Document:

Prioritized Listings Syndication Agreement

 Exhibit 10.53 
  
 PRIORITIZED LISTINGS SYNDICATION AGREEMENT 
  
 THIS PRIORITIZED LISTINGS SYNDICATION AGREEMENT (the “Agreement”), made as of August 21, 2001 (the
“Effective Date”), is made by and between LookSmart, Ltd., a Delaware corporation (“LookSmart”), and Search123 Inc., a California corporation (“Search123”) (each, a “Party”, or
collectively referred to as the “Parties”). 
  
 WHEREAS, Search123 is the owner and provider of a cost-per-click search engine (the “Search123 Service”); 
  
 WHEREAS, LookSmart is the owner of an Internet search and directory service which includes the ability to search the Internet for relevant content by
typing a word or set of words into a search box (the “LookSmart Service”); 
  
 WHEREAS, the Parties desire to offer LookSmart Service as an integrated component of the Search123 Service; 
  
 NOW, THEREFORE, for good and valuable consideration, the sufficiency of which is hereby acknowledged, the parties agree as follows: 
  
 1. Integration of LookSmart Service into Search123 Service. 
  
 1.1. Definitions. 
  
 “LookSmart Search Results” means a set of Prioritized
Listings provided by LookSmart from its proprietary database in response to an Internet user’s keyword search query on the Search123 Service. The LookSmart Search Results, when integrated into the Search123 Service, will appear on the Search123
service search results, including the Search123 Site and Search123 Affiliate Sites, substantially as shown in Exhibit A attached hereto (which depicts the results on the Search123 Site and representative Search123 Affiliate sites).

  
 “Search123 Affiliate” shall mean the web site
operators who distribute the Search123 Service or refer Internet users to the Search123 Service. 
  
 “Search123 Affiliate Site” shall mean the default Internet home page or primary search functionality of Search123 Affiliates. 

 
 “Search123 Site” shall mean the default Internet home
page that is accessed by Search123 subscribers or other Internet users and is located at www.Search123.com. 
  
 “Destination Page” means the LookSmart customer’s web page accessed by clicking on a Prioritized Listing. 
  
 “Prioritized Listing” means a text-based site title,
description (maximum 255 characters, including spaces) and URL hyperlink (with tracking code) which is drawn from the LookSmart database of Prioritized Listings in response to a keyword search query. 
  

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	 	 	1	 	CONFIDENTIAL

 “Referral” occurs when a bona fide Internet user (which excludes a robot, spider,
software, scraper or other mechanical, artificial or fraudulent means) clicks through on a Prioritized Listing and accesses a Destination Page. LookSmart will identify Referrals by means of a “come from tag” in the URL hyperlink from
Prioritized Listings. For the avoidance of doubt, no Referral will occur unless the Destination Page is fully served to the end-user’s browser. 
  
 2. Integration. LookSmart will provide the LookSmart Search Results in response to a user’s keyword search query via a text-based data feed, or other mutually
agreed method, from the LookSmart database. The web pages containing LookSmart Search Results will be served and hosted by Search123, provided that Search123 shall serve the LookSmart Search Results in the order presented to Search123 by LookSmart.
The database and search algorithm (and any modifications thereto during the Term) used to generate the LookSmart Search Results are proprietary to LookSmart and shall remain entirely within LookSmart’s control. All Prioritized Listings returned
by LookSmart in response to a search query shall in all cases be included by Search123 (a) in the order provided by LookSmart and (b) in order of prominence relative to other Search123 results based on the price that LookSmart is paying Search123
for such queries based on the previous month’s searches as specified in Section 3. If a user’s search query does not result in any match(es) with search results from the LookSmart database, then no LookSmart Search Results will be
displayed on the search results page. LookSmart retains the right to modify the appearance and content of the LookSmart Search Results, as well as the underlying database and search algorithm, so long as the modifications do not substantially change
the location and layout described in this paragraph. Search123 will complete integration and launch the Prioritized Listings no later than August 30, 2001, 2001, provided that Search123 is given all necessary resources and assistance by LookSmart
within 10 days of such date. 
  
 3. Fees and Payment. LookSmart shall pay
to Search123 a specified amount per Referral on a monthly basis based on the volume of Referrals Search123 generates, as follows: 
  

	 	•	 	[***]- [***] Referrals/mo: $[***]/Referral 

  

	 	•	 	[***]-[***] Referrals/mo: $[***]/Referral 

  

	 	•	 	[***] + Referrals/mo: $[***]/Referrals 

  
 LookSmart will make such payments to Search123 within 30 days after the end of calendar month. 
  
 4. Responsibility for LookSmart Search Results. LookSmart will be solely responsible for the generation and collection of revenue
from advertising or sponsorships on the LookSmart Search Results, and shall have sole responsibility for building the Prioritized Listings database and delivery of the LookSmart Search Results to Search123. LookSmart shall retain sole discretion as
to the location, type and content of advertising served on the LookSmart Search Results. 
  
 5. Reporting and User Data. 
  
 5.1 Monthly Traffic Reports. LookSmart shall provide to Search123 monthly Referral summaries within 30 days following the end of each month detailing the number of 
  

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 Referrals and the revenue generated in the corresponding month (“Traffic Reports”). LookSmart’s
determination of the number of Referrals during any period shall be dispositive, unless there is a ten (10%) or greater discrepancy between the numbers reported by the parties, in which case the parties will promptly meet and work together in good
faith to determine the cause of the discrepancy. Once a discrepancy is identified, the Parties will make any necessary adjustments at the time of the next payment. 
  
 5.2. Books & Records; Auditing. During the Term of this Agreement and for a period of six months
thereafter, the Parties will each maintain accurate and complete books and records, including copies of all customer and other correspondence, relating to such Party’s performance of its obligations under this Agreement. Each Party will have
the right, no more than once in any twelve (12) month period during the Term, to audit the other Party’s books and records which are relevant to the performance of its obligations under this Agreement upon ten (10) days’ prior written
notice. Such audits will be performed by the auditing Party’s representatives and will be conducted during normal business hours. Costs for such audits will be paid for by the auditing Party, unless the results of the audit show a shortfall in
any payment owed or paid to Search123 during the period covered by the audit exceeding ten percent (10%), in which case the reasonable costs for the audit will be paid by LookSmart. 
  
 5.3. Traffic Increases; Affiliate Distribution. 
  
 a) Search123 will provide LookSmart with 30 days prior
written notice (or as soon as possible if implementation is completed in less than 30 days) before launching the Search123 Service with new affiliates or traffic sources that will, in Search123’s reasonable opinion, increase the number of
monthly Referrals by the greater of (i) 30% or more over then-current levels or (ii) increase the total monthly Referrals to over two million Referrals per month. Notice shall include the proposed time frame for launching the LookSmart Search
Results and Search123’s reasonable estimate of the likely increase in traffic on a monthly basis during the remainder of the Term. LookSmart will have no obligation to pay for Referrals for which a timely notice is not provided under this
section. LookSmart reserves the right, upon written notice to Search123, to refuse to allow distribution, sublicensing and syndication of the LookSmart Search Results on the particular affiliate or traffic source, in its sole discretion. 

 
 b) Upon LookSmart’s request, Search123 will make
commercially reasonable effort to offer reporting of affiliate traffic to allow LookSmart to determine the performance of Prioritized Listings on the Search123 and Search123 Affiliate Sites. 
  
 6. Licenses. 
  
 6.1. Trademark License. During the Term of this Agreement, each party hereby grants to the other party a
non-exclusive, non-sub-licensable, non-transferable, royalty-free right and license (the “Trademark License”) to use, display and reproduce such party’s name, logo, trademarks and service marks (the
“Trademarks”), solely for the purposes of displaying and maintaining the LookSmart Service and Search123 Service as set forth in this Agreement. Each party acknowledges that the other party’s Trademark is and will remain the
exclusive property of such party and all use by each party of any Trademark will inure solely to the benefit of the 
  

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	 	 	3	 	CONFIDENTIAL

 owning party. Neither this Agreement nor any rights granted hereunder will operate as a transfer of any rights in or to
any Trademark, except for the limited rights expressly granted under this Agreement. No party will take any action that would undermine, conflict with, or be contrary to the intellectual property rights and interest of the other party, including,
without limitation, any use of, or attempt to register, any trademark, service mark or trade name substantially similar to any other party’s Trademark. 
  
 6.2. Database License. During the Term of this Agreement and subject to the terms hereof, LookSmart hereby grants to Search123 a royalty free,
non-transferable, non-exclusive license, to (i) use, transmit, integrate, display and distribute the LookSmart Search Results (the “Content”) via the Search123 Service, to Internet end-users on the Search123 Site, and (ii) subject
to Section 5.3 above, sublicense the Content to Search123 Affiliate Sites, provided that such Search123 Affiliates shall enter into a written contract with Search123 by which the same license and trademark limitations and restrictions are placed on
Search123 Affiliates as are placed hereby on Search123. Search123 shall not allow any of the Content to be used, disclosed to or shared with any Search123 related entities, except in accordance with the terms hereof. The rights granted by LookSmart
hereunder, including without limitation the license regarding the Content, are limited to the display and distribution as part of the Search123 Service directed primarily at Internet end-users in North America. LookSmart grants no license for any
such services directed primarily at Internet end-users outside North America. 
  
 6.3. Content and Data Ownership. LookSmart shall retain all right, title and interest in and to the LookSmart directory, database, algorithm and related technology, and all traffic data collected under this
Agreement. LookSmart will retain all right, title and interest in and to the intellectual property included in the Content (including, but not limited to, ownership of all copyrights and other intellectual property rights therein). Other than as
expressly set forth herein, Search123 and its agents, officers, directors, employees, related parties, affiliates and representatives will not (i) sell, resell, rent, license, sublicense, transfer, assign or redistribute in any way the Content
except as may be expressly permitted herein; or (ii) attempt to reverse engineer, decompile, disassemble or otherwise attempt to derive any of LookSmart’s Content, algorithms, databases, computer programs, ontology, directory structure,
patents, copyrights, or other proprietary rights or LookSmart’s methodology related to the creation and compilation of LookSmart URLs from the Content or any other information furnished to Search123 by LookSmart, or permit any third party to
attempt any of the foregoing. 
  
 7. Publicity. LookSmart and
Search123 shall consult and confer with each other prior to making any public announcement concerning any of the transactions contemplated in this Agreement, and shall cooperate with each other to issue appropriate joint press releases in connection
with the execution of this Agreement. Neither LookSmart nor Search123 shall issue a press release or make any other public statement concerning the existence or terms of this Agreement or any of the transactions contemplated in this Agreement
without the prior written approval of the other Party; provided that nothing in this Section shall prevent a Party from making a public disclosure which is, in the opinion of such Party’s counsel, required by applicable law or the rules
and regulations of the securities exchange on which such Party is listed; provided further that in such event, the disclosing party provides the other party with written notice of the intended disclosure and uses reasonable efforts to obtain
confidential treatment of the relevant portions of the Agreement. 
  

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 8. Term. The term of this Agreement will commence on the Effective Date and, unless earlier terminated, will
continue for twelve (12) months from the Effective Date (the “Initial Term”). This Agreement will automatically be renewed for successive twelve-month periods (each, a “Renewal Term”) on the same terms and
conditions at the end of the Initial Term and at the end of each Renewal Term, unless either party provides at least 60 days prior notice of non-renewal of the then-current Term. The Initial Term and any Renewal Terms shall be known collectively as
the “Term”. During the Term, either Party may terminate the Agreement if (i) the other Party materially breaches the Agreement and the breach remains uncured for 30 days after receipt of written notice of the breach, or (ii) the
other party becomes the subject of a voluntary petition in bankruptcy or any voluntary proceeding relating to insolvency, receivership, liquidation or composition for the benefit of creditors; (iii) the other party becomes the subject of an
involuntary petition in bankruptcy or any involuntary proceeding relating to insolvency, receivership, liquidation or composition for the benefit of creditors, if such petition or proceeding is not dismissed within 60 days of filing. After the
Initial Term, either party may terminate the Agreement on 60 days’ prior written notice at any time for any reason. 
  
 8.1. Events upon Termination. Upon termination of this Agreement, each Party shall cease to use the Content, intellectual property, trademarks,
service marks and/or trade names of the other Party, except as the Parties may agree in writing. 
  
 8.2. Survivability. Sections 7 through 12 hereof shall survive and continue beyond the term and termination of this Agreement for a period of one
year. 
  
 9. Confidentiality. 
  
 9.1. The Parties agree and shall cause their directly or indirectly
related parties, parent, sister or brother companies, affiliates, employees, contractors, agents and representatives, if any, to agree to hold all Confidential Information, as defined herein, in trust and confidence for a period of five (5) years
after the expiration of the Term. Except as may be authorized by the Party disclosing Confidential Information (the “Disclosing Party”) in writing, the Party receiving any Confidential Information (the “Receiving
Party”) shall not use such information for any purpose or disclose it to any person or entity, other than in the performance of the Receiving Party’s obligations and duties under this Agreement. 
  
 9.2. “Confidential Information” shall mean any
information relating to or disclosed by either party in the course of the performance of this Agreement, which is or should be reasonably understood to be confidential or proprietary, including, but not limited to, the LookSmart database, search
technology, algorithms, directory organization and structure, technology, material terms of this Agreement, technical processes, source code, product designs, sales, cost and other unpublished financial information, product and business plans,
projections, and marketing data. Confidential Information shall not include, and the Receiving Party will not be liable for disclosure of, any information received by the Receiving Party under this Agreement if the information: (a) is generally
available to or known to the public through no wrongful act of 
  

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	 	 	5	 	CONFIDENTIAL

 the Receiving Party; (b) was previously known by the Receiving Party through no wrongful act of the Receiving Party; (c)
was disclosed to the Receiving Party by a third party under no obligation of confidentiality to the Disclosing Party; or (d) is lawfully required to be disclosed to any governmental agency or is otherwise required to be disclosed by law,
provided that the Receiving Party will first have provided the Disclosing Party with prompt written notice of such required disclosure and will take reasonable steps to allow the Disclosing Party to seek a protective order with respect to the
confidentiality of the information required to be disclosed. 
  
 10.
Representations and Warranties. 
  
 10.1. By
LookSmart. LookSmart hereby represents and warrants as follows: 
  
 (a) The content of the LookSmart Search Results served by LookSmart, which includes all text, graphics, logos, trademarks, content or copyrighted material of LookSmart or any third party, but does not include any content, copyrighted
material, photos, graphics, text or other information accessed by clicking through the LookSmart Service onto a third party’s website (the “Service Content”), and the LookSmart Trademarks licensed to Search123 for use
hereunder, are owned or licensed by LookSmart. 
  
 (b)
LookSmart has the authority and full corporate power to enter into this Agreement, and the execution, delivery and performance of this Agreement by LookSmart does not constitute or cause a breach of its charter, by-laws, any license or permit, or
any other agreement to which LookSmart is a party. 
  
 10.2. By
Search123. Search123 hereby represents and warrants as follows: 
  
 (a) The content on the Search123 Service and the advertising and promotional material served by Search123 on the Search123 Service, which includes all text, graphics, logos, trademarks, content or copyrighted material of Search123 or
any third party displayed the Search123 Service, but does not include any content, copyrighted material, photos, graphics, text or other information accessed by clicking through the Search123 Service onto a third party’s website (the
“Search123 Service Content”), and the Search123 Trademarks licensed to LookSmart for use hereunder, are owned by Search123 or licensed to Search123. 
  
 (b) Search123 has the authority and full corporate power to enter into this Agreement, and the execution, delivery
and performance of this Agreement by Search123 does not constitute or cause a breach of its charter, by-laws, any license or permit, or any other agreement to which Search123 is a party. 
  
 11. Indemnification. 
  
 11.1. Except as otherwise provided in this Agreement, subject to the conditions and limitations set forth below in this Section 11, each Party to
this Agreement (an “Indemnifying Party”) will defend, indemnify and hold the other Party, its parent, subsidiaries and affiliates, and its current and former officers, directors, employees, contractors, agents and representatives
(collectively, the “Indemnified Party”) harmless from and against any and all liabilities, losses, 
  

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	 	 	6	 	CONFIDENTIAL

 damages and costs, including reasonable attorneys’ fees (collectively, “Losses”), resulting from a
third party claim connected with (a) any breach by an Indemnifying Party of any covenant, representation or warranty contained herein, (b) the failure by an Indemnifying Party or any of its dealers, agents, employees or subcontractors to perform its
duties or obligations hereunder, (c) the negligent, intentionally wrongful or illegal acts or omissions of an Indemnifying Party or any of its dealers, agents, employees or subcontractors, or (d) any statement by an Indemnifying Party containing
misleading or inaccurate references to the other Party, including the other Party’s products or services, in any press release or other public statement for which prior written approval was not obtained. 
  
 11.2. Notice; Procedure. It will be an ongoing condition of the
foregoing indemnity that the Indemnified Party give the Indemnifying Party prompt written notice of any actual or threatened claim, and provide the Indemnifying Party with all reasonably accessible information regarding such claims in the
Indemnified Party’s possession. The Indemnified Party will promptly notify the Indemnifying Party of any claim, demand, suit or proceeding for which the Indemnifying Party has agreed to indemnify and hold the Indemnified Party harmless, and the
Indemnifying Party, upon written request by the Indemnified Party, will promptly defend and continue the defense of such claim, demand, suit or proceeding at the Indemnifying Party’s expense. If the Indemnifying Party fails to undertake and
continue such defense, the Indemnified Party will have the right (but not the obligation) to make and continue such defense as it considers appropriate, and the expenses and costs thereof, including but not limited to attorneys’ fees,
out-of-pocket expenses and the costs of an appeal and bond thereof, together with the amounts of any judgment rendered against the Indemnified Party, will be paid by the Indemnifying Party. The Indemnifying Party shall not enter into any settlement
of an indemnified claim for which the Indemnified Party does not receive a general release without the prior written approval of the Indemnified Party. Nothing herein will prevent the Indemnified Party from defending, if it so desires in its own
discretion, any such claim, demand, suit or proceeding at its own expense through its own counsel, notwithstanding that the defense thereof may have been undertaken by the Indemnifying Party. 
  
 11.3. EXCEPT AS SPECIFICALLY SET FORTH IN THIS AGREEMENT, EACH PARTY
SPECIFICALLY DISCLAIMS ANY EXPRESS OR IMPLIED WARRANTIES OR REPRESENTATIONS, INCLUDING WITHOUT LIMITATION ANY IMPLIED WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR NON-INFRINGEMENT OR ANY IMPLIED WARRANTY ARISING OUT OF COURSE
OF PERFORMANCE, COURSE OF DEALING OR USAGE OF TRADE. 
  
 11.4. THE INDEMNIFICATION OBLIGATIONS SET FORTH HEREIN SHALL BE THE SOLE AND EXCLUSIVE MEANS OF OBTAINING A REMEDY FROM A PARTY HERETO IN CONNECTION WITH THIS AGREEMENT, EXCEPT IN THE EVENT OF FRAUD, GROSS NEGLIGENCE OR CRIMINAL
CONDUCT. UNDER NO CIRCUMSTANCES SHALL EITHER PARTY TO THIS AGREEMENT BE LIABLE TO THE OTHER FOR ANY INDIRECT, INCIDENTAL, SPECIAL, PUNITIVE OR CONSEQUENTIAL DAMAGES, INCLUDING LOSS OF PROFITS, REVENUE, DATA, OR USE, INCURRED BY EITHER PARTY OR ANY
THIRD PARTY, WHETHER IN AN ACTION IN CONTRACT OR TORT OR BASED ON A WARRANTY, EVEN IF THE 
  

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 OTHER PARTY OR ANY OTHER PERSON HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. THE AMOUNT OF EITHER PARTY’S
LIABILITY TO THE OTHER PARTY UNDER THIS AGREEMENT SHALL BE LIMITED TO THE AMOUNTS PAID UNDER THIS AGREEMENT BY LOOKSMART DURING THE 12 MONTHS PRECEDING THE DATE OF THE INDEMNIFYING PARTY’S RECEIPT OF NOTICE OF CLAIM FOR LOSSES. 
  
 12. General Provisions. 
  
 12.1. Entire Agreement. This Agreement sets forth the entire agreement between the parties and supersedes any and all
prior written or oral proposals, agreements, and representations between them. This Agreement may be changed only by mutual agreement of the parties in writing. No waiver by either Party of any breach of any term or condition of this Agreement will
constitute a waiver of, or consent to, any subsequent breach of the same or any other term or condition of this Agreement. 
  
 12.2. Assignment. This Agreement will be binding on and will inure to the benefit of the parties hereto and their respective successors and
assigns. Neither this Agreement nor any right or obligation hereunder may be assigned or delegated by either Party without the express prior written consent of the other Party or its successors, which consent shall not be unreasonably withheld, and
any purported assignment in derogation of the foregoing shall be without any effect; provided that either party may freely assign this Agreement, with notice to the other party, to a successor in interest or other entity acquiring said party
through the sale of all or substantially all of said party’s assets, acquisition, merger or similar transaction, provided that the successor entity has agreed in writing to assume all rights and obligations of said party hereunder.

  
 12.3. Severability. Any term or provision of this
Agreement held to be illegal or unenforceable shall, if possible, be interpreted so as to be construed as valid, but in any event the validity or enforceability of the remainder hereof shall not be affected. 
  
 12.4. Notices. Any notice or other communication required or permitted
to be given under this Agreement shall be in writing and may be personally served, sent by a recognized overnight courier or by registered or certified United States, or Canadian mail, return receipt requested, and shall be deemed to have been
received when: (a) delivered in person; (b) one (1) business day after delivery to the office of such overnight courier service; or (c) three (3) business days after depositing the notice in the United States or Canadian mail with postage prepaid
and properly addressed to the other Party via certified or registered mail. Any such notices will be addressed as follows, or to such other address as may be specified hereafter in writing in accordance with this sentence: 
  
 For LookSmart: 
  
 LookSmart, Ltd. 
 625 Second Street 
 San Francisco, CA 94107 
 Attn: Claudine Ryan 
  

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 Copy to: Erik Riegler, Esq. 
 Fax: (415) 348-7034 
  
 For Search123: 
  
 SEARCH123.com Inc. 
  
 5701 Lindero Canyon Rd. 
 Building 2, Suite 200 
 Westlake Village, CA 91362 
 Attn: Brian McCarthy 
 Copy to: James Beriker 
 Fax: (818) 991-7439 
  
 12.5. Choice of Law. This Agreement will be governed by and construed in accordance with the substantive laws of the
State of California, without regard to or application of choice-of-laws provisions, and the Parties agree to submit to the exclusive jurisdiction of and bring any actions in the state or federal courts located in the State of California, San
Francisco County. 
  
 12.6. Independent Contractors.
The parties agree that their relationship is that of independent contractors acting for their own account. Neither Party is authorized to make any commitment or representation, express or implied, on the other’s behalf unless authorized in
writing. This Agreement will not be interpreted or construed to create an association, joint venture or partnership or to impose any partnership obligation or liability upon either Party. 
  
 12.7. Headings. The section headings herein are provided for convenience only and have no substantive effect on the
construction of this Agreement. 
  
 12.8. Counterparts.
This Agreement may be executed simultaneously in two or more counterparts, each of which will be considered an original, but all of which together will constitute one and the same instrument. A facsimile of a signed copy of this Agreement
received from either Party may be relied upon as an original. 
  
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 IN WITNESS WHEREOF, duly authorized representatives of the parties have executed this Agreement as of the date set forth
on the first page hereof. 
  

									
	LOOKSMART, LTD.	 	 	 	SEARCH123.COM INC.
					
	By:	 	 /s/ Jim Kaufman

	 	 	 	By:	 	 /s/ James K. Beriker

	Name:	 	Jim Kaufman	 	 	 	Name:	 	James K. Beriker
	Title:	 	SVP Business Development	 	 	 	Title:	 	CEO

  

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	 	 	10	 	CONFIDENTIALAmendment No. 2 to the Prioritized Listings Syndication Agreement

 Exhibit 10.54 
  
 SECOND AMENDMENT TO THE PRIORITIZED
LISTINGS SYNDICATION AGREEMENT 
 BETWEEN
LOOKSMART, LTD. AND SEARCH123 INC. 
  
 This Second Amendment (the “Second Amendment”) to the Prioritized Listings Syndication Agreement dated as of August 21, 2001 (the
“Agreement”) and the Amendment dated as of June 7, 2002, is entered into and effective as of February 8, 2005 by and between LookSmart, Ltd., a Delaware corporation, (“LookSmart”) and Search123, Inc., a California
corporation (“Partner”). 
  
 NOW,
THEREFORE, in consideration of the mutual promises contained herein, the parties agree that during the term of this Second Amendment, the Agreement (as amended) shall be amended as follows: 
  

	1.	The following definitions shall be added to Section 1.1: 

  
 “Click” occurs when a bona fide Internet user (which excludes a robot, spider, software, scraper or other mechanical, artificial or
fraudulent means, or a person who is not seeking to use the Partner Network for a legitimate web search, e.g., has been paid or otherwise motivated to click) clicks on a Prioritized Listing and accesses the destination site. 
  
 “Partner Network” means the Search123 Site
together with the Search123 Affiliate Sites. 
  

	2.	Section 2 is hereby deleted and replaced with the following: 

  

	 	2.	Obligations. 

  

	 	2.1	Implementation of Prioritized Listings. Partner will query LookSmart’s servers for search queries on the Partner Network and will implement and display Prioritized
Listing provided by LookSmart as set forth on Exhibit A. 

  

	 	2.2	Attribution; Look and Feel. Partner may provide attribution on pages displaying Prioritized Listings. The size and location of such attribution shall be at the parties’
mutual agreement. Other than as set forth herein, Partner shall control the look and feel of its search service. 

  

	 	2.3	Service Levels/Technical Support. LookSmart will use commercially reasonable efforts to provide the Service Levels and Technical Support in Exhibit B.

  

	3.	Section 3 of the Agreement (as amended) is hereby deleted and replaced with the following: 

  
 3.1 Cost Per Click (CPC). Subject to the terms and conditions hereof, for any given calendar month, LookSmart will
pay Partner [***] for all valid Clicks generated by Partner, as recorded by LookSmart’s proprietary click tracking system. For each Click, the share of revenue paid to Partner will be equal to the CPC bid by LookSmart for the corresponding
search term, less a month-end adjustment for credit card fraud, advertising complaints or similar items. 
  

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 1 

 LookSmart will determine the CPC bid and include it in the live feed sent in response to such query.
LookSmart will have sole discretion to decide the CPC bid for each search term, and such CPC bid may change frequently. Partner may use the CPC bid included in the live feed for its internal purposes, but the parties agree that all CPC bid amounts
submitted by LookSmart are confidential information for internal use only, and shall not be posted on Partner’s or Partner’s Network web pages or disclosed to any third parties. 
  
 3.2 Invalid Clicks. LookSmart shall have no obligation to pay for
clicks which are invalid as determined by its proprietary click tracking system. Invalid clicks may come as a result of but are not limited to clicks (i) generated via automated crawlers, robots or click generating scripts, (ii) that an advertiser
receives and rejects, (iii) that come as a result of auto-spawning of browsers, automated redirects, and clicks that are required for Users to navigate on the Partner Network, (iv) that are derived from international users (non-US and Canada) unless
otherwise specified by LookSmart, (v) that are derived from adult related traffic or (vi) that come as a result of any incentive such as cash, credits or loyalty points. LookSmart reserves the right to require Partner to provide server log files
that include, but are not limited to, the daily number of clicks delivered to LookSmart. In the event that LookSmart determines by its proprietary click tracking system that Partner has delivered invalid clicks or low quality traffic during the term
of this Agreement, LookSmart may immediately terminate this Agreement upon written notice to Partner. 
  
 IN WITNESS WHEREOF, the Parties have executed this Second Amendment as of the date set forth above. In the event of any conflict between the terms
hereof and the terms of the Agreement, the terms hereof shall govern. This Second Amendment may be executed in counterparts, each of which may be an original or fax copy, and all of which together shall form one instrument. 
  

									
	LookSmart Ltd.	 	 	 	Search123, Inc.
					
	By:	 	 /s/ Bryan Everett

	 	 	 	By:	 	 /s/ James K. Beriker

	Name:	 	Bryan Everett	 	 	 	Name:	 	James K. Beriker
	Title:	 	SVP, Sales	 	 	 	Title:	 	CEO

  

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 2 

 EXHIBIT A 
  
 IMPLEMENTATION 
  

	1.	Display of Prioritized Listings. In connection with each search by a user on the Partner Network, Partner will query LookSmart’s servers via a live data feed. If any
Prioritized Listings are returned by LookSmart’s servers in response to such query, such Prioritized Listings will be displayed on search result pages on the Partner Network. All Prioritized Listings must be displayed in the order received from
LookSmart’s servers and prominently on such search results pages. Partner will not display any CPC or price-related data that would allow users to determine the price paid by advertisers in connection with Prioritized Listings. Partner will
cooperate with LookSmart to allow LookSmart to track clicks on Prioritized Listings displayed on the Partner Networks, including the use of redirects, tracking URLs or other methods as reasonably requested by LookSmart. Partner will not modify, add
to, edit or delete the URLs, titles or reviews contained within any Prioritized Listing without LookSmart’s prior written approval. Partner will use the tracking URLs associated with each individual Prioritized Listing provided by LookSmart
(though Partner may use the display URLs for purposes of displaying the listing). Other than as set forth herein, Partner shall be solely and exclusively responsible for the design, development, operation and maintenance of the Partner Network and
for all advertising, sponsorship or other use of the media contained therein. 

  

	2.	Partner Display Ordering. Partner represents that it displays and will continue to display Prioritized Listings on the Partner Network based on the Cost Per Click assigned to
the listings in the Prioritized Listings (CPC Sorted). In the event that Partner decides to change the method by which it determines the order of its Prioritized Listings, Partner will provide to LookSmart thirty (30) days written notice of such
change. Partner will make reasonable effort to work with LookSmart to display Prioritized Listings in the new display order at positions comparable to the CPC sorted implementation. 

  

	3.	Position in Search Results. In implementations where Partner determines the display and presentation of Prioritized Listings on the CPC paid to Partner, Partner agrees to
display Prioritized Listings in Partner’s Prioritized Listings in the position based on the agreed upon Cost Per Click. Based on the agreed upon CPC, Partner must display Prioritized Listings above (i) any other listing with the same CPC and
(ii) the listing with the next lowest CPC available for display in Partner’s Prioritized Listings. Partner will in no way manipulate Partner’s Prioritized Listings or any other listing CPCs to display Prioritized Listings in a position
below listings with CPCs lower than those agreed upon and thus assigned to Prioritized Listings. 

  

	4.	Top Bid Pricing. In implementations where Partner determines the display and presentation of Prioritized Listings on the CPC paid to Partner, Partner agrees to provide
LookSmart with an automated, regularly updated mechanism from which LookSmart can determine the bid prices (CPC paid to partner) of the top 5 listings for individual and specific keywords. For example, Partner may make available an API or other data
interface that provides such data. 

  

	5.	Query Source Identification. Partner must provide LookSmart with the IP, User Agent and HTTP referrer for every query for which Partner requests a LookSmart Prioritized
Listing. 

  

	6.	Traffic Volume and Increases. Partner will provide LookSmart with 3 days written notice before launching with new affiliates or traffic sources that will, in Partner’s
reasonable opinion, increase the number of Searches by the lesser of 50% over then-current levels or 500,000 queries per day. LookSmart will have no obligation to pay for Referrals for which a timely notice is not provided under this section.

  

	7.	Blocking Distribution. LookSmart may request that Partner block distribution of Prioritized Listings to a specified list of sources (sites and/or IP addresses) deemed
questionable by LookSmart. LookSmart may update the list from time to time, in its sole discretion. All sources contained within the list must be blocked from distribution by Partner as soon as practicable after, but in any event within 5 business
days from, receipt of notice from LookSmart. LookSmart shall have no obligation to pay Partner for Clicks delivered to Prioritized Listing from these sources, five business days beyond notice. Partner will not display, sublicense or syndicate the
Prioritized Listing on or to any third party, distribution network or web site (A) via spyware or any other form of advertising that delivers advertisements to a user without the user’s prior consent, (B) that displays adult-oriented content,
(C) via a web site or distribution network directed primarily at users outside of the United States or Canada, or (D) that violates any applicable laws or regulations. 

  

	[***]	indicates redacted text. 

  

 3 

 EXHIBIT B 
  
 Service Level Agreement — LookSmart Data Feed (VAL) 
  
 Below is the level of service to be supplied by LookSmart in connection with LookSmart’s provision of Prioritized Listings (the
“Service”). The Service to be provided to Partner shall consist of a real-time data feed of Prioritized Listings as defined in the Agreement. 
  

Partner Implementation Guide. Following the execution of this Agreement, LookSmart will provide Partner with a partner implementation guide to assist in the
process of implementing the technical aspects of the Service. The parties will use commercially reasonable efforts to abide by the procedures and steps set forth in the guide. 
  
 Service Integration Technical Assistance. During the Term, LookSmart agrees to provide a designated technical account manager during
normal business hours (8am – 5pm Pacific Time) to Partner to assist in the effective integration of the Service onto the Partner’s site. In no event will such support exceed ten (10) hours per month, and all such support will be provided
during business hours. The parties agree that the Service is provided in a standard format and is well documented. LookSmart will not provide technical assistance relating to on-site server configuration or programming. 
  
 Service Response Time. The load time for a non-page-load query (i.e. where the data
returned does not include the formatted page), as measured round-trip from the time Partner servers send a search request to LookSmart to the time of Partner’s servers’ receipt of a completed set of search result(s) will be less than 375
milliseconds at least 98% of the time, as measured daily, weekly, and monthly, from domestic locations. 
  
 Service Uptime. The Service will be available 24 hours/day, 7 days/week. Scheduled downtime will be communicated to partners with 5 business days notice. Service is guaranteed to be up 99.5% of the time as
measured weekly and 99.8% of the time as measured monthly, excluding scheduled downtime. Should LookSmart determine that a reconfiguration of the Service is required, such as major software version changes, changes in hosting facilities or other
network reconfiguration; LookSmart will provide Partner with 30-day notice of such change, and will work in good faith to minimize any Service outages. 
  
 Quality Criteria. LookSmart will use commercially reasonable efforts to ensure that the Service shall not contain more than 3% Inactive Links out of any random
sample of 10,000+ queries. “Inactive Links” shall be defined as any link provide by the Service which, when clicked, does not result in the user receiving a web page within 60 seconds at least 3 out of 5 times in any 1 week period.

  
 TECHNICAL SUPPORT 
  
 To ensure that problems with the Service are identified, addressed and resolved in a timely
manner, the following framework shall be followed for reporting problems, communicating progress on troubleshooting activities, resolving problems, and, if necessary, escalating the level of attention placed on such problems. This framework
proposes a three-category approach to technical support for dealing with problems. The first type deals with general technical support such as consultation regarding technical specification interpretation and understanding the process, the
second with changes in the Service, and the third addresses problem reporting and resolution associated with the Service. 
  
 Type 1: General Technical Support 
  
 This category of service provides consultation regarding the proper interpretation of format specifications and data, as well as support on how the Service works, the
quality or content of Service results for specific queries or how Partners might integrate the Service into their Web site(s). It does not address any desired changes in the basic service parameters. Within 3 business days of the Execution Date of
this Agreement, Partner will be provided with the names of both a business development account manager and a technical account manager who will provide this type of service during normal business hours, up to 10 hours per month, for the first three
months. Partner should expect a response to Type 1 issues within 2 business days, after which they should be escalated as detailed below. 
  
 Type 2: Changes 
  
 Requests for changes in the Service should be directed to the business development account manager who will be assigned to Partner within 3 days of the Execution Date of this Agreement. Partner should expect a
response to Type 2 issues within 2 business days, after which they should be escalated as detailed below. 
  
 Type 3: Problem Reporting and Resolution 
  
 Problems reaching LookSmart servers (e.g., major networking issues, Service outage, etc.) should be addressed with the LookSmart Technical Operations team as detailed below. ALL OTHER requests (e.g. product issues) should be treated as Type
1 or Type 2 issues. 
  

	 	1.	Contact the System Technical Support team by: 

  

					
	 •
	 	   Email:
	 	xxxx@looksmart.net
	 •
	 	   Email Page:
	 	xxxx@looksmart.net
	 •
	 	   Please remember to include an area code with the callback telephone number

  
 If after 15 minutes, a
callback is not received... 
  

	 	2.	Contact the Director of Production Operations by use of the following contact information: 

  

					
	•	  	  Dean Cookson	 	 
	•	  	  Work/Day:	 	  415-348-xxxx
	•	  	  Cell:	 	  415-516-xxxx
	•	  	  Email:	 	  xxxx@looksmart.net
	•	  	  Email Page:	 	  xxxx@looksmart.net

  

	[***]	indicates redacted text. 

  

 4 

 If after 15 minutes, a callback was not received... 
  

	 	3.	Contact the Vice President of Technical Operations by use of the following contact information: 

  

					
	•	  	  Michael Grubb	 	 
	•	  	  Work/Day:	 	  415-348-xxxx
	•	  	  Cell:	 	  415-308-xxxx
	•	  	  Email:	 	  xxxx@looksmart.net
	•	  	  Email Page:	 	  xxxx@looksmart.net

  
 Escalation Procedures 
  
 If Partner does not receive timely responses (according to the timetables outlined above)
issues should be escalated to any of the following individuals: 
  

									
	Person to Contact

	 	Title

	 	Role

	 	Phone

	 	Email

	David Hoare	 	Technical Account Manager	 	Business Development	 	415-348-xxxx (o)
415-378-xxxx (m)	 	xxxx@looksmart.net

  
 Partner Points of Contact

  
 Communication of issues from LookSmart to Partner should be directed to
the following individuals: 
  

									
	Person to Contact

	 	Title

	 	Role

	 	Phone

	 	Email

	Aaron Bush	 	Partner Operations Manager	 	Business Development	 	818-575-xxxx (o)	 	xxxx@valueclick.com
	Kelly Harrel	 	Director	 	Engineering	 	818-575-xxxx	 	xxxx@valueclick.com
	Brian McCarthy	 	VP	 	Search Services	 	818-575-xxxx (o)
310-991-xxxx (m)	 	xxxx@valueclick.com

	[***]	indicates redacted text. 

  

 5

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