In this task, you're given a passage that represents a legal contract or clause between multiple parties. Your job is to write questions that ask the basic details corresponding to the legal contracts or clauses. Avoid questions that can be answered correctly without actually understanding the paragraph, and which might have multiple answers. The answer to each question should be unambiguous.
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Question: 1                                                                    EXHIBIT 10.26

Confidential Treatment Requested

                          CO-BRANDING AGREEMENT

     This Co-Branding Agreement (this Agreement) by and between VerticalNet, Inc., a Pennsylvania corporation having a principal place of business at 700 Dresher Road, Suite 100, Horsham, Pennsylvania, PA 19044 (VerticalNet), and Neoforma.com, Inc., a Delaware corporation having a principal place of business at 3255-7 Scott Boulevard, Santa Clara, CA 95054 (Neoforma), is dated as of November 19, 1999 (the Effective Date).

     In consideration of the mutual covenants herein, and intending to be legally bound hereby, the Parties agree as follows:

1. DEFINITIONS.

     1.1 ADVERTISING shall mean any paid advertisements, links, pointers, sponsorships, buttons, banners, navigation, or any other placements or promotions or similar services or rights on a Site, but excluding Advertising that is not paid for or which is part of an overall partnering or revenue sharing arrangement and any Product Listings.

     1.2 AFFILIATE shall mean, when used with reference to a Party, any individual or entity directly or indirectly controlling, controlled by or under common control with such Party. For purposes of this definition, control means the direct or indirect ownership of at least 50% of the outstanding voting securities of a Party, or the right to control the policy decisions of such Party.

     1.3 CAREER CENTER GROSS MARGIN shall have the meaning ascribed thereto in Section 10.5.1  [CO-BRANDED CAREER CENTER].

     1.4 CO-BRANDED CAREER CENTER shall mean the Site located at an URL to be mutually agreed upon (which agreement shall not be unreasonably withheld or delayed) containing a VerticalNet Mark and a Neoforma Mark listing openings for positions and posting other career information in the medical and healthcare fields substantially in the form of the existing Career Center portions of the VerticalNet Medical Online Communities.

     1.5 CO-BRANDED SITES shall mean the Co-Branded Career Center and the Co-Branded Training and Education Center.

     1.6 CO-BRANDED TRAINING AND EDUCATION CENTER shall mean the Site located at an URL to be mutually agreed upon (which agreement shall not be unreasonably withheld or delayed) containing a VerticalNet Mark and a Neoforma Mark listing training and education offerings in the medical and healthcare fields substantially in the form of the existing Training and Education portions of the VerticalNet Medical Online Communities.

     1.7 CONFIDENTIAL INFORMATION shall mean all proprietary and confidential information of a Party, including, without limitation, trade secrets, technical information, business information, sales information, customer and potential customer lists and identities, product sales plans, sublicense agreements, inventions, developments, discoveries, software, know-how, methods, techniques, formulae, data, processes and other trade secrets and proprietary ideas, whether or

2

not protectable under patent, trademark, copyright or other areas of law, that the other Party has access to or receives and which, if disclosed in writing, is marked as Confidential Information, or if disclosed orally, is confirmed in writing to be Confidential Information within five days of such oral disclosure, but does not include information that (a) is or becomes publicly available through no fault of the receiving Party; (b) was already known to the receiving Party at the time it was disclosed to the receiving Party, as evidenced by written records of the receiving Party; (c) is independently developed by or on behalf of the receiving Party without reference or access to such information, as evidenced by written records of the receiving Party; or (d) is received from a third party who is under no obligation of confidentiality to the disclosing Party.

     1.8 DEDUCTIBLES shall mean credits for claims, allowances, seller rebates or returned goods, commissions paid to any third parties, and sales, service, excise, use, value-added and other similar taxes (excluding income taxes) actually paid.

     1.9 INITIAL TERM shall mean the Effective Date through the day prior to the second anniversary of the Effective Date, unless earlier terminated pursuant to Section 11.

     1.10 INTELLECTUAL PROPERTY shall mean any and all trade secrets, patents, copyrights, trademarks, URLs, trade dress, brand features, know-how and similar rights of any type under the laws of any applicable governmental authority, including, without limitation, all applications and registrations relating to any of the foregoing.

     1.11 INTELLECTUAL PROPERTY RIGHTS shall mean all rights in and to Intellectual Property.

     1.12 LABORATORY PRODUCTS shall mean any equipment, instruments or other products used for scientific research and analysis in the field of human health care, including, but not limited to, the categories of equipment, instruments and products listed on EXHIBIT A, (i) that is (a) previously used and is being resold by or on behalf of the prior end-user purchaser or (b) previously sold but unused and is being resold by or on behalf of the prior end-user purchaser, and (ii) excluding Medical Products.

     1.13 LABORATORY PRODUCTS LISTINGS shall mean any VerticalNet Laboratory Product Listings and Neoforma Laboratory Product Listings.

     1.14 LABORATORY PRODUCTS NET REVENUE shall mean the Transaction Fees derived from the promotion and sale of the Neoforma Product Listings for Laboratory Products through the Co-Branded Sites, less any Deductibles.

Source: NEOFORMA INC, S-1/A, 12/2/1999





     1.15 LINK shall mean a link (including, but not limited to, a hyperlink, button or banner) that connects two Sites in a manner so that when a user clicks on the link, the user is transferred directly from one Site to a second Site. A Link from Site A to Site B indicates that Site A is the Site of origin and Site B is the Site to which the user is linked.

     1.16 MEDICAL PRODUCTS shall mean any equipment, including capital equipment, instruments and other products used for in-patient diagnostic or treatment purposes in the field of human health care, excluding Laboratory Products.

                                    2    3

     1.17 MEDICAL PRODUCTS LISTINGS shall mean any VerticalNet Medical Product Listings and Neoforma Medical Product Listings.

     1.18 MEDICAL PRODUCTS NET REVENUE shall mean the Transaction Fees derived from the sale of New Medical Products and Used and Excess Medical Products through the Neoforma Sites, less any Deductibles.

     1.19 NEOFORMA AUCTION shall mean the functionality and services provided at the auction portion of the Neoforma Site.

     1.20 NEOFORMA CAREER CONTENT shall have the meaning ascribed thereto in Section 4.5  [CO-BRANDED CAREER CENTER].

     1.21 NEOFORMA COMPETITORS shall mean Medibuy.com, Promedix.com, Medicalbuyer.com and Medsite.com. During the Term, Neoforma may add to this defined term additional third parties whose primary purpose is the multi-vendor online sale of Medical Products.

     1.22 NEOFORMA CONTENT shall mean the Neoforma Career Content and the Neoforma T&E Content.

     1.23 NEOFORMA DELIVERABLE shall mean any good, service or other item to be delivered or made available by Neoforma.

     1.24 NEOFORMA GAR shall mean Neoforma GAR, Inc.

     1.25 NEOFORMA HOME PAGE shall mean the home page located at the Neoforma Site.

     1.26 NEOFORMA LABORATORY PRODUCTS LISTING shall mean a Neoforma Product Listing relating to a Laboratory Product that is not already listed on a VerticalNet Site.

     1.27 NEOFORMA LINK shall mean a Link that contains a Neoforma Mark and will take users of other Sites to the Neoforma Home Page.

     1.28 NEOFORMA MARK shall mean any trademark, service mark, trade name, domain name, design or logo of Neoforma.

     1.29 NEOFORMA MEDICAL PRODUCTS LISTING shall mean a Neoforma Product Listing relating to a Medical Product that is not already covered by a VerticalNet Medical Product Listing on Neoforma Plan and/or Neoforma Shop.

     1.30 NEOFORMA PLAN shall mean the plan portion of the Neoforma Site.

     1.31 NEOFORMA PRODUCT LISTING shall mean a Product Listing of Neoforma for Medical Products or Laboratory Products, including any Neoforma Product Listings for Laboratory Products made available hereunder by Neoforma to VerticalNet.

                                    3    4

     1.32 NEOFORMA RESOURCES HOME PAGE shall mean the Site located at http://www.neoforma.com/rf/index.html?PageMode=Static&file=resrc_main&hdrTab= resources&subHdrTab=0&dir=resources (or a successor Site thereto).

     1.33 NEOFORMA SHOP shall mean the shop portion of the Neoforma Site.

     1.34 NEOFORMA SITE shall mean any Site owned and operated by Neoforma, including, but not limited to, the Site located at www.neoforma.com (or any successor Sites to any of the foregoing).

     1.35 NEOFORMA T&E CONTENT shall have the meaning ascribed thereto in Section 5.5  [CO-BRANDED TRAINING AND EDUCATION SITE].

     1.36 NET ADVERTISING REVENUE shall mean the gross amount collected by a Party from a third party for the sale of Advertising, less any Deductibles.

     1.37 NEW MEDICAL PRODUCTS shall mean new, unused Medical Products.

     1.38 PARTY shall mean VerticalNet or Neoforma.

     1.39 PRODUCT LISTING shall mean a listing of a third party's product at a Site in exchange for a fee, commission, or other compensation for purposes of promoting the sale of such third party's product to a third party purchaser, including, without limitation, sales by auction.

     1.40 QUALIFIED LEAD shall mean a customer referred by Neoforma to VerticalNet that is not, at the time of referral, a customer of VerticalNet, which customer has agreed to place a listing on (a) the Co-Branded Career Center and/or (b) the Co-Branded Training and Education Center.

     1.41 RENEWAL TERM shall have the meaning ascribed thereto in Section 11.1  [AUTOMATIC RENEWAL].

     1.42 SITE shall mean a site located on the World Wide Web portion of the Internet.

     1.43 TERM shall mean the Initial Term and any Renewal Terms.

     1.44 TRAINING AND EDUCATION GROSS MARGIN shall have the meaning ascribed thereto in Section 10.5.2  [CO-BRANDED TRAINING AND EDUCATION CENTER].

Source: NEOFORMA INC, S-1/A, 12/2/1999





     1.45 TRANSACTION ORIGINATION PARTY shall mean the Party from whose Site a third party clicked through, using a Link, to a Site containing a Product Listing resulting in the purchase of the product promoted in such Product Listing by such third party.

     1.46 TRANSACTION FEE shall mean any payments, including, without limitation, fees and commissions, but collected by a Party from a third party in consideration for goods or services, excluding any Advertising for the benefit of a third party, provided or promoted at one or more Sites operated or controlled by such Party.

     1.47 URL shall mean a universal resource locator used for purposes of identifying a page located on the Internet.

                                    4    5

     1.48 USED AND EXCESS MEDICAL PRODUCTS shall mean (a) previously used Medical Products being resold by or on behalf of the prior end-user purchaser and (b) previously sold but unused Medical Products being resold by or on behalf of the prior end-user purchaser.

     1.49 VERTICALNET AUCTION shall mean, in VerticalNet's discretion, the Site located at www.labx.com (or a successor Site thereto) or the Auction portion of the Site located at www.hospitalnetwork.com.

     1.50 VERTICALNET BUYER'S GUIDE shall mean the Buyer's Guide portion of the VerticalNet Medical Online Communities (or a successor Site thereto).

     1.51 VERTICALNET COMPETITOR shall mean any Site primarily directed to the sale or auction of Laboratory Products.

     1.52 VERTICALNET CONTENT shall have the meaning ascribed thereto in Section 6.1  [VERTICALNET CONTENT].

     1.53 VERTICALNET DELIVERABLE shall mean any good, service or other item to be delivered or made available by VerticalNet.

     1.54 VERTICALNET LABORATORY PRODUCTS LISTING shall mean a VerticalNet Product Listing relating to a Laboratory Product that is not already covered by a Neoforma Medical Product Listing on a VerticalNet Site.

     1.55 VERTICALNET LINK shall mean a Link that contains a VerticalNet Mark and will take users of other Sites to a page of a VerticalNet Site.

     1.56 VERTICALNET MARK shall mean any trademark, service mark, trade name, domain name, design or logo of VerticalNet.

     1.57 VERTICALNET MEDICAL ONLINE COMMUNITIES shall mean the Sites located at www.edental.com, www.hospitalnetwork.com, www.medicaldesignonline.com, and www.nurses.com (or any successor Sites to any of the foregoing).

     1.58 VERTICALNET MEDICAL PRODUCTS LISTING shall mean a VerticalNet Product Listing relating to a Medical Product that is not already listed on Neoforma Plan and Neoforma Shop.

     1.59 VERTICALNET PRODUCT LISTING shall mean a Product Listing of VerticalNet for Medical Products or Laboratory Products, including any VerticalNet Product Listings made available hereunder by VerticalNet to Neoforma.

     1.60 VERTICALNET PRODUCT SHOWCASE shall mean the Product Showcase portion of the VerticalNet Medical Online Communities.

     1.61 VERTICALNET SITE shall mean any Site owned and operated by VerticalNet, including, but not limited to, the VerticalNet Medical Online Communities, the Co-Branded Sites and the Site located at www.verticalnet.com (or a successor Site to any of the foregoing).

                                    5    6

2. MEDICAL PRODUCTS.

     2.1 Within 30 days after the Effective Date, VerticalNet shall provide a copy of all VerticalNet Medical Product Listings for Used and Excess Medical Products existing as of the Effective Date to Neoforma for use on Neoforma Plan, Neoforma Shop and Neoforma Auction on an exclusive basis (even as to VerticalNet), to the extent VerticalNet has the right to do so.

     2.2 Within 30 days after the Effective Date, VerticalNet shall provide a copy of all VerticalNet Medical Product Listings for New Medical Products existing as of the Effective Date to Neoforma for use on Neoforma Plan, Neoforma Shop and Neoforma Auction on an exclusive basis (even as to VerticalNet), to the extent VerticalNet has the right to do so. VerticalNet shall use commercially reasonable efforts to acquire consent from its customers to provide all VerticalNet Medical Product Listings for New Medical Products existing as of the Effective Date to Neoforma.

     2.3 From time to time during the Term, VerticalNet shall provide a copy of all VerticalNet Medical Product Listings received by VerticalNet after the Effective Date to Neoforma as such Product Listings are made available to VerticalNet for use on Neoforma Plan, Neoforma Shop and Neoforma Auction on an exclusive basis (even as to VerticalNet), to the extent VerticalNet has the right to do so. VerticalNet shall use commercially reasonable efforts to acquire consent from its customers to provide all VerticalNet Medical Product Listings for New Medical Products received by VerticalNet after the Effective Date to Neoforma.

     2.4 Notwithstanding the foregoing, VerticalNet's activities in connection with its Storefronts and E-Commerce Centers (as conducted today, in a fashion substantially similar to the manner in which such activities are conducted today or as otherwise mutually agreed upon by the parties, which agreement shall not be unreasonably withheld or delayed) shall not be considered to be a breach of Section 2.1  [MEDICAL PRODUCTS], 2.2  [MEDICAL PRODUCTS] or 2.3  [MEDICAL PRODUCTS].

     2.5 VerticalNet hereby grants Neoforma an exclusive license, even as to

Source: NEOFORMA INC, S-1/A, 12/2/1999





VerticalNet, to use, modify, enhance, reproduce, display, perform and transmit the VerticalNet Medical Product Listings, subject to and in accordance with the terms, conditions and provisions of this Agreement, to the extent that VerticalNet has the right to do so.

     2.6 Neoforma shall list each VerticalNet Product Listing on Neoforma Plan or Neoforma Shop or Neoforma Auction. The look-and-feel of the VerticalNet Product Listings as displayed on Neoforma Plan, Neoforma Shop and Neoforma Auction shall be substantially consistent with the look-and-feel of the other Medical Products Listings displayed on such Sites, unless otherwise agreed upon by the Parties.

     2.7 VerticalNet shall add a Neoforma Link to each VerticalNet Buyer's Guide labeled Neoforma Search (or as otherwise mutually agreed upon by the Parties), substantially consistent with the prototype attached hereto as EXHIBIT B, which Links shall be as prominent as the other Links on such Sites. If a user of a VerticalNet Buyer's Guide clicks on such button, such user shall be linked to a Site containing a VerticalNet frame surrounding the appropriate search results on Neoforma Shop. As soon as is commercially reasonable, and in any event, no later that the first anniversary of the Effective Date, such search results shall only contain

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Product Listings for New Medical Products. Notwithstanding the foregoing, if, at any time, Neoforma lists Used and Excess Medical Products on Neoforma Shop, VerticalNet may remove or relocate the Neoforma Link described in this Section 2.7  [MEDICAL PRODUCTS], in VerticalNet's reasonable discretion.

     2.8 Neoforma hereby grants VerticalNet the right to frame all pages of the Neoforma Sites that contain Medical Products Listings with a frame containing VerticalNet Marks substantially consistent with the prototype attached hereto as EXHIBIT C, which framed pages shall only be accessible from the VerticalNet Sites. VerticalNet shall place a Link on the homepage of each VerticalNet Medical Online Community under Marketplace to such framed pages of the Neoforma Sites.

     2.9 Neoforma shall host and maintain Neoforma Plan, Neoforma Shop and Neoforma Auction. Neoforma owns and shall continue to own the domain name and the URL used in connection with its business, including but not limited to, Neoforma Plan, Neoforma Shop and Neoforma Auction.

     2.10 VerticalNet shall not enter into any agreement with a Neoforma Competitor for the on-line listing of Medical Products or place any Link to the Site of a Neoforma Competitor on the VerticalNet Medical Online Communities.

     2.11 During the Term, VerticalNet shall not use its Site located at www.meddeals.com to conduct online auctions of Medical Products.

3. LABORATORY PRODUCTS.

     3.1 Within 30 days after the Effective Date, Neoforma shall provide a copy of all Neoforma Laboratory Product Listings existing as of the Effective Date to VerticalNet for use on the VerticalNet Sites on an exclusive basis (even as to Neoforma), to the extent Neoforma has the right to do so. Notwithstanding the foregoing, the provisions of Sections 3.1  [LABORATORY PRODUCTS] through 3.8  [LABORATORY PRODUCTS] shall not apply to any Laboratory Product sold through live (non-virtual) auctions conducted by Neoforma (through Neoforma GAR or otherwise) for which no Product Listing is made; provided, however, that Neoforma shall use commercially reasonable efforts to acquire Product Listings for all such Laboratory Products. If Neoforma receives a set of Product Listings packaged as a lot, Neoforma shall use commercially reasonable efforts to provide all Laboratory Product Listings contained in such lot to VerticalNet in accordance with this Agreement.

     3.2 From time to time during the Term, Neoforma shall provide a copy of all Neoforma Laboratory Product Listings received by Neoforma after the Effective Date to VerticalNet as such Product Listings are made available to Neoforma for use on the VerticalNet Sites on an exclusive basis (even as to Neoforma).

     3.3 Neoforma hereby grants VerticalNet an exclusive license, even as to Neoforma, to use, modify, enhance, reproduce, display, perform and transmit the Neoforma Laboratory Product Listings, subject to and in accordance with the terms, conditions and provisions of this Agreement, to the extent Neoforma has the right to do so.

                                    7    8

     3.4 VerticalNet shall list each such Neoforma Product Listing on the VerticalNet Auction. Neoforma shall provide each Neoforma Product Listing to VerticalNet in the form of the template attached hereto as EXHIBIT D. The look-and-feel of the Neoforma Product Listings as displayed on the VerticalNet Auction shall be substantially consistent with the look-and-feel of the other Laboratory Products Listings displayed on the VerticalNet Auction, unless otherwise agreed upon by the Parties.

     3.5 VerticalNet hereby grants Neoforma the right to frame all pages of the VerticalNet Auction that contain Laboratory Products Listings with a frame containing Neoforma Marks, which framed pages shall only be accessible from the Neoforma Sites.

     3.6 VerticalNet shall host and maintain the VerticalNet Auction. VerticalNet owns and shall continue to own the domain name and the URL used in connection with the VerticalNet Auction.

     3.7 Neoforma shall add Links labeled Laboratory or Laboratory Equipment (or as otherwise mutually agreed upon by the Parties) to a Site containing a Neoforma frame surrounding the VerticalNet Auction from Neoforma Plan, Neoforma Shop and Neoforma Auction, which Links shall be as prominent as the other Links on such Sites.

     3.8 Neoforma shall not enter into, and shall cause its Affiliates to not enter into, any agreement with a third party for the on-line listing of Laboratory Products on a VerticalNet Competitor or place any Link to a VerticalNet Competitor on the Neoforma Sites.

Source: NEOFORMA INC, S-1/A, 12/2/1999





     3.9 Within four weeks after the Effective Date, the Parties will collaborate to establish a close mutually-beneficial arrangement between Neoforma GAR and VerticalNet.

4. CO-BRANDED CAREER CENTER

     4.1 VerticalNet shall design, develop and implement a Co-Branded Career Center and shall use commercially reasonable efforts to implement the Co-Branded Career Center as soon as possible following the Effective Date, and in any event, no later than February 1, 2000. The Co-Branded Career Center shall contain employment listings from the Career Center portion of each VerticalNet Medical Online Community. The overall look and feel of the Co-Branded Career Center shall be mutually agreed upon by the Parties and shall be substantially in the form of EXHIBIT E. VerticalNet shall host and maintain the Co-Branded Career Center in accordance with the terms and conditions set forth in this Agreement. Neoforma may maintain and/or add other career resource links to the Neoforma Sites; provided, however, that Neoforma shall not place any Links on any Neoforma Site to a Site that is primarily a career center and shall not place a Neoforma Link on any Site that is primarily a career center.

     4.2 The Co-Branded Career Center shall contain Links to the Career Center portion of each VerticalNet Medical Online Community.

     4.3 After the Co-Branded Career Center is implemented, VerticalNet shall notify Neoforma in writing at least five days prior to making any material change to the Co-Branded Career Center. If Neoforma does not notify VerticalNet of its rejection of such change within five days, Neoforma shall be deemed to have approved such change.

                                    8    9

     4.4 VerticalNet shall register and own the domain name and the URL used in connection with the Co-Branded Career Center, subject, however, to Neoforma's agreement on the name to be used for the URL, which domain name and URL shall be mutually agreed upon by the Parties.

     4.5 From time to time during the Term, Neoforma shall provide Qualified Leads to VerticalNet for job listings for inclusion, at VerticalNet's then current listing rate, in the Co-Branded Career Center and, in VerticalNet's sole discretion, on any other VerticalNet Site. VerticalNet shall be responsible for, and shall have sole control of, all credit, billing and collection in connection with the Qualified Leads. Neoforma shall have no authority to make collections on behalf of VerticalNet.

     4.6 Neoforma hereby grants VerticalNet an exclusive license to use, modify, enhance, reproduce, display, perform and transmit the Neoforma Career Content, subject to and in accordance with the terms, conditions and provisions of this Agreement. VerticalNet shall not disclose, transfer or otherwise provide the Neoforma Career Content to any third party, except as otherwise permitted under this Agreement.

     4.7 Neoforma shall place a Link on the Neoforma Resources Home Page (unless otherwise mutually agreed upon by the Parties) labeled Career Center (or a mutually agreeable substitute for such term) in a mutually agreeable location and size that will directly transfer users to the Co-Branded Career Center, which Links shall be as prominent as (a) the other Links on such Site and (b) the Career Link on such Site on the Effective Date. Neoforma shall not place any Link on a Neoforma Site to, or a Neoforma Link on the Site of, any other provider or host of a service similar to the Co-Branded Career Center or to any other career service websites.

     4.8 VerticalNet hereby grant Neoforma the right to frame all pages of the Co-Branded Career Center with a frame, which framed pages shall only be accessible from the Neoforma Sites.

5. CO-BRANDED TRAINING AND EDUCATION SITE

     5.1 VerticalNet shall design, develop and implement a Co-Branded Training and Education Center and shall use commercially reasonable efforts to implement the Co-Branded Training and Education Center as soon as possible following the Effective Date. The Co-Branded Training and Education Center shall contain training and education listings from the Training and Education portion of each VerticalNet Medical Online Community. The overall look and feel of the Co-Branded Training and Education Center shall be mutually agreed upon by the Parties and shall be substantially in the form of EXHIBIT F. VerticalNet shall host and maintain the Co-Branded Training and Education Center in accordance with the terms and conditions set forth in this Agreement.

     5.2 The Co-Branded Training and Education Center shall contain Links to the Training and Education portion of each VerticalNet Medical Online Community.

     5.3 After the Co-Branded Training and Education Center is implemented, VerticalNet shall notify Neoforma in writing at least five days prior to making any material change to the Co-Branded Training and Education Center. If Neoforma does not notify VerticalNet of its rejection of such change within five days, Neoforma shall be deemed to have approved such change.

                                    9    10

     5.4 VerticalNet shall register and own the domain name and the URL used in connection with the Co-Branded Training and Education Center, subject, however, to Neoforma's agreement on the name to be used for the URL, which domain name and URL shall be mutually agreed upon by the Parties.

     5.5 On the Effective Date, Neoforma shall provide a copy of all listings for inclusion, at VerticalNet's reasonable business discretion and at VerticalNet's then current listing rate, in the Co-Branded Training and Education Center and, in VerticalNet's sole discretion, on any other VerticalNet Site (the Neoforma T&E Content) on an exclusive basis (even as to Neoforma). Neoforma shall provide the Neoforma T&E Content to VerticalNet. VerticalNet shall be responsible for, and shall have sole control of, all credit, billing and collection in connection with the Neoforma T&E Content. Neoforma shall have no authority to make collections on behalf of VerticalNet.

     5.6 From time to time during the Term, Neoforma shall provide Qualified

Source: NEOFORMA INC, S-1/A, 12/2/1999





Leads to VerticalNet for job listings for inclusion, at VerticalNet's then current listing rate, in the Co-Branded Training and Education Center and, in VerticalNet's sole discretion, on any other VerticalNet Site.

     5.7 Neoforma hereby grants VerticalNet an exclusive license to use, modify, enhance, reproduce, display, perform and transmit the Neoforma T&E Content, subject to and in accordance with the terms, conditions and provisions of this Agreement. VerticalNet shall not disclose, transfer or otherwise provide the Neoforma T&E Content to any third party, except as otherwise permitted under this Agreement.

     5.8 Neoforma shall place a Link on the Neoforma Resources Home Page (unless otherwise mutually agreed upon by the Parties) labeled Training and Education (or mutually agreeable substitutes for such terms) in a mutually agreeable location and size that will directly transfer users to the Co-Branded Training and Education Center, which Links shall be as prominent as (a) the other Links on such Site and (b) the Training Link on the Site on the Effective Date. Neoforma shall not place any Link on a Neoforma Site to, or a Neoforma Link on the Site of, any other provider or host of a service similar to the Co-Branded Training and Education Center or to any other training or education service websites.

6. VERTICALNET CONTENT

     6.1 VerticalNet shall from time to time provide or make available to Neoforma, for use in accordance with the provisions of this Agreement, the title and an abstract of (a) all original content created from time to time by the managing editor of the VerticalNet Medical Online Communities, and (b) the content created from time to time by guest columnists for the VerticalNet Medical Online Communities (the VerticalNet Content), to the extent such columnists have approved the provision of such content by VerticalNet to Neoforma.

     6.2 VerticalNet hereby grants to Neoforma a non-exclusive, non-transferable license to use, reproduce, display and transmit the VerticalNet Content, solely in connection with the operation of the Neoforma Site, subject to and in accordance with the terms, conditions and provisions of this Agreement. Neoforma may reproduce, display and transmit any VerticalNet

                                    10    11

Content for up to three weeks on the Neoforma Site, and after the expiration of such three week period Neoforma shall cease to reproduce, display and transmit such VerticalNet Content and shall remove such VerticalNet Content from the Neoforma Site.

     6.3 On each page of the Neoforma Site that contains all or a portion of the VerticalNet Content, Neoforma shall place a VerticalNet Link to the VerticalNet Site that contains the full text of such VerticalNet Content in a mutually agreeable location and size.

     6.4 Neoforma shall not remove any titles or any trademark, copyright or patent notices, or any proprietary or restricted rights notices that appear on the VerticalNet Content. All such titles and notices must be reproduced on all permitted copies of the VerticalNet Content.

7. ADVERTISING

     7.1 ADVERTISEMENTS ON THE NEOFORMA SITE.

             7.1.1 During the Term, VerticalNet shall have the non-exclusive right (except as to Neoforma) to arrange for the sale of Advertising on Neoforma Plan (and any other parts of the Neoforma Sites within which Neoforma elects to include Advertising) to third parties. During the Term, the parties shall meet from time to time to discuss the Advertising inventory available for sale. Any Advertising inventory that Neoforma appoints VerticalNet to arrange to sell shall not also be appointed to any third party to arrange for sale to third parties.

             7.1.2 VerticalNet will use commercially reasonable efforts to sell advertisements on the Neoforma Sites. The advertising policies (including rates and procedures) applicable to VerticalNet's sale of advertising for the Neoforma Sites will be established by Neoforma (the Neoforma Advertising Policies). Neoforma shall promptly notify VerticalNet of any changes to the Neoforma Advertising Policies.

             7.1.3 VerticalNet shall provide notice to Neoforma of each advertiser that agrees to place an advertisement on a Neoforma Site on the terms and conditions contained in the then current Neoforma Advertising Policies. Neoforma shall then have three business days after receipt of such notice to (a) accept or reject such advertiser, in its reasonable business discretion, and (b) notify VerticalNet of its decision. If, at the end of such three-day period, Neoforma has not responded to such notice, Neoforma shall be deemed to have accepted such advertiser. Neoforma shall then work with the advertiser to facilitate the placement of the advertisement and maintain such advertisement on the agreed-upon page of a Neoforma Site. Neoforma shall have the right to terminate its agreement with any such advertiser in its reasonable business discretion. Neoforma shall be responsible for, and shall have sole control of, all credit, billing and collection with the advertisements on the Neoforma Sites. VerticalNet shall have no authority to make collections on behalf of Neoforma.

             7.1.4 During the Term, Neoforma shall not place any advertisements on a Neoforma Site for any VerticalNet Competitor.

     7.2 ADVERTISEMENTS ON THE CO-BRANDED SITES.

                                    11    12

             7.2.1 During the Term, VerticalNet shall have the exclusive right to arrange for the sale of all advertising on the Co-Branded Sites, subject to reasonable approval of each such advertiser by Neoforma. Neoforma shall have two days to consider each VerticalNet request for approval of the sale of advertising on a Co-Branded Site. If, at then end of such two-day period, Neoforma has neither approved nor denied a request, VerticalNet's request shall be deemed approved.

Source: NEOFORMA INC, S-1/A, 12/2/1999





             7.2.2 VerticalNet will use reasonable efforts to sell advertisements on the Co-Branded Sites subject to VerticalNet's then current advertising policies (including rates and procedures).

8. CO-MARKETING ACTIVITIES

     8.1 ADVERTISING CAMPAIGNS. VerticalNet and Neoforma shall use commercially reasonable efforts to co-promote the VerticalNet Medical Online Communities, the Co-Branded Sites, the VerticalNet Buyer's Guide, Neoforma Plan, Neoforma Shop and Neoforma Auction in mutually agreeable advertising, collateral marketing material and sales force activities. All co-promotion advertising materials produced by or on behalf of either Party (the Originating Party) shall be subject to the written approval of the other Party (the Receiving Party), which approval shall not to be unreasonably withheld, delayed or conditioned. The Receiving Party shall notify the Originating Party of its approval or disapproval of such advertising materials as soon as practicable, but in any event within five business days after Receiving Party's receipt thereof. Any failure of the Receiving Party to respond within such five business day period shall be deemed disapproval of the advertising materials in question.

     8.2 REGISTRATION. The parties shall use commercially reasonable efforts to coordinate their registration systems to create a pass-through registration system for users first accessing the other's Sites. If a user first accesses a Neoforma Site from a VerticalNet Site, such user shall be considered a VerticalNet user for the purposes of this Agreement, to the extent such user identifies him/her/itself, or Neoforma can reasonably identify such user, as a VerticalNet user. If a user first accesses a VerticalNet Site from a Neoforma Site, such user shall be considered a Neoforma user for the purposes of this Agreement, to the extent such user identifies him/her/itself, or VerticalNet can reasonably identify such user, as a Neoforma user.

     8.3 CROSS-PROMOTION. The Parties shall place Links to each other's Sites in mutually agreeable locations and sizes on their respective Sites as soon as practicable, and in no event more than 15 days after the Effective Date. The Links shall remain on the Sites during the Term; provided, however, that such Links may be removed or relocated if the Parties mutually agree thereto.

     8.4 NEWSLETTERS.

             8.4.1 NEOFORMA NEWSLETTERS. If Neoforma distributes a newsletter to its users or customers, Neoforma shall promote the VerticalNet Auction, the Co-Branded Career Center and the Co-Branded Training and Education Center in each such newsletter, in a manner consistent with the manner in which other third party promotions are set forth in such newsletters.

                                    12    13

             8.4.2 VERTICALNET NEWSLETTERS. VerticalNet shall allow Neoforma to place sponsorships at no additional charge for Neoforma Shop, Neoforma Plan or Neoforma Auction in the VerticalNet newsletter distributed to its subscriber base two times during each calendar month, in a manner consistent with the manner in which other third party sponsorships are set forth in such newsletters.

     8.5 LINKS.

             8.5.1 Throughout the first six months after the Effective Date, VerticalNet shall place button Links to Neoforma Shop or Neoforma Auction on (a) [*] of all available third-party advertising inventory on the home pages of the VerticalNet Medical Online Communities. Thereafter, VerticalNet shall place button Links to Neoforma Shop or Neoforma Auction on unsold third-party advertising inventory (up to [*] of the total third party advertising inventory) on the home pages of the VerticalNet Medical Online Communities as frequently as VerticalNet places internal advertisements on such advertising inventory and (b) the site located at www.meddeals.com.

             8.5.2 Throughout the Term, VerticalNet shall place button Links to Neoforma Shop or Neoforma Auction on (a) the VerticalNet Buyer's Guides (as described in Section 2.7  [MEDICAL PRODUCTS]) and VerticalNet Auction, and (b) the News Analysis, Product Center and Discussion Forums portions of the VerticalNet Medical Online Communities.

9. INTELLECTUAL PROPERTY

     9.1 Except as set forth in Section 2.10  [MEDICAL PRODUCTS], nothing in this Agreement shall be construed as preventing VerticalNet from implementing VerticalNet Links on any other Site.

     9.2 Except as set forth in Sections 3.8  [LABORATORY PRODUCTS] and 5.8  [CO-BRANDED TRAINING AND EDUCATION SITE], nothing in this Agreement shall be construed as preventing Neoforma from implementing Neoforma Links on any other Site.

     9.3 VerticalNet hereby grants to Neoforma a non-exclusive, non-transferable, royalty-free, right and license to link to the VerticalNet Sites through a VerticalNet Link. VerticalNet shall furnish Neoforma with a full color representation of each VerticalNet Link at least two days prior to its scheduled placement on a page of the Neoforma Site. If VerticalNet subsequently modifies any VerticalNet Link or the URL associated with such VerticalNet Link, it shall furnish a representation of same to Neoforma, which Neoforma shall substitute for the prior version within two days after receipt thereof. VerticalNet shall have final approval over all VerticalNet Links on the Neoforma Site.

     9.4 Neoforma hereby grants VerticalNet a non-exclusive, non-transferable, royalty-free, right and license to link to the Neoforma Sites through a Neoforma Link. Neoforma shall furnish VerticalNet with a full color representation of each Neoforma Link at least two days prior to its scheduled placement on the Co-Branded Sites or a VerticalNet Medical Online Community. If Neoforma subsequently modifies any Neoforma Link or the URL associated with such Neoforma Link, it shall furnish a representation of same to VerticalNet, which VerticalNet shall substitute for the prior version within two days after receipt thereof. Neoforma shall have final approval over all Neoforma Links on the Co-Branded Sites or a VerticalNet Medical Online Community.

*Certain information on this page has been omitted and filed separately with the

Source: NEOFORMA INC, S-1/A, 12/2/1999





Commission. Confidential treatment has been requested with respect to the  omitted portions.

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     9.5 Except for the express rights granted to Neoforma under this Agreement, Neoforma acknowledges and agrees that the Intellectual Property of VerticalNet is and shall remain the sole property of VerticalNet and nothing in this Agreement shall confer in Neoforma any right of ownership or license rights in VerticalNet's Intellectual Property. In addition, Neoforma shall not now or in the future contest the validity of VerticalNet's Intellectual Property.

     9.6 Except for the express rights granted to VerticalNet under this Agreement, VerticalNet acknowledges and agrees that the Intellectual Property of Neoforma is and shall remain the sole property of Neoforma and nothing in this Agreement shall confer in VerticalNet any right of ownership or license rights in Neoforma's Intellectual Property. In addition, VerticalNet shall not now or in the future contest the validity of Neoforma's Intellectual Property.

     9.7 Neoforma agrees to use the VerticalNet Marks in accordance with the terms of this Agreement and with good trademark practices including, but not limited to, protecting the value of the goodwill residing in such Intellectual Property.

     9.8 VerticalNet agrees to use the Neoforma Marks in accordance with the terms of this Agreement and with good trademark practices including, but not limited to, protecting the value of the goodwill residing in such Intellectual Property.

     9.9 Except as explicitly set forth herein, nothing in this Agreement shall be construed as preventing either Party from developing other co-branded versions of its materials, data, information and content.

10. COMMERCIAL TERMS

     10.1 DEVELOPMENT FEE. On the Effective Date, Neoforma shall pay to VerticalNet a one-time, non-refundable fee in the amount of [*] in consideration of VerticalNet's design, development and implementation of the Co-Branded Sites pursuant to Sections 4.1  [CO-BRANDED CAREER CENTER] and 5.1  [CO-BRANDED TRAINING AND EDUCATION SITE], respectively.

     10.2 PROMOTIONAL FEES. In consideration of the performance by VerticalNet of its obligation to promote the Neoforma Shop, Neoforma Plan and Neoforma Auction under Section 8.2  [REGISTRATION], Neoforma shall pay to VerticalNet a promotional fee equal to [*], payable in eight equal quarterly and non-refundable installments of [*], with the first installment payable on the Effective Date, the second installment payable on the [*] month anniversary of the Effective Date, the third installment payable on the [*] month anniversary of the Effective Date, the fourth installment payable on the [*] month anniversary of the Effective Date, the fifth installment payable on the [*] month anniversary of the Effective Date, the sixth installment payable on the [*] month anniversary of the Effective Date, the seventh installment payable on the [*] month anniversary of the Effective Date and the eighth and final installment payable on the [*] month anniversary of the Effective Date.

     10.3 MEDICAL PRODUCTS LISTINGS.

             10.3.1 During each 12 month period during the Initial Term that commences on the Effective Date or an anniversary of the Effective Date (each, a Contract Year),

*Certain information on this page has been omitted and filed separately with the  Commission. Confidential treatment has been requested with respect to the  omitted portions.

                                    14    15

commissions shall accrue in an amount equal to [*] of any Medical Products Net Revenues during such Contract Year resulting from (a) any VerticalNet Medical Products Listing or (b) any Neoforma Medical Products Listing for which VerticalNet was the Transaction Origination Party. From and after the point when such accrued commissions equal [*] in any Contract Year (such [*] of accrued commissions shall not be payable by Neoforma), Neoforma shall pay to VerticalNet commissions equal to [*] of any Medical Products Net Revenues during such Contract Year resulting from (a) any VerticalNet Medical Products Listing or (b) any Neoforma Medical Products Listing for which VerticalNet was the Transaction Origination Party.

             10.3.2 After the Initial Term, Neoforma shall pay to VerticalNet commissions equal to [*] of any Medical Products Net Revenues during such Contract Year resulting from (a) any VerticalNet Medical Products Listing or (b) any Neoforma Medical Products Listing for which VerticalNet was the Transaction Origination Party.

     10.4 LABORATORY PRODUCTS LISTINGS. During the Term, VerticalNet shall pay to Neoforma commissions equal to [*] of any Laboratory Products Net Revenues during such Contract Year resulting from (a) any Neoforma Laboratory Products Listing or (b) any VerticalNet Laboratory Products Listing for which Neoforma was the Transaction Origination Party.

     10.5 CO-BRANDED SITES.

             10.5.1 CO-BRANDED CAREER CENTER. VerticalNet will pay Neoforma [*] of the Career Center Gross Margin. Career Center Gross Margin shall mean the listing fees related to the Neoforma Career Content and e-commerce revenue derived during the Term from users of the Co-Branded Career Center (less Deductibles).

             10.5.2 CO-BRANDED TRAINING AND EDUCATION CENTER. VerticalNet will pay Neoforma [*] of the Training and Education Gross Margin. Training and Education Gross Margin shall mean the listing fees related to the Neoforma T&E Content and e-commerce revenue derived during the Term from users of the Co-Branded Training and Education Center (less Deductibles).

     10.6 ADVERTISING REVENUE.

Source: NEOFORMA INC, S-1/A, 12/2/1999





             10.6.1 Except as set forth in Section 10.6.4  [ADVERTISING REVENUE], during the Term, VerticalNet shall not share any revenue derived from advertisements hosted on any VerticalNet Site with Neoforma; provided, however, that if Neoforma brings VerticalNet a Qualified Ad Lead (as defined below) for a new customer that turns into a sale of advertising on a VerticalNet Medical Online Community, VerticalNet shall pay to Neoforma a commission of [*] of the Net Advertising Revenue resulting from such sale of advertising. As used in this Section 10.6.1  [ADVERTISING REVENUE], a Qualified Ad Lead shall mean a customer referred to VerticalNet by Neoforma that is not, at the time of referral, a customer of VerticalNet, and which customer has agreed to place an advertisement on a VerticalNet Medical Online Community on the terms and conditions contained in VerticalNet's then current advertising policies.

*Certain information on this page has been omitted and filed separately with the  Commission. Confidential treatment has been requested with respect to the  omitted portions.

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             10.6.2 VerticalNet shall have the first right to sell renewals of Advertising originally sold by VerticalNet on the Neoforma Sites until 30 days after the then current term of such Advertising expires.

             10.6.3 Neoforma shall pay to VerticalNet a commission of [*] of the Net Advertising Revenue received during the Term for the initial placement and renewals of Advertising sold by VerticalNet on the Neoforma Sites. In addition, if Neoforma sells Advertising to a third party on the Neoforma Sites independently from VerticalNet and if Neoforma previously rejected Advertising by such party when proposed by VerticalNet pursuant to Section 7.1.3  [ADVERTISEMENTS ON THE NEOFORMA SITE], or terminated without cause a prior agreement with such third party that had resulted from such a proposal by VerticalNet, then Neoforma shall pay [*] of the Net Advertising Revenue resulting from such Advertising during the Term to VerticalNet. Neoforma shall provide prompt notice to VerticalNet of each advertiser that has agreed with Neoforma to place an advertisement on a Neoforma Site.

             10.6.4 VerticalNet shall pay to Neoforma a commission of [*] of the Net Advertising Revenue received by VerticalNet during the Term for Advertising on the Co-Branded Sites.

     10.7 PAYMENT TERMS. Except as otherwise provided in this Agreement, each Party shall provide the other Party with all amounts due under this Agreement for the prior calendar quarter within 30 days after the end of each calendar quarter during the Term. Each payment shall be accompanied by a statement detailing the amount of applicable gross revenue received, the calculation of the amount due to the other Party and the amount of the payment accompanying such statement. All payments due to either Party hereunder shall be made in immediately available U.S. funds, without set-off or counterclaim, less any taxes, duties, charges, withholdings, restrictions or conditions of any nature imposed or levied by any governmental taxing or other authority.

     10.8 TAXES. All payments required under this Agreement are exclusive of federal, state, local and foreign taxes, duties, tariffs, levies and similar assessments. When applicable, such taxes shall appear as separate items on a Party's invoice or statement of the other Party. Payment of such taxes or charges shall be the responsibility of the Party whose obligation it is under this Agreement to make the payment in respect of which such taxes are assessed, excluding any taxes based upon the other Party's net income. In lieu thereof, a Party shall provide the other Party with a tax or levy exemption certificate acceptable to the taxing or levying authority.

     10.9 AUDITS. During the 18-month period following the payment by one Party of any amount due under this Agreement to the other Party, the Party receiving payment (the Auditing Party) shall have the right, at its own expense, to have an independent Big Five accounting firm (the Auditor) audit the financial records of the other Party (the Audited Party) relating to such payment to verify the accuracy of the Audited Party's financial records in order to verify the amount of the payments owed and/or paid. The Auditing Party may cause the Auditor to perform such an audit not more than once in any 12-month period, unless a prior audit within the past two years revealed that the amount owed by the Audited Party to the Auditing Party was underpaid in excess of 8% of the amount owed, in which case an audit may be performed no more frequently than twice in any 12-month period. If the amount owed by the Audited Party to

*Certain information on this page has been omitted and filed separately with the  Commission. Confidential treatment has been requested with respect to the  omitted portions.                                        16    17

the Auditing Party was underpaid, the Audited Party shall pay the additional amount owed and all accrued interest thereon to the Auditing Party within 15 days of notice of such underpayment to the Audited Party. If the amount owed by the Audited Party to the Auditing Party was underpaid in excess of 10% of the amount owed, the fees of such audit shall also be paid to the Auditing Party within 15 days of notice of such to the Audited Party. If the amount owed by the Audited Party to the Auditing Party was overpaid, the Auditing Party shall return the excess amount paid to the Auditing Party within 15 days of notice of such underpayment to the Auditing Party. The Auditing Party shall give reasonable advance written notice to the Audited Party, and each audit shall be conducted during normal business hours and in a manner that does not cause unreasonable disruption to the conduct of business by the Audited Party.

     10.10 INTEREST. All payments not paid by the date such payments are due shall bear interest from the due date to the date payments are actually paid at the rate of the lower of (a) 1% per month or (b) the maximum rate permitted by law.

11. TERM AND TERMINATION

     11.1 AUTOMATIC RENEWAL. This Agreement will automatically renew at the end of the Initial Term or a subsequent renewal term on a year to year basis (each, a Renewal Term), unless either Party notifies the other at least 30 days prior to the end of the Initial Term or then current Renewal Term, as applicable, of its intention not to renew this Agreement (a Termination Notice).

Source: NEOFORMA INC, S-1/A, 12/2/1999





     11.2 TERMINATION FOR CAUSE. Either Party may terminate this Agreement immediately upon written notice to the other Party in the event any material breach of a material term of this Agreement by such other Party that remains uncured 30 days in the case of a breach of a payment obligation, or 45 days for all other breaches, after notice of such breach was received by such other Party; provided, however that if such breach is not reasonably capable of cure within the applicable cure period, the breaching Party shall have an additional 180 days to cure such breach so long as the cure is commenced within the applicable cure period and thereafter is diligently prosecuted to completion as soon as possible.

     11.3 UPON TERMINATION. Upon termination of this Agreement, (a) each Party's liability for any charges, payments or expenses due to the other Party that accrued prior to the date of termination shall not be extinguished by termination, and such amounts (if not otherwise due on an earlier date) shall be immediately due and payable on the termination date; (b) VerticalNet shall be responsible for all charges, payments or expenses incurred by it in connection with the removal of the Neoforma Links, Neoforma Content and Neoforma Product Listings from the Co-Branded Sites and all other VerticalNet Sites; (c) Neoforma shall be responsible for all charges, payments or expenses incurred by it in connection with the removal of the VerticalNet Links, VerticalNet Content and VerticalNet Product Listings from the Neoforma Sites; (d) all rights of Neoforma to use, display, reproduce or publish the VerticalNet Marks shall immediately cease, (e) all rights of VerticalNet to use, display, reproduce or publish the Neoforma Marks shall immediately cease, (f) all rights of Neoforma to use, display, reproduce and transmit the VerticalNet Content and VerticalNet Product Listings shall immediately cease and Neoforma shall, at VerticalNet's cost, return one copy of the VerticalNet Content and VerticalNet Product Listings for Medical Products to VerticalNet in electronic format and destroy all other copies of

                                    17    18

such content, (g) all rights of VerticalNet to use, create derivative works of, reproduce, display, perform and transmit the Neoforma Content and Neoforma Product Listings shall immediately cease and VerticalNet shall, at Neoforma's cost, return one copy of the Neoforma Content and the Neoforma Product Listings for Laboratory Products to Neoforma in electronic format and destroy all other copies of such content, (h) all rights of VerticalNet to arrange for the sale of advertising on the Neoforma Sites shall immediately cease, (i) VerticalNet shall retain ownership of the domain names and URLs at which the VerticalNet Sites (including, but not limited to, the Co-Branded Sites) are located, and (j) Neoforma shall retain ownership of the domain names and URLs at which the Neoforma Sites (including, but not limited to Neoforma Plan and Neoforma Shop) are located. If a Termination Notice is sent, the parties shall promptly meet to discuss a phase-out of the Co-Branded Sites and all Links and transfers of Product Listings set forth herein.

12. DISPUTE RESOLUTION

     12.1 NEGOTIATION AND ESCALATION. If any controversy or claim arises relating to this Agreement, the Parties will attempt in good faith to negotiate a solution to their differences, including progressively escalating any controversy or claim through senior levels of management. If negotiation does not result in a resolution within 30 days of when one Party first notifies the other of the controversy or claim, either Party may resort to arbitration under Section 12.2  [ARBITRATION].

     12.2 ARBITRATION. Any controversy or claim between the Parties concerning any breach or alleged breach of this Agreement or performance or nonperformance of any obligation under this Agreement which cannot be resolved by negotiation will be resolved by binding arbitration under this Section 12.2  [ARBITRATION] and the then-current Commercial Rules and supervision of the American Arbitration Association (the AAA). If any part of this Section 12.2  [ARBITRATION] is held to be unenforceable, it will be severed and will not affect either the duty to arbitrate or any other part of this Section 12.2  [ARBITRATION]. The arbitration will be held in Philadelphia, Pennsylvania, before a sole disinterested arbitrator who is knowledgeable in business information and the Internet and experienced in handling commercial disputes. The arbitrator shall be appointed jointly by the Parties hereto within 30 days following the date on which the arbitration is instituted. If the Parties are unable to agree upon the arbitrator within such 30-day period, the AAA shall be instructed to select such arbitrator within 15 days thereafter. The arbitrator's award will be final and binding and may be entered in any court having jurisdiction. The arbitrator will not have the power to award punitive or exemplary damages, or any damages excluded by, or in excess of, any damage limitations expressed in this Agreement. Issues of arbitrability will be determined in accordance solely with the federal substantive and procedural laws relating to arbitration; in all other respects, the arbitrator will be obligated to apply and follow the substantive law of the Commonwealth of Pennsylvania.

     12.3 EQUITABLE RELIEF. Notwithstanding anything to the contrary in this Agreement, in the event of an alleged violation of Article 13  [CONFIDENTIALITY] of this Agreement by either Party, the Party alleging such a violation may seek temporary injunctive or other appropriate equitable relief from any court of competent jurisdiction pending appointment of an arbitrator. The Party requesting such relief shall simultaneously file a demand for arbitration of the dispute, and shall

                                    18    19

request that the American Arbitration Association proceed under its rules for an expedited hearing.

     12.4 COSTS. Unless the arbitrator, if any, determines otherwise, each Party will bear its own attorneys' fees and other costs associated with the negotiation and arbitration provided for by this Article 12  [DISPUTE RESOLUTION], except that costs and expenses of the arbitrators shall be shared equally. If court proceedings to stay litigation or compel arbitration are necessary, the Party who unsuccessfully opposes such proceedings will pay all associated costs, expenses and attorneys' fees that are reasonably incurred by the other Party.

     12.5 TWO YEAR LIMITATION. Except for claims under Sections 15.4  [INDEMNIFICATION BY NEOFORMA] and 15.5  [INDEMNIFICATION BY VERTICALNET] hereof, neither Party may bring a claim or action regardless of form, arising out of or related to this Agreement, including any claim of fraud or misrepresentation, more than two years after the cause of action accrues or

Source: NEOFORMA INC, S-1/A, 12/2/1999





becomes known, whichever is later.

     12.6 CONFIDENTIALITY. In order to facilitate the resolution of controversies or claims between the Parties with respect to each Party hereto, such controversies or claims, including details regarding negotiations, arbitration and settlement terms, shall be treated as Confidential Information of the other Party hereto in accordance with Article 13  [CONFIDENTIALITY].

     12.7 REMEDIAL MEASURES. In the event of (a) any material remediable breach of this Agreement by the other Party which remains uncured 30 days after notice of such breach (other than a breach of a payment obligation) was received by the other Party or (b) any material breach which cannot be cured, the non-breaching Party may take reasonable remediable measures at the cost of the breaching Party without prejudice and in addition to any other rights arising from such breach. In addition, the non-breaching Party shall take reasonable steps to mitigate damages arising out of such breach.

13. CONFIDENTIALITY

     13.1 CONFIDENTIALITY OBLIGATIONS. Except as permitted elsewhere under this Agreement, each Party agrees to take Reasonable Steps (as defined below) (a) to receive and maintain the Confidential Information of the other Party in confidence, (b) not to disclose such Confidential Information to any third parties and (c) to promptly notify the disclosing Party upon learning of any law, rule, regulation or court order that purports to compel disclosure of any Confidential Information of the disclosing Party and to reasonably cooperate with the disclosing Party in the exercise of the disclosing Party's right to protect the confidentiality of such Confidential Information. Neither Party hereto shall use all or any part of the Confidential Information of the other Party for any purpose other than to perform its obligations under this Agreement. The Parties will take Reasonable Steps (as defined below) to ensure that their employees, representatives and agents comply with this provision. As used herein, Reasonable Steps means at least the same degree of care that the receiving Party uses to protect its own Confidential Information, and, in no event, no less than reasonable care.

     13.2 EXCLUSIONS. Nothing contained herein shall prevent a Party from disclosing Confidential Information pursuant to any applicable law, rule, regulation or court order; provided, however, that such Party complies with the notice provisions of Section 13.1(c)  [CONFIDENTIALITY OBLIGATIONS] to the

                                    19    20

extent permissible under applicable laws, rules, regulations or court orders. Such disclosure shall not alter the status of such information hereunder for all other purposes as Confidential Information.

     13.3 TERMINATION. Upon termination of this Agreement, all Confidential Information shall be returned to the disclosing Party or destroyed unless otherwise specified or permitted elsewhere under this Agreement. The confidentiality obligations contained in this Article 13  [CONFIDENTIALITY] shall survive termination of this Agreement for a period of three years.

     13.4 INJUNCTION. Each Party acknowledges and agrees that the provisions of this Article 13  [CONFIDENTIALITY] are reasonable and necessary to protect the other Party's interests in its Confidential Information, that any breach of the provisions of this Article 13  [CONFIDENTIALITY] may result in irreparable harm to such other Party, and that the remedy at law for such breach may be inadequate. Accordingly, in the event of any breach or threatened breach of the provisions of this Article 13  [CONFIDENTIALITY] by a Party hereto, the other Party, in addition to any other relief available to it at law, in equity or otherwise, shall be entitled to seek temporary and permanent injunctive relief restraining the breaching Party from engaging in and/or continuing any conduct that would constitute a breach of this Article 13  [CONFIDENTIALITY], without the necessity of proving actual damages or posting a bond or other security.

     13.5 PUBLICITY. Except as may be required by applicable laws, rules or regulations (including those arising under any securities laws), neither Party will originate any publicity, news release or other public announcement, written or oral, whether to the public press or otherwise, concerning the relationship between the Parties or the transactions described in this Agreement without the prior written consent of the other Party, which consent shall not be unreasonably withheld or delayed. In the event disclosure is required by applicable law, rules or regulations, then the Party required to so disclose such information shall, to the extent possible, provide to the other Party for its approval (such approval not to be unreasonably withheld) a written copy of such public announcement at least five business days prior to disclosure. Notwithstanding the foregoing, either Party shall have the right to make a press release with respect to its entering into this Agreement; provided that such Party provides to the other Party a copy of the proposed press release no less than five business days prior to its proposed release and that the contents of such press release shall be subject to the other Party's consent, which consent shall not be unreasonably delayed or withheld.

14. REPRESENTATIONS AND WARRANTIES. Each Party hereby represents, covenants and warrants to the other Party that:

     14.1 It has the corporate power to enter into this Agreement and to grant the rights and licenses granted herein and otherwise perform this Agreement;

     14.2 It is not a Party to any agreement or understanding and knows of no law or regulation that would prohibit it from entering into and performing this Agreement or that would conflict with this Agreement; and

     14.3 When executed and delivered by it, this Agreement will constitute a legal, valid and binding obligation of it, enforceable against it in accordance with this Agreement's terms.

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15. DISCLAIMER OF WARRANTY, LIMITATION OF LIABILITY AND INDEMNIFICATION.

     15.1 DISCLAIMER OF WARRANTIES. EXCEPT AS EXPRESSLY SET FORTH IN THIS AGREEMENT, VERTICALNET HEREBY DISCLAIMS ALL WARRANTIES, EXPRESS, IMPLIED OR

Source: NEOFORMA INC, S-1/A, 12/2/1999





STATUTORY, WITH RESPECT TO ANY AND ALL VERTICALNET DELIVERABLES, INCLUDING BUT NOT LIMITED TO ANY IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, TITLE AND NON-INFRINGEMENT.

     15.2 DISCLAIMER OF WARRANTIES. EXCEPT AS EXPRESSLY SET FORTH IN THIS AGREEMENT, NEOFORMA HEREBY DISCLAIMS ALL WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, WITH RESPECT TO ANY AND ALL NEOFORMA DELIVERABLES, INCLUDING BUT NOT LIMITED TO ANY IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, TITLE AND NON-INFRINGEMENT.

     15.3 LIMITATION OF LIABILITY. EXCEPT IN CONNECTION WITH A BREACH BY EITHER PARTY OF ARTICLE 13, THE INDEMNIFICATION OBLIGATIONS OF NEOFORMA UNDER SECTIONS 15.4(c)  [INDEMNIFICATION BY NEOFORMA] AND (d) AND THE INDEMNIFICATION OBLIGATIONS OF VERTICALNET UNDER SECTION 15.5(c)  [INDEMNIFICATION BY VERTICALNET] AND (d), NEITHER PARTY WILL BE LIABLE FOR ANY SPECIAL, INDIRECT, CONSEQUENTIAL, EXEMPLARY OR INCIDENTAL DAMAGES ARISING OUT OF OR RELATED TO THIS AGREEMENT, HOWEVER CAUSED AND UNDER ANY THEORY OF LIABILITY (INCLUDING NEGLIGENCE), EVEN IF SUCH PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. EXCEPT IN CONNECTION WITH A BREACH BY EITHER PARTY OF ARTICLE 13, THE INDEMNIFICATION OBLIGATIONS OF NEOFORMA UNDER SECTION 15.4(c)  [INDEMNIFICATION BY NEOFORMA] AND (d) AND THE INDEMNIFICATION OBLIGATIONS OF VERTICALNET UNDER SECTION 15.5(c)  [INDEMNIFICATION BY VERTICALNET] AND (d), EACH PARTY'S LIABILITY FOR DAMAGES HEREUNDER SHALL NOT EXCEED $1,000,000.

     15.4 INDEMNIFICATION BY NEOFORMA. Neoforma shall indemnify and hold harmless VerticalNet and its officers, directors, employees and agents from and against any and all losses, claims, damages, liabilities, obligations, penalties, judgments, awards, costs, expenses and disbursements, including without limitation, the costs, expenses and disbursements, as and when incurred, of investigating, preparing or defending any action, suit, proceeding or investigation asserted by a third party, caused by, relating to, based upon, arising out of or in connection with (a) any breach by Neoforma of the representations, warranties or agreements made by it under this Agreement, (b) negligence, recklessness or intentional misconduct on the part of Neoforma or its Affiliates or its officers, directors, employees, agents or consultants, (c) any claim that the Neoforma Content, Neoforma Product Listings, Neoforma Sites or a Neoforma Mark violates, infringes or misappropriates any Intellectual Property Rights or any other right of any third party, or (d) the use of a VerticalNet Mark or a VerticalNet Deliverable outside of the license rights granted herein.

     15.5 INDEMNIFICATION BY VERTICALNET. VerticalNet shall indemnify and hold harmless Neoforma and its officers, directors, employees and agents from and against any and all losses,

                                    21    22

claims, damages, liabilities, obligations, penalties, judgments, awards, costs, expenses and disbursements, including without limitation, the costs, expenses and disbursements, as and when incurred, of investigating, preparing or defending any action, suit, proceeding or investigation asserted by a third party, caused by, relating to, based upon, arising out of or in connection with (a) any breach by VerticalNet of the representations, warranties or agreements made by it under this Agreement, (b) negligence, recklessness or intentional misconduct on the part of VerticalNet or its officers, directors, employees, agents or consultants, (c) any claim that the VerticalNet Content, VerticalNet Product Listings, VerticalNet Sites or a VerticalNet Mark violates, infringes or misappropriates any Intellectual Property Rights or any other right of any third party, or (d) the use of a Neoforma Mark or a Neoforma Deliverable outside of the license rights granted herein.

     15.6 INDEMNITEE OBLIGATIONS. Each person seeking to be reimbursed, indemnified, defended and/or held harmless under Sections 15.4  [INDEMNIFICATION BY NEOFORMA] or 15.5  [INDEMNIFICATION BY VERTICALNET] (each, an Indemnitee) shall (a) provide the Party obliged to indemnify such Indemnitee with prompt written notice of any claim, suit, demand or other action for which such Indemnitee seeks to be reimbursed, indemnified, defended or held harmless (each, a Claim), which notice shall include a reasonable identification of the alleged facts giving rise to such Claim; (b) grant such Party reasonable authority and control over the defense and settlement of any such Claim; and (c) reasonably cooperate with such Party and its agents in defense of any such Claim. Each Indemnitee shall have the right to participate in the defense of any Claim for which such Indemnitee seeks to be reimbursed, indemnified, defended or held harmless, by using attorneys of such Indemnitee's choice, at such Indemnitee's expense. Any settlement of a Claim for which any Indemnitee seeks to be reimbursed, indemnified, defended or held harmless under this Article shall be subject to the prior written approval of such Indemnitee, such approval not to be unreasonably withheld, conditioned or delayed.

     15.7 ESSENTIAL PART OF BARGAIN. The Parties acknowledge that the disclaimers and limitations set forth in this Article 15  [DISCLAIMER OF WARRANTY, LIMITATION OF LI...] are an essential element of this Agreement between the Parties and that the Parties would not have entered into this Agreement without such disclaimers and limitations.

16. MISCELLANEOUS

     16.1 GOVERNING LAW. This Agreement shall be governed by and interpreted under the laws of the Commonwealth of Pennsylvania without regard to its conflicts of law provisions.

     16.2 NO ASSIGNMENT. Except as otherwise set forth herein, neither Party shall transfer, assign or cede any rights or delegate any obligations hereunder, in whole or in part, whether voluntarily or by operation of law, without the prior written consent of the other Party, which consent may be withheld at the other Party's reasonable business discretion; provided, however, that either Party may transfer this Agreement without prior written consent of the other Party to an Affiliate or in connection with a merger or sale of all or substantially all of the stock or assets of such Party.

     16.3 GOOD FAITH. The Parties undertake to display to each other the utmost good faith, consistent with their respective rights and obligations set forth in this Agreement.

                                    22    23

     16.4 INDEPENDENT CONTRACTORS. In connection with this Agreement, each Party is an independent contractor. This Agreement does not, and shall not be construed to, create an employer-employee, agency, joint venture or partnership relationship between the Parties. Neither Party shall have any authority to act

Source: NEOFORMA INC, S-1/A, 12/2/1999





for or to bind the other Party in any way, to alter any of the terms or conditions of any of the other Party's standard forms of invoices, sales agreements, warranties or otherwise, or to warrant or to execute agreements on behalf of the other or to represent that it is in any way responsible for the acts, debts, liabilities or omissions of the other Party.

     16.5 NOTICES. All notices, reports, payments and other communications required or permitted to be given under this Agreement (each, a Notice) shall be in writing and shall be given either by personal delivery against a signed receipt, by express delivery using a nationally recognized overnight courier, or by facsimile. All Notices shall be properly addressed as follows, or to such other addresses as may be specified in a Notice given hereunder:

If to VerticalNet:                          with a copy to:

  Attn: General Counsel                       Attn: Mario V. Shaffer      VerticalNet, Inc.                           VerticalNet, Inc.      700 Dresher Road, Suite 100                 700 Dresher Road, Suite 100      Horsham, Pennsylvania 19044                 Horsham, Pennsylvania 19044      Fax No.: (215) 443-3336                     Fax No.: (215) 784-1960

If to Neoforma:                             with a copy to:

  Attn: Chief Financial Officer               Attn: Ralph M. Pais, Esq.      Neoforma, Inc.                              Fenwick & West LLP      3255-7 Scott Boulevard                      Two Palo Alto Square      Santa Clara, CA 95054                       Palo Alto, CA 94306      Fax No.: 408-549-6211                       Fax No.: 650-494-1417

A Notice shall be deemed to be effective upon personal delivery or, if sent via overnight delivery, upon receipt thereof. A Notice sent via facsimile is deemed effective on the same day (or if such day is not a business day, then on the next succeeding business day) if such facsimile is sent before 5:00 p.m. Philadelphia time and on the next day (or if such day is not a business day, then on the next succeeding business day) if such Notice is sent after 5:00 p.m. Philadelphia time.

     16.6 AMENDMENT OR MODIFICATION. No subsequent amendment, modification or waiver of any of the provisions of this Agreement shall be effective unless in writing and signed by the Parties.

     16.7 ENTIRE AGREEMENT. This Agreement sets out the entire agreement between the Parties with respect to the subject matter of this Agreement and supersedes all prior agreements, proposals, arrangements and communications, whether oral or written, with respect to the subject matter hereof.

                                    23    24

     16.8 SEVERABILITY. If any provision of this Agreement is held by a tribunal of competent jurisdiction to be illegal, invalid, or otherwise unenforceable in any jurisdiction, then to the fullest extent permitted by law (a) the same shall not effect the other terms or provisions of this Agreement, (b) such term or provision shall be deemed modified to the extent necessary in the tribunal's opinion to render such term or provision enforceable, and the rights and obligations of the Parties shall be construed and enforced accordingly, preserving to the fullest extent the intent and agreements of the Parties set forth herein and (c) such finding of invalidity, illegality or unenforceability shall not affect the validity, legality or enforceability of such term or provision in any other jurisdiction.

     16.9 NO WAIVER. Failure to enforce any term of this Agreement is not a waiver of future enforcement of that or any other term. No term or provision of this Agreement will be deemed waived and no breach excused unless such waiver or excuse is in writing and signed by the Party against whom enforcement of such waiver or excuse is sought.

     16.10 SURVIVAL. Sections 10.7  [PAYMENT TERMS]-10.10  [INTEREST], 11.3  [UPON TERMINATION] and 12-16; any payment obligations of the Parties hereunder accruing prior to the date of termination; and any other provision herein expressly surviving termination or necessary to interpret the rights and obligations of the Parties in connection with the termination of the term of this Agreement will survive the termination or expiration of this Agreement.

     16.11 NO THIRD PARTY BENEFICIARIES. Nothing in this Agreement is intended to confer benefits, rights or remedies unto any person or entity other than the Parties and their permitted successors and assigns.

     16.12 WAIVER OF JURY TRIAL. Each Party hereby irrevocably waives all rights a Party may have to a trial by jury in any legal action or proceeding arising out of or in connection with this Agreement or the transactions contemplated hereby.

     16.13 TITLES. The headings appearing at the beginning of the Sections contained in this Agreement have been inserted for identification and reference purposes only and shall not be used to determine the construction or interpretation of this Agreement. The nomenclature of the defined terms in this Agreement shall only be used for the construction of this Agreement, and are not to be used for any other purpose, including, but not limited to, interpretation for accounting purposes.

     16.14 FORCE MAJEURE. Neither Party shall be held to be in breach of this Agreement by reason of a force majeure event, including, but not limited to, act of God, delay in transportation, fire, flood, earthquake, storm, war, act of a public enemy, civil commotion or any law, rule, regulation, order or other action by any public authority or any other matter reasonably beyond a Party's control. To the extent failure to perform is caused by such a force majeure event, such Party shall be excused from performance hereunder so long as such event continues to prevent such performance, and provided the non-performing Party takes all reasonable steps to resume full performance.

     16.15 COMPLIANCE WITH LAWS. Each Party shall comply with all prevailing laws, rules and regulations and obtain all necessary approvals, consents and permits required by the applicable

                                    24    25

Source: NEOFORMA INC, S-1/A, 12/2/1999





agencies of the government of the jurisdictions that apply to its activities or obligations under this Agreement.

     16.16 EXECUTION IN COUNTERPARTS, FACSIMILES. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same instrument. This Agreement shall become binding when any one or more counterparts hereof, individually or taken together, bear the signatures of both Parties hereto. For the purposes hereof, a facsimile copy of this Agreement, including the signature pages hereto, shall be deemed an original.

        [The remainder of this page is intentionally left blank.]

                                    25    26

IN WITNESS WHEREOF, the Parties to the Agreement by their duly authorized representatives have executed this Agreement as of the date first written above.

VERTICALNET, INC.                           NEOFORMA.COM, INC.

By: /s/ MARIA V. SHAFFER                    By: /s/ FREDERICK RUEGSEGGER    --------------------------------            ---------------------------------    Maria V. Shaffer    Vice President, Business Development      and International                      Title:  CFO                                                   ------------------------------

27

                                                                    EXHIBIT A

CATEGORIES OF LABORATORY PRODUCTS

PRODUCT GROUPING               PRODUCT CLASSIFICATION         POINTS TO - ----------------               ----------------------         ---------                                                          Analytical Instruments         Analytical Inst-other          Analytical Inst-other Analytical Instruments         Atomic Absorption              Atomic Absorption Analytical Instruments         Balances                       Balances Analytical Instruments         Chemistry Analyzers            Chemistry Analyzers Analytical Instruments         Chrom-Data                     Chrom-Data Analytical Instruments         Chrom-GC                       Chrom-GC Analytical Instruments         Chrom-HPLC                     Chrom-HPLC Analytical Instruments         Chrom-Other                    Chrom-Other Analytical Instruments         Chrom-TLC                      Chrom-TLC Analytical Instruments         Colorimeter                    Colorimeter Analytical Instruments         Computer Equipment             Computer Equipment Analytical Instruments         Electron Microscope            Electron Microscope Analytical Instruments         Electronics - Lab              Electronics - Lab Analytical Instruments         Elemental Analysis             Elemental Analysis Analytical Instruments         Infrared                       IR/UVVIS/XRAY Analytical Instruments         Mass Spectrometer              Mass Spectrometer Analytical Instruments         Particle Size                  Particle Size Analytical Instruments         pH / ISE                       pH / ISE Analytical Instruments         Physical Property Test         Physical Property Test Analytical Instruments         Polarimeter                    Polarimeter Analytical Instruments         Spectrophotometer              Spectrophotometer Analytical Instruments         Temperature Equip              Temperature Equip Analytical Instruments         Titrators                      Titrators Analytical Instruments         Universal Tester               Universal Tester Analytical Instruments         UV / VIS                       IR/UVVIS/XRAY Analytical Instruments         Viscometer                     Viscometer Analytical Instruments         X-Ray                          IR/UVVIS/XRAY Biotechnology                  Biotech-other                  Biotech-other Biotechnology                  Electrophoresis                Electrophoresis Biotechnology                  Fermenters                     Fermenters Biotechnology                  Microplates                    Microplates Biotechnology                  Molecular Biology              Molecular Biology Biotechnology                  Scintillation Counters         Scintillation Counters Clinical Laboratory            Clinical Lab - Other           Clinical Lab - Other Clinical Laboratory            Blood / Gas Analyzers          Blood / Gas Analyzers Clinical Laboratory            Blood Collection               Blood Collection Clinical Laboratory            Clinical Chemistry Analyzer    Clinical Chemistry Analyzer Clinical Laboratory            Hematology                     Hematology Clinical Laboratory            Medical Equipment              Medical Equipment Clinical Laboratory            Microbiology                   Microbiology

28

                                                      Clinical Laboratory            Other Body Fluid Analyzer      Other Body Fluid Analyzer Clinical Laboratory            Slide Stainers                 Histology Glassware                      Beakers                        Beakers Glassware                      Bottles                        Bottles Glassware                      Condensers                     Condensers Glassware                      Flasks                         Flasks Glassware                      Funnels                        Funnels Glassware                      Glass-other                    Glass-other Glassware                      Tubes                          Tubes Glassware                      Vials                          Vials Lab Equipment                  Animal Care                    Animal Care Lab Equipment                  Antiques                       Antiques Lab Equipment                  Autoclaves                     Autoclaves Lab Equipment                  Baths, Water/Oil/Dry           Baths, Water/Oil/Dry Lab Equipment                  Books/Manuals                  Books/Manuals

Source: NEOFORMA INC, S-1/A, 12/2/1999





Lab Equipment                  Centrifuge                     Centrifuge Lab Equipment                  Chillers                       Chillers Lab Equipment                  Cleaners                       Cleaners Lab Equipment                  Critical Environments          Critical Environments Lab Equipment                  Digesters                      Digesters/Mixers Lab Equipment                  Environmental Chambers         Environmental Chambers Lab Equipment                  Evaporators                    Evaporators Lab Equipment                  Filtration                     Filtration Lab Equipment                  Fraction Collectors            Fraction Collectors Lab Equipment                  Freeze Dry/Lyoph               Freeze Dry/Lyoph Lab Equipment                  Freezers / Refrigerators       Freezers / Refrigerators Lab Equipment                  Fume Hoods                     Fume Hoods Lab Equipment                  Furnaces                       Furnaces Lab Equipment                  Furniture - Lab                Furniture - Lab Lab Equipment                  Glove Boxes                    Glove Boxes Lab Equipment                  Heating Apparatus              Heating Apparatus Lab Equipment                  Histology                      Histology Lab Equipment                  Hotplates / Stirrers           Hotplates / Stirrers Lab Equipment                  Incubators                     Incubators Lab Equipment                  Lab Equipment - Other          Lab Equipment - Other Lab Equipment                  Liquid Handling / Pipettors    Liquid Handling / Pipettors Lab Equipment                  Metallurgical                  Metallurgical Lab Equipment                  Microtomes                     Histology Lab Equipment                  Mixers                         Digesters/Mixers Lab Equipment                  Mobile Lab                     Mobile Lab Lab Equipment                  Motors                         Motors Lab Equipment                  Optics                         Optics Lab Equipment                  Ovens                          Ovens Lab Equipment                  Petroleum Lab                  Petroleum Lab Lab Equipment                  Pharmaceutical                 Pharmaceutical Lab Equipment                  Photography                    Photography

29

                                                      Lab Equipment                  Process / Pilot                Process / Pilot Lab Equipment                  Pumps                          Pumps Lab Equipment                  Radioactivity                  Radioactivity Lab Equipment                  Recorders                      Recorders Lab Equipment                  Regulators / Gauges            Regulators / Gauges Lab Equipment                  Robotics                       Robotics Lab Equipment                  Safety                         Safety Lab Equipment                  Semi-Conductor                 Semi-Conductor Lab Equipment                  Shakers                        Shakers Lab Equipment                  Stirrers / Hotplates           Stirrers / Hotplates Lab Equipment                  Vacuum                         Vacuum Lab Equipment                  Valves / Fittings              Valves / Fittings Lab Equipment                  Water Purification             Water Purification LabSupplies                    Chemicals                      Chemicals LabSupplies                    Plasticware                    Plasticware LabSupplies                    Supplies                       Supplies Microscopes                    Image Analysis                 Image Analysis Microscopes                    Microscope Accessories         Microscope Accessories Microscopes                    Microscope Parts               Microscope Parts Microscopes                    Microscopes                    Microscopes Test/Measurement               Multimeter                     Multimeter Test/Measurement               Oscilloscopes                  Oscilloscopes Test/Measurement               Power Supply                   Power Supply Test/Measurement               Test/Meas-other                Test/Meas-other Test/Measurement               Timers/Controllers             Timers/Controllers Test/Measurement               Volt/Amp/Ohm Meters            Volt/Amp/Ohm Meters

30

                                                                    EXHIBIT B

31

                     [GRAPHIC OF WEB PAGE -- Features]

32

                                                                    EXHIBIT C

33

               [GRAPHIC OF WEB PAGE -- Vertical Side Pages]

34

                  [GRAPHIC OF WEB PAGE -- Specialty Shop]

35

                                                                    EXHIBIT D

LABORATORY PRODUCT LISTING TEMPLATE PRODUCT LISTING TEMPLATE

A Microsoft Excel Spreadsheet containing the following columns:

Source: NEOFORMA INC, S-1/A, 12/2/1999





- ----------- ----------- -------------- ---------- ---------------------- ----------- ----------- NAME        CATEGORY    MFG/BRAND      MODEL #    ORIGINAL ITEM PRICE    HEIGHT      WEIGHT - ----------- ----------- -------------- ---------- ---------------------- ----------- -----------                                                                     NAME        CATG        FLDA           FLDB       FLDC                   FLDD        FLDE - ----------- ----------- -------------- ---------- ---------------------- ----------- -----------

- ------------- ----------- -------------- ---------------- ------------------- ------------------ CAPACITY      QUANTITY    STARTING BID   RESERVE PRICE    BID INCREMENTS(1)   START DATE/TIME(2) - ------------- ----------- -------------- ---------------- ------------------- ------------------                                                                 FLDG          QNTY        MINB           RSRV             INCR                STRT - ------------- ----------- -------------- ---------------- ------------------- ------------------

(1) default is [*] (2) default is today

- --------------- -------- -------------- -------- ----------- ---------------- ------------------ DURATION(3)     ITEM #   APPROX. AGE    SKU      LOCATION    SALESPERSON      DESCRIPTION - --------------- -------- -------------- -------- ----------- ---------------- ------------------                                                              DAYE            FLD1     FLD2           FLDF     FLDH        FLDI             DESC - --------------- -------- -------------- -------- ----------- ---------------- ------------------

(3) default is 7 days

- --------------- --------------------- -------- ----------- ------------------ ------------------ SELLER ID#      IMAGE LOCATION - --------------- --------------------- -------- ----------- ------------------ ------------------                                                                 SELL            IMAG - --------------- --------------------- -------- ----------- ------------------ ------------------

*Certain information on this page has been omitted and filed separately with the  Commission. Confidential treatment has been requested with respect to the  omitted portions.    36

This page describes each of the fields used in the Excel spreadsheet for bulk uploads. Please put details in the spreadsheet named Bulk Upload Spreadsheet. It is very important that you do not change the field names or their order on the spreadsheet.

             - ----------------------------------------------------------------------------------------------- NAME*             The title by which you want the item called. i.e. Sartorius Microbalance.                   This field is 60 characters long but more details will fit in the                   description section. The name needs to be descriptive and distinct. There                   cannot be two items with the same name. Add a delineating feature such as                   model number or size to the name. - ----------------------------------------------------------------------------------------------- CATEGORY*         This field requires a number not word. See the enclosed list. If you do not                   find a category that fits your product, please contact us. We can add                   categories. - ----------------------------------------------------------------------------------------------- MFG/BRAND         Manufacturer or brand name - ----------------------------------------------------------------------------------------------- MODEL #           Model number - ----------------------------------------------------------------------------------------------- ORIGINAL ITEM     If known, this can be an incentive to buyers who then see your lower price. PRICE - ----------------------------------------------------------------------------------------------- HEIGHT            Include feet or inches. - ----------------------------------------------------------------------------------------------- WEIGHT            Include pounds or ounces. - ----------------------------------------------------------------------------------------------- CAPACITY          Specific information about the equipment i.e. x gallons/hr, y                   sheets/minute, etc. - ----------------------------------------------------------------------------------------------- QUANTITY*         This field requires only a number not each, case, etc. - ----------------------------------------------------------------------------------------------- STARTING          BID* This is the amount at which the bidding will start. It                   should be lower than your reserve price, if you set one.                   Please use whole dollars. - ----------------------------------------------------------------------------------------------- RESERVE PRICE     This is the amount you wish to receive for your product. If you set a                   reserve price, your item cannot be sold for less than the reserve. Please                   use whole dollars. - ----------------------------------------------------------------------------------------------- BID               INCREMENTS* $5 is the default, but feel free to change this to                   reflect your product's price using whole dollars. - ----------------------------------------------------------------------------------------------- START             DATE/TIME* This field must be filled out like the following                   example: 04/08/99 15:00 (MM/DD/YY 24:mm) A start time must be                   included. - ----------------------------------------------------------------------------------------------- DURATION*         The default for this field is 7 days. The options are 1, 3, 5, 7, 21 and 30. - ----------------------------------------------------------------------------------------------- ITEM #            Catalog number if the product came from a manufacturer's or distributor's                   catalog - ----------------------------------------------------------------------------------------------- APPROX. AGE       New, used, demo, reconditioned - ----------------------------------------------------------------------------------------------- SKU               Each, box, case

Source: NEOFORMA INC, S-1/A, 12/2/1999





- ----------------------------------------------------------------------------------------------- LOCATION          Where the equipment is currently located/resides. - ----------------------------------------------------------------------------------------------- SALESPERSON       For PaperExchange.com internal tracking. - ----------------------------------------------------------------------------------------------- DESCRIPTION       This field is only 1250 characters long. Use basic writing format here.                   Complete sentences are desired rather than a list of features. If you copy                   and paste from an outside source, please check to see that                   there are no tabs or returns in the paragraph. - ----------------------------------------------------------------------------------------------- SELLER ID#*       This is your six-digit ID number you received when you registered. - ----------------------------------------------------------------------------------------------- IMAGE             LOCATION A picture of your item is very helpful in selling                   your item and will greatly enhance its listing appearance. The                   picture needs to be in JPEG or GIF format. You can send these                   on a separate disk or email if desired. Please enclose a list                   delineating which picture goes with which item. - -----------------------------------------------------------------------------------------------                   *  indicates required fields

               ** indicates fields with fieldnames to be determined and whose position                   within the columns is to be determined

37

                                                                    EXHIBIT E

FORM OF CO-BRANDED CAREER CENTER

        [GRAPHIC OF WEB PAGE -- the global healthcare marketplace]

38

                                                                    EXHIBIT F

FORM OF CO-BRANDED TRAINING AND EDUCATION CENTER

        [GRAPHIC OF WEB PAGE -- the global healthcare marketplace]

Source: NEOFORMA INC, S-1/A, 12/2/1999

Answer: Highlight the parts (if any) of this contract related to Covenant Not To Sue that should be reviewed by a lawyer. Details: Is a party restricted from contesting the validity of the counterparty’s ownership of intellectual property or otherwise bringing a claim against the counterparty for matters unrelated to the contract?


Question: Exhibit 10.1   Text Marked By [* * *] Has Been Omitted Pursuant To A Request For Confidential Treatment And Was Filed Separately With The Securities And Exchange Commission.   STRATEGIC ALLIANCE AGREEMENT Effective Date: April 17, 2017   THIS STRATEGIC ALLIANCE AGREEMENT (this Agreement), is entered into by and between Lion Biotechnologies, Inc., with a place of business located at 999 Skyway Road, Suite 150, San Carlos, CA 94070 (LBIO), and The University of Texas M. D. Anderson Cancer Center, with a place of business located at 1515 Holcombe Blvd., Houston, TX 77030 (MD Anderson), a member institution of The University of Texas System (System), as of the date set forth above (the Effective Date). MD Anderson and LBIO are hereinafter individually referred to as a Party and are collectively known as the Parties.   WHEREAS, as a comprehensive cancer research, treatment, and educational center, MD Anderson undertakes research and experimental activities in a variety of disciplines; and   WHEREAS, the Parties hereby wish to establish a collaboration (Collaboration) with respect to the performance of one or more research studies to be conducted pursuant to this Agreement (each such study, a Study, and collectively the Studies, and the activities to be performed with respect to the Studies collectively, the Research).   NOW, THEREFORE, in consideration of the mutual covenants contained herein, the receipt and sufficiency of which are hereby acknowledged, LBIO and MD Anderson hereby agree to be legally bound as follows:   1. Governance.   1.1 Joint Steering Committee. The Parties will establish a joint steering committee (JSC) of equal representation, comprised of three members from each Party, with the members of each Party collectively having one vote on all matters to be decided upon by the JSC. Each Party can appoint and replace its members in the JSC at its own discretion through timely written notice to the other Party. The Principal Investigators for each Study (as defined hereinafter) shall attend each JSC meeting, except in the event of exigent circumstances that do not permit such attendance.   1.2 JSC Meetings. The JSC will have meetings (either in person, by teleconference or via electronic means) at least quarterly. At least one meeting per year will be conducted in person or by videoconference (including the kick-off meeting), with the location alternating between a site a selected by LBIO and a site selected by MD Anderson. LBIO will choose the location of the first such in-person meeting. Subject to Section 1.4 below, the JSC will decide on matters by unanimous vote; provided, however, that no action may lawfully be taken at any meeting unless at least two members from each Party (including for this purpose any proxy member appointed as provided below) are present at the meeting. If a member of the JSC is unable to attend a meeting, he or she may appoint, in writing, a proxy to participate and vote in his or her stead.

 1







  1.3 JSC Responsibilities. The main task of the JSC will be to oversee the Collaboration. In order to achieve the objectives of the Collaboration, the JSC will oversee each Study under the Collaboration. The JSC will provide technical, scientific, clinical, and regulatory guidance regarding the Studies and will be responsible for monitoring progress of the Studies. In addition, the JSC will be responsible for coordinating resolution of problems arising in the Studies or in the Collaboration as a whole. Additional members can be invited by the JSC on a case by case basis should discussion of certain topics require so; provided, that such members will be subject to obligations of confidentiality and non-use at least as strict as those set forth in Section 5 below.   1.4 Dispute Resolution. Decisions regarding Study design, changes and/or additions to the initially-agreed Protocols must be unanimous, with each Party exercising one vote each, and in the absence of such unanimity the status quo shall be maintained. For all other matters before the JSC, a unanimous decision, with each Party exercising one vote, is required; provided, that, if unanimity cannot be achieved regarding such other matters, then LBIO's chief executive officer may make the decision on behalf of the JSC, provided that LBIO's chief executive officer will first make a good faith effort to consult with a designated executive at MD Anderson to resolve such matter.   2. Performance of Studies.   2.1 Studies.   (a) During the Term (as defined below), LBIO and MD Anderson may periodically agree to collaborate with respect to the performance of one or more Studies. In connection with each Study, the Parties shall execute, as applicable, a Study-specific clinical trial agreement or a pre-clinical work order where a clinical trial is not being conducted (each, a Study Order). Study Orders shall be numbered sequentially and, when executed, appended to this Agreement and made a part hereof. The first three Study Orders, when completed, will be incorporated into this Agreement as Exhibit I, Exhibit II, and Exhibit III, and the Studies that are the subject of such Study Orders are also referred to herein as the Initial Studies. Each Study Order shall detail the specifics of the Study to be performed under such Study Order including (i) a detailed Study-specific protocol (Protocol) that will be developed jointly by the Parties working together in good faith and (ii) any Study-specific resources or support to be provided by LBIO, including any financial consideration (Collaboration Funding, but excluding financial support associated with the Initial Studies to the extent addressed in Section 4 of this Agreement). Any revisions or amendments to a Study Order or Protocol shall be implemented, if at all, solely in accordance with the terms of the relevant Study Order and shall be subject to the approval of the JSC. The Parties acknowledge and agree that MD Anderson will be the sponsor of the Initial Studies that are clinical studies, as defined at 21 C.F.R. §§ 50.3(f) and 312.3(b), and will be the holder of the investigational new drug applications (INDs) submitted to the FDA (as defined hereinafter) for such Initial Studies.   (b) In the event of any conflict of any terms of this Agreement and the terms of a Study Order, the terms of this Agreement shall govern, unless the Study Order specifically and expressly supersedes this Agreement with respect to a specific term, and then only with respect to the particular Study Order and specific term. If there is any discrepancy or conflict between the terms contained in a Protocol and this Agreement and/or the relevant Study Order, the terms of the Protocol shall govern and control with respect to clinical matters and the terms of this Agreement and/or the relevant Study Order shall govern and control with respect to all other matters (e.g., legal and financial matters).

 2







  2.2 Investigators.   (a) Principal Investigator. Each Study Order will identify the individual that will serve as the Principal Investigator for the relevant Study at MD Anderson and shall be responsible for MD Anderson's administration and supervision of its portion of such Study. If the originally named Principal Investigator becomes unable or unwilling to continue a Study for any reason, MD Anderson shall propose a substitute Principal Investigator with comparable qualifications within two business days of MD Anderson becoming aware of such event. If the proposed candidate is not available or is not acceptable to LBIO, LBIO may terminate the applicable Study in accordance with Section 8.3(ii).   (b) MD Anderson and Principal Investigator may appoint one or more collaborating physicians (Sub-Investigators) to participate in a Study. Such Sub-Investigators shall work under the supervision of, shall report to and be the sole responsibility of Principal Investigator, and Principal Investigator and MD Anderson shall each ensure that all Sub-Investigators undertake all activity related to the Study in accordance with the terms of this Agreement, the applicable Study Order, and the Protocol.   (c) On a Study Order-by-Study Order basis, in the event that a Principal Investigator leaves or is removed from MD Anderson (or is otherwise unwilling or unavailable to direct the applicable Study in accordance with this Agreement and the applicable Study Order), then MD Anderson shall, as soon as practicable but in any event within two (2) business days of such event, provide written notice of such event to LBIO. Any subsequently appointed principal investigator must be approved, in writing in advance, by LBIO and such new principal investigator shall be required to agree to all the terms and conditions of the applicable Study Order and this Agreement and to sign each such document as evidence of such agreement (although failure to so sign will not relieve such new principal investigator from abiding with all the terms and conditions of the applicable Study Order and this Agreement). If LBIO does not approve of the new principal investigator, or the new principal investigator does not sign this Agreement, then LBIO may terminate the applicable Study Order in accordance with Section 8.3(ii).   2.3 Performance; Compliance with Law.   (a) MD Anderson shall, and shall cause each of its employees, agents, contractors, and subcontractors performing Research activities or other obligations under this Agreement, including the Principal Investigator (collectively, Representatives) to, conduct such activities, and use, store and handle all materials used in the performance of activities under this Agreement and each Study Order, or cause the same to be done, in accordance with (i) all applicable laws, regulations, and guidelines, including, to the extent applicable, the Federal Food, Drug, and Cosmetic Act (FFCDA); the anti-kickback and related provisions of the Social Security Act; the Public Health Services Act; the regulations promulgated by the Food and Drug Administration (FDA), including 21 C.F.R. Parts 50, 56, and 58, and, with respect to clinical Studies, the requirements of the Statement of Investigator, FDA Form 1572 (as described in 21 312.53), the terms of which are incorporated by reference into any Study Order pertaining to a clinical Study (and the Principal Investigator for any such clinical Study shall complete, sign, and deliver a Form 1572 to LBIO prior to the commencement of such Study); the United States Health Insurance Portability and Accountability Act of 1996, as amended by the HITECH Act, including the Standards for Privacy of Individually Identifiable Health Information; the EU Data Protection Directive; and all other applicable privacy, security and data protection laws (collectively, this sub-clause (i), Laws), and, as applicable, the quality standards of Good Clinical Practice (which term shall mean generally accepted good clinical practices including those set out in the current version of the Declaration of Helsinki and the International Conference on Harmonization Guidelines for Good Clinical Practice in force from time to time and FDA's most recent guidance and regulations concerning current Good Clinical Practice), (ii) the provisions of this Agreement (including each applicable Study Order and Protocol), and (iii) all written instruction from LBIO, as well as MD Anderson's internal policies and procedures to the extent they do not conflict with the foregoing subsections (i) and (ii).

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  (b) LBIO is a United States corporation subject to the provisions of the Foreign Corrupt Practices Act (the FCPA). Under the FCPA it is unlawful to pay or to offer to pay anything of value, directly or indirectly, to foreign government officials, government employees, political candidates, or political parties, or to persons or entities who will offer or give such payments to any of the foregoing, in order to obtain or retain business or to secure an improper commercial advantage for LBIO. MD Anderson shall not, and MD Anderson shall ensure that its Representatives do not, take or permit any action, including paying or transferring anything of value, directly or indirectly, to any official or other person to influence any decision to obtain or retain business or gain an advantage in the conduct of business, or to induce such official or other person to perform a function in violation of any Laws, that will either constitute a violation under, or cause LBIO to be in violation of, the provisions of the FCPA or applicable local bribery and corruption Laws.   (c) MD Anderson shall register each Study that is a clinical study with the relevant governmental authorities and government websites (including http://www.clinicaltrials.gov) and make all updates as required under the Laws, and shall identify LBIO as a financial collaborator (e.g., a Collaborator for the purposes of www.clinicaltrials.gov) in such registrations.   (d) To the extent required by Law, MD Anderson and Principal Investigator shall be responsible for ensuring that the Research and all applicable documents, including any Protocol and informed consent and authorization forms are properly approved by applicable regulatory authorities and an Institutional Review Board (IRB). As may be required by Law, and with respect to any given applicable Study hereunder, MD Anderson and Principal Investigator shall further be responsible for making all reports and obtaining the continuing approval from the applicable IRB. Prior to making any submission to an IRB with respect to any given applicable Study hereunder (including a Protocol, and information to be provided to potential Study subjects including the informed consent and HIPAA authorization, and as applicable, the Case Report Forms (CRFs) or supporting source documentation), MD Anderson shall provide the proposed submission to LBIO for LBIO's review and approval. MD Anderson shall promptly further provide LBIO with documentation of the IRB's initial and continuing review and approval with respect to any given applicable Study hereunder, as well as any other communications and/or interactions with the IRB (summaries in the case of oral interactions and/or communications) that is related to or which may impact the Research, prior to the commencement of the Research and promptly thereafter. In the event MD Anderson's IRB requires changes in any Protocol, informed consent or related forms for a Study after the Effective Date of the applicable Study Order, LBIO shall be advised in advance and all such modifications must be approved in advance and in writing by the JSC under this Agreement. MD Anderson and Principal Investigator shall not modify a Study described in a Protocol without the prior written approval of the JSC.

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  (e) MD Anderson and/or Principal Investigator shall be responsible for reporting and tracking of all adverse events with respect to a Study (AEs) in compliance with all Laws and each applicable Protocol and Principal Investigator shall be responsible for updating all AEs, including any expedited safety reports. MD Anderson and LBIO will share information with each other of any findings that may impact the safety of a Study Drug including as Study Drug safety may adversely affect the health and safety of any Study subject, influence the conduct of a Study, alter an IRB's approval to continue a Study, or affect the willingness of a Study subject to continue participation in the Study. Principal Investigator and MD Anderson shall notify LBIO within twenty-four (24) hours after learning of any serious AE and any special situation report (both as defined in the applicable Protocol) incurred during or as the result of the Study, and provide a written confirmation report of such individual serious adverse event and special situation report promptly thereafter, as well as a monthly listing of all such serious adverse events and special situation reports, by electronic mail to: lionbiosafety@lionbio.com. LBIO shall have the ability to request additional information related to any such safety finding, serious AE or special situation report, if applicable, thereafter. Additionally, MD Anderson and/or Principal Investigator will promptly provide LBIO with all information in their possession or control as may be needed to assist LBIO in the identification and resolution of problems or unexpected occurrences involving the Study Drug or its use in the Study.   2.4 Facilities. MD Anderson shall cause its Representatives to perform the Research only at the facility(ies) identified in the applicable Study Order (the Facility(ies)). MD Anderson may not utilize any facility, other than the Facility(ies), for performing any portion of the Research without obtaining LBIO's prior written consent to do so. MD Anderson shall maintain, or cause to be maintained, the Facility(ies), all personal property, equipment, machinery, excipients, materials, systems, intangibles, intellectual property and contract rights in use at the Facility(ies) free of defects, except for defects attributable to wear and tear consistent with the age and usage of such assets, and except for such defects as do not and will not, in the aggregate, materially impair the ability to use such assets in connection with the Research.   2.5 No Inducement. MD Anderson agrees that LBIO's support of the Research is not conditioned on the value or volume of business generated between the Parties and is not being provided or received as a reward or in exchange for recommending, prescribing, dispensing, purchasing, supplying, selling, administering, referring, arranging for, or ordering any product that is manufactured, sold, or distributed by LBIO, or to induce recommending, prescribing, dispensing, purchasing, supplying, selling, administering, referring, arranging for, or ordering any product that is manufactured, sold, or distributed by LBIO in the future.

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  3. Materials.   3.1 Study Materials and Equipment. Unless otherwise provided by this Agreement (including as expressly set forth in a Study Order), Principal Investigator shall conduct the Research with MD Anderson's materials and equipment. MD Anderson shall be responsible for the acquisition, purchasing, replacement, repair, maintenance, and calibration, to the extent applicable, of all materials and equipment, unless otherwise provided by this Agreement (including as expressly set forth in a Study Order), necessary for MD Anderson to conduct the Research. LBIO shall have no role, responsibilities, and or liability with regard to any materials and equipment necessary for MD Anderson and Principal Investigator to conduct the Research, except as provided in this Agreement (including as expressly set forth in a Study Order).   3.2 Informed Consent. MD Anderson shall ensure that all patients from whom Patient Materials (as defined below) were obtained, provided their informed consent and authorization for MD Anderson's and Principal Investigator's transfer of the applicable Patient Materials, data, and information to LBIO as called for in any applicable Study Order, LBIO's use of Patient Materials, data, and information, and LBIO's further transfer of the Patient Materials, data, and information to governmental or regulatory authorities and other third parties, as applicable. Upon LBIO's request, MD Anderson shall provide LBIO with copies of the patient informed consent and authorization forms for LBIO to confirm the provisions of this Section 3.2.   3.3 LBIO Materials.   (a) Material shall mean the tangible materials, Patient Materials (as defined below) and equipment described in an exhibit to a given Study Order (such exhibit, if provided, the Materials Exhibit). The Parties will amend a given Materials Exhibit from time to time as additional Materials are provided by or to LBIO in connection with a given Study Order. The Parties shall provide, or cause to be provided, Materials, and rights with respect to associated intellectual property, to each other in the quantities described in the applicable Study Order (or if no such quantities are described, in reasonable quantities) and at the times set forth in the applicable Study Order (or if no such times are set forth, as soon as reasonably practicable and necessary after the effective date of the applicable Study Order). All Materials supplied to MD Anderson by or on behalf of LBIO shall, as between LBIO and MD Anderson, remain the exclusive property of LBIO.   (b) THE MATERIALS PROVIDED TO INSTITUTION BY LBIO ARE PROVIDED BY LBIO ON AN AS IS BASIS. LBIO HEREBY DISCLAIMS ANY WARRANTIES, EXPRESS OR IMPLIED, CONCERNING THE MATERIALS, INCLUDING ANY WARRANTIES OF TITLE, INFRINGEMENT, MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. NO OFFICER, EMPLOYEE, AGENT OR REPRESENTATIVE OF LBIO HAS ANY AUTHORITY TO BIND LBIO TO ANY AFFIRMATION, REPRESENTATION OR WARRANTY CONCERNING THE MATERIALS, EXCEPT AS SET EXPRESSLY FORTH HEREIN. THE MATERIALS PROVIDED TO LBIO BY INSTITUTION ARE PROVIDED BY INSTITUTION ON AN AS IS BASIS. INSTITUTION HEREBY DISCLAIMS ANY WARRANTIES, EXPRESS OR IMPLIED, CONCERNING THE MATERIALS, INCLUDING ANY WARRANTIES OF TITLE, INFRINGEMENT, MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. NO OFFICER, EMPLOYEE, AGENT OR REPRESENTATIVE OF INSTITUTION HAS ANY AUTHORITY TO BIND INSTITUTION TO ANY AFFIRMATION, REPRESENTATION OR WARRANTY CONCERNING THE MATERIALS, EXCEPT AS SET EXPRESSLY FORTH HEREIN.

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  (c) The Materials provided by or on behalf of LBIO shall only be used as necessary to conduct the Research, in accordance with the Research Plan, this Agreement, all written instructions from LBIO and all Laws and not for any other uses or activities whatsoever, including in connection with research for any third person or entity. MD Anderson shall maintain control over Materials received by it from or on behalf of LBIO hereunder and shall not transfer any portion of such Materials to any third party for any purpose other than the purposes of performing its obligations under, and in accordance with, this Agreement, the Research Plan, all written instructions from LBIO and all Laws. MD Anderson shall maintain complete and accurate records relating to the disposition of all Materials provided by or on behalf of LBIO. MD Anderson shall return to LBIO all unused supplies of Materials provided by or on behalf of LBIO in accordance with Section 8.4 or at LBIO's earlier request. MD Anderson shall have no right to provide samples of the Materials provided by or on behalf of LBIO (or products created thereby) to any person or entity.   3.4 Patient Materials. Patient Materials shall mean those certain biological materials, and derivatives thereof and related patient data and information, received from individual patients and described in an applicable Materials Exhibit. Without limiting Section 3.3, MD Anderson shall further handle, transport, use and store Patient Materials exclusively at the Facility(ies) or otherwise in accordance with this Agreement, unless otherwise requested by LBIO in writing, and at all times strictly in accordance with (a) MD Anderson's standards of security and confidentiality and (b) all applicable privacy, security and data protection Laws (including the United States Health Insurance Portability and Accountability Act of 1996, as amended by the HITECH Act, including the Standards for Privacy of Individually Identifiable Health Information, and the EU Data Protection Directive).

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  4. Certain Financial Matters.   4.1 Initial Funding. LBIO agrees to commit funding in an amount not to exceed $14,211,864.00 for the performance of the Studies during the Term (collectively, Initial Funding), with the Initial Funding specifically allocated as follows: (a) $[* * *] for an upfront payment, and a minimum of $[* * *] for enrollment and treatment of a minimum of 40 patients in the Study described in Exhibit I (i.e., the Minimum Enrollment Target as defined in Exhibit 1) or up to $[* * *] (an Individual Study Budget) for enrollment and treatment of up to 60 patients in the Study described in Exhibit I (i.e., the Maximum Enrollment Target as defined in Exhibit 1); (b) $[* * *] (which shall also be considered an Individual Study Budget) for enrollment, manufacturing of product, and treatment of 30 patients in the Study described in Exhibit II; and (c) $[* * *] for the Study described in Exhibit III. LBIO shall pay the Initial Funding in accordance with Section 4.3. For clarity, the Initial Funding is Collaboration Funding. MD Anderson agrees that all costs of this Collaboration, with the sole exceptions of any costs to supply clinical-grade aldesleukin and 4-1BB agonist for use in the expansion of tumor infiltrating lymphocytes (TILs), and in the case of aldesleukin, for use in the treatment of patients, are included in the Initial Funding. Subject to the foregoing exceptions, MD Anderson shall be solely responsible for any costs it incurs in performing the Studies that are in excess of the Initial Funding.   4.2 Collaboration Funding Generally. MD Anderson shall use the Collaboration Funding solely to conduct the applicable Study and MD Anderson shall be responsible for managing cash flow between payments. It is understood and agreed that the Collaboration Funding shall cover all administrative, IRB review, patient recruitment, and all other fees, costs and expenses of MD Anderson and any of its Representatives for the conduct of the Studies or the provision of equipment or services to facilitate the Studies, and that no other form of compensation shall be paid to MD Anderson in connection with the Studies except as otherwise may be specifically and mutually agreed upon by the Parties in writing.   4.3 Payments. LBIO shall pay the Initial Funding to MD Anderson as follows. An upfront payment of $[* * *] (the Upfront Payment) shall be invoiced by MDACC on the Effective Date. The remainder of the Initial Funding shall be paid as follows:   (a) In the event that the Study Order covers the performance of a clinical trial, funding shall be invoiced based on Study patient enrollment as follows, based on the Maximum Enrollment Target as defined in each Study Order:

Milestone (on Study Order-by-Study Order basis)

 Payment (% of the Individual Study  Budget) to be provided in  connection with such Study Order* Enrollment of [* * *]% of the target patient enrollment as set forth in the applicable Protocol  [* * *]%

Enrollment of [* * *]% of the target patient enrollment as set forth in the applicable Protocol  [* * *]%

Enrollment of [* * *]% of the target patient enrollment as set forth in the applicable Protocol  [* * *]%

Enrollment of final patient as set forth in the applicable Protocol  [* * *]% Receipt by LBIO of both (a) the final clinical study report and (b) all raw clinical data (anonymized and without including any identifying information)

 [* * *]%

  *With respect to Exhibit 1, the Individual Study Budget shall be the one associated with the Minimum Enrollment Target (as defined in Exhibit 1), and in the event that the Parties move to the Maximum Enrollment Target (as defined in Exhibit 1) then this table shall be applied to the incremental additional patients as if the incremental additional patients constitute their own protocol/budget. For example, if LBIO decides to add ten (10) additional patients to the clinical study in Exhibit 1, each patient will be accrued at $[* * *] per patient, and LBIO will be invoiced for percentage enrollment of these ten (10) patients based on the table above.

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  (b) In the event that the Study Order covers activities other than the performance of a clinical trial, a payment schedule will be set forth in the relevant Study Order.   (c) Notwithstanding the foregoing, LBIO may suspend payment if, in LBIO's reasonable opinion after review of the Reports (as defined below), MD Anderson has not been performing the Research diligently and in the manner agreed upon herein.   (d) Upon the occurrence of one of the milestones identified in the table in Section 4.3(a), or described in an applicable Study Order for a non-clinical Study according to Section 4.3(b), MD Anderson shall invoice LBIO for the related payment amount. In each case, invoices shall be itemized, including by reference to Study Order title, and otherwise shall include such supporting documentation as LBIO may reasonably request. LBIO shall pay all undisputed invoices within thirty (30) days of receipt of such invoice.   (e) If the Study described in Exhibit II is not commenced, the portion of the Upfront Payment that would have been applied to that Study ($[* * *]) will be credited by MD Anderson towards the Studies described in Exhibit I and Exhibit III.   (f) All terms and payments of compensation, benefits, and any other conditions of engagement, including payment of taxes, for any person working with Principal Investigator and any other support staff who may be used in the performance of a Study (including any Sub- Investigator) shall be solely a matter between MD Anderson and such individuals. Principal Investigator and any MD Anderson personnel shall not be deemed to be employees of LBIO or entitled to any benefits offered by LBIO to LBIO's employees.   5. Records and Reports.   5.1 Records. MD Anderson shall, and shall cause its Representatives to, keep appropriate records of the Research, including laboratory notebooks, in accordance with MD Anderson policies and all Laws, sufficient to properly document the results of the Research and otherwise sufficient to determine identity and dates of inventorship of Inventions (as defined in Section 7.1(a)). MD Anderson shall make such records available to LBIO upon reasonable notice during MD Anderson's normal business hours. LBIO may use the records and Reports (as defined below) for any purpose, including interactions and communications with, and/or submissions and filings to the applicable governmental or regulatory authorities.

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  5.2 Reports. MD Anderson, through the Principal Investigator, shall provide to LBIO (a) interim written reports regarding the Research, no less than once per calendar quarter, and (b) on Study-by-Study basis, (i) a draft final written Study report within thirty (30) days after completion (or earlier termination) of each such Study and (ii) a final written Study report within thirty (30) days after receipt of LBIO's comments to the draft final written Study report with respect to each such Study, which shall be given by LBIO not later than thirty (30) days after LBIO's receipt of the draft final Study report (collectively, the Reports); provided, that, if this schedule of reports differs from the reporting obligations provided in a Study Order, the schedule listed in the Study Order shall be followed. LBIO shall own all Reports and data compilations resulting from the Research, excluding the physical original lab notebooks themselves (but not excluding the data and data compilations contained therein, which shall be deemed to be owned by LBIO) and any patient medical records.   5.3 Electronic Transfer. In addition to MD Anderson's reporting obligations under Section 5.2, no less than once per calendar quarter, MD Anderson shall provide to LBIO an electronic transfer of all data and results (including all raw data and process data) generated through the performance of the Research.   5.4 Other Notifications. During the performance of the Research, MD Anderson shall notify LBIO promptly if the Research reveals any unexpected result or any accident or harm occurs, and shall also comply with any safety notifications required under each Study Order.

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  6. Confidentiality and Publications.   6.1 Confidential Information.   (a) Confidential Information means any proprietary or confidential information, technical data, trade secrets or know-how, including research, product plans, products, services, customer lists and customers, markets, software, developments, inventions, processes, formulas, technology, designs, drawings, engineering, marketing, distribution and sales methods and systems, sales and profit figures, finances and other business information disclosed by a Party or its Representatives (Disclosing Party) to the other Party or its Representatives (Receiving Party), whether in writing, orally or by drawings or inspection of documents or other tangible property; provided that: (i) Confidential Information shall not include any of the foregoing items to the extent that (1) they are or have become publicly known and made generally available through no wrongful act of Receiving Party, (2) they were known to Receiving Party prior to disclosure by Disclosing Party, as evidenced by pre-existing written records promptly provided to Disclosing Party by Receiving Party, (3) they were disclosed to Receiving Party without an obligation of confidentiality by a third party having a lawful right to make such disclosure, or (4) they were developed by Receiving Party without use or aid of Disclosing Party's Confidential Information, and (ii) the results of the Research (including the contents of each Report and any Inventions) shall be deemed to be LBIO's Confidential Information, subject to MD Anderson's right to publish any Research data and information as set forth in and in accordance with Section 6.4, MD Anderson's right to use any Inventions (and any Work) as set forth in and in accordance with Section 7.2, and MD Anderson's right to use any Research data and information for internal research, academic, and non-commercial patient care purposes prior to publication or public disclosure and for any purpose thereafter. LBIO shall be deemed the Disclosing Party with respect to such results of the Research, regardless of the Party initially disclosing the same.     (b) Receiving Party shall take reasonable steps to ensure that Disclosing Party's Confidential Information (as defined in Section 6.1(a)) is maintained in confidence, used only for the purpose of exercising rights and performing obligations under this Agreement, and disclosed only to persons and/or entities authorized under this Agreement. As used herein, reasonable steps means the steps that Receiving Party takes to protect its own, similar confidential and proprietary information, which shall not be less than a reasonable standard of care. Receiving Party further agrees not to reveal, publish or otherwise disclose Disclosing Party's Confidential Information to any third party without the prior written consent of Disclosing Party as described in Section 6.4 below, however, Receiving Party is permitted to disclose Confidential Information obtained under the terms of this Agreement to its Representatives on a need-to-know basis related to the exercise of rights and performance of its obligations under this Agreement and only if such Representatives are informed by Receiving Party of the confidential nature of such information and are bound by confidentiality obligations consistent with those set forth in this Section 6.1. Receiving Party shall ensure that its Representatives having a need- to-know Disclosing Party's Confidential Information observe these obligations of confidentiality. These obligations of confidentiality and nondisclosure shall remain in effect after the termination or expiration of this Agreement for a period of five (5) years.

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  (c) Neither Party shall improperly use or disclose to the other Party or any of its directors, officers, employees or agents, any confidential information of any current or former client or other person or entity with whom such Party has an agreement or duty to keep such information confidential, and such Party shall not bring onto the premises of the other Party any such information in any medium unless consented to in writing by such client, person or entity. In the event of a Party's breach of this Section 6.1(c), the breaching Party shall ensure that the other Party may freely and fully utilize the information so disclosed for any and all purposes.   6.2 Required Disclosure of Confidential Information.   (a) If Receiving Party is required by Law or court order to disclose Disclosing Party's Confidential Information, Receiving Party shall give Disclosing Party prompt written notice of such requirement such that Disclosing Party shall have the opportunity to apply for a protective order, injunction or for confidential treatment of such Confidential Information. Receiving Party shall cooperate with Disclosing Party in seeking any Disclosing Party requested protective order, injunction or confidential treatment of such Confidential Information and shall only disclose the minimal amount of such Confidential Information required under Law or court order. Notwithstanding the forgoing, any information disclosed by Receiving Party pursuant to Law or a court order shall remain Confidential Information hereunder, and may not be disclosed under any other circumstances unless and until the Confidential Information so disclosed falls into one of the exceptions set forth in subclauses (1) through (4), inclusive, in Section 6.1(a).   (b) If Principal Investigator is a member of or affiliated with any committee that sets formularies or develops clinical practice guidelines that could influence the prescribing of medicines or is otherwise affiliated with any other healthcare institution, medical committee, or other medical or scientific organization, Principal Investigator will inform the committee of the existence and nature of Principal Investigator's relationship with LBIO under this Agreement. Principal Investigator also agrees to disclose Principal Investigator's relationship with LBIO as needed to comply with any disclosure requirements of any healthcare institution, medical or formulary committee, or other medical or scientific organization with which Principal Investigator is affiliated and agrees to comply with any such entities' recusal or other requirements relating to the relationship with LBIO. This duty to disclose will continue during the term of this Agreement and for two years after its termination   6.3 LBIO Mandatory Disclosures. MD Anderson and Principal Investigator recognize that LBIO may be required under Law, including the Physician Payment Sunshine Act, to report to the relevant governmental or regulatory authorities or publicly disclose information related to this Agreement and/or the Research, including any payments, reimbursements, or other transfers of value made to MD Anderson or Principal Investigator. Nothing herein shall prevent LBIO from making any reports or disclosures required under Law or by a relevant governmental or regulatory authority. Moreover, nothing herein shall prevent LBIO from disclosing any information relating to this Agreement and/or the Research for the purpose of making any regulatory or other submissions, patent applications and pursuing patent prosecution.

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  6.4 Publications. MD Anderson agrees to provide LBIO with a copy of any manuscript, abstract or other proposed publication or presentation relating to the Research or the Materials (a Publication), prior to submission thereof to a publisher or to any third party, and in any case, not less than 45 days prior to any public disclosure, for the purpose of protecting proprietary or intellectual property of LBIO that might be contained in such Publication. Following receipt of such proposed Publication, LBIO shall have the right to cause MD Anderson to (i) withhold publication or other public disclosure thereof for a period of up to 90 days in order to provide LBIO time to obtain appropriate intellectual property protection thereof, and (ii) remove any proprietary, or otherwise confidential, information of LBIO contained in such Publication (excluding Research results). In any event, MD Anderson will not disclose proprietary, or otherwise confidential, information in an unblinded manner when it can be done so in a blinded manner. In the event of any Publication (including any public presentation relating to the Research or the Materials), MD Anderson agrees to acknowledge LBIO and/or give credit to LBIO scientists, as scientifically appropriate, based on any contribution they may have made to the work which shall be in accordance with any relevant policies and guidelines of the publication, presentation forum, as well as policies and guidelines of general applicability, such as the International Committee of Medical Journal Editors recommendations. In addition, to the extent that it is legally able to do so, MD Anderson hereby grants LBIO a royalty-free right and license to use and reproduce any Publication. LBIO shall be acknowledged as a financial collaborator of the Study reported in a Publication.   6.5 Unauthorized Disclosure. Receiving Party shall be responsible for any breach of this Section 6 by any of its Representatives. Receiving Party shall take reasonable steps to ensure that unauthorized persons do not gain access to Disclosing Party's Confidential Information. Receiving Party shall promptly notify Disclosing Party of any unauthorized release of or access to Disclosing Party's Confidential Information. For clarity, such notice shall not remedy any breach of this Agreement resulting from such unauthorized release or access.   6.6 Prior CDA. This Agreement supersedes that certain Confidentiality Agreement between LBIO and MD Anderson, dated July 22, 2016 (Prior CDA), which is hereby terminated; provided, however, that all information disclosed or received by the Parties under the Prior CDA will be deemed Confidential Information hereunder (to the extent applicable) and will be subject to the terms and conditions of this Agreement. The Parties agree that this Agreement provides the written notice required for termination of the Prior CDA pursuant to Section 6.8 of the Prior CDA.   6.7 Publicity. LBIO shall be permitted to publicly disclose the existence of this Agreement, and the title and purpose of each clinical Study, in LBIO's electronic materials, printed materials, oral presentations, and press releases, and LBIO shall be permitted to include each clinical Study as a component of LBIO's clinical product pipeline.   6.8 Health Information. Notwithstanding anything to the contrary in this Agreement or any Study Order, all individually identifiable health information shall be treated as confidential by the Parties in accordance with all Laws governing the confidentiality and privacy of individually identifiable health information, including HIPAA, and any regulations and official guidelines promulgated thereunder, and the Parties agree to take such additional steps and/or to negotiate such amendments to this Agreement as may be required to ensure that the Parties are and remain in compliance with the HIPAA regulations and official guidance.

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  7. Inventions.   7.1 Background Intellectual Property and Definitions.   (a) Neither Party will, as a result of this Agreement, acquire any right, title or interest in, to, or under any Intellectual Property (as defined below) owned or controlled by the other Party or the other Party's affiliates prior to the Effective Date or developed independently of this Agreement (Background Intellectual Property), except for the licenses expressly granted under this Agreement.   (b) Invention means any idea, invention or discovery, whether or not patented or patentable, that is first conceived, discovered, developed or reduced to practice by a Party in connection with this Agreement, including through MD Anderson's performance of the Research (solely or jointly with others) or that result, to any extent, from use of Confidential Information or the Study article that is the subject of a given Study, including any developments, discoveries, improvements, compositions, know-how, trade secrets, procedures, technical information, data, reports, processes, methods, devices, formulae, protocols, techniques, designs, drawings, methodologies, and biological or chemical material.   (c) Intellectual Property Rights means any and all moral rights and intellectual property rights, including all patent rights, copyrights, trademarks, know-how and trade secrets and the rights to apply for the same.   (d) Fields means the treatment of platinum resistant ovarian cancer, chondrosarcoma, and pancreatic ductal adenocarcinoma, and, solely for the purposes of Section 7.3(b), double refractory melanoma, such treatment being performed using TILs manufactured by MD Anderson using a 4-1BB agonist; provided that Fields shall also include the treatment of other diseases in the event that the JSC decides to amend or replace the initially-agreed clinical Protocol for the Study Order provided in Exhibit II to include the treatment of such other diseases.   7.2 Assignment of Inventions; Further Assurances.   (a) MD Anderson shall promptly make full written disclosure to LBIO, shall hold in trust for the sole right and benefit of LBIO, and hereby assigns, transfers and conveys to LBIO, or its designee, all of MD Anderson's worldwide right, title and interest in and to any and all Inventions and all Intellectual Property Rights therein and relating thereto[, provided that MD Anderson shall retain the right to use any such Invention for internal research, academic, and patient care purposes]. MD Anderson further acknowledges and agrees that all original works of authorship that are made by MD Anderson (solely or jointly with others) in the performance of the Research, excluding any publication made in accordance with Section 6.4 (a Work) and that are protectable by copyright are works made for hire, as that term is defined in the United States Copyright Act. However, to the extent that any Work may not, by operation of any Laws, be a work made for hire, MD Anderson hereby assigns, transfers and conveys to LBIO all of MD Anderson's worldwide right, title and interest in and to such Work, including all Intellectual Property Rights therein and relating thereto, subject to MD Anderson's right to use such Work for internal research, academic, and non-commercial patient care purposes prior to publication or public disclosure.

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  (b) Upon the request and at the reasonable expense of LBIO, MD Anderson shall execute and deliver any and all instruments and documents and take such other acts as may be reasonably necessary to document or perfect the assignment and transfer described in Section 7.2(a) or to enable LBIO to secure its rights in the Inventions, Works and Intellectual Property Rights therein and relating thereto in any and all jurisdictions, or to apply for, prosecute and enforce Intellectual Property Rights in any and all jurisdictions with respect to any Inventions or Works, or to obtain any extension, validation, re-issue, continuance or renewal of any such Intellectual Property Right.   (c) As between the Parties, and without limiting MD Anderson's assistance obligations under Section 7.2(b), LBIO shall have the sole and exclusive right to file patents covering or claiming Inventions and shall bear all costs with respect to the prosecution and maintenance thereof. In furtherance of the foregoing, the Parties shall work together in good faith to, as expeditiously as possible following the Effective Date, put in place a power of attorney granted by the System to LBIO for purposes of enabling LBIO to apply for or to pursue any application for any United States or foreign patent, trademark, copyright or other registration covering Inventions or Works assigned to LBIO hereunder in the event that LBIO is unable to secure MD Anderson's assistance in connection with the same.   7.3 Background Licenses.   (a) MD Anderson hereby grants LBIO a non-exclusive, royalty free, perpetual license (with rights to sub-license) under, in and to all Background Intellectual Property that is: (a) owned by MD Anderson; (b) consists of and/or comprises the manufacturing protocol utilized by MD Anderson in the conduct of a Study; and (c) reasonably necessary to exploit (including developing, obtaining and maintaining regulatory approval for, manufacturing, or commercializing) any Invention, Study result, or Study article, or any improvement or derivative thereof, strictly limited to the Fields (collectively, the Non-Exclusively Licensed MD Anderson Background Intellectual Property), to the extent that such Non- Exclusively Licensed MD Anderson Background Intellectual Property does not include Third Party IP (as defined hereinafter).   (b) MD Anderson also grants LBIO a non-exclusive, royalty free, perpetual license (with rights to sub-license) under, in and to any and all data generated by MD Anderson in conducting studies of TILs in double refractory melanoma outside of the Collaboration and as of the Effective Date, and LBIO shall have unrestricted rights to use such double refractory melanoma data in governmental and regulatory submissions, including submissions that may become public.   7.4 Third Party Intellectual Property. To the extent that MD Anderson controls any Background Intellectual Property that it will use in conducting a Study or manufacturing any Study article through a license agreement with a third party (Third Party IP), MD Anderson shall notify LBIO thereof as soon as any such Third Party IP is identified. MD Anderson shall not use any Third Party IP in performing activities under this Agreement or otherwise in connection with a Study unless and until the JSC approves the use thereof. In addition, MD Anderson shall provide such assistance as is reasonably requested by LBIO in connection with LBIO obtaining a license in and to any such Third Party IP.

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  7.5 No Implied Licenses; Retained Rights. Except as explicitly set forth in this Agreement, neither Party grants any license, express or implied, under its intellectual property rights to the other Party, whether by implication, estoppel or otherwise, and each Party hereby agrees that it does not have rights under any intellectual property of the other Party that are broader than the licenses expressly granted herein.   7.6 Effectiveness. The provisions of Section 7 shall become effective upon payment by LBIO of the Upfront Payment and the approval by LBIO of the Study Orders in Exhibit I and Exhibit III. For clarity, the commencement of work, or the lack thereof, under the Study Order in Exhibit II shall have no effect upon the effectiveness of the provisions of Section 7.   8. Term and Termination.   8.1 Term. The term of this Agreement commences on the Effective Date and shall continue in effect until the later of (a) the fourth (4th) anniversary of the Effective Date, or (b) the completion or termination of the Research and receipt by LBIO of all deliverables due from MD Anderson hereunder, unless sooner terminated in accordance with the provisions of Section 2.2 or Section 9.14.   8.2 Termination. Either Party may terminate this Agreement for the material breach or default of any of the terms or conditions of this Agreement by the other Party upon thirty (30) days' written notice and the opportunity to cure during such notice period; and such termination shall be in addition to any other remedies that it may have at law or in equity. Additionally, LBIO may terminate this Agreement if MD Anderson is declared insolvent or enters into liquidation or has a receiver or an administrator appointed over all or any part of its assets or ceases or threatens to cease to carry on business, or a resolution is passed or a petition presented to any court for the winding up of the Party or for the granting of an administration order in respect of MD Anderson, or any proceedings are commenced relating to the insolvency or possible insolvency of MD Anderson.   8.3 Termination of a Study Order. LBIO may terminate a Study Order immediately upon written notice to MD Anderson if:   (i) the applicable approvals, authorizations, and/or continuing reviews for a Study are not obtained or maintained;   (ii) Principal Investigator is no longer available for the Study and a replacement deemed acceptable by LBIO is not provided;   (iii) the Study is canceled, terminated, suspended, delayed or placed on hold for any reason;   (iv) an Institutional Review Board or other review authority, including governmental or regulatory authorities, does not approve a Study or recommends the cancelation, termination, suspension, or hold of a Study for any reason;   (v) immediate termination of the Study is necessary due to LBIO's evaluation of risks to Study subjects, such risks including the futility of treatment; or

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  (vi) MD Anderson or Principal Investigator materially breaches any obligations with respect to the Study, including failure to comply with this Agreement, the Protocol or the Study Order or any Law relevant to the Study.   8.4 Obligations upon Termination. Upon expiration or termination of this Agreement, in addition to its other obligations hereunder, including Section 5.2, MD Anderson shall return to LBIO all of its Confidential Information and all Materials or, at LBIO's option, destroy or completely delete such Confidential Information and Materials, at LBIO's option. With respect to each item of Confidential Information and Materials destroyed or completely deleted, such destruction or complete deletion shall be certified in writing to LBIO. In the event that this Agreement is terminated prior to MD Anderson's receipt of all internal approvals to commence work on the Study Orders in Exhibit I, Exhibit II and/or Exhibit III, MD Anderson shall refund the Upfront Payment to LBIO.   8.5 Effects of Termination. Termination of this Agreement by either Party shall not affect the rights and obligations of the Parties accrued prior to the effective date of termination. No termination of this Agreement, however effectuated, shall release the Parties, the Principal Investigator, or any other Representative of MD Anderson having access to Confidential Information from their respective rights and obligations under Sections 6, 7, and 9.   9. Miscellaneous.   9.1 Mutual Representations. Each Party hereto hereby represents, warrants and covenants to the other that: (a) it is duly incorporated or otherwise formed, validly existing and in good standing; (b) it has taken all necessary actions on its part to authorize the execution, delivery and performance of the obligations undertaken in this Agreement, and no other corporate or regulatory actions (e.g., obtaining permits, licenses or authorizations) are necessary with respect thereto; (c) it is not a party to, and will not become a party to, any agreement or understanding and knows of no law or regulation that would prohibit it from entering into and performing this Agreement, or that would conflict with this Agreement; and (d) when executed and delivered by it, this Agreement will constitute a legal, valid and binding obligation of it, enforceable against it in accordance with this Agreement's terms.   9.2 MD Anderson Representations. MD Anderson represents, warrants, and, to the extent applicable, covenants, that:   (a) MD Anderson and all of its Representatives maintain as current the applicable licenses and permits, including medical practitioner licenses as required by the applicable national, state, and/or local licensing body and that no license or permit has been revoked, limited, suspended, or otherwise modified.   (b) Neither MD Anderson nor any of its Representatives have (i) violated or caused a violation of any federal or state health care fraud and abuse or false claims statute or regulation, including the anti-kickback provisions of the Social Security Act, 42 U.S.C. § 1320a-7b(b), (ii) violated or caused a violation of any federal or state privacy or security law or regulation, including HIPAA, (iii) not been excluded or threatened with exclusion under state or federal statutes or regulations, including under 42 U.S.C. § 1320a-7 or relevant regulations in 42 C.F.R. Part 1001, or (iv) not been assessed or threatened with assessment of civil money penalties pursuant to 42 C.F.R. Part 1003, or any foreign equivalent.

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  (c) Neither MD Anderson nor any of its Representatives have been charged, named in an action, found liable, or convicted for conduct relating to the development or approval of, or otherwise related to the regulation of any healthcare product or the practice of medicine.   (d) Neither MD Anderson nor any of its Representatives (i) have been found by the FDA or any other relevant governmental or regulatory authority to have violated any Laws, regulations or guidelines concerning the conduct of clinical investigations or related services; (ii) have been debarred, denied, or suspended by the FDA under 21 U.S.C. § 335a, disqualified or restricted by the FDA, named on any FDA list related to investigator disqualifications, restrictions, restrictions removed, or adequate assurances, or are otherwise ineligible to participate in federal procurement or non-procurement programs or any foreign equivalents of the above; and (iii) have any unresolved FDA warning letter, Form 483, or other regulatory enforcement action threatened against or issued to them;   (e) MD Anderson and its Representatives will not make and have not made any untrue statement of material fact to or filed a false claim or report with any governmental or regulatory authority, or failed to disclose a material fact required to be disclosed to any governmental or regulatory authority, or have ever been investigated by the FDA, National Institutes of Health (NIH), Office of the Inspector General for the Department of Health and Human Services (OIG), Department of Justice or other comparable governmental or regulatory authority for data or healthcare program fraud.   (f) There is no investigation, threat, pending, or proposed proceeding, notice, or action by a governmental or regulatory entity which could result in 9.2(a)-9.2(e) above.   (g) MD Anderson has no knowledge of any facts or circumstances that may affect the accuracy or completeness of any the foregoing representations and warranties. MD Anderson is responsible for (i) requiring all of its Representatives to disclose the occurrence of 9.2(a)-9.2(f) above and (ii) reviewing on reasonable intervals all available public filings and lists to confirm that it and its Representatives are not subject to 9.2(a)-9.2(f) above. If MD Anderson becomes aware of any such facts or circumstances during the Term or otherwise determines that any representation or warranty made by it under this Agreement is no longer true, correct, or complete, MD Anderson will notify LBIO immediately, but in no case later than twenty-four (24) hours after MD Anderson becomes aware of such facts, circumstances, or determination. MD Anderson shall immediately remove any of its Representatives from performing activities relating to the Research to which the facts, circumstances, or determination relate. Any such facts, circumstances, or determinations shall be grounds for termination of this Agreement.   (h) Each of MD Anderson's Representatives is under a written obligation to assign to MD Anderson all Inventions and any Intellectual Property Rights therein or relating thereto made by such Representative in the course of his or her employment.   (i) Neither the United States government nor any agency thereof nor any other third party has funded or will fund any part of the Research.

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  (j) MD Anderson's applicable database applications and electronic records systems and facilities which are used in the performance of the Research, including the database to be used by MD Anderson and Principal Investigator for the tracking, handling, recording, reporting and transmitting of data generated during a Study, have been fully validated and are compliant with all Laws.   (k) MD Anderson is not entering into this Agreement (i) as a result of any pre-existing or future business relationships between MD Anderson and/or Principal Investigator and LBIO, (ii) as a result of any business or other decisions MD Anderson and/or Principal Investigator have made or may make in the future relating to LBIO or LBIO products, or (iii) as a reward or in exchange for MD Anderson or Principal Investigator prescribing or purchasing LBIO products or to induce the prescription or purchase of LBIO products by MD Anderson or Principal Investigator.   9.3 Warranty of cGMP. LBIO represents and warrants that any Study Drug (as defined in an applicable Study Order) manufactured by and provided by it for any Study hereunder has been and will be manufactured in accordance with current Good Manufacturing Practice regulations.   9.4 Independent Status. MD Anderson shall not be considered a partner, co-venturer, agent, employee, or representative of LBIO by reason of this Agreement, but shall remain in all respects an independent contractor, and neither Party shall have any right or authority to make or undertake any promise, warranty or representation, to execute any contract or otherwise to assume any obligation in the name of or on behalf of the other Party. MD Anderson's employees, including the Principal Investigator and the other Representatives of MD Anderson, are not and shall not be deemed to be employees of LBIO, and MD Anderson shall indemnify and hold harmless LBIO from all liabilities arising from any allegation or determination to the contrary.   9.5 Notices. All notices and other communications required or permitted hereunder shall be in writing and deemed to have been given when hand delivered, or mailed by registered or certified mail or overnight courier with tracking capabilities, as follows or as a Party may otherwise notify to the other in accordance with this Section 9.5 (provided that such notice of change of address or recipient shall be deemed given only when received), with an electronic copy to an email address if specified below:   If to LBIO, to:  If to MD Anderson: Lion Biotechnologies, Inc.  The University of Texas   M.D. Anderson Cancer Center 999 Skyway Road, Suite 150  1515 Holcombe Blvd. San Carlos, CA 94070  Houston, TX 77030 Attention: Legal Department  Attention: Chief Legal Officer With a copy to: legal@lionbio.com

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  9.6 Assignment; No Third Party Beneficiaries. LBIO may assign or transfer this Agreement without the prior written consent of but with written notice to MD Anderson promptly following consummation of the relevant transaction. MD Anderson hereby acknowledges and agrees that the rights and obligations hereunder are of a personal nature and, therefore, neither this Agreement nor any right or obligation contained within shall be assignable, transferable or delegable in whole or in part by MD Anderson and MD Anderson shall not, without the prior written consent of LBIO, sub-contract or otherwise engage any consultant or other third party to perform any of MD Anderson's activities or obligations under this Agreement or any Study Order. All of the terms and provisions of this Agreement shall be binding upon, and inure to the benefit of and be enforceable by, the respective successors and permitted assigns of the Parties. Nothing in this Agreement, express or implied, is intended to confer on any person or entity, other than the Parties or their respective successors and permitted assigns, any benefits, rights or remedies.   9.7 Governing Law, Jurisdiction. This Agreement shall be governed by and interpreted in accordance with the laws of the State of Texas, United States of America, without giving effect to any conflict of laws provisions. The Parties agree that any dispute or controversy arising out of or relating to any interpretation, construction, performance or breach of this Agreement may be brought in a United States District Court in Texas, or if such court does not accept jurisdiction or will not accept jurisdiction, in any court of general jurisdiction in the State of Texas.   9.8 Equitable Relief. MD Anderson agrees that it may be impossible or inadequate to measure and calculate LBIO's damages from any breach of MD Anderson's obligations under Section 6 and/or Section 7 of this Agreement, and that a breach of such obligations could cause serious and irreparable injury to LBIO. Accordingly, LBIO shall have available, in addition to any other right or remedy available to it, the right to seek an injunction from a court of competent jurisdiction restraining such a breach (or threatened breach) and to specific performance of any such Section. MD Anderson further agrees that no bond or other security shall be required in obtaining such equitable relief.   9.9 Entire Agreement, Amendment and Waiver. This Agreement contains the entire understandings of the Parties and supersedes all previous agreements (oral and written), negotiations and discussions with respect to the subject matter herein. The Parties may modify any of the provisions hereof only by an instrument in writing duly executed by the Parties. No waiver of any rights under this Agreement shall be effective unless in writing signed by the Party to be charged.   9.10 Severability. In the event of the invalidity of any provisions of this Agreement containing any gaps, the Parties agree that such invalidity or gap shall not affect the validity of the remaining provisions of this Agreement. The Parties will replace an invalid provision or fill any gaps with valid provisions, which most closely approximate the purpose and economic effect of the invalid provision or, in the case of a gap, the Parties' presumable intentions.   9.11 Further Assurances. Each Party shall, as and when reasonably requested by the other Party, do all acts and execute all documents as may be reasonably necessary to give effect to the provisions of this Agreement.   9.12 Interpretation. The headings in this Agreement are intended solely for convenience or reference and shall be given no effect in the construction or interpretation of this Agreement. This Agreement shall be construed as if both Parties drafted it jointly, and shall not be construed against either Party as principal drafter. The words include, includes and including (and words of similar meaning) shall be deemed to be followed by the phrase without limitation.

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  9.13 Counterparts. This Agreement may be executed in two (2) or more counterparts, including by PDF exchange, each of which shall be deemed to be an original as against any Party whose signature appears thereon, but all of which together shall constitute but one and the same instrument.   9.14 Texas State Agency. MD Anderson is an agency of the State of Texas and under the constitution and laws of the State of Texas possesses certain rights and privileges and only such authority as is granted to it under the constitution and laws of the State of Texas. Notwithstanding any provision hereof, nothing herein is intended to be, nor will it be construed to be, a waiver of the sovereign immunity of the State of Texas or a prospective waiver or restriction of any of the rights, remedies, claims, and privileges of the State of Texas. Moreover, notwithstanding the generality or specificity of any provision hereof, the provisions of this agreement as they pertain to MD Anderson are enforceable only to the extent authorized by the constitution and laws of the State of Texas.   9.15 DISCLAIMER OF SPECIAL DAMAGES. NEITHER LBIO NOR MD ANDERSON, NOR ANY OF THEIR AFFILIATES, NOR ANY OF THEIR RESPECTIVE DIRECTORS, OFFICERS, MEMBERS OR EMPLOYEES, SHALL HAVE ANY LIABILITY OF ANY TYPE, FOR ANY SPECIAL, PUNITIVE, INCIDENTAL, INDIRECT OR CONSEQUENTIAL DAMAGES, INCLUDING THE LOSS OF OPPORTUNITY, LOSS OF USE, OR LOSS OF REVENUE OR PROFIT, IN CONNECTION WITH OR ARISING OUT OF THIS AGREEMENT OR ANY STUDY ORDER; PROVIDED, THAT, THE FOREGOING DISCLAIMER SHALL NOT APPLY WITH RESPECT TO (1) A PARTY'S INDEMNIFICATION OBLIGATIONS, (2) A PARTY'S BREACH OF ITS OBLIGATIONS UNDER THIS AGREEMENT WITH RESPECT TO CONFIDENTIALITY AND NON-USE OR INTELLECTUAL PROPERTY-RELATED MATTERS OR (3) A PARTY'S GROSS NEGLIGENCE OR WILLFUL MISCONDUCT.   [Signature Page Follows]

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  IN WITNESS WHEREOF, the undersigned, intending to be legally bound, have duly executed this Agreement as of the Effective Date.   LION BIOTECHNOLOGIES, INC.  THE UNIVERSITY OF TEXAS M. D. ANDERSON CANCER CENTER     /s/ Maria Fardis  /s/ Chris McKee Authorized Signature  Authorized Signature     Name: Maria Fardis  Name: Chris McKee, M.H.A. Title: CEO & President  Title: VP, Business Operations Date: April 17, 2017  Date: April 12, 2017   This Agreement is to be executed in duplicate. Please return one fully executed copy to LBIO at the address for notices set forth above.

Answer: Highlight the parts (if any) of this contract related to Cap On Liability that should be reviewed by a lawyer. Details: Does the contract include a cap on liability upon the breach of a party’s obligation? This includes time limitation for the counterparty to bring claims or maximum amount for recovery.


Question: EXHIBIT 10.2

               TOUCHSTAR SOFTWARE CORPORATION RESELLER AGREEMENT                             DATED SEPTEMBER 14, 2005

                         TOUCHSTAR SOFTWARE CORPORATION

                               RESELLER AGREEMENT

         This Reseller Agreement is made and entered into as of this 14 day of SEPTEMBER, 200_ (the Effective Date), by and between TOUCHSTAR SOFTWARE CORPORATION, a Delaware corporation with its principal place of business at 3025 South Parker Road, Suite 925, Aurora, Colorado 80014, United States (TouchStar), and WORLDWIDE STRATEGIES, a NEVADA corporation, with its principal place of business at 3801-E FLORIDA AVE STE 400 DENVER, CO 80210 (Reseller).

                                    RECITALS

A. TouchStar produces and distributes the TouchStar Software and provides the related Support Services.

B. Reseller has represented to TouchStar that it possesses experience, knowledge, and skill in the calling service industry and has the capability to effectively market and distribute the TouchStar Software and Support Services in the Territory.

C. Reseller desires to market and distribute the TouchStar Software to Customers as a non-exclusive value added reseller in the Territory pursuant to the terms contained in this Agreement.

                                    AGREEMENT

         NOW, THEREFORE, in consideration of the foregoing and the mutual promises set forth in this Agreement, and intending legally to be bound hereby, the parties agree as follows:

1. DEFINITIONS.

         In addition to the terms defined elsewhere in this Agreement, the following terms shall have the meanings set forth below (such meanings to be equally applicable to the singular as well as the plural forms of the terms defined):

         AAA has the meaning ascribed to that term in Section 10.12(b) of this Agreement.

         AAA Rules has the meaning ascribed to that term in Section 10.12(b) of this Agreement.

         Affiliate as used in this Agreement with respect to an Entity, means any person controlling, controlled by or under common control with such Entity. For the purpose of this definition, control means the possession, directly or indirectly, of the power to direct or cause the direction of an Entity, whether through the ownership of voting securities or otherwise.

         Agreement means this Reseller Agreement and the Exhibits attached hereto as the same may be amended from time to time in accordance with the terms set forth herein.

Rev 3/05

         Ancillary Software has the meaning ascribed to that term in Section 4.13 of this Agreement.

         Annual Marketing Plan has the meaning ascribed to that term in Section 4.3 of this Agreement.

         Assessment has the meaning ascribed to that term in Section 6.2 of





this Agreement.

         Confidential Information means any and all trade secrets and other confidential information and know-how related directly or indirectly to TouchStar's business or its products, including inventions, materials, formulae, confidential research, technical information, technology, general know-how, patterns, specifications, systems data, equipment, operating standards and procedures, developments and improvements, computer programs, operating systems, source code, object code, middleware, firmware, information regarding projects, programs and sales, names and addresses of past and present customers, pricing data, internal procedures, systems, methods forms, manuals, financial data, price lists, customer service information, marketing information, and all other information relating to TouchStar, the TouchStar Software, Support Services, or other products or services of TouchStar that is not generally known to the public.

     &bbsp;   Copyrights means all right, title, and interest of TouchStar in and to all copyrights and rights and interests in copyrights and works protectible by copyright, whether now owned or hereafter acquired or created by TouchStar (in whole or in part) and all renewals and extensions thereof, throughout the universe and in perpetuity, whether or not registered or recorded in the United States Copyright Office or in the copyright office or agency of any other country or jurisdiction and including all works based upon, incorporated in, derived from, incorporating or relating to all works covered by copyright, including copyrights or rights or interests in copyrights registered or recorded in the United States Copyright Office or in the copyright office or agency of any other country or jurisdiction.

         Customer means a third party end-user with headquarter offices in the Territory to whom or to which Reseller resells or causes the resale of the TouchStar Software and Support Services.

         Dollars or US$ means the lawful currency of the United States.

         Effective Date has the meaning ascribed to that term in the introductory paragraph of this Agreement.

         Entity means any general partnership (including a limited liability partnership), limited partnership (including a limited liability limited partnership), limited liability company, corporation, joint venture, trust, business trust, cooperative, association or any foreign trust or foreign business organization.

         Fees means the installation fees, licensing fees and support service fees owed by Reseller to TouchStar, as set forth on EXHIBIT A.

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         Government Controls means economic and other sanctions instituted by a Governmental Body related to certain transactions, such as the transfer of technology and technical data, the transfer of funds, the provisions of goods and services, and other dealings, including, but not limited to, sanctions administered by the United States government pursuant to the United States Export Administration Act, the United States Arms Export Control Act, the International Emergency Economic Powers Act, the United States Foreign Corrupt Practices Act of 1977, all as amended, and the USA PATRIOT Act, and the regulations promulgated thereunder and certain regulations promulgated by the United States Department of Treasury.

         Governmental Body means any (a) nation, state, country, or other jurisdiction of any nature, (b) national, federal, state, local, municipal, foreign, or other government, governmental, or quasi-governmental authority of any nature (including any governmental agency, branch, department, official, or entity and any court or other tribunal), or (c) body exercising, or entitled to exercise, any administrative, executive, judicial, legislative, police, regulatory, or taxing authority or power of any nature.

         Intellectual Property Rights means the Confidential Information of TouchStar, the Copyrights, the Patents, and the Trademarks.

         Legal Requirements means any national, federal, state, local, municipal, foreign, international, multinational, or other administrative order, law, constitutional law, ordinance, principle of law, regulation, statute, treaty, directive or decree, including Government Controls.

         License Agreement means the license agreement to be provided to each Customer with regard to the use by such Customer of the TouchStar Software, in the form of EXHIBIT B, attached to this Agreement.

         Licenses means those software and other licenses from third parties necessary lawfully to provide the Support Services.

         Marketing Materials has the meaning ascribed to that term in Section 3.2 of this Agreement.

         Other Reseller means any person or Entity acceptable to TouchStar in its sole discretion with whom or with which Reseller enters into an Other Reseller Agreement to promote, market, distribute, license and sell the TouchStar Software and Support Services to Customers in the Territory; PROVIDED that such person or Entity shall not be an end-user of either the TouchStar Software or the Support Services.

         Other Reseller Agreement has the meaning ascribed to that term in





Section 2.2(a)(i) of this Agreement.

         Patents means (a) all right, title and interest of TouchStar in and to all applicable Letters Patent and applications for Letters Patent and the inventions described therein and any Letters Patent which may issue therefrom and which have been or may have been filed in the United States or in any other country for any such inventions or for any improvements, reissues, divisions, continuations, renewals, additions, extensions, substitutes, continuations-in-part which may be made, filed, or

                                       3

granted on any of them, including the rights to all benefits therefrom arising under the International Convention for the Protection of Industrial Property or any other international treaty affecting such rights; (b) any right, title and interest of TouchStar in any utility model, design registration, trade secret, confidential research, development and commercial information, know-how, technical information, engineering, practical information, patterns, specifications, formulae, manufacturing procedures, quality control, data and procedures, systems' data, software programs, equipment, operating standards and applications, developments, and improvements; and (c) any rights to licenses or other benefits under any Letters Patent, applications for Letters Patent and/or invention, utility model registration, design registration and inventor's certificate anywhere in the world, whether or not patentable, which are obtained by TouchStar or to which TouchStar becomes entitled during the term of this Agreement.

         Private Label Software has the meaning ascribed to that term in Section 7.2 of this Agreement.

         Quotas has the meaning ascribed to that term in Section 4.11 of this Agreement.

         Registered Leads has the meaning ascribed to that term in Section 2.6 of this Agreement.

         Reseller has the meaning ascribed to that term in the introductory paragraph of this Agreement, including its legal representatives, successors, and assigns.

         Reseller Marks has the meaning ascribed to that term in Section 7.2 of this Agreement.

         Reverse Engineer means translate, disassemble, decompile, analyze, reverse engineer or reverse program, or otherwise attempt to derive the code or programming for the TouchStar Software or the Private Label Software.

         Specifications has the meaning ascribed to that term in Section 3.4(a) of this Agreement.

         Support Services means those support services related to the TouchStar Software as described in the attached EXHIBIT C.

         Technical Prerequisites has the meaning ascribed to that term in Section 3.4(b) of this Agreement.

         Term has the meaning ascribed to that term in Section 8.1 of this Agreement.

         Territory means the geographical region described in the attached EXHIBIT D.

         TouchStar has the meaning ascribed to that term in the introductory paragraph of this Agreement, including its legal representatives, successors, and assigns.

         TouchStar Intellectual Property Rights means the Copyrights, the Patents, and the Trademarks.

                                       4

         TouchStar Software means the software necessary for the operation of call center systems which is being licensed by TouchStar pursuant to this Agreement. In the event that TouchStar develops Private Label Software for Reseller, the term TouchStar Software, when the context so requires, shall include Private Label Software.

         Trademarks means all right, title and interest of TouchStar in and to (a) all trademarks, trade names, trade styles, service marks, logos, trade dress, unpatentable designs, and designations and indicia of any kind, now existing or hereafter adopted or acquired, and all registrations and recordings thereof, including applications, registrations, and recordings in the United States Patent and Trademark Office or in any similar office or agency of the United States, any state thereof, any other country or jurisdiction or any political subdivision thereof, all whether now owned or hereafter acquired by TouchStar and all reissues, extensions, or renewals thereof, and (b) any licenses of or licensing agreements (including registered user agreements) pertaining to any of the foregoing, together with all amendments, supplements, modifications or extensions thereof.

         United States means the United States of America and its territories





and possessions.

2. APPOINTMENT OF RESELLER.

     2.1  NONEXCLUSIVE RESELLER.  Subject to applicable Legal Requirements:

            (a) TouchStar hereby appoints Reseller as its nonexclusive value-                 added reseller for the limited purposes of promoting, marketing,                 distributing, licensing and selling the TouchStar Software and                 Support Services in the Territory, and Reseller accepts the                 appointment as such. Reseller shall have the right under this                 Agreement to promote, market, distribute, license and sell the                 TouchStar Software and Support Services to Customers in the                 Territory. TouchStar reserves the right to provide the TouchStar                 Software and Support Services to other customers in the                 Territory and/or to appoint additional distributors or                 representatives in all or any part of the Territory.

     2.2  OTHER RESELLERS.  Subject to applicable Legal Requirements and to the           provisions of this Section 2.2:

            (a) Reseller may promote, market, distribute, license and sell                 TouchStar Software and Support Services in the Territory through                 Other Resellers; PROVIDED that:

                  (i)   Reseller notifies TouchStar in writing in respect of                         each Other Reseller that Reseller intends to use to                         promote, market, distribute, license and sell TouchStar                         Software and Support Services in the Territory;

                  (ii)  TouchStar approves in writing each Other Reseller that                         Reseller intends to use to promote, market, distribute,                         license and sell TouchStar Software and Support Services                         in the Territory, which approval TouchStar may grant in                         its sole discretion;

                                       5

                  (iii) Reseller enters into a binding written agreement with                         each Other Reseller (the Other Reseller Agreement),                         which Other Reseller Agreement incorporates the terms,                         conditions, duties, rights and obligations of this                         Agreement;

                  (iv)  Reseller provides to TouchStar a fully executed copy of                         each Other Reseller Agreement;

                  (v)   each Other Reseller shall promote, market, distribute,                         license and sell the TouchStar Software and the Support                         Services only in the Territory and only in accordance                         with the provisions of this Agreement, including, but                         not limited to, delivery of License Agreements to                         Customers, and compliance with Legal Requirements and                         Government Controls; and

                  (vi)  Reseller shall terminate any Other Reseller Agreement in                         the event that the Other Reseller to whom or to which                         the Other Reseller Agreement relates fails to comply                         with the terms and conditions of such Other Reseller                         Agreement or this Agreement. Any Other Reseller shall                         obtain the TouchStar Software and the Support Services                         directly from the Reseller.

            (b) Reseller shall be responsible for all actions of Other Resellers                 with regard to the promotion, marketing, distribution, licensing                 and sale of TouchStar Software. Reseller shall be liable for any                 unauthorized or illegal use of the TouchStar Software by any                 Other Reseller, including, but not limited to, any actions or                 attempts to Reverse Engineer the TouchStar Software and any                 promotion, marketing, distribution, licensing or sale of the                 TouchStar Software in violation of Government Controls or other                 Legal Requirements.

            (c) No Other Reseller shall have the right to use, copy, modify,                 alter or Reverse Engineer any TouchStar Software whatsoever, and                 Reseller shall take all necessary steps to ensure that all acts                 or any Other Reseller related in any way to the TouchStar                 Software are consistent with the terms and conditions of this                 Agreement.

     2.3  RESELLER'S OBLIGATION NOT TO COMPETE. Reseller shall not obtain the           TouchStar Software or Support Services (or any software or services           which compete with the TouchStar Software) for sale from any Entity           other than TouchStar or its authorized agents. Nothing contained in           this Agreement is intended to limit Reseller from responding to           unsolicited requests from Customers from outside of the Territory;           PROVIDED, HOWEVER, that Reseller shall (a) immediately notify           TouchStar upon receipt of any such request and (b) not seek customers           of TouchStar Software or Support Services in any other location other           than in the Territory. Reseller shall not sell TouchStar Software or           Support Services to any person or Entity outside the Territory or           within the Territory if, to Reseller's knowledge, any such person or           Entity intends to resell the TouchStar Software or Support Services           outside of the Territory. Reseller shall not import, promote,





          distribute, license, market or sell any products in

                                       6

          the Territory which directly compete with the TouchStar Software or           Support Services.

     2.4  CHANGES IN TOUCHSTAR SOFTWARE AND SUPPORT SERVICES. TouchStar shall           have the right at any time and from time to time, in its sole           discretion, (a) to change the TouchStar Software or Support Services           included within the scope of this Agreement by providing written           notice to Reseller at least thirty (30) days prior to the date the           change becomes effective and (b) to change the design, capabilities or           other characteristics of the TouchStar Software or Support Services,           or discontinue the production or marketing of all or any portion of           the TouchStar Software or Support Services, without prior notice of           any kind. Upgrades and enhancements to the TouchStar Software or           Support Services shall automatically be deemed included as TouchStar           Software or Support Services, as applicable, unless TouchStar notifies           Reseller otherwise.

     2.5  USE OF TOUCHSTAR SOFTWARE.

            (a) TouchStar hereby grants to Reseller, with the additional right                 to grant to Other Resellers who or which enter into an Other                 Reseller Agreement, the nontransferable and nonexclusive right                 and license to use one copy of the TouchStar Software as                 necessary to demonstrate the TouchStar Software to potential                 Customers in the Territory. Reseller shall not copy, modify,                 alter, Reverse Engineer or transfer, electronically or                 otherwise, any TouchStar Software.

            (b) TouchStar reserves the absolute right, without providing notice                 to Reseller, to include software code or other markings in the                 TouchStar Software (and the Private Label Software) to assist                 TouchStar in monitoring the compliance by Reseller and Other                 Resellers with their respective obligations not to copy, modify,                 alter, modify or Reverse Engineer the TouchStar Software. In                 addition, in order to protect TouchStar's rights in and to the                 TouchStar Software, THE TOUCHSTAR SOFTWARE MAY CONTAIN A                 PROPRIETARY SCHEME THAT ALLOWS TOUCHSTAR TO DISABLE USE OF THE                 TOUCHSTAR SOFTWARE BY RESELLER, ANY OTHER RESELLER, OR CUSTOMER.                 TOUCHSTAR MAY DISABLE THE TOUCHSTAR SOFTWARE IN THE EVENT THAT                 TOUCHSTAR DISCOVERS THAT RESELLER OR ANY OTHER RESELLER HAS, OR                 HAS ATTEMPTED TO, COPY, MODIFY, ALTER OR REVERSE ENGINEER THE                 TOUCHSTAR SOFTWARE.

     2.6  LEADS FOR TOUCHSTAR SOFTWARE. Reseller shall solicit orders for           TouchStar Software from potential Customers and shall submit such           leads in writing to TouchStar (the Registered Leads). No Registered           Leads shall be binding on TouchStar until accepted by TouchStar, and           TouchStar reserves the right to reject any order or to cancel the same           or any part of it after acceptance, for credit or for any other reason           whatsoever deemed by TouchStar to be sufficient. Each Registered Lead           shall include: (a) the name, address and telephone number of the           Customer; (b) a list of the TouchStar Software and Support Services to           be provided; (c) the delivery address for

                                       7

          the TouchStar Software, whether to Reseller or Customer; (d) the           proposed shipment date; and (e) a reference to this Agreement.

     2.7  LEAD TIMES. Registered Leads shall be submitted at least thirty (30)           days prior to the requested shipping date for any TouchStar Software           or Support Services.

3. TOUCHSTAR'S DUTIES.

     3.1  AVAILABILITY OF SUPPORT SERVICES. TouchStar shall use reasonable           commercial efforts to maintain or cause to be maintained the           availability of the TouchStar Software and Support Services to           Customers in the Territory.

     3.2  MARKETING AND PROMOTIONAL LITERATURE. TouchStar shall provide to           Reseller marketing presentations and other literature prepared by           TouchStar in the ordinary course of business describing the TouchStar           Software and Support Services in order to assist Reseller in the           marketing of the Support Services in the Territory (the Marketing           Materials). The Marketing Materials will contain some or all of the           Trademarks. Reseller may include its trademarks, service marks or           other logos on the Marketing Materials; provided that Reseller may not           remove, replace or otherwise modify the Trademarks included on such           Marketing Materials.

     3.3  LICENSES. TouchStar shall grant to Reseller those Licenses necessary           for Reseller to provide Support Services to Customers. TouchStar shall           charge to Reseller the cost incurred by TouchStar to obtain such           Licenses.

     3.4  INSTALLATION.





            (a) At the request and on behalf of Reseller and any Other Reseller,                 TouchStar will install call center systems at Customer                 locations; PROVIDED that (i) TouchStar and Reseller or any Other                 Reseller, as applicable, agree in writing on the configuration                 of such call center systems (the Specifications) and (ii)                 Reseller and any Other Reseller informs the Customer that                 TouchStar is installing the call center system on behalf of such                 Reseller or any Other Reseller.

            (b) TouchStar will use reasonable commercial efforts to install the                 call center system on behalf of Reseller or any Other Reseller                 in a timely fashion. However, TouchStar and Reseller or any                 Other Reseller recognize and agree that the installation of the                 call center system depends on (i) TouchStar receiving certain                 information and data from Customer, (ii) Customer providing on a                 timely basis the necessary technical prerequisites for the                 installation of the call center system, such as T-1 lines,                 cabling and workstations (the Technical Prerequisites), and                 (iii) the number and type of any change orders requested by the                 Customer during the installation of the call center system.                 TouchStar will not be responsible for any delays in the                 installation of the call center system based on whole or in part                 on (i) delays by the Customer in providing information and data                 to TouchStar required for the installation of the call center                 system, (ii) the delay or failure by the Customer

                                       8

                to provide the Technical prerequisites, and (iii) any change                 orders requested with regard to the call center system.

4. RESELLER'S DUTIES.

     4.1  TECHNICAL AND SALES CAPABILITIES. Reseller acknowledges that the           proper marketing and support of the TouchStar Software and Support           Services requires substantial expertise and commitment. Reseller shall           at all times during the term of this Agreement, at its expense,           maintain the ability (a) to provide competent and adequate technical           assistance, service and support, (b) to explain in detail to its           Customers the features and capabilities of the Support Services, (c)           to assist Customers in determining which configuration of the Support           Services will best meet their particular needs and desires, and (d)           otherwise to carry out its obligations under this Agreement.

     4.2  DISTRIBUTION OF TOUCHSTAR SOFTWARE AND SUPPORT SERVICES. Reseller           shall use its best endeavors to vigorously promote and resell the           TouchStar Software and Support Services within the Territory.

     4.3  MARKETING PLAN. Reseller shall be responsible for developing and           implementing an annual marketing plan and system for reselling the           TouchStar Software and the Support Services (the Annual Marketing           Plan), which Annual Marketing Plan shall, prior to any use by           Reseller, be approved by TouchStar. The Annual Marketing Plan shall be           submitted to TouchStar no later than thirty (30) days after the           Effective Date.

     4.4  MARKETING PRACTICES. Reseller shall at all times conduct its business           in a manner that reflects favorably on the TouchStar Software, the           Support Services and upon TouchStar's name, goodwill, and reputation.           Reseller shall demonstrate and otherwise represent the TouchStar           Software and the Support Services fairly in comparison with           competitive products and shall not make any false or misleading           comparisons or representations regarding the TouchStar Software or the           Support Services or any representations relating to the TouchStar           Software or the Support Services that are inconsistent with           TouchStar's product literature, or warranties. Reseller shall not           engage in any illegal, deceptive, misleading, or unethical practices           that may be detrimental to TouchStar.

     4.5  PRODUCT LITERATURE. Subject to the provisions of Section 3.2, Reseller        &bbsp;  shall have the right to use and distribute the Marketing Literature to           Customers. In the event Reseller desires to use, in connection with           sales of the Support Services, any literature, technical data, price           lists, promotional materials, or similar materials (including, for           example, any materials written in any language other than English)           other than the Marketing Materials, Reseller shall prepare such           materials at its expense. All such materials shall be submitted to           TouchStar for approval, and Reseller shall not use, in connection with           the sale of the Support Services, any materials that have not been           prepared or approved by TouchStar.

     4.6  CUSTOMER ASSISTANCE. Reseller, at its expense, shall provide           assistance to its Customers in connection with the TouchStar Software           and Support Services,

                                       9

          including installation assistance, direction regarding the operation           of the TouchStar Software and Support Services, and other similar           assistance.

     4.7  SOFTWARE LICENSE AGREEMENT. Reseller and each Other Reseller shall





          deliver to each Customer a copy of the License Agreement. TouchStar           shall have the right to modify the terms and conditions of the License           Agreement from time to time, in the sole discretion of TouchStar. Upon           request from TouchStar, Reseller and each Other Reseller shall deliver           the License Agreement prior to delivery of the TouchStar Software and           Support Services. Reseller shall provide TouchStar with the name and           address of each Customer who or which receives a copy of the License           Agreement, whether from Reseller or from an Other Reseller.

     4.8  REPORTS, FORECASTS. As frequently as TouchStar reasonably requests           (but in no event less than quarterly), Reseller shall provide to           TouchStar written reports showing (a) Reseller's current Customers for           TouchStar Software and Support Services, (b) forecasts of Reseller's           anticipated orders for TouchStar Software and Support Services, and           (c) any other information regarding the TouchStar Software and Support           Services and the resale of TouchStar Software and Support Services           that TouchStar reasonably requests. All expenses associated with such           written reports shall be borne by Reseller.

     4.9  NOTIFICATION. Reseller shall report promptly to TouchStar concerning           any market information that comes to Reseller's attention regarding           TouchStar, the TouchStar Software or the Support Services, including           information regarding TouchStar's market position and the           competitiveness of the TouchStar Software or the Support Services in           the marketplace. Reseller shall report promptly to TouchStar all           claimed or suspected defects in the TouchStar Software or Support           Services and shall notify TouchStar in writing of any claim or           proceeding involving the TouchStar Software or Support Services within           five (5) days after Reseller learns of the claim or proceeding.

     4.10 COMPLIANCE WITH LAWS. Reseller and each Other Reseller shall conduct           its business in compliance with all applicable laws and regulations in           any way related to the Support Services, and performance of Reseller's           duties under this Agreement. Without limiting the generality of the           foregoing, Reseller shall:

            (a) Comply with all applicable international, national, regional and                 local laws and rules in and of the Territory now in effect or                 hereafter enacted or issued relating to the TouchStar Software                 and the Support Services;

            (b) Comply with any requirement for the registration or recording of                 this Agreement with any Governmental Body in the Territory;

            (c) Give proper weight and consideration to the interests of                 TouchStar in all dealings;

            (d) Comply at all times, and cause persons under its control to                 comply at all times, with any and all Government Controls and                 other Legal Requirements;

                                       10

            (e) Refrain from any action or omission which will cause TouchStar                 to be in violation of any law of any jurisdiction in the                 Territory or of any other Legal Requirement, including                 Government Controls.

     4.11 PERFORMANCE QUOTAS. Each Annual Marketing Plan developed by Reseller           during the term of this Agreement and any extension thereof shall           contain quotas mutually agreed between TouchStar and Reseller for the           sale by Reseller of TouchStar Software and Support Services in the           Territory for the year to which such Annual Marketing Plan relates           (the Quotas). Reseller acknowledges that meeting the Quotas is an           essential element of this Agreement and that this Agreement may be           terminated by TouchStar if, in TouchStar's reasonable opinion,           Reseller will not meet the Quotas during the Term or any extension           thereof.

     4.12 INSURANCE. At a minimum, Reseller will subscribe for and maintain           during the Term and for a period of two (2) years thereafter,           commercial general liability insurance and errors and omission           insurance in minimum amounts of Two Million Dollars (US$2,000,000) per           occurrence. Reseller will cause its insurance agent or broker to issue           and deliver to TouchStar certified copies of certificates evidencing           that insurance coverage of the required types and limits are in full           force and effect. Reseller will ensure that any persons or entities           engaged by or employed by it will carry and maintain such insurance           coverage. Each policy will include a provision requiring notice to the           other party at least thirty (30) days prior to any cancellation,           non-renewal, or material modification of the policy and will require           that each policy will name TouchStar as an additional insured.

     4.13 ANCILLARY SOFTWARE. Reseller shall have the right to develop ancillary           software compatible with the TouchStar Software for the use of its           Customers, including, but not limited to translations of the TouchStar           Software for use in languages other than English (the Ancillary           Software). In the event Reseller decides to develop Ancillary           Software, Reseller shall give TouchStar thirty (30) days notice of its           intent to develop the Ancillary Software. TouchStar, at its sole           discretion may decide to assist with the development of the Ancillary           Software. TouchStar shall own all Ancillary Software.





     4.14 TECHNICAL PREREQUISITES. In the event that TouchStar installs call           center systems on behalf of Reseller, Reseller shall provide to           TouchStar any and all information on Technical Prerequisites           reasonably requested by TouchStar in order to assist TouchStar in the           installation of the applicable call center system.

     4.15 COVENANT NOT TO SOLICIT. During the Term, and for a period of one year           following the termination or expiration of this Agreement, Reseller           will not, directly or indirectly, make an offer of employment to any           current employee of TouchStar or otherwise encourage or solicit any           current employee of TouchStar to leave the employ of TouchStar for any           reason, or to devote less than all of such employee's efforts to the           affairs of TouchStar, without (a) the prior written agreement of           TouchStar, which TouchStar may grant in its sole discretion, and (b)           the payment by Reseller to TouchStar of a mutually agreeable severance           fee. Reseller will not make an offer of

                                       11

          employment to any former employee of TouchStar for a period of four           (4) months after such employee leaves the employ of TouchStar. In the           event that a court of competent jurisdiction refuses to enforce all or           any portion of this Section 4.15, then such unenforceable portion will           be eliminated or modified, but only to the extent necessary to permit           the remaining portion of this Section 4.15 to be enforced. In the           event that any provisions of this Section 4.15 are deemed to exceed           the time, geographic or scope limitations permitted by applicable law,           such provisions will be reformed to the maximum time, geographic or           scope limitations, as the case may be, permitted by applicable law.

5. TECHNICAL ASSISTANCE.

     5.1  TOUCHSTAR SOFTWARE INFORMATION. TouchStar shall make available to           Reseller in English such technical information relating to the           TouchStar Software as it makes available to its other Resellers           generally. Reseller is not entitled to receive any source code or           other technical information relating to the TouchStar Software.

     5.2  UPGRADE OF RESELLER'S CUSTOMERS. Reseller shall use reasonable           commercial efforts to upgrade the software used by its Customers prior           to the Effective Date to the TouchStar Software. At Reseller's           request, TouchStar shall provide to Reseller and its employees           assistance relating to the upgrade of software used by Reseller's           Customers as of the Effective Date.

     5.3  ADDITIONAL ASSISTANCE. TouchStar shall provide to Reseller, the Other           Resellers, and its and their employees assistance relating to the           TouchStar Software as reasonably requested by Reseller, but in any           event in an amount not to exceed twenty (20) hours of assistance per           month. In the event TouchStar provides assistance to Reseller related           to technical aspects of the TouchStar Software or related to the           preparation of literature, technical aspects of the TouchStar Software           or related to the preparation of literature, technical materials or           promotional materials, Reseller shall promptly reimburse TouchStar for           any out-of-pocket expenses incurred by TouchStar in connection with           rendering such assistance, including all travel expenses, lodging, and           meals. TouchStar may also charge reasonably hourly or per diem rates           for some or all of the services rendered under this provision,           provided that TouchStar notifies Reseller before the services are           rendered of the rates that will apply to the services. Nothing in this           Section 5.3 shall be construed to obligate TouchStar to provide           assistance of any kind to Reseller. In the event TouchStar agrees to           provide assistance, the assistance shall at all times be subject to           the availability of TouchStar's personnel.

6. TERMS AND CONDITIONS OF SALE.

     6.1  PRICE AND PAYMENT.

            (a) TouchStar shall sell the TouchStar Software and Support                 Services, and provide for the installation of call center                 systems, for the Fees. The Fees shall be valid only for                 TouchStar Software and Support Services sold by Reseller or                 Other Resellers to Customers, and the installation of call                 center systems on

                                       12

                behalf of Reseller and any Other Resellers at Customer                 locations, in the Territory during the Term. TouchStar shall                 have the right at any time and from time to time to change the                 Fees by providing to Reseller written notice at least thirty                 (30) days prior to the date the change becomes effective.                 TouchStar may change the Fees from time to time in its sole                 discretion; PROVIDED, HOWEVER, that new Fees shall not apply to                 any agreement to provide Support Services accepted by TouchStar                 before Reseller receives notice of the change.

            (b) TouchStar will invoice Reseller for payment of the Fee incurred                 within ten (10) days after the end of each billable month.





                Payment of the Fees shall be due and payable within ten (10)                 days of the date of the invoice. All or any portion of the Fees                 not paid when due shall bear interest at the rate of one and                 one-half (1.5%) per month, calculated from the date such payment                 is due until the date on which such payment is made, inclusive;                 PROVIDED, HOWEVER, that if such interest rate exceeds the amount                 allowed by applicable law, then the interest rate shall be                 adjusted to reflect the maximum amount allowed by such                 applicable law.

     6.2  ASSESSMENTS. Reseller shall pay when due, and indemnify and hold           TouchStar harmless from any and all taxes, value added taxes, general           service taxes, duties, assessments and other fees associated with the           providing by Reseller of the TouchStar Software and the Support           Services, and the installation of call center systems on behalf of           Reseller, to Customers in the Territory pursuant to this Agreement           (Assessments). If Reseller fails to pay any Assessments when due,           and TouchStar receives any Assessment from any Governmental Body, then           TouchStar shall give written notice of the Assessment to Reseller.           Failure by Reseller immediately to pay such Assessment may, in           TouchStar's sole discretion, result in the immediate termination of           this Agreement.

     6.3  OTHER TERMS AND CONDITIONS. The terms and conditions of this Agreement           and of the applicable TouchStar invoice or confirmation shall apply to           all TouchStar Software and Support Services, and the installation of           call center systems, provided by TouchStar under this Agreement. Terms           in Reseller's purchase orders and other printed forms shall not apply           to any order, notwithstanding TouchStar's acknowledgment or acceptance           of the order. In the event of any conflict between the terms of this           Agreement and any standard forms of either TouchStar or Reseller, the           terms of this Agreement shall govern. Reseller shall not, and is not           authorized to, make any warranties as to the TouchStar Software and           Support Services, or with regard to the installation of call center           systems by TouchStar, and any warranties exceeding the scope of           TouchStar warranties shall be null and void, subject only to contrary           legal requirements applicable to the Territory.

     6.4  LIMITED WARRANTY. TouchStar warrants that (a) with regard to the           TouchStar Software, (i) TouchStar will convey good title to the           TouchStar Software free and clear of any claims, liens, security           agreements or other encumbrances and (ii) for a period of ninety (90)           days after delivery, the TouchStar Software will perform in all

                                       13

          material respects with the specifications contained in TouchStar's           technical literature with regard to the TouchStar Software, (b) the           Support Services will be provided in a good and workmanlike manner           consistent with industry practices, and (c) with regard to call center           systems installed by TouchStar, (i) TouchStar will convey good title           to the call center system free and clear of any claims, liens,           security agreements or other encumbrances and (ii) the call center           system will be installed in a good and workmanlike manner           substantially in conformance with the Specifications. EXCEPT AS           PROVIDED IN THIS SECTION 6.4, TOUCHSTAR DOES NOT WARRANT THE TOUCHSTAR           SOFTWARE OR SUPPORT SERVICES, OR THE INSTALLATION OF ANY CALL CENTER           SYSTEM, TO RESELLER, ANY OTHER RESELLER OR ANY CUSTOMER. TOUCHSTAR           MAKES NO OTHER WARRANTIES, EXPRESS OR IMPLIED, RELATING THERETO.           TOUCHSTAR IS UNAWARE OF THE USE OF ANY CALL CENTER SYSTEM INSTALLED&bbsp;BY           TOUCHSTAR. TOUCHSTAR MAKES NO REPRESENTATION OR WARRANTY OF ANY KIND           WHATSOEVER WITH REGARD TO THE USE OF ANY CALL CENTER SYSTEM, INCLUIDNG           WHETHER THE USE OF THE CALL CENTER SYSTEM CONFORMS TO APPLICABLE           FEDERAL, STATE AND LOCAL LAWS. RESELLER BEARS SOLE RESPONSIBILITY TO           DETERMINE WHETHER THE USE OF A CALL CENTER SYSTEM BY A CUSTOMER           COMPLIES WITH APPLICABLE FEDERAL STATE AND LOCAL LAWS. SHOULD           APPLICABLE LAW NOT PERMIT THE FOREGOING EXCLUSION OF EXPRESS OR           IMPLIED WARRANTIES, THEN TOUCHSTAR HEREBY GRANTS THE MINIMUM EXPRESS           AND IMPLIED WARRANTIES REQUIRED BY SUCH APPLICABLE LAW.

     6.5  LIMITATION OF LIABILITY. IN NO EVENT SHALL TOUCHSTAR BE LIABLE TO           RESELLER, ANY OTHER RESELLER OR ANY CUSTOMER BY REASON OF ANY           REPRESENTATION OR IMPLIED WARRANTY, CONDITION, OTHER TERM, OR ANY DUTY           AT COMMON LAW, OR UNDER THE TERMS OF THIS AGREEMENT, FOR ANY DIRECT,           INDIRECT, SPECIAL, CONSEQUENTIAL OR PUNITIVE LOSS OR DAMAGE (WHETHER           FOR LOSS OF PROFIT OR OTHERWISE) ARISING OUT OF OR IN CONNECTION WITH           ANY ACT OR OMISSION OF TOUCHSTAR RELATING TO THE DEVELOPMENT,           MANUFACTURE, OR SUPPLY OF THE TOUCHSTAR SOFTWARE, THE SERVICES, OR THE           INSTALLATION OF ANY CALL CENTER SYSTEM, THEIR RESALE BY RESELLER, OR           THEIR USE BY ANY CUSTOMER OR OTHER END USER. TOUCHSTAR SHALL NOT BE           LIABLE FOR THE PROVISION OF SERVICES BY RESELLER OR ANY OTHER           RESELLER, OR ANY ALTERATIONS OR MODIFICATIONS BY RESELLER TO THE           TOUCHSTAR SOFTWARE OR ANY CALL CENTER SYSTEM. THE SOLE OBLIGATION OF           TOUCHSTAR, AND THE SOLE REMEDY OF RESELLER OR ANY OTHER RESELLER,           UNDER THIS AGREEMENT SHALL BE (A) WITH REGARD TO THE TOUCHSTAR           SOFTWARE OR ANY CALL CENTER SYSTEM, THE REPLACEMENT OR REPAIR OF THE           TOUCHSTAR SOFTWARE OR THE CALL CENTER SYSTEM OR, AT THE OPTION OF           TOUCHSTAR, THE RETURN OF THE PURCHASE PRICE PAID BY RESELLER

                                       14

          FOR SUCH TOUCHSTAR SOFTWARE OR CALL CENTER SYSTEM AND (B) WITH REGARD





          TO SERVICES, THE REPERFORMANCE OF THE SERVICES.

7. INTELLECTUAL PROPERTY RIGHTS.

     7.1  OWNERSHIP OF INTELLECTUAL PROPERTY.

            (a) Reseller acknowledges that TouchStar owns or has rights to                 license the intellectual property and proprietary rights in, to,                 and relating to the TouchStar Software and Support Services,                 including, but not limited to, the Intellectual Property Rights.

            (b) To the extent that Reseller or any Other Reseller is deemed to                 be the owner of all or any portion of the TouchStar Software,                 any Intellectual Property Rights of TouchStar or any Ancillary                 Software, or any improvements or intellectual property rights                 related thereto pursuant to applicable law, Reseller (i) hereby                 assigns exclusively to TouchStar all rights of Reseller in and                 to such Software and any improvements and intellectual property                 rights related thereto royalty-free and exclusively and (ii)                 shall include in any Other Reseller Agreement provision by which                 any Other Reseller grants to TouchStar an exclusive, perpetual,                 irrevocable, royalty-free assignment of all deemed rights of                 such Other Reseller in and to such TouchStar Software, Ancillary                 Software and Intellectual Property Rights. Reseller shall                 execute, and shall cause any Other Reseller to execute, any such                 documents and instruments necessary to vest in TouchStar the                 deemed ownership rights of Reseller or Other Reseller in and to                 any TouchStar Software, Ancillary Software or Intellectual                 Property Rights, and any improvements or intellectual property                 rights related thereto.

     7.2  PRIVATE LABELING. At the request of Reseller, TouchStar shall use           reasonable commercial efforts to provide a private label version of           the TouchStar Software (the Private Label Software) using logos,           trademarks, trade names or service marks owned by Reseller or to which           Reseller has exclusive rights (the Reseller Marks). Reseller           represents and warrants that Reseller has valid legal ownership and           other exclusive rights to the Reseller Marks. Reseller grants to           TouchStar a right and license to use the Reseller Marks in the           preparation of the Private Label Software. Reseller shall have the           right to promote, market, distribute and resell the Private Label           Software pursuant to the terms and conditions of this Agreement.           Reseller shall reimburse TouchStar for all costs and expenses incurred           by TouchStar in making the Private Label Software available to           Reseller. Except for the Reseller Marks, TouchStar shall retain all           right, title and interest in and to the Private Label Software.           Reseller shall indemnify, defend and hold harmless TouchStar, its           Affiliates, and its and their respective directors, officers,           employees, agents and representatives from and against any and all           claims, suits, proceedings, costs and expenses arising out of or           relating to the use by TouchStar of the Reseller Marks. TouchStar may           include in the Private Label Software a legend to the effect that           TouchStar owns the Private Label Software.

                                       15

     7.3  USE OF TOUCHSTAR INTELLECTUAL PROPERTY RIGHTS. Reseller shall use the           Intellectual Property Rights only to refer to the TouchStar Software           in accordance with TouchStar's policies as announced from time to           time. In particular, and without limitation, Reseller shall not (a)           remove Trademarks from any Marketing Materials, (b) include any           Trademarks or other Intellectual Property Rights in any promotional           literature prepared by Reseller without the express written consent of           TouchStar; (c) dispute or deny the validity of any of the Intellectual           Property Rights (including any attempt to register or record the same           in any jurisdiction), (d) do any act or omit to do any act whereby           TouchStar's right, title, and interest in the Intellectual Property           Rights may become invalidated or otherwise adversely affected, (e)           alter, remove, destroy, conceal, or tamper with any Trademarks, (f)           use any Intellectual Property Rights in any way which might prejudice           their distinctiveness or validity or goodwill of TouchStar therein,           (g) use in relation to Support Services any patents, copyrights,           trademarks, or trade names other than the Intellectual Property Rights           without TouchStar's prior written consent, or (h) use in the Territory           any trademarks or trade names so resembling any Trademark of TouchStar           as to be likely to cause confusion or deception. Upon expiration or           termination of this Agreement, Reseller shall immediately cease all           use of the Intellectual Property Rights and shall not thereafter use           any of them or any intellectual property rights confusingly similar to           the Intellectual Property Rights.

     7.4  USE OF CONFIDENTIAL INFORMATION. Reseller acknowledges that it may           receive, during the term of this Agreement, certain Confidential           Information belonging to TouchStar. Reseller recognizes that such           Confidential Information is proprietary to TouchStar and very           valuable, having involved the expenditure of substantial amounts of           money and the use of skilled experts over a long period of time.           Reseller shall hold TouchStar's Confidential Information in strict           confidence and shall not use or disclose any Confidential Information,           or permit any person to examine or copy any Confidential Information,           regardless of the manner in which Reseller gained access to it, except           as necessary for the performance of Reseller's obligations under this           Agreement.





     7.5  PROTECTION OF CONFIDENTIAL INFORMATION. Reseller shall protect           TouchStar's Confidential Information with the utmost care and shall           cause its employees, agents, and independent contractors having access           to such Confidential Information to sign confidentiality agreements           requiring them to comply with all the terms of this Article 7.

     7.6  INFRINGEMENT CLAIMS. Reseller shall promptly notify TouchStar of any           known or suspected breach of the Intellectual Property Rights and           shall cooperate (without charge for personal time incurred) in           TouchStar's efforts to protect such TouchStar Intellectual Property           Rights. TouchStar shall defend any action brought against Reseller           based on an allegation that any TouchStar Software infringes a United           States or foreign Patent, Copyright, or Trademark, and TouchStar shall           pay all costs and damages made in settlement or awarded as a result of           any such action. If a final injunction shall be obtained in any such           action restraining use of the TouchStar Software by any Customer, or           if TouchStar believes that any TouchStar Software is

                                       16

          likely to become the subject of a claim of infringement, TouchStar           shall, at its option and at its expense, (a) procure for Reseller's           Customer the right to continue using the TouchStar Software, (b)           replace or modify the TouchStar Software so that it becomes           non-infringing, or (c) repurchase the TouchStar Software on a           depreciated (five-year straight line) basis. Notwithstanding the           foregoing, TouchStar shall have no obligation with respect to any           action brought against Reseller based on an allegation of Patent,           Copyright, or Trademark infringement unless TouchStar is promptly           notified by Reseller in writing of such action and is allowed complete           control of the defense of such action and all negotiations for its           settlement or compromise. This Section 7.6 states TouchStar's entire           liability with respect to infringement of Patents, Copyrights, or           Trademarks.

     7.7  EQUITABLE REMEDIES. Reseller acknowledges that TouchStar will be           irreparably harmed by any breach of the provisions of this Section 7.           Therefore, in addition to any other remedies that TouchStar may have,           TouchStar shall be entitled to an injunction, issued by any court of           competent jurisdiction, wherever located, restraining any violation of           this Section 7 or specified performance if applicable. Reseller hereby           waives, with respect to any future dispute related to this Section 7,           any defense based on the argument that TouchStar will not be           irreparably harmed by a breach or that TouchStar has available to it           an adequate remedy for damages.

     7.8  RESELLER'S OBLIGATIONS AS TO CONFIDENTIAL INFORMATION AFTER           TERMINATION. All obligations of Reseller relating to TouchStar           Confidential Information shall survive the expiration or termination           of this Agreement. Promptly upon expiration or termination of this           Agreement, Reseller shall not have a right of retention with respect           to, and shall return to TouchStar, all materials in Reseller's           possession or control that represent or contain Confidential           Information, including all memoranda, computer programs, documents,           notes, and every other medium. Reseller shall not retain for its own           use or the use of any third party any such materials or any copies           thereof.

8. TERM AND TERMINATION.

     8.1  TERM OF AGREEMENT. This Agreement shall continue in force for a term           of twelve (12) months from the Effective Date, unless terminated           earlier under the provisions of this Article 8 (the Term); PROVIDED           that TouchStar shall have the right to terminate this Agreement at any           time after the Effective Date upon not less than fifteen (15) days'           prior written notice to Reseller. Prior to the end of the Term, each           of TouchStar and Reseller may notify the other if it desires to           negotiate a further agreement by written request received at least           ninety (90) days in advance of the termination of this Agreement. If           both parties desire to negotiate a further agreement, they may           consider the terms of this Agreement in coming to an understanding.           Nothing in this Agreement shall be construed to obligate either party           to renew or extend the term of this Agreement. Renewals for additional           terms, if any, shall not cause this Agreement to be construed as an           agreement of indefinite duration.

     8.2  TERMINATION AT TOUCHSTAR OPTION. TouchStar may terminate this           Agreement upon the occurrence and continuation of any of the following           events, with the understanding

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          that, if no cure period specifically is stated with regard to an           event, then no cure period for such event applies:

            (a) Reseller fails to make any payment of Fees due to TouchStar                 under this Agreement and such failure remains unremedied for a                 period of ten (10) days;

            (b) Reseller breaches any of its other obligations under this                 Agreement and such breach remains unremedied for a period of





                thirty (30) days;

            (c) Reseller or any Other Reseller takes any action to Reverse                 Engineer the TouchStar Software;

            (d) Reseller fails to comply with applicable Legal Requirements,                 including Government Controls;

            (e) Reseller fails to reach the Quotas established by the parties;

            (f) Reseller repeatedly breaches any of its obligations under this                 Agreement, even though Reseller remedies each such breach within                 the applicable time period specified above;

            (g) Reseller fails to execute an Other Reseller Agreement with any                 Other Reseller;

            (h) Reseller or any Other Reseller fails to deliver a License                 Agreement to a Customer;

            (i) Reseller fails to indemnify TouchStar, its Affiliates and its                 and their respective directors, officers, employees, agents and                 representatives for any claims related to or arising under any                 Other Reseller Agreement or the use by TouchStar of the Reseller                 Marks;

            (j) Reseller is negligent in the fulfillment of its obligations to                 market and resell the TouchStar Software;

            (k) Reseller breaches any of its obligations relating to the                 Intellectual Property Rights or Confidential Information;

            (l) Reseller, any of Reseller's officers, directors, or                 shareholders, or any entity controlling, controlled by or under                 common control with Reseller promotes, sells, or offers for sale                 any product or other item that is, in TouchStar's reasonable                 opinion, competitive with or capable of being substituted for                 any of the TouchStar Software; or Reseller engages in overt or                 subvert forms of boycott of the TouchStar Software, including                 the offer for sale of any product or other item that is, in                 TouchStar's reasonable opinion, competitive with or capable of                 being substituted for any of the TouchStar Software;

            (m) In the event of a sale, conveyance, transfer or other                 disposition, in any transaction or series of transactions that                 results, directly or indirectly, in a

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                change of fifty percent (50%) or more of the aggregate voting                 power in Reseller as such existed on and as of the Effective                 Date;

            (n) Reseller is merged or consolidated with any other entity or                 there is a substantial change in the management or control of                 Reseller; or

            (o) Reseller ceases to function as a going concern or ceases to                 conduct its operations in the normal course of business or any                 of its directors, shareholders, or officers is convicted of a                 criminal offense or engages in any other act that in TouchStar's                 opinion could have an adverse effect upon TouchStar's reputation                 and goodwill.

     8.3  SUSPENSION OF TOUCHSTAR OBLIGATIONS. Immediately upon the occurrence           of any breach by Reseller of any of its obligations under this           Agreement or upon the occurrence of any event or circumstance           identified in Section 7.3 of this Agreement, all of TouchStar's           obligations to provide Support Services shall be suspended and such           obligations shall remain suspended until the event or circumstance           giving rise to the suspension has been corrected to TouchStar's           satisfaction.

     8.4  SURVIVAL OF RESELLER OBLIGATIONS. The termination of this Agreement           shall not terminate or affect the continuing binding obligations           imposed by Sections 4.4, 4.7, 4.10, 4.12, and 5, 6, 7, 8, 9 and 10           this Agreement. It is understood and agreed that the obligations of           Reseller set forth in such provisions may be specifically enforced by           TouchStar in any court of competent jurisdiction, wherever located,           notwithstanding the provisions of Section 10.12(b) hereof, since no           other adequate remedy may exist in the event of a breach or threatened           breach by Reseller of any such provisions.

9. DUTIES UPON TERMINATION.

         In addition to any other provision of this Agreement which is designated in Section 8.6 as a provision surviving termination, the following shall apply:

     9.1  CUSTOMER AGREEMENTS.

            (a) In the event that (i) TouchStar terminates this Agreement in                 accordance with any one or more of the provisions of Section 8.2                 or (ii) Reseller elects not to enter into a new agreement with





                TouchStar pursuant to Section 8.1, all Customer Agreements with                 Customers shall be transferred by Reseller to TouchStar.

            (b) In the event that (i) TouchStar elects not to enter into a new                 agreement with Reseller pursuant to Section 8.2 or (ii) Reseller                 terminates this Agreement in accordance with the provisions of                 Section 8.3, Reseller shall retain all Customer Agreements with                 Customers and TouchStar shall continue to provide Support                 Services under such Customer Agreements for the remaining term                 of such Customer Agreements.

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     9.2  REFERRALS BY RESELLER. In the event that (a) TouchStar terminates this           Agreement in accordance with any one or more of the provisions of           Section 8.2 or (b) Reseller elects not to enter into a new agreement           with TouchStar pursuant to Section 8.1, Reseller shall refer to           TouchStar or TouchStar's designee all inquiries and orders received by           Reseller pertaining to the purchase of Support Services.

     9.3  PAYMENT OF FEES.

            (a) In the event that this Agreement terminates or expires pursuant                 to Section 8.1(a), Reseller immediately shall pay to TouchStar                 all Fees outstanding on and as of the date of termination or                 expiration of this Agreement.

            (b) In the event that this Agreement terminates or expires pursuant                 to Section 8.1(b), Reseller shall continue to pay all Fees in                 accordance with the provisions of Section 6.2.

     9.4  INTELLECTUAL PROPERTY RIGHTS. Reseller immediately shall stop the use           of Marketing Materials and Intellectual Property Rights, and shall           return any unused Marketing Materials and all physical media upon           which Intellectual Property Rights are contained by TouchStar.

     9.5  SHIPMENTS FOLLOWING NOTICE OF TERMINATION. The expiration or           termination of this Agreement shall not relieve TouchStar of its           continuing obligation to ship TouchStar Software pursuant to any           purchase orders accepted by TouchStar prior to the notice of           termination, nor shall it relieve Reseller of its continuing           obligation to accept and pay for such TouchStar Software; PROVIDED,           HOWEVER, that with respect to all TouchStar Software shipped after any           notice of termination, Reseller shall make payment prior to shipment           on terms and conditions and by means satisfactory to TouchStar,           notwithstanding any credit terms that may have been available to           Reseller prior to such notice of termination.

     9.6  LIABILITY UPON TERMINATION. TouchStar shall have no liability to           Reseller or any Other Reseller by reason of the termination or           expiration of this Agreement for compensation, reimbursement, or           damages of any kind, including any loss of prospective profits on           anticipated sales, loss of goodwill, or investments made in reliance           on this Agreement. Reseller acknowledges that it has received no           assurances from TouchStar that its business relationship with           TouchStar will continue beyond the term established in this Agreement,           or that it will obtain any anticipated amounts of profits in           connection with this Agreement, or that it will recoup its investment           in the promotion of the TouchStar Software. Reseller also acknowledges           that Reseller's failure to reach the Quotas will have a significant           adverse impact on TouchStar's goodwill in the Territory, and that if           Reseller is terminated because of failure to meet the Quotas, then           Reseller will not be entitled to compensation of any kind (beyond the           notice period set forth in this Agreement), since the damage to      &sbsp;    TouchStar's goodwill is likely to be at least as great as any losses           Reseller might incur as a result of the termination. However, these           provisions apply only to damages that are attributable to the           expiration or termination of this Agreement and shall not affect any           amount due

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          under this Agreement or the right of either party to seek damages           directly attributable to any breach.

10. GENERAL PROVISIONS.

     10.1 RELATIONSHIP BETWEEN THE PARTIES. Neither party to this Agreement and           none of their respective agents, employees, representatives or           independent contractors shall (a) be considered an agent, employee, or           representative of the other party for any purpose whatsoever, (b) have           any authority to make any agreement or commitment for the other party           or to incur liability or obligation in the other party's name or on           its behalf, or (c) represent to third parties that any of them has any           right so to bind the other party hereto, it being intended that each           party shall remain an independent contractor responsible only for its           own actions. Nothing contained in this Agreement shall be construed or           interpreted as creating an agency, partnership, or joint venture           relationship between the parties.





     10.2 RESELLER REPRESENTATION, WARRANTY AND UNDERTAKING. Reseller (a)           represents and warrants that (i) it is a corporation duly organized           and existing under the laws of the jurisdiction of its incorporation           with all necessary corporate power and authority to execute, deliver,           and perform its obligations under this Agreement, and that the           execution, delivery, and performance of its obligations under this           Agreement have been duly authorized by all requisite corporate action           of Reseller and all Legal Requirements of Governmental Bodies, (ii) it           has the requisite skill and knowledge necessary to perform its           obligations under this Agreement, (iii) that it currently is not in           violation of any Legal Requirements, and (iv) no current employee or           shareholder of TouchStar has an ownership interest in Reseller or any           affiliate or related entity of Reseller; and (b) covenants that,           during the Term, it (i) shall use its best endeavors to maintain its           corporate identity and remain in existence under the organizing laws           of its jurisdiction and (ii) promptly notify TouchStar in the event           that any employee or shareholder of TouchStar obtains an ownership           interest in Reseller or any affiliate or related entity of Reseller.

     10.3 NOTICES. Without precluding any other sufficient form of notice, all           notices, demands, or other communications under this Agreement shall           be deemed given if sent by registered airmail, facsimile, hand           delivery, or express courier to the address of the party as set out in           this Agreement or to another address specified by the party. All           notices, demands, and other communications in connection with this           Agreement shall be written in the English language.

     10.4 ENTIRE AGREEMENT. This Agreement constitutes the entire agreement           between the parties pertaining to its subject matter, and it           supersedes any and all written or oral agreements previously existing           between the parties with respect to such subject matter. No           supplement, modification, or amendment of this Agreement shall be           binding unless executed in writing by both parties.

     10.5 WAIVER. Either party's failure to insist on strict performance of any           provision of this Agreement shall not be deemed a waiver of any of its           rights or remedies, nor shall it relieve the other party from           performing any subsequent obligation strictly in

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          accordance with the terms of this Agreement. No waiver shall be           effective unless it is in writing and signed by the party against whom           enforcement is sought. Such waiver shall be limited to provisions of           this Agreement specifically referred to therein and shall not be           deemed a waiver of any other provision. No waiver shall constitute a           continuing waiver unless the writing states otherwise.

     10.6 SUCCESSORS AND ASSIGNS. This Agreement shall inure to the benefit of,           and shall be binding upon, the respective heirs, legal           representatives, successors, and assigns of each of the parties.

     10.7 ASSIGNMENT.

            (a) TouchStar may assign this Agreement and the rights and                 responsibilities under this Agreement to an Affiliate upon                 written notice to Reseller.

            (b) Except for the rights of TouchStar under Section 10.7(a), this                 Agreement may not be assigned by either party without the prior                 written consent of the other. Any attempted assignment in                 violation of this provision shall be void and shall be deemed a                 breach of this Agreement.

     10.8 INDEMNIFICATION. Reseller shall be solely responsible for, and shall           indemnify TouchStar, its officers, directors, employees, and agents           against, and hold each of them harmless from, any and all claims           (including without limitation, all damages (whether direct, indirect,           incidental, criminal, special, or punitive), losses, liabilities,           expenses, costs, and attorneys' fees related to such claims) resulting           from (a) the negligent or willful failure of Reseller to comply with           its obligations hereunder, (b) the acts or omissions of Reseller, its           officers, directors, employees, or agents during the term of this           Agreement or thereafter, (c) any express or implied representation or           warranty made by Reseller or any of its officers, directors, employees           or agents with regard to the TouchStar Software or the Support           Services not contained in written literature of TouchStar or           specifically authorized by TouchStar in writing, and (c) the           installation of a call center system by TouchStar on behalf of           Reseller or any Other Reseller and the use of the TouchStar Software           in the operation of a call center system, unless caused by the gross           negligence or willful misconduct of TouchStar.

     10.9 SECTION HEADINGS; CONSTRUCTION. The section headings in this Agreement           are included for convenience only and shall not be deemed to limit or           otherwise affect the construction of any of its provisions. The word           including shall be ascribed a non-exclusive meaning unless followed           by the word only.

    10.10 SEVERABILITY. In the event that any of the provisions of this           Agreement shall be held by a court, arbitral panel, or tribunal of           competent jurisdiction to be unenforceable, such provision will be           enforced to the maximum extent permissible and the remaining portions





          of this Agreement shall remain in full force and effect.

    10.11 PARTIES IN INTEREST. Nothing in this Agreement is intended to confer           any rights or remedies on any persons other than the parties to it.           This Agreement shall not be construed to relieve or discharge any           obligations or liabilities of third persons, nor

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          shall it be construed to give third persons any right of subrogation           or action over against any party to this Agreement.

    10.12 GOVERNING LAW AND ARBITRATION.

            (a) GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY, AND                 CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF COLORADO,                 UNITED STATES, WITHOUT REGARD TO ITS PRINCIPLES REGARDING                 CONFLICT OF LAWS.

            (b) ARBITRATION. Any dispute arising out of or relating to this                 Agreement, including, without limitation, the interpretation of                 any provision of this Agreement or the breach, termination or                 invalidity of this Agreement that cannot reasonably be resolved                 by the Parties shall be settled exclusively and finally by                 binding arbitration under the International Arbitration Rules of                 the American Arbitration Association in effect on and as of the                 date of this Agreement (the AAA Rules), except as such AAA                 Rules are modified pursuant to this Section 10.12(b).

                  (i)   The arbitration shall be conducted before a panel of                         three (3) arbitrators, each of whom shall be fluent in                         English and shall have knowledge in the call center                         industry. TouchStar shall appoint one (1) arbitrator,                         Customer shall appoint one (1) arbitrator, and the third                         arbitrator shall be selected by the two (2) arbitrators                         so appointed; PROVIDED, HOWEVER, that if the two (2)                         arbitrators appointed by the parties fail to select the                         third arbitrator within thirty (30) days after the date                         on which the last of such two (2) arbitrators are                         appointed, then the third arbitrator shall be appointed                         by the administrator in accordance with the AAA Rules.                         The third arbitrator, regardless of how selected, shall                         chair the arbitration panel.

                  (ii)  Once the arbitrators are impaneled, if (A) an arbitrator                         withdraws after a challenge, (B) the administrator                         sustains a challenge and removes an arbitrator, (C) an                         arbitrator dies, or (D) an arbitrator otherwise resigns                         or is removed, then the party which appointed such                         arbitrator shall appoint a replacement arbitrator within                         thirty (30) days in accordance with the procedures set                         forth in Section 10.12(b)(i).

                  (iii) The arbitration shall be conducted in Denver, Colorado,                         United States. The arbitration shall be conducted in                         English; PROVIDED, that either party, at its cost, may                         provide for the simultaneous translation of the                         arbitration into a language other than English.

                  (iv)  No less than thirty (30) days prior to the date on which                         the arbitration proceeding is to begin, each party shall                         submit to the other party the documents, in English, and                         list of witnesses it

                                       23

                        intends to use in the arbitration. At any oral hearing                         of evidence in connection with the arbitration, each                         party or its legal counsel shall have the right to                         examine witnesses and to cross-examine the witnesses of                         the opposing party.

                  (v)   The arbitrators shall apply the substantive law of the                         State of Colorado to any decision issued by the                         arbitration panel, and the arbitrators shall be so                         instructed. The arbitrators shall issue a written                         opinion stating the findings of fact and the conclusions                         of law upon which the decision is based. The decision of                         the arbitrators shall be final and binding. Judgment on                         such award may be entered in any court of appropriate                         jurisdiction, or application may be made to that court                         for a judicial acceptance of the award and an order of                         enforcement, as the party seeking to enforce that award                         may elect. Any arbitration award for money damages shall                         be in Dollars. Other than pursuant to this Section                         10.12(b)(v), the arbitration award shall not include any                         indirect, incidental, special, consequential, or                         punitive damages and the arbitrators shall be so                         instructed.

                  (vi)  Any arbitration award pursuant to this Section 10.12(b)                         shall be subject to the United Nations Convention on the





                        Recognition and Enforcement of Foreign Arbitral Awards                         of 1958.

            (c) JURISDICTION AND VENUE FOR INTERIM RELIEF. Notwithstanding the                 provisions of Section 10.12(b), each party shall have the right                 to bring an action in a court of competent jurisdiction of any                 equitable or other relief as may be necessary to protect the                 rights of such party under this Agreement.

            (d) WAIVER OF JURY TRIAL. EACH OF THE PARTIES HERETO HEREBY                 IRREVOCABLY WAIVES ALL RIGHT TO TRIAL BY JURY IN ANY ACTION,                 SUIT, PROCEEDING, CLAIM OR COUNTERCLAIM ARISING OUT OF OR                 RELATING TO THIS AGREEMENT OR ITS INTERPRETATIONS.

    10.13 GOVERNING LANGUAGE. The governing language of this Agreement shall be           English. If this Agreement is translated into a language other than           English, then the English version shall prevail.

    10.14 EXCLUSION OF UNITED NATIONS CONVENTION. The United Nations Convention           on Contracts for the International Sale of Goods is hereby excluded           from application to this Agreement.

    10.15 FORCE MAJEURE. Neither party shall be responsible for any failure to           perform due to unforeseen circumstances or to causes beyond that           party's control, including but not limited to acts of God, war, riot,           acts of terrorism, embargoes, acts of civil or military authorities,           compliance with governmental laws, rules or regulations, failure of           telecommunications connectivity beyond the reasonable control of the           parties,

                                       24

          accidents, strikes, labor disputes, or shortages. Failure to perform           shall be excused during the continuance of such circumstances, but           this Agreement shall otherwise remain in effect.

    10.16 PUBLICITY; DISCLOSURES. Except as expressly provided herein and except           to the extent required by applicable law, no news releases or other           public disclosures relating to this Agreement, its existence or its           subject matter, including without limitation, photographs, public           announcements or confirmation of the same, shall be made by either           party without the prior written approval of the other party.

                            [SIGNATURE PAGE FOLLOWS]

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         IN WITNESS OF THE FOREGOING, the parties have caused this Agreement to be signed by their respective duly authorized representatives all as of the Effective Date.

WORLDWIDE STRATEGIES INC.                 TOUCHSTAR SOFTWARE CORPORATION

By: /s/ JAMES P.R. SAMUELS                By: /s/ SHAWN SUHRSTEDT    ----------------------------               ----------------------------- Title:  PRESIDENT                         Title:    CFO       -------------------------                 --------------------------- Date:  SEPT 14-2005                       Date:   9/15/5      --------------------------                ----------------------------





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Answer:
Highlight the parts (if any) of this contract related to Covenant Not To Sue that should be reviewed by a lawyer. Details: Is a party restricted from contesting the validity of the counterparty’s ownership of intellectual property or otherwise bringing a claim against the counterparty for matters unrelated to the contract?