Document:

Exhibit 10.1

 

Note:   The **** symbol indicates that material has
been omitted pursuant to a request for confidential treatment.  A copy of this document without omissions has
been filed separately with the Securities and Exchange Commission.

 

SALES ALLIANCE AGREEMENT

 

This Sales Alliance Agreement, effective as
of August 1, 2005, including all Exhibits (“Agreement”), is
made by and between Software Spectrum, Inc.,
with offices at 3480 Lotus Drive, Plano, TX 75075 (“Software
Spectrum”) and Intraware, Inc.,
with offices at 25 Orinda Way, Orinda, CA 94563 (“Intraware”).  

 

WHEREAS,
Software Spectrum, a leading, single-source provider of IT solutions and
services that help companies around the globe enable, manage and secure their
enterprises, has entered into an agreement (“Sun
Agreement”) with an authorized distributor of Sun Microsystems, Inc.
(“Sun”), authorizing Software Spectrum to
resell the Sun software products identified in Exhibit A and maintenance
services for those products (collectively “Sun Products”).

 

WHEREAS, Intraware has
experience and expertise in the sale of Sun Products to end user customers. 

 

WHEREAS, Software Spectrum
and Intraware agree that both parties will benefit by forming a sales alliance
whereby Intraware will obtain purchase orders for sales of the Sun Products to
end users and Software Spectrum will process invoices and fulfill (either
physically or electronically pursuant to Section 7.2) such Sun Product
orders.  

 

NOW THEREFORE, intending to
be legally bound, and in consideration of the mutual promises and the terms,
conditions and covenants of this Agreement, the parties hereby agree as
follows.

 

1.             DEFINITIONS

1.1           “Confidential Information”
shall have the same meaning as the term is defined in the Mutual Non-Disclosure
Agreement, dated August 1, 2005, between Software Spectrum and Intraware,
subject to Section 8.1 below. 

 

1.2           “Qualified Customer”
shall mean a customer who has been evaluated by the Director of Software
Spectrum Accounts Receivable or a designee and approved for business, based on
written standards which are provided to Intraware, are reasonable, and impose
restrictions no more stringent than those which apply to customer qualification
in Software Spectrum’s software reselling business.

 

1.3           “Qualified Order”
shall mean an order from a Qualified Customer for Sun Products that meets the
terms of the Software Spectrum’s Global Customer Purchase Order Acceptance
Policy, which policy shall impose restrictions no more stringent than those
which apply to order acceptance in any other area of Software Spectrum’s
business.

 

1.4           “Territory”
shall mean the same geographic area as is set forth in the Sun Agreement.

 

2.             SCOPE

 

2.1           Products Expertise. 
Intraware has experience and expertise in the sale of Sun Products.   

 

2.2           Services Provided. 
Software Spectrum agrees to retain the services of Intraware to obtain
purchase orders for Sun Products from Qualified Customers in the Territory as
set forth herein.  During

 

 

1

 

 

the term of this Agreement,
Intraware will submit to Software Spectrum all purchase orders for Sun Products
received by Intraware from Sun Product customers and prospects.

 

2.3           Exclusivity. 
Software Spectrum agrees that Intraware shall be its exclusive third
party sales organization for Sun Products, and Intraware agrees to sell Sun
Products exclusively for the benefit of Software Spectrum.  The preceding sentence shall not be construed
to restrict Software Spectrum from selling Sun Products directly through its
own sales organization or through independent sales representatives authorized
by Software Spectrum to sell software, software licenses, and/or services.  Subject to the preceding two sentences, it is
agreed that the relationship between the parties is non-exclusive, and each
party is free to pursue any other business opportunities or interests.

 

2.4           Independent Contractors.  The relationship of the parties is that of
independent contractor.  Neither party is
an employee, agent, partner, or joint venturer of the other party, and Software
Spectrum and Intraware shall inform their respective employees of such.  Neither party shall represent or imply,
directly or indirectly, that it has the authority to represent or bind the
other by contract or in any way to incur obligations of any kind on behalf of
the other party or take any action that would lead any person to believe the
party has such authority; provided, however, that Intraware, in the course of
providing services under this Agreement, may submit binding quotes to customers
for sales of Sun Products, so long as such quotes to do not require Software
Spectrum to act in a manner inconsistent with its written customer
qualification standards or its written order acceptance policy referred to in
Sections 1.2 and 1.3 above, respectively.

 

3.             TERM
AND TERMINATION

 

3.1           Term.  The
term of this Agreement shall commence on August 1, 2005 (“Effective
Date”) and shall remain in effect for 24 months thereafter, unless
terminated earlier as provided herein. 
This Agreement will automatically renew for additional one (1) year
terms provided the Sun Agreement is also in effect for the same renewal period.

 

3.2           Termination. 
Either party may terminate this Agreement without cause upon 60 days
written notice to the other party.  In
addition, either party may terminate this Agreement immediately if the other
party: (i) commits a material breach of this Agreement and does not cure the
breach within 30 days after receiving the non-breaching party’s written notice
of the breach or (ii) becomes insolvent, makes a general assignment for the
benefit of creditors, suffers or permits the appointment of a receiver for its
business or assets, or avails itself of or becomes subject to any proceeding
under any federal or state statute relating to insolvency or the protection of
rights of creditors.

 

3.3           Sun Agreement Termination.  In the event the Sun Agreement expires or
terminates, then this Agreement shall terminate concurrent with the expiration
or termination date of the Sun Agreement. 

 

3.4           Customers.  Upon any expiration or termination of this
Agreement, either party may pursue sales opportunities with Sun Product
customers and prospective customers without obligation to the other party.  

 

3.5           Effect of Termination.  As of the effective date of the expiration or
termination of this Agreement, Intraware shall cease marketing and selling
Products and providing services on behalf of Software Spectrum, and neither
party shall have any further obligation to the other party except as otherwise
specified herein.  Within 30 days of the
expiration or termination of this Agreement, each party shall return all
tangible information, data, and materials, including without limitation
Confidential Information, belonging to the other party and delete all
electronic information or data belonging to the other party.  Sections 5.1.5 (Insurance), 7.3 (Payment) and
7.5 (Audit) (for three years from the Effective Date), 8 (Confidentiality), 9.1
(No Transfer of Rights), 10.2 (Warranty Disclaimer), 

 

 

2

 

11 (Indemnity),
12 (Limitation of Liability), 13 (Notices) and 14 (General) shall survive the
expiration or termination of this Agreement.  

 

4.             APPOINTMENT

 

4.1           Appointment.  Software Spectrum hereby appoints Intraware
to provide services as described herein and obtain purchase orders for Sun
Products from Qualified Customers in the Territory, as set forth in this
Agreement.

 

4.2           Acceptance.  Intraware hereby accepts such appointment to
provide services as described herein and obtain purchase orders for Sun
Products from Qualified Customers in the Territory, as set forth in this
Agreement.

 

5.             RESPONSIBILITIES

 

5.1           Mutual Responsibilities:

 

5.1.1        Dedicated Personnel. 
Each party will inform the appropriate personnel in their organization
of the existence of this Agreement and appoint one or more business managers,
who shall serve as that party’s primary contact for day-to-day business
activities.  Each party shall have to
right to appoint a new business manager from time to time and agrees to notify
the other party if they appoint a new business manager.

 

5.1.2        Public
Announcements.  Any individual or
joint public announcement regarding this Agreement or the relationship of
Software Spectrum and Intraware shall be, in each instance, subject to both
parties’ prior written consent, unless a party is advised by counsel that a
public announcement of this Agreement is required by law, in which case the
party required by law to make the announcement shall submit the announcement to
the other party for approval and such approval shall not be unreasonably
withheld or delayed.  In the event the
parties are unable to agree on an announcement required by law, then the party
required to make the announcement may, to the minimum extent required by law,
make the announcement without the consent of the other party.

 

5.1.3        Costs and Expenses. 
Except as otherwise specified herein or mutually agreed to in writing,
each party shall be solely responsible for their own costs and expenses in the
performance of this Agreement.  Each
party shall be solely responsible for the payment of compensation of its own
employees, agents, and contractors. 
Neither party shall be responsible for the payment of any wages,
expenses, workers’ compensation, disability benefits, unemployment insurance,
and any other employee benefit, including, but not limited to, pension, 401(k),
medical, dental, and life insurance, vacation, sick days, and holidays, or for
withholding income taxes and social security for any employee, agent or
contractor of the other party. 

 

5.1.4        Increase Sales. 
Software Spectrum and Intraware agree to work together in good faith and
exchange ideas and suggestions to increase Sun Product sales. 

 

5.1.5        Insurance.  Software Spectrum and Intraware shall each
maintain insurance, with coverage limits, consistent with generally accepted
business practices for the software resale industry. 

 

3

 

5.2           Software Spectrum Responsibilities:

 

5.2.1        Procedures. 
Software Spectrum will advise Intraware sales personnel on, and provide
them with copies of, Software Spectrum’s standard order acceptance and customer
qualification policies and procedures, as described in Sections 1.2 and 1.3
above.

 

5.2.2        Orders and Order Fulfillment.  Software Spectrum shall be responsible for
entering into any contracts with Qualified Customers, processing and
fulfillment of all Qualified Orders, invoicing Qualified Customers, collecting
payment from Qualified Customers, and making payments to the Sun authorized
distributor under the Sun Agreement. 
With the exception of sales calls, Software Spectrum shall also be
solely responsible for answering all customer inquires or questions.  Software Spectrum may, in its sole discretion,
reject any Sun Product customers or orders that do not meet Software Spectrum’s
standard policies and procedures referenced in Sections 1.2 and 1.3 above.

 

5.2.3        Order Limits.  Software Spectrum shall only accept Qualified
Orders received from Qualified Customers.

 

5.2.4        Prices. 
Promptly after signing any Sun Agreement, Software Spectrum shall
provide Intraware with a copy of the price list for Sun Products.  Software Spectrum shall provide Intraware with
30 days’ written notice or such period of time Software Spectrum receives
written notice from Sun, whichever is less, of any change to Software Spectrum’s
Sun Products price list, provided, however, that any such change shall be
delayed by up to an additional 60 days or such period of time as is agreed to
by Sun, whichever is less, with respect to any quote which Intraware may make
to a Sun Product customer or prospect before receiving notice of the price list
change.

 

5.2.5        Marketing.  Software Spectrum and Intraware agree to work
together in good faith to plan and conduct various Sun marketing activities and
events.  Each such marketing activity
shall be subject to the parties’ mutual agreement. 

 

5.2.6        Accepting
Payments.  Software Spectrum shall
have no authority to collect funds or accept payment on behalf of
Intraware.  Software Spectrum shall
immediately forward to Intraware any and all money or remittance, in any form,
that may be owed to Intraware, but incorrectly paid to Software Spectrum.  

 

5.3           Intraware’s Responsibilities:

 

5.3.1        Procedures. 
Intraware agrees to co-operate with Software Spectrum in meeting all of
Software Spectrum’s standard policies and procedures for account and order
acceptance which are referred to in Sections 1.2 and 1.3 above.   

 

5.3.2        Personnel Commitment. 
It is the parties’ intent to achieve sales goals set by Sun or set by an
authorized Sun distributor as a requirement for Software Spectrum to maintain
maximum product discount levels.  Such
intent shall be a primary consideration of Intraware in assigning sales
representatives (each, a “Rep”) to the
solicitation of Sun Product sales hereunder. 
Each Rep shall quote Products prices to customers using only Software
Spectrum’s standard price list provided by Software Spectrum to Intraware
pursuant to Section 5.2.4 above, as well as the delivery schedule and terms and
conditions communicated by Software Spectrum to Intraware from time to
time.  

 

5.3.3        No Warranties. 
Intraware may not make any representation, guarantee, or warranty with
respect to Sun Products inconsistent with those expressly set forth in the
then-current Sun end user license agreement supplied by Sun. 

 

 

4

 

 

5.3.4        Returns. 
Intraware shall not authorize or bind Software Spectrum to provide any
refund, credit, return, allowance or adjustment to a customer account unless
authorized by Software Spectrum in writing.

 

5.3.5        Accepting Payments.  Intraware shall have no authority to collect
funds or accept payment on behalf of Software Spectrum.  Intraware shall immediately forward to
Software Spectrum any and all money or remittance, in any form, that may be
owed to Software Spectrum, but incorrectly paid to Intraware.  Intraware shall provide assistance reasonably
requested by Software Spectrum in the collection of overdue Sun Product
accounts, provided such assistance shall be limited to telephone calls and
emails by Reps.

 

6.             REPORTS 

 

6.1           Reports by Intraware.  On Monday of each week, Intraware shall
furnish Software Spectrum with a weekly sales activity report and a non-binding
sales forecast report, and on the first Monday of each month, Intraware shall
furnish Software Spectrum with a report on contract renewal efforts.  Each such monthly report shall be in the format
specified in Exhibit B hereto.  Intraware
will furnish such additional reports as may be reasonably requested by Software
Spectrum from time to time.

 

6.2           Reports by Software Spectrum.  On each business day, Software Spectrum shall
provide Intraware a daily sales activity report for the prior business day, and
within 5 days after the end of each calendar month, Software Spectrum shall
provide Intraware a monthly sales activity report for such calendar month.  Each such report shall be in the format specified
in Exhibit C hereto, provided the format of such reports may be adjusted from
time to time by mutual agreement of the parties via electronic mail without a
signed amendment hereto (notwithstanding anything to the contrary in Section
14.7 below). 

 

7.             COMPENSATION

 

7.1           Payment to Intraware.  Software Spectrum and Intraware agree to
share, ****% to Intraware and ****% to Software Spectrum, Gross Profits derived
by Software Spectrum from all sales of Sun Products by Software Spectrum and
Intraware under this Agreement.  It is
the intent of Software Spectrum and Intraware that sales of Sun Products
include any such sales by their affiliates, resellers, distributors, agents,
dealers, or representatives.  As used
herein, “Gross Profit” means, for each sale of a Sun Product, the sale price to
the customer less applicable sales taxes, shipping costs for Kits under Section
7.2 below, returns approved by Sun or Sun’s authorized distributor, and the
amount payable by Software Spectrum to Sun or Sun’s authorized distributor for
such Sun Product.  “Gross Profit” shall
also include rebates and other incentives made available by Sun or Sun’s
authorized distributor to Software Spectrum, to the extent those rebates and
other incentives are directly attributable to Sun Product sales made during the
term of this Agreement.  All Gross Profit
disbursements shall be paid 45 days following the end of each month.  

 

7.2           SubscribeNet.  During the term of this Agreement, Intraware
will provide a co-branded version,  using
Intraware’s and Software Spectrum’s brand, of Intraware’s SubscribeNet
electronic software distribution service (“SubscribeNet”)
to Qualified Customers requesting that Sun Products be delivered using
electronic distribution.  As a fee for
the SubscribeNet service, Software Spectrum shall allocate ****% of Intraware’s
****% Gross Profit share, as described in Section 7.1.  Thus, for purposes of example only, if the
total Gross Profit from a Sun Product sale is $****, $**** will be retained by
Software Spectrum and $**** will be paid to Intraware, and $**** of the $****
paid to Intraware will 

_________________________

 

****  Indicates that material has been omitted
pursuant to a request for confidential treatment.  A copy of this document without omissions has
been filed separately with the Securities and Exchange Commission.

 

 

 

5

 

be deemed to be a
SubscribeNet service fee.  Such
SubscribeNet service fees shall be paid by Software Spectrum as part of the
Gross Profits payment made according to the terms described in Section 7.  Intraware and Software Spectrum expect that
the majority of Qualified Orders will be filled using SubscribeNet.   However, if a Qualified Customer requests a
Products media and documentation kit (“Kit”), Software
Spectrum will fulfill the request by ordering the Kit from a Sun Products
distributor and shipping the Kit to the Qualified Customer. 

 

7.3           Payment.  All
payments made under this Agreement shall be in United States dollars.  All compensation is exclusive of all
governmental taxes, withholdings, fees or similar assessments.  In the event of a dispute regarding a
financial obligation owed pursuant to this Agreement, Software Spectrum and
Intraware agree to meet in good faith to resolve the dispute within twenty days
of either party’s written notice to the other of the dispute.  Software
Spectrum and Intraware shall maintain adequate books and records in connection
with their activities under this Agreement consistent with generally accepted
accounting practices. Each party shall respond in a reasonably timely manner to
requests by the other party’s outside auditors for confirmation of the parties’
obligations in connection with this Agreement.

 

7.4           Market Development Funds.  All market development funds made available
by Sun to Software Spectrum shall be retained exclusively by Software Spectrum
and shall not be considered when calculating any compensation under this
Agreement.  The parties anticipate that
market development funds will be expended on marketing events jointly developed
by Intraware and Software Spectrum under Section 5.2.5 above, subject to the
terms of that Section.   

 

7.5           Audit.  The
records maintained by Software Spectrum under Section 7.3 above shall include,
without limitation, documentation of the information reportable under Section
6.2 above, those portions of the Sun Agreement that are necessary to determine
financial obligations owed to Intraware (disclosure of the Sun Agreement is
subject to the consent of Sun’s authorized distributor), and of all customer
orders for Sun Products.  Intraware may
audit the books and records of Software Spectrum relevant solely to this
Agreement, including but not limited to all documents related to customer
orders for Sun Products.  Any such audit
shall be conducted during regular business hours, mutually agreed to, at
Software Spectrum’s offices and shall not interfere unreasonably with Software
Spectrum’s business activities.  If an
audit reveals that Software Spectrum has underpaid fees to Intraware, Software
Spectrum shall be invoiced for such underpaid fees.  Audits shall be made no more than once
annually.  Intraware shall bear the cost
of any such audit unless the audit reveals that Software Spectrum has underpaid
Gross Profit by 5% or more of the Gross Profit payable by Software Spectrum to
Intraware for the preceding twelve (12) months (or any shorter period to which
the audit may be limited by Intraware), in which case the cost of the audit
shall be borne by Software Spectrum.  All
information and data resulting from an audit shall be deemed to be Confidential
Information.

 

8.             CONFIDENTIALITY

 

8.1           Mutual Nondisclosure Agreement.  The parties agree and acknowledge that it may
be necessary to disclose certain confidential or proprietary information to
each other in the performance of this Agreement.  To protect and preserve their respective
confidential information, Intraware and Software Spectrum agree to maintain all
such information in confidence pursuant to the Mutual Non-Disclosure Agreement
dated August 1, 2005 (“NDA”).  The NDA is hereby incorporated into this
Agreement by reference. 

 

9.             PROPERTY RIGHTS

 

9.1           No Transfer of Rights. Each of Software Spectrum
and Intraware is and shall at all times remain the sole owner of their
respective intellectual property. Except as otherwise expressly specified in
this 

 

 

6

 

 

Agreement, neither party is
granted any express or implied rights to the other party’s copyrights, trade
secrets, patents, trademarks, or any other intellectual property.

 

9.2           Trademarks.  For the term of this Agreement, Software
Spectrum grants Intraware a personal, non-transferable, non-exclusive and
revocable license to use Software Spectrum’s trademarks, in the Territory,
solely in connection with Intraware’s performance of this Agreement.  Upon expiration or termination of this
Agreement, Intraware shall immediately cease all use of Software Spectrum’s
trademarks.

 

10.          WARRANTY

 

10.1         Authority.  Software Spectrum and Intraware each warrants
that it has the right and authority to enter into this Agreement.

 

10.2         Warranty Disclaimer. 
EXCEPT AS SPECIFIED HEREIN, NEITHER SOFTWARE SPECTRUM NOR INTRAWARE
MAKES ANY OTHER WARRANTY, EXPRESS OR IMPLIED, INCLUDING WITHOUT LIMITATION, ANY
WARRANTY OF FITNESS FOR A PARTICULAR PURPOSE OR MERCHANTABILITY. 

 

11.          INDEMNITY

 

11.1         Indemnity.  Intraware agrees to defend, indemnify and hold harmless Software Spectrum from and against
any and all claims, suits, liabilities, expenses, attorney’s fees or damages
(collectively “Claims”) respecting real or
tangible personal property, including loss of use thereof, and injuries to
persons, including death, arising from the negligent acts or omissions or
intentional misconduct of Intraware under this Agreement, or any of its
subcontractors, suppliers, officers, agents, employees or servants in
connection with the performance of this Agreement.  Intraware’s obligation hereunder shall not be
limited by the provisions of any workers’ compensation act or similar
statute.  Intraware shall have no
responsibility or liability for any Claims to the extent caused by the
negligent act or omission or intentional misconduct of Software Spectrum.

 

11.2         Conditions.  Intraware’s foregoing indemnity obligations
are subject to: (a) Software Spectrum promptly notifying Intraware in writing
of any such claim; (b) Software Spectrum cooperating in the defense and
furnishing related evidence in its control to Intraware; and (c) upon written
acknowledgment of Intraware’s indemnification obligations hereunder, Intraware
having sole control of the defense and all related settlement negotiations,
other than any settlement or negotiation which contemplates any restriction on
Software Spectrum.

 

12.      LIMITATION OF LIABILITY

 

12.1         NEITHER PARTY SHALL BE LIABLE TO THE OTHER
FOR SPECIAL, CONSEQUENTIAL, INCIDENTAL, OR INDIRECT DAMAGES, REGARDLESS OF THE
FORM OF ACTION, WHETHER IN CONTRACT, WARRANTY, STRICT LIABILITY OR TORT
INCLUDING WITHOUT LIMITATION NEGLIGENCE AND REGARDLESS OF WHETHER OR NOT SUCH
PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.  WITH THE EXCEPTION OF A PARTY’S INDEMNITY
OBLIGATIONS HEREIN, BREACH OF A PARTY’S CONFIDENTIALITY OBLIGATIONS,
INFRINGEMENT OF THE OTHER PARTY’S INTELLECTUAL PROPERTY RIGHTS, OR BREACH OF
WARRANTY OR OF A FINANCIAL OBLIGATION OWED TO THE OTHER PARTY, IN NO EVENT
SHALL EITHER PARTY’S AGGREGATE LIABILITY RELATING TO ANY CLAIM OR ARISING OUT
OF THIS AGREEMENT, WHETHER IN CONTRACT, TORT OR OTHERWISE, EXCEED
$100,000.  

 

 

7

 

13.          NOTICES

 

13.1         Any notice, demand, acknowledgment or
other communication which under the terms of this Agreement must be given or
made shall be in writing and may be: (i) sent via facsimile transmission (if,
followed-up with a written notice sent via mail), (ii) hand delivered by
courier, or (iii) sent via certified or registered mail, postage paid, to the
respective parties as follows:

 

If to Software Spectrum:

Software Spectrum, Inc.

3480 Lotus Drive

Plano, TX 75075

Attention: General Counsel

 

If
to Intraware:

Intraware, Inc.

25 Orinda Way

Orinda, CA  94563

Attention: General Counsel

 

14.          GENERAL

 

14.1         Force Majeure.  In no event shall either party be responsible
for any delay or failure to perform if such delay or failure to perform is due
to causes beyond its reasonable control, including, but not limited to,
governmental authorities, epidemics, war, embargoes, fire, earthquakes or acts
of God.

 

14.2         Assignment. 
Neither party shall assign its rights and obligations under this
Agreement to any third party without the prior written consent of the other
party, which shall not be unreasonably delayed, conditioned, or withheld.

 

14.3         Waiver.  Any waiver of a violation or failure to
enforce any provision of this Agreement by either party shall not constitute a
waiver of either party’s rights with respect to this Agreement.

 

14.4         Severability.  All terms and conditions of this Agreement
are severable.  If any term or provision,
or any portion thereof, of this Agreement is held to be invalid, illegal or
unenforceable, the remaining portions shall not be affected.

 

14.5         Governing Law.  Software Spectrum and Intraware agree to
comply with applicable laws and regulations, including without limitation, U.S.
export law and regulations.  The
validity, construction, and performance of this Agreement shall be governed by
the laws of Texas, exclusive of its rules regarding conflicts of law.  English shall be the governing language of
this Agreement.  The United Nations
Convention for the Sale of Goods shall not apply to this Agreement.

 

14.6         Solicitation.  During the term of this Agreement, neither
party shall, without the prior written consent of the other party, solicit for
employment any employee of the other party. 
Notwithstanding the foregoing, neither party shall be restricted from
placing employment advertising in trade or general media or from using
recruiters provided that such advertising and recruiters do not target the
employees of the other party.

 

14.7         Entire Agreement/Amendments.  This Agreement, including the Exhibits hereto
and the NDA, constitute the entire agreement between the parties relating to
the subject matter contemplated herein and supersedes all previous or
contemporaneous oral or written communications, proposals and agreements in
respect thereof.  This Agreement may only
be modified or amended by a written agreement executed by both parties.

 

 

8

 

14.8         Equitable Relief.  The parties acknowledge that any material
breach of their obligations with respect to proprietary rights of the other
party may cause irreparable injury for which there may be inadequate remedies
at law and that the non-breaching party shall be entitled to seek equitable
relief in addition to all other remedies available.

 

14.9         Miscellaneous.  Unless otherwise specified, words imputing
the singular include the plural, words imputing any gender include every
gender, and words imputing persons include bodies corporate and unincorporated;
and (in each case) vice versa.  Any
undertaking by a party not to do any act or thing shall be deemed to include an
undertaking not to permit or suffer the doing of that act or thing; The word “including”
shall mean “including without limitation or prejudice to the generality of any
description, definition, term or phrase preceding that word”, and the word “include”
and its derivatives shall be construed accordingly.  References to the parties include their
respective directors, employees and agents. 
The headings in this Agreement are for convenience only and shall not in
any way affect its interpretation.

 

(Remainder
of page intentionally left blank.)

 

 

9

 

IN
WITNESS WHEREOF, the parties
have caused this Agreement to be executed by their duly authorized representatives
to be effective as of the date first mentioned above.

 

 

	
  INTRAWARE, INC.

  	
  SOFTWARE SPECTRUM, INC.

  
	
   

  	
   

  
	
  By:

  	
  /s/ Wendy Nieto

  	
   

  	
  By:

  	
  /s/ Melissa Womack

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Name:

  	
    Wendy Nieto

  	
   

  	
  Name:

  	
    Melissa Womack

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Title:

  	
    Chief
  Financial Officer

  	
   

  	
  Title:

  	
    Senior Vice
  President

  

 

 

10

 

EXHIBIT A

 

Sun Products

 

 

•                  The Sun
Products shall be as specified in the Sun Agreement

 

 

11

 

EXHIBIT B

 

Form of Report — Intraware
Monthly Report

 

See
attachment.

 

 

12

 

Sun Renewals

 

Generated By:

Peter Michaelides

Intraware

8/8/2005 2:23 PM

 

 

	
  Filtered By:

  	
   

  
	
   

  	
  Interval: Contract
  Effective Date equals Next 90 Days (8/8/2005 to 11/5/2005)

  
	
   

  	
  Relationship to
  Opportunity: All opportunities

  
	
   

  	
  Opportunity Status: Any

  
	
   

  	
  Probability: All

  
	
   

  	
  Owner
  Role contains Sun

  
	
   

  	
  AND
  Type contains Renewal

  

 

	
  Contract

  	
   

  	
  Effective Date

  	
   

  	
  Close Date

  	
   

  	
  Account Name

  	
   

  	
  Account Site

  	
   

  	
  Potential Renewal Revenue

  	
   

  	
  Amount

  	
   

  	
  Opportunity Owner

  	
   

  	
  Opportunity Name

  	
   

  
	
  Stage: Closed Lost (1 record)

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  10,000.00

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  8/16/2005

  	
   

  	
  4/21/2005

  	
   

  	
  ABC Corp.

  	
   

  	
  IL

  	
   

  	
  $

  	
  10,000

  	
   

  	
  $

  	
  10,000.00

  	
   

  	
  John Smith

  	
   

  	
  ABC Corp. - SUN -
  238801

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Stage: Proposal/Price Quote (1 record)

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  15,000.00

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  10/13/2005

  	
   

  	
  10/13/2005

  	
   

  	
  XYZ Corp.

  	
   

  	
  IN

  	
   

  	
  $

  	
  15,000

  	
   

  	
  $

  	
  15,000.00

  	
   

  	
  Jane Doe

  	
   

  	
  XYZ Corp. - SUNE
  - 240331

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Stage: Closed Won (1 record)

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  20,000.00

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  8/10/2005

  	
   

  	
  7/15/2005

  	
   

  	
  123 Corp.

  	
   

  	
  NJ

  	
   

  	
  $

  	
  20,000

  	
   

  	
  $

  	
  20,000.00

  	
   

  	
  Joan Brown

  	
   

  	
  123 Corp. - SUN -
  246051

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Grand Totals (3 records)

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  45,000.00

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

 

Renewal Status - due last Month

 

Generated By:

Peter Michaelides

Intraware

8/8/2005 2:20 PM

 

 

	
  Filtered By:

  	
   

  	
   

  
	
   

  	
   

  	
  Interval: Contract
  Effective Date equals Last Month (7/1/2005 to 7/31/2005)

  
	
   

  	
   

  	
  Relationship to Opportunity:
  All opportunities

  
	
   

  	
   

  	
  Opportunity Status: Any

  
	
   

  	
   

  	
  Probability: All

  
	
   

  	
   

  	
  Owner
  Role contains Sun

  
	
   

  	
   

  	
  AND
  Type contains Renewal

  

 

	
  Contract

  	
   

  	
  Effective Date

  	
   

  	
  Close Date

  	
   

  	
  Account Name

  	
   

  	
  Account Site

  	
   

  	
  Potential Renewal Revenue

  	
   

  	
  Amount

  	
   

  	
  Opportunity Owner

  	
   

  	
  Opportunity Name

  	
   

  
	
  Stage: Closed Lost (1 record)

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  1,000.00

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  7/29/2005

  	
   

  	
  8/29/2005

  	
   

  	
  ABC Corp

  	
   

  	
  IL

  	
   

  	
  $

  	
  10,000

  	
   

  	
  $

  	
  1,000.00

  	
   

  	
  John Doe

  	
   

  	
  ABC Corp. - SUN -
  246411 

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Stage: Qualification (1 record)

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  5,000.00

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  7/24/2005

  	
   

  	
  7/24/2005

  	
   

  	
  XYZ Corp.

  	
   

  	
  FL

  	
   

  	
  $

  	
  15,000

  	
   

  	
  $

  	
  5,000.00

  	
   

  	
  Jane Doe

  	
   

  	
  XYZ Corp. - SUN -
  245621/244521 

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Stage: Proposal/Price Quote (1 record)

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  10,000.00

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  7/9/2005

  	
   

  	
  7/9/2005

  	
   

  	
  123 Corp.

  	
   

  	
  CA

  	
   

  	
  $

  	
  20,000

  	
   

  	
  $

  	
  10,000.00

  	
   

  	
  John Smith

  	
   

  	
  123 Corp. - SUN -
  245471

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Stage: Closed Won (1 record)

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  15,000.00

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  7/7/2005

  	
   

  	
  6/30/2005

  	
   

  	
  456 Corp.

  	
   

  	
  MI

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  15,000.00

  	
   

  	
  Jean Smith

  	
   

  	
  456 Corp. - SUN -
  242471 

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Grand Totals (4 records)

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  $

  	
  31,000.00

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

EXHIBIT C

 

Form of Reports

Software Spectrum Daily and
Monthly Reports

 

See
attachment.

 

 

13

 

Software Spectrum, Inc.

Intraware Customer Sell Thu Report

For Period:

Confidential

 

	
  Quote#

  	
   

  	
  Intraware

  Rep

  Name

  	
   

  	
  Customer

  Name

  	
   

  	
  Contact

  Name

  	
   

  	
  Customer
  

  PO

  	
   

  	
  Invoice

  Date

  	
   

  	
  Invoice

  Type

  	
   

  	
  Invoice

  	
   

  	
  Order

  Code

  	
   

  	
  Part

  #

  	
   

  	
  Mfr

  Product

  Code

  	
   

  	
  Product

  Description

  	
   

  	
  Units

  Sold

  	
   

  	
  Unit

  Cost

  	
   

  	
  Ext

  Cost

  	
   

  
	
  USD

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Total For:

  	
   

  	
  USD

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

	
  Unit

  Sell

  Price

  	
   

  	
  Ext

  Sales

  Amt

  	
   

  	
  Margin($)

  	
   

  	
  Margin(%)

  	
   

  	
  Shipto

  Company

  Name

  	
   

  	
  Shipto

  Dept

  	
   

  	
  Shipto

  Building

  	
   

  	
  Shipto

  Street

  	
   

  	
  Shipto

  City

  	
   

  	
  Shipto

  State

  	
   

  	
  Shipto

  Zip

  	
   

  	
  Shipto

  Country

  	
   

  	
  Bill to

  Company

  Name

  	
   

  	
  Bill to

  Dept

  	
   

  	
  Bill to

  Attn

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

 

	
  Bill to

  Building

  	
   

  	
  Bill to

  Street

  	
   

  	
  Bill to

  District

  	
   

  	
  Bill to

  City

  	
   

  	
  Bill to

  State

  	
   

  	
  Bill to

  Zip

  	
   

  	
  Bill to

  Country

  	
   

  	
  Content

  Desc

  	
   

  	
  License

  Qty

  	
   

  	
  Market

  	
   

  	
  Contract

  Level

  	
   

  	
  Contract

  Type

  	
   

  	
  Effective

  Date

  	
   

  	
  Expiration

  Date

  	
   

  	
  Ext

  CostExhibit 10.2

 

	
  

  	
   

  	
  25 Orinda Way

  Orinda,
  CA 94563

t.
  925 253 4500
f.
  925 253 4599

  
www.intraware.com

  

 

August 1, 2005

 

Peter H. Jackson

Chairman, Chief Executive
Officer and President

Intraware, Inc.

25 Orinda Way

Orinda, CA 94563

 

Dear Peter:

 

I am delighted to inform
you that the Compensation Committee has approved the following bonus plan for
you for the 2006 fiscal year.  You will
be eligible to receive a cash bonus of $150,000 if Intraware achieves certain
corporate goals with respect to:

 

1.               Intraware’s annual
revenue growth between fiscal years 2005 and 2006,

 

2.               decrease in Intraware’s
loss from operations between fiscal years 2005 and 2006,

 

3.               Intraware’s net
cash provided from operating activities in fiscal year 2006, and

 

4.               Intraware’s cash
balance at the end of fiscal year 2006, net of amounts payable as bonuses.

 

The specific dollar
amount associated with each goal will be communicated to you separately by the
Compensation Committee.

 

Any bonus will be paid
within 15 days after the issuance of the fiscal year-end audit report by
Intraware’s independent registered public accounting firm for the 2006 fiscal
year.  Any payout of a bonus is subject
to final approval by the Compensation Committee.

 

	
  Very truly yours,

  
	
   

  
	
  /s/ MELINDA ERICKS

  	
   

  
	
   

  
	
  Melinda Ericks

  
	
  Director of Human
  Resources

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00091-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00091-of-00352.parquet"}]]