Document:

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                                                                   EXHIBIT 10.37

                                  CONFIDENTIAL

                               EXECUTIVE AGREEMENT

                  THIS EXECUTIVE AGREEMENT (this "Agreement") is made as of
August 1, 2003 (the "Effective Date"), by and between Ziff Davis Media Inc., a
Delaware corporation (the "Company") and Sloan Seymour ("Executive"). Certain
definitions are set forth in the Appendix to this Agreement.

                  In consideration of the representations and covenants set
forth herein, the parties hereby agree as follows:

         1.       Employment. The Company shall employ Executive, and Executive
hereby accepts employment with the Company, upon the terms and conditions set
forth in this Agreement for the period beginning August 1, 2003 and ending July
31, 2008 or earlier pursuant to Section 4 hereof (the "Employment Period").

         2.       Position and Duties.

         (a)      During the Employment Period, Executive shall serve as the
Senior Vice President, Enterprise Group and Publisher of Baseline and shall have
the normal duties, responsibilities and authority implied by such positions.
Executive shall hold similar positions with any Affiliate of the Company to the
extent Executive may be so appointed by the Company in its sole discretion.

         (b)      Executive shall report directly to the Company's Chief
Executive Officer ("CEO") or to the President or such other senior Company
executive as the CEO may direct, and shall devote his best efforts and
substantially all of his business time and attention to the business and affairs
of the Company (and to the extent applicable, its Affiliates). Executive shall
perform Executive's duties and responsibilities to the best of Executive's
abilities in a diligent, trustworthy, businesslike and efficient manner.

         3.       Base Salary; Benefits and Bonuses.

         (a)      During the Employment Period, Executive's base salary shall be
$300,000 per annum, subject to an annual cost of living increase at the
beginning of each calendar year beginning January 1, 2004 at a rate equal to the
increase in the Consumer Price Index - All Urban Consumers for the New York area
during the prior year, or such higher rate as the Company may designate from
time to time (the "Base Salary"), which salary shall be payable by the Company
in regular installments in accordance with the Company's general payroll
practices and shall be subject to customary withholding.

         (b)      In addition to the Base Salary, during the Employment Period
Executive shall be eligible to receive an annual bonus (the "Bonus") in an
amount determined by the Company based upon the achievement of performance
targets for such year (which targets will include both quantitative and
qualitative objectives), payable at the Company's discretion; provided that the
annual incentive Bonus target for 2003 shall be as follows: (i) up to $30,437.50
which will be based upon Baseline's 2003 earnings before interest expense,
taxes, depreciation and amortization ("EBITDA") as determined by the Company;
and (ii) up to $225,000, eighty-five percent (85%) of which will be based on the
Company's Enterprise Group 2003 EBITDA as determined by the Company and fifteen
percent (15%) of which will be based on the Company's consolidated 2003 EBITDA
as determined by the Company. The parties acknowledge and agree that, with
respect to Executive's annual incentive bonus plan that was in effect between
January 1, 2003 and March 31, 2003 (the "Prior Plan"), (x) the Company has paid
Executive an aggregate amount of approximately $27,356.83 (out of a maximum
potential of $30,437.50) related to the portion of the Prior Plan that was based
on Baseline's 2003 revenue as determined by the Company and that the Company
shall have no further obligation to Executive with respect to such portion of
the Prior Plan, (y) the payment the Company shall make as set forth in clause
(i) of this Section 3(b) shall be deemed to be in full satisfaction of the
Company's obligations related to the portion of the Prior Plan that was based on
Baseline's 2003

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                                  CONFIDENTIAL

EBITDA as determined by the Company and (z) upon payment of the amount set forth
in clause (i) of this Section 3(b), the Company shall have no further obligation
to Executive related to the Prior Plan. Any such Bonus, if determined by the
Company to be payable, shall be payable within ninety (90) days following the
end of each fiscal year during the Employment Period.

         (c)      During the Employment Period, (i) Executive shall be entitled
to participate in all of the Company's employee benefit plans and programs for
which senior executive employees of the Company are generally eligible, which
currently include, but shall not be limited to, health insurance, dental
insurance, life insurance, short-term and long-term disability insurance and
participation in the Company's 401(k) plan and (ii) Executive shall be eligible
for four (4) weeks of paid vacation per year in accordance with the policies of
the Company. Executive's right to participate in any employee benefit plans or
programs of the Company shall be subject to the Company's right to amend, modify
or terminate any such plan or program in accordance with its terms and
applicable law and subject in each case to any applicable waiting periods or
other restrictions contained in such benefit plans or programs.

         (d)      The Company shall reimburse Executive for all reasonable
business expenses incurred by Executive in the course of performing Executive's
duties under this Agreement which are consistent with the Company's policies in
effect from time to time for senior executive employees of the Company with
respect to travel, entertainment and other business expenses, subject to the
Company's requirements with respect to reporting and documentation of such
expenses.

         (e)      The CEO of the Company shall recommend that Executive be
granted an option (the "Option") to the following number of shares of the
following classes of the capital stock of Ziff Davis Holdings Inc. ("ZDH"), the
Company's indirect parent, pursuant to the ZDH's 2002 Employee Stock Option Plan
("Plan"), on or before the next date grants from the Plan are made: 300,000
shares of ZDH Common Stock, 1,234 shares of ZDH Series A Preferred Stock, 369
shares of Series B Preferred Stock and 300 shares of Series D Preferred Stock.
The Company currently anticipates the next grant date to occur before December
31, 2003. The Option would be subject to the terms and conditions of an option
agreement in the form approved by ZDH ("Option Agreement") and the Plan, and
subject to Executive's execution of the Option Agreement. Executive acknowledges
that the Company cannot grant any Option and that Compensation Committee of the
Board of Directors of ZDH must approve any such grant of options. Executive
acknowledges that the Company does not hereby make any representation as to
whether or when or with respect to how many shares Executive may be granted an
Option or as to any of the specific provisions thereof. In the event that by
December 31, 2003, Executive has not been granted an Option for the number of
shares of ZDH capital stock referenced in this paragraph, Executive may give the
Company written notice requesting that he be granted such an Option and, if
Executive is not granted such an Option within thirty (30) days from the
Company's receipt of such notice, Executive may resign and shall not in such
circumstances be (i) entitled to receive any severance payments pursuant to
Section 4 or (ii) bound by the restrictions of Section 5.

         4.       Termination; Severance.

         (a)      The Employment Period (i) shall terminate upon Executive's
death or Incapacity; (ii) may be terminated by the Company at any time with
Cause or without Cause; and (iii) may be terminated by Executive at any time for
Good Reason or other than for Good Reason. Executive acknowledges and agrees
that nothing contained herein or in any other agreement or document shall
entitle Executive to remain in the employment of the Company or any of its
Affiliates. "Termination" means such time as of which Executive ceases to be
Employed by the Company, for any reason, whether on account of termination by
the Company, resignation by Executive, Executive's death or Incapacity or
otherwise and "Termination Date" means the date on which Termination occurs.

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                                  CONFIDENTIAL

         (b)      Upon any Termination, Executive shall be entitled to receive
Executive's Base Salary earned through the Termination Date, prorated on a daily
basis together with all accrued but unpaid vacation time earned by Executive
during the calendar year in which such Termination occurs and any Bonus in
respect of a prior, completed calendar year which is then due and owing and has
not been paid. Except as set forth in Section 4(d), Executive shall not be
entitled to receive Executive's Base Salary or any bonuses or other benefits
from the Company for any period after the Termination Date.

         (c)      In the event Executive's employment is terminated (i) by the
Company with Cause, (ii) by Executive other than for Good Reason, or (iii) upon
Executive's death or Incapacity, or upon any Termination on or after July 31,
2008, the Company shall have no obligation to make any severance or other
similar payment to or on behalf of Executive.

         (d)      In the event that Executive's employment is terminated (i) by
the Company without Cause or (ii) by Executive for Good Reason (in either case
prior to the July 31, 2008), following such Termination and upon execution and
delivery by Executive within thirty (30) calendar days after the Termination
Date of a general release in favor of the Company and its Affiliates and its and
their respective officers, directors, employees, representatives, agents and
attorneys, and the successors and assigns of each of the foregoing, in form and
substance satisfactory to the Company, the Company shall, through the first
(1st) anniversary of the Termination Date, (x) pay Executive his annual Base
Salary (as in effect on the Termination Date) in regular installments in
accordance with the Company's general payroll practices and (y) if Executive
elects under COBRA to maintain health insurance benefits through the Company's
group plan (if any), pay that portion of the premium for such benefits that the
Company would have paid had Executive remained an employee of the Company for
such period. After payment of the severance amounts described in this Section
4(d), the Company shall have no obligation to make any further severance or
other payment or provide any other benefit to or on behalf of Executive.
Notwithstanding the foregoing, in the event that Executive shall breach any of
Executive's obligations under Section 5 of this Agreement (except any breach
which Executive carries the burden of proving is solely of a technical nature,
is immaterial and was inadvertent), then, in addition to any other rights that
the Company may have under this Agreement or otherwise, the Company shall be
relieved from and shall have no further obligation to pay Executive any amounts
to which Executive would otherwise be entitled pursuant to this Section 4.

         5.       Noncompete, Non-Solicitation.

         (a)      In further consideration of the compensation to be paid to
Executive hereunder, Executive acknowledges that in the course of Executive's
employment with the Company and any applicable Affiliate thereof, Executive will
during the Employment Period become familiar with the trade secrets, business
plans and business strategies and with other Confidential Information (as
defined on the Appendix hereto) concerning the Company and any applicable
Affiliate of the Company (and their respective predecessors, successors and
assigns) and that Executive's services have been and shall be of special, unique
and extraordinary value to the Company and any applicable Affiliate of the
Company. Therefore, Executive agrees that, during the Employment Period and for
one (1) year thereafter (such period, the "Noncompete Period"), Executive shall
not directly or indirectly (whether for Executive or for any other Person) own
any interest in, operate, manage, control, engage in, participate in (whether as
an officer, director, employee, partner, agent, representative or otherwise),
invest in, permit Executive's name to be used by, consult with, advise, render
services for (alone or in association with any other Person), or otherwise
assist in any manner (individually and/or collectively, to "Participate" in) (i)
any Person (each a "Restricted Person") that engages in or owns, invests in,
operates, manages or controls any venture or enterprise which directly or
indirectly engages or proposes to engage in any business or enterprise which
manufactures, designs, produces, renders or sells products or services which
compete with the products and services of the Company (or any products or
services the Company is in the process of developing), as the Company's and its
Affiliates businesses exist at the Termination Date or are in process as of the
Termination Date (the

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                                  CONFIDENTIAL

"Company's Business"); (ii) any successor, assignee, partner, joint venture or
collaboration partner, subsidiary, division or Affiliate of any Restricted
Person; or (iii) any Person in which any Restricted Person owns an interest or
participates, which any of Restricted Person manages or controls (whether as an
officer, director, employee, partner, agent, representative or otherwise), or
with which any Restricted Person consults or to which any Restricted Person
otherwise provides management or financial support. Notwithstanding the
foregoing, (x) Executive may be an owner, indirectly through a mutual fund or
other similar pooled investment vehicle, of a passive investment in the
publicly-traded stock of a corporation, provided that Executive does not
Participate in any business of any such corporation which business competes with
the Company's Business; (y) Executive may be an owner (either as shareholder of
record or as beneficial owner) of publicly-traded stock of a corporation
("Issuer") provided that the business of Issuer that competes with the Company's
Business is not material to Issuer's financial condition or results of
operations and provided further that Executive does not Participate in any
business of any such Issuer which business competes with the Company's Business.
Without limiting the generality of the foregoing, Executive and the Company
agree that as of the Effective Date, the following persons are each deemed to be
a "Restricted Person": International Data Group, Inc.; CMP Media, Inc. (a
subsidiary of United News & Media PLC); CNET Networks, Inc.; and The Future
Network PLC. Notwithstanding the foregoing, Executive may retain an economic
interest in CNET Networks, Inc. to the extent that (I) such interest was
acquired prior to August 1, 2003 and (II) the fair market value of such interest
does not exceed two percent (2%) of Executive's net worth at any time.

         (b)      During the Employment Period and for one (1) year thereafter,
Executive shall not directly or indirectly through another Person (i) induce or
attempt to induce any employee of the Company or any Affiliate of the Company to
leave the employ of the Company or such Affiliate, or in any way interfere with
the relationship between the Company or any Affiliate of the Company and any
employee thereof, (ii) hire any person who was an employee of the Company or any
Affiliate of the Company at any time during the one (1) year period prior to the
termination of the Employment Period, (iii) call on, solicit or service any
customer, supplier, licensee, licensor, franchisee or other business relation of
the Company or any Affiliate of the Company for the specific purpose of inducing
or attempting to induce such Person to cease or reduce doing business with the
Company or such Affiliate (for avoidance of doubt and without limiting the
foregoing, it shall constitute a material violation of this Section 5(b) for
Executive to make any effort to cause any customer, supplier, licensee,
licensor, franchisee or other business relation of the Company to purchase from
a third party any goods or services that are offered at such time by the
Company), or in any way interfere with the relationship between any such
customer, supplier, licensee or business relation and the Company or any
Affiliate of the Company, including, without limitation, making any negative
statements or communications about the Company or any of its Affiliates, or (iv)
directly or indirectly acquire or attempt to acquire any business in the United
States of America to which the Company or any of its Affiliates has made an
acquisition proposal prior to the Termination Date relating to the possible
acquisition of such business (an "Acquisition Target") by the Company or any of
its Affiliates, or take any action to induce or attempt to induce any
Acquisition Target to consummate any acquisition, investment or other similar
transaction with any Person other than the Company or any of the Company's
Affiliates.

         (c)      If, at the time of enforcement of Section 5 of this Agreement,
a court shall hold that the duration, scope, or area restrictions stated herein
are unreasonable under circumstances then existing, the parties hereto agree
that the maximum period, scope or geographical area reasonable under such
circumstances shall be substituted for the stated period, scope or area and that
the court shall be allowed and directed to revise the restrictions contained
herein to cover the maximum period, scope and area permitted by law. Because
Executive's services are unique and because Executive has access to Confidential
Information and Work Product (as defined on the Appendix hereto), the parties
hereto agree that money damages would not be an adequate remedy for any breach
of this Agreement. Therefore, in the event a breach or threatened breach of this
Agreement, the Company or its successors or assigns may, in addition to other
rights and remedies existing in their favor, apply to any court of competent
jurisdiction for specific performance and/or injunctive or other relief in order
to enforce, or prevent any violations of, the

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                                  CONFIDENTIAL

provisions hereof (without posting a bond or other security). In addition, in
the event of an alleged breach or violation by Executive of Section 5, the
period set forth in such Section shall be tolled until such breach or violation
has been duly cured. Executive agrees that the restrictions contained in Section
5 are reasonable and that Executive has received consideration in exchange
therefor.

         6.       Other Terms and Conditions. The terms and conditions set forth
on the Appendix attached hereto are incorporated herein by reference as if fully
set forth herein and constitute an integral part of this Agreement.

                                     * * * *

                  IN WITNESS WHEREOF, the parties hereto have executed this
Executive Agreement on the date first written above.

                                            ZIFF DAVIS MEDIA INC.

                                            BY: /s/ Bart W. Catalane
                                                --------------------------------

                                            ITS: Chief Operating Officer and CFO

                                            EXECUTIVE:

                                                /s/ Sloan Seymour
                                            ------------------------------------
                                            SLOAN SEYMOUR

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                                  CONFIDENTIAL

                         APPENDIX TO EXECUTIVE AGREEMENT

         1.       Notices. Any notice provided for in this Agreement must be in
writing and must be either personally delivered, mailed by first class mail
(postage prepaid and return receipt requested) or sent by reputable overnight
courier service (charges prepaid) to the recipients at the address indicated
below or to such other address or to the attention of such other person as the
recipient party shall have specified by prior written notice to the sending
party: (a) if to Executive: Sloan Seymour, 277 Hicks Street, Apartment 1E,
Brooklyn Heights, New York 11201 and (b) if to the Company: Ziff Davis Holdings,
Inc., 28 E. 28th Street, New York, New York 10016, Attention: General Counsel.
Any notice under this Agreement shall be deemed to have been given five (5)
calendar days after deposit in the U.S. mail, if mailed, or otherwise when so
delivered or sent otherwise.

         2.       Representations and Warranties.

         (a)      By the Company. In connection with the execution and delivery
of this Agreement, the Company represents and warrants to Executive as of the
Effective Date that (i) the execution, delivery and performance of this
Agreement have been duly and validly authorized by all necessary corporate
action and (ii) this Agreement constitutes a valid and binding obligation of the
Company, enforceable in accordance with its terms.

         (b)      By Executive. In connection with the execution and delivery of
this Agreement, Executive represents and warrants to the Company as of the
Effective Date that (i) this Agreement constitutes the legal, valid and binding
obligation of Executive, enforceable in accordance with its terms, and the
execution, delivery and performance of this Agreement by Executive does not and
shall not conflict with, violate or cause a breach of any agreement, contract or
instrument to which Executive is a party or any judgment, order or decree to
which Executive is subject; (ii) Executive is not a party to or bound by any
employment agreement, noncompete agreement or confidentiality agreements with
any person or entity other than the Company; (iii) Executive has consulted with
independent legal counsel regarding his/her rights and obligations under this
Agreement and that Executive fully understands the terms and conditions
contained herein; and (iv) Executive has obtained advice from persons other than
the Company and its counsel regarding the tax effects of the transaction
contemplated hereby.

         3.       General Provisions

         (a)      Severability. Whenever possible, each provision of this
Agreement shall be interpreted in such manner as to be effective and valid under
applicable law, but if any provision of this Agreement is held to be invalid,
illegal or unenforceable in any respect under any applicable law or rule in any
jurisdiction, such invalidity, illegality or unenforceability shall not affect
any other provision or any other jurisdiction, but this Agreement shall be
reformed, construed and enforced in such jurisdiction as if such invalid,
illegal or unenforceable provision had never been contained herein.

         (b)      Complete Agreement. This Agreement, those documents expressly
referred to herein and other documents of even date herewith embody the complete
agreement and understanding among the parties and supersede and preempt any
prior understandings, agreements or representations by or among the parties,
written or oral, which may have related to the subject matter hereof in any way.

         (c)      Counterparts; Signatures Received via Facsimile. This
Agreement may be executed in separate counterparts, each of which is deemed to
be an original and all of which taken together constitute one and the same
agreement. Signatures received via facsimile shall be deemed originals for all
purposes.

         (d)      Successors and Assigns. Except as otherwise provided herein,
this Agreement shall bind and inure to the benefit of and be enforceable by
Executive, the Company and their respective successors and assigns; provided
that the rights and obligations of Executive under this Agreement shall not be
assignable.

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                                  CONFIDENTIAL

         (e)      GOVERNING LAW. THE CORPORATE LAW OF THE STATE OF DELAWARE WILL
GOVERN ALL ISSUES CONCERNING THE RELATIVE RIGHTS OF THE COMPANY AND ITS
STOCKHOLDERS. ALL OTHER ISSUES CONCERNING THIS AGREEMENT SHALL BE GOVERNED BY
AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT
GIVING EFFECT TO ANY CHOICE OF LAW OR CONFLICT OF LAW PROVISION OR RULE (WHETHER
OF THE STATE OF NEW YORK OR ANY OTHER JURISDICTION) THAT WOULD CAUSE THE
APPLICATION OF THE LAW OF ANY JURISDICTION OTHER THAN THE STATE OF NEW YORK.

         (f)      Jurisdiction. The state and federal courts located in New York
County, New York (the "Permitted Courts"), shall have sole and exclusive
jurisdiction of any dispute arising out of or related to this Agreement
(including without limitation allegations of the breach or attempted breach
thereof) (a "Proceeding"). Notwithstanding the foregoing, nothing in this
paragraph alters any agreement the parties may previously have made or may in
the future make to arbitrate disputes. Each of the parties hereby expressly
consents to the personal jurisdiction of each of the Permitted Courts with
respect to any Proceeding and waives any objection, whether on the grounds of
venue, residence or domicile or on the ground that the Proceeding has been
brought in an inconvenient forum, to any Proceeding brought in a Permitted
Court.

         (g)      Remedies. Each of the parties to this Agreement shall be
entitled to enforce its rights under this Agreement specifically, to recover
damages and costs (including reasonable attorney's fees) caused by any breach of
any provision of this Agreement and to exercise all other rights existing in its
favor. The parties hereto agree and acknowledge that money damages would not be
an adequate remedy for any breach of the provisions of this Agreement and that
any party may in its sole discretion apply to any court of law or equity of
competent jurisdiction (without posting any bond or deposit) for specific
performance and/or other injunctive relief in order to enforce or prevent any
violations of the provisions of this Agreement.

         (h)      Interpretation. The Article and Section headings used herein
are for convenience only and do not define, limit or construe the content of
such sections. The parties acknowledge that they are entering into this
Agreement after consulting with counsel and based upon equal bargaining power,
with each party having the ability to participate in its preparation. The terms
of this Agreement shall not be interpreted in favor of or against any party on
account of the draftsperson, but shall be interpreted solely for the purpose of
fairly effectuating the intent of the parties hereto.

         (i)      Survival. The provisions set forth in Section 4 and Section 5
of the Agreement and the provisions set forth in this Appendix shall survive and
continue in full force and effect in accordance with their terms notwithstanding
any termination of the Employment Period.

         (j)      Amendment and Waiver. The provisions of this Agreement may be
amended and waived only by means of a written instrument signed by each of the
Company and Executive.

         4.       Certain Definitions

         (a)      "Affiliate" of a Person means any other Person, entity or
investment fund controlling, controlled by or under common control with the
first-mentioned Person and, without limiting the foregoing, in the case of a
partnership, any partner thereof is deemed to be an Affiliate of the
partnership.

         (b)      "Cause" means (i) the commission by Executive of a felony or a
crime involving moral turpitude, (ii) the commission of any other act or
omission by Executive constituting fraud against the Company or any of its
Affiliates, or the violation of the duty of loyalty to the Company and/or its
Affiliates under applicable law, (iii) substantial failure by Executive to
perform job-related duties as reasonably directed by the CEO of the Company,
which failure, if curable, is not cured within fifteen (15) calendar days after
notice thereof to Executive, (iv) willful or reckless misconduct or, if curable,
gross negligence by Executive which is not cured within fifteen (15) days after
written notice thereof to Executive, with respect to the Company or any of its
Affiliates, or (v) any other material breach by Executive of this Agreement or
Company policy established by the CEO of the Company, which breach, if curable,
is not cured within fifteen (15) calendar days after written notice thereof to
Executive.

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                                  CONFIDENTIAL

         (c)      "Confidential Information" means all information of a
confidential or proprietary nature (whether or not specifically labeled or
identified as "confidential"), in any form or medium, that is or was disclosed
to, or developed or learned by, Executive in connection with Executive's
relationship with the Company or any of its Affiliates prior to the date hereof
or during the Employment Period and that relates to the business, products,
services, financing, research or development of the Company or any of its
Affiliates or their respective suppliers, distributors or customers.
Confidential Information includes, but is not limited to, the following: (i)
internal business information (including information relating to strategic and
staffing plans and practices, business, training, marketing, promotional and
sales plans and practices, cost, rate and pricing structures, accounting and
business methods); (ii) identities of, individual requirements of, specific
contractual arrangements with, and information about, any of the Company's or
any of its Affiliates' suppliers, distributors and customers and their
confidential information; (iii) trade secrets, know-how, compilations of data
and analyses, techniques, systems, formulae, research, records, reports,
manuals, documentation, models, data and data bases relating thereto; (iv)
inventions, innovations, improvements, developments, methods, designs, analyses,
drawings, reports and all similar or related information (whether or not
patentable); and (v) Acquisition Targets and potential acquisition candidates.
Confidential Information shall not include information that Executive can
demonstrate: (a) is or becomes publicly known through no wrongful act or breach
of obligation of confidentiality; (b) was rightfully received by Executive from
a third party (other than ZD, Inc. or any of its successors or Affiliates)
without a breach of any obligation of confidentiality by such third party; (c)
was known to Executive prior to his employment with the Company and its
Affiliates, or (d) is required to be disclosed pursuant to any applicable law or
court order; provided, however, that Executive provides the Company with prior
written notice of the requirement for disclosure that details the Confidential
Information to be disclosed and cooperates with the Company to preserve the
confidentiality of such information to the extent possible.

         (d)      "Good Reason" means the occurrence, without Executive's
consent, of any of the following: (a) unless corrected within fifteen (15)
calendar days after written notice by Executive to the CEO of the Company of
objection thereto, the assignment to Executive of any significant duties
materially inconsistent with Executive's status as the Senior Vice President,
Enterprise Group of the Company or a diminution of Executive's title(s), or a
substantial adverse alteration in the nature or status of Executive's
responsibilities; (b) a reduction in Executive's annual Base Salary as
contemplated hereby, except for across-the-board salary reductions similarly
affecting all senior executives of the Company; or (c) the Company requires
Executive to relocate from the New York metropolitan area.

         (e)      "Incapacity" means the disability of Executive caused by any
physical or mental injury, illness or incapacity as a result of which Executive
is unable to effectively perform the essential functions of Executive's duties
as determined by the Company in good faith, for a period of ninety (90)
consecutive calendar days or a period of one hundred and twenty (120) calendar
days during any one hundred and eighty (180) calendar day period.

         (f)      "Person" means an individual or a corporation, partnership,
limited liability company, trust, unincorporated organization, association or
other entity.

         (g)      "Work Product" means all inventions, innovations,
improvements, developments, methods, processes, designs, analyses, drawings,
reports and all similar or related information (whether or not patentable or
reduced to practice or comprising Confidential Information) and any
copyrightable work, trade mark, trade secret or other intellectual property
rights (whether or not comprising Confidential Information) and any other form
of Confidential Information, any of which relate to the Company's or any of its
Affiliates' actual or anticipated business, research and development or existing
or future products or services and which were or are conceived, reduced to
practice, contributed to, developed, made or acquired by Executive (whether
alone or jointly with others) while employed (both before and after the
Effective Date) by the Company (or its successors or assigns) and its
Affiliates. '

                                       8OFFICE LEASE AGREEMENT

 

Exhibit 10.8

WESTBROOK CORPORATE CENTER

WESTCHESTER, ILLINOIS

OFFICE LEASE AGREEMENT

BETWEEN

IL-WESTBROOK CORPORATE CENTER, L.L.C., a Delaware limited liability company

(“LANDLORD”)

AND

ONLINE DATA CORP., a Delaware corporation

(“TENANT”)

 

 

OFFICE LEASE AGREEMENT

     THIS
OFFICE LEASE AGREEMENT (the “Lease”) is made and entered into as of
December 24 2003, by and between IL-WESTBROOK CORPORATE
CENTER, L.L.C., a Delaware limited liability company (“Landlord”) and ONLINE
DATA CORP., a Delaware corporation (“Tenant”). The following exhibits and
attachments are incorporated into and made a part of the Lease: Exhibit A
(Outline and Location of Premises), Exhibit B (Intentionally Omitted),
Exhibit C (Intentionally Omitted), Exhibit D (Intentionally Omitted), Exhibit
E (Building Rules and Regulations) and Exhibit F (Guaranty of Lease).

	1.	 	Basic Lease Information.

     1.01
“Building” shall mean the 5 office buildings located at Westbrook
Corporate Center,
Westchester, Illinois, and commonly known as One Westbrook Corporate
Center, Two
Westbrook Corporate Center, Three Westbrook Corporate Center, Four
Westbrook Corporate
Center and Five Westbrook Corporate Center; and, at Landlord’s option,
shall include any other
building constructed on the vacant land owned by Landlord adjacent to the existing office
buildings in the Property (as hereinafter defined). “Rentable Square Footage of the Building” is
deemed to be 1,101,920 square feet; provided, however, that in the event Landlord constructs
another office building on the land which is part of the Property or elects to operate the
individual office buildings comprising the Building as separate entities, the Rentable Square
Footage of the Building shall be appropriately adjusted by Landlord.

     1.02
“Premises” shall mean the area shown on Exhibit A to this Lease. The Premises is
located on the second floor of Two Westbrook Corporate Center and known as
Suite 200. If the
Premises include one or more floors in their entirety, all corridors and
restroom facilities located
on such full floor(s) shall be considered part of the Premises. The
“Rentable Square Footage
of the Premises” is deemed to be 8,092 square feet. Landlord and Tenant
stipulate and agree
that the Rentable Square Footage of the Building and the Rentable Square Footage of the
Premises are correct.

     1.03
“Base Rent”:

	 	 	 	 	 	 	 	 	 
	 	 	Annual Rate	 	Monthly
	Period or Months of Term
	 	Per Square Foot
	 	Base Rent

	August 1, 2003 - November 30, 2004
	 	$	21.75	 	 	$	14,666.75	 
	 
	 	 	
 	 	 	 	
 	 

     1.04 “Tenant’s Pro Rata Share”: 0.7344%.

     1.05 Intentionally Omitted.

     1.06 “Term”: A period of 16 months and no days. Subject to Section 3, the Term shall
commence on August 1, 2003 (the “Commencement Date”) and, unless terminated early in
accordance with this Lease, end on November 30, 2004 (the “Termination Date”).

     1.07 Allowance(s): None.

     1.08 “Security Deposit”: None.

     1.09 
“Guarantor(s)”: iPayment, Inc., a Delaware corporation. Concurrent with Tenant’s
execution and delivery of this Lease, Tenant shall cause each Guarantor,
if any, to execute and
deliver a guaranty in favor of Landlord on a form reasonably approved by Landlord.

     1.10 “Broker(s)”: Ash Realty Brokerage, Inc..

     1.11 “Permitted Use”: General office use.

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     1.12 “Notice Address(es)”:

	 	 	 
	Landlord:

	 	Tenant:
	 
	 	 
	IL-Westbrook Corporate Center, L.L.C.

	 	Online Data Corp,
	c/o Equity Office Properties Trust

	 	Two Westbrook Corporate Center
	8600 W. Bryn Mawr Avenue, Suite 400N

	 	Suite 200
	Chicago, Illinois 60631

	 	Westchester, Illinois 60154
	Attention: Building Manager

	 	Attention: John Rante

     A copy of any notices to Landlord shall be sent to Equity Office, Two
North Riverside Plaza, Suite 2100, Chicago IL, 60606, Attn: Central
Regional Counsel.

     1.13 “Business Day(s)” are Monday through Friday of each week, exclusive
of New Year’s
Day, Presidents Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day and
Christmas Day (“Holidays”). Landlord may designate additional Holidays that are commonly
recognized by other office buildings in the area where the Building is located. “Building Service
Hours” are 8:00 a.m. to 6:00 p.m. on Business Days and 8:00 a.m. to 1:00 p.m. on Saturdays.

     1.14 “Landlord Work” means the work, if any, that Landlord is obligated to perform in the
Premises pursuant to a separate agreement (the “Work Letter”), if any, attached to this Lease
as Exhibit C.

     1.15 “Property” means the Building and the parcel(s) of land on which it is located and, at
Landlord’s discretion, the parking facilities and other improvements, if
any, serving the Building
and the parcel(s) of land on which they are located.

	2.	 	Lease Grant.

     The Premises are hereby leased to Tenant from Landlord, together with
the right to use any portions of the Property that are designated by
Landlord for the common use of tenants and others (the “Common Areas”).

	3.	 	Possession.

     3.01 Intentionally Omitted.

     3.02 Subject to Landlord’s obligation, if any, to perform Landlord Work,
the Premises are
accepted by Tenant in “as is” condition and configuration without any
representations or
warranties by Landlord. Tenant agrees that the Premises are in good order
and satisfactory
condition.

	4.	 	Rent.

     4.1 Tenant shall pay Landlord, without any setoff or deduction, unless
expressly set forth
in this Lease, all Base Rent and Additional Rent due for the Term (collectively referred to as
“Rent”). “Additional Rent” means all sums (exclusive of Base Rent) that Tenant is required to
pay Landlord under this Lease. Tenant shall pay and be liable for all rental, sales and use taxes
(but excluding income taxes), if any, imposed upon or measured by Rent. Base Rent and
recurring monthly charges of Additional Rent shall be due and payable in advance on the first
day of each calendar month without notice or demand, provided that the installment of Base
Rent for the first full calendar month of the Term shall be payable upon the execution of this
Lease by Tenant. All other items of Rent shall be due and payable by Tenant on or before 30
days after billing by Landlord. Rent shall be made payable to the entity, and sent to the
address, Landlord designates and shall be made by good and sufficient check or by other
means acceptable to Landlord. Tenant shall pay Landlord an administration fee equal to 5% of
all past due Rent, provided that Tenant shall be entitled to a grace period of 5 days for the first
2 late payments of Rent in a calendar year. In addition, past due Rent shall accrue interest at
12% per annum. Landlord’s acceptance of less than the correct amount of Rent shall be
considered a payment on account of the earliest Rent due. Rent for any partial month during
the Term shall be prorated. No endorsement or statement on a check or letter accompanying
payment shall be considered an accord and satisfaction. Tenant’s covenant to pay Rent is
independent of every other covenant in this Lease.

     402 Intentionally Omitted.

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	5.	 	Compliance with Laws; Use.

     The Premises shall be used for the Permitted Use and for no other use
whatsoever. Tenant shall comply with all statutes, codes, ordinances, orders,
rules and regulations of any municipal or governmental entity whether in effect
now or later, including the Americans with Disabilities Act (“Law(s)”),
regarding the operation of Tenant’s business and the use, condition,
configuration and occupancy of the Premises. In addition, Tenant shall, at its
sole cost and expense, promptly comply with any Laws that relate to the “Base
Building” (defined below), but only to the extent such obligations are
triggered by Tenant’s use of the Premises, other than for general office use,
or Alterations or improvements in the Premises performed or requested by
Tenant. “Base Building” shall include the structural portions of the Building,
the public . restrooms and the Building mechanical, electrical and plumbing
systems and equipment located in the internal core of the Building on the floor
or floors on which the Premises are located. Tenant shall promptly provide
Landlord with copies of any notices it receives regarding an alleged violation
of Law. Landlord, at its sole cost and expense, shall be responsible for
correcting any violations of Title III of the Americans with Disabilities Act
with respect to the Premises and the Common Areas of the Building, provided
that Landlord’s obligation with respect to the Premises shall be limited to
violations that arise out of the Landlord Work and/or the condition of the
Premises prior to the installation of any furniture, equipment and other
personal property of Tenant. Notwithstanding the foregoing, Landlord shall have
the right to contest any alleged violation in good faith, including, without
limitation, the right to apply for and obtain a waiver or deferment of
compliance, the right to assert any and all defenses allowed by Law and the
right to appeal any decisions, judgments or rulings to the fullest extent
permitted by Law. Landlord, after the exhaustion of any and all rights to
appeal or contest, will make all repairs, additions, alterations or
improvements necessary to comply with the terms of any final order or judgment.
Notwithstanding the foregoing, Tenant, not Landlord, shall be responsible for
the correction of any violations that arise out of or in connection with any
claims brought under any provision of the Americans with Disabilities Act other
than Title III, the specific nature of Tenant’s business in the Premises (other
than general office use), the acts or omissions of Tenant, its agents,
employees or contractors, Tenant’s arrangement of any furniture, equipment or
other property in the Premises, any repairs, alterations, additions or
Improvements performed by or on behalf of Tenant (other than the Landlord Work)
and any design or configuration of the Premises specifically requested by
Tenant after being informed that such design or configuration may not be in
strict compliance with the ADA. Tenant shall comply with the rules and
regulations of the Building attached as Exhibit E and such other reasonable
rules and regulations adopted by Landlord from time to time, including rules
and regulations for the performance of Alterations (defined in Section 9).

	6.	 	Security Deposit.

     The Security Deposit shall be delivered to Landlord upon the execution
of this Lease by Tenant and held by Landlord without liability for interest
(unless required by Law) as security for the performance of Tenant’s
obligations. The Security Deposit is not an advance payment of Rent or a
measure of damages. Landlord may use all or a portion of the Security Deposit
to satisfy past due Rent or to cure any Default (defined in Section 18) by
Tenant. If Landlord uses any portion of the Security Deposit, Tenant shall,
within 5 days after demand, restore the Security Deposit to its original
amount. Landlord shall return any unapplied portion of the Security Deposit
to Tenant within 45 days after the later to occur of: (a) determination of
the final Rent due from Tenant; or (b) the later to occur of the Termination
Date or the date Tenant surrenders the Premises to Landlord in compliance
with Section 25. Landlord may assign the Security Deposit to a successor or
transferee and, following the assignment, Landlord shall have no further
liability for the return of the Security Deposit. Landlord shall not be
required to keep the Security Deposit separate from its other accounts.

	7.	 	Building Services.

     7.01 Landlord shall furnish Tenant with the following services: (a)
water for use in the Base Building lavatories; (b) customary heat and air
conditioning in season during Building Service Hours. Tenant shall have the
right to receive HVAC service during hours other than Building Service Hours
by paying Landlord’s then standard charge for additional HVAC service and
providing such prior notice as is reasonably specified by Landlord; (c)
standard janitorial service on Business Days; (d) Elevator service; (e)
Electricity in accordance with the terms and conditions in Section 7.02; and
(f) such other services as Landlord reasonably determines are necessary or
appropriate for the Property.

- 3 -

 

     7.02 Electricity used by Tenant in the Premises shall be paid for by
Tenant by separate
charge billed by the applicable utility company and payable directly by
Tenant. Without the
consent of Landlord, Tenant’s use of electrical service shall not exceed,
either in voltage, rated
capacity, use beyond Building Service Hours or overall load, that which
Landlord reasonably
deems to be standard for the Building. Landlord shall have the right to
measure electrical usage
by commonly accepted methods. If it is determined that Tenant is using excess electricity,
Tenant shall pay Landlord for the cost of such excess electrical usage as Additional Rent.

     7.03 Landlord’s failure to furnish, or any interruption, diminishment or termination of
services due to the application of Laws, the failure of any equipment, the
performance of
repairs, improvements or alterations, utility interruptions or the
occurrence of an event of Force
Majeure (defined in Section 26.03) (collectively a “Service Failure”)
shall not render Landlord
liable to Tenant, constitute a constructive eviction of Tenant, give rise
to an abatement of Rent,
nor relieve Tenant from the obligation to fulfill any covenant or
agreement. However, if the
Premises, or a material portion of the Premises, are made untenantable for
a period in excess
of 3 consecutive Business Days as a result of a Service Failure that is
reasonably within the
control of Landlord to correct, then Tenant, as its sole remedy, shall be
entitled to receive an
abatement of Rent payable hereunder during the period beginning on
the 4th
consecutive
Business Day of the Service Failure and ending on the day the service has
been restored. If
the entire Premises have not been rendered untenantable by the Service
Failure, the amount of
abatement shall be equitably prorated.

	8.	 	Leasehold Improvements.

     All improvements in and to the Premises, including any Alterations
(collectively, “Leasehold Improvements”) shall remain upon the Premises at
the end of the Term without compensation to Tenant. Landlord, however, by
written notice to Tenant at least 30 days prior to the Termination Date, may
require Tenant, at its expense, to remove (a) any Cable (defined in Section
9.01) installed by or for the benefit of Tenant, and (b) any Landlord Work or
Alterations that, in Landlord’s reasonable judgment, are of a nature that
would require removal and repair costs that are materially in excess of the
removal and repair costs associated with standard office improvements
(collectively referred to as “Required Removables”). Required Removables
shall include, without limitation, internal stairways, raised floors,
personal baths and showers, vaults, rolling file systems and structural
alterations and modifications. The designated Required Removables shall be
removed by Tenant before the Termination Date. Tenant shall repair damage
caused by the installation or removal of Required Removables. If Tenant fails
to perform its obligations in a timely manner, Landlord may perform such work
at Tenant’s expense. Tenant, at the time it requests approval for a proposed
Alteration, may request in writing that Landlord advise Tenant whether the
Alteration or any portion of the Alteration is a Required Removable. Within
10 days after receipt of Tenant’s request, Landlord shall advise Tenant in
writing as to which portions of the Alteration are Required Removables.

	9.	 	Repairs and Alterations.

     9.1 Tenant shall periodically inspect the Premises to identify any
conditions that are
dangerous or in need of maintenance or repair. Tenant shall promptly
provide Landlord with
notice of any such conditions. Tenant shall, at its sole cost and expense,
perform all
maintenance and repairs to the Premises that are not Landlord’s express
responsibility under
this Lease, and keep the Premises in good condition and repair, reasonable
wear and tear
excepted. Tenant’s repair and maintenance obligations include, without
limitation, repairs to:
(a) floor covering; (b) interior partitions; (c) doors; (d) the interior
side of demising walls;
(e) electronic, phone and data cabling and related equipment that is
installed by or for the
exclusive benefit of Tenant (collectively, “Cable”); (f) supplemental air
conditioning units,
kitchens, including hot water heaters, plumbing, and similar facilities
exclusively serving Tenant;
and (g) Alterations. To the extent Landlord is not reimbursed by insurance
proceeds, Tenant
shall reimburse Landlord for the cost of repairing damage to the Building
caused by the acts of
Tenant, Tenant Related Parties and their respective contractors and
vendors. If Tenant fails to
make any repairs to the Premises for more than 15 days after notice from
Landlord (although
notice shall not be required in an emergency), Landlord may make the
repairs, and Tenant shall
pay the reasonable cost of the repairs, together with an administrative charge in an amount
equal to 10% of the cost of the repairs.

     9.2 Landlord shall keep and maintain in good repair and working order and perform
maintenance upon the: (a) structural elements of the Building; (b)
mechanical (including HVAC),
electrical, plumbing and fire/life safety systems serving the Building in
general; (c) Common

-4-

 

Areas; (d) roof of the Building; (e) exterior windows of the Building; and
(f) elevators serving the Building. Landlord shall promptly make repairs for
which Landlord is responsible.

     9.03 Tenant shall not make alterations, repairs, additions or improvements
or install any Cable (collectively referred to as “Alterations”) without first
obtaining the written consent of Landlord in each instance, which consent shall
not be unreasonably withheld or delayed. However, Landlord’s consent shall not
be required for any Alteration that satisfies all of the following criteria (a
“Cosmetic Alteration”): (a) is of a cosmetic nature such as painting,
wallpapering, hanging pictures and installing carpeting; (b) is not visible
from the exterior of the Premises or Building; (c) will not affect the Base
Building; and (d) does not require work to be performed inside the walls or
above the ceiling of the Premises. Cosmetic Alterations shall be . subject to
all the other provisions of this Section 9.03. Prior to starting work, Tenant
shall furnish Landlord with plans and specifications; names of contractors
reasonably acceptable to Landlord (provided that Landlord may designate
specific contractors with respect to Base Building); required permits and
approvals; evidence of contractor’s and subcontractor’s insurance in amounts
reasonably required by Landlord and naming Landlord as an additional insured;
and any security for performance in amounts reasonably required by Landlord.
Changes to the plans and specifications must also be submitted to Landlord for
its approval. Alterations shall be constructed in a good and workmanlike manner
using materials of a quality reasonably approved by Landlord. Tenant shall
reimburse Landlord for any sums paid by Landlord for third party examination of
Tenant’s plans for non-Cosmetic Alterations. In addition, Tenant shall pay
Landlord a fee for Landlord’s oversight and coordination of any non-Cosmetic
Alterations equal to 10% of the cost of the Alterations. Upon completion,
Tenant shall furnish “as-built” plans for non-Cosmetic Alterations, completion
affidavits and full and final waivers of lien. Landlord’s approval of an
Alteration shall not be deemed a representation by Landlord that the Alteration
complies with Law.

	10.	 	Entry by Landlord.

     Landlord may enter the Premises to inspect, show or clean the Premises
or to perform or facilitate the performance of repairs, alterations or
additions to the Premises or any portion of the Building. Except in
emergencies or to provide Building services, Landlord shall provide Tenant
with reasonable prior verbal notice of entry and shall use reasonable
efforts to minimize any interference with Tenant’s use of the Premises. If
reasonably necessary, Landlord may temporarily close all or a portion of the
Premises to perform repairs, alterations and additions. However, except in
emergencies, Landlord will not close the Premises if the work can reasonably
be completed on weekends and after Building Service Hours. Entry by Landlord
shall not constitute a constructive eviction or entitle Tenant to an
abatement or reduction of Rent.

	11.	 	Assignment and Subletting.

     11.01 Except in connection with a Permitted Transfer (defined in Section
11.04), Tenant
shall not assign, sublease, transfer or encumber any interest in this
Lease or allow any third
party to use any portion of the Premises (collectively or individually, a
“Transfer”) without the
prior written consent of Landlord, which consent shall not be unreasonably
withheld,
conditioned or delayed if Landlord does not exercise its recapture rights
under Section 11.02. If
the entity which controls the voting shares/rights of Tenant changes at
any time, such change
of ownership or control shall constitute a Transfer unless Tenant is an
entity whose outstanding
stock is listed on a recognized securities exchange or if at least 80% of its voting stock is
owned by another entity, the voting stock of which is so listed. Any attempted Transfer in
violation of this Section is voidable by Landlord. In no event shall any Transfer, including a
Permitted Transfer, release or relieve Tenant from any obligation under this Lease.

     11.02 Tenant shall provide Landlord with financial statements for the proposed transferee,
a fully executed copy of the proposed assignment, sublease or other
Transfer documentation
and such other information as Landlord may reasonably request. Within 15
Business Days after
receipt of the required information and documentation, Landlord shall
either: (a) consent to the
Transfer by execution of a consent agreement in a form reasonably
designated by Landlord;
(b) reasonably refuse to consent to the Transfer in writing; or (c) in the
event of an assignment
of this Lease or subletting of more than 20% of the Rentable Area of the
Premises for more
than 50% of the remaining Term (excluding unexercised options), recapture
the portion of the
Premises that Tenant is proposing to Transfer. If Landlord exercises its
right to recapture, this
Lease shall automatically be amended (or terminated if the entire Premises
is being assigned or
sublet) to delete the applicable portion of the Premises effective on the
proposed effective date
of the Transfer. Tenant shall pay Landlord a review fee of $1,500.00 for
Landlord’s review of
any Permitted Transfer or requested Transfer.

-5-

 

     11.03 Tenant shall pay Landlord 50% of all rent and other consideration
which Tenant
receives as a result of a Transfer that Is in excess of the Rent payable
to Landlord for the
portion of the Premises and Term covered by the Transfer. Tenant shall
pay Landlord for
Landlord’s share of the excess within 30 days after Tenant’s receipt of
the excess. Tenant may
deduct from the excess, on a straight-line basis, all reasonable and customary expenses
directly incurred by Tenant attributable to the Transfer, If Tenant is in Default, Landlord may
require that all sublease payments be made directly to Landlord, in which case Tenant shall
receive a credit against Rent in the amount of Tenant’s share of payments received by
Landlord.

     11.04 Tenant may assign this Lease to a successor to Tenant by purchase, merger,
consolidation or reorganization (an “Ownership Change”) or assign this
Lease or sublet all or a
portion of the Premises to an Affiliate without the consent of Landlord,
provided that all of the
following conditions are satisfied (a “Permitted Transfer”): (a) Tenant is
not in Default; (b) in
the event of an Ownership Change, Tenant’s successor shall own
substantially all of the assets
of Tenant and have a net worth which is at least equal to Tenant’s net
worth as of the day prior
to the proposed Ownership Change; (c) the Permitted Use does not allow the
Premises to be
used for retail purposes; and (d) Tenant shall give Landlord written
notice at least 15 Business
Days prior to the effective date of the Permitted Transfer. Tenant’s
notice to Landlord shall
include information and documentation evidencing the Permitted Transfer
and showing that
each of the above conditions has been satisfied. If requested by Landlord,
Tenant’s successor
shall sign a commercially reasonable form of assumption agreement.
“Affiliate” shall mean an
entity controlled by, controlling or under common control with Tenant.

	12.	 	Liens.

     Tenant shall not permit mechanics’ or other liens to be placed upon the
Property, Premises or Tenant’s leasehold interest in connection with any work
or service done or purportedly done by or for the benefit of Tenant or its
transferees. Tenant shall give Landlord notice at least 15 days prior to the
commencement of any work in the Premises to afford Landlord the opportunity,
where applicable, to post and record notices of non-responsibility. Tenant,
within 10 days of notice from Landlord, shall fully discharge any lien by
settlement, by bonding or by insuring over the lien in the manner prescribed
by the applicable lien Law. If Tenant fails to do so, Landlord may bond,
insure over or otherwise discharge the lien. Tenant shall reimburse Landlord
for any amount paid by Landlord, including, without limitation, reasonable
attorneys’ fees.

	13.	 	Indemnity and Waiver of Claims.

     Tenant hereby waives all claims against and releases Landlord and its
trustees, members, principals, beneficiaries, partners, officers, directors,
employees, Mortgagees (defined in Section 23) and agents (the “Landlord Related
Parties”) from all claims for any injury to or death of persons, damage to
property or business loss in any manner related to (a) Force Majeure, (b) acts
of third parties, (c) the bursting or leaking of any tank, water closet, drain
or other pipe, (d) the inadequacy or failure of any security services,
personnel or equipment, or (e) any matter not within the reasonable control of
Landlord. Except to the extent caused by the negligence or willful misconduct
of Landlord or any Landlord Related Parties, Tenant shall indemnify, defend and
hold Landlord and Landlord Related Parties harmless against and from all
liabilities, obligations, damages, penalties, claims, actions, costs, charges
and expenses, including, without limitation, reasonable attorneys’ fees and
other professional fees (if and to the extent permitted by Law) (collectively
referred to as “Losses”), which may be imposed upon, incurred by or asserted
against Landlord or any of the Landlord Related Parties by any third party and
arising out of or in connection with any damage or injury occurring in the
Premises or any acts or omissions (including violations of Law) of Tenant, the
Tenant Related Parties or any of Tenant’s transferees, contractors or
licensees. Except to the extent caused by the negligence or willful misconduct
of Tenant or any Tenant Related Parties, Landlord shall indemnify, defend and
hold Tenant, its trustees, members, principals, beneficiaries, partners,
officers, directors, employees and agents (“Tenant Related Parties”) harmless
against and from all Losses which may be imposed upon, incurred by or asserted
against Tenant or any of the Tenant Related Parties by any third party and
arising out of or in connection with the acts or omissions (including
violations of Law) of Landlord or the Landlord Related Parties.

	14.	 	Insurance.

     Tenant shall maintain the following insurance (“Tenant’s Insurance”): (a)
Commercial General Liability Insurance applicable to the Premises and Its
appurtenances providing, on an

-6-

 

occurrence basis, a minimum combined single limit of $2,000,000.00; (b)
Property/Business Interruption Insurance written on an All Risk or Special
Perils form, with coverage for broad form water damage including earthquake
sprinkler leakage, at replacement cost value and with a replacement cost
endorsement covering all of Tenant’s business and trade fixtures, equipment,
movable partitions, furniture, merchandise and other personal property within
the Premises (“Tenant’s Property”) and any Leasehold Improvements performed by
or for the benefit of Tenant; (c) Workers’ Compensation Insurance In amounts
required by Law; and (d) Employers Liability Coverage of at least $1,000,000,00
per occurrence. Any company writing Tenant’s Insurance shall have an A.M. Best
rating of not less than A-VIII. All Commercial General Liability Insurance
policies shall name as additional insureds Landlord (or its successors and
assignees), the managing agent for the Building (or any successor), EOP
Operating Limited Partnership, Equity Office Properties Trust and their
respective members, principals, beneficiaries, partners, officers, directors,
employees, and agents, and other designees of Landlord and its successors as
the interest of such designees shall appear. All policies of Tenant’s Insurance
shall contain endorsements that the insurer(s) shall give Landlord and its
designees at least 30 days’ advance written notice of any cancellation,
termination, material change or lapse of insurance. Tenant shall provide
Landlord with a certificate of insurance evidencing Tenant’s Insurance prior to
the earlier to occur of the Commencement Date or the date Tenant is provided
with possession of the Premises, and thereafter as necessary to assure that
Landlord always has current certificates evidencing Tenant’s Insurance. So long
as the same is available at commercially reasonable rates, Landlord shall
maintain so called All Risk property insurance on the Building at replacement
cost value as reasonably estimated by Landlord.

	15.	 	Subrogation.

     Landlord and Tenant hereby waive and shall cause their respective
insurance carriers to waive any and all rights of recovery, claims, actions or
causes of action against the other for any loss or damage with respect to
Tenant’s Property, Leasehold Improvements, the Building, the Premises, or any
contents thereof, including rights, claims, actions and causes of action based
on negligence, which loss or damage is (or would have been, had the insurance
required by this Lease been carried) covered by insurance.

	16.	 	Casualty Damage.

     16.01 If all or any portion of the Premises becomes untenantable by fire
or other casualty to
the Premises (collectively a “Casualty”), Landlord, with reasonable
promptness, shall cause a
general contractor selected by Landlord to provide Landlord and Tenant
with a written estimate
of the amount of time required using standard working methods to
Substantially Complete the
repair and restoration of the Premises and any Common Areas necessary to
provide access to
the Premises (“Completion Estimate”). If the Completion Estimate indicates
that the Premises
or any Common Areas necessary to provide access to the Premises cannot be
made
tenantable within 180 days from the date the repair is started, then
either party shall have the
right to terminate this Lease upon written notice to the other within 10
days after receipt of the
Completion Estimate. Tenant, however, shall not have the right to
terminate this Lease if the
Casualty was caused by the negligence or intentional misconduct of Tenant
or any Tenant
Related Parties. In addition, Landlord, by notice to Tenant within 90 days
after the date of the
Casualty, shall have the right to terminate this Lease if: (1) the
Premises have been materially
damaged and there is less than 2 years of the Term remaining on the date
of the Casualty;
(2) any Mortgagee requires that the insurance proceeds be applied to the
payment of the
mortgage debt; or (3) a material uninsured loss to the Building occurs.

     16.02 If this Lease is not terminated, Landlord shall promptly and diligently, subject to
reasonable delays for insurance adjustment or other matters beyond
Landlord’s reasonable
control, restore the Premises and Common Areas. Such restoration shall be
to substantially the
same condition that existed prior to the Casualty, except for
modifications required by Law or
any other modifications to the Common Areas deemed desirable by Landlord.
Upon notice from
Landlord, Tenant shall assign to Landlord (or to any party designated by
Landlord) all property
insurance proceeds payable to Tenant under Tenant’s Insurance with respect
to any Leasehold
Improvements performed by or for the benefit of Tenant; provided if the
estimated cost to repair
such Leasehold Improvements exceeds the amount of insurance proceeds
received by
Landlord from Tenant’s insurance carrier, the excess cost of such repairs
shall be paid by
Tenant to Landlord prior to Landlord’s commencement of repairs. Within 15
days of demand,
Tenant shall also pay Landlord for any additional excess costs that are
determined during the
performance of the repairs. Landlord shall not be liable for any
inconvenience to Tenant, or
injury to Tenant’s business resulting in any way from the Casualty or the
repair thereof.
Provided that Tenant is not in Default, during any period of time that all
or a material portion of

-7-

 

the Premises is rendered untenantable as a result of a Casualty, the Rent
shall abate for the portion of the Premises that is untenantable and not used
by Tenant.

	17.	 	Condemnation.

     Either party may terminate this Lease if any material part of the Premises
is taken or condemned for any public or quasi-public use under Law, by eminent
domain or private purchase in lieu thereof (a “Taking”). Landlord shall also
have the right to terminate this Lease if there is a Taking of any portion of
the Building or Properly which would have a material adverse effect on
Landlord’s ability to profitably operate the remainder of the Building. The
terminating party shall provide written notice of termination to the other
party within 45 days after it first receives notice of the Taking. The
termination shall be effective on the date the physical taking occurs. If this
Lease is not terminated, Base Rent and Tenant’s Pro Rata Share shall be
appropriately adjusted to account for any reduction in the square footage of
the Building or Premises. All compensation awarded for a Taking shall be the
property of Landlord. The right to receive compensation or proceeds are
expressly waived by Tenant, however, Tenant may file a separate claim for
Tenant’s Property and Tenant’s reasonable relocation expenses, provided the
filing of the claim does not diminish the amount of Landlord’s award. If only a
part of the Premises is subject to a Taking and this Lease is not terminated,
Landlord, with reasonable diligence, will restore the remaining portion of the
Premises as nearly as practicable to the condition immediately prior to the
Taking.

	18.	 	Events of Default.

     Each of the following occurrences shall be a “Default”: (a) Tenant’s
failure to pay any portion of Rent when due, if the failure continues for 5
days after written notice to Tenant (“Monetary Default”); (b) Tenant’s failure
(other than a Monetary Default) to comply with any term, provision, condition
or covenant of this Lease, if the failure is not cured within 10 days after
written notice to Tenant provided, however, if Tenant’s failure to comply
cannot reasonably be cured within 10 days, Tenant shall be allowed additional
time (not to exceed 90 days) as is reasonably necessary to cure the failure so
long as Tenant begins the cure within 10 days and diligently pursues the cure
to completion; (c) Tenant or any Guarantor becomes insolvent, makes a transfer
in fraud of creditors, makes an assignment for the benefit of creditors,
admits in writing its inability to pay its debts when due or forfeits or loses
its right to conduct business; (d) the leasehold estate is taken by process or
operation of Law; (e) in the case of any ground floor or retail Tenant, Tenant
does not take possession of or abandons or vacates all or any portion of the
Premises; or (f) Tenant is in default beyond any notice and cure period under
any other lease or agreement with Landlord at the Building or Property. If
Landlord provides Tenant with notice of Tenant’s failure to comply with any
specific provision of this Lease on 3 separate occasions during any 12 month
period, Tenant’s subsequent violation of such provision shall, at Landlord’s
option, be an incurable Default by Tenant. All notices sent under this Section
shall be in satisfaction of, and not in addition to, notice required by Law.

	19.	 	Remedies.

     19.01 Upon Default, Landlord shall have the right to pursue any one or
more of the following remedies:

          (a) Terminate this Lease, in which case Tenant shall immediately surrender
the
Premises to Landlord. If Tenant fails to surrender the Premises, Landlord,
in compliance with
Law, may enter upon and take possession of the Premises and remove Tenant,
Tenant’s
Property and any party occupying the Premises. Tenant shall pay Landlord,
on demand, all past
due Rent and other losses and damages Landlord suffers as a result of
Tenant’s Default,
including, without limitation, all Costs of Reletting (defined below) and
any deficiency that may
arise from reletting or the failure to relet the Premises. “Costs of
Reletting” shall include all
reasonable costs and expenses incurred by Landlord in reletting or
attempting to relet the
Premises, including, without limitation, legal fees, brokerage
commissions, the cost of
alterations and the value of other concessions or allowances granted to a
new tenant.

          (b) Terminate Tenant’s right to possession of the Premises and, in
compliance with
Law, remove Tenant, Tenant’s Property and any parties occupying the
Premises. Landlord
may (but shall not be obligated to) relet all or any part of the Premises,
without notice to Tenant,
for such period of time and on such terms and conditions (which may
include concessions, free
rent and work allowances) as Landlord in its absolute discretion shall
determine. Landlord may
collect and receive all rents and other income from the reletting. Tenant
shall pay Landlord on
demand all past due Rent, all Costs of Reletting and any deficiency
arising from the reletting or

-8-

 

failure to relet the Premises. The re-entry or taking of possession of the
Premises shall not be construed as an election by Landlord to terminate this
Lease.

19.02 In lieu of calculating damages under Section 19.01, Landlord may elect
to receive as damages the sum of (a) all Rent accrued through the date of
termination of this Lease or Tenant’s right to possession, and (b) an amount
equal to the total Rent that Tenant would have been required to pay for the
remainder of the Term discounted to present value, minus the then present fair
rental value of the Premises for the remainder of the Term, similarly
discounted, after deducting all anticipated Costs of Reletting. If Tenant is
in Default of any of its non-monetary obligations under the Lease, Landlord
shall have the right to perform such obligations. Tenant shall reimburse
Landlord for the cost of such performance upon demand together with an
administrative charge equal to 10% of the cost of the work performed by
Landlord. The repossession or re-entering of all or any part of the Premises
shall not relieve Tenant of its liabilities and obligations under this Lease.
No right or remedy of Landlord shall be exclusive of any other right or
remedy. Each right and remedy shall be cumulative and in addition to any other
right and remedy now or subsequently available to Landlord at Law or in
equity.

20. Limitation of Liability.

     NOTWITHSTANDING ANYTHING TO THE CONTRARY CONTAINED IN THIS LEASE, THE
LIABILITY OF LANDLORD (AND OF ANY SUCCESSOR LANDLORD) SHALL BE LIMITED TO THE
LESSER OF (A) THE INTEREST OF LANDLORD IN THE PROPERTY, OR (B) THE EQUITY
INTEREST LANDLORD WOULD HAVE IN THE PROPERTY IF THE PROPERTY WERE ENCUMBERED
BY THIRD PARTY DEBT IN AN AMOUNT EQUAL TO 70% OF THE VALUE OF THE PROPERTY.
TENANT SHALL LOOK SOLELY TO LANDLORD’S INTEREST IN THE PROPERTY FOR THE
RECOVERY OF ANY JUDGMENT OR AWARD AGAINST LANDLORD OR ANY LANDLORD RELATED
PARTY. NEITHER LANDLORD NOR ANY LANDLORD RELATED PARTY SHALL BE PERSONALLY
LIABLE FOR ANY JUDGMENT OR DEFICIENCY, AND IN NO EVENT SHALL LANDLORD OR ANY
LANDLORD RELATED PARTY BE LIABLE TO TENANT FOR ANY LOST PROFIT, DAMAGE TO OR
LOSS OF BUSINESS OR ANY FORM OF SPECIAL, INDIRECT OR CONSEQUENTIAL DAMAGE.
BEFORE FILING SUIT FOR AN ALLEGED DEFAULT BY LANDLORD, TENANT SHALL GIVE
LANDLORD AND THE MORTGAGEE(S) WHOM TENANT HAS BEEN NOTIFIED HOLD MORTGAGES
(DEFINED IN SECTION 23 BELOW), NOTICE AND REASONABLE TIME TO CURE THE ALLEGED
DEFAULT.

	21.	 	Relocation.

     Landlord, at its expense, at any time before or during the Term, may
relocate Tenant from the Premises to space of reasonably comparable size and
utility (“Relocation Space”) within the Building or adjacent buildings within
the same project upon 60 days’ prior written notice to Tenant. So long as
Tenant is leasing Suites 220 and 240 consisting of approximately 1,546 and
4,407 rentable square feet respectively in the Building from Landlord,
Landlord and Tenant understand and agree that to be a “reasonably comparable
space” for purposes of this Section XXIV, the Relocation Space must be
reasonably comparable (when viewed in combination with other space leased by
Tenant from Landlord) to the combined space consisting of the Premises and
Suite 220 and Suite 240. From and after the date of the relocation, the Base
Rent and Tenant’s Pro Rata Share shall be adjusted based on the rentable
square footage of the Relocation Space. Landlord shall pay Tenant’s reasonable
costs of relocation, including all costs for moving Tenant’s furniture,
equipment, supplies and other personal property, as well as the cost of
printing and distributing change of address notices to Tenant’s customers and
one month’s supply of stationery (and other reasonable, “address-change
sensitive” written materials) showing the new address.

     Unless otherwise agreed to in writing by Tenant, Landlord shall effect the
relocation move into the Relocation Space after 5:00 p.m. on a Friday, during a
weekend or on any Building Holiday (the “Approved Relocation Times”) so that
Tenant’s business is not interrupted during the relocation. Notwithstanding the
foregoing, if Landlord fails to substantially complete the relocation during
the Approved Relocation Times and, as a result thereof, Tenant cannot open in
the Relocation Space on the Business Day immediately following the relocation
during the Approved Relocation Times, Tenant, as its sole remedy, shall be
entitled to receive a per diem abatement of Base Rent for each Business Day the
relocation prohibits the Tenant from operating its business. Tenant, however,
shall not be entitled to an abatement to the extent Tenant is prohibited from
operating its business during such Business Day as a result of the acts or
omissions of Tenant, its agents, employees or contractors.

-9-

 

	22.	 	Holding Over.

     If Tenant fails to surrender all or any part of the Premises at the
termination of this Lease, occupancy of the Premises after termination shall be
that of a tenancy at sufferance. Tenant’s occupancy shall be subject to all the
terms and provisions of this Lease, and Tenant shall pay an amount (on a per
month basis without reduction for partial months during the holdover) equal to
150% of the sum of the Base Rent and Additional Rent due for the period
immediately preceding the holdover. No holdover by Tenant or payment by Tenant
after the termination of this Lease shall be construed to extend the Term or
prevent Landlord from immediate recovery of possession of the Premises by
summary proceedings or otherwise. If Landlord is unable to deliver possession
of the Premises to a new tenant or to perform improvements for a new tenant as
a result of Tenant’s holdover and Tenant fails to vacate the Premises within 30
days after notice from Landlord, Tenant shall be liable for all damages that
Landlord suffers from the holdover.

	23.	 	Subordination to Mortgages; Estoppel Certificate.

     Tenant accepts this Lease subject and subordinate to any mortgage(s),
deed(s) of trust, ground lease(s) or other lien(s) now or subsequently
arising upon the Premises, the Building or the Property, and to renewals,
modifications, refinancings and extensions thereof (collectively referred to
as a “Mortgage”). The party having the benefit of a Mortgage shall be
referred to as a “Mortgagee”. This clause shall be self-operative, but upon
request from a Mortgagee, Tenant shall execute a commercially reasonable
subordination agreement in favor of the Mortgagee. As an alternative, a
Mortgagee shall have the right at any time to subordinate its Mortgage to
this Lease. Upon request, Tenant, without charge, shall attorn to any
successor to Landlord’s interest in this Lease. Landlord and Tenant shall
each, within 10 days after receipt of a written request from the other,
execute and deliver a commercially reasonable estoppel certificate to those
parties as are reasonably requested by the other (including a Mortgagee or
prospective purchaser). Without limitation, such estoppel certificate may
include a certification as to the status of this Lease, the existence of any
defaults and the amount of Rent that is due and payable.

	24.	 	Notice.

     All demands, approvals, consents or notices (collectively referred to as
a “notice”) shall be in writing and delivered by hand or sent by registered
or certified mail with return receipt requested or sent by overnight or same
day courier service at the party’s respective Notice Address(es) set forth in
Section 1. Each notice shall be deemed to have been received on the earlier
to occur of actual delivery or the date on which delivery is refused, or, if
Tenant has vacated the Premises or any other Notice Address of Tenant without
providing a new Notice Address, 3 days after notice is deposited in the U.S.
mail or with a courier service in the manner described above. Either party
may, at any time, change its Notice Address (other than to a post office box
address) by giving the other party written notice of the new address.

	25.	 	Surrender of Premises.

     At the termination of this Lease or Tenant’s right of possession, Tenant
shall remove Tenant’s Property from the Premises, and quit and surrender the
Premises to Landlord, broom clean, and in good order, condition and repair,
ordinary wear and tear and damage which Landlord is obligated to repair
hereunder excepted. If Tenant fails to remove any of Tenant’s Property within
2 days after termination of this Lease or Tenant’s right to possession,
Landlord, at Tenant’s sole cost and expense, shall be entitled (but not
obligated) to remove and store Tenant’s Property. Landlord shall not be
responsible for the value, preservation or safekeeping of Tenant’s Property.
Tenant shall pay Landlord, upon demand, the expenses and storage charges
incurred. If Tenant fails to remove Tenant’s Property from the Premises or
storage, within 30 days after notice, Landlord may deem all or any part of
Tenant’s Property to be abandoned and title to Tenant’s Property shall vest
in Landlord.

	26.	 	Miscellaneous.

     26.01 This Lease shall be interpreted and enforced in accordance with
the Laws of the state or commonwealth in which the Building is located and
Landlord and Tenant hereby irrevocably consent to the jurisdiction and proper
venue of such state or commonwealth. If any term or provision of this Lease
shall to any extent be void or unenforceable, the remainder of this Lease
shall not be affected. If there is more than one Tenant or if Tenant is
comprised of more than one party or entity, the obligations imposed upon
Tenant shall be joint and several

-10-

 

obligations of all the parties and entities, and requests or demands from any
one person or entity comprising Tenant shall be deemed to have been made by
all such persons or entities. Notices to any one person or entity shall be
deemed to have been given to all persons and entities. Tenant represents and
warrants to Landlord that each individual executing this Lease on behalf of
Tenant is authorized to do so on behalf of Tenant and that Tenant is not, and
the entities or individuals constituting Tenant or which may own or control
Tenant or which may be owned or controlled by Tenant are not, among the
individuals or entities identified on any list compiled pursuant to Executive
Order 13224 for the purpose of identifying suspected terrorists.

     26.02 If either party institutes a suit against the other for violation of
or to enforce any
covenant, term or condition of this Lease, the prevailing party shall be
entitled to all of its costs
and expenses, including, without limitation, reasonable attorneys’ fees.
Landlord and Tenant
hereby waive any right to trial by jury in any proceeding based upon a breach of this Lease.
Either party’s failure to declare a default immediately upon its occurrence, or delay in taking
action for a default, shall not constitute a waiver of the default, nor shall it constitute an
estoppel.

     26.03 Whenever a period of time is prescribed for the taking of an action by Landlord or
Tenant (other than the payment of the Security Deposit or Rent), the
period of time for the
performance of such action shall be extended by the number of days that
the performance is
actually delayed due to strikes, acts of God, shortages of labor or
materials, war, terrorist acts,
civil disturbances and other causes beyond the reasonable control of the performing party
(“Force Majeure”).

     26.04 Landlord shall have the right to transfer and assign, in whole or in part, all of its rights
and obligations under this Lease and in the Building and Property. Upon
transfer Landlord shall
be released from any further obligations hereunder and Tenant agrees to
look solely to the
successor in interest of Landlord for the performance of such obligations,
provided that, any
successor pursuant to a voluntary, third party transfer (but not as part
of an involuntary transfer
resulting from a foreclosure or deed in lieu thereof) shall have assumed
Landlord’s obligations
under this Lease.

     26.05 Landlord has delivered a copy of this Lease to Tenant for Tenant’s review only and
the delivery of it does not constitute an offer to Tenant or an option.
Tenant represents that it
has dealt directly with and only with the Broker as a broker in connection
with this Lease.
Tenant shall indemnify and hold Landlord and the Landlord Related Parties
harmless from all
claims of any other brokers claiming to have represented Tenant in
connection with this Lease.
Landlord shall indemnify and hold Tenant and the Tenant Related Parties harmless from all
claims of any brokers claiming to have represented Landlord in connection with this Lease.

     26.06 Time is of the essence with respect to Tenant’s exercise of any expansion, renewal
or extension rights granted to Tenant. The expiration of the Term, whether
by lapse of time,
termination or otherwise, shall not relieve either party of any
obligations which accrued prior to
or which may continue to accrue after the expiration or termination of this Lease.

     26.07 Tenant may peacefully have, hold and enjoy the Premises, subject to the terms of this
Lease, provided Tenant pays the Rent and fully performs all of its
covenants and agreements.
This covenant shall be binding upon Landlord and its successors only
during its or their respective
periods of ownership of the Building.

     26.08 This Lease does not grant any rights to light or air over or about the Building.
Landlord excepts and reserves exclusively to itself any and all rights not
specifically granted to
Tenant under this Lease. This Lease constitutes the entire agreement
between the parties and
supersedes all prior agreements and understandings related to the
Premises, including all lease
proposals, letters of intent and other documents. Neither party is
relying upon any warranty,
statement or representation not contained in this Lease. This Lease may be
modified only by a
written agreement signed by an authorized representative of Landlord and
Tenant.

-11-

 

     Landlord and Tenant have executed this Lease as of the day and year
first above written.

	 	 	 	 	 
	WITNESS/ATTEST:

	 	LANDLORD:
	 	IL-WESTBROOK          CORPORATE
	

	 	 	 	CENTER, L.L.C., a Delaware limited
	

	 	 	 	liability company

	 	 	 	 	 
	/s/

	 	By:
	 	Equity Office Management, L.L.C., a
	

	 	 	 	Delaware limited liability company, its
	Name (print):

	 	 	 	non-member manager

	 	 	 	 	 	 	 
	

	 	 	 	By:
	 	/s/ Arvid Povilaitis
	

	 	 	 	 	 	

	

	 	 	 	Name:
	 	ARVID POVILAITIS
	Name (print):

	 	 	 	Title:
	 	SENIOR VICE PRESIDENT
	

	 	
	 	 	 	 

	 	 	 	 	 	 	 	 	 
	WITNESS/ATTEST:	 	TENANT:
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	ONLINE DATA CORP., a Delaware corporation
	 
	 	 	 	 	 	 	 	 
	/s/	 	By:	 	/s/ John R. Rante	 	 
	
	 	 	 	
	 	 
	Name (print):	 	Name:	 	JOHN R. RANTE	 	 
	 

	 	 	 	Title:
	 	PRESIDENT	 	 
	Name (print):
	 	 	 	 	 	 	 	 
	 	 	
	 	

	 	 	 	 	Tenant’s Tax ID Number (SSN or FEIN)

-12-

 

EXHIBIT A

OUTLINE AND LOCATION OF PREMISES

 

 

EXHIBIT B

INTENTIONALLY OMITTED

B-1

 

EXHIBIT C

INTENTIONALLY OMITTED

C-1

 

EXHIBIT D

INTENTIONALLY OMITTED

D-1

 

EXHIBIT E

BUILDING RULES AND REGULATIONS

     The following rules and regulations shall apply, where applicable, to
the Premises, the Building, the parking facilities (if any), the Property
and the appurtenances. In the event of a conflict between the following
rules and regulations and the remainder of the terms of the Lease, the
remainder of the terms of the Lease shall control. Capitalized terms have
the same meaning as defined in the Lease.

	1.	 	Sidewalks, doorways, vestibules, halls, stairways and other similar areas
shall not be
obstructed by Tenant or used by Tenant for any purpose other than ingress
and egress
to and from the Premises. No rubbish, litter, trash, or material shall be
placed, emptied,
or thrown in those areas. At no time shall Tenant permit Tenant’s
employees to loiter in
Common Areas or elsewhere about the Building or Property.
	 
	2.	 	Plumbing fixtures and appliances shall be used only for the purposes for
which designed
and no sweepings, rubbish, rags or other unsuitable material shall be
thrown or placed
in the fixtures or appliances. Damage resulting to fixtures or appliances
by Tenant, its
agents, employees or invitees shall be paid for by Tenant and Landlord
shall not be
responsible for the damage.
	 
	3.	 	No signs, advertisements or notices shall be painted or affixed to
windows, doors or
other parts of the Building, except those of such color, size, style and
in such places as
are first approved in writing by Landlord. All tenant identification and
suite numbers at
the entrance to the Premises shall be installed by Landlord, at Tenant’s
cost and
expense, using the standard graphics for the Building. Except in
connection with the
hanging of lightweight pictures and wall decorations, no nails, hooks or
screws shall be
inserted into any part of the Premises or Building except by the Building
maintenance
personnel without Landlord’s prior approval, which approval shall not be
unreasonably
withheld.
	 
	4.	 	Landlord may provide and maintain in the first floor (main lobby) of the
Building an
alphabetical directory board or other directory device listing tenants and
no other
directory shall be permitted unless previously consented to by Landlord in
writing.
	 
	5.	 	Tenant shall not place any lock(s) on any door in the Premises or
Building without
Landlord’s prior written consent, which consent shall not be unreasonably
withheld, and
Landlord shall have the right at all times to retain and use keys or other
access codes or
devices to all locks within and into the Premises. A reasonable number of
keys to the
locks on the entry doors in the Premises shall be furnished by Landlord to
Tenant at
Tenant’s cost and Tenant shall not make any duplicate keys. All keys shall
be returned
to Landlord at the expiration or early termination of the Lease.
	 
	6.	 	All contractors, contractor’s representatives and installation
technicians performing work
in the Building shall be subject to Landlord’s prior approval, which
approval shall not be
unreasonably withheld, and shall be required to comply with Landlord’s
standard rules,
regulations, policies and procedures, which may be revised from time to
time.
	 
	7.	 	Movement in or out of the Building of furniture or office equipment, or
dispatch or receipt
by Tenant of merchandise or materials requiring the use of elevators,
stairways, lobby
areas or loading dock areas, shall be restricted to hours reasonably
designated by
Landlord. Tenant shall obtain Landlord’s prior approval by providing a
detailed listing of
the activity, which approval shall not be unreasonably withheld. If
approved by Landlord,
the activity shall be under the supervision of Landlord and performed in
the manner
required by Landlord. Tenant shall assume all risk for damage to articles
moved and
injury to any persons resulting from the activity. If equipment, property,
or personnel of
Landlord or of any other party is damaged or injured as a result of or in
connection with
the activity, Tenant shall be solely liable for any resulting damage, loss
or injury.
	 
	8.	 	Landlord shall have the right to approve the weight, size, or location of
heavy equipment
or articles in and about the Premises, which approval shall not be
unreasonably
withheld. Damage to the Building by the installation, maintenance,
operation, existence
or removal of Tenant’s Property shall be repaired at Tenant’s sole
expense.
	 
	9.	 	Corridor doors, when not in use, shall be kept closed.

E-1

 

	10.	 	Tenant shall not: (1) make or permit any improper, objectionable or
unpleasant noises
or odors in the Building, or otherwise interfere in any way with other
tenants or persons
having business with them; (2) solicit business or distribute or cause to
be distributed, in
any portion of the Building, handbills, promotional materials or other
advertising; or
(3) conduct or permit other activities in the Building that might, in
Landlord’s sole
opinion, constitute a nuisance.
	 
	11.	 	No animals, except those assisting handicapped persons, shall be brought
into the
Building or kept in or about the Premises.
	 
	12.	 	No inflammable, explosive or dangerous fluids or substances shall be used
or kept by
Tenant in the Premises, Building or about the Property, except for those
substances as are typically found in similar premises used for general office purposes
and are being used
by Tenant in a safe manner and in accordance with all applicable Laws.
Tenant shall not,
without Landlord’s prior written consent, use, store, install, spill,
remove, release or
dispose of, within or about the Premises or any other portion of the
Property, any
asbestos-containing materials or any solid, liquid or gaseous
material now or
subsequently considered toxic or hazardous under the provisions of 42
U.S.C.
Section 9601 et seq. or any other applicable environmental Law which may
now or later
be in effect. Tenant shall comply with all Laws pertaining to and
governing the use of
these materials by Tenant and shall remain solely liable for the costs of
abatement and
removal.
	 
	13.	 	Tenant shall not use or occupy the Premises in any manner or for any
purpose which
might injure the reputation or impair the present or future value of the
Premises or the
Building. Tenant shall not use, or permit any part of the Premises to be
used for lodging,
sleeping or for any illegal purpose.
	 
	14.	 	Tenant shall not take any action which would violate Landlord’s labor
contracts or which
would cause a work stoppage, picketing, labor disruption or dispute or
interfere with
Landlord’s or any other tenant’s or occupant’s business or with the
rights and privileges
of any person lawfully in the Building (“Labor Disruption”). Tenant
shall take the
actions necessary to resolve the Labor Disruption, and shall have pickets
removed and,
at the request of Landlord, immediately terminate any work in the
Premises that gave
rise to the Labor Disruption, until Landlord gives its written consent
for the work to
resume. Tenant shall have no claim for damages against Landlord or any
of the
Landlord Related Parties nor shall the Commencement Date of the Term be
extended
as a result of the above actions.
	 
	15.	 	Tenant shall not install, operate or maintain in the Premises or in any
other area of the
Building, electrical equipment that would overload the electrical system
beyond its
capacity for proper, efficient and safe operation as determined solely by
Landlord.
Tenant shall not furnish cooling or heating to the Premises, including,
without limitation,
the use of electric or gas heating devices, without Landlord’s prior
written consent.
Tenant shall not use more than its proportionate share of telephone lines
and other
telecommunication facilities available to service the Building.
	 
	16.	 	Tenant shall not operate or permit to be operated a coin or token
operated vending
machine or similar device (including, without limitation, telephones,
lockers, toilets,
scales, amusement devices and machines for sale of beverages, foods,
candy,
cigarettes and other goods), except for machines for the exclusive use of
Tenant’s
employees and invitees.
	 
	17.	 	Bicycles and other vehicles are not permitted inside the Building or on
the walkways
outside the Building, except in areas designated by Landlord.
	 
	18.	 	Landlord may from time to time adopt systems and procedures for the
security and
safety of the Building and Property, its occupants, entry, use and
contents. Tenant, its
agents, employees, contractors, guests and invitees shall comply with
Landlord’s
systems and procedures.
	 
	19.	 	Landlord shall have the right to prohibit the use of the name of the
Building or any other
publicity by Tenant that in Landlord’s sole opinion may impair the
reputation of the
Building or its desirability. Upon written notice from Landlord, Tenant
shall refrain from
and discontinue such publicity immediately.

E-2

 

	20.	 	Neither Tenant nor its agents, employees, contractors, guests or invitees
shall smoke or
permit smoking in the Common Areas, unless a portion of the Common Areas
have
been declared a designated smoking area by Landlord, nor shall the above
parties allow
smoke from the Premises to emanate into the Common Areas or any other
part of the
Building. Landlord shall have the right to designate the Building
(including the
Premises) as a non-smoking building.
	 
	21.	 	Landlord shall have the right to designate and approve standard window
coverings for
the Premises and to establish rules to assure that the Building presents
a uniform
exterior appearance. Tenant shall ensure, to the extent reasonably
practicable, that
window coverings are closed on windows in the Premises while they are
exposed to the
direct rays of the sun.
	 
	22.	 	Deliveries to and from the Premises shall be made only at the times in
the areas and
through the entrances and exits reasonably designated by Landlord.
Tenant shall not
make deliveries to or from the Premises in a manner that might interfere
with the use by
any other tenant of its premises or of the Common Areas, any pedestrian
use, or any
use which is inconsistent with good business practice.
	 
	23.	 	The work of cleaning personnel shall not be hindered by Tenant after 5:30
p.m., and
cleaning work may be done at any time when the offices are vacant.
Windows, doors
and fixtures may be cleaned at any time. Tenant shall provide adequate
waste and
rubbish receptacles to prevent unreasonable hardship to the cleaning
service.

E-3

 

EXHIBIT F

GUARANTY OF LEASE

     FOR VALUE RECEIVED and in consideration for and as an inducement to
IL-WESTBROOK CORPORATE CENTER, L.L.C., a Delaware limited liability company
(“Landlord”) to lease certain real property to ONLINE DATA CORP., a Delaware
corporation,
as tenant (“Tenant”), pursuant to a lease dated
   , 2003 (the “Lease”)
by and between Landlord and Tenant, the undersigned, IPAYMENT, INC., a
Delaware corporation (“Guarantor”), does hereby unconditionally and
Irrevocably guarantee to Landlord
the punctual payment of all Rent (as such term is defined in the Lease)
payable by Tenant under the Lease throughout the term of the Lease and any and
all renewals and extensions thereof in accordance with and subject to the
provisions of the Lease, and the full performance and observance of all other
terms, covenants, conditions and agreements therein provided to be performed
and observed by Tenant under the terms of the Lease, for which the undersigned
shall be jointly and severally liable with Tenant. If any default on the part
of Tenant shall occur under the Lease, the undersigned does hereby covenant
and agree to pay to Landlord in each and every instance such sum or sums of
money and to perform each and every covenant, condition and agreement under
the Lease as Tenant is and shall become liable for or obligated to pay or
perform under the Lease, together with the costs reasonably incurred by
Landlord in connection therewith, including, without limitation, reasonable
attorneys’ fees. Such payments of Rent and other sums shall be made monthly or
at such other intervals as the same shall or may become payable under the
Lease, including any accelerations thereof, all without requiring any notice
from Landlord (other than any notice required by the Lease) of such
non-payment or non performance, all of which the undersigned hereby expressly
waives.

     The maintenance of any action or proceeding by Landlord to recover any
sum or sums that may be or become due under the Lease and to secure the
performance of any of the other terms, covenants and conditions of the Lease
shall not preclude Landlord from thereafter instituting and maintaining
subsequent actions or proceedings for any subsequent default or defaults of
Tenant under the Lease. The undersigned does hereby consent that without
affecting the liability of the undersigned under this Guaranty and without
notice to the undersigned, time may be given by Landlord to Tenant for payment
of Rent and such other sums and performance of said other terms, covenants and
conditions, or any of them, and such time extended and indulgence granted,
from time to time, or Tenant may be dispossessed or Landlord may avail itself
of or exercise any or all of the rights and remedies against Tenant provided
by law or by the Lease, and may proceed either against Tenant alone or jointly
against Tenant and the undersigned or against the undersigned alone without
first prosecuting or exhausting any remedy or claim against Tenant. The
undersigned does hereby further consent to any subsequent change, modification
or amendment of the Lease in any of its terms, covenants or conditions, or in
the Rent payable thereunder, or in the premises demised thereby, or in the
term thereof, and to any assignment or assignments of the Lease, and to any
subletting or sublettings of the premises demised by the Lease, and to any
renewals or extensions thereof, all of which may be made without notice to or
consent of the undersigned and without in any manner releasing or relieving
the undersigned from liability under this Guaranty.

     The undersigned does hereby agree that the bankruptcy of Tenant shall
have no effect on the obligations of the undersigned hereunder. The
undersigned does hereby further agree that in respect of any payments made by
the undersigned hereunder, the undersigned shall not have any rights based on
suretyship, subrogation or otherwise to stand in the place of Landlord so as
to compete with Landlord as a creditor of Tenant, unless and until all claims
of Landlord under the Lease shall have been fully paid and satisfied.

     Neither this Guaranty nor any of the provisions hereof can be modified,
waived or terminated, except by a written instrument signed by Landlord. The
provisions of this Guaranty shall apply to, bind and inure to the benefit of
the undersigned and Landlord and their respective heirs, legal
representatives, successors and assigns. The undersigned, if there be more
than one, shall be jointly and severally liable hereunder, and for purposes of
such several liability the word “undersigned” wherever used herein shall be
construed to refer to each of the undersigned parties separately, all in the
same manner and with the same effect as if each of them had signed separate
instruments, and this Guaranty shall not be revoked or impaired as to any of
such parties by the death of another party or by revocation or release of any
obligations hereunder of any other party. If Landlord should retain counsel
and/or institute any suit against Guarantor to enforce this Guaranty or any
covenants or obligations hereunder, then Guarantor shall pay to Landlord, upon
demand, all reasonable attorneys’ fees, costs and expenses, including, without
limitation, court costs, filing fees, recording costs, and all other costs

F-1

 

and expenses incurred in connection therewith (all of which are referred to
herein as “Enforcement Costs”), in addition to all other amounts due
hereunder. This Guaranty shall be governed by and construed in accordance with
the internal laws of the state where the premises demised by the Lease are
located. For the purpose solely of litigating any dispute under this Guaranty,
the undersigned submits to the jurisdiction of the courts of said state.

     Any notice or other communication to be given to Landlord or the
undersigned hereunder shall be in writing and sent in accordance with the
notice provisions of the Lease, Notices to Landlord shall be delivered to
Landlord’s address set forth in the Lease. Notices to the undersigned shall be
addressed as follows:

	 	 	 
	 

	 	iPayment, Inc.
	

	 	40 Burton Hills
	

	 	Suite 415
	

	 	Nashville, Tennessee 37215
	

	 	Attention: Legal Counsel

If Guarantor’s notice address as set forth above changes, Guarantor agrees to
provide written notice to Landlord of such change in address.

     IN WITNESS WHEREOF, the undersigned has executed this Guaranty as of the
date of the Lease.

	 	 	 	 	 
	ATTEST/WITNESS:

	 	GUARANTOR:
	 	IPAYMENT, INC., a Delaware
	

	 	 	 	corporation

	 	 	 	 	 	 	 
	

	 	 	 	By:
	 	-s- Gregory S. Daily
	
	 	

	Name (print):

	 	 	 	Name:
	 	Gregory S. Daily
	

	 	

	 	Title:
	 	CEO
	
	 	 
	Name (print):
	 	 	 	 	 	 
	

	 	
	 	 	 	 

GUARANTOR ACKNOWLEDGMENTS 
Corporation

STATE OF [ILLEGIBLE]

COUNTY OF[ILLEGIBLE]) ss:

     On this the 12th day of December , 2003 before me a Notary Public duly
authorized in and for the said County in the State aforesaid to take
acknowledgments personally appeared Gregory S. Daily known to me to
be CEO President
of iPayment, one of the parties described in the foregoing instrument,
and acknowledged that at such officer, being authorized so to do, (s)he
executed the foregoing instrument on behalf of said corporation by subscribing
the name of such corporation by himself/herself as such officer and caused the
corporate seal of said corporation to be affixed thereto, as a free and
voluntary act, and as the free and voluntary act of said corporation, for the
uses and purposes therein set forth.

     IN WITNESS WHEREOF, I hereunto set my hand and official seal.

	 	 	 
	 
	 	[ILLEGIBLE]
	
	 	

	
	 	Notary Public

My Commission Expires: 11.26.05

F-2

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