Document:

Exhibit
10.1

 

Software
Reseller Agreement

 

Between

 

Siemens
Molecular Imaging Limited

 

And

 

Vital
Images

 

in respect of

 

Fusion7D
Image Fusion Software

 

Contents

 

	
  RECITALS

  	
   

  	
   

  	
   

  	
  1

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  1:

  	
   

  	
  DEFINITIONS

  	
   

  	
  1

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  2:

  	
   

  	
  APPOINTMENT

  	
   

  	
  3

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  3:

  	
   

  	
  GENERAL
  OBLIGATIONS OF THE PARTIES

  	
   

  	
  3

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  4:

  	
   

  	
  PRODUCT
  DELIVERY

  	
   

  	
  5

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  5:

  	
   

  	
  LICENCES

  	
   

  	
  6

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  6:

  	
   

  	
  SOFTWARE
  MAINTENANCE SERVICES

  	
   

  	
  7

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  9:

  	
   

  	
  APPROVALS;
  ADVERSE REACTIONS; PRODUCT RECALLS

  	
   

  	
  9

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  10:

  	
   

  	
  WARRANTIES
  AND REPRESENTATIONS; INDEMNIFICATION

  	
   

  	
  10

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  11:

  	
   

  	
  CONFIDENTIALITY

  	
   

  	
  11

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  12:

  	
   

  	
  TRADEMARKS
  AND INTELLECTUAL PROPERTY RIGHTS

  	
   

  	
  12

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  13:

  	
   

  	
  TERM
  AND TERMINATION

  	
   

  	
  12

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  14:

  	
   

  	
  FORCE
  MAJEURE

  	
   

  	
  13

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  15:

  	
   

  	
  DISPUTE
  RESOLUTION

  	
   

  	
  14

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  16:

  	
   

  	
  MISCELLANEOUS

  	
   

  	
  14

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  EXHIBIT
  A:

  	
   

  	
  SPECIFICATIONS,
  PRODUCT AND PRODUCT PACKAGING

  	
   

  	
  17

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  EXHIBIT
  B:

  	
   

  	
  SALE
  AND REGULATORY TERRITORIES

  	
   

  	
  18

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  EXHIBIT
  C:

  	
   

  	
  PRODUCT
  AND MAINTENANCE PRICE LIST

  	
   

  	
  19

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  EXHIBIT
  D:

  	
   

  	
  MAINTENANCE

  	
   

  	
  20

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  EXHIBIT
  E:

  	
   

  	
  TRAINING

  	
   

  	
  21

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  EXHIBIT
  F:

  	
   

  	
  REPORTS

  	
   

  	
  22

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  EXHIBIT
  G:

  	
   

  	
  END
  USER LICENCE AGREEMENT

  	
   

  	
  23

  

 

 

THIS
AGREEMENT is made on the 12th day of May, 2006

 

between

 

1.                                         Siemens Molecular Imaging Limited, a company registered in England under registered
number 3417726 with registered office at Siemens House, Oldbury, Bracknell,
Berkshire RG12 8FZ, England (“Siemens”), and

 

2.                                         Vital Images, Inc. a corporation registered in the State of Minnesota,
U.S.A. having its principal place of business at 5850 Opus Parkway, Suite 300,
Minneapolis, Minnesota, U.S.A. (“Reseller”).

 

RECITALS

 

A.                                   Siemens develops and licenses proprietary PET, SPECT,
molecular and multi-modality imaging software products (defined below as the
“Products”) and desires to increase the marketing and distribution of the
Products.

 

B.                                     Reseller markets workstation software (defined below
as the “Reseller Workstation”) and wishes to market the Reseller Workstation in
conjunction with the Products. Reseller possesses the necessary expertise and
marketing organisation to promote, market, distribute and support the Products.

 

C.                                     The parties now wish to terminate the software
reseller agreement as of March 30, 2006 between them with effect from the date
of this Agreement, except in relation to existing end users. In accordance with
this Agreement Siemens desires to reappoint Reseller, and Reseller desires
reappointment, as a nonexclusive reseller of the Products.

 

NOW,
THEREFORE, in consideration of the mutual premises and covenants hereinafter
set forth, the parties agree as follows:

 

ARTICLE 1:                            DEFINITIONS

 

For
purposes of this Agreement, the following words, terms and phrases shall have
the following meanings unless the context otherwise requires:

 

1.1                                 Associated Company means any company which is in relation to another
company its parent undertaking or its subsidiary undertaking, or a subsidiary
undertaking of its parent undertaking (and subsidiary undertaking and parent
undertaking shall have the meaning given to them in the Companies Act 1985).

 

1.2                                 Confidential Information means all information designated by a party as
confidential and which is disclosed by Siemens to Reseller, is disclosed by
Reseller to Siemens, or is embodied in the Products, regardless of the form in
which it is disclosed, relating to markets, customers, products, patents,
inventions, procedures, methods, designs, strategies, plans, assets,
liabilities, prices, costs, revenues, profits, organisation, employees, agents,
resellers or business in general, or, in the case of Siemens, the algorithms,
programs, user interfaces and organisation of the Products or, in the case of
Reseller, the algorithms, programs, user interfaces and organisation for the
Reseller Workstation.

 

1.3                                 End User means a purchaser of Products in the Territory, either
from Reseller or from a Dealer Associate appointed in accordance with Article
2.2 of this Agreement.

 

1.4                                 End User Licence Agreement means the end user licence agreement between Reseller
and End Users relating to the use of the Products, which, for purposes of End
Users with whom Reseller has entered into contracts on or before March 31,
2006, shall be the Software License

 

 

Agreement entered into by Reseller with those End
Users, and for all other End Users shall be an end user licence agreement in a
form agreed by the parties and failing agreement shall be based on the form set
out at Exhibit G.

 

1.5                                 Excluded Field means pre-clinical use, such as medical image
processing to the pharmaceutical domain, in particular: (i) the processing and
analysis of images acquired for research purposes to create and tune new
treatments, on animal models or on human models, in vivo or in vitro; and (ii)
phase I pharmaceutical trials (exploratory pharmaceutical trials, toxicity),
phase II trials (study of doses, study of efficiency), phase III trials (study
of efficiency for regulatory approval) and phase IV trials (study of the
effects of the drug after approval for control and to quantitatively measure
the socio-economical impact of the medical treatment).

 

1.6                                 First Level Maintenance means the first level maintenance to be provided by
Reseller to End Users as set out at Exhibit D.

 

1.7                                 Government Approval means any approvals, licences, registrations or
authorisations of any national, state or local regulatory agency, department,
bureau or other government entity, foreign or domestic, necessary or expedient
for use, marketing, sale or distribution of system or equipment incorporating
the Products or the Products themselves (hereinafter called “Transaction”) in a
regulatory jurisdiction, including the Japanese Ministry of Health, Labour and
Welfare (“MHLW”) or equivalent statutory bodies.

 

1.8                                 Products means only those computer software products in object
code form as described in Exhibit A and any related user documentation as
released from time to time by Siemens, including any later authorised releases
or versions of such software or documentation during the term of this
Agreement. Products shall conform to specifications as described in Exhibit A.

 

1.9                                 Reseller Workstation means the hosting software or software and hardware
package into which the Products defined in this schedule may be integrated.
Reseller Workstation is defined in Exhibit A.

 

1.10                           Second Level Maintenance means the second level maintenance to be provided by
Siemens to Reseller as set out at Exhibit D.

 

1.11                           Software means the object code for the machine instructions
associated with the user level software as embodied in the Products.

 

1.12                           Territory means the area described in Exhibit B.

 

1.13                           Update means a change to the Software, including
modifications such as a ‘bug fix’ or program patch, or which improves existing
functions or features of the Software. For purposes of this Agreement, an
Update includes the latest version or release of previously-purchased Software,
such as providing Edition 6 “Advanced” Tier product to End-users who have
previously purchased an “Edition 5 Fusion7D licence key,” providing “Edition 6
Access Point only” to End-users who have previously purchased “Edition 5
Fusion7D Access points,” and providing Edition 6 “Enablement of floating
licences” to End-users who have previously purchased Edition 5 “Enablement of
floating licences.”

 

1.14                           Upgrade means an enhancement or change to a newer version of
the Products which increases the performance of the Software by adding new
features or functionality and (i) is marketed by Siemens as a separate product
or option: or (ii) is a superior product from the product purchased by the End
User, such as if an End User purchases Tier 3, then Tier 4 would be an Upgrade.

 

2

 

ARTICLE 2:                            APPOINTMENT

 

2.1                                 Scope. Siemens hereby appoints Reseller, and Reseller hereby
accepts such appointment, from the date of this Agreement as Siemens’
non-exclusive reseller of the Products only in conjunction with the Reseller
Workstation in the Territory during the term of this Agreement, subject to all
the terms and conditions of this Agreement. Upon Reseller’s written proposal,
Siemens shall discuss in good faith to add new area to the Territory or
products to the Products during the term of this Agreement; provided that
Siemens may accept or reject Reseller’s proposed additions to the Territory or
Products in Siemens’ sole discretion.

 

2.2                                 Dealer Associates. Reseller may appoint one or more:

 

(a)                                  of its Associated Companies to act as agents of the
Reseller to market and distribute the Products within the Territory; and/or

 

(b)                                 third parties which are not Associated Companies to
act as agents of the Reseller to market and distribute the Products within the
Territory, subject to the prior written consent of Siemens;

 

(collectively
“Dealer Associates”) provided Reseller enters into an agreement with such
Dealer Associates on substantially the same provisions as this Agreement.

 

2.3                                 Use of Terms. The terms “sale”, “purchase”, “distribution”,
“resale”, “Reseller” and “Dealer” are used herein for convenience only and
refer to the sale of software licences for the Products. Reseller hereby
acknowledges Siemens retains all right, title and interest in and to the
copyrights and other intellectual property rights in the Products and that such
Products are to be provided to End Users only through an End User Licence
Agreement.

 

ARTICLE 3:                            GENERAL OBLIGATIONS OF THE PARTIES

 

3.1                                 Promotional Materials. Siemens shall furnish Reseller with a reasonable
quantity of Siemens data sheets, brochures and other marketing materials for
the Products in the English language for use by Reseller as may be mutually
deemed necessary to market the Products.

 

(a)                                  Electronic copy. In lieu of providing such promotional
materials directly, Siemens, at its discretion, may provide Reseller with an
electronic media copy of same with a nonexclusive, non-transferable right and
licence to use same, without modification of any kind, for the local
reproduction or translation of such materials solely for purposes of Reseller’s
performance under this Agreement.

 

(b)                                 Languages. If non-English language versions of such
data sheets or brochures or non-English language advertising of the Products
are necessary or desirable for effective marketing of the Products in the
Territory, if available Siemens shall provide copies or an electronic copy, but
if not available Reseller shall arrange and pay for the preparation of such
non-English language materials. In all cases, Siemens shall be the sole and
exclusive owner of the copyrights in any such materials, regardless of
language.

 

3.2                                 Modification and Integration. Reseller shall perform all necessary modifications to
the Reseller Workstation to ensure full integration between the Products and
the Reseller Workstation. Siemens shall provide reasonable support by telephone
and email to support such modification work. Reseller shall grant to Siemens an
irrevocable royalty-free transferable licence to such modifications. Reseller
shall have full responsibility for undertaking any such modification work, and
shall follow any guidelines which are published by Siemens for the execution of
such work. Siemens shall not be liable for any software errors or faults which
are caused directly or indirectly by the modifications performed by Reseller.
Subject to agreement on the scope of work and

 

3

 

charges payable, Siemens shall make modifications to
the Products to assist their integration with the Reseller Workstation.

 

3.3                                 Training. Siemens will provide training on the Products to
Reseller in accordance with terms and conditions set forth in Exhibit E hereof.

 

3.4                                 Marketing and other Obligations of
Reseller. Reseller shall:

 

(a)                                  use its best endeavours to further the promotion,
marketing and distribution of the Products in the Territory, in accordance with
the marketing plan prepared by the Reseller in consultation with Siemens, and
if requested by Siemens cease using any advertising or promotional materials
Siemens considers not to be in Siemens’ best interests;

 

(b)                                 demonstrate the Products at trade shows and user
conferences in the Territory where the Reseller Workstation is being marketed;

 

(c)                                  conduct its business in a professional manner, which
will reflect positively upon Siemens and the Products;

 

(d)                                 at all times to display, demonstrate and otherwise
represent the Products fairly in comparison with competitive products from
other suppliers;

 

(e)                                  not make any promises or representations or give any
warranties, guarantees or indemnities in respect of the Products except such as
are contained in an End User Licence Agreement or as expressly authorised by
Siemens in writing and not supply the Software to any person knowing that it
does not meet that person’s specified requirements;

 

(f)                                    install only authorised versions of the Products as
supplied by Siemens for End Users;

 

(g)                                 promptly respond to all inquiries or complaints from
End Users, to provide all necessary and appropriate First Level Maintenance and
to cooperate with Siemens in the provision of the Second Level Maintenance;

 

(h)                                 provide Siemens with appropriate details of all
material complaints and bugs found in the Products, whether product issues were
discovered by Reseller or End Users;

 

(i)                                     supply to Siemens such reports, returns and other
information relating to orders and projected orders for the Products and
regarding customers as Siemens may from time to time reasonably require;

 

(j)                                     not make Products available to competitors of Siemens;

 

(k)                                  not include any Products in any tender, quotation or
sale of Reseller Workstations in conjunction with competitors of Siemens or
where such competitors are a partner or co-supplier or have a material or
commercial interest in the tender, quotation or sale. For the purposes of this
Article, “competitor” shall include, without limitation, GE Healthcare and
Philips Medical Systems;

 

(l)                                     abide by all applicable laws and regulations in the
Territory; and

 

(m)                               permit Siemens and its authorised agents at all
reasonable times to enter any of Reseller’s premises for the purpose of
ascertaining that Reseller is complying with its obligations under this Agreement
(and Reseller hereby irrevocably licenses Siemens, its employees and agents to
enter any such premises for such purpose).

 

4

 

3.5                                 Siemens Sales Support. Siemens shall provide reasonable sales support to
Reseller including, but not limited to, assisting Reseller in the demonstration
of the Products, participating in sales presentations and assisting in the
preparation of RFP responses. Such sales support shall be limited to** person
days per year, and the cost of providing suitably trained staff to provide this
support shall be borne by Siemens. Reasonable travel, accommodation and
subsistence costs incurred by Siemens when providing such sales support at the
request of Reseller shall be reimbursed in full by Reseller on presentation of
receipts or invoices for such expenses.

 

3.6                                 Reverse Engineering. Reseller shall not reverse engineer, decompile or
disassemble the Products and shall not knowingly allow any other person to do
so.

 

3.7                                 Product Sunsetting. Siemens may, at its sole discretion, by written notice
to Reseller withdraw any or all of the Products from the market or from this
Agreement at any time. To enable Reseller to effectively perform its duties
under this Agreement, Siemens will use reasonable efforts to provide Reseller
with at least six (6) months’ advance written notice of such Product
withdrawals and of the replacements for such withdrawn Products. If a Product
is withdrawn from this Agreement, Reseller shall return to Siemens all unsold
copies of such Product held by Reseller, and the software library and master
encryption key relating to that Product. Siemens shall continue to make
available to Reseller Second Level Maintenance in relation to such Product for
a period specified in that notice which shall be at least five years from the
date of such notice.

 

3.8                                 Sales Forecasts. Upon Siemens’s request and no more than once per
quarter, Reseller shall provide Siemens with a forecast of estimated
installations and sales of Products in the then current quarter.

 

3.9                                 Reports. Reseller shall within 14 days of the end of each
calendar month provide to Siemens a report signed by an officer of Reseller
with such details of End Users and Service End Users (as defined in Article
6.1) as Siemens may advise from time to time relating to such period, including
(without limitation) the details described in Exhibit F.

 

ARTICLE 4:                            PRODUCT DELIVERY

 

4.1                                 Software Library. Siemens shall promptly provide to Reseller a software
library of the Products with a master encryption key and from time to time
Updates or Upgrades [as agreed by the parties]. The Reseller shall keep such
software library and master encryption key strictly confidential and not
disclose them to any other party. The Reseller shall use the software library
and master encryption key only in accordance with this Agreement.

 

4.2                                 Reproduction of the Products. Reseller shall use the software library to produce
copies of the Products only in such form approved by Siemens (and in particular
shall reproduce Siemens’ copyright and proprietary notices on every such
reproduction) and shall only make such number of copies as are necessary to
satisfy Reseller’s obligations pursuant to End User Licence Agreements together
with a reasonable number of copies for demonstration, support and training
purposes pursuant to Article 5.2. Reseller shall implement a copy protection
mechanism approved in writing in advance by Siemens to prevent unauthorised use
of the Products on each copy of the Products made by Reseller.

 

4.3                                 Installation of Products. Reseller shall have the sole responsibility for the
installation of Products into an End User’s Reseller Workstation in the
Territory in accordance with the standards and specifications established by
Siemens from time to time and provided to Reseller hereunder. Reseller shall
not provide the Products to any party for use outside the Territory.

 

**  Confidential
Treatment has been requested, the portion indicated has been redacted and the
redacted portion has been separately filed with the Securities and Exchange
Commission.

 

5

 

4.4                                 Customer Pricing. Reseller will have the right, in its sole discretion,
to determine the fees, prices and other amounts that it will charge to End
Users for the Products and for any related services. Siemens reserves the right
to publish the list prices for the products as provided in Exhibit C.

 

4.5                                 End User Licence Agreement. Reseller shall prepare a standard form End User
Licence Agreement for use with End Users in each jurisdiction of the Territory
compatible with applicable law in that jurisdiction. Reseller shall ensure that
all End User Licence Agreements shall** unless prohibited by applicable law.
Except as provided in Article 5.3, Reseller shall not, and shall procure that
End Users do not, deliver possession of any copies of the Products to any third
party unless that person has first entered into an End User Licence Agreement
with Reseller. Reseller shall keep a copy of each executed End User Licence
Agreement entered into by End Users, and make such copies available to Siemens
for inspection at any time on reasonable notice.

 

4.6                                 Reseller shall
procure that each End User complies with its End User Licence Agreement.
Reseller undertakes to Siemens to comply with and perform its obligations under
each End User Licence Agreement fully and promptly. If Reseller fails to comply
with any of its obligations under an End User Licence Agreement, Siemens or its
representative may effect compliance on behalf of Reseller, after providing
Reseller with written notice of such failure and a reasonable opportunity to
cure, in which case Reseller shall reimburse Siemens all reasonable costs and
expenses incurred by Siemens or its representative as a result.

 

ARTICLE 5:                            LICENCES

 

5.1                                 Reseller Licence. Subject to Article 5.4, Siemens hereby grants Reseller
a non-exclusive licence to reproduce, distribute and sub-license the Products
for clinical use and provide First Level Maintenance on the terms and conditions
set out in this Agreement.

 

5.2                                 Reseller Demonstration Licence. Subject to Article 5.4, Siemens agrees to grant to
Reseller a royalty-free, non-exclusive, non-sublicenseable software licence,
for the latest version of the Products, solely for Reseller’s own customer
demonstration and promotional, training, verification and support use and to
enable Reseller to perform the modifications to the Reseller Workstation as set
out in Article 3.2. Reseller shall ensure all copies of the Products for these
uses include the copy protection mechanism approved by Siemens in accordance
with Article 4.2 and notify Siemens of such copies in the report to be provided
by Reseller in accordance with Article 3.9. If Siemens determines the number of
such copies is greater than an appropriate level, the Reseller shall reduce the
number of such copies to the number notified by Siemens in its absolute
discretion.

 

5.3                                 Customer Trial Licence. Subject to Article 5.4, Siemens agrees to grant
Reseller the right to provide 30 day trial licences for the use of the Products
for clinical use to prospective customers, for evaluation purposes only. Only
one such trial period may be offered to any site for any Product. On demand,
Reseller shall provide Siemens with a list of all sites currently enjoying use
of the Products on such a trial basis. Reseller agrees to make commercially
reasonable efforts to support sites using the Products on a trial basis, and to
make commercially reasonable efforts to make a sale of the Product to the site
at the end of the trial period. Siemens is not obliged to provide support for
sites operating the Products on a trial basis. There shall be no charge for 30
day trial licences as described in this Article. Reseller shall ensure that
trial users cease all use of the Products on expiry of the 30 day licence
period.

 

5.4                                 The licences granted by Siemens under this Agreement
cover use of the Products for clinical use, but specifically exclude the
Excluded Field.

 

**
Confidential Treatment has been requested, the portion indicated has been
redacted and the redacted portion has been separately filed with the Securities
and Exchange Commission.

 

6

 

ARTICLE 6:                            SOFTWARE MAINTENANCE SERVICES

 

6.1                                 Maintenance Support Agreements. For each End User purchasing a licence for the
Products in the Territory, Reseller shall use its reasonable efforts to
persuade such End User to purchase annual software maintenance services under a
software maintenance program (a “Maintenance Support Agreement”). A Maintenance
Support Agreement shall entitle the End User purchasing it (a “Service End
User”) to receive from the Reseller, free of charge, all Updates (but not
Upgrades) to the Products that have been purchased by the Service End User that
are issued during the term of the Maintenance Support Agreement. Reseller and
Siemens agree that newly released options to the Products shall be excluded
from such Updates, unless explicitly agreed between the parties. Reseller shall
within 30 days of each new Maintenance Support Agreement or renewal thereof pay
to Siemens the maintenance fees due for such Service End Users.

 

6.2                                 First Level Maintenance Service. Reseller shall provide First Level Maintenance to all
End Users for the first year of their licence and to all Service End Users as
long as they remain Service End Users as set out in Exhibit D. If a Service End
User’s Maintenance Support Agreement lapses for any reason, and Reseller at a
later date again provides software maintenance services to that Service End
User, Siemens reserves the right to charge the Reseller an appropriate fee to
bring such Service End User up to date with its software maintenance services.

 

6.3                                 Second Level Maintenance Service. Siemens shall provide the Second Level Maintenance to
Reseller for the Products, subject to withdrawal of Second Level Maintenance
for non-current releases of the Products set out in Article 6.4. Reseller shall
assist Siemens in providing the Second Level Maintenance if at any time Siemens
determines, at its sole discretion, to provide Second Level Maintenance
directly to an End User. For the avoidance of doubt, maintenance services shall
not include Upgrades which must be purchased by End Users as additional items.

 

6.4                                 Version Sunsetting. Siemens may at any time, at its sole discretion, by
written notice to Reseller withdraw the provision of Second Level Maintenance
for any release of the Products, except the most current release. If Siemens
withdraws Second Level Maintenance for a particular release and Reseller is
providing First Level Maintenance to fully paid up Service End Users for such
release, Siemens shall make available to Reseller free of charge for those
Service End Users a release of the Product for which Siemens provides Second
Level Maintenance. Siemens shall not be responsible for any associated costs of
the Reseller or Service End Users. Siemens will provide Second Level
Maintenance for previous releases for at least twelve (12) months following the
subsequent release.

 

6.5                                 End User Contact. Reseller shall have the primary responsibility for
direct contact with End Users in the Territory in regard to the function,
application, or maintenance of the Products under the First Level Maintenance
and the Second Level Maintenance.

 

6.6                                 Patch Certification. If as a result of a substantial change to the
operating system of Service End Users, which may include any security update or
critical update issued by Microsoft, the Products when properly installed and
operated, do not perform substantially the functions in the functional
specification for the Products, or if the Products prohibit the operating
system from functioning properly after the issuance of the security update or
critical update, at the written request of the Reseller at any time, Siemens
shall as soon as reasonably practicable use all commercially reasonable efforts
to provide an Update and certification of the Products to work with a modified
operating system from the prior version of the operating system upon which the
Products are then currently certified. Not to exclude other modifications of
the operating system, but the parties acknowledge that a substantial change to
the operating system may result from the issuance by the manufacturer of the
operating system of a critical update or a security update. Following such a
substantial change to the operating system, if Siemens does not certify the
Products as soon as reasonably practicable after the request of the Reseller,
and any Service End User discontinues use of the Products because of the
non-certification, maintenance service fees for such Products

 

7

 

shall be suspended for such Service End User during
the period in which the Products are not certified, and any prepaid maintenance
fees shall be credited to future service fees or license fees for such Service
End User due under this Agreement.

 

ARTICLE 7:                            PRICES AND PAYMENTS

 

7.1                                 Prices. Reseller shall pay Siemens in accordance with the
prices for the Products or for Maintenance Support Agreements as specified in
the Product Price List attached at Exhibit C hereto (the “Product Price List”),
as the same may be modified in accordance with Article 7.2 below for each copy
of the Products provided directly or indirectly by Reseller made within 30 days
after the end of each calendar month. All prices are exclusive of any value
added tax and other applicable sales taxes, local taxes, tariffs and fees which
may be applicable.

 

7.2                                 Price Changes. At any time during the term of this Agreement, Siemens
may increase or reduce the prices for the Products and for Maintenance Support
Agreements set forth in the Product Price List at its sole discretion by
providing Reseller with 6 months prior written notice of such change. Increased
prices for Products or for Maintenance Support Agreements shall not apply to
any purchase orders accepted prior to the effective date of the price increase
unless such orders provide for delivery, and delivery in fact is made, more
than 90 days after the date of acceptance of the order. Price decreases with
respect to Products or Maintenance Support Agreements shall be effective
immediately upon written notice to Reseller on such Products that are not yet
delivered and Maintenance Support Agreements that have not commenced. Upon any
change of the Product Price List by Siemens in accordance with this Article
7.2, the new Product Price List shall be annexed to this Agreement and shall
become the new Product Price List for all purposes of this Agreement until
subsequently modified in accordance with this Article 7.2.

 

7.3                                 Payment Terms. If any payment remains outstanding after it becomes
due, Siemens shall be entitled to charge interest of** per month (or part
thereof).

 

7.4                                 Product Pricing Review. A review of the Product Price List will be conducted
annually from the date of this Agreement.

 

7.5                                 Record Keeping and Audit. Reseller shall keep and shall make available to
Siemens on request accurate records to enable Siemens to verify all payments
due to it. During the term of this Agreement and for any period thereafter
during which payments continue to accrue and upon 15 business days’ prior
written notice to Reseller, Siemens shall have the right at any time, during
Reseller’s normal business hours, to send an independent accountant (not
generally providing services to Siemens except in respect of other audits) to
audit the records of Reseller relating to the sale of Products and related
services and to verify the payments due to Siemens under this Agreement.
Reseller shall give such accountant full access to its premises, computers,
employees and relevant records for such purpose. Siemens shall use its
reasonable endeavours to procure that such accountant shall keep confidential
the information which comes to his knowledge as a consequence of his audit (and
to enter into any confidentiality undertaking reasonably requested by Reseller
in respect thereof prior to any disclosure) except that the accountant shall be
entitled to reveal to Siemens any information necessary to provide Siemens with
confirmation of the accuracy of Reseller’s remittances or any deviations
therefrom. If an audit reveals a deficiency of 10 per cent or more of the
payments remitted Reseller shall pay the costs of the audit. Payment of such
costs and any deficiency shall be made by Reseller within 7 days after Reseller
shall have received written notice thereof from Siemens together with a copy of
the accountant’s report and, if applicable, an invoice showing the amount due.
Any such deficiency shall carry interest in accordance with Article 7.4 from
the date it was originally due.

 

**
Confidential Treatment has been requested, the portion indicated has been
redacted and the redacted portion has been separately filed with the Securities
and Exchange Commission.

 

8

 

ARTICLE 8:                            TAXES

 

8.1                                 Reseller shall pay all duties and taxes to be imposed
as a result of the existence or operation of this Agreement, including sales
tax, import or export duty or tax, and any other. Notwithstanding the
foregoing, any income tax imposed by a government or its sub-division within
the Territory on the payments to be made to Siemens under this Agreement shall
be withheld at remittance to Siemens and paid to the tax authorities in the Territory
by Reseller. Reseller shall pay all sums payable without deduction unless
required by law in which case Reseller and Siemens shall co-operate in all
respects and take all reasonable steps necessary to: (1) lawfully avoid the
making of any such deductions or (2) enable Siemens to obtain a tax credit in
respect of the amount withheld. If payments are subject to withholding or other
income taxes, Reseller shall ensure that such sum is paid to Siemens as shall,
after deduction of such withholding or other income tax, be equivalent to the
payments otherwise payable under this Agreement. If required in order to obtain
a tax credit, Reseller shall provide to Siemens a tax receipt certifying
payment of the withheld amount which is issued by the said tax authorities. At
no time shall either party to this Agreement have any obligation to pay or to
contribute to the payment of any tax levied by the taxing authorities of any
nation, state, subdivision of either, or other governmental authority (whether
within the Territory or not) on the income or profits of the other party.

 

ARTICLE 9:                            APPROVALS; ADVERSE REACTIONS; PRODUCT
RECALLS

 

9.1                                 Government Approval. Siemens shall make diligent efforts to support the
preparation and filing of all applications by Reseller required to obtain any
necessary Government Approval for each country in the Territory, Reseller shall
keep Siemens apprised of its progress with respect to any such applications.
Siemens shall furnish Reseller, at Reseller’s cost, with such assistance and cooperation
as may be reasonably requested by Reseller in connection with the securing of
such Government Approval.

 

9.2                                 Compliance. Siemens and Reseller shall each comply with all
applicable regulatory requirements, including the provision of information by
Reseller to Siemens necessary for Siemens to comply with its medical device
reporting requirements in the Territory.

 

9.3                                 Adverse Event Reporting. Reseller shall advise Siemens, by telephone or
facsimile, within 24 hours after Reseller first believes, acting reasonably,
that an adverse event from the use of any Product or malfunction of any Product
has occurred, including any event which has resulted in or may result in
personal injury or death. Unless otherwise required by applicable local laws,
Reseller shall advise Siemens of any such adverse event prior to any report or
filing being made with any other regulatory body without territorial
restriction.

 

9.4                                 Corrective Action.

 

(a)                                  Notice of Corrective Action. If Siemens believes that a corrective action with
respect to the Products is in its sole discretion desirable or required by law,
or if any governmental agency having jurisdiction shall request or order any
corrective action with respect to the Products, including any recall, End User
notice, restriction, change, corrective action or market action or any Product
change, Siemens shall promptly notify Reseller. Any and all corrective actions
shall be conducted at the expense of Siemens, except costs associated with
notifying End Users of such corrective action. Reseller shall maintain complete
and accurate records, for such periods as may be required by applicable law, of
all Products sold by it and any of its Dealer Associates. The parties shall
cooperate fully with each other in effecting any corrective action with respect
to the Products pursuant to this Article 9.4, including communication with any
End User and Reseller and its Dealer Associates shall comply with all
reasonable directions of Siemens regarding such corrective action. This Article
9.4 shall not limit the obligations of either party under law regarding any
corrective action with respect to the Products required by law or properly
mandated by governmental authority.

 

9

 

(b)                                 Refund. If any Products are required to be returned to Siemens
pursuant to this Article 9.4 and no replacement is provided therefore by
Siemens, Siemens shall refund to Reseller any licence fees paid by Reseller.

 

ARTICLE 10:                     WARRANTIES AND REPRESENTATIONS;
INDEMNIFICATION

 

10.1                           Product Warranties. Siemens warrants to Reseller that, for a period of
twelve (12) months from the date the Product is received by Reseller (the
“Warranty Period”), the Products, when properly installed and operated, shall
perform substantially the functions described in the functional specifications
for the Products, as contained in the applicable written documentation for the
Products. The express terms of this Agreement are in lieu of all warranties,
conditions, terms, undertakings and obligations implied by statute, common law,
custom, trade usage, course of dealing or otherwise, all of which are hereby
excluded to the fullest extent permitted by law.

 

10.2                           Exclusive Remedy. Siemens’s entire liability for any warranty claim made
by Reseller under Article 10.1 above, and Reseller’s exclusive remedy for any
such claim, shall be for Siemens, at its option, either (i) to replace any
defective media which prevents the Products from satisfying the limited
warranty described in Article 10.1, (ii) to attempt to correct any material and
reproducible errors reported by Reseller; or (iii) to terminate this Agreement
and refund that part of the fees paid by Reseller for the Products which the
Reseller has refunded to End Users after using commercially reasonable efforts
to reduce the level of refunds Reseller gives to End Users.

 

10.3                           Warranty Extension. During the Warranty Period, the remedies provided in
Article 10.2 above shall be applied to Products replaced or corrected by
Siemens under warranty; but the replacement or correction of a Product under
Article 10.2 shall not commence a new Warranty Period.

 

10.4                           Product Warranties to End Users. Siemens hereby authorises Reseller to transfer the
Product warranty provided under Article 10.1 to End Users who purchase Products
from Reseller or a Dealer Associate. The Warranty Period for End Users shall
commence after any applicable delivery or acceptance period but no later than
30 days after delivery to the End User. As part of its First Level Maintenance
obligations, Reseller shall inform Siemens promptly of any claims made by End
Users in the Territory under such software warranties. Reseller shall ensure
that all such warranty claims shall be made promptly in writing and shall state
the nature and details of the claim, the date the cause of the claim was first
observed and the serial number of the Products concerned, if any.

 

10.5                           Warranties to Reseller. Siemens hereby represents and warrants to Reseller:

 

(a)                                  Siemens owns or has the lawful right from others to
grant the rights to market and distribute the Products as set forth in this
Agreement;

 

(b)                                 Siemens has no knowledge of any infringement by the
Products of any third party intellectual property rights, such as patents,
copyrights, trade secrets or trademarks; and

 

(c)                                  Siemens has taken all appropriate corporate action to
authorise execution and performance of this Agreement.

 

10.6                           Product Indemnification. Siemens shall indemnify Reseller against any claim (or
claim for indemnity from any licensee against a claim) that the normal use or
possession of the Products infringes the intellectual property rights of any
third party provided that Siemens is given immediate and complete control of
such claim, that Reseller does not prejudice Siemens’ defence of such claim,
that Reseller gives Siemens all reasonable assistance with such claim and that
the claim does not arise as a result of the use of the Products otherwise than
in accordance with the terms of this Agreement or an End User Licence Agreement
or with any equipment or programs

 

10

 

not approved by Siemens. If a Product is found to
infringe any such third party intellectual property right, at Siemens’s sole
discretion and expense, Siemens may (i) obtain a licence from such third party
for the benefit of Reseller and its End Users, or (ii) replace or modify the
Product so that it is no longer infringing, or (iii) terminate this Agreement
and refund to Reseller all amounts previously paid by Reseller for the Products
less a reasonable amount to reflect any period of use of the Products by
Reseller and/or its End Users. The foregoing states the entire liability of
Siemens to Reseller in respect of the infringement of the intellectual property
rights of any third party.

 

10.7                           Indemnification. Reseller hereby agrees to indemnify, defend and hold
Siemens harmless from any and all claims, demands, losses and liabilities,
including any reasonable costs or legal fees thereby incurred by Siemens,
resulting from Reseller’s acts or omissions, including, without limitation,
misrepresentations regarding the Products, any violation by Reseller or any
Dealer Associate of applicable laws or regulations relating to the marketing
and distribution of the Products, any breach by an End User of its End User
Licence Agreement, any provision of copies of any of the Products to third
parties by Reseller or an End User without corresponding payment to Siemens by
Reseller or any breach of any provision of this Agreement.

 

10.8                           Limitations of Liability. With the exception of Reseller liability for breach of
the terms of the software licence in Article 5.1, each party’s liability in
each year of this Agreement shall be limited to the sums paid by Reseller to
Siemens in that year. With the exception of Reseller liability for breach of
the terms of the software licence in Article 5.1, each party’s aggregate
liability under this Agreement shall be limited to the prices paid for the
Products under this Agreement. With the exception of Reseller liability for
breach of the terms of the software licence in Article 5.1, in no event shall
either party be liable to the other party for loss of profits or revenues or
data, or any direct, indirect, special, incidental, consequential, punitive or
exemplary damages, even if it has been advised of the possibility of such
damages. Neither party excludes any liability for death or personal injury
caused by that party’s negligence or for fraudulent misrepresentation.

 

ARTICLE 11:                     CONFIDENTIALITY

 

11.1                           Confidential Information; Term. All Confidential Information shall be deemed
confidential and proprietary to the party disclosing such information hereunder
(the “Disclosing Party”). The party that receives Confidential Information from
a Disclosing Party (the “Receiving Party”) may use the Disclosing Party’s
Confidential Information during the term of this Agreement only as permitted or
required for the Receiving Party’s performance hereunder. The Receiving Party
shall not disclose or provide any Confidential Information to any third party
and shall take reasonable measures to prevent any unauthorised disclosure by
its employees, agents, contractors or consultants during the term hereof
including appropriate individual nondisclosure agreements. The foregoing duty
shall apply to any Confidential Information for as long as it remains
confidential.

 

11.2                           Exclusions. The following shall not be considered Confidential
Information for the purposes of this Article 11:

 

(a)                                  Information which is or becomes in the public domain
through no fault or act of the Receiving Party;

 

(b)                                 Information which was independently developed by the
Receiving Party without the use of or reliance on the Disclosing Party’s
Confidential Information; or

 

(c)                                  Information which was provided to the Receiving Party
by a third party under no duty of confidentiality to the Disclosing Party.

 

11

 

11.3                           Permitted Disclosure. Nothing in Article 11.1 shall restrict disclosure by
either party as required by applicable law, regulation, or the order of any
court or administrative agency having jurisdiction regarding such matters,
provided, however, that:

 

(a)                                  If the Receiving Party becomes legally compelled to
disclose any Confidential Information, it shall immediately notify the
Disclosing Party so that the Disclosing Party, at its sole and exclusive
option, may seek a protective order or other appropriate remedy or waive
compliance with the provisions of this Agreement.

 

(b)                                 If the Disclosing Party elects to seek a protective order
or other appropriate remedy, the Receiving Party shall cooperate with, and not
object to, any such actions.

 

(c)                                  If a protective order or other remedy is not obtained
or the Disclosing Party waives compliance with the provisions of this
Agreement, the Receiving Party shall furnish only that portion of such
Confidential Information which the Receiving Party reasonably believes, based
on the advice of its legal counsel, is legally required to be disclosed.

 

11.4                           Cooperation. At the Disclosing Party’s request, the Receiving Party
shall cooperate fully with the Disclosing Party in any and all legal actions
taken by the Disclosing Party to protect its rights in its Confidential
Information. The Disclosing Party shall bear all out-of-pocket costs and expenses
reasonably incurred by the Receiving Party in the course of such cooperation.

 

ARTICLE 12:                     TRADEMARKS AND INTELLECTUAL PROPERTY
RIGHTS

 

12.1                           Use of the Name Siemens and of the
Trade Mark SIEMENS and other Trade Marks. No
reference to Siemens shall be made on Reseller’s stationery, business cards,
sales promotional or other written material without the prior written approval
of Siemens. Subject to revocation by Siemens at any time, Reseller shall be
permitted to use the trade mark SIEMENS and FUSION7D registered in Siemens’
name for the purposes of advertising or promoting the sale of the Products,
provided that Reseller observes the applicable Siemens procedures and uses only
those trade mark designs approved in writing in advance by Siemens. Subject to Article
13.3, upon termination of this Agreement, Reseller shall immediately cease to
use in any manner whatsoever the name Siemens and the trade mark SIEMENS as
well as any other trade mark in which Siemens has any rights.

 

12.2                           Reseller shall notify Siemens immediately if Reseller
becomes aware of any unauthorised use of any of the Products or any of the
intellectual property rights therein or relating thereto and will assist
Siemens (at Siemens’ expense) in taking all steps to defend Siemens’ rights
therein.

 

12.3                           No reference to Reseller’s trade name and the trade
name of its products shall be made on Siemens’ stationery, business cards,
sales promotional or other written material without the prior written approval
of Reseller, provided that during the term of this Agreement Siemens is
authorized identify Reseller as an authorized reseller of the Products and to
identify those of Reseller’s products with which the Products operate. Subject
to Article 13.3, upon termination of this Agreement, Siemens shall immediately
cease to use in any manner whatsoever the trade name of Reseller and its
products, as well as any trade marks in which Reseller has any rights.

 

ARTICLE 13:                     TERM AND TERMINATION

 

13.1                           Term. This Agreement shall take effect as of the date of
this Agreement and shall have a term ending on May 12, 2008.

 

13.2                           Termination. Notwithstanding the provisions of Article 13.1 above,
this Agreement may be terminated earlier by either party upon written notice to
the other party:

 

12

 

(a)                                  If the other party files a petition of any type as to
its bankruptcy, is declared bankrupt, becomes insolvent, makes an assignment
for the benefit of creditors, goes into liquidation or receivership or
otherwise loses legal control of its business voluntarily;

 

(b)                                 If the other party is in material breach of this
Agreement and has failed to cure such breach within thirty (30) days of receipt
of written notice thereof from the first party. In the case of Reseller
material breach shall include, without limitation, any breach of Article 3.9,
4.5, 4.6 or 7.1;

 

(c)                                  If an event of Force Majeure continues for more than
six (6) months;

 

(d)                                 by Reseller if Siemens AG’s ownership (which may be
indirect) in Siemens falls to 50% or below;

 

(e)                                  by Siemens if there is a change in control of
Reseller; or

 

(f)                                    upon mutual agreement by both parties.

 

13.3                           Rights and Obligations on
Termination. In the event of termination of this
Agreement for any reason, the parties shall have the following rights and
obligations:

 

(a)                                  Neither party shall be released from the obligation to
make payment of all amounts then or thereafter due and payable;

 

(b)                                 Reseller shall return to Siemens the software
libraries for the Products, any master encryption keys provided by Siemens, all
copies of Products and all related documentation held by Reseller;

 

(c)                                  The rights of any End Users and Service End Users who
hold a valid and binding End User Licence Agreement prior to the effective date
of such termination shall not be affected;

 

(d)                                 Reseller shall continue to provide First Level
Maintenance to all Service End Users and End Users entitled to receive it and
all provisions of this Agreement in respect of the provision of such First
Level Maintenance and payments in relation thereto shall continue in full force
and effect unless otherwise directed by Siemens, in which case Reseller shall
promptly co-operate with such direction; and

 

(e)                                  The parties’ obligations under Articles 6, 7, 8, 10,
11, 13, 15, and 16 shall survive any termination of this Agreement.

 

13.4                           No Compensation. In the event of any termination of this Agreement
under Article 13.2, subject to Article 13.3(a), neither party shall owe any
compensation to the other party for lost profits, lost opportunities, goodwill
or any other loss or damage as a result of or arising from such termination.
Reseller shall not be entitled to any compensation or indemnity (whether for
loss of distribution rights, goodwill or otherwise) as a result of the
termination of this Agreement in accordance with its terms.

 

ARTICLE 14:                     FORCE MAJEURE

 

14.1                           Definition. “Force Majeure” shall mean any event or condition
beyond the reasonable control of either party which prevents, in whole or in
material part, the performance by one of the parties of its obligations
hereunder or which renders the performance of such obligations so difficult or
costly as to make such performance commercially unreasonable. Without limiting
the foregoing, the following shall constitute events or conditions of Force Majeure:
acts of State or governmental action, riots, disturbance, war, strikes,
lockouts, slowdowns, prolonged shortage of energy or

 

13

 

other supplies, epidemics, fire, flood, hurricane, typhoon, earthquake,
lightning and explosion, or any refusal or failure of any governmental
authority to grant any export licence legally required.

 

14.2                           Notice. Upon written notice to the other party, a party
affected by an event of Force Majeure shall be suspended without any liability
on its part from the performance of its obligations under this Agreement,
except for the obligation to pay any amounts due and owing hereunder. Such
notice shall include a description of the nature of the event of Force Majeure,
and its cause and possible consequences. The party claiming Force Majeure shall
also promptly notify the other party of the termination of such event.

 

14.3                           Suspension of Performance. During the period that the performance by one
of the parties of its obligations under this Agreement has been suspended by
reason of an event of Force Majeure, the other party may likewise suspend the
performance of all or part of its obligations hereunder to the extent that such
suspension is commercially reasonable.

 

ARTICLE 15:                     DISPUTE RESOLUTION

 

15.1                           Dispute Resolution. Except as provided in Article 15.2 below,
Siemens and Reseller shall each use its best efforts to resolve any dispute
between them promptly and amicably and without resort to any legal process if
feasible within thirty (30) days of receipt of a written notice by one party to
the other party of the existence of such dispute. Except as provided in Article
15.2 below, no further action may be taken under this Article 15 unless and
until executive officers of Siemens and Reseller have met in good faith to
discuss and settle such dispute, unless the other party has refused to do so on
14 days’ notice. The foregoing requirement in this Article 15.1 shall be
without prejudice to either party’s right, if applicable, to terminate this
Agreement under Article 13 above.

 

15.2                           Litigation Rights Reserved. If any dispute arises with regard to the
unauthorised use or infringement of the Confidential Information by any party
hereto, the party whose Confidential Information is being infringed may seek
any available remedy at law or in equity from a court of competent
jurisdiction.

 

ARTICLE 16:                     MISCELLANEOUS

 

16.1                           Relationship. This Agreement does not make either party the
employee, agent or legal representative of the other for any purposes whatsoever.
Neither party is granted any right or authority to assume or to create any
obligation or responsibility, express or implied, on behalf of or in the name
of the other party. Each party is acting as an independent contractor.

 

16.2                           Assignment. Neither party may assign or transfer this
Agreement or any of its rights and obligations under this Agreement without the
prior written consent of the other party, except that Siemens may assign this
Agreement in the case of a merger, sale of shares or assets or other
reorganisation; provided that any permitted assignee agrees in writing to be
bound by the terms of the Agreement. Subject to the foregoing, this Agreement
shall be binding on and inure to the benefit of any permitted assignee. Any
attempted assignment in violation of this Article 16.2 shall be void.

 

16.3                           Notices. Notices permitted or required to be given
hereunder shall be deemed sufficient if given by registered or certified mail,
postage prepaid, return receipt requested, by private courier service, or by
facsimile addressed to the respective addresses of the parties as written below
or at such other addresses as the respective parties may designate by like
notice from time to time. Notices so given shall be effective upon (i) receipt
by the party to which notice is given, or (ii) on the fifth (5th) day following
domestic mailing or the tenth (10th) day following international mailing, as
may be the case, whichever occurs first.

 

14

 

	
  Reseller

  	
  Address:

  	
  5850 Opus Parkway, Suite 300

  
	
   

  	
   

  	
  Minnetonka, Minnesota 55343

  
	
   

  	
   

  	
  U.S.A.

  
	
   

  	
  Attention:

  	
  General Counsel

  
	
   

  	
  Facsimile Number

  	
  952-487-9530

  
	
   

  	
   

  	
   

  
	
  Siemens

  	
  Address:

  	
  Siemens House

  
	
   

  	
   

  	
  Oldbury

  
	
   

  	
   

  	
  Bracknell

  
	
   

  	
   

  	
  Berkshire

  
	
   

  	
   

  	
  RG12 8FZ

  
	
   

  	
  Attention:

  	
  Managing Director

  
	
   

  	
   

  	
  Siemens Molecular Imaging Ltd

  
	
   

  	
  Facsimile Number

  	
  +44 (0)1865 265501

  

 

16.4                           Entire Agreement. This
Agreement, including the Exhibits hereto which are incorporated herein,
constitutes the entire agreement of the parties with respect to the subject
matter hereof and supersedes all proposals, oral or written, and all
negotiations, conversations, discussions, and previous distribution or value
added reseller agreements heretofore between the parties. The parties agree
that the software reseller agreement made as of March 30, 2006 by and between
Reseller and Siemens shall terminate with effect from the date of this
Agreement, except in relation to existing end users who received products under
that agreement up to the date of this Agreement.

 

16.5                           Amendment. This Agreement
may not be modified, amended, rescinded, cancelled or waived, in whole or in
part, except by written amendment signed by both parties hereto.

 

16.6                           Publicity. This Agreement
is confidential, and no party shall issue press releases or engage in other
types of publicity of any nature dealing with the commercial or legal details
of this Agreement without the other party’s prior written approval, which
approval shall not be unreasonably withheld. However, approval of such
disclosure shall be deemed to be given to the extent such disclosure is
required to comply with governmental rules, regulations or other governmental
requirements. In such event, the publishing party shall furnish a copy of such
disclosure to the other party.

 

16.7                           Governing Law. This
Agreement shall be governed by and interpreted under the laws of England and
Wales. All disputes arising out of or in connection with this Agreement shall
be finally settled under the Rules of Arbitration of the International Chamber
of Commerce by one or more arbitrators appointed in accordance with the said
Rules. The venue of arbitration shall be an agreed location in the USA, or if
not agreed a location determined by the arbitrator(s).

 

16.8                           Severability. If any
provision of this Agreement is found unenforceable under any of the laws or
regulations applicable thereto, such provision terms shall be deemed stricken
from this Agreement, but such invalidity or unenforceability shall not
invalidate any of the other provisions of this Agreement.

 

16.9                           Counterparts. This
Agreement may be executed by facsimile and in two or more counterparts in the
English language and each such counterpart shall be deemed an original hereof. In
case of any conflict between the English version and any translated version of
this Agreement, the English version shall govern.

 

16.10                     Waiver. No failure by
either party to take any action or assert any right hereunder shall be deemed
to be a waiver of such right in the event of the continuation or repetition of
the circumstances giving rise to such right.

 

15

 

16.11                     Further Assurances. The
parties shall perform all such further acts, provide such further documents or
written assurances, and execute such further documents as are reasonably
required or necessary to carry out the acts and transactions contemplated by
this Agreement.

 

SIGNATURES AND
DOCUMENT AUTHORISATION

 

AS WITNESS, the parties’ duly authorised representatives have signed this
Agreement the day and year first above written.

 

	
  SIEMENS MOLECULAR
  IMAGING LIMITED

  	
  Vital Images, Inc

  
	
   

  	
   

  
	
   

  	
   

  
	
  By

  	
  /s/ Chris Behrenbruch

  	
   

  	
  By

  	
  /s/ Michael H. Carrel

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  Name Chris Behrenbruch

  	
  Name Michael H. Carrel

  
	
   

  	
   

  
	
   

  	
   

  
	
  Title Vice President – Applications

  	
  Title Chief Operating Officer and Chief
  Financial Officer

  
						

 

16

 

EXHIBIT A:                              SPECIFICATIONS, PRODUCT AND PRODUCT PACKAGING

 

1. The
Products:

 

•                 Fusion7D Image Fusion Software

•                            Tier 1 – Fusion Viewer

•                            Tier 2 – Basic Fusion

•                            Tier 3 – Standard Fusion

•                            Tier 4 – Advanced Fusion

 

•                   Additional options which Siemens fully integrates and supports as
part of the Fusion7D image fusion software, currently

•                            RTist

•                            Burn To CD Viewer

•                            Fusion MIP

•                            DICOM Print

 

•                 Upgrades or Updates to the Products listed above.

 

2. Reseller
Workstation 

 

Vitrea

 

3. Software
Specifications for the Products on the Reseller Workstation

 

Base OEM Edition Fusion7D.

 

4. Product
Packaging:

 

None. OEM software product supplied on single
compact disc.

 

17

 

EXHIBIT B:                              SALE AND REGULATORY TERRITORIES

 

North America, European Union, Other European
Territories

 

The addition of other countries are subject
to the agreement of Siemens in accordance with Article 2.1.

 

18

 

EXHIBIT C:                              PRODUCT AND MAINTENANCE PRICE LIST

 

1. Product
and Maintenance Pricing:

 

Product Licence Fees

 

All prices are exclusive of any local taxes
and fees which may be applicable.

 

The following pricing shall apply when Reseller
deploys the Products as an option on the Reseller Workstations sold by Reseller
in the Territory:

 

	
  USD ($)

  	
   

  	
  List Price to

  end User

  	
   

  	
  1 – 100

  	
   

  	
  101 – 200

  	
   

  	
  201 – 300

  	
   

  	
  Over 300

  	
   

  
	
  Tier 1 (node locked)

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  
	
  Tier 2 (node locked)

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  
	
  Tier 3 (node locked)

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  
	
  Tier 4 (node locked)

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  
	
  Concurrent licencing enablement*

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  

 

*within any network of access points, node
locked licences as specified may be floated across the network of access points
on payment of a one off charge per site as specified.

 

All discount tiers are cumulative throughout
the term of the Agreement.

 

The following options may be added to any
tier subject to payment of an additional licence fee as specified in the table
below. Where licences float across a network of access points, an option must
be added to all available licences for a given tier, and each individual
licence shall attract an additional option charge as specified below. For
example, where three licences float across a network of access points and the
end user elects to add the ‘Burn to CD Viewer’ option, each floating licence
shall be upgraded to support ‘Burn to CD Viewer’ at a list price to end user of
** per licence or ** in total. Option prices are the same regardless of whether
the base tier is node locked or floated.

 

	
  USD ($)

  	
   

  	
  List Price to

  end User

  	
   

  	
  1 – 100

  	
   

  	
  101 – 200

  	
   

  	
  201 – 300

  	
   

  	
  Over 300

  	
   

  
	
  RTist

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  
	
  Burn to CD Viewer

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  
	
  DICOM Print

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  
	
  Fusion MIP

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  	
  **

  	
   

  

 

Software Maintenance Services Fees

 

•                   For maintenance provided by Reseller to an End User, Reseller shall
pay to Siemens annual maintenance fees equal to ** of the software licence fees
paid by Reseller to Siemens.

 

•                   Maintenance may be purchased for a ** period at a rate of ** per
annum.

 

**
Confidential Treatment has been requested, the portion indicated has been
redacted and the redacted portion has been separately filed with the Securities
and Exchange Commission.

 

19

 

EXHIBIT
D:                              MAINTENANCE

 

First Level Maintenance to be provided by
Reseller to End Users 

 

•                             Preferred maintenance, to include priority telephone support, priority
email support, and where required on-site support and software Updates.

 

•                             Delivery of Updates and enhancements to End Users.

 

•                             NB - Upgrades must always be paid for as additional items.

 

•                             Electronic, telephone or in-person response to deal with any problem
or software bug in the Product which is provided by Reseller to End Users in
the Territory who have installed the Products that are under a standard
warranty or to Service End Users. Such response shall attempt (i) to identify
the nature and extent of the End User’s problem, (ii) if appropriate, to obtain
a copy of magnetic media, hard copy printout or electronic file forwarded over
the Internet containing the problem or software bug to be forwarded promptly to
Siemens electronically or by facsimile, and (iii) to advise the End User in the
application of any recommended solution or workaround to such problem or bug.

 

•                             Telephone support to End Users during local office hours.

 

•                             Email support to End Users.

 

•                             Reseller shall inform Siemens promptly of any claims made by End
Users under the Product warranties. Reseller shall ensure that all such
warranty claims shall be made promptly in writing and shall state the nature
and details of the claim, the date the cause of the claim was first observed and
the serial number of the Products concerned, if any.

 

Second Level Maintenance to be provided by
Siemens to Reseller

 

•                             Preferred maintenance, to include priority telephone support,
priority email support and where required software Updates.

 

•                             Delivery of Updates and enhancements.

 

•                             NB - Upgrades must always be paid for as additional items.

 

•                             Electronic, telephone or in-person response by Siemens to Reseller
to deal with any problem or software bug in the Product that cannot be handled
by Reseller alone under First Level Maintenance for End Users in the Territory
who have installed Products that are under a standard warranty or Service End
Users. For such problems, and upon request by Reseller, Siemens may also
provide support directly to End Users in the Territory, in each case during the
hours Monday – Friday 9am to 6pm UK time (excluding Bank Holidays).

 

•                             Bug fixes.

 

•                             Unlimited email support during the hours Monday – Friday 9am to 6pm
UK time (excluding Bank Holidays).

 

•                             Unlimited telephone support during the hours Monday – Friday 9am to
1am UK time (excluding Bank Holidays).

 

•                             On-site support at Reseller’s primary place of business after email
and telephone support has been exhausted with no satisfactory resolution to the
issue in question.

 

20

 

EXHIBIT
E:                                TRAINING

 

•                 Siemens shall provide up to** days of training in the first year of
this Agreement and up to ** days of training per year in subsequent years
regarding the sale, demonstration, use, operation and support of the product to
Reseller personnel.

 

•                 Siemens shall provide ** additional training ** for each major
software Update.

 

•                 Training participation of up to ** people during training sessions.

 

•                 Training to take place at Reseller principal place of business.

 

•                 Additional training may be provided at ** per day (with a minimum of
** days per engagement) at Reseller’s principal place of business. All costs of
training (flights, accommodation, etc) will be the responsibility of Siemens. Reseller
shall provide at least 14 days prior notice for all training engagements.

 

**
Confidential Treatment has been requested, the portion indicated has been
redacted and the redacted portion has been separately filed with the Securities
and Exchange Commission.

 

21

 

EXHIBIT
F:                                REPORTS

 

The regular reports to be provided by
Reseller to Siemens shall include the following:

 

1.             For each new End User:

 

•                  Name, address, telephone, fax number and contact person.

•                  The Products installed for such End User.

•                  The date of installation.

•                  The licence fee payable by Reseller to Siemens for such End User.

 

2.             The total licence fees payable for that period.

 

3.             For each new Service End User:

 

•                  Name, address, telephone, fax number and contact person.

•                  The Products to be maintained.

•                  The start date for maintenance.

•                  The maintenance fee payable by Reseller to Siemens for such Service
End User.

 

4.             The total maintenance fees payable for that period.

 

5.             Confirmation that all End Users have agreed to the terms of the End
User Licence Agreement.

 

6.             The number of copies of
the Products created for Reseller’s demonstration and other use in accordance
with Article 5.2 in that period.

 

7.             The total number of
copies of the Products created for Reseller’s demonstration and other use in
accordance with Article 5.2 in existence.

 

8.             Confirmation that the information in the report is accurate and
complete.

 

22

 

EXHIBIT
G:                              END USER LICENCE AGREEMENT

 

Fusion7D Licence
Agreement

 

This Licence Agreement (“LICENCE”) and
Limited Warranty set forth below constitutes a legally binding agreement
between you the User or licensee, and/or purchaser (collectively or
individually) and [INSERT RESELLER NAME,
COMPANY NUMBER AND ADDRESS] (“Reseller”), covering the Use (as
defined below) of the Siemens Products (as defined below).

 

By installing, downloading, accessing or
otherwise Using the Siemens Products including the Software Products in any
way, you agree to be bound by all of the terms, conditions and restrictions of
this LICENCE. Absent an Original Equipment Manufacturer (“OEM”) relationship
with Siemens, and such OEM relationship requires Siemens to provide source code
for the Software and/or Software Product(s) no source code for the Software
shall ever be provided or subject to any licence hereunder.

 

If
you do not agree with the terms, conditions and/or restrictions contained
herein, Reseller does not grant a licence to Use the Siemens Products. In such event, you are not authorised
to install, access, or otherwise in any way Use any of the Siemens Products to
which this LICENCE pertains, and you should promptly contact Reseller and
comply with its instructions on returning the Siemens Product(s) for a full or
partial refund as applicable.

 

1     Definitions

 

The following definitions shall be relied
upon and comprise a portion of this LICENCE wherever and whenever found in the
document:

 

“Computer” means an electronic device that
accepts information in digital or similar machine readable form and manipulates
it to achieve a result initiated by a sequence of instructions.

 

“Documentation” shall mean any and all
written materials including user manuals, “Read Me” files, product
specifications, and/or other explanatory written materials associated with or
pertaining to the Software or Software Products, as well as any and all Updates
or Upgrades thereto which are made available to you from time-to-time by
Siemens or through your Siemens Products Supplier.

 

“Excluded Field” means pre-clinical use, such
as medical image processing to the pharmaceutical domain, in particular: (i)
the processing and analysis of images acquired for research purposes to create
and tune new treatments, on animal models or on human models, in vivo or in
vitro; and (ii) phase I pharmaceutical trials (exploratory pharmaceutical
trials, toxicity), phase II trials (study of doses, study of efficiency), phase
III trials (study of efficiency for regulatory approval) and phase IV trials (study
of the effects of the drug after approval for control and to quantitatively
measure the socio-economical impact of the medical treatment).

 

“Hardware” means any computer system or
computer system component that has been provided to you in conjunction with the
Software Product, excluding any Software Licence Key devices.

 

“Maintenance and Support” means to service,
maintain and support the intended functionality of the Software Product covered
under this LICENCE for the benefit of both Siemens and the User/subscriber
under the Service Level Agreement which separately governs maintenance and
support.

 

“Maintenance and Support Term” means a twelve
(12) calendar month period, or other period agreed to by Reseller, during which
Reseller agrees to provide to the User the Maintenance and Support services in
accordance with the Service Level Agreement.

 

“Service Level Agreement” (SLA) means a
separate term limited, renewable, subscription for ongoing or continuous User
desired Maintenance and Support of a Software Product for an associated
Maintenance and Support Term which may be on the basis set out at Schedule 1. Pursuant
to the terms of the SLA between the User and Reseller, Reseller accepts certain
responsibilities to maintain and support the functionality of only those
versions or releases for which second level maintenance is provided to Reseller
by Siemens as well as to make reasonable efforts to resolve problems
encountered during the Use of the same in return for a pre-paid subscription
fee.

 

“Siemens” means [Mirada Solutions Limited], a company registered in England
under registered number 3417726 with registered office at 23-28 Hythe Bridge
Street, Oxford, Oxfordshire OX1 2EP, England.

 

“Siemens Products” means Software, Software
Products, Updates, Upgrades, and Documentation owned by and/or licensed to
Siemens.

 

“Siemens Products Supplier” means Reseller or
any Siemens approved and authorised source of supply from whom all or any
portion of the Software Product is lawfully purchased and obtained, or through
whom any Software Product was originally and lawfully acquired by one from whom
you lawfully acceded to ownership and possession. The Siemens Products Supplier
may not be the source of supply for Hardware and only an authorised Siemens
Products Supplier has a right to provide you the User with this LICENCE.

 

“Software” means the object code for the
machine instructions associated with the user level software known as Fusion 7D
as embodied in the Software Products and licensed pursuant to the terms of this
LICENCE.

 

“Software Licence Key” means any software
system or physical hardware device (e.g. a ‘dongle’) used in conjunction with
the Software to manage, control and restrict access to the Software.

 

“Software Product(s)” means any and all media
having Software stored thereon, including but not limited to any and all
content storage devices such as disks(s), CD-ROM(s), DVD, tapes, USB memory
devices, etc., capable of storing files, subroutines, program statements or the
like in machine readable object code as such media is used by 

 

23

 

Siemens to
distribute the Software, together with any associated Software Licence Key.

 

“Update” means a change to the Software,
including modifications such as a ‘bug fix’ or program patch, or which improves
existing functions or features of the Software.

 

“Upgrade” means an enhancement or change to a
newer version of the Software Products which increases the performance of the
Software by adding new features or functionality.

 

“Use”, “Used” or “Using”, etc., means to
install, access, manipulate data through operation of the Software and/or any
of its features, or to otherwise benefit from the functionality of the Software
via a Software Product or the Documentation.

 

“User” is one who directly, or indirectly
through the operation or manipulation of any hardware device capable of
functioning in response to machine readable object code or BIOS, as well as any
other software programs functionally connected to the Software, Uses the
software.

 

“Warranty Period” means twelve (12) months
from the date of delivery to you of the Software Product.

 

2    Grant
of LICENCE

 

This LICENCE grants you the User a
non-exclusive right to install, Use, access, display and run one (1) installation
of the Software Product on one (1) Computer in accordance with the terms of
this LICENCE.

 

The Software Product may not be installed,
accessed, displayed, run, shared or Used concurrently on or from different
Computers, and is not authorised for use across a network environment.

 

NO PART OF THIS LICENCE SHALL GRANT THE USER
ANY RIGHT TO COPY ANY OF THE SIEMENS PRODUCTS. ANY AND ALL COPYING OF THE
SIEMENS PRODUCTS THAT IS INCONSISTENT WITH ALL APPLICABLE LAWS, NATIONAL AND
INTERNATIONAL TREATIES GOVERNING SOFTWARE PIRACY AND ILLEGAL DISTRIBUTION, IS
COMPLETELY AND TOTALLY PROHIBITED.

 

Siemens and its Siemens Products Supplier(s)
expressly reserve all rights not granted to the User of the Software Products
covered by this LICENCE.

 

3    Limitations
and additional rights

 

This LICENCE grants the licence rights to the
User only if the Software and Software Product is genuine, as determined by
Siemens, and has been supplied by Reseller after confirmation that the Software
Products in question has been duly and properly purchased from Reseller in
order for the purchaser to receive this LICENCE or any licence to Use the
Siemens Products. The Software, Software Product(s) and Documentation is/are
owned by Siemens or its suppliers and is protected by copyright law and
international copyright treaty. Siemens and/or its suppliers and licensors
retain title to the Software and/or Software Product and all associated
intellectual property rights attributable and apportioned thereto.

 

The licence granted by Reseller under this
LICENCE permits use of the Siemens Products for clinical use, but specifically
excludes use in the Excluded Field. Accordingly you shall not use the Siemens
Products in the Excluded Field.

 

You acknowledge that the Software and
Software Product in source code form is and remains a confidential trade secret
of Reseller, Siemens and/or its suppliers and licensors and therefore you agree
not to modify the Software Product or attempt to reverse engineer, decompile,
or disassemble the Software Product to in any way access or discover the source
code except to the extent expressly required to be permitted by law. Furthermore
you explicitly undertake not to bypass, subvert or render ineffective or to
attempt to bypass, subvert or render ineffective any Software Licence Key
elements or their interfaces within the Software.

 

You further undertake to keep confidential
all information embodied in the Software or any other information notified to
you as being confidential and not to use such information other than for the
intended purposes for which the Software and Software Products are subject to
the LICENCE hereunder as well as the permissible Use of the Software Product,
or receipt of Maintenance and Support in accordance with this LICENCE.

 

Except as expressly agreed in writing by
Reseller, you may not transfer, rent, lease, lend, copy, modify, sub-license,
time-share or electronically transmit or receive the Software, Software
Product, media or Documentation, or assign, license or sub-license the same
under this LICENCE. The preceding restriction includes a prohibition on using
the Software Product to provide commercial hosting services or for the benefit
of any third party.

 

All Hardware items provided with the Software
Product are warranted, licensed and supported under separate specific
agreements as provided by the original manufacturer thereof, and Reseller makes
no representation and expressly disclaims any and all warranty in respect of
such Hardware items under this LICENCE.

 

If the Software Product is sold as a combined
package with associated Hardware, then the Software Product is licensed with
the Hardware as a single integrated product. The Software Product may only be
used with the associated Hardware as supplied. If the Software Product is
licensed as a single product, its component parts may not be separated or be
disassociated from the whole for Use on more than one (1) Computer.

 

If you have purchased an Upgrade version of
the Software Product or you have been provided with an Upgrade version of the
Software Product under any Maintenance and Support agreement, it constitutes a
single product with the Software Product that you upgraded. You may Use the
Upgrade version of the Software Product only in accordance with this LICENCE.

 

Any additional software provided by Siemens
or a Siemens Product Supplier to you, which updates or supplements the original
Software Product is governed by this LICENCE unless alternative terms are
provided with such updates or supplements as issued by Siemens or a Siemens Product
Supplier.

 

24

 

Siemens has been granted licences to
distribute certain third party programs. As a condition of those permissions
and licences, Siemens is required to distribute the programs subject to specific
terms and conditions, which may be different from or additional to those
contained herein for the Siemens Products. Any software provided along with the
Siemens Products that is associated with a separate user licence agreement is
licensed to you under the terms of that licence agreement in addition to the
prohibition of copying as set forth in this LICENCE. You understand and agree
that acceptance of this LICENCE also confirms your acceptance of the applicable
provisions for use of such third party programs. If you breach the applicable
provisions of any third party’s licence terms then that shall also be
considered a material breach of this LICENCE.

 

You may receive the Software Product in more
than one medium. Regardless of the type or size of medium you receive, you may
use only one (1) medium that is appropriate for the Computer. You may not use
or install the other medium on another computer. You may not loan, rent, lease,
lend or otherwise transfer the other medium to another person, user or entity,
except as part of any permitted permanent transfer of the Software Product in
accordance with this LICENCE.

 

4    Intellectual
Property Indemnity

 

Reseller shall indemnify you against any
claim that the normal use or possession of the Software Products infringes the
intellectual property rights of any third party provided that Reseller and/or
Siemens is given immediate and complete control of such claim, that you do not
prejudice Reseller or Siemens’ defence of such claim, you give Reseller and/or
Siemens all reasonable assistance with such claim and that the claim does not
arise as a result of the use of the Software Products otherwise than in
accordance with the terms of this LICENCE or with any equipment or programs not
approved by Reseller. If a Software Product is found to infringe any such third
party intellectual property right, at Reseller’s sole discretion and expense,
Reseller may (i) obtain a licence from such third party for your benefit, or
(ii) replace or modify the Software Product so that it is no longer infringing,
or (iii) terminate this LICENCE and refund to you all amounts previously paid
by you for the Software Products less a reasonable amount to reflect any period
of Use of the Software Product by you up to the date of such termination. The
foregoing states the entire liability of Reseller and/or Siemens to you in
respect of the infringement of the intellectual property rights of any third
party.

 

5    Maintenance
and Support

 

During the Warranty Period Reseller shall
deliver to you without additional charge any subsequent Update version releases
of the Software Products which may be released and applicable to the Software
Product licence you have purchased.

 

During the Warranty Period you are entitled
to receive Maintenance and Support services from Reseller in relation to the
Software Product as set out in Schedule 1.

 

During any paid Maintenance and Support Term,
if applicable, you are entitled to receive Maintenance and Support services
from Reseller in relation to the Software Product, in accordance with your
Service Level Agreement (“SLA”).

 

If your entitlement to Maintenance and
Support services and your SLA should lapse for any reason, or be revoked for
any reason, then Reseller may at its discretion grant you permission to re-subscribe
for another Maintenance and Support Term so that the Maintenance and Support
services are not interrupted, and your entitlement to Maintenance and Support
services is re-established by the payment of an appropriate fee for a new SLA
covering your existing Software Product version. However, Reseller, in it’s
sole discretion may require you to purchase additional product Upgrades as
necessary prerequisites to any Maintenance and Support services in order to
bring your then current version of the Software Product to the most current
version thereof (i.e., the latest released version), before any new Maintenance
and Support SLA may be entered into or enjoyed. Reseller has the option to
maintain and support only the most up-to-date version of the Siemens Products.

 

No warranty is given, express or implied,
that the Software Product is compatible with, or capable of running on the same
Computer as, any third party software product. Reseller does not undertake to
make the then existing product compatible with any other such product, or with
any other use of the Computer then running the Software Product in accordance
with the instructions, whether the Software Product is sold as a combined
package with associated hardware, or whether the Computer is supplied by a
third party.

 

Reseller does not undertake to repair any
malfunction caused by any such incompatible use. Reseller shall not be liable
to remedy any damage caused by virus attack, hacking, or any damage caused by
the actions of third parties to which the Software Product has been exposed
through connection to any networks, including public, private, world wide web
and intranets.

 

Reseller reserves the option to discontinue,
in whole or in part, providing Maintenance and Support for any version or release
of the Siemens Products, provided that if you have a current and fully paid up
Maintenance and Support agreement in place with Reseller for such Siemens
Product, Reseller may do so only if it offers to you free of charge a version
or release of that Siemens Product for which it is prepared to continue
providing Maintenance and Support.

 

6    Your
Obligations

 

Among other things, you undertake to ensure
that any premises at which Reseller staff or representatives are required to
perform Maintenance and Support services under this LICENCE comply with all
applicable health and safety legislation and are safe, secure and suitably
equipped for the performance of such services and you shall indemnify Reseller
against any loss, liability, expense or cost which it incurs in relation to
your breach of this undertaking.

 

By accepting the Software, as evidenced by
the installation and Use of it on a Computer owned, leased or operated by

 

25

 

you, the licensee hereunder, you acknowledge
that you have been fully appraised and made aware of the approved uses of the
Software and you further agree not to misuse the Software or enable or
encourage others to misuse the Software.

 

You agree that your Use, or that of your
authorised designees who Use the software at your direction, under your
supervision, or within your employ, under this LICENCE have been made aware of
the terms and provisions of this LICENCE and such Use is limited solely to the
uses for which the Software has been approved. Furthermore you further agree
that you will not use or encourage the use of the Software for any purpose
other than the purpose for which the Software was intended (with the prior
understanding of the limitations on the uses of the Software).

 

You undertake to comply with the reasonable
instructions and recommendations of Reseller and/or Siemens as to the Use of
the Software Product set out in any Documentation or issued from time to time
during the course of provision of the Maintenance and Support services and
Reseller and Siemens shall not be liable for any defect or failure of the
Software Product which could have been avoided other than by your compliance
with such Documentation, instructions or recommendations.

 

You undertake to take reasonable care of the
Siemens Products, and specifically the Software Products by protecting and
insulating the Computer from physical damage, power surges and cut-offs;
protection of the network to which the Computer may be connected (and while
having the understanding that the Software and Software Products are not
licensed for use over a network); protection from virus transmission, hacking,
and any other harmful actions of third parties; and the maintenance of any
backups or other data protection measures specified in the documentation.

 

You further acknowledge responsibility for
the implementation and enforcement of any data protection, data security and
data confidentiality measures which are appropriate to your use of the
Software, and for the appropriate and correct use of any such measures which
form part of the Computer’s operating system.

 

You undertake that, during any Maintenance
and Support Term and for a period of one (1) year following termination of such
Maintenance and Support Term, you will not employ, sub-contract or otherwise
engage employees or contractors of, or for, Reseller or Siemens.

 

7    Termination

 

Without prejudice to any other rights or
remedies available to it, Reseller may terminate this LICENCE and the licence
herein shall automatically terminate if you do not abide by the terms and
conditions contained herein. Upon termination, you shall immediately cease
Using and shall return to Reseller any and all copies of the Siemens Products
including any and all Software, Software Products, any and all uninstalled
Upgrade, as well as the Documentation and all of their component parts in your
possession or under your control.

 

Reseller may IMMEDIATELY AND WITHOUT NOTICE
terminate this LICENCE and any and all Maintenance and Support of the Siemens
Products in the event of your bankruptcy or insolvency, in the event a receiver
or administrative receiver is appointed over all or any part of your
undertaking or assets or if you have passed a resolution for winding up (other
than for the purpose of a bona fide scheme of solvent amalgamation or
reconstruction) or a court of competent jurisdiction has made an order to that
effect or you have entered into any voluntary arrangement with your creditors
or shall become subject to an administration order or shall cease to carry on
business, or any event analogous to any of the foregoing events has occurred in
any other jurisdiction.

 

8    Limited
warranty / limitation of remedies

 

Reseller warrants that it has the right to
grant the licence rights hereunder. Reseller warrants that the Software
Product, as updated and when properly Used, will perform substantially in
accordance with the functional specification for the Software Product as
contained in the applicable Documentation for the purposes intended, and the
Software media will be free from material defects in materials and workmanship,
for the Warranty Period. Although Reseller uses all reasonable efforts to
ensure that the Software Product is free from viruses, no warranty is given or
is to be implied that the Software or Software Products and distribution media
will be free from viruses.

 

Any warranty claims by you shall be made
promptly in writing and shall state the nature and details of the claim, the
date the cause of the claim was first observed and the serial number of the
Software Products concerned, if any.

 

Reseller’s, Siemens’ and its suppliers’
entire liability and your exclusive remedy for breach of warranty shall be, at
Reseller’s option, either (a) the correction or workaround by Reseller of
defects within a reasonable time, or (b) should such correction or workaround
prove neither satisfactory or practical, termination of this LICENCE and refund
of the price paid less a reasonable amount to reflect any period of Use of the
Software Product by you up to the date of such termination.

 

This Limited Warranty is void if failure of
the Software Product has resulted from accident, abuse, or misapplication of
the Software and/or Software Product, an unapproved or unauthorised Use of the
Software or Software Products, or a modification of the Software Product in any
manner or by any person not approved in writing by Reseller. The remedies
described in this section shall be available in respect of any replacement
Software for the remainder of the original warranty period.

 

To the maximum extent permitted by applicable
law, Reseller, Siemens and its suppliers disclaim all other warranties and
conditions, either express or implied by statute or otherwise, including, but
not limited to, implied warranties of satisfactory quality, merchantability,
fitness for a particular purpose, title, and non-infringement, with regard to
the software, and the provision of or failure to provide support services. This
limited warranty gives you specific legal rights. You may have others, which
vary from state/jurisdiction to state/jurisdiction.

 

26

 

To the maximum extent permitted by applicable
law, in no event shall Reseller, Siemens or its suppliers be liable for any loss
of data, loss of business profits, loss of anticipated savings, business
interruption, loss of business information, or any other pecuniary loss
including without limitation loss of profits or revenue or loss of anticipated
benefits or any special, incidental, indirect, or consequential damages
whatsoever arising out of the use of or inability to use the Software Product
or the provision of or failure to provide support services whether in contract,
tort (including negligence) or otherwise, even if Reseller or Siemens has been
advised of the possibility of such damages. In any case, Reseller’s entire
liability under any provision of this LICENCE shall be limited to the amount
actually paid by you for the Software Product; provided, however, if you have entered
into a Maintenance and Support agreement, Reseller’s entire liability regarding
support services shall be governed by the terms of that agreement. Because some
states and jurisdictions do not allow the exclusion or limitation of liability,
the above limitation may not apply to you.

 

Reseller does not exclude any liability for
death or personal injury caused by its negligence or for fraudulent
misrepresentation.

 

9    High
risk activities

 

The Software is not fault-tolerant and is not
designed, manufactured or intended for use or resale in hazardous environments
requiring fail-safe performance, in which the failure of the Software could
lead directly to death, personal injury, or severe physical or environmental
damage (“High Risk Activities”). Reseller, Siemens and its suppliers
specifically disclaim any and all express or implied warranty of fitness for a
particular purpose as mentioned above, including High Risk Activities.

 

10    Compliance
with licences

 

If you are a business or organisation, you
agree that upon request from Siemens or a Siemens Products Supplier, you will
within thirty (30) days fully document and certify that use of any and all
Software at the time of the request is in conformity with your valid licences
from Reseller.

 

11    General
provisions

 

In the absence of appropriate exemption
certificate(s), you shall pay any duties, customs, sales or use tax liabilities
which may attach to this LICENCE.

 

This LICENCE is personal to you and you shall
not assign, sub-licence or otherwise transfer this LICENCE or any rights or
obligations under it in whole or in part.

 

If any part of this LICENCE is found void and
unenforceable, it will not affect the validity of the balance of the LICENCE,
which shall remain valid and enforceable according to its terms.

 

This LICENCE shall not prejudice the
statutory rights of any party dealing as a consumer.

 

This LICENCE may only be modified by a
writing signed by an authorised officer of Reseller.

 

Reseller may licence Updates to you with
additional or different terms.

 

This is the entire agreement between Reseller
and you relating to the Siemens Products and it supersedes any prior
representations, discussions, undertakings, communications or advertising
relating to the Siemens Products.

 

No failure by a party in exercising any
right, power or privilege hereunder shall constitute a waiver by such party of
any such right, power or privilege, nor shall any single or partial exercise
thereof preclude any further exercise of any such right, power or privilege.

 

Siemens has the right to enforce any term of
this LICENCE on behalf of itself or as if it were Reseller. No other person who
is not a party to this LICENCE has any right under the Contracts (Rights of
Third Parties) Act 1999 to enforce any term of this LICENCE but this does not
affect any right or remedy of a third party which exists or is available apart
from that Act.

 

This LICENCE is governed by the laws of
England and you submit to the non-exclusive jurisdiction of the English courts.

 

12    Third
Party Licences

 

This application may include components
licensed under the following conditions:

 

The Apache Software Licence, Version 1.1.
Copyright (c) 2000 The Apache Software Foundation. All rights reserved.
Redistribution and use in source and binary forms, with or without
modification, are permitted provided that the following conditions are met:

 

1.           Redistributions of source
code must retain the above copyright notice, this list of conditions and the
following disclaimer.

 

2.           Redistributions in binary
form must reproduce the above copyright notice, this list of conditions and the
following disclaimer in the documentation and/or other materials provided with
the distribution.

 

3.           The end-user documentation
included with the redistribution, if any, must include the following
acknowledgment:  “This product includes
software developed by the Apache Software Foundation (http://www.apache.org/).
Alternately, this acknowledgment may appear in the software itself, if and
wherever such third-party acknowledgments normally appear.

 

4.           The names “Apache” and
“Apache Software Foundation” must not be used to endorse or promote products
derived from this software without prior written permission. For written
permission, please contact apache@apache.org.

 

5.           Products derived from this
software may not be called “Apache”, nor may “Apache” appear in their name,
without prior written permission of the Apache Software Foundation.

 

This software is provided “as is” and any
expressed or implied warranties, including, but not limited to, the implied
warranties of merchantability and fitness for a 

 

27

 

particular purpose are disclaimed. In no
event shall the apache software foundation or its contributors be liable for
any direct, indirect, incidental, special, exemplary, or consequential damages
(including, but not limited to, procurement of substitute goods or services;
loss of use, data, or profits; or business interruption) however caused and on
any theory of liability, whether in contract, strict liability, or tort
(including negligence or otherwise) arising in any way out of the use of this
software, even if advised of the possibility of such damage.

 

This software consists of voluntary
contributions made by many individuals on behalf of the Apache Software
Foundation. For more information on the Apache Software Foundation, please see
<http://www.apache.org/>.

 

Portions of this software are based upon
public domain software originally written at the National Center for
Supercomputing Applications, University of Illinois, Urbana-Champaign.

 

AS WITNESS the Parties’ duly authorised representatives have signed this
LICENCE on the date given below.

 

	
  [FULL NAME OF
  RESELLER]

  
	
   

  
	
   

  	
   

  
	
  Name:

  
	
  Title:

  
	
  Date:

  
	
   

  
	
   

  
	
  [FULL NAME OF END
  USER]

  
	
   

  
	
   

  	
   

  
	
  Name:

  
	
  Title:

  
	
  Date:

  

 

28

 

Schedule 1 -
Maintenance and Support

 

•                     Preferred maintenance, to include priority telephone support,
priority email support, and where required on-site support and software
updates.

 

•                     Updates and enhancements.

 

•                     NB - Upgrades must always be paid for as additional items.

 

•                     Electronic, telephone or in-person response to deal with any problem
or software bug in any Software Product that is under warranty. Such response
shall attempt (i) to identify the nature and extent of the problem, (ii) if
appropriate, to obtain a copy of magnetic media, hard copy printout or
electronic file forwarded over the Internet containing the problem or software
bug to be forwarded promptly to Reseller electronically or by facsimile, and
(iii) to advise you in the application of any recommended solution or
workaround to such problem or bug.

 

•                     Telephone support during local office hours.

 

•                     Email support.

 

29EXHIBIT
10.1

CERTIFICATE OF CORPORATE SECRETARY

FORCE PROTECTION, INC.

Compensation of
Chief Executive Officer

I, the
undersigned, hereby certify that (i) I am the duly appointed secretary of Force
Protection Inc. a Nevada corporation (the “Company”); (ii) I am duly authorized
to execute this Certificate for and on behalf of the Company; and (iii) based
upon my personal knowledge, I confirm that on January 13, 2006 the Board of
Directors of the Company acting by Unanimous Consent did resolve as follows:

“Whereas;
the Directors reviewed the proposal to adjust the compensation of the Chief
Executive Officer, and having determined that such proposal would be in the
best interests of the Company and its shareholders, upon motion duly made the
following resolutions were unanimously adopted (Mr. McGilton abstaining from
the vote):

RESOLVED, that effective as from January 1, 2006 the
compensation of Mr. McGilton as Chief Executive Officer of the Company shall
include:

·                  Cash compensation of $35,000 per month, plus

·                  Relocation expenses of $30,000 upon separation from the Company for any
reason, plus

·                  A one time grant of 300,000 shares of the Company’s unregistered common
stock, such grant to be effective on January 1, 2006, plus

·                  Options to purchase 1,000,000 shares of the Company’s “S-8” stock at a
per share price equal to the closing market price on the first business day of
January 2006, such options to vest as follows: 100% to vest in full one year
from the date hereof provided that Mr. McGilton is employed by the Company at
that time, and provided further that 50% of such options shall vest in the
event of any change of control of more than 33.3% of the ownership of the
Company and 50% of such options to vest in the event of termination of the CEO’s
position with the Company (unless such termination is the result of resignation
or for good cause shown) prior to such vesting date.

·                  All options must
be exercised within 120 days from the date of leaving the Company’s employment.

·                  The foregoing
grants are subject to the Company right to make such adjustment or changes at
any time as may be necessary to comply with applicable law or to preserve and
protect the best interests of the Company under the existing terms of any prior
equity transaction (for example to avoid triggering any applicable “ratchet”
clause or to avoid triggering an event of default or breach or representation)

RESOLVED FURTHER, that the acting Chief Financial
Officer is hereby authorized to take such action as necessary and proper to
give effect to the foregoing Resolution.”

In Witness
Whereof, I have executed this Certificate as of the date set forth below:

Date: October 4,
2006

R. Scott Ervin

Company Secretary

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