Document:

EX-10.32

 Exhibit 10.32 

JOINT VENTURE AGREEMENT 

For formation of: 
 SAGENT
STRIDES INC 
 Between 

SAGENT INC 
 - and -

 STRIDES ARCOLAB INTERNATIONAL LIMITED 

 CONTENTS 
  

							
	 1.
	  	Definitions	  	 	2	  
	 2.
	  	BUSINESS OF THE COMPANY	  	 	4	  
	 3.
	  	COMPLETION	  	 	4	  
	 4.
	  	THE BOARD	  	 	6	  
	 5.
	  	BUDGETS AND INFORMATION	  	 	7	  
	 6.
	  	RESERVED MATTERS	  	 	8	  
	 7.
	  	WORKING CAPITAL	  	 	11	  
	 8.
	  	COVENANTS BY THE COMPANY	  	 	12	  
	 9.
	  	RELIEFS	  	 	12	  
	 10.
	  	DEADLOCK	  	 	12	  
	 11.
	  	COMPLETION OF TRANSFER OF SHARES	  	 	13	  
	 12.
	  	TRANSFER OF SHARES	  	 	14	  
	 13.
	  	TERMINATION BY DEFAULT	  	 	15	  
	 14.
	  	OTHER TERMINATION	  	 	17	  
	 15.
	  	FAIR PRICE	  	 	18	  
	 16.
	  	CONFIDENTIALITY AND PROTECTION OF GOODWILL	  	 	19	  
	 17.
	  	ADDITIONAL COVENANTS BY THE PARTIES	  	 	19	  
	 18.
	  	NO PARTNERSHIP	  	 	20	  
	 19.
	  	CONSTITUTIONAL DOCUMENTS	  	 	20	  
	 20.
	  	ASSIGNMENT	  	 	20	  
	 21.
	  	AMENDMENT AND WAIVER	  	 	20	  
	 22.
	  	TIME OF ESSENCE	  	 	21	  
	 23.
	  	PUBLICITY	  	 	21	  
	 24.
	  	NOTICES	  	 	21	  
	 25.
	  	INVALIDITY	  	 	22	  
	 26.
	  	EXECUTION	  	 	22	  
	 27.
	  	ENTIRE AGREEMENT	  	 	23	  
	 28.
	  	WAIVER OF RIGHTS BASED ON MISREPRESENTATION	  	 	23	  
	 29.
	  	FORCE MAJEURE	  	 	23	  
	 30.
	  	THIRD PARTY RIGHTS	  	 	23	  
	 31.
	  	LAW AND JURISDICTION	  	 	24	  

 Annexure -1 - List of Prodcuts 

 THIS AGREEMENT is made on January 18, 2007 

BETWEEN 
  

	(1)	SAGENT INC, A company under the laws of America and having its Registered Office at 2120 Carey Avenue, Cheyenne, Wyoming 82001 and Corporate Office at P.O.Box 309, GT, Ugland House, South Church Street, Grand
Cayman, Cayman Islands (“SAGENT”); 

 AND 
  

	(2)	STRIDES ARCOLAB INTERNATIONAL LIMITED (“STRIDES”) a company limited by shares and incorporated under the laws of UK having its registered office at New Bridge Street House, 30-34, New Bridge Street,
London EC4V 6BJ; 

 The Parties above are together referred to as “Parties” and sometimes referred as
“Shareholders” and the individually as “Party” or with their respective Names. 
 BACKGROUND: 

 

	A.	The Shareholders have agreed to co-operate in the establishment and management of the Business as a joint venture through the medium of Joint Venture Company by the name SAGENT STRIDES INC., or such
other name as the Parties may mutually decide (hereinafter referred to as the Company) and have agreed to form and own the Company on the basis of this agreement. 

 

	B.	The Shareholders are the owners of various Products and licenses and registrations with respect to such Products which are required to conduct the Business of the Company. The Shareholders have agreed to provide
appropriate rights to enable the Company to conduct its Business and have agreed to enter into appropriate agreements in order to achieve this objective, including a Development, Manufacture and Supply Agreement and / or Services Agreement between
the Company and Strides and a Distribution and Services Agreement between the Company and Sagent. 

  

	C.	The Shareholders had, by a Memorandum of Understanding dated 06 October, 2006, agreed on the broad terms of their business understanding, in pursuance to which the Parties commenced performing their respective
obligations, briefly set out in the said Memorandum and detailed in this Agreement. The Parties acknowledge that both of them have acted on the said Memorandum of Understanding in continuation of which this Agreement is being executed between the
Parties and this shall be effective from the Effective Date. 

  

	D.	The Shareholders will exercise their rights in relation to the Company on the terms and conditions of this agreement. 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	1

	1.	Definitions 

  

	 	1.1	In this agreement unless the context requires otherwise: 

 “Affiliate”
shall mean, as to any Party, any Person: 
 (i) who directly or indirectly controls, or is controlled by, or is under common control of such
Party; or (ii) who directly or indirectly beneficially owns or holds fifty-one percent (51%) or more of any class of voting stock of such Party; or (iii) fifty-one percent (51%) or more of the voting stock of whom is directly or
indirectly beneficially owned or held by such Party. 
 “Board” means the board of directors of the Company from time to
time; 
 “Business” means the business to be carried on by the Company as described in clause 2.1; 

“Chairman” shall mean a independent director mutually appointed by the Parties as per clause 4.6 below. 

“Constitutional Documents” means the constitutional documents of the Company framed as per the laws of the country
where the Company is incorporated and amended from time to time in accordance with this agreement; 
 “Control”
means the possession by a Person, directly or indirectly, of the power to direct or cause the direction of the management and policies of another Person, whether through the ownership of voting securities or the board of directors of such other
Person, by contract or otherwise. 
 “Development and Supply Agreement” means the agreement pursuant to which
Strides will develop, manufacture, sell and supply certain pharmaceutical products in finished pack form to the Company. 

“Effective Date” means 04 October, 2006; 

“Fair Price” means the price of any Shares to be transferred as determined by an independent valuer in accordance with
clause 15; 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	2

 “Group” means the Company and its subsidiaries (if any) from time to
time; 
 “Parties”: means collectively Sagent and Strides. 

“Person” shall include an individual, an association, a corporation, a partnership, a joint venture, a trust an
unincorporated organisation, a joint stock company or other entity or organisation, including a government or political subdivision, or an agency or instrumentality thereof and/ or any other legal entity. 

“Products” shall mean and include the Products to be developed, manufactured and supplied initially by the Parties
under the Memorandum of Understanding dated 04 October, 2006 and annexed to this agreement as Annexure -1; 
 “Reserved
Matters” means any and/or all of the matters referred to in clause 7; 
 “Sagent Directors” means the
directors of the Company appointed by Sagent from time to time under the provisions of the Articles of Association of the Company; 

“Sagent Shares” means the ordinary shares of $ [1] each in the capital of the Company having attached thereto the
rights set out in the Articles of Association of the Company and subscribed by Sagent; 
 “Services
Agreement” means an agreement in terms of which each of the Parties will provide certain services to the Company; 

“Shareholder(s)” means the Sagent and Strides or both together as the case may be; 

“Shares” means ordinary shares of $ [1] each in the capital of the Company; 

“Strides Directors” means the directors of the Company appointed by Strides from time to time under the provisions of
the Articles of Association of the Company; 
 “Strides Shares” means the ordinary shares of $ [1] each in the
capital of the Company having attached thereto the rights set out in the Articles of Association of the Company and subscribed by Strides; 

“Territory” initially means the United States of America together with its accessions. 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	3

	 	1.2	Reference to any statute or statutory provision includes a reference to that statute or statutory provision as from time to time amended, extended or re-enacted. 

 

	 	1.3	Reference to any gender includes the other genders and words denoting the singular include the plural and vice versa. 

  

	 	1.4	Unless the context requires otherwise, reference to a clause, paragraph or schedule is to a clause, paragraph or schedule (as the case may be) of or to this agreement. 

 

	 	1.5	The headings in this agreement are for ease of reference only and shall not affect its construction or interpretation. 

  

	 	1.6	The “agreed form” in relation to any document means the form agreed between the parties to this agreement and, for the purposes of identification only, initialled by or on behalf of the parties.

  

	2.	BUSINESS OF THE COMPANY 

  

	 	2.1	The Business of the Company will be importation, marketing, distribution and sale in the Territory of generic pharmaceutical products, manufactured by Strides or any of its subsidiaries or affiliates, for human use;

  

	 	2.2	Each Party will use its reasonable endeavours to promote and develop the Business of the Company to the best advantage of the Company. 

 

	3.	CAPITAL 

 The Capital of the Company shall initially be USD 3.4 Mio comprising of 3.4
Million nos. of shares of USD 1-00 each; to be subscribed equally by the Parties. 
  

	4.	COMPLETION 

  

	 	4.1	The Parties shall take and ensure that the Company takes appropriate steps (including calling meetings, passing resolutions and executing documents) to give effect to the following actions and the Parties agree that all
of the steps listed in this clause 3 within a period of 15 weeks from the date first hereinabove written. Completion shall take place at the accomplishment of the last of the following actions / activities is carried out by the Party who is required
to carry out such activity: 

  

	 	a.	The Parties execute this Agreement; 

  

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	4

	 	b.	The Parties pass such resolutions and obtain such corporate approvals as may be required to incorporate the Company and commence Business of the Company; 

 

	 	c.	The Parties incorporate either through themselves or through their respective / joint agents the Company in such jurisdiction as may be mutually agreed; 

 

	 	d.	The Parties subscribe to the shares / capital of the Company in equal proportions, as per the terms of this agreement; 

  

	 	e.	The Parties appoint their respective directors in the Board of the Company; 

  

	 	f.	The Directors appoint the first Chairman of the Company; 

  

	 	g.	The Board passing such resolutions as are required to carry on the business of the Company and appoint such persons including auditors as are statutorily required to be appointed. 

 

	 	h.	The Parties adopt this agreement either by consent in a meeting or by amendment into the Articles, as may be appropriate and advised. 

 

	 	i.	The Parties execute respective agreements as are applicable to each or both of them. 

  

	 	j.	The Parties do or carry out such other activities as are required to fulfil their respective obligations. 

  

	 	k.	Issue all mandates for the operation of the Company’s bank accounts and other similar accounts, cheques, drafts or similar instruments for the payment of money with joint signature of the Directors appointed by the
Board. 

  

	 	4.2	 The Parties have identified that the Product Development will have to be accelerated to obtain commercial advantage in the markets and since the
incorporation of the Company and Completion in terms of this Agreement is likely to be prolonged due to statutory requirements, Strides has commenced the development activities of Products from the Effective Date itself. The Development activities
by Strides till the date of Completion shall therefore be treated to have been carried out for the Company and upon the Parties achieving Completion; it shall be taken into the account by the Company. In the unlikely event of the Parties being
unable to achieve Completion before 31-12-07, the costs of Development carried out till such date shall be shared by the Parties in the proportion of their proposed interest in the Company. The Parties

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	5

	 	
agree that notwithstanding Completion, their respective obligations have commenced from the Effective Date and the terms of this Agreement shall be effective from such date. Strides Arcolab
Limited has, in this regard, issued a Letter of Comfort in the agreed form and attached hereto, confirming that it shall carry out the development and manufacturing activities, for its subsidiary, viz., Strides Arcolab International Limited, the
party to this agreement. 

  

	5.	THE BOARD 

  

	 	5.1	Sagent may appoint two Directors and Strides may appoint two Directors, by giving notice in writing to the Company at its registered office. 

 

	 	5.2	The first Sagent Directors shall be Jeffrey Yordon and Frank Kung and the first Strides Directors shall be Arun Kumar and K.R.Ravishankar. 

 

	 	5.3	Directors shall hold office at the pleasure of the Shareholder appointing them and shall cease to hold office immediately upon written notice removing them is received at the registered office of the Company;
accordingly, any Shareholder removing any of its nominated director(s) shall be responsible for, and shall indemnify the Company against, any claim by any such director arising out of his removal from office. The other Shareholder shall pass
suitable vote in favour of appointment of the directors nominated by the other Shareholder. 

  

	 	5.4	If for any reason a Sagent Director resigns or is removed in accordance with the Articles of Association and this clause 5.4 or otherwise ceases to be a Director of the Company, the holders of the issued Sagent Shares
shall appoint a Director to replace the same so as to ensure that the Board is always capable of transacting business. 

  

	 	5.5	If for any reason a Strides Director resigns or is removed in accordance with the Articles of Association and this clause 5.5 or otherwise ceases to be a Director of the Company, the holders of the issued Strides shares
shall appoint a Director to replace the same so as to ensure that the Board is always capable of transacting business. 

  

	 	5.6	The chairman of the Board (who shall not have a casting vote) shall be an independent director approved by the Board. 

  

	 	5.7	Board meetings shall be held at least once every year, except that a director may at any time call a Board meeting by giving [at least ten days’] notice to the Company to enable the meeting to be convened, such
notice to be accompanied by an agenda specifying the business to be transacted together with copies of any documents to be tabled at the meeting (or, if such copies are not available, with full details of such documents. 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	6

	 	5.8	All Board meetings shall be held at the offices of the Company or such other location agreed by the Shareholders. 

  

	 	5.9	The quorum for holding Board meetings shall be two directors consisting of at least one Sagent Director and one Strides Director. 

  

	 	5.10	All decisions of the Board other than those set out in the reserved matters shall be determined by resolution, passed by a simple majority. 

 

	 	5.11	A resolution in writing (which may be on one or more identical documents) signed by a majority of directors including at least one Sagent Director and one Strides Director shall be as valid and effective as if it had
been passed at a duly convened Board meeting. 

  

	 	5.12	Each of the Sagent Directors and Strides Directors will be at liberty from time to time to make such disclosure to the Shareholder who appointed him in relation to the Business or affairs of the Company as he thinks
fit. 

  

	6.	BUDGETS AND INFORMATION 

 Each of the Shareholders undertakes to the other and with the
Company that it shall exercise all its powers in relation to the Company so as to procure (insofar as it is able) and the Company undertakes to the Shareholders (insofar as it is legally able so to do) that during the term of this agreement: 

 

	 	6.1	allow the Shareholders and their duly authorised representatives to inspect the accounting books and records of the Company and any subsidiary and to make extracts and copies at the expense of the inspecting Party;

  

	 	6.2	supply to the Shareholders such regular management and financial information as they may from time to time reasonably require; 

  

	 	6.3	render to the Shareholders annual reports with respect to such information and in such form as requested by the Shareholders; and 

  

	 	6.4	the Company shall comply in all respects with the provisions of the Articles of Association 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	7

	7.	RESERVED MATTERS 

  

	 	7.1	In respect of the following items, the Company shall require the consent/affirmative vote of at least one Director appointed by each party: 

 

	 	7.1.1	Establishment or closing of any new office, distribution location or branch; 

  

	 	7.1.2	The granting of powers of attorney relating to the powers of the Company’s operations; 

  

	 	7.1.3	Issue of information to the public (e.g. press releases etc.) concerning previously unpublished corporate figures as well as previously undisclosed corporate activities; 

 

	 	7.1.4	Granting of the right to employees to share the Company’s profits or to share in turnover of the Company other than under Company approved ESOP Schemes; 

 

	 	7.1.5	Adoption of the annual operating plan, including capital investments and staff numbers; no investment and staff hiring shall be carried out except pursuant to the approved plan; 

 

	 	7.1.6	Conclusion of a contract or commitment creating an obligation for the Company vis-à-vis entities outside the group of more than $ 100000; 

 

	 	7.1.7	Acquisition of assets not budgeted for in the approved business plan in excess of $100000; 

  

	 	7.1.8	Involvement in disputes, and particularly conduct of legal proceedings, with a value at stake of more than $10000. In any event the Board must be informed if the Company is a defendant, or in case of a threat of legal
proceedings. 

  

	 	7.1.9	Conclusion or modification of agreements (e.g. service contracts) or entering into other legal transactions between the Company and one or more of the directors or between the Company and natural or legal persons
related to one or more of the directors; 

  

	 	7.2	The Shareholders shall procure that, without the prior written consent of each of them, the Company shall not: 

  

	 	7.2.1	change any of its accounting practices and policies; 

  

	 	7.2.2	remove or appoint the Auditors; 

  

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	8

	 	7.2.3	incur any capital expenditure in excess of USD10000 per item not contained in a budget agreed by the Shareholders; 

  

	 	7.2.4	approve or adopt its annual accounts or any modifications of them; 

  

	 	7.2.5	alter its accounting reference date; 

  

	 	7.2.6	change its registered office; 

  

	 	7.2.7	purchase, lease (as lessee), license (as licensee) or acquire any assets or property other than in the ordinary and normal course of its business at a total cost to the Company (per transaction) of more than USD 100000;

  

	 	7.2.8	sell, lease (as lessor), license (as licensor) or otherwise dispose of any of its assets or property other than in the ordinary and normal course of its business, for a total price (per transaction) of more than USD
10000; 

  

	 	7.2.9	create any charge, mortgage, debenture, lien, pledge, security or other encumbrance over the whole or any part of its undertaking, property and assets; 

 

	 	7.2.10	give any guarantee or indemnity to secure the liabilities or obligations of any person; 

  

	 	7.2.11	consolidate or amalgamate with, or acquire any interest in, any other company, partnership or legal entity; 

  

	 	7.2.12	sell, lease, transfer or otherwise dispose of the whole of its undertaking, property or assets, or any part which is substantial in relation to its total undertaking, property and assets; 

 

	 	7.2.13	cease to carry on the Business or make any material change in the nature of the Business; 

  

	 	7.2.14	enter into any contract or transaction except in the ordinary and normal course of business and on arm’s length terms; 

  

	 	7.2.15	hold any meeting of Shareholders or purport to transact any business at any such meeting, or pass or seek to pass any resolution of Shareholders other than in accordance with this agreement and the Constitutional
Documents; 

  

	 	7.2.16	do or permit or suffer to be done any act or thing whereby it may be wound up (whether voluntarily or compulsorily); 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	9

	 	7.2.17	lend any money or otherwise give credit to any person other than trade credit in the ordinary course of business in excess of USD 1000; 

 

	 	7.2.18	borrow any money [in excess of 10000 (per transaction) or cause its aggregate indebtedness at any time to exceed 50000; 

  

	 	7.2.19	issue any shares or grant any option, warrant, pre-emption or other right over any of its shares or any other security; 

  

	 	7.2.20	declare or pay any dividend or otherwise make any distribution on account of any of its shares or redeem, purchase or acquire its own shares; 

 

	 	7.2.21	subscribe for, purchase, acquire or dispose of any shares, securities or debentures in any company or other body; 

  

	 	7.2.22	commence, settle or defend any action, proceedings or other litigation brought by or against it, except for debt collection in the ordinary and normal course of its business; 

 

	 	7.2.23	enter into any partnership or profit-sharing arrangement with any person; 

  

	 	7.2.24	appoint or remove any directors or officers other than in accordance with this agreement; 

  

	 	7.2.25	appoint any committee of the Board or delegate any powers of the Board or the directors; 

  

	 	7.2.26	increase the remuneration of any employee, including directors other than by annual increase of not more than 10 % of the previous annual salary of such employee; 

 

	 	7.2.27	apply for the admission of any part of the Equity Share Capital of the Company to the Official List of the Stock Exchange or for the grant of permission by the Stock Exchange to deal in the same on the Alternative
Investment Market of the Stock Exchange or on any recognised investment exchange or enter into negotiations to effect a sale of the whole or substantially the whole of the undertaking, business and assets of the Company; or 

 

	 	7.2.28	commence any action for the winding-up or dissolution of the Company or the making of an administration order or a composition or arrangement with its creditors; 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	10

	 	7.2.29	appoint any other party to carry on any activity to be carried out by any of the Parties to this agreement without such Party refusing or neglecting for a continuous period of 90 days to commence or complete such
obligation/ activity; 

  

	 	7.2.30	pass any resolution which will in effect, dilute, diminish, restrict or otherwise detrimental to the interest of any of the Parties in the Joint Venture, or; 

 

	 	7.2.31	agree to do any of the above. 

  

	8.	WORKING CAPITAL 

  

	 	8.1	Initial working capital for the Company shall be provided by the subscriptions for the Shares referred to in clause 3. 

  

	 	8.2	If at any time the Board determines that additional working capital is required, it shall notify the Shareholders, giving details of the amount of additional working capital and the purpose for which it is required.

  

	 	8.3	There is no obligation on the Parties to provide any further finance for the Company other than as provided in clause 8.1 above but, if such finance is provided, the Parties will, unless they otherwise agree in writing,
each subscribe at par for Shares in the same proportions as the number of Shares held by them prior to such financing bears to the total number of issued Shares in the capital of the Company at that time. Any additional working capital required by
the Company in addition through issuance of equity capital shall be raised through the debt route. 

  

	 	8.4	Save with the prior written consent of the other Shareholder, neither Shareholder shall create or permit or agree to create or permit to subsist any pledge, lien or charge over or grant any option or other rights or
dispose of or encumber any legal or beneficial interest in all or any of the Shares held by it (otherwise, in the case of Shares, than by a transfer of such Shares in accordance with the provisions of the Articles of Association or this agreement).
In relation to Shares any person in whose favour any such pledge, lien or charge is created or permitted to subsist or such option or rights are granted or such interest is disposed of shall be required to enter into a deed of adherence in the form
set out in schedule 3 (or in such other form as the other Shareholder may reasonably require) signifying his consent to be bound by the duties obligations and limitations affecting the Shares as set out in this agreement. 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	11

	9.	COVENANTS BY THE COMPANY UPON INCORPORATION 

  

	 	9.1	The Company upon its incorporation shall in its first meeting and in so far as it is legally permissible, undertakes with each of the Shareholders to be bound by and comply with the terms and conditions of this
agreement insofar as the same relate to the Company. 

  

	 	9.2	The Company will, during the term of this agreement: 

  

	 	9.2.1	carry on and conduct its affairs in a proper and efficient manner; 

  

	 	9.2.2	take such steps as are required to protect the Business and the goodwill of the Business; 

  

	 	9.2.3	keep its books and accounts so as to reflect a true and fair view of the financial and trading position of the Company. 

  

	10.	RELIEFS 

 Except as may be agreed between the Shareholders, all trading losses and other
amounts eligible for relief from tax shall be retained by the Company for utilisation against its own profits, and shall not be made available, in whole or in part, to the Shareholders. 

 

	11.	DEADLOCK 

  

	 	11.1	If the Board or the Shareholders fail to agree on the matters set out in clause (7) or on a matter which either Party reasonably considers to be of fundamental importance to the Business, at a duly convened board
or other meeting (as appropriate), the meeting will be adjourned for ten days (or such other period as the Parties may agree) and reconvened. If the matter is still not agreed at the reconvened meeting either Party may serve notice on the other
stating that it considers a “Deadlock” to have arisen (“Deadlock Notice”). 

  

	 	11.2	 If, at the end of the period of thirty days following the service of a Deadlock Notice, the matter remains in dispute, either of the Shareholders may
give notice in writing to the other Shareholder, stating that the dispute still exists and demand the matter be resolved by Arbitration by a panel of three arbitrators, one each appointed by the Parties, the third arbitrator shall be appointed by
the two arbitrators appointed by the Parties. The Parties may also refer the dispute to be resolved by a body of arbitration attached to the London Chamber of Commerce (Institutional Arbitration). Such Arbitrator(s) shall enter Arbitration and the
decision of such Arbitration Tribunal shall be final and binding on the Parties. The Arbitrators are free to 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	12

	 	
adopt any procedure as applicable to such arbitrations. The seat of Arbitration shall be London and the laws of the UK shall be made applicable to such Arbitration. The Arbitration shall be
conducted in English language. The costs of Arbitration shall be part of the Award. 

  

	12.	COMPLETION OF TRANSFER OF SHARES 

  

	 	12.1	In the event both the Parties mutually agree that one of them should exit the Company, the Parties shall appoint an Independent Valuer, (being one of the top four firms of international chartered accountants) and the
provisions of Clause 14.5 and 16 shall apply for determination of Price. A sale of shares pursuant to this agreement shall be completed in such place and on such date as the purchasing Shareholder may specify to the selling Shareholder provided that
it is not less than five nor more than ten days after the date upon which it becomes bound to purchase the shares. 

  

	 	12.2	At completion: 

  

	 	12.2.1	the purchasing Shareholder shall pay to the selling Shareholder the purchase price in cash in UNITED STATES DOLLARS; and 

  

	 	12.2.2	the selling Shareholder shall deliver to the purchasing Shareholder: 

  

	 	(i)	a duly executed transfer of the shares to be sold; and 

  

	 	(ii)	the relevant share certificate(s) or other documents of title. 

  

	 	12.2.3	any power of attorney or other authority under which the transfer has been executed; and 

  

	 	12.2.4	letters of resignation from the selling Shareholder’s appointee directors waiving any claims they may have against the Company. 

 

	 	12.3	The selling Shareholder shall sell its shares as legal and beneficial owner free from all encumbrances. 

  

	 	12.4	As conditions precedent to a transfer of shares: 

  

	 	12.4.1	the purchasing Shareholder shall pay or shall procure that the Company shall pay to the selling Shareholder all outstanding liabilities of the Company to the selling Shareholder; and 

 

	 	12.4.2	the directors and officers who have been appointed by the selling Shareholder shall resign without claiming compensation. 

  

			
	STRIDES – SAGENT– JV FOR GENERICS FOR US	  	13

	 	12.5	The purchasing Shareholder shall use all reasonable endeavours to obtain the release of the selling Shareholder from any guarantee, security or other assurance given by the selling Shareholder on behalf of the Company
before, or as soon as is reasonably practicable after, a transfer of shares, and pending such release shall indemnify and keep indemnified the selling Shareholder against any claims made in relation to those matters. 

 

	 	12.6	The Shareholders shall give their written consent to, and shall procure that the Board shall approve and register (subject only to any transfer taxes payable), a transfer of shares made in accordance with this
agreement. 

  

	13.	TRANSFER OF SHARES 

  

	 	13.1	Except as provided for in clauses 121 and 14, a Shareholder shall not, without the prior written consent of the other Shareholder: 

  

	 	13.1.1	transfer any of its shares; 

  

	 	13.1.2	sell, transfer, assign or dispose of any beneficial interest in any of its shares; 

  

	 	13.1.3	create any charge, lien, option, pledge, mortgage or other encumbrance over its shares or any interest in those shares; or 

  

	 	13.1.4	transfer to a third party other than to its respective Affiliate subject to the condition that such an Affiliate agrees to be bound by the rights and obligations contained in this agreement as applicable to the
transferring Shareholder. 

  

	 	13.1.5	agree to do any of the above 

  

	 	13.2	No share may be transferred to any person who is not already a Shareholder unless the proposed transferee has entered into a deed or undertaking with the remaining Shareholder and the Company (substantially in the form
set out in schedule 3) agreeing to be bound by all the provisions of this agreement as if it were a party to this agreement. 

  

	 	13.3	If the Parties hereto as the case may be (“Disposing Party”) proposes to transfer any of their Shares to any third party other than under clauses 11 and 14, the non selling Shareholder,
shall have a right of first refusal (“Right of First Refusal”) with respect to such Shares held by the Disposing Party. 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	14

	 	13.4	The Disposing Party shall send a written notice (the “Transfer Notice”) to , which notice shall state (i) the number of Shares to be transferred (the “Offered Shares”),
(ii) the proposed consideration for the transfer (“Offer Price”) which shall not exceed the consideration offered by a third party with respect to the Offered Shares and shall be on terms no less favourable than those offered
by the third party and (iii) the name and address of the proposed transferee and the legal and beneficial owners of the proposed transferee. 

  

	 	13.5	Within a period of thirty (30) days from the delivery of a Transfer Notice (the “Offer Period”), the Parties as the case may be, shall have the right, exercisable by them, whether individually or
collectively, through the delivery of an acceptance notice (“Acceptance Notice”), to purchase either itself or its Affiliates, all, but not less than all, of the Offered Shares at the Offer Price. 

 

	 	13.6	Unless the non selling Shareholder, elects to purchase all of the Offered Shares within the Offer Period, the Disposing Party may Transfer all of the Offered Shares to the proposed transferee (as mentioned in the
Transfer Notice), provided that the, (i) such sale is bona fide (ii) the terms and conditions for the sale to the proposed transferee is a price not less than the Offer Price (iii) the Transfer is made and paid for within thirty
(30) days after the expiry of the Offer Period. 

  

	 	13.7	The closing for the transfer of the shares shall be held at the registered office of the Company within sixty (60) days of the delivery of the Acceptance Notice to the Disposing Party. 

 

	14.	TERMINATION BY DEFAULT 

  

	 	14.1	This agreement shall continue in force until terminated in accordance with this clause 14 or clause 15. 

  

	 	14.2	Either Shareholder may terminate this agreement immediately by notice (a “Default Notice”) to the other (the “Defaulting Shareholder”) if the Defaulting Shareholder suffers or commits
an Event of Default (“hereinafter defined). 

  

	 	14.3	For the purposes of this clause 14, a Shareholder shall have committed or suffered an Event of Default if: 

  

	 	14.3.1	it is guilty of a material breach of any of its obligations under this agreement and fails to remedy that breach (if capable of remedy) within 90 days after being given notice by the other Shareholder to do so; or

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	15

	 	14.3.2	it is insolvent or unable to pay its debts within any insolvency legislation applicable to it; or 

  

	 	14.3.3	a step has been taken to initiate any process by or under which: 

  

	 	14.3.3.l	the ability of the creditors of the Party to take any action to enforce their debts is suspended, restricted or prevented; or 

  

	 	14.3.3.2	some or all of the creditors of the Party accept, by agreement or in pursuance of a court order, an amount of less than the sums owing to them in satisfaction of those sums with a view to preventing the dissolution of
the party; or 

  

	 	14.3.3.3	a person is appointed to manage the affairs, business and assets of the Party on behalf of the Party’s creditors; or 

  

	 	14.3.3.4	the holder of a charge over assets of the Party is appointed to control the business and assets of the Party; or 

  

	 	14.3.4	if a process has been instituted that could lead to the Party being dissolved and its assets being distributed among the Party’s creditors, shareholders or other contributors; or 

 

	 	14.3.5	becomes owned or controlled by any person, corporation or body which is not a company in the group of companies of which, at the date of this agreement, the Defaulting Shareholder is a member. 

 

	 	14.4	A Default Notice: 

  

	 	14.4.1	may only be given to the Defaulting Shareholder within 60 days of the other Shareholder becoming aware of the Event of Default; and 

  

	 	14.4.2	shall require the Defaulting Shareholder either to purchase all (but not some only) of the shares of the Shareholder serving the notice, or to sell all (but not some only) of the shares it owns to the Shareholder
serving the notice within 30 days of receipt of the Default Notice or within five days of the date upon which the independent valuer appointed by the Parties Auditors notify the Shareholders of the Fair Price of the shares in accordance with this
clause 14, whichever is the later. 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	16

	 	14.5	The price of the shares to be transferred shall be the price agreed between the Shareholders or, failing agreement, the Fair Price certified to the Shareholders by the Independent Valuer. For this purpose, the
Independent Valuer shall, at the request of either Shareholder, determine the Fair Price on a date no later than [60] days after the date of the Default Notice. 

  

	 	14.6	The provisions of clause 12 shall apply to any transfer of shares pursuant to this clause 14. For the purposes of clause 12.1, the date upon which the purchasing Shareholder becomes bound to purchase the shares is the
date the Shareholders agree a price or, failing agreement, the date upon which the independent valuer notify the Shareholders of the Fair Price of the shares. 

  

	 	14.7	If the Defaulting Shareholder is required to purchase the shares of the other Shareholder in accordance with clause [14.4.2], and fails to do so within 30 days of becoming bound to do so, the other Shareholder may elect
(by giving notice to the Defaulting Shareholder) within a further 30 days to purchase the Defaulting Shareholder’s shares. If no such election is made the Shareholders shall procure that the Company is immediately wound up. 

 

	15.	OTHER TERMINATION 

  

	 	15.1	This agreement shall terminate in respect of either Shareholder if at any time, as a result of a transfer of shares made in accordance with this agreement and the Constitutional Documents, that Shareholder holds no
shares, but without prejudice to any rights which any other party may have against that Shareholder prior to termination. 

  

	 	15.2	This agreement shall terminate upon the TENTH anniversary of the Joint Venture, except where the Parties mutually decide to extend the tenure of the JV. 

 

	 	15.3	This agreement shall terminate forthwith if the Company is put into liquidation, whether voluntary or compulsory. 

  

	 	15.4	Upon either Party ceasing to be a Shareholder except by its own breach, the rights and licenses granted by such Party to the Company either under this agreement or any other agreements entered pursuant to this agreement
shall terminate automatically. 

  

	 	15.5	Notwithstanding anything contained in clause 15.2 and in the event the Parties do not mutually agree to extend the tenure of the JV at least six months in advance to the termination date provided therein, the Parties
shall draw up a mutual plan for the dissolution of the Company. 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	17

	16.	FAIR PRICE 

  

	 	16.1	In the event that the an independent valuer mutually appointed by the Parties is requested to determine the Fair Price of any shares being transferred, the Fair Price of the shares being transferred shall be determined
in the following manner: 

  

	 	16.1.1	by valuing the entire issued share capital of the Company by reference to the last audited annual accounts of the Company; 

  

	 	16.1.2	by valuing the Company on the basis that it is carrying on the Business as a going concern; 

  

	 	16.1.3	in accordance with generally accepted accounting principles; and 

  

	 	16.1.4	by disregarding the fact (if relevant) that the shares to be transferred may represent a minority shareholding. 

  

	 	16.2	The independent valuer shall act as experts and not as arbitrators, and their expenses, together with all legal costs incurred in connection with the transfer of shares, shall be borne rateably in proportion to the
number of shares owned by each shareholder immediately before the transfer. 

  

	17.	COMMERCIAL POLICY 

  

	 	17.1	The Parties hereto agree that they will not, directly or indirectly, offer, pay, promise to pay, or authorize the payment of any money or thing of value to any government official or to any person, while knowing or
having reason to know that all or a portion of such money or thing of value will be offered, given or promised, directly or indirectly, to a government official, for the purpose of: 

 

	 	17.1.1	influencing any act or decision of such government official, including a decision to fail to perform his official functions, or 

  

	 	17.1.2	including such government official to use his influence with any government or instrumentally thereof to affect or influence any act or decision of such government or instrumentality, in order to assist the Company in
obtaining or retaining business for or with or directing business, to any person. 

  

	 	17.1.3	The term “government official” means any officer or employee of any government or any department, agency instrumentality or wholly-owned corporation thereof, or any person acting in an official capacity for,
or on behalf of any such government or department, agency, instrumentality or wholly-owned corporation thereof, or any candidate for political office. 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	18

	18.	CONFIDENTIALITY AND PROTECTION OF GOODWILL 

  

	 	18.1	Except as may be required by law or any governmental or regulatory body, none of the parties shall divulge to any person, or use or exploit for any purpose, any trade secrets or confidential information or any
technical, operational, administrative, financial or business information relating to the other Shareholder and/or the Company, which the relevant Shareholder or the Company may obtain as a result of the negotiation or entering into of this
agreement. 

  

	 	18.2	The restriction in clause 18.1 shall continue to apply after the termination of this agreement for a period of five years, but shall cease to apply to information or knowledge which may properly come into the public
domain through no fault of the restricted Party. 

  

	 	18.3	Each Shareholder covenants with the other and separately with the Company that it (whether alone or jointly with any other person, and whether directly or indirectly, and whether as shareholder, partner, officer, agent
or consultant of, in or to any other person) shall not (and, where the Shareholder is a company, will procure that none of the members of its group shall) at any time during this agreement compete directly or indirectly with any business of the
Company as carried on during the term of this agreement in the territory. However, nothing in this agreement shall prevent or deemed to prevent either party from carrying on its businesses in the Territory, except for such products that is being
marketed by the Company and relating to such specific markets. Nothing in this agreement shall limit or extinguish the right of the parties to carry on any contract manufacturing business in respect of such products or continuing performance of the
already existing contracts, if any, relating to the territory. 

  

	19.	ADDITIONAL COVENANTS BY THE PARTIES 

 Each Shareholder covenants with the
other that so long as this agreement remains in force and effect it will: 
  

	 	19.1	be just and true to the other and act in good faith; 

  

	 	19.2	promptly execute and expedite all such documents as are required in respect of this agreement; 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	19

	 	19.3	promptly notify the other of all or any matters coming to its notice which may affect the Company or the Business; 

  

	 	19.4	use and exercise the votes controlled by it at all meetings of the Company in order to ensure the observance of the terms and the spirit of this agreement; and 

 

	 	19.5	generally do all things necessary to give effect to this agreement. 

  

	20.	LEGEND ON SHARE CERTIFICATES 

 The share certificates representing the Shares of the
Company may be restricted in the manner agreed between the Parties. 
  

	21.	NO PARTNERSHIP 

 Nothing in this agreement shall be construed as constituting, or deemed
to constitute, a partnership between the Shareholders and, except as specifically provided for in this agreement, neither of them shall have any authority to bind the other in any way. 

 

	22.	CONSTITUTIONAL DOCUMENTS 

 If there is a conflict or inconsistency between the provisions
of this agreement and the Constitutional Documents, the provisions of this agreement shall prevail, except that nothing in this agreement shall constitute or be deemed to constitute an unlawful fetter on the Company’s statutory powers to alter
the Constitutional Documents. 
  

	23.	ASSIGNMENT 

 This agreement is binding upon and shall enure for the benefit of the
successors of the parties but shall not be assignable unless the assignment has been permitted under this agreement or is otherwise within the prior written consent of the non assigning Party. 

 

	24.	AMENDMENT AND WAIVER 

  

	 	24.1	No variation of this agreement shall be effective unless it is made in writing, refers specifically to this agreement and is signed by the parties. 

 

	 	24.2	No waiver of any term, provision or condition of this agreement shall be effective except to the extent made in writing and signed by the waiving Party. 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	20

	 	24.3	No omission or delay on the part of any Party in exercising any right, power or privilege under this agreement shall operate as a waiver by it of any right to exercise it in future or of any other of its rights under
this agreement. 

  

	 	24.4	Completion of this agreement does not constitute a waiver by either Shareholder of any breach of any provision of this agreement whether or not known to that Shareholder at that time. 

 

	25.	TIME OF ESSENCE 

 Unless otherwise expressly provided, time shall be of the essence of
this agreement both as to any time, date or period mentioned in this agreement and to any time, date or period substituted by agreement of the parties. 
  

	26.	PUBLICITY 

  

	 	26.1	No announcement or disclosure in respect of the making or terms of this agreement shall be made or disclosed by any Party without the prior written consent of each other Party except to the extent disclosure is required
by law or rule of any competent regulatory body which disclosure shall then only be made: 

  

	 	26.1.1	after prior consultation with each other Party as to its terms; 

  

	 	26.1.2	strictly in accordance with any agreement as to the terms of disclosure; and 

  

	 	26.1.3	only to the persons and in the manner required by law or the rules of the regulatory body or as otherwise agreed. 

  

	 	26.2	The restrictions contained in this clause 26 shall continue to apply after termination of this agreement without limit in time. 

  

	27.	NOTICES 

  

	 	27.1	Any notice or other document to be served under this agreement must be in writing and may be delivered or sent by pre-paid first class letter post or facsimile transmission to the Party to be served at that Party’s
address above or as given below or at such other address or number as that Party may from time to time notify in writing to the other Party to this agreement: 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	21

 
			
	 Strides Arcolab International Limited
	  	Sagent Inc
	Fax: 918066580700,	  	Fax: (847) 969-1578
	30-34, New Bridge Street, London	  	address: 1901 North Roselle Rd
	EC4V 6BJ. TEL: 02082328074,	  	Suite 700
	Attn:	  	Schaumburg, IL 60194

 Director with a copy to: 

The Managing Director, 
 Strides
Arcolab Limited, 
 Strides House, 

Bilekahalli, Bannerghatta Road, 

Bangalore – Tel: 91-80-66588000, 

Email: legal@stridesarco.com 
  

	 	27.2	Any notice or document shall be deemed served: 

  

	 	27.2.1	if delivered, at the time of delivery; 

  

	 	27.2.2	if posted, 120 hours after posting; and 

  

	 	27.2.3	if sent by facsimile transmission, at the time of transmission if before 5.00pm on Monday to Friday. 

  

	 	27.3	In proving service (without prejudice to any other means): 

  

	 	27.3.1	by post, it shall only be necessary to prove the notice or document was contained in an envelope properly stamped and posted as provided in this clause; 

 

	 	27.3.2	by facsimile, that the notice or document was duly received by production of a copy fax bearing the addressee’s answerback code or automatic record of correct transmission. 

 

	28.	INVALIDITY 

 The invalidity, illegality or unenforceability of any provision of this
agreement shall not affect the other provisions of this agreement. 
  

	29.	EXECUTION 

 This agreement may be executed in any number of counterparts and by the
several parties on separate counterparts each of which when so executed shall be an original but all counterparts shall together constitute one and the same instrument. 

  

			
	STRIDES - SAGENT - JV FOR GENERICS FOR US	  	22

	30.	ENTIRE AGREEMENT 

  

	 	30.1	This agreement and any agreement or documents referred to in this agreement constitute the entire agreement between the parties in connection with its subject matter. 

 

	 	30.2	No Party has relied on any representation or warranty except as expressly set out in this agreement. 

  

	31.	WAIVER OF RIGHTS 

 The rights and remedies provided by this agreement may be waived only
in writing and specifically, and any failure to exercise or any delay in exercising a right or remedy by either Party shall not constitute a waiver of that right or remedy or of any other rights or remedies. A waiver of any breach of any of the
terms of this agreement or of a default under this agreement shall not constitute a waiver of any other breach or default and shall not affect the other terms of this agreement. 

 

	32.	FORCE MAJEURE 

  

	 	32.1	Neither Party shall be liable to the other or be deemed to be in breach of this agreement by reason of any delay in performing, or failure to perform, any of its obligations under this agreement if the delay or failure
was beyond that Party’s reasonable control (including, without limitation, , terrorism, war or threat of war, accidental or malicious damage, or prohibition or restriction by governments or other legal authority). 

 

	 	32.2	A Party claiming to be unable to perform its obligations under this agreement (either on time or at all) in any of the circumstances set out in clause 31.1 must immediately notify the other Party of the nature and
extent of the circumstances in question. 

  

	 	32.3	If any circumstance relied on by either Party for the purposes of this clause 31 continues for more than six months, the other Party shall be entitled to terminate this agreement by one month’s notice.

  

	33.	THIRD PARTY RIGHTS 

 A person who is not party to this agreement shall have no right to
enforce any term of this agreement. This clause does not affect any right or remedy of any person which exists or is available otherwise than pursuant to any applicable legislation. 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	23

	34.	LAW AND JURISDICTION 

  

	 	34.1	This agreement shall be governed by and construed in all respects in accordance with New York Law. 

  

	 	34.2	The parties hereby submit to the exclusive jurisdiction of the New York courts in respect of any claim, dispute or difference arising in respect of this agreement and agree that, in respect of proceedings in US or any
other jurisdiction, process may be served on any of them in the manner specified for notices in clause 26. 

  

	 	34.3	The rights set out in this clause 33 are in addition to any other manner of service permitted by law. 

  

	 	34.4	In an effort to resolve informally and amicably any claim or controversy arising out of or related to the interpretation or performance of this agreement without resorting to litigation, the Parties, as the case may be,
shall first notify in writing the other of any difference or dispute that requires resolution. Each of the Parties thereupon shall designate its respective representative to investigate, discuss and seek a settlement among them. If the Parties are
unable to settle the matter within thirty (30) days after such notification, the matter shall be submitted to an Independent Concilliator. If a settlement cannot be reached within an additional thirty (30) days, or such longer time period
as they shall agree upon, the Parties shall consider arbitration or other alternative means to resolve the dispute. 

  

	 	34.5	In the event of any dispute or difference between the Parties arising out of or in connection with this agreement, including any question regarding its existence, validity or termination, or the legal relationships
established by this agreement, whether arising during the currency or after the completion or abandonment of this agreement, or after the determination thereof, whether for breach or for any other reason in regard to any matter or thing of
whatsoever nature arising out of this agreement or in connection therewith, which fails to resolve amicably as contemplated above then either of the Parties may give to the other notice in writing of such dispute or difference and the same shall be
settled by arbitration held in Singapore, to be conducted by a single arbitrator (who shall be appointed in accordance with the Singapore International Arbitration Rules) in accordance with the Singapore International Arbitration Rules. The language
of the arbitration shall be English. 

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	24

			
	EXECUTED as a deed by Strides Arcolab	  	)
	International Ltd., acting by a director:	  	)
		  	)

  

			
		 	

	Director	 	ARUN KUMAR

  

			
	EXECUTED as a deed by Sagent Inc.,	  	)
	acting by a director:	  	)
		  	)

  

			
		 	

	Director	 	JEFFREY YORDON

  

			
	STRIDES – SAGENT – JV FOR GENERICS FOR US	  	25FORM OF TRANSITION SERVICES AGREEMENT

 Exhibit 10.1 
  

 
  

TRANSITION SERVICES AGREEMENT 

between 
 TIME WARNER INC. 

and 
 TIME INC. 

 
  

Dated as of            , 2014 

 
  

 
  

 

 TABLE OF CONTENTS 
  

							
	 	  	 	  	Page	 
	
	 ARTICLE I
  

Definitions
	   
 

  

	SECTION 1.01.	  	 Definitions
	  	 	1	  
	
	 ARTICLE II
  

Services
	   
 

  

			
	SECTION 2.01.	  	 Provision of Services
	  	 	4	  
	SECTION 2.02.	  	 Service Amendments and Additions
	  	 	6	  
	SECTION 2.03.	  	 No Management Authority
	  	 	7	  
	
	 ARTICLE III
  

Compensation
	   
 

  

			
	SECTION 3.01.	  	 Compensation for Services
	  	 	7	  
	SECTION 3.02.	  	 Adjustments to Cost of Services
	  	 	7	  
	SECTION 3.03.	  	 Payment Terms
	  	 	7	  
	SECTION 3.04.	  	 Disclaimer of Warranties
	  	 	8	  
	SECTION 3.05.	  	 Books and Records
	  	 	8	  
	
	 ARTICLE IV
  

Term
	   
 

  

			
	SECTION 4.01.	  	 Commencement
	  	 	8	  
	SECTION 4.02.	  	 Termination
	  	 	9	  
	SECTION 4.03.	  	 Return of Books, Records and Files
	  	 	9	  
	
	 ARTICLE V
  

Indemnification; Limitation of Liability
	   
 

  

			
	SECTION 5.01.	  	 Indemnification
	  	 	10	  
	SECTION 5.02.	  	 Limitation on Liability
	  	 	10	  
	
	 ARTICLE VI
  

Other Covenants
	   
 

  

			
	SECTION 6.01.	  	 Attorney-in-Fact
	  	 	11	  

  
 i 

							
	
	 ARTICLE VII
  

Breach, Notice and Cure
	   
 

  

			
	SECTION 7.01.	  	 Breach, Notice and Cure
	  	 	12	  
	
	 ARTICLE VIII
  

Miscellaneous
	   
 

  

	SECTION 8.01.	  	 Title to Data
	  	 	12	  
	SECTION 8.02.	  	 Force Majeure
	  	 	12	  
	SECTION 8.03.	  	 Separation Agreement
	  	 	12	  
	SECTION 8.04.	  	 Relationship of Parties
	  	 	12	  
	SECTION 8.05.	  	 Confidentiality and Data Processing
	  	 	13	  
	SECTION 8.06.	  	 Counterparts; Entire Agreement
	  	 	13	  
	SECTION 8.07.	  	 Governing Law; Jurisdiction
	  	 	13	  
	SECTION 8.08.	  	 Assignability
	  	 	14	  
	SECTION 8.09.	  	 Third-Party Beneficiaries
	  	 	14	  
	SECTION 8.10.	  	 Notices
	  	 	14	  
	SECTION 8.11.	  	 Severability
	  	 	14	  
	SECTION 8.12.	  	 Headings
	  	 	15	  
	SECTION 8.13.	  	 Waivers of Default
	  	 	15	  
	SECTION 8.14.	  	 Amendments
	  	 	15	  
	SECTION 8.15.	  	 Interpretation
	  	 	15	  

  
 ii 

 TRANSITION SERVICES AGREEMENT (this “Agreement”), dated as
of                     , 2014, by and between TIME WARNER INC., a Delaware corporation (“TWX”), and TIME INC., a Delaware
corporation (“Time”). 
 RECITALS 

WHEREAS, in connection with the contemplated Spin-Off of Time and concurrently with the execution of this Agreement, TWX and Time are entering
into a Separation and Distribution Agreement (the “Separation Agreement”); 
 WHEREAS, each of TWX and Time will provide to
the other certain services, as more particularly described in this Agreement, for a limited period of time following the Spin-Off; and 

WHEREAS, each of TWX and Time desires to reflect the terms of their agreement with respect to such services. 

NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are acknowledged by this Agreement, TWX and Time,
for themselves, their successors and assigns, agree as follows: 
 ARTICLE I 

Definitions 
 SECTION
1.01. Definitions. As used in this Agreement, the following terms have the following meanings: 
 “Affiliate” has
the meaning ascribed thereto in the Separation Agreement. 
 “Affected Party” has the meaning ascribed thereto in
Section 8.02. 
 “Agreement” has the meaning ascribed thereto in the preamble. 

“Ancillary Agreements” has the meaning ascribed thereto in the Separation Agreement. 

“Applicable Termination Date” means, with respect to each Service or Service Category, the date that is 24 months from the
Distribution Date, or such earlier termination date specified with respect to such Service or Service Category, as applicable, in Schedule A or Schedule B, as applicable. 

“Consents” has the meaning ascribed thereto in the Separation Agreement. 

“Cost of Services” means, with respect to each Service or Service Category, the cost of services specified with respect to
such Service or Service Category, as applicable, in Schedule A or Schedule B, as applicable, to be paid by a Service Recipient in respect of such Service or Service Category to the Service Provider of such Service or Service Category. 

 “Distribution” has the meaning ascribed thereto in the Separation Agreement.

 “Distribution Date” has the meaning ascribed thereto in the Separation Agreement. 

“Force Majeure Event” has the meaning ascribed thereto in Section 8.02. 

“Governmental Authority” has the meaning ascribed thereto in the Separation Agreement. 

“Group” means either the TWX Group or the Time Group, as the context requires. 

“Group Data Processing Agreement” has the meaning ascribed thereto in the Separation Agreement. 

“Indemnitee” means a TWX Indemnitee or a Time Indemnitee, as the context requires. 

“Information” has the meaning ascribed thereto in the Separation Agreement. 

“Insurance Proceeds” has the meaning ascribed thereto in the Separation Agreement. 

“Law” has the meaning ascribed thereto in the Separation Agreement. 

“Liabilities” has the meaning ascribed thereto in the Separation Agreement. 

“Party” means either party hereto, and “Parties” means both parties hereto. 

“Performing Party” has the meaning ascribed thereto in Section 8.02. 

“Person” has the meaning ascribed thereto in the Separation Agreement. 

“Publishing Business” has the meaning ascribed thereto in the Separation Agreement. 

“Separation Agreement” has the meaning ascribed thereto in the recitals. 

“Service Categories” means the categories of Services identified in Schedule A or Schedule B, as applicable. 

“Service Manager” has the meaning ascribed thereto in Section 2.01(c). 

  
 2 

 “Service Provider” means any member of the Time Group or the TWX Group, as
applicable, in its capacity as the provider of any Services to any member of the TWX Group or the Time Group, respectively. 

“Service Recipient” means any member of the Time Group or the TWX Group, as applicable, in its capacity as the recipient of
any Services from any member of the TWX Group or the Time Group, respectively. 
 “Services” means the individual services
included within the various Service Categories identified in Schedule A or Schedule B, as applicable. 
 “Spin-Off” has the
meaning ascribed thereto in the Separation Agreement. 
 “Sub-Contractor” has the meaning ascribed thereto in
Section 2.01(e). 
 “Subsidiary” has the meaning ascribed thereto in the Separation Agreement. 

“Taxes” has the meaning ascribed thereto in Section 3.01(b). 

“Third-Party Claim” has the meaning ascribed thereto in the Separation Agreement. 

“Time” has the meaning ascribed thereto in the preamble. 

“Time Business” means the Publishing Business and any other business conducted by Time or any other member of the Time Group
at any time after the Distribution. 
 “Time Group” has the meaning ascribed thereto in the Separation Agreement. 

“Time Indemnitees” has the meaning ascribed thereto in the Separation Agreement. 

“TWX” has the meaning ascribed thereto in the preamble. 

“TWX Business” has the meaning ascribed thereto in the Separation Agreement. 

“TWX Group” has the meaning ascribed thereto in the Separation Agreement. 

“TWX Indemnitees” has the meaning ascribed thereto in the Separation Agreement. 

  
 3 

 ARTICLE II 

Services 

SECTION 2.01. Provision of Services. (a) Commencing immediately after the Distribution, TWX shall, and shall cause
the applicable members of the TWX Group to, (i) provide to Time and the applicable members of the Time Group the Services set forth in Schedule A and (ii) pay, perform, discharge and satisfy, as and when due, its and their respective
obligations as Service Recipients under this Agreement, in each case in accordance with the terms of this Agreement. 
 (b) Commencing
immediately after the Distribution, Time shall, and shall cause the other members of the Time Group to, (i) provide to TWX and the applicable members of the TWX Group the Services set forth in Schedule B and (ii) pay, perform, discharge
and satisfy, as and when due, its and their respective obligations as Service Recipients under this Agreement, in each case in accordance with the terms of this Agreement. 

(c) Each Service Recipient and its respective Service Provider shall cooperate in good faith with each other in connection with the
performance of the Services hereunder. Each of TWX and Time, in its capacity as a Service Provider, agrees to appoint one of its respective employees (each such employee, a “Service Manager”) who will have overall responsibility for
managing and coordinating the delivery of Services, including making available the services of appropriately qualified employees and resources to enable the provision of the Services. The Service Managers will consult and coordinate with each other
regarding the provision of Services. 
 (d) The Service Provider shall determine the personnel who shall perform the Services to be provided
by it. The Service Provider shall pay for all personnel and other related expenses, including salary or wages and benefits of its employees performing the Services, as required by this Agreement. No Person providing Services to a Service Recipient
shall be deemed to be, or have any rights as, an employee of such Service Recipient. All overhead and personnel necessary to the Services to be provided by each Service Provider hereunder shall be such Service Provider’s sole responsibility and
shall be at such Service Provider’s sole cost and expense. Except as otherwise provided in Section 6.01, no Service Provider shall have the authority to bind the Service Recipient by contract or otherwise. 

(e) The Service Provider may, at its option, from time to time, delegate any or all of its obligations to perform Services under this
Agreement to any one or more of its Affiliates; provided, however, that such Affiliate(s) are capable of performing such Services without a material diminution in quality. In addition, the Service Provider may, as it deems necessary or
desirable, engage the services of other professionals, consultants or other third parties (each, a “Sub-Contractor”), in connection with the performance of the Services; provided, however, that (i) the Service
Provider shall remain ultimately responsible for ensuring that its obligations with respect to the nature, scope and quality of the Services described in this Section 2.01 are satisfied with respect to any Services

  
 4 

 
provided by any such Sub-Contractor and (ii) such Sub-Contractor agrees in writing to be bound by confidentiality provisions at least as restrictive to it as the terms of Section 8.05
of this Agreement. Except as agreed by the Parties in Schedule A or Schedule B or otherwise in writing, any costs associated with engaging the services of an Affiliate of the Service Provider or a Sub-Contractor shall not affect the Cost of Services
payable by the Service Recipient under this Agreement, and the Service Provider shall remain solely responsible with respect to payment for such Affiliate’s or Sub-Contractor’s costs, fees and expenses. 

(f) Unless otherwise agreed by the Parties, the Services shall be (i) performed by the Service Provider in a reasonably prompt and
professional manner that is substantially the same manner, scope, nature and quality in which the Service Provider provided the Services (or substantially similar services) prior to the Distribution for the Service Recipient, unless the Services are
being provided by a Sub-Contractor who is also providing the same services to the Service Provider or a member of such Service Provider’s Group, in which case the Services shall be performed for the Service Recipient in the same manner, scope,
nature and quality as they are being performed for the Service Provider or such member of such Service Provider’s Group, as applicable, and (ii) used by the Service Recipient for substantially the same purpose, in substantially the same
manner as, and at no higher level than, the Service Recipient used the Services (or substantially similar services) from the Service Provider prior to the Distribution. 

(g) The Parties acknowledge that the Service Provider may make changes from time to time in the manner of performing Services if the Service
Provider is making similar changes in performing the same or substantially similar Services for itself or other members of its Group; provided, however, that, unless expressly contemplated in Schedule A or Schedule B, such changes
shall not affect the Cost of Services for such Service or materially decrease the quality or level of the Services provided to the Service Recipient, except upon prior written approval of the Service Recipient. 

(h) Except to the extent a Party determines it to be necessary for the provision of Services or as otherwise contemplated in this Agreement or
Schedule A or Schedule B, in the context of the provision of the Services hereunder, neither Party shall grant to the other Party, and neither Party shall have, access to any competitively sensitive information or confidential information (including
personal data). 
 (i) Nothing in this Agreement shall be deemed to require the provision of any Service by any Service Provider to any
Service Recipient if the provision of such Service requires the Consent of any Person (including any Governmental Authority), whether under applicable Law, by the terms of any contract to which such Service Provider or any other member of its Group
is a party or otherwise, unless and until, subject to the third-to-last sentence of this Section 2.01(i), such Consent has been obtained. The Service Provider shall use commercially reasonable efforts to obtain as promptly as possible any
Consent of any Person that may be necessary for the performance of the Service Provider’s obligations pursuant to this Agreement. Any fees, expenses or extra costs incurred in connection with obtaining any such Consents shall be paid by the
Service Recipient, and the Service Recipient shall use commercially reasonable efforts to provide assistance as 

  
 5 

 
necessary in obtaining such Consents. In the event that the Consent of any Person, if required in order for the Service Provider to provide Services, is not obtained reasonably promptly after the
Distribution, the Service Provider shall notify the Service Recipient and the Parties shall cooperate in devising an alternative manner for the provision of the Services affected by such failure to obtain such Consent and the Cost of Services
associated therewith, such alternative manner and Cost of Services to be reasonably satisfactory to both Parties and agreed to in writing. If the Parties elect such an alternative plan, the Service Provider shall provide the Services in such
alternative manner and the Service Recipient shall pay for such Services based on the alternative Cost of Services. The Services shall not include, and no Service Provider shall be obligated to provide, any service the provision of which to a
Service Recipient following the Distribution would constitute a violation of any Law. In addition, notwithstanding anything to the contrary herein, the Service Provider will not be required to perform or to cause to be performed any of the Services
for the benefit of any third party or any other Person other than the applicable Service Recipient. 
 (j) The Service Recipient hereby
grants to the Service Provider performing Services under this Agreement a limited, nontransferable license, without the right to sublicense (except to an Affiliate or a Sub-Contractor who is providing Services on the Service Provider’s behalf,
solely to the extent necessary for such Affiliate or Sub-Contractor to provide the Services), for the term of this Agreement, to use the intellectual property owned by the Service Recipient solely to the extent necessary for the Service Provider to
perform its obligations hereunder. Subject to the terms of the Separation Agreement, (i) each Service Provider acknowledges and agrees that it will acquire no right, title or interest (including any license rights or rights of use) to any work
product resulting from the provision of Services hereunder for the Service Recipient’s exclusive use and such work product shall remain the exclusive property of the Service Recipient and (ii) each Service Recipient acknowledges and agrees
that it will acquire no right, title or interest (other than a non-exclusive, perpetual worldwide right of use) to any work product resulting from the provision of Services hereunder that is not for the Service Recipient’s exclusive use and
such work product shall remain the exclusive property of the Service Provider. The parties shall mutually agree upon and designate, in writing, work product created for a Service Recipient’s exclusive use and work product created for a Service
Recipient’s non-exclusive use. 
 (k) Subject to Sections 2.02 and 3.02, the Parties agree that the Services set forth in Schedule A
and Schedule B constitute all of the Services to be provided by members of the TWX Group and members of the Time Group, respectively, as of the Distribution Date. 

SECTION 2.02. Service Amendments and Additions. 

(a) From time to time during the term, each of TWX and Time may request the other Party (i) to provide additional (including as to
volume, amount, level or frequency, as applicable) or different services which the other Party is not expressly obligated to provide under this Agreement if such services are of the type and scope provided within the TWX Group or the Time Group, or
between the TWX Group and the 

  
 6 

 
Time Group, in each case during fiscal year 2013 or (ii) expand the scope of any Service (such additional or expanded services, the “Additional Services”). The Party
receiving such request for Additional Services shall consider such request in good faith and shall notify the requesting Party as promptly as practicable as to whether it will or will not provide the Additional Services. 

(b) If a Party agrees to provide Additional Services pursuant to Section 2.02(a), then a representative of each Party shall in good faith
negotiate an amendment to Schedule A and/or Schedule B, as applicable, which will describe in detail the service or service category, as applicable, project scope, term, price and payment terms to be charged for such Additional Services. Once agreed
to in writing, the amendment to Schedule A and/or Schedule B, as applicable, shall be deemed part of this Agreement as of such date and the Additional Services shall be deemed “Services” or “Service Categories”, as applicable,
provided hereunder, in each case subject to the terms and conditions of this Agreement. 
 SECTION 2.03. No Management
Authority. Notwithstanding any other provision hereof, no Service Provider shall be authorized by, or shall have responsibility under, this Agreement to manage the affairs of the business of any Service Recipient. 

ARTICLE III 

Compensation 

SECTION 3.01. Compensation for Services. (a) As compensation for each Service rendered pursuant to this Agreement,
the Service Recipient shall be required to pay to the Service Provider the Cost of Services specified for such Service in Schedule A or Schedule B, as applicable. 

(b) The amount of any actual and documented sales tax, value-added tax, goods and services tax or similar tax that is required to be assessed
and remitted by the Service Provider in connection with the Services provided hereunder (“Taxes”) will be promptly paid to the Service Provider by the Service Recipient in accordance with Section 3.03. Such payment shall be in
addition to the Cost of Services set forth in Schedule A or Schedule B, as applicable (unless such Tax is expressly already accounted for in the applicable Cost of Services). 

SECTION 3.02. Adjustments to Cost of Services. If at any time following the date of this Agreement, the Parties
mutually agree to add any Additional Services pursuant to Section 2.02, then concurrently with the addition of such Additional Services, the Parties shall work in good faith to amend Schedule A or Schedule B, as applicable, to reflect such
Additional Services and the related Cost of Services. 
 SECTION 3.03. Payment Terms. (a) The Service Provider
shall bill the Service Recipient monthly, within twenty (20) business days after the end of each month, or at such other interval specified with respect to a particular Service in Schedule A or Schedule B, as applicable, an amount equal to the
aggregate Cost of Services due for all 

  
 7 

 
Services provided in such month or other specified interval, as applicable, plus any Taxes. Invoices shall be directed to the Service Manager appointed by TWX or Time, as applicable, or to such
other Person designated in writing from time to time by such Service Manager. The Service Recipient shall pay such amount in full within sixty (60) days after receipt of each invoice by wire transfer of immediately available funds to the
account designated by the Service Provider for this purpose. Each invoice shall set forth in reasonable detail the calculation of the charges and amounts and applicable Taxes, for each Service during the month or other specified interval to which
such invoice relates. 
 (b) If a Service Recipient has any objection to the amount of any invoice, the Service Recipient shall notify the
Service Provider in writing and the Parties shall endeavor in good faith to promptly resolve such objection and, pending resolution thereof, the Service Recipient can withhold amounts that are being so disputed in good faith. Following resolution of
the objection, the Service Provider will be entitled to prompt payment of any amounts so determined by the Parties to be due to the Service Provider. 

SECTION 3.04. DISCLAIMER OF WARRANTIES. THE SERVICES TO BE PROVIDED UNDER THIS AGREEMENT ARE FURNISHED WITHOUT
REPRESENTATION OR WARRANTY OF ANY KIND, EXPRESS OR IMPLIED, INCLUDING ANY WARRANTY OF MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE. NO MEMBER OF THE TWX GROUP OR OF THE TIME GROUP, AS SERVICE PROVIDER, MAKES ANY REPRESENTATION OR WARRANTY
THAT ANY SERVICE COMPLIES WITH ANY LAW, DOMESTIC OR FOREIGN. 
 SECTION 3.05. Books and Records. TWX and Time shall
each maintain complete and accurate books of account as necessary to support calculations of the Cost of Services for Services rendered by it or the other members of its Group as Service Providers and shall make such books available to the other,
upon reasonable notice, during normal business hours; provided, however, that to the extent TWX’s or Time’s books contain Information relating to any other aspect of the TWX Business or the Time Business, as applicable, TWX
and Time shall negotiate a procedure to provide the other Party with necessary access while preserving the confidentiality of such other records. 

ARTICLE IV 
 Term

 SECTION 4.01. Commencement. This Agreement is effective as of the date hereof and shall remain in effect with
respect to a particular Service or Service Category until the occurrence of the Applicable Termination Date applicable to such Service or Service Category, unless earlier terminated (i) in its entirety or with respect to a particular Service or
Service Category, in each case in accordance with Section 4.02, or (ii) by mutual consent of the Parties. Notwithstanding anything to the contrary contained herein, if the Separation Agreement shall be terminated in accordance with its
terms, this Agreement shall be automatically terminated and void ab initio with no further action by the Parties and shall be of no force and effect. 

  
 8 

 SECTION 4.02. Termination. (a) If a Service Provider or Service
Recipient materially breaches any of its respective obligations under this Agreement (and the applicable cure period set forth in Section 7.01 has expired), the non-breaching Service Recipient or Service Provider, as applicable, may terminate
this Agreement with respect to the Service to which such obligations apply, effective upon not less than thirty (30) days’ written notice of termination to the breaching Party, if the breaching Party does not cure such default within
thirty (30) days after receiving written notice thereof from the non-breaching Party. The termination of this Agreement with respect to any Service pursuant to this Section 4.02 shall not affect the Parties’ rights or obligations
under this Agreement with respect to any other Service.  
 (b) Except as otherwise provided in this Agreement or Schedule A
or Schedule B, upon not less than (i) ninety (90) days’ prior written notice a Service Provider may terminate this Agreement with respect to any Service Category or Service if such Service Provider or its Affiliates cease to provide
such Service Category or Service to members of such Service Provider’s Group and (ii) thirty (30) days’ prior written notice a Service Recipient shall be entitled to terminate one or more Services being provided by any Service
Provider for any reason or no reason at all. 
 (c) In the event of any termination of this Agreement in its entirety or with respect to any
Service Category or Service, each Party, Service Provider and Service Recipient shall remain liable for all of their respective obligations that accrued hereunder prior to the date of such termination, including all obligations of each Service
Recipient to pay any amounts due to any Service Provider hereunder. 
 SECTION 4.03. Return of Books, Records and
Files. Upon the request of the Service Recipient after the termination of a Service with respect to which the Service Provider holds books, records or files, including current and archived copies of computer files, (i) owned solely by the
Service Recipient or its Affiliates and used by the Service Provider in connection with the provision of a Service pursuant to this Agreement or (ii) created by the Service Provider and in the Service Provider’s possession as a function of
and relating solely to the provision of Services pursuant to this Agreement, such books, records and files shall either be returned to the Service Recipient or destroyed by the Service Provider, with certification of such destruction provided to the
Service Recipient. The Service Provider shall return or destroy, as applicable, all of such books, records or files as soon as reasonably practicable following a request by the Service Recipient; provided, however, that in the event
that certain of such books, records or files stored in electronic form cannot reasonably or practicably be returned or destroyed, as applicable, the Service Provider agrees to maintain copies of the applicable books, records or files for the minimum
amount of time permitted by the systems storing such data and not to use such data for any other purposes. The Service Recipient shall bear the Service Provider’s reasonable, necessary and actual out-of-pocket costs and expenses associated with
the return or destruction of such books, records or files. At its expense, the Service Provider may make one copy of such books, records or files for its legal files. 

  
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 ARTICLE V 

Indemnification; Limitation of Liability 

SECTION 5.01. Indemnification. (a) Time in its capacity as a Service Recipient and on behalf of each member of its
Group in their capacity as a Service Recipient, shall indemnify, defend and hold harmless TWX and the other TWX Indemnitees from and against any and all Liabilities incurred by such TWX Indemnitee and arising out of, in connection with or by reason
of this Agreement or any Services provided by any member of the TWX Group hereunder, except to the extent such Liabilities arise out of a TWX Group member’s (i) breach of this Agreement, (ii) violation of Laws in providing the
Services, (iii) violation of third-party rights (including such third-party rights embodied in patents, trademarks, copyrights and trade secrets) in providing the Services or (iv) gross negligence or wilful misconduct in providing the
Services. 
 (b) TWX in its capacity as a Service Recipient and on behalf of each member of its Group in their capacity as a Service
Recipient, shall indemnify, defend and hold harmless Time and the other Time Indemnitees from and against any and all Liabilities incurred by such Time Indemnitee and arising out of, in connection with or by reason of this Agreement or any Services
provided by any member of the Time Group hereunder, except to the extent such Liabilities arise out of a Time Group member’s (i) breach of this Agreement, (ii) violation of Laws in providing the Services, (iii) violation of
third-party rights (including such third-party rights embodied in patents, trademarks, copyrights and trade secrets) in providing the Services or (iv) gross negligence or wilful misconduct in providing the Services. 

SECTION 5.02. Limitation on Liability. (a) No Service Provider, in its capacity as such, nor any member of its
Group acting in the capacity of a Service Provider, nor any Indemnitee thereof, shall be liable (whether such liability is direct or indirect, in contract or tort or otherwise) to the other Party (or any of such other Party’s Indemnitees) for
any Liabilities arising out of, related to, or in connection with the Services or this Agreement, except to the extent that such Liabilities arise out of such Service Provider’s (or a member of its Group’s) (i) breach of this
Agreement, (ii) violation of Laws in providing the Services, (iii) violation of third-party rights (including such third-party rights embodied in patents, trademarks, copyrights and trade secrets) in providing the Services or
(iv) gross negligence or wilful misconduct in providing the Services; provided that nothing in this Section 5.02(a) shall be deemed to limit a Service Recipient’s rights under Section 5.02(d) regarding Insurance Proceeds
in respect of Third-Party Claims. 
 (b) IN NO EVENT SHALL ANY SERVICE PROVIDER, IN ITS CAPACITY AS SUCH, NOR ANY MEMBER OF ITS GROUP ACTING
IN THE CAPACITY OF A SERVICE PROVIDER, NOR ANY INDEMNITEE THEREOF, BE LIABLE, WHETHER IN CONTRACT, IN TORT (INCLUDING NEGLIGENCE AND STRICT LIABILITY) OR OTHERWISE TO THE SERVICE RECIPIENT (OR ANY OF ITS INDEMNITEES) FOR ANY INDIRECT, SPECIAL,
CONSEQUENTIAL OR 

  
 10 

 
PUNITIVE DAMAGES (INCLUDING LOSS OF PROFITS) AS A RESULT OF ANY BREACH, PERFORMANCE OR NON-PERFORMANCE BY SUCH SERVICE PROVIDER UNDER THIS AGREEMENT, EXCEPT AS MAY BE PAYABLE TO A CLAIMANT IN A
THIRD-PARTY CLAIM. 
 (c) EACH GROUP’S TOTAL LIABILITY, IN ITS CAPACITY AS A SERVICE PROVIDER, TO THE OTHER GROUP ARISING OUT OF,
RELATED TO, OR IN CONNECTION WITH THE SERVICES OR THIS AGREEMENT FOR ANY CLAIM SHALL NOT EXCEED IN THE AGGREGATE AN AMOUNT EQUAL TO THE TOTAL AMOUNT PAID TO IT FOR SERVICES UNDER THIS AGREEMENT; PROVIDED, HOWEVER, THAT, NOTWITHSTANDING THE
FOREGOING, IN THE CASE OF ANY LIABILITY TO THE OTHER PARTY ARISING OUT OF A THIRD-PARTY CLAIM, EACH GROUP’S TOTAL LIABILITY IN ITS CAPACITY AS A SERVICE PROVIDER TO THE OTHER GROUP SHALL BE INCREASED BY AN AMOUNT EQUAL THE AMOUNT, IF ANY, OF
ANY INSURANCE PROCEEDS THAT ARE ACTUALLY RECEIVED BY SUCH SERVICE PROVIDER IN ACCORDANCE WITH SECTION 5.02(d). 
 (d) If a Service Provider,
in its capacity as such, or any member of its Group acting in the capacity of a Service Provider, or any Indemnitee thereof, shall be liable to the other Party for any Liability arising out of a Third-Party Claim, such Service Provider, at the
request of the Indemnitee, shall use commercially reasonable efforts to pursue and recover any available Insurance Proceeds under applicable insurance policies. Promptly upon the actual receipt of any such Insurance Proceeds, such Service Provider
shall pay such Insurance Proceeds to the applicable Indemnitee to the extent of the Liability arising out of the applicable Third-Party Claim. The Indemnitee shall, upon the request of such Service Provider and to the extent permitted under such
Service Provider’s applicable insurance policies, promptly pay directly to such Service Provider or to such Service Provider’s insurer any reasonable costs or expenses incurred in the collection of such Indemnitee’s portion of such
Insurance Proceeds (including such Indemnitee’s portion of applicable retentions or deductibles); provided, however, that in no event shall an Indemnitee’s portion of such collection costs and expenses, applicable retentions
and deductibles exceed the amount of Insurance Proceeds actually received by such Indemnitee. 
 (e) The provisions of this Article V shall
survive indefinitely, notwithstanding any termination of all or any portion of this Agreement. 
 ARTICLE VI 

Other Covenants 

SECTION 6.01. Attorney-in-Fact. On a case-by-case basis, the Service Recipient shall execute documents necessary to
appoint the Service Provider as its attorney-in-fact for the sole purpose of executing any and all documents and instruments reasonably required to be executed in connection with the performance by the Service Provider of any Service under this
Agreement. 

  
 11 

 ARTICLE VII 

Breach, Notice and Cure 

SECTION 7.01. Breach, Notice and Cure. No breach of this Agreement by a Party shall be deemed to have occurred unless
the non-breaching Party serves written notice on the breaching Party specifying the nature thereof and the breaching Party fails to cure such breach, if any, within thirty (30) days after receipt of such notice (or ten (10) days in the
case of a failure by the breaching Party to pay a sum certain). 
 ARTICLE VIII 

Miscellaneous 

SECTION 8.01. Title to Data. Each of Time and TWX acknowledges that it will acquire no right, title or interest
(including any license rights or rights of use) in any firmware or software, or the licenses therefor that are owned by the other Party or its Affiliates, Subsidiaries or divisions, by reason of the provision of the Services hereunder, except as
expressly provided in Section 2.01(j) and Section 4.03. 
 SECTION 8.02. Force Majeure. In case performance
of any terms or provisions hereof shall be delayed or prevented, in whole or in part, because of or related to compliance with any Law or requirement of any national securities exchange, or because of riot, war, public disturbance, strike, labor
dispute, fire, explosion, storm, flood, act of God or act of terrorism that is not within the control of the Party, Service Provider or Service Recipient whose performance is interfered with (each, a “Performing Party”) and which by
the exercise of reasonable diligence such Performing Party is unable to prevent, or for any other reason which is not within the control of such Performing Party whose performance is interfered with and which by the exercise of reasonable diligence
such Performing Party is unable to prevent (each, a “Force Majeure Event”), then upon prompt written notice stating the date and extent of such interference and the cause thereof by the Performing Party to the other Party, Service
Recipient or Service Provider (each, an “Affected Party”), as applicable, the Performing Party shall be excused from its obligations hereunder during the period such Force Majeure Event or its effects continue, and no liability
shall attach against either the Performing Party or the Affected Party on account thereof; provided, however, that the Performing Party promptly resumes the required performance upon the cessation of the Force Majeure Event or its
effects. No Performing Party shall be excused from performance if such Performing Party fails to use commercially reasonable efforts to remedy the situation and remove the cause and effects of the Force Majeure Event. 

SECTION 8.03. Separation Agreement. The Parties agree that, in the event of a conflict between the terms of this
Agreement and the Separation Agreement with respect to the subject matter hereof, the terms of this Agreement shall govern. 

SECTION 8.04. Relationship of Parties. Except as otherwise provided in Section 6.01, nothing in this Agreement
shall be deemed or construed by the Parties or 

  
 12 

 
any third party as creating a relationship of principal and agent, partnership or joint venture between the Parties, between Service Providers and Service Recipients or with any individual
providing Services, it being understood and agreed that no provision contained herein, and no act of any Party or members of their respective Groups, shall be deemed to create any relationship between the Parties or members of their respective
Groups other than the relationship set forth herein. Except as otherwise provided in Section 6.01, each Party and each Service Provider shall act under this Agreement solely as an independent contractor and not as an agent or employee of any
other Party or any of such Party’s Affiliates. 
 SECTION 8.05. Confidentiality and Data Processing.
(a) Each Party hereby acknowledges that confidential Information of such Party or members of its Group may be exposed to employees and agents of the other Party or its Group as a result of the activities contemplated by this Agreement. Each
Party agrees, on behalf of itself and the members of its Group, that such Party’s obligation to use and keep confidential such Information of the other Party or its Group shall be governed by Sections 7.01(c) and 7.08 of the Separation
Agreement. 
 (b) Each Party agrees that it will only process personal data (as defined by EU Directive 95/46/EC of 24 October 1995)
provided to it by the other Party or its Group in accordance with Section 7.01(d) of the Separation Agreement and the terms of the Group Data Processing Agreement. 

SECTION 8.06. Counterparts; Entire Agreement. (a) This Agreement may be executed in one or more counterparts, all
of which counterparts shall be considered one and the same agreement, and shall become effective when one or more counterparts have been signed by each Party hereto and delivered to the other Party. This Agreement may be executed by facsimile or PDF
signature and a facsimile or PDF signature shall constitute an original for all purposes. 
 (b) This Agreement, the Separation Agreement,
the other Ancillary Agreements and the Exhibits and Schedules hereto and thereto contain the entire agreement between the Parties with respect to the subject matter hereof and supersede all previous agreements, negotiations, discussions, writings,
understandings, commitments and conversations with respect to such subject matter, and there are no agreements or understandings between the Parties with respect to the subject matter hereof other than those set forth or referred to herein or
therein. 
 SECTION 8.07. Governing Law; Jurisdiction. This Agreement shall be governed by, and construed in
accordance with, the Laws of the State of New York, regardless of the Laws that might otherwise govern under applicable principles of conflicts of laws thereof. Each Party irrevocably consents to the exclusive jurisdiction, forum and venue of the
Commercial Division of the Supreme Court of the State of New York, New York County and the United States District Court for the Southern District of New York over any and all claims, disputes, controversies or disagreements between the Parties or
any of their respective Subsidiaries, Affiliates, successors and assigns under or related to this Agreement or any document executed pursuant to this Agreement or any of the transactions contemplated hereby or thereby. 

  
 13 

 SECTION 8.08. Assignability. Neither this Agreement nor any of the rights,
interests or obligations under this Agreement shall be assigned, in whole or in part, by operation of law or otherwise by either Party without the prior written consent of the other Party. Any purported assignment without such consent shall be void.
Subject to the preceding sentences, this Agreement will be binding upon, inure to the benefit of, and be enforceable by, the Parties and their respective successors and assigns. Notwithstanding the foregoing, either Party may assign this Agreement
without consent in connection with (a) a merger transaction in which such Party is not the surviving entity and the surviving entity acquires or assumes all or substantially all of such Party’s assets or (b) the sale of all or
substantially all of such Party’s assets; provided, however, that the assignee expressly assumes in writing all of the obligations of the assigning Party under this Agreement, and the assigning Party provides written notice and
evidence of such assignment and assumption to the non-assigning Party. No assignment permitted by this Section 8.08 shall release the assigning Party from liability for the full performance of its obligations under this Agreement. Nothing in
this Section 8.08 shall affect or impair a Service Provider’s ability to delegate any or all of its obligations under this Agreement to one or more members of its Group or Sub-Contractors pursuant to Section 2.01(e). 

SECTION 8.09. Third-Party Beneficiaries. Except for the indemnification rights
under this Agreement of any TWX Indemnitee or Time Indemnitee in their respective capacities as such, (a) the provisions of this Agreement are solely for the benefit of the Parties hereto and are not intended to confer upon any Person except
the Parties hereto any rights or remedies hereunder and (b) there are no third-party beneficiaries of this Agreement and this Agreement shall not provide any third Person with any remedy, claim,
liability, reimbursement, cause of action or other right in excess of those existing without reference to this Agreement. 

SECTION 8.10. Notices. All notices, requests, claims, demands and other communications under this Agreement shall be in
writing and shall be provided in the manner set forth in the Separation Agreement. 
 SECTION 8.11. Severability. If
any provision of this Agreement or the application thereof to any Person or circumstance is determined by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions hereof, or the application of such provision
to Persons or circumstances or in jurisdictions other than those as to which it has been held invalid or unenforceable, shall remain in full force and effect and shall in no way be affected, impaired or invalidated thereby, so long as the economic
or legal substance of the transactions contemplated hereby is not affected in any manner materially adverse to either Party. Upon any such determination, any such provision, to the extent determined to be invalid, void or unenforceable, shall be
deemed replaced by a provision that such court determines is valid and enforceable and that comes closest to expressing the intention of the invalid, void or unenforceable provision. 

  
 14 

 SECTION 8.12. Headings. The article, section and paragraph headings
contained in this Agreement are for reference purposes only and shall not affect in any way the meaning or interpretation of this Agreement. 

SECTION 8.13. Waivers of Default. No failure or delay of any Party (or the applicable member of its Group) in
exercising any right or remedy under this Agreement shall operate as a waiver thereof, nor shall any single or partial exercise of any such right or power, or any abandonment or discontinuance of steps to enforce such right or power, or any course
of conduct, preclude any other or further exercise thereof or the exercise of any other right or power. Waiver by any Party hereto of any default by the other Party hereto of any provision of this Agreement shall not be deemed a waiver by the
waiving Party of any subsequent or other default. 
 SECTION 8.14. Amendments. No provisions of this Agreement shall
be deemed waived, amended, supplemented or modified by any Party hereto, unless such waiver, amendment, supplement or modification is in writing and signed by the authorized representative of each Party. 

SECTION 8.15. Interpretation. The rules of interpretation set forth in Section 12.14 of the Separation Agreement
are incorporated by reference into this Agreement, mutatis mutandis. 

  
 15 

 IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first
written above. 
  

			
	TIME WARNER INC.
		
	by	 	  

		 	Name:
		 	Title:

  

			
	TIME INC.
		
	by	 	  

		 	Name:
		 	Title:

  
 16

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