Document:

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                                                                   Exhibit 10.36

                                                       MATERIAL IN THIS DOCUMENT
                                                       HAS BEEN OMITTED PURSUANT
                                             TO A CONFIDENTIAL TREATMENT REQUEST

                                 THIRD AMENDMENT
                                       TO
                          LICENSED DEPARTMENT AGREEMENT

     This Third Amendment To Licensed Department Agreement (the "Amendment"), is
entered into by and between J. C. Penney Corporation, Inc., a Delaware
corporation having its principal place of business at 6501 Legacy Drive, Plano,
Texas 75024-3698 (hereinafter "Penney"), and U. S. Vision, Inc., a Delaware
corporation, having its principal place of business at Glen Oaks Industrial
Park, P. O. Box 124, Glendora, New Jersey (hereinafter "Operator').

     WHEREAS, Penney and Operator have entered into a Licensed Department
Agreement dated February 1, 1995 (the "Agreement");

     WHEREAS, Penney and Operator amended the Agreement by an Amendment
("Amendment Number 1") to Licensed Department Agreement dated December 18, 1996
and by an Amendment No. 2 ("Amendment Number 2") to License Department Agreement
dated April 13, 1998;

     WHEREAS, Penney and Operator temporarily supplemented the Agreement by a
letter dated in December 1997 and that supplemental letter is no longer in
effect; and

     WHEREAS, in accordance with the terms of the Agreement, the parties desire
to amend the following terms and provisions of the Agreement to reflect the
current agreement of the parties;

     WHEREAS, capitalized terms not otherwise defined in this Amendment are used
as defined in the Agreement; and

     NOW THEREFORE, in consideration of the premises, and for other good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Penney and Operator hereby agree as follows:

                                    ARTICLE I

     Section 5 of the Agreement shall be deleted in its entirety and the
following Section 5 shall be substituted in its place:

          5. Hours of Operation; Relocation; Opening Costs. (a) The Operator
     agrees to sell the Merchandise in each Licensed Department and shall be
     entitled to sell the Merchandise in the Selling Space. Except as approved
     by the management of Operator and Penney, the hours of operation of the
     Licensed Departments shall be as follows (the "Standard Operating Hours"):

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          Sunday:             12:00 p.m. to 5:00 p.m., except as mutually agreed
                              by Penney and Operator or as limited by applicable
                              law requiring licensed staff coverage (provided
                              that Operator will provide Penney with written
                              notice of such limitation)

          Monday & Tuesday:   10:00 a.m. to 7:00 p.m.

          Wednesday - Friday: 10:00 a.m. to 8:00 p.m.

          Saturday:           10:00 a.m. to 6:00 p.m.

     Operator agrees to conspicuously post the Standard Operating Hours at the
     Licensed Department locations, subject to Penney's approval in writing
     (including by email) of the signage wording, design and location. Seasonal
     and permanent increases to the Standard Operating Hours will not require
     the approval of Penney, provided that such increases are consistent in all
     Licensed Departments, but the parties must agree in writing to a reduction
     in the Standard Operating Hours.

          (b) In each of Penney's fiscal years during the term of this
     Agreement, Operator agrees to spend at least $[CONFIDENTIAL] (or a pro rata
     portion of such amount in the event the term of this Agreement includes
     only a portion of such fiscal years) on opening new Licensed Departments or
     in relocating or refurbishing existing Licensed Departments,. Operator
     agrees that its expenditure of such funds is not conditioned on the
     expenditure by Penney of funds for construction or other costs related to
     the opening, relocating or refurbishing of Licensed Departments. For the
     avoidance of doubt, it is understood that, notwithstanding past practice or
     anything in this Agreement to the contrary, there may be instances where
     Operator is responsible for all costs associated with the opening,
     relocation or refurbishment of individual Licensed Departments, including,
     without limitation, construction costs, paint, wallcoverings, carpet,
     partitions, light fixtures, electrical wiring, plumbing work and fixtures,
     and heating, ventilation and air conditioning. Operator and Penney agree to
     establish an annual spending plan for new openings, relocations and
     refurbishments prior to the beginning of each of Penney's fiscal years,
     subject to such modifications as the parties agree upon, in writing, from
     time to time during each such fiscal year.

          (c) Penney may, upon not less than 60 days prior written notice to the
     Operator, relocate a Licensed Department to a different space in a Store;
     provided, however, that the Operator may terminate this Agreement as to an
     individual Licensed Department effective as of the date specified for its
     relocation by giving to Penney written notice of its election to terminate
     as to that individual Licensed Department, which notice shall be

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     given within 14 days from Operator's receipt of Penney's notice of
     relocation.

                                   ARTICLE II

     Section 6 of the Agreement shall be amended by the addition of the
following provision at the end of the current section 6:

     If Operator enters into a licensed department agreement or an arrangement
     similar to this Agreement with another Chain Retailer (as defined below)
     for the operation of optical departments and such arrangement provides for
     more favorable terms and conditions relating to the amount and payment of
     license fees, then Operator agrees to notify Penney of such terms and
     conditions and agrees to promptly amend this Agreement, if Penney so
     requests, to include the more favorable terms and conditions relating to
     the amount and payment of license fees. For the purposes of this paragraph,
     a "Chain Retailer" means a national chain of department stores or large
     chain of discount stores such as Kmart, Target or Sam's Club.

                                   ARTICLE III

          Section 8 of the Agreement is hereby amended to provide that the
amount that Operator shall expend on advertising shall increase from an amount
not less than [CONFIDENTIAL] to an amount not less than [CONFIDENTIAL] of Net
Sales.

                                   ARTICLE IV

          Section 20 of the Agreement is amended to provide that the term of the
license shall expire on December 1, 2007. Section 20 also may grant Penney the
right to approve or disapprove of the consummation of the Kayak Transaction
(defined below) and in connection with any such right, Penney hereby consents to
the Kayak Transaction. The consent provided in this paragraph is subject to (a)
Penney not having delivered the Refusal Notice (defined below), (b) the Kayak
Transaction not changing substantially from the transaction described in the
preliminary proxy statement filed with the U. S. Securities & Exchange
Commission, and (c) consummation of the Kayak Transaction on or before October
31, 2002.

                                    ARTICLE V

     Schedule A to the Agreement is hereby amended as follows:

     (a) Paragraph 2 of Schedule A to the Agreement shall be deleted in its
     entirety and the following Paragraph 2 shall be substituted in its place:

          2.   Merchandise: (list products and/or services sold in Licensed
               Department)

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               Optical products and services, including the sale of contact
          lenses, prescription sunglasses, optical goods and supplies and the
          taking of orders for and repair of the same, and such other
          merchandise as may be mutually agreed upon. The Merchandise will be
          similar to merchandise carried by competitors of Operator (where
          permitted by the applicable vendor and designer) and will be
          competitively priced. Operator will update Merchandise product lines
          each year and will provide additional Merchandise offerings as they
          become available.

     (b) Paragraph 5 of Schedule A to the Agreement shall be deleted in its
     entirety and the following Paragraph 5 shall be substituted in its place:

          5.   License fees:

               Percentage of cash Net Sales, excluding doctors' fees received in
               cash by doctors within a Licensed Department: [CONFIDENTIAL]

               Percentage of credit Net Sales, excluding doctors' fees received
               by doctors within a Licensed Department: [CONFIDENTIAL]

               Percentage of doctors' fees received through credit card sales by
               doctors within a Licensed Department: [CONFIDENTIAL]

               Percentage of Net Sales, excluding shipping, from orders for
               products placed through the Optical Website shall be at a
               percentage to be agreed to by the parties before any product
               offerings are placed on the Optical Website for sale.

                                   ARTICLE VI

     The parties agree to the following clarification of Amendment Number 1 to
the Agreement

          a.   The last sentence of subsection 20(b) of the Agreement, as
               amended by section 3 of Amendment Number 1, is hereby deleted in
               its entirety and the following sentence is substituted in its
               place:

                    Penney agrees to pay Operator for the costs of the fixtures
                    and equipment for each Licensed Department terminated by
                    Penney

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                    pursuant to this subsection 20(b), using the lesser amount
                    of either the actual costs of such fixtures and equipment or
                    a cost basis of twenty thousand dollars ($20,000) less
                    accumulated depreciation which shall be calculated on a
                    straight line ten (10) year basis.

          b.   A line was inadvertently dropped at the end of page 2. Therefore
               the last sentence of subsection 20(c) of the Agreement, as
               amended by section 3 of Amendment Number 1, is deleted in its
               entirety and the following sentence is substituted in its place:

                    At Penney's option, this Agreement will terminate
                    automatically thirty (30) days after a transfer or sale of a
                    majority of the stock or assets of Operator unless (i) such
                    sale of stock is by the Operator for cash in connection with
                    a public stock offering registered with the U. S. Securities
                    & Exchange Commission, or (ii) Operator obtains the advance
                    written consent of Penney for such sale of stock or assets,
                    which consent may be withheld or granted in Penney's sole
                    discretion.

          c.   Notwithstanding the provisions of subsection 20(b) of the
               Agreement, as amended by section 3 of Amendment Number 1,
               Operator shall not be entitled to terminate the Agreement with
               respect to more than 20 individual Licensed Departments without
               cause during any Penney fiscal year and provided further that
               (unless otherwise agreed in writing by Penney) the actual closing
               of such 20 Licensed Departments may only occur during the last 10
               days of January of each then current Penney fiscal year.

                                   ARTICLE VII

     Section 17 of the Agreement is hereby amended, effective at the closing of
the Kayak Transaction (as defined below), by deleting that section in its
entirety and substituting the following in its place:

               17. Insurance. Operator warrants and represents that, at all
     times, it shall maintain, at its sole expense, insurance of the following
     kinds and amounts, or in the amounts required by law, whichever is greater:

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     Workers Compensation Insurance:

     Worker's Compensation and Employer's Liability Insurance affording
     protection under the Worker's Compensation Law of the state in which work
     is to be performed, or containing an all-states endorsement, and Employer's
     Liability protection subject to a limit of not less than $500,000.

     General Liability Insurance:

     Commercial general liability insurance written on an occurrence basis in
     amounts not less than

<TABLE>
<CAPTION>
BODILY INJURY                 PROPERTY DAMAGE
-------------                 ---------------
<S>                           <C>
$2 million per person         $2 million per occurrence
$2 million annual aggregate   $2 million annual aggregate
</Table>

     This insurance shall include (a) products and completed operations
     liability coverage, (b) contractual liability coverage for the liabilities
     assumed by Operator under this Agreement, including but not limited to
     section 19 of this Agreement, and (c) coverage for property in the care,
     custody or control of Operator.

     This insurance shall (i) name Penney as an additional insured, including
     without limitation, as an insured with respect to third party claims or
     actions brought directly against Penney or against Penney and Operator as
     co-defendants and arising out of this Agreement, (ii) be such that,
     although Penney is named an insured, Penney shall nonetheless be entitled
     to recovery for any loss suffered by Penney as a result of Operator's
     negligence, (iii) be written as a primary policy not contributing with any
     other coverage which Penney may carry, and (iv) be renewed annually, while
     doing business with Penney, and for the period of five (5) years after
     cessation of business with Penney.

     Professional Liability Insurance:

     Professional Liability Insurance covering the professional services
     provided by Operator, its employees and agents, in an amount not less that
     $5,000,000 per occurrence. This insurance shall be renewed annually, while
     doing business with Penney, and for the period of five (5) years after
     cessation of business with Penney. Independent doctors of optometry located
     in or adjacent to Licensed Departments shall be required to have
     professional liability insurance with limits of not less than $1,000,000 in
     the aggregate.

     Automobile Liability Insurance:
     Liability insurance in amounts not less than:

<TABLE>
<CAPTION>
BODILY INJURY               PROPERTY DAMAGE
-------------               ---------------
<S>                         <C>
$1 million per person       $1 million per occurrence
$2 million per occurrence
</Table>

     CRIME INSURANCE:

     Crime insurance in an amount not less than $3 million per occurrence.

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<PAGE>

     OTHER:

     All insurance policies required to be maintained under this Agreement shall
     be procured from insurance companies rated at least A-VIII or better by the
     then current edition of Best's Insurance Reports published by A.M. Best Co.
     Operator shall provide Penney with certificates of insurance evidencing the
     required coverage concurrently with the execution of this Agreement and
     upon each renewal of such policies thereafter, including a clause that
     obligates the insurer to give Penney at least thirty (30) days prior
     written notice of any material change or cancellation of such policies.

     This section shall in no way affect the indemnification, remedy or warranty
     provisions set forth in this Agreement. Further, if any work provided for
     or to be performed under this Agreement is subcontracted by Operator, the
     subcontractor(s) shall maintain and furnish satisfactory evidence of
     Worker's Compensation, Employer's Liability and such other forms and
     amounts of insurance which Operator deems reasonably adequate.

                                  ARTICLE VIII

     In addition to the provisions of Amendment Number 2, the parties agree as
follows with respect to the Penney optical website located at
www.jcpenneyoptical.com, www.jcpeyes.com or any other domain name containing
Trademarks of Penney or Trademark used by Operator in connection with the
advertising and sale of Merchandise under the Agreement ("Optical Website"):

     a.   The Merchandise listed on the Optical Website and such Optical Website
          itself shall be updated by Operator at least annually.

     b.   All information gathered from the Optical Website shall be subject to
          the provisions of section 15 of the Agreement relating to ownership,
          confidentiality and use of customer names and other information
          related to the operation of the Licensed Departments.

     c.   Prior to November 30, 2002, Operator shall adopt and abide by a
          privacy policy regarding the use of information gathered from the
          Optical Website and such policy shall be substantially the same as
          Penney's website privacy policy or contain such other terms as are
          approved by Penney.

                                   ARTICLE IX

     Except as expressly modified by this Amendment, all terms and conditions of
the Agreement, as previously amended by Amendment Number 1 and Amendment Number
2, shall remain in full force and effect.

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<PAGE>

                                    ARTICLE X

     This Amendment shall become effective if, and only if, all of the following
conditions are satisfied on or before October 31, 2002:

          a.   In connection with the proposed merger of Operator with Kayak
               Acquisition Corp., a corporation formed and owned by George E.
               Norcross III, Philip A. Norcross, Joseph J. Roberts, Jr. and
               William A. Schwartz, which has previously been publicly announced
               and as to which a preliminary proxy statement has been filed with
               the US Securities & Exchange Commission ("Kayak Transaction"),
               the pro forma balance sheet of Operator assuming that the
               proposed transaction is completed has been delivered to Penney
               including the identity of the proposed senior lender to the
               Operator following the Kayak Transaction ("Pro Forma Balance
               Sheet");

          b.   Penney has not advised Operator in writing within 10 days of
               Penney's receipt of the Pro Forma Balance Sheet that the
               structure is not acceptable to Penney on the grounds it is too
               highly leveraged ("Refusal Notice").

          c.   The Kayak Transaction has been consummated.

     IN WITNESS WHEREOF, the parties have caused this Third Amendment to
Licensed Department Agreement to be executed as of the 30 day of September 2002.

U. S. VISION, INC.                      J. C. PENNEY CORPORATION, INC.

By: /s/ William A. Schwartz, Jr.        By: /s/ Frank V. Cassara
    ---------------------------------       ------------------------------------
    William A. Schwartz, Chief          Name: Frank V. Cassara, Vice President
    Executive Officer and Chairman of   Its: Director of Store Operations
    the Board

                                       8<PAGE>

                                                                   Exhibit 10.37

                                                       MATERIAL IN THIS DOCUMENT
                                                       HAS BEEN OMITTED PURSUANT
                                             TO A CONFIDENTIAL TREATMENT REQUEST

                                FOURTH AMENDMENT
                                       TO
                          LICENSED DEPARTMENT AGREEMENT

     This Fourth Amendment To Licensed Department Agreement (the "Amendment"),
is entered into by and between J. C. Penney Corporation, Inc., a Delaware
corporation having its principal place of business at 6501 Legacy Drive, Plano,
Texas 75024-3698 (hereinafter "Penney"), and U. S. Vision, Inc., a Delaware
corporation, having its principal place of business at Glen Oaks Industrial
Park, P. O. Box 124, Glendora, New Jersey (hereinafter "Operator").

     WHEREAS, Penney and Operator have entered into a Licensed Department
Agreement, dated February 1, 1995 (the "Agreement");

     WHEREAS, Penney and Operator amended the Agreement by an Amendment
("Amendment Number 1") to Licensed Department Agreement, dated December 18,
1996, by an Amendment No. 2 ("Amendment Number 2") to License Department
Agreement, dated April 13, 1998, and by a Third Amendment to License Agreement
("Amendment Number 3"), dated as of September 30, 2002;

     WHEREAS, Penney and Operator temporarily supplemented the Agreement by a
letter, dated December 18, 1997, and that supplemental letter is no longer in
effect; and

     WHEREAS, in accordance with the terms of the Agreement, the parties desire
to amend the following terms and provisions of the Agreement to reflect the
current agreement of the parties;

     WHEREAS, capitalized terms not otherwise defined in this Amendment are used
as defined in the Agreement; and

     NOW THEREFORE, in consideration of the premises, and for other good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Penney and Operator hereby agree as follows:

                                    ARTICLE I

          Section 6 of the Agreement, as amended, shall be amended by deleting
the text of Section 6 in its entirety and replacing it with the following:

          The Operator shall pay to Penney a license fee for each Licensed
          Department to be determined by applying to Net Sales on a cash and
          credit basis, respectively, the percentages for cash Net Sales and for
          credit Net Sales set forth in the attached Schedule A. If Operator
          enters into a licensed department agreement or an arrangement similar
          to this Agreement with another Chain Retailer (as defined below) for
          the operation of optical departments and such arrangement provides for
          more favorable terms and conditions

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          relating to the amount and payment of license fees, then Operator
          agrees to notify Penney of such terms and conditions and agrees to
          promptly amend this Agreement, if Penney so requests, to include the
          more favorable terms and conditions relating to the amount and payment
          of license fees. For the purposes of this paragraph, a "Chain
          Retailer" means a national chain of department stores or large chain
          of discount stores such as Kmart, Target or Sam's Club.
          Notwithstanding the foregoing, in the event that Operator or any
          Affiliate of Operator acquires (by stock or asset purchase) a then
          existing chain of retail optical stores or then existing licensed
          optical departments with more than 50 locations, then (a) for the
          fiscal year of Operator during which such acquisitions occurs, the
          total aggregate license fees payable by Operator under this Agreement
          for such fiscal year shall in no event be less than the sum of (i) the
          actual license fees paid for the period prior to the acquisition; and
          (ii) a prorated portion of the Adjusted Minimum License Fee based upon
          the period remaining in such fiscal year after the acquisition; and
          (b) for each full fiscal year of Operator ending on January 31st
          thereafter the total aggregate license fee payable by Operator under
          this Agreement for each such fiscal year shall in no event be less
          than the Adjusted Minimum License Fee. For the purpose of this
          Agreement, "Adjusted Minimum License Fee" shall mean [CONFIDENTIAL],
          provided that such amount shall be reduced by the amount of any
          license fees allocable to a Closed Licensed Department for the period
          of 12 months immediately prior to the closure of such department. A
          "Closed Licensed Department" is an optical department, which Penney
          elects to close after the date of this Amendment. "Affiliate" of
          Operator means Palisade Concentrated Equity Partnership L.P. or
          Operator, and each corporation, partnership, joint venture, limited
          liability company, fund or other person or entity that is controlled
          by Operator or Palisade Concentrated Equity Partnership L.P.,
          including without limitation Opticare Health Systems, Inc.

                                   ARTICLE II

          Section 20(a) of the Agreement, as amended, shall be amended by
deleting the text of Section 20(a) in its entirety and replacing it with the
following:

          This Agreement shall become effective as of the date first above
          written, and as subsequently amended as of the dates of any
          amendments, including the Fourth Amendment to License Department
          Agreement, and shall expire on December 1, 2007, unless sooner
          terminated as provided in this Agreement; provided, however, that
          Penney and Operator (if such party is not then in default under this
          Agreement) shall each have an option to extend the term of this
          Agreement beyond the December 1, 2007 expiration date for a single
          additional renewal term commencing on December 1, 2007 and expiring on
          December 1, 2010; provided, further, that this Agreement, unless
          otherwise amended in accordance with the terms of this Agreement,
          shall contain the same terms and conditions as are in effect prior to
          such renewal. Either party may exercise its renewal option right as
          provided herein by

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          giving the other party written notice of its election to exercise such
          renewal option at any time prior to September 1, 2007. For the
          avoidance of doubt, nothing in the foregoing provision affects any
          right either party may possess under this Agreement to terminate the
          Agreement as to all or any Licensed Departments.

                                   ARTICLE III

          The last sentence of Section 20(c) of the Agreement, as amended, is
modified and amended only by the addition of the following underlined language,
such that the last sentence of Section 20(c) of the Agreement, as amended, now
reads as follows:

          At Penney's option, this Agreement will terminate automatically thirty
          (30) days after a transfer or sale of a majority of the stock or
          assets of Operator unless (i) such [transfer or sale of stock or
          assets is to Palisade Concentrated Equity Partnership, L.P., or any of
          its affiliated funds, provided that transfer or sale of stock or
          assets is consummated not later than 60 days from the effective date
          of this Amendment,]* or such sale of stock is by the Operator for cash
          in connection with a public stock offering registered with the U. S.
          Securities & Exchange Commission, or (ii) Operator obtains the advance
          written consent of Penney for such sale of stock or assets, which
          consent may be withheld or granted in Penney's sole discretion.

                                   ARTICLE IV

     Except as expressly modified by this Amendment, all terms and conditions of
the Agreement, as previously amended by Amendment Number 1, Amendment Number 2,
and Amendment Number 3, shall remain in full force and effect.

     IN WITNESS WHEREOF, the parties have caused this Fourth Amendment to
Licensed Department Agreement to be executed as of the 22nd day of May 2003.

U. S. VISION, INC.                      J. C. PENNEY CORPORATION, INC.

By: /s/ William A. Schwartz             By: /s/ Frank V. Cassara
    ---------------------------------       ------------------------------------
Name: William A. Schwartz               Name: Frank V. Cassara
Title: Chief Executive Officer          Title: Vice President, Director of Store
       and Chairman of the Board               Operations

* Brackets denote text which is underlined in the original agreement.

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