
recipient or purchaser of any Products and Services. HUSA also shall require that the
Providers similarly not use mediation or arbitration.3.32
    
    AARP Privacy Policy. HUSA shall comply with the AARP Privacy Policy attached hereto
as Exhibit B.3.33
    
    AARP Brand Guidelines and Standards. HUSA shall comply at all times with the brand
guidelines that are provided to HUSA by AARP and/or ASI regarding use of the AARP Marks.3.34
    
    MDW. HUSA shall participate in ASIs Marketing Data Warehouse (MDW). Such
participation shall include: (1) the development of business specifications and functional
requirements, (2) working closely with ASI and its contracted marketing vendor, (3)
coordination with other AARP providers as required and directed by ASI, and (4) sending record
level marketing data, including Member participation data and record level data of outbound
contact, inbound inquiry and Member participation, to the MDW.3.35
    
    Call Center. HUSA shall use an ASI-designated call center, in addition to its own
call center, for the Program. The current ASI-designated call center is operated by a
division of Hartford Fire Insurance Company known as the Hartford Customer Service Group
(HCSG),with whom ASI has entered into a Program Administrative Services Agreement (the
HCSG Services Agreement). Within seven (7) Business Days after reviewing the HCSG Services
Agreement, HUSA shall execute a formal Acknowledgment of the agreement. Under the
Acknowledgment, HUSA shall acknowledge and accept the relevant terms of the HCSG Services
Agreement. Any services that the HUSA call center performs under this Agreement shall be
performed at least at the levels required of HCSG under the HCSG Services Agreement.
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3.36
    
    AARP Application Interface. HUSA will use AARPs Application Interface (AAI) to
verify, initiate and renew AARP membership. HUSA will use AAI for integration into
AARPs Member database. It is expected that HUSA will have the software and/or hardware
necessary to link with AAI. If any modifications to HUSAs software or hardware are
necessary to make the link successful, HUSA shall bear the reasonable expenses of such
modifications.
 3.37
    
    Commencement of Program. On December 1, 2008, HUSA shall make the Products and
Services pursuant to the Program available to Members in Florida and New Jersey.
 SECTION IV
 AARP SERVICES OBLIGATIONS
 4.1
    
    Quality Control Services. As set forth herein and in the License Agreement, AARP has
contracted with ASI to ensure that HUSAs use of the Intellectual Property licensed to HUSA
under the License Agreement does not depreciate the value of that licensed Intellectual
Property and that it upholds the goodwill and reputation of AARP (Quality Control),
including monitoring HUSAs compliance with its obligations as set forth in this Agreement
(Quality Control Standards), and HUSA acknowledges that, as a condition to the AARP Parties
execution of this Agreement and AARPs execution of the License Agreement, HUSA agrees to
permit ASI to perform Quality Control as set forth in this Agreement. The Quality Control is
performed at ASIs or AARPs expense.4.2
    
    Member Data. ASI shall provide to HUSA access, on terms acceptable to ASI, to Member
Data, including Member names and addresses, in order to deliver Member Communications
effectively and provide the Products and Services. Such access will be in a format that is
reasonably acceptable to HUSA. This information shall be made available to HUSA through the
MDW. Subject to the provisions of Section VII, all Member Data, including the names and
addresses and email addresses of Members, is and at all times shall remain the exclusive
property of AARP and at any time, upon request by ASI, will be returned to ASI as part of
ASIs Quality Control. Subject to the requirements of applicable federal, state and local
laws, rules and regulations and except as expressly provided by this Agreement, the use of all
such Member Data will be restricted exclusively to the development and offering of the Program
and any use of such Member Data outside of the Program shall be subject to ASIs prior written
approval, such approval not to be unreasonably withheld or delayed.4.3
    
    Ombudsmen Services. ASI shall maintain ombudsmen services to help resolve AARP
Member disputes and other problems with the Program. ASI shall provide HUSA with written
accounts of Member disputes and resolutions related to the Program.
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SECTION V
 TRANSFORMATIONAL IDEAS
 5.1
    
    Diversity. HUSA (in consultation with ASI, as part of ASIs Quality Control) shall
develop and maintain a diversity plan to address the product needs of diverse ethnic markets
and serve the social welfare of Members and the 50 plus population generally (Diversity
Plan).
 (a)
    
    Adoption of Plan. No later than September 30 of each calendar year of
the Term with respect to the then subsequent calendar year of the Term, HUSA (in
consultation with ASI, as part of ASIs Quality Control) shall develop and adopt a
Diversity Plan.(b)
    
    Content of Plan. The Diversity Plan shall, among other things, address
the following:
 (i)
    
    Development of products and services to meet the unique needs
of diverse communities;(ii)
    
    Programs and initiatives to address racial/ethnic disparities
in hearing care health and promote equity in hearing care health;(iii)
    
    Development by HUSA of cultural proficiency training related
to health care for its staff and Providers who are involved in Program; and(iv)
    
    Expansion of multi-lingual capabilities related to the Program.
 (c)
    
    2009 Diversity Plan. The Diversity Plan for calendar year 2009 shall be
delivered on or before December 31, 2008.(d)
    
    Implementation Reports. No later than March 31 of each calendar year
during the Term of this Agreement (commencing March 31, 2010), HUSA shall produce and
deliver to ASI a written report (or presentation) setting forth in reasonable detail
the diversity activities undertaken by HUSA during the preceding year and HUSAs
compliance with the Diversity Plan.
 5.2
    
    Corporate Social Responsibility. HUSA (in consultation with ASI, as part of ASIs
Quality Control) shall develop and maintain an annual corporate social responsibility plan
applicable to the Program (CSR Plan).
 (a)
    
    Adoption of Plan. No later than September 30 of each calendar year of
the Term with respect to the then-subsequent calendar year of the Term, HUSA (in
consultation with ASI, as part of ASIs Quality Control) shall develop and adopt a CSR
Plan.(b)
    
    Content of Plan. The CSR Plan shall, among other things, address the
following:
 (i)
    
    Promotion of environmental initiatives, with specific attention
to the Program, including (A) waste management and recycling, (B) sourcing of
paper products in an environmentally sound manner (including targets for
post-consumer waste recycled content and development of e-business driven
elements), (C) energy efficiency of operations, (D) reduced greenhouse gas
emissions, and (E) greater use of green building design; and(ii)
    
    Identification of any other initiatives undertaken by HUSA that
promote the social welfare.
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(c)
    
    2009 CSR Plan. The CSR Plan for calendar year 2009 shall be delivered
on or before December 31, 2008.(d)
    
    Implementation Reports. No later than March 31 of each calendar year
during the Term (commencing March 31, 2010), HUSA shall produce and deliver to ASI a
written report (or presentation) setting forth in reasonable detail the corporate
social responsibility activities undertaken by HUSA during the preceding year and
HUSAs compliance with the CSR Plan.
 5.3
    
    Plain Language. The Parties acknowledge and agree that they are committed to
delivering all information provided to participants in the Program (prospective or current) in
a clear, concise and understandable manner.
 (a)
    
    Plain Language Standards. In furtherance of the foregoing, and in the
interest of protecting the AARP brand, HUSA and ASI shall, from time to time, jointly
develop, adopt and maintain plain language standards applicable to the Program (Plain
Language Standards). Subject to compliance with applicable federal and state laws,
rules and regulations, Plain Language Standards shall, among others, include the
following:
 (i)
    
    Establishment of methodology to produce plain language
communications using principles of information design, including (A) an
assessment of the literacy levels of the participants in the Program, (B) their
informational needs, and (C) a statistically valid method for testing the
effectiveness and usability of communications with the participants in the
Program;(ii)
    
    All information shall be presented in clear, concise sections,
paragraphs, and sentences, consistent with the established methodology, which
means using whenever possible:
 (A)
    
    Short, explanatory sentences or bullet lists;(B)
    
    Layouts and graphic design elements that
increase the effectiveness of communications, such as choosing
appropriate font sizes, pictures, graphs, tables, drawings, and
interactive tools;(C)
    
    Descriptive headings and subheadings;(D)
    
    Avoiding the use of legal and highly technical
business or medical terminology; and(E)
    
    Avoiding frequent reliance on glossaries or
defined terms as the primary means of explaining information in the
communication; provided, however,that a glossary may be used if it is
shown to improve the effectiveness of a communication.
 (iii)
    
    Exploration of a methodology for assessing the costs and
benefits of implementing plain language standards and the impact of using such
standards on gaining behavioral changes that promote health improvements for
the participants in the Program.
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(b)
    
    Implementation Reports. No later than March 31 of each calendar year
during the Term (commencing March 31, 2010), HUSA shall produce and deliver to ASI a
written report (or presentation) setting forth in reasonable detail the plain language
activities undertaken by HUSA during the preceding year and HUSAs compliance with the
Plain Language Standards.
 5.4
    
    Limitations. Notwithstanding anything else in this Section IV to the contrary, the
Parties acknowledge and agree that the Diversity Plan, CSR Plan and Plain Language Standards
established hereunder are desirable undertakings, but non-compliance therewith by HUSA shall
not be deemed a breach of this Agreement nor shall HUSA be required by ASI to make any
material expenditures in complying therewith.
 SECTION VI
 INSURANCE AND INDEMNIFICATION
 6.1
    
    Insurance.
 (a)
    
    HUSA shall maintain at its expense throughout the term of this Agreement such
policy or policies of general liability and professional liability as shall be
necessary to insure AARP, ASI and their respective employees, officers, directors,
trustees, agents, subsidiaries and affiliates against any claim or claims for damages
arising by reason of injury, death or property damage occasioned directly or indirectly
by the performance or non-performance of any service by HUSA or its employees. Such
insurance shall be in amounts of at least One Million Dollars ($1,000,000) per claim
and at least Two Million Dollars ($2,000,000) in the aggregate, with an umbrella policy
providing excess coverage of at least Fifteen Million Dollars ($15,000,000).(b)
    
    HUSA shall additionally require each HUSA Network Provider to maintain
malpractice or professional liability insurance covering professional activities
conducted by the HUSA Network Provider and his/her employees with limits of at least
One Million Dollars ($1,000,000) for each occurrence and at least Three Million Dollars
($3,000,000) in the aggregate except for providers licensed and practicing where the
state provides a cap on professional liability claims and the provider participates in
the state professional liability coverage program.
 Upon request by ASI, HUSA shall provide ASI with certificate(s) of insurance which evidence
compliance with the foregoing insurance requirements. HUSA shall use its reasonable best
efforts to provide ASI with at least ten (10) days advance notice of the cancellation of any
insurance policies.6.2
    
    Indemnification.
 (a)
    
    HUSA shall, at its own expense, defend, indemnify and hold harmless ASI, AARP,
and their respective subsidiaries and affiliates, their officers, directors, trustees,
employees and agents (AARP Indemnified Parties) against and from any claims,
judgments, loss, costs, damage, expenses, liability, personal injury or property
damage, including reasonable attorneys fees and costs, of whatever nature and kind
(Losses), (i) arising out of or related to, or resulting
directly or indirectly, intentionally or unintentionally from any action, omission,
or course of conduct in connection with the Program or by the Providers, including
Third Party claims and/or (ii) incurred by any of the AARP Indemnified Parties by
reason of HUSAs gross negligence or intentional misconduct or bad faith in
performing its obligations under this Agreement or as a result of the breach by HUSA
of any of its representations, warranties, covenants or agreements contained in this
Agreement.
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(b)
    
    ASI and AARP shall, at their own expense, jointly and severally defend,
indemnify and hold harmless HUSA and its respective subsidiaries and affiliates, its
officers, directors, trustees, employees and agents (HUSA Indemnified Parties)
against and from any liabilities, damages, claims, costs and expenses (including
reasonable attorneys fees and costs) incurred by any of the HUSA Indemnified Parties
by reason of ASIs or AARPs gross negligence or intentional misconduct or bad faith in
performing their respective obligations under this Agreement or as a result of the
breach by ASI or AARP of any of their representations, warranties, covenants or
agreements contained in this Agreement.(c)
    
    Notwithstanding anything to the contrary in Sections 5.2(a) or (b), no AARP
Indemnified Party or HUSA Indemnified Party shall be indemnified hereunder for any
Losses arising out of or resulting from its gross negligence, intentional misconduct or
bad faith.(d)
    
    If any claim by a Third Party is made against any Party to this Agreement,
which if sustained, would give rise to a liability for indemnification under this
Section 5.2, the Party against whom the claim is made shall promptly give notice of the
claim to the Party that would be liable for indemnification under this Section 5.2 if
such claims were sustained (the Indemnifying Party) and shall afford the Indemnifying
Party and its counsel, at the Indemnifying Partys expense, the opportunity to defend
or settle the claim. If such notice and opportunity are not given to the Indemnifying
Party, or if any claim is compromised or settled without the Indemnifying Partys
consent, the Indemnifying Party shall not be liable for indemnification hereunder with
respect to such claim.
 6.3
    
    Survival of Insurance and Indemnification Clauses. The provisions of this Section V
shall survive termination or expiration of this Agreement.
 SECTION VII
 NONCOMPETITION AND EXCLUSIVITY
 7.1
    
    During the Term of this Agreement, and for a period of three (3) years after its early
termination or until the expiration date (whichever is earlier) in the event that this
Agreement is breached by HUSA or terminated by ASI for cause pursuant to Section IX below, a
program substantially equivalent to the Program cannot be packaged by HUSA and offered in the
United States to any association whose membership is comprised primarily of individuals who
are age 50 or over (other than AARP and its affiliates).
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7.2
    
    Neither ASI nor AARP is obligated to offer HUSA the opportunity to provide any products or
services to Members other than the Products and Services pursuant to the Program.
 SECTION VIII
 MEMBER DATA AND CONFIDENTIAL INFORMATION
 8.1
    
    Confidentiality and Use of Member Data.
 (a)
    
    HUSA shall, and shall communicate to its employees and the Providers, the need
to maintain the confidentiality of Member Data in accordance with the provisions of
this Agreement and applicable state and federal laws applicable to patient records and
personally identifiable information. HUSA shall not use, and shall prohibit its
employees and the Providers from using, Member Data or information regarding the
Products and Services provided to Members within HUSAs or the Providers possession or
control for any purpose other than as needed for the diagnosis and treatment of
Members, HUSAs and the Providers quality assurance and quality improvement
initiatives, and the performance of HUSAs obligations under this Agreement. Without
limiting the generality of the foregoing, HUSA and the Providers shall have the right
to use Member Data to communicate to Members information as part of a patient recall
program, to provide patient reminders on the need for follow-up services, to
communicate with former Program patients in a manner consistent with its normal
business operations, and to provide such other communications related to the Program,
that HUSA reasonably believes are necessary or appropriate in accordance with this
Agreement; provided, however, HUSA shall not infringe upon any trade name or trademark
of AARP or ASI. In addition, HUSA and the Providers may use Member Data to the extent
required to defend against any claim against any of them arising out of or resulting
from the Program or the provision of any Products or Services pursuant thereto.(b)
    
    All Member Data is and at all times shall remain the exclusive property of ASI.
Subject to the requirements of applicable federal, state and local laws, rules and
regulations, HUSA agrees that the use of Member Data will be restricted exclusively to
the development and offering of the Products and Services in the Program and will be
subject at all times to the prior written approval of ASI. Except to the extent
required for the performance of HUSAs obligations pursuant to this Agreement, HUSA
shall not sort, annotate or mark Member Data. Except as expressly provided under this
Agreement or the License Agreement, under no circumstances shall Member Data be used,
sold, rented, licensed, disclosed, or released to any person or entity, in any form,
without prior written consent of ASI.(c)
    
    Following the termination or expiration of this Agreement, subject to any
obligations of HUSA under Section 10.8 below, HUSA shall not maintain or retain any
information, lists, records, or files in any media whatsoever identifying, directly or
indirectly, the AARP membership numbers of particular individuals or that particular
individuals are or were Members or were visitors to the AARP web site, or AARP-related
web sites (the AARP Membership Identifying Information). HUSA shall: (i) turn over
to ASI any and all AARP Membership Identifying Information (and any and all copies,
tapes and duplications thereof),
then in its possession or control or in the possession or control of Providers or
HUSAs vendors, affiliates or business partners; and (ii) delete all AARP Membership
Identifying Information (and any and all copies, tapes and duplications thereof),
from any remaining customer records in the possession or control of HUSA, the
Providers and any HUSAs vendors, affiliates or business partners. ASI shall
maintain inspection and audit rights to verify compliance with this Section.
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(d)
    
    Further, following termination or expiration of this Agreement, Member Data
shall not be used, directly or indirectly, to address, solicit or market an individual
as a Member, or directly or indirectly imply that an offer is an AARP-branded offer.(e)
    
    HUSA will execute the AARP Security and Confidentiality Agreement attached as
Exhibit C hereto on or before the Effective Date of this Agreement. HUSA shall review
its compliance with the security processes and procedures periodically with
vulnerability testing.(f)
    
    HUSA shall not disclose any Member Data to HUSA Network Providers, or HUSA
vendors, affiliates or business partners, or to any Third Party without the execution
by such parties to whom disclosure is to be made of an AARP-approved agreement imposing
upon the parties to whom disclosure is to be made the same security and confidentiality
obligations imposed upon HUSA under the AARP Security and Confidentiality Agreement.
In addition, HUSA is to complete and maintain the AARP Third-Party Security Risk
Management Program Third-Party Contractor Certification, attached hereto as Exhibit D.(g)
    
    The Parties agree to take all action necessary or appropriate to maintain the
confidentiality of Member Data in accordance with this Section VIII. Each Party shall
be responsible for the compliance by its officers, directors, partners, employees,
consultants, agents and any other individuals in privity with such Party with each and
every provision of this Section 8.1 applicable to such Party.(h)
    
    HUSA shall notify ASI as soon as reasonably practicable, but not later than
forty-eight (48) hours, of HUSAs discovery of any unauthorized use, disclosure, theft
or other loss or compromise of Member Data and HUSA shall cooperate with the AARP
Parties as the AARP Parties may reasonably request.(i)
    
    Member Data that becomes protected health information covered under the Health
Insurance Portability and Accountability Act of 1996 (HIPAA) in the custody of HUSA or
any Provider shall be maintained and transmitted by HUSA and the Providers in
accordance with HIPAA and the privacy and security rules promulgated thereunder and any
other applicable federal, state or local laws, rules or regulations, notwithstanding
anything in this Agreement, the License Agreement or any other agreement or instrument
referred to herein or executed in connection herewith to the contrary.
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8.2
    
    Confidential Information. The term Confidential Information shall mean information
relating to the business or affairs of any Party hereto; including: (i) commercial, technical,
contractual and financial information, subject to the provisions set forth herein; (ii)
descriptions, know-how and marketing plans with respect to the Program or HUSA;
(iii) software, firmware, computer programs and elements of design relating thereto; (iv)
information regarding trade secrets; (v) patents, service marks and trademarks; (vi)
procedures, manuals and guides; (vii) information regarding the present or future business
or products of the Parties; (viii) names, addresses, reimbursement or other information of
HUSA Network Providers; and (ix) all notes, analyses, compilations, studies, plans or other
documents prepared solely by a Party which contain or otherwise reflect Confidential
Information. The Parties acknowledge and agree that Confidential Information shall also
include Confidential Information pertaining to the business or affairs of a Partys
affiliates or subsidiaries, which is disclosed to a Party hereto pursuant to this Agreement.
  8.3
    
    Covenants Regarding Confidential Information.
 (a)
    
    Each Party hereto acknowledges and agrees, that from time to time, in
connection with this Agreement and with the development and implementation of the
Program, each Party and, potentially, Providers will be given or have access to certain
Confidential Information of the Parties. Except as otherwise specified in
writing by the Party who owns the rights, title, and interest in the Confidential
Information, all Confidential Information is and shall remain the exclusive property of
the disclosing Party, and the disclosing Party shall retain all rights, title and
interest therein.(b)
    
    Each Party agrees to take all action necessary or appropriate to maintain the
confidentiality of Confidential Information. Each Party shall be responsible for the
compliance by its officers, directors, partners, employees, consultants, agents and any
other individuals in privity with such Party with each and every provision of this
Section 8.3 applicable to such Party.(c)
    
    Except as otherwise provided in this Agreement or the License Agreement, HUSA
shall not disclose or reference, and shall provide written notice to Providers
regarding not disclosing or referencing ASI or AARP, in any manner, without the prior
written consent of ASI. The AARP Parties agree that they shall not disclose or
reference HUSA, or any product or service of HUSA, in any manner without the prior
written consent of HUSA.(d)
    
    Each Party acknowledges and agrees that no license under any patents, licenses,
service marks or trademarks of any Party is granted by this Agreement or by any
disclosure of Confidential Information hereunder except as explicitly
stated in this Agreement, in the License Agreement, or in writing by the owner of
such patent, license, service mark or trademark.
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(e)
    
    Each Party shall not disclose or permit access to Confidential Information of
another Party to anyone; provided, however, that (i) a Party may disclose Confidential
Information of another Party upon that other Partys prior written consent; (ii) a
Party may disclose Confidential Information of another Party to its employees,
officers, directors, agents and contractors who are bound by a duty of confidentiality
no less restrictive than the terms of this Section 8.3 and, then, only to the extent
necessary to perform such Partys obligations and exercise its rights under the
Agreement; and (iii) as provided in Section 8.4.(f)
    
    Notwithstanding Section 8.3(e) above, with respect to any contractor or agent
(other than outside counsel), HUSA shall not disclose ASIs or AARPs Confidential
Information unless it first obtains (and delivers a copy to ASI of) the AARP
Third-Party Security Risk Management Program Third-Party Contractor Certification,
attached hereto as Exhibit D, executed by the contractor or agent.(g)
    
    A Party shall notify the disclosing Party as soon as reasonably practicable,
but not later than forty-eight (48) hours, of the Partys discovery of any unauthorized
use, disclosure, theft or other loss or comprise of the disclosing Partys Confidential
Information and cooperate with the disclosing Party as the disclosing Party may
reasonably request.
 8.4
    
    Disclosure Required by Law. Each Party agrees that in the event that a Party is
lawfully required by a court of competent jurisdiction, or government or regulatory agency or
authority, to disclose Member Data or Confidential Information, such Party shall notify the
Party from whom the Member Data or Confidential Information was originally obtained as soon as
practicable and in any event prior to any actual disclosure so that the disclosing Party may
seek a protective order or other appropriate remedy. In the event that such protective order
or other remedy is not obtained, the Party required to make the disclosure may only furnish
that portion of the Member Data or Confidential Information which, in the opinion of the
Partys legal counsel, the Party is legally compelled to disclose.8.5
    
    Return of Confidential Information. Following termination or expiration of this
Agreement, the receiving Party shall deliver promptly to the disclosing Party at the
disclosing Partys request all Confidential Information of the disclosing Party (including all
copies thereof, regardless of the medium or where such information may be found).8.6
    
    Survival. The provisions of this Section VIII shall survive termination or
expiration of the Agreement.
 SECTION IX
 COMPENSATION
 9.
    
    Royalty. In consideration for licensing the AARP Intellectual Property, AARP shall
be entitled to receive the Royalty as set forth in the License Agreement. The Parties
acknowledge that AARP, as beneficiary of the Quality Control and related contract
performance oversight services provided by ASI under this Agreement, shall be wholly
responsible for payment to ASI of compensation for its provision of all services under this
Agreement.
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SECTION IX
 TERM AND TERMINATION
 10.1
    
    Term. The term of this Agreement shall commence on the Effective Date and shall
expire at 12:00 midnight, Eastern Time on November 30, 2011, unless (i) HUSA exercises the
Option to Continue pursuant to Section 10.2 or (ii) the Agreement is terminated earlier than
November 30, 2011 as provided in this Section X (the Term).10.2
    
    Option to Continue. HUSA has the option to continue this Agreement for Program Years
4 and 5 (December 1, 2011 through November 30, 2012 and December 1, 2012 through November 30,
2013) (the Option to Continue). To exercise the Option to Continue, HUSA must (i) give
written notice to ASI on or before one hundred and twenty (120) days prior to November 30,
2011 and (ii) not be in material breach of the Agreement at the time of the exercise of the
Option to Continue.10.3
    
    Termination for Breach. Except for any termination provided for in Sections 10.5,
10.6 or 10.7, any Party may terminate this Agreement upon ninety (90) days prior written
notice in the event of a material breach by another Party provided that such breach has not
been cured to the non-breaching Partys reasonable satisfaction within that ninety (90) day
period; provided, that neither AARP Party may terminate this Agreement pursuant to this
Section 10.3 because of a breach by the other AARP Party. Notwithstanding the foregoing, if
the material breach is incapable of cure, a Party may terminate this Agreement immediately
upon written notice to the other Party.10.4
    
    Automatic Termination. This Agreement shall terminate automatically in the event
that, and on the date that, the License Agreement expires or is terminated for any reason in
accordance with its terms.10.5
    
    Misuse of Confidential Information or Intellectual Property. Any Party may terminate
this Agreement upon written notice to the other Party if the other Party has infringed,
misappropriated or misused any of the Confidential Information or Intellectual Property of the
Party and if that breach continues for more than forty-five (45) days following the other
Partys receipt of a written request for cure from the Party. Notwithstanding the foregoing,
if the infringement, misappropriation or misuse is incapable of cure, the Party may terminate
this Agreement immediately.10.6
    
    Termination by ASI. ASI may terminate this Agreement by providing thirty (30) days
prior written notice to HUSA upon the occurrence of the following events:
 (a)
    
    A change in HUSAs ownership, or in HUSAs organizational structure or the HUSA
Network that could reasonably be expected to have a material adverse effect on HUSAs
performance of its obligations under this Agreement, consistent with the standards set
forth in this Agreement.
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(b)
    
    ASI reasonably determines that the HUSA Centers and HUSA Network are
insufficient to support the Members, and therefore, inconsistent with the standards set
forth in this Agreement, provided that HUSA fails to cure the inadequacy to ASIs
reasonable satisfaction within that thirty (30) day period.(c)
    
    AARP or ASI reasonably determines that:
 (i)
    
    HUSAs offer and/or services have changed such that it no
longer represents value to Members;(ii)
    
    HUSAs financial condition is such that the offer and/or
services no longer represents value to Members;(iii)
    
    HUSA is in danger of becoming insolvent or declaring
bankruptcy;(iv)
    
    Any action or inaction by HUSA creates a material adverse
effect on the goodwill or reputation of AARP, ASI, the AARP brand, the AARP
Marks, or any of AARPs or ASIs respective products or services;(v)
    
    An adverse legal judgment is rendered against HUSA that
materially impairs HUSAs ability to carry out its obligations under the
Agreement; or(vi)
    
    HUSA fails to maintain the insurance coverage required by
Section 6.1 above.
 (d)
    
    In the event that HUSA violates any state or federal law or regulation
applicable to HUSA that brings HUSA into public disrepute, scandal or ridicule, shocks
or offends the community, or derogates from the public image or reputation of, or
reflects unfavorably upon, AARP, ASI, AARPs brands or marks, or any of AARPs or ASIs
respective products or services, and in each case or cumulatively could reasonably be
expected to cause a material adverse effect on AARP, ASI or the Program.(e)
    
    HUSA becomes the subject of investigation, inquiry or proceeding that could
reasonably be expected to cause a material adverse effect on the Program.
 10.7
    
    Grounds for Immediate Termination.
 (a)
    
    ASI or AARP may terminate this Agreement immediately upon providing written
notice to HUSA if HUSA:
 (i)
    
    Declares bankruptcy or is adjudicated bankrupt;(ii)
    
    Becomes subject of any proceedings related to liquidation,
insolvency or the appointment of a receiver or similar officer for all or a
substantial part of HUSAs assets; or(iii)
    
    Makes a general assignment for the benefit of its creditors.
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(b)
    
    HUSA may terminate this Agreement immediately upon providing written notice to
ASI if either AARP Party:
 (i)
    
    Declares bankruptcy or is adjudicated bankrupt;(ii)
    
    Becomes subject of any proceedings related to liquidation,
insolvency or the appointment of a receiver or similar officer for all or a
substantial part of such AARP Partys assets; or(iii)
    
    Makes a general assignment for the benefit of its creditors.
 10.8
    
    Obligations Regarding Successor Vendor. The Parties shall have the following
obligations after termination or expiration of this Agreement:
 (a)
    
    Program Databases. Upon ASIs written request, HUSA shall transfer to
ASI or to a successor vendor, at no charge, a copy of the Program reporting databases
and related Member Data as provided to HUSA through the MDW, including Member names,
addresses, and membership numbers then in databases in HUSAs possession or control, or
Third Party vendors control.(b)
    
    Obligations of HUSA Prior to Termination. HUSA shall use its
commercially reasonable efforts to assist in the transfer of responsibilities to a
successor vendor and shall not take any action inconsistent with HUSAs obligations
under this Section 10.8(b) that could reasonably be expected to materially hinder or
delay the transfer. In furtherance and not in limitation of the foregoing, after notice
of termination has been received and prior to the effective date of the termination,
HUSA and ASI shall develop a transition plan which identifies the timeframe for and the
personnel who will be responsible for the transfer set forth in this Section 10.8.(c)
    
    Cooperation. The Parties agree that for the period in which the
transition plan set forth in Section 10.8(b) is in effect, the Parties shall cooperate
fully to affect an orderly transfer to a successor vendor including the transfer of any
Member Data databases in HUSAs possession or control related to the Program.(d)
    
    Medical Records. HUSA shall ensure that uon request of a Member or
recipient of a Product or Service pursuant to the Program medical records relating to
the Products or Services provided to such Member or recipient will be available to such
Member or recipient and/or a successor provider of such individuals choice, at no cost,
subject to all applicable federal, state and local laws, regulations, orders, and
administrative rulings.
 10.9
    
    No Use of AARP Name and Mark Following Termination. Following termination or
expiration of this Agreement, HUSA shall not use the AARP name or AARP Marks for any purpose.
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SECTION XI
 MISCELLANEOUS
 11.1
    
    Amendment. This Agreement may be amended only by the written agreement of the Parties.11.2
    
    Severability. In the event any provision of this Agreement shall be determined to be
invalid, illegal or unenforceable under any federal or state law or regulation, or declared
null and void by any court of competent jurisdiction, then such provision shall be reformed,
if possible, to conform with the law and, in any event, the remaining provisions of this
Agreement shall be fully effective and operative so far as reasonably possible to carry out
the contractual purposes and terms set forth herein.11.3
    
    Public Announcements. No Party hereto shall make any public announcement or
disclosure of the Program or the terms or conditions of this Agreement without the prior
written consent of the other Parties; provided, that no Party shall be prohibited from making
any legally required public announcement or other disclosure of the terms or conditions of
this Agreement. In addition, the Parties will report the successes of the Program to the
public pursuant to mutually agreeable procedures.11.4
    
    Notices. All notices, requests and other communications to any Party under this
Agreement must be in writing and given as follows:
  
  th
  
  
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Business Day
 11.5
    
    Vendor Agreement. This Agreement is an agreement to provide products and/or services
only and nothing contained herein shall be construed to create the relationship of principal
and agent between the Parties to this Agreement.11.6
    
    Senior Leaders.
 (a)
    
    General. During the Term, (i) HUSA shall designate at least one but
not more than two senior executive officers of HUSA, subject to the approval of ASI
(not to be unreasonably withheld or delayed) and (ii) ASI shall designate at least one
but not more than two senior executive officers of ASI, subject to the approval of HUSA
(not to be unreasonably withheld or delayed) (collectively, the Senior Leaders), who
collectively shall be responsible for coordinating the performance of the Parties
respective obligations with respect to the Program, and overseeing the HUSA/ASI
relationship, as provided in this Agreement.
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(b)
    
    Change in Senior Leaders. If, at any time during the Term of this
Agreement, a Senior Leader resigns his/her position as Senior Leader, is no longer
employed by the Party that designated him/her, or moves into another capacity within
that Party, the designating Party shall notify the other Party promptly, in writing, of
the same, and shall replace that individual with a senior executive officer of similar
position who is acceptable to the other Party (such acceptance not to be unreasonably
withheld or delayed) as promptly as practicable.(c)
    
    Decision Making. Notwithstanding anything to the contrary in this
Agreement, to be effective, any action or decision of the Senior Leaders under this
Agreement requires mutual consent of at least one HUSA Senior Leader and one ASI Senior
Leader.(d)
    
    Compensation. Notwithstanding anything to the contrary in this
Agreement, each Party shall be responsible for paying any and all employment-related
compensation and expenses of any Senior Leader designated by it, and these costs shall
not be included in expenses charged back to the Program or to any other Party.
 11.7
    
    Decision-Making Process. ASI and HUSA acknowledge that the success of the Program
requires an efficient decision-making process. The Parties shall use reasonable best efforts
to resolve specific requests or disputes posed by either Party. If requests or disputes are
not resolved in a satisfactory manner within five (5) Business Days after submission of the
request or dispute to the other Party in writing (or within twenty-four (24) hours after
submission, if the request or dispute is designated as High Priority), the request or
dispute may be submitted in writing by the requesting Party to the Senior Leaders for
resolution. If the Senior Leaders are unable to resolve a request or dispute submitted to
them within five (5) Business Days after its submission (or within twenty-four (24) hours
after its submission, if the matter is designated as High Priority), the request or dispute
may be submitted by either Party for resolution in accordance with the Dispute Resolution
provisions set forth in Section 11.8.11.8
    
    Dispute Resolution. If a dispute has not been resolved in accordance with Section
11.7, either Party may initiate arbitration of the dispute. The arbitration shall be binding
arbitration conducted in Washington, D.C., by a single arbitrator pursuant to the rules of the
American Arbitration Association (AAA) then in effect or such other rules as mutually agreed
upon by the Parties. The arbitrator shall be disinterested in the subject matter of the
dispute; shall not have been employed at any time within the past five years by AARP, ASI or
HUSA; shall have appropriate qualifications and experience with respect to arbitration of
business disputes and shall possess relevant industry expertise. The arbitration shall be
governed by the United States Arbitration Act, 9 U.S.C. §§ 1-16. Judgment upon the award
rendered by the arbitrator may be entered in any court having jurisdiction thereof.
Notwithstanding the foregoing, nothing herein shall preclude equitable or other judicial
relief to enforce the provisions of Section VII hereof or to preserve the status quo pending
the resolution of any dispute hereunder.
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11.9
    
    Confidentiality of Dispute Resolution. Notwithstanding anything to the contrary in
this Agreement, all negotiations pursuant to Sections 11.7 and 11.8 shall be deemed
Confidential Information for purposes of Section 7 of this Agreement and treated as compromise
and settlement negotiations under any applicable state or federal
evidentiary law. The Parties shall maintain the confidentiality of all negotiations,
settlements and arbitration awards in accordance with the AAA Rules, unless otherwise
required by applicable laws; provided, however, that arbitration proceedings may be
disclosed when and to the extent necessary if a Party requests a judgment confirming,
challenging or enforcing an arbitration award. Notwithstanding the preceding sentence, the
Parties acknowledge and agree that the Parties may make disclosures as otherwise permitted
by Section 8 of this Agreement.
 11.10
    
    Governing Law. This Agreement shall be interpreted in accordance with and governed
by the laws of the District of Columbia.11.11
    
    Assigns, Subsidiaries and Controlled Affiliates. None of the Parties hereto shall
have the right to assign its interest in this Agreement without the prior written consent of
the other Parties, which consent shall not be unreasonably withheld, conditioned or delayed.
Nothing herein shall prevent any Party from using a subsidiary or controlled affiliate in
meeting any of its obligations hereunder, provided that said Party shall remain primarily
obligated to perform its obligations hereunder.11.12
    
    Subcontracts. HUSA will not subcontract the provision of the whole of the Products
or Services or any portion thereof without the express written consent of ASI, which consent
shall not be unreasonably withheld, conditioned or delayed. HUSA shall not be relieved of any
obligation or responsibility under this Agreement and shall remain liable therefore. HUSA
shall be responsible for the work and activities of each of its subcontractors, including
compliance with the terms of this Agreement. ASI consents to HCSG as a subcontracted entity
performing customer service obligations on behalf of HUSA as described in Section 3.35. The
AARP Parties acknowledge and agree that HUSA will use HUSA Network Providers to deliver the
Products and Services hereunder and consent thereto is hereby given as long as the HUSA
Network Providers satisfy the requirements set forth in this Agreement including the
applicable exhibits attached hereto.11.13
    
    Survival. The following provisions of this Agreement shall survive its termination
or expiration: Section VI (Insurance and Indemnification); Section VII (Exclusivity); and
Section VIII (Confidential Information).11.14
    
    Entire Agreement. This Agreement and the License Agreement constitute the entire
understanding among the Parties regarding the subject matter contained herein and supersede
all prior discussions and agreements among the Parties regarding the subject matter contained
herein.11.15
    
    No Third-Party Beneficiaries. Nothing in this Agreement shall be construed as giving
any person or entity, other than the Parties hereto and their successors and permitted
assigns, any right, remedy or claim under or in respect of this Agreement or any provision
hereof, except as expressly provided herein.11.16
    
    Independent Contractors. The status of the Parties under this Agreement shall be
that of independent contractors. No Party shall be authorized to waive any right, or assume
or create any contract or obligation of any kind in the name of, or on behalf of, the other
Party or to make any statement that it has the authority to do so. Nothing in this
Agreement shall be construed as establishing a partnership, joint venture, agency,
employment or other similar relationship between the Parties hereto.
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11.17
    
    Remedies Cumulative. The rights, powers, remedies and privileges provided in this
Agreement are cumulative and not exclusive of any rights, powers, remedies and privileges
provided by applicable law.11.18
    
    Force Majeure. If the performance of this Agreement or of any obligation hereunder
is prevented, restricted or interfered with by reason of any cause beyond the reasonable
control of the affected Party, such Party, upon prompt written notice to the other Party,
shall be excused from such performance to the extent of the aforementioned prevention,
restriction or interference, provided that the Party so affected shall use its commercially
reasonable efforts to avoid or remove such causes of nonperformance and shall continue
performance hereunder with the utmost dispatch whenever such causes are removed.11.19
    
    Rules of Construction. All section titles or captions in this Agreement shall be
for convenience only, shall not be deemed part of this Agreement and shall in no way define,
limit, extend or describe the scope or intent of any provisions of this Agreement. Except as
specifically provided otherwise, alphanumerical references to Sections, Exhibits and
Schedules are to the respective sections of, and exhibits and schedules to, this Agreement.
Whenever the context may require, any pronoun used in this Agreement shall include the
corresponding masculine, feminine or neuter forms, and the singular form of nouns, pronouns
and verbs shall include the plural and vice versa. The schedules and exhibits attached hereto
are hereby incorporated herein and made a part of this Agreement. Any reference in this
Agreement to schedules and exhibits shall be deemed to be a reference to such schedules and
exhibits as amended and in effect from time to time. Whenever the word including is used
herein, it shall be construed to mean including without limitation.11.20
    
    Counterparts. This Agreement may be executed in counterparts, each of which shall be
deemed to be an original.
 
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AARP Services, Inc.
    
    
    
    
    
    
    
    HearUSA, Inc./s/
John Wider
    
    
    
    
    
    
    

/s/
Stephen J. HansbroughExecutive Vice President
    
    
    
    
    
    
    
    Chairman
and Chief Executive OfficerAARP, Inc./s/
Tom NelsonChief Operating Officer
  29 CONFIDENTIAL