Document:

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________________________________________________________________________________

Exhibit 10.3  CD-U Agreement between iOra Limited, IQROM Communications, Inc.
and IQROM Limited dated June 23, 2000

                           DATED       23rd JUNE 2000

                                (1) IORA LIMITED

                                      and

                  (2) IQROM COMMUNICATIONS INC & IQROM LIMITED

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                                 CD-U AGREEMENT

    ------------------------------------------------------------------------

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________________________________________________________________________________

THIS AGREEMENT is made the 23rd day of June 2000

BETWEEN:

(1)  IORA LIMITED (Company No.3445693) whose registered office is situated at 1a
     Intec 2, Intec Business Park, Wade Road, Basingstoke, Hampshire RG24 8NE
     (the "Supplier");

(2)  IQROM COMMUNICATIONS INC (on its own behalf and, for the purposes of and
     subject to Clause 2.4, on behalf of IQROM LIMITED) whose principal office
     is situated at 7635 Ashley Park Ct, Suite 503-V, Orlando, Florida, 32835
     ("Distributor").

WHEREAS

(A)  The Distributor and Supplier have previously entered into:

     (i)  an OEM CD Smart Card Agreement dated 29 June 1999 (as supplemented by
          a Supplemental Agreement dated 4 April 2000) ("SmartCard Agreement"),
          and
     (ii) a Value Added Reseller Agreement dated 4 April 2000 ("VAR Agreement")
          covering iOra's products "SoftCD and "Mobile Intranet".

(B)  The parties have agreed to enter into this Agreement to provide Distributor
     with further rights in respect of SoftCD and to supersede the VAR Agreement
     in respect of rights to SoftCD.

(C)  This Agreement does not affect the SmartCard Agreement and the rights and
     obligations on the parties in respect of CD Smart Cards shall remain as set
     out in the SmartCard Agreement.

NOW IT IS HEREBY AGREED as follows:

1.       DEFINITIONS

         In this Agreement the following words and expressions shall have the
         following meanings:

         1.1    "CD Business        means a storage product whose physical
                Card"               size is similar to a business card
                                    measuring up to 3.5" by 2.5" manufactured
                                    utilising CD technology or DVD technology;

         1.2    "CD-U"              shall mean any storage product which
                                    utilizes CD technology or DVD technology,
                                    excluding a CD Business Card, which either-

                                    (i) contains a copy of the iOra Client
                                    whose purpose is to allow any part of the
                                    content of the storage to be updateable by
                                    an iOra SoftCD Publisher (excluding CDs
                                    which contain a copy of iOra Client
                                    Software which are being used for any
                                    non-SoftCD product e.g. iOra Mobile
                                    Intranet) or

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                                    (ii) contains a SoftCD Publication (for the
                                    avoidance of doubt such definition of CD-U
                                    not including other products developed by
                                    the Supplier which can hold content on a CD
                                    without the file system on the CD being
                                    itself updateable);

         1.3    "Commencement       means 1 July 2000;
                Date"

         1.4    "End User"          means a customer or prospective customer for
                                    the CD-U who purchases the CD-U for use
                                    other than for resale including without
                                    limit for promotional purposes and shall
                                    include recipients of the CD-U authorized by
                                    such customer to use the CD-U;

         1.5    "Exclusivity"       means the restrictions accepted by the
                                    Licensee under Clauses 4.1(i) and (ii) and
                                    "Exclusive" shall be construed accordingly;

         1.6    "High Risk          means systems in high risk environments
                Systems"            requiring fail-safe performance (such as
                                    nuclear facilities, aircraft navigation or
                                    communication systems, air traffic control,
                                    direct life support machines, or weapons
                                    systems), in which the failure of the
                                    Products could lead directly to death,
                                    personal injury, or severe physical or
                                    environmental damage;

         1.7    "Intellectual       means patents, trade marks, service marks,
                Property Rights"    registered designs, applications for any of
                                    the foregoing, copyright, design rights,
                                    know-how, confidential information, trade
                                    and business names and any other similar
                                    protected rights in any country;

         1.8    "IQROM Group        means any holding company of IQROM and any
                Company"            subsidiary of IQROM or such holding company
                                    ("holding company" and "subsidiary" having
                                    the meaning set out in section 736 of the
                                    Companies Act 1985 (as amended) );

         1.9    "IQROM              means IQROM Limited (Company No 03732349),
                Limited"            formerly DXP New Media Services Limited;

         1.10   "Products"          means CD-U and/or SoftCD;

         1.11   "Regional           means the royalty targets for sales of the
                 Targets"           Products and CD Business Cards specified in
                                    Schedule 1 in relation to each Region;

         1.12   "Regions"           means the world regions set out in Schedule
                                    1 in relation to which royalty targets are
                                    set;

         1.13   "SoftCD             means any additional features that are not
                Additional          part of the existing SoftCD 3.1 and for
                Features"           which a separate charge is made;

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         1.14   "SoftCD             mean a set of files that represent the
                Amendments"         differences between two versions of a SoftCD
                                    Publication with different content, produced
                                    by iOra SoftCD Publisher;

         1.15   "SoftCD             means a CD or a file or directory thereon,
                Publication"        which is updated using SoftCD;

         1.16   "SoftCD"            means the software product known as iOra
                                    SoftCD developed and distributed by the
                                    Supplier, including the software known as -
                                    (i) "iOra SoftCD Publisher", and (ii) iOra
                                    Client" (as used with SoftCD Publisher);

         1.17   "Sub-License"       means the form of agreement which grants the
                                    End User the right and license to use the
                                    iOra Client, as incorporated within the
                                    version for the time being of iOra Client;

         1.18   "Template VAR       means the VAR Agreement annexed hereto in
                Agreement"          Appendix A;

         1.19   "Territory"         means the world;

         1.20   "Year"              means any period of 12 months commencing on
                                    the Commencement Date or any anniversary of
                                    the Commencement Date.

2.       GRANT OF RIGHTS

         2.1      Rights granted
                  The Supplier grants to the Distributor the following Exclusive
                  rights (subject to Clauses 4.1, 4.4 and the other provisions
                  hereof):

                  (i)   the right to manufacture or have manufactured CD-Us
                        using and incorporating SoftCD;

                  (ii)  the right to market, sell and deliver CD-Us subject to
                        the provisions hereof and on the terms of the
                        Sub-License;

                  (iii) the right (subject to Clause 4.4.1) to appoint VARs
                        for CD-Us subject to a VAR agreement which -

                        a) shall contain provisions relating to SoftCD
                           substantially in the form of the Template VAR
                           Agreement unless otherwise agreed in writing by
                           the Supplier, and

                        b) shall be for a period which does not exceed three (3)
                           years, and in any event shall not be of a duration
                           which extends beyond the term of this Agreement as
                           set out in Clause 3, (but for the avoidance of doubt
                           the Distributor will not have rights to sign up VARs
                           to resell any of the Supplier's products other than
                           SoftCD);

                   (iv) the right to copy and distribute copies of SoftCD
                        Client to End Users on the terms of the Sub-License;

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________________________________________________________________________________

                    (v)   the right to grant sub-licenses to End Users in the
                          Territory on the terms of the Sub-License;

                    (vi)  the right itself to use SoftCD Publisher for the
                          purpose of producing an unlimited number of SoftCD
                          Amendments to an unlimited number of SoftCD
                          Publications which have been produced on CD-Us
                          pursuant to the terms of this Agreement for or on
                          behalf of End Users, (such amendments being
                          distributable to those to whom CD-Us have been
                          distributed under the terms of this Agreement, but not
                          otherwise);

                    (vii) the right to market, sell and deliver copies of SoftCD
                          Publisher for use subject to the Supplier's standard
                          license.

                  and  for the avoidance of doubt any right to market shall
                  include a right to demonstrate.

         2.2      Group Companies
                  The Distributor shall be entitled to exercise the rights
                  granted under this Agreement through IQROM Group Companies
                  PROVIDED THAT:

                  (i)  each IQROM Group Company complies with the provisions of
                       this Agreement;

                  (ii) the Distributor notifies the Supplier prior to any such
                       exercise, and each such IQROM Group Company executes a
                       deed of Adherence to the obligations in this Agreement if
                       requested by the Supplier prior to such use.

         2.3      Source code
                  The Supplier shall at the Distributor's request enter into a
                  Source Code Escrow Agreement in respect of SoftCD in the
                  standard form of the National Computing Centre as attached in
                  Appendix B subject to the Distributor paying the National
                  Computing Centre's fees in respect thereof.

         2.4      Amendment to VAR Agreement

                  2.4.1  The parties agree that the VAR Agreement shall be
                         amended such that as from the date of this Agreement it
                         shall apply only to the "Mobile Intranet" product and
                         the Distributor's rights to SoftCD under that agreement
                         shall be superseded and replaced by its rights to
                         SoftCD under this Agreement (this being an amendment to
                         the VAR Agreement agreed to have been made in
                         accordance with clause 18.7 of the VAR Agreement).

                  2.4.2  IQROM LIMITED are made a party to this Agreement solely
                         to record their agreement to the variation of the VAR
                         Agreement (in consideration of the grant of rights to
                         their parent company IQROM COMMUNICATIONS INC including
                         as set out in Clause 2.3) as set out in Clause 2.4.1.

3.       *

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*Confidential treatment has been requested for certain portions of this document
 pursuant to an application for confidential treatment sent to the Securities
 and Exchange Commission. Such portions are omitted from this filing and are
 filed separately with the Securities and Exchange Commission.

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4.       EXCLUSIVITY, REVERSE COMMISSION & TARGETS

         4.1      Exclusivity
                  The Supplier undertakes that:

                  (i)   it will not enter into any agreement or arrangement for
                        the sale and/or licensing of SoftCD by third parties for
                        the duration of this Agreement except as agreed in
                        4.1(ii) or as permitted under Clause 4.3;

                  (ii)  the companies -
                        a) which are existing VARs of the Supplier,  and

                        b) with which the Supplier will sign agreements within
                           first three months of this Agreement
                        (all as listed in Schedule 2) ("Existing VARs"), will
                        continue to be VARs of the Supplier for the duration of
                        their VAR agreement which in all cases will terminate at
                        the latest by 15 months after the Commencement Date;

                  (iii) at the end of the Existing VARs' agreements the Supplier
                        will not be able to re-sign these VARs unless:

                        a) agreed in writing with the Distributor; or

                        b) the Existing VARs have

                           1) met their revenue targets under the relevant
                              agreement with the Supplier, and
                           2) are not appointed as VARs by the Distributor
                              pursuant to clause 2.1(iii).
                              in which case the Supplier shall be entitled to
                              re-appoint such VARs on substantially the same
                              terms as before, for a period of one year (at the
                              end of which this Clause 4.1(iii) shall apply
                              again).

         4.2      Reverse commission
                  In consideration for the Distributor's performance of its
                  obligations in Clause 8.1 and compliance with its general
                  obligations under this Agreement:

                  (i)  the Supplier will retain *% of all direct revenues or
                       Existing VARs' revenues from any orders for the Products
                       placed for an initial period of three months from the
                       Commencement Date;

                  (ii) the Distributor will receive *% commission for all direct
                       revenues or Existing VARs' revenues received by the
                       Supplier(net) from any orders for the Products placed by
                       customers (and where the Distributor is promoting the
                       Products in accordance with Clause 8.1(i) ) for the
                       period from the end of the third month up to the end of
                       the twelfth month from the Commencement Date;

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*Confidential treatment has been requested for certain portions of this document
 pursuant to an application for confidential treatment sent to the Securities
 and Exchange Commission. Such portions are omitted from this filing and are
 filed separately with the Securities and Exchange Commission.

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________________________________________________________________________________

                  (iii) the Supplier will not be required to pay commission
                        on the first $* of direct revenues under orders placed
                        by customers located in the USA and Canada between the
                        1st October 2000 and the 31st December 2000;

                  (iv)  the Distributor will receive -

                        a) *% commission for all direct revenues or Existing
                           VARs' revenues received by the Supplier (net) from
                           any orders for SoftCD Additional Features from
                           customers located in Regions where the Distributor
                           retains the Exclusivity (and where the Distributor is
                           promoting the Products in accordance with Clause
                           8.1(i) ); and

                        b) *% commission for all other direct revenues or
                           Existing VARs' revenues received by the Supplier
                           (net) for the Products placed by customers located in
                           Regions where the Distributor retains the
                           Exclusivity(and where the Distributor is promoting
                           the Products in accordance with Clause 8.1(i) );

                        for the period from the end of the twelfth month from
                        the Commencement Date up to the end of this Agreement;

         4.3      Non-branded units
                  If the Distributor decides to physically or electronically
                  brand the media used for CD-Us then the Supplier will not
                  directly supply CD-Us which are not so branded to its Existing
                  VARs or direct customers (unless a) required to do so in
                  writing by an existing VAR or direct customer and b) the
                  Supplier supplies a copy of such request to the Distributor)
                  from a date starting 90 days after the receipt of confirmation
                  in writing from the Distributor that it can produce sufficient
                  quantities of branded CD-Us at an additional cost that is no
                  greater than (pound)* extra per CD-U to the end customer,
                  PROVIDED THAT the Distributor can and does produce sufficient
                  quantities.

         4.4      *

         4.5      Existing VARs in non-exclusive Regions
                  In the event of termination of the Distributor's rights to
                  appoint VARs in a Region pursuant to Clause 4.4.1, any
                  existing valid appointment of a VAR by the Distributor
                  pursuant to Clause 2.1(iii) shall continue in force for the
                  remainder of the permitted term under Clause 2.1(iii), but not
                  any longer, and provided that:

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*Confidential treatment has been requested for certain portions of this document
 pursuant to an application for confidential treatment sent to the Securities
 and Exchange Commission. Such portions are omitted from this filing and are
 filed separately with the Securities and Exchange Commission.

<PAGE>

                  4.5.1  such appointment shall be solely in accordance with the
                         provisions of the relevant agreement between the VAR
                         and the Distributor;

                  4.5.2  such appointment shall be subject to such provisions on
                         termination for failure to meet targets as are included
                         in the relevant agreement between the VAR and the
                         Distributor;

                  4.5.3  the Distributor shall enforce such provisions strictly.

         4.6      *

         4.7      *

5.       PAYMENT

         5.1      Initial payment
                  In recognition of the value of the Exclusivity the Distributor
                  shall:

                  (i)      *

                  (ii)     *

         5.2      Royalties & support fees

                  5.2.1    SoftCD Publisher
                           The Distributor shall pay to the Supplier a royalty
                           of (pound)* for every copy of iOra SoftCD Publisher
                           which has been supplied by the Supplier to the
                           Distributor:

                           (i)  for use by the Distributor whether for its own
                                purposes or for hosting SoftCD Publications for
                                third parties and each copy purchased by the
                                Distributor will entitle the Distributor to

                                a)   demonstrate SoftCD on the basis of such
                                     number of fully functional "not for resale"
                                     licenses for the Distributor's  internal
                                     use for named individuals and

----------------
*Confidential treatment has been requested for certain portions of this document
 pursuant to an application for confidential treatment sent to the Securities
 and Exchange Commission. Such portions are omitted from this filing and are
 filed separately with the Securities and Exchange Commission.

<PAGE>

                                b)   to provide hosting services on computer
                                     equipment owned or under the direct control
                                     of the Distributor for an unlimited number
                                     of SoftCD Publications;

                           (ii)  for supply by the Distributor to the
                                 Distributor's customers or to the Distributor's
                                 resellers or to any customer of the
                                 Distributor's resellers for use on a single
                                 computer such copies to be subject to a license
                                 agreement directly between the relevant user
                                 and the Supplier entitling the relevant user to
                                 support unlimited SoftCD Publications at no
                                 extra charge.

                  5.2.2    Additional features
                           The Distributor shall pay to the Supplier a royalty
                           that will be *% of the Supplier's list price for any
                           SoftCD Additional Features supplied by the Supplier
                           to the Distributor for distribution by the
                           Distributor or any of its resellers.

                  5.2.3    SoftCD Publications
                           The Distributor shall pay to the Supplier a royalty
                           that will be *% of the Distributor's list price (if
                           any) of any SoftCD Publications supplied by the
                           Supplier for distribution by the Distributor or any
                           of its resellers PROVIDED THAT the Distributor or its
                           resellers have received payments for the supplied
                           SoftCD Publications.

                           For the avoidance of doubt any prices or payments
                           relating to the provision of hosting services and/or
                           CD-Us are not subject to this clause. Only prices and
                           payments directly and identifiably for SoftCD
                           Publications which are additional to the prices and
                           payments for hosting services and/or CD-Us are
                           subject to this clause.

                  5.2.4    Support
                           The Distributor shall pay to the Supplier *% of the
                           royalty fees payable under clauses 5.2.1, 5.2.2 and
                           5.2.3 in return for the Supplier providing support to
                           the Distributor for twelve months from the delivery
                           of the relevant products in respect of such products.

                           At the end of each twelve month period this support
                           can be purchased, for a further twelve months,
                           subject to the same payment terms as would apply to
                           a new purchaser of the same products.

                  5.2.5    CD-Us
                           The Distributor shall pay to the Supplier a royalty
                           of *p in respect of every CD-U sold by the
                           Distributor or any of its resellers (for the
                           avoidance of doubt no royalty shall be payable on the
                           sale by the Distributor of CD-Us to its resellers for
                           resale by its resellers).

----------------
*Confidential treatment has been requested for certain portions of this document
 pursuant to an application for confidential treatment sent to the Securities
 and Exchange Commission. Such portions are omitted from this filing and are
 filed separately with the Securities and Exchange Commission.

<PAGE>

                  5.2.6    Encrypted CD-Us
                           The Distributor shall pay to the Supplier a royalty
                           of *p (in addition to the * payable under Clause
                           5.2.3 ) in respect of every encrypted CD-U (being a
                           CD-U containing files which have been created using
                           the encryption feature built into SoftCD Publisher)
                           sold by the Distributor or any of its resellers (for
                           the avoidance of doubt no royalty shall be payable on
                           the sale by the Distributor of CD-Us to its resellers
                           for resale by its resellers).

5.3      Reporting and payment terms

                  5.3.1    The Distributor will report to the Supplier within 21
                           days from the end of each calendar quarter (the first
                           calendar quarter commencing on the Commencement Date)
                           as to the quantity of SoftCD Publishers, SoftCD
                           Additional Features, SoftCD Publications for which a
                           charge has been made, CD-Us and Encrypted CD-Us and
                           which the Distributor or its resellers have
                           contracted to sell during the previous quarter and
                           will pay the royalties due for the said quarter
                           within a further period of 30 days.

                  5.3.2    In the event of late payment the Supplier may charge
                           interest on all sums overdue at the rate of 2 per
                           cent per month (or at the maximum amount permitted
                           under any applicable law, if less), compounded
                           monthly from the due date until payment.

6.       INSPECTION AND AUDIT

         6.1      Records

                  6.1.1    Each party shall keep complete and accurate books and
                           records with respect to this Agreement in order to
                           determine accurately the amount owed by each party to
                           the other party hereunder. Each party shall preserve
                           such records for at least two years after the
                           termination of this Agreement.

                  6.1.2    The Distributor shall also procure that each VAR
                           appointed under Clause 2.1(iii) shall keep such
                           records during the term of their appointment and for
                           at least two years after the termination of such
                           appointment.

         6.2      Inspection

                  6.2.1    Each party shall have the right during the term of
                           this Agreement and within two years thereafter, to
                           appoint a Chartered Accountant to inspect, audit and
                           take copies or extracts from such books and records
                           of the other party upon reasonable prior notice
                           during normal business hours at the other party's
                           offices for the purpose of verifying the accuracy of
                           the statements provided under this Agreement. The
                           other party agrees to provide such Chartered
                           Accountant with such assistance, co-operation and
                           further information as the Chartered Accountant may
                           reasonably require for such purpose.

----------------
*Confidential treatment has been requested for certain portions of this document
 pursuant to an application for confidential treatment sent to the Securities
 and Exchange Commission. Such portions are omitted from this filing and are
 filed separately with the Securities and Exchange Commission.

<PAGE>

________________________________________________________________________________

                  6.2.2    The Distributor shall also procure that in respect of
                           each VAR appointed under Clause 2.1(iii), the
                           Supplier shall be entitled to carry out such
                           inspection and audit directly.

         6.3      Underpayment

                  6.3.1    If such inspection reveals that the other party's
                           payments were less than the amount, which should have
                           been paid, then the other party shall pay any sums
                           shown to be due together with interest thereon
                           calculated on the basis that such sums fell due on
                           the date on which they should have been declared.

                  6.3.2    In the event of an inspection revealing an error in
                           excess of 5% of the total sums accrued due during the
                           period for which such inspection and audit was made
                           the other party shall pay all the costs of such audit
                           and inspection upon receipt of an appropriate invoice
                           justifying the costs. Otherwise, the auditing party
                           will pay all the costs of the audit and inspection.

7.       TRAINING AND SUPPORT

         7.1      Training
                  The Supplier shall provide reasonable training in the use,
                  installation and maintenance of the Products for the
                  Distributor's personnel as agreed between the parties.

         7.2      End User Support The Distributor and/or its VARs shall use
                  their reasonable endeavors to provide support to End Users on
                  terms and prices to be determined by the Distributor except
                  that the Distributor's VAR's shall be free to determine their
                  own prices for support.

         7.3      Second-line support The Supplier shall provide support to the
                  Distributor in respect of SoftCD as part of the consideration
                  for the payment of royalties pursuant to Clauses 5.2.4, 5.2.5
                  and 5.2.6.

8.       DISTRIBUTOR'S OBLIGATIONS

         8.1      The Distributor shall:

                  (i)   use its reasonable endeavors to promote and extend the
                        sale of the Products throughout the Territory;

                  (ii)  at all times maintain adequate demonstration facilities
                        for the Products;

<PAGE>

                  (iii) use the Supplier's trade marks and trade names relating
                        to SoftCD only in the registered or agreed style in
                        connection with the marketing and sale of the Products;

                  (iv)  whenever CD-U, or any equivalent term, is used in the
                        Distributor's press releases, marketing collateral and
                        products the Distributor should make reasonable
                        endeavors to directly reference (where it is
                        appropriate) SoftCDTM and include acknowledgement of the
                        trademark in the form required by the Supplier and
                        reference to the Supplier's company name and website.

                  (v)   whenever SoftCD or Epsilon, or any equivalent term for
                        either, is used in the Distributor's press releases,
                        marketing collateral and products the Distributor should
                        make reasonable endeavors to directly reference SoftCDTM
                        and include acknowledgement of the trademark in the
                        form required by the Supplier and reference to the
                        Supplier's company name and website.

9.       SUPPLIER'S OBLIGATIONS

         9.1      The Supplier shall:

                  (i)   provide the Distributor with such marketing and
                        technical assistance as the Distributor may consider
                        reasonably necessary to assist the Distributor with the
                        promotion of the Products and as may reasonably be
                        required to be provided by the Supplier (provided that
                        the Supplier shall not be required to provide direct
                        support to the Distributors or its VARs End Users or to
                        directly support any marketing or joint marketing);

                  (ii)  provide second line support to the Distributor in
                        respect of the Products by telephone and email during
                        the Supplier's normal working hours;

                  (iii) answer to the Distributor as soon as reasonably
                        practicable all technical queries raised by the
                        Distributor or its customers concerning the use or
                        application of the Products;

                  (iv)  provide the Distributor with adequate quantities of
                        instruction manuals, technical and promotional
                        literature and other information relating to the
                        Products at cost;

                   (v)  provide to the Distributor for inclusion in the Products
                        any updates or enhancements to the Products;

                  (vi)  provide the Distributor promptly with all information
                        and assistance necessary to enable the Distributor
                        properly to perform its obligations hereunder in respect
                        of any such modified or enhanced versions of the
                        Products;

         9.2      The Supplier shall ensure, to the extent that it has not
                  already done so, that SoftCD is localizable for the markets
                  within each Region where the Distributor can demonstrate that
                  such work to make SoftCD localizable is reasonably necessary.

<PAGE>

________________________________________________________________________________

10.      INTELLECTUAL PROPERTY RIGHTS

         Nothing in this Agreement shall operate to transfer any
         Intellectual Property Rights in or relating to the Products.

11.      CONFIDENTIALITY AND COMPETITION

         11.1     Confidentiality obligations Neither party shall use or divulge
                  or communicate to any person (other than those whose province
                  it is to know the same or as permitted or contemplated by this
                  Agreement or with the written authority of the other party or
                  as may be required by law):

                  (i)  any confidential information concerning the products,
                       customers, business, accounts, finance or contractual
                       arrangements or other dealings, transactions or affairs
                       of the other party and its subsidiaries which may come to
                       the first party's knowledge during the continuance of
                       this Agreement; or

                  (ii) any of the terms of this Agreement; and each party shall
                       use its best endeavors (i) to prevent the unauthorized
                       publication or disclosure of any such information or
                       documents and (ii) to ensure that any person to whom such
                       information or documents are disclosed by such party is
                       aware that the same is confidential to the other party.

         11.2     Employees
                  Each party shall ensure that its employees are aware of and
                  comply with the confidentiality and non-disclosure provisions
                  contained in this Clause and shall indemnify the other party
                  against any loss or damage which the other may sustain or
                  incur as a result of any breach of confidence by any of such
                  party's employees.

         11.3     Notification of breach
                  If either party becomes aware of any breach of confidence by
                  any of its employees it shall promptly notify the other party
                  and give the other party all reasonable assistance in
                  connection with any proceedings which the other party may
                  institute against any such employees.

         11.4     Survival
                  The provisions of this Clause shall survive the termination of
                  this Agreement but the restrictions contained in Clause 11.1
                  shall cease to apply to any information which may come into
                  the public domain otherwise than through unauthorized
                  disclosure by the receiving party or its employees.

         11.5     Non-competition

                  11.5.1   The Supplier may terminate the Exclusivity in all
                           Regions on three (3) months' written notice to the
                           Distributor if the Distributor markets or sells
                           CD-Us, which incorporate software with a similar
                           purpose, which compete with SoftCD whether developed
                           by the Distributor or a third party unrelated to the
                           Supplier. Upon the expiration of such notice this
                           Agreement shall continue in full force and effect
                           save for the Exclusivity and provisions relating
                           thereto.

<PAGE>

                  11.5.2   On termination of Exclusivity pursuant to clause
                           11.5.1, the Distributor's rights to appoint VARs
                           under Clause 2.1(iii) shall also terminate.

12.      TERMINATION

         12.1  Grounds for termination
               Notwithstanding anything else contained herein, this Agreement
               may be terminated by either party forthwith on giving notice in
               writing to the other if:

               (i)  the other party commits any material or persistent breach of
                    any term of this Agreement and (in the case of a breach
                    capable of being remedied) shall have failed, within 30 days
                    after the receipt of a request in writing from the other
                    party so to do, to remedy the breach (such request to
                    contain a warning of such party's intention to terminate);

               (ii) the other party shall have a receiver or administrative
                    receiver appointed over it or any part of its undertaking or
                    assets or shall pass a resolution for winding up (otherwise
                    than for the purpose of a bona fide scheme of solvent
                    amalgamation or reconstruction) or a court of competent
                    jurisdiction shall make an order to that effect or if the
                    other party shall enter into any voluntary arrangement with
                    its creditors or shall become subject to an administration
                    order.

         12.2     Compensation for termination Neither party shall not be
                  entitled to any compensation or indemnity (whether for loss of
                  distribution rights, goodwill or otherwise) as of right as a
                  result of the termination of this Agreement in accordance with
                  its terms.

13.      EFFECT OF TERMINATION

         On the termination of this Agreement in accordance with the
         preceding clause all the rights and obligations of the parties
         under this Agreement shall automatically terminate except:

         (i)   for such rights of action as shall have accrued prior to such
               termination and any obligations which expressly or by implication
               are intended to come into or continue in force on or after such
               termination;

         (ii)  the Distributor shall be entitled to sell any of its stocks of
               the Products which have been fully paid for and which are
               required to fulfill any unperformed contracts of the Distributor
               outstanding at the date of termination (and to that extent and
               for that purpose the provisions of this Agreement shall continue
               in effect);

         (iii) End Users who have purchased and/or received any of the Products
               prior to termination or in cases falling within clause 13(ii)
               shall be permitted to continue using The Products on the terms of
               the Sub-License and the license to the Distributor shall continue
               for this purpose only.

<PAGE>
________________________________________________________________________________

14.      *

15.      LIABILITY

         15.1     Authority
                  The Supplier warrants to the Distributor that it is entitled
                  to grant the rights granted under this Agreement and that
                  use of the Products in accordance with the Agreement will
                  not infringe the rights of any third party

         15.2.    Performance
                  The Products as supplied to the Distributor shall for a
                  period of ninety (90) days from the date of delivery to or
                  download by the Distributor ("the Warranty Period") operate
                  substantially in conformance with their accompanying
                  documentation.

                  The Distributor's sole remedy and the Supplier's sole
                  liability for breach of the warranty in this Clause 15.2
                  shall be to correct such breach or (at its option) replace
                  such copy of the Products free of charge, provided that it
                  shall only be required to do so where:

                  15.2.1.  the Products have been used at all times properly and
                           in accordance with instructions for use; and

                  15.2.2.  no alteration, modification or addition has been made
                           to the Products without the Supplier's prior written
                           consent; and

                  15.2.3.  the alleged error, malfunction or inconsistency has
                           been notified to the Supplier within the Warranty
                           Period in writing by post or fax, specifying the
                           Product and the nature of the alleged error or
                           malfunction.

         15.3.    Implied warranties
                  EXCEPT AS OTHERWISE PROVIDED IN THIS CLAUSE, THE SUPPLIER
                  MAKES NO OTHER REPRESENTATIONS OR WARRANTIES WITH RESPECT TO
                  THE PRODUCTS, AND ALL WARRANTIES AND CONDITIONS RELATING TO
                  THE PRODUCTS, EITHER EXPRESS OR IMPLIED (INCLUDING BUT NOT
                  LIMITED TO ANY IMPLIED CONDITIONS OF SATISFACTORY QUALITY OR
                  FITNESS FOR ANY PARTICULAR PURPOSE) ARE HEREBY EXCLUDED TO
                  THE FULLEST EXTENT PERMITTED BY LAW.

         15.4.    High Risk Systems
                  It is expressly acknowledged and agreed by the Distributor
                  that:

----------------
*Confidential treatment has been requested for certain portions of this document
 pursuant to an application for confidential treatment sent to the Securities
 and Exchange Commission. Such portions are omitted from this filing and are
 filed separately with the Securities and Exchange Commission.

<PAGE>

________________________________________________________________________________

                  15.4.1   the Products are not warranted to be fault-tolerant,
                           and is not intended for the design, construction,
                           maintenance, operation, control, or any other use in
                           connection with High Risk Systems, and any express or
                           implied warranty or condition of fitness for purpose
                           on connection with High Risk Systems is hereby
                           excluded to the fullest extent permitted by law;

                  15.4.2   it is not technically practicable to guarantee
                           software to be error-free, and the Supplier does not
                           guarantee or warrant the Products to be error-free.

         15.5.    Viruses
                  Although the Supplier does not warrant that the Products
                  supplied hereunder shall be free from all known viruses, it
                  has used commercially reasonable efforts to check for the most
                  commonly known viruses. The Distributor is nevertheless solely
                  responsible for virus scanning the Products.

         15.6.    Damage to property
                  Subject to Clause 15.9, the Supplier's liability in respect of
                  any loss of or damage to tangible property caused by its
                  negligence, or the negligence of its employees acting under
                  its control shall be limited to (pound)1,000,000 for each
                  event or series of connected events.

         15.7.    Other loss
                  Except as set out in Clauses 15.6 and 15.9, the Supplier's
                  liability under this Agreement, whether in contract, tort,
                  negligence or howsoever, shall be limited to the sums payable
                  by the Distributor to the Supplier under this Agreement.

         15.8.    Consequential loss
                  Notwithstanding the generality of the above, the Supplier
                  expressly excludes liability for any:

                  15.8.1   consequential loss or damage;
                  15.8.2   loss of or corruption to other software or loss of or
                           corruption to data; or
                  15.8.3   loss of anticipated savings;
                           whether arising from negligence, breach of contract
                           or howsoever.

         15.9.    Personal injury or death
                  Nothing in this Agreement shall limit or is intended to limit
                  the Supplier's liability for death or personal injury caused
                  by the negligence of the Supplier or its employees acting
                  under its control.

16.      WAIVER

         No forbearance, delay or indulgence by either party in
         enforcing the provisions of this Agreement shall prejudice
         or restrict the rights of that party nor shall any waiver of
         its rights operate as a waiver of any subsequent breach and
         no right, power or remedy herein conferred upon or reserved
         for either party is exclusive of any other right, power or
         remedy available to that party and each such right, power or
         remedy shall be cumulative.

<PAGE>

________________________________________________________________________________

17.      INDEMNITIES

         17.1     IPR indemnity
                  The Supplier shall indemnify the Distributor and keep the
                  Distributor fully and effectively indemnified against any and
                  all losses, claims, damages, costs, charges, expenses,
                  liabilities, demands, proceedings and actions which the
                  Distributor may sustain or incur or which may be brought or
                  established against it by any person and which in any case
                  arise out of or in relation to or by reason of any claim or
                  allegation that any of the Products infringes any Intellectual
                  Property Rights of any third party and which are not due to
                  the Distributor's negligence, recklessness or willful
                  misconduct or any breach of its obligations under this
                  Agreement PROVIDED THAT:

                  17.1.1   the Distributor promptly notifies the Supplier of any
                           such claim as soon as it is aware of it;

                  17.1.2   the Distributor permits the Supplier to handle and
                           defend such claim, and provides the Supplier with
                           authority to do so; and

                  17.1.3   the Distributor (at the Supplier's cost) provides the
                           Supplier with such reasonable assistance and
                           information as may reasonably be required in order to
                           handle such action.

                  The indemnity set out above shall not apply to any
                  infringement which: (i) is due solely to the combination of
                  the Products with other software or hardware not provided by
                  the Supplier; or (ii) results from use of the Products outside
                  the scope of or other than in accordance with this Agreement;
                  or (iii) results from failure by the Distributor to use any
                  amended or replacement software provided to the Distributor of
                  equal functionality and quality where the Supplier has
                  notified the Distributor of the possibility of infringement if
                  such amended or replacement software is not adopted.

                  It is acknowledged that it is the Distributor's responsibility
                  to ensure that the Products are not distributed in any
                  jurisdiction within the Territory unless it complies with
                  local laws and regulations relating to its sale and use
                  therein.

         17.2    Distributor indemnity
                  The Distributor shall indemnify the Supplier and keep the
                  Supplier fully and effectively indemnified against any and all
                  losses, claims, damages, costs, charges, expenses,
                  liabilities, demands, proceedings and actions which the
                  Supplier may sustain or incur, or which may be brought or
                  established against it by any person and which in any case
                  arise out of or in relation to or by reason of the negligence,
                  recklessness or willful misconduct of the Distributor or an
                  infringement by the Distributor of the patent rights of any
                  third party in the performance of any of its obligations or
                  the exercise of its rights under this Agreement.

         17.3     Co-operation
                  If any claim is made against either party for which
                  indemnification is sought under this Clause, the indemnified
                  party shall consult with the other and, subject to being
                  secured to its reasonable satisfaction, shall co-operate with
                  the other in relation to any reasonable request made by the
                  other in respect of such claim.

<PAGE>

________________________________________________________________________________

18.      FORCE MAJEURE
         Neither party shall be liable for any delay in performing any of its
         obligations under this Agreement if such delay is caused by
         circumstances beyond the reasonable control of the party so delaying
         and such party shall be entitled (subject to giving the other party
         full particulars of the circumstances in question and to using
         reasonable endeavors to resume full performance without avoidable
         delay) to a reasonable extension of time for the performance of such
         obligations.

19.      NOTICES
         All notices which are required to be given hereunder shall be in
         writing and shall be sent to the address of the recipient set out in
         this Agreement or such other address in England as the recipient may
         designate by notice given in accordance with the provisions of this
         Clause. Any such notice may be delivered personally or by first class
         pre-paid letter or facsimile transmission and shall be deemed to have
         been served if by hand when delivered, if by first class post 48 hours
         after posting and if by facsimile transmission when dispatched.

20.      INTERPRETATION

         20.1     In this Agreement:

                  (i)   reference to any statute or statutory provision includes
                        a reference to that statute or statutory provision as
                        from time to time amended, extended or re-enacted;

                  (ii)  words importing the singular include the plural, words
                        importing any gender include every gender and words
                        importing persons include bodies corporate and
                        unincorporated; and (in each case) vice versa;

                  (iii) any reference to a party to this Agreement includes a
                        reference to his successors in title and permitted
                        assigns;

                  (iv)  the headings to the Clauses and sub-clauses are for ease
                        of reference only and shall not affect the
                        interpretation or construction of this Agreement.

21.      GENERAL

         21.1     Entire Agreement & law
                  This Agreement constitutes the entire understanding between
                  the parties concerning the subject matter of this Agreement
                  and shall be governed by and construed in accordance with the
                  laws of England.

         21.2     Waiver
                  No waiver or amendment of any provision of this Agreement
                  shall be effective unless made by a written instrument signed
                  by both parties.

<PAGE>

________________________________________________________________________________

         21.3     Severability
                  Each provision of this Agreement shall be construed separately
                  and notwithstanding that the whole or any part of any such
                  provision may prove to be illegal or unenforceable the other
                  provisions of this Agreement and the remainder of the
                  provision in question shall continue in full force and effect.

         21.4     Assignment
                  This Agreement shall not be assigned by the Distributor
                  without the prior written consent of the Supplier (such
                  consent not to be unreasonably withheld) .

         21.5  Jurisdiction
               The parties submit to the exclusive jurisdiction of the English
               Courts but without prejudice to either party's rights to bring
               proceedings in any other jurisdiction where the other party is
               incorporated or has assets

<PAGE>

________________________________________________________________________________

SIGNED BY THE DULY AUTHORISED REPRESENTATIVES OF THE PARTIES

FOR AND ON BEHALF OF iOra LIMITED          FOR AND ON BEHALF OF IQROM
BY:                                        COMMUNICATIONS INC and IQROM
                                           LIMITED
                                           BY:

Signature: /s/ Paddy Falls                 Signature: /s/ Tom Elek
           -------------------------       ---------------------------------

Name: Paddy Falls                          Name: Tom Elek

Position: CEO                              Position: CEO

Date: 23 June 2000                         Date: 23 June 2000

<PAGE>

________________________________________________________________________________

                                   SCHEDULE 1
                           MINIMUM ROYALTY LEVELS FOR
                                  THE PRODUCTS
*

                                   SCHEDULE 2
                                 EXISTING VARS

Signed VAR agreements:
*

Pending VAR agreements:

*

----------------
*Confidential treatment has been requested for certain portions of this document
 pursuant to an application for confidential treatment sent to the Securities
 and Exchange Commission. Such portions are omitted from this filing and are
 filed separately with the Securities and Exchange Commission.

<PAGE>

________________________________________________________________________________

*

                                   APPENDIX A

                             Template VAR Agreement

                                 -see attached-

                                   APPENDIX B

                                Escrow agreement

                                  see attached

--------------------
*Confidential treatment has been requested for certain portions of this
 document pursuant to an application for confidential treatment sent to the
 Securities and Exchange Commission. Such portions are omitted from this filing
 and are filed separately with the Securities and Exchange Commission.<PAGE>   1
                                                                   Exhibit 10.22

                            INDEMNIFICATION AGREEMENT

                  This Agreement, dated as of __________, 2000, is made by and
between MCMS, Inc., a Delaware corporation (the "Company"), and
[________________], who is currently serving as an officer and/or director of
the Company (the "Indemnitee").

                  WHEREAS, the Indemnitee is currently serving in the capacity
or capacities described above;

                  WHEREAS, the Company recently filed for an initial public
offering of its common stock (the "Offering"), which will likely increase the
risk of litigation and other claims being asserted against the directors and
officers of the Company;

                  WHEREAS, prior to the Offering the Company determined that it
was in the best interests of the Company to enter into indemnification
agreements with its current officers and/or directors of the Company;

                  WHEREAS, the Company wishes the Indemnitee to continue to
serve in such capacity or capacities and the Indemnitee is willing, under
certain circumstances, to continue in such capacity or capacities;

                  WHEREAS, damages sought and sometimes paid in many claims made
against corporate directors and officers and the expenses required to defend
such claims, whether or not the allegations are meritorious, may not bear a
reasonable relationship to the amount of compensation received by and may be
beyond the financial resources of the Indemnitee;

                  WHEREAS, the Indemnitee is currently entitled to
indemnification under Delaware General Corporation Law and the Certificate of
Incorporation of the Company, which the Indemnitee does not regard to be
adequate protection against the risks associated with his service to or at the
request of the Company;

                  WHEREAS, the Indemnitee and the Company have concluded that
the exposure to risk of personal liability and payment of damages out of the
Indemnitee's personal assets may result in overly conservative direction and
supervision of the Company's affairs, which is detrimental to the best interests
of the Company and its stockholders; and

                  WHEREAS, the Company has concluded that additional protection
is necessary for its directors and elected officers.
<PAGE>   2

         NOW, THEREFORE, the parties hereto, intending to be legally bound,
hereby agree:

         1. Definitions.

         (1) Agent. For the purposes of this Agreement, "agent" of the Company
means any person who is or was a director, officer, employee, agent or fiduciary
of the Company or a subsidiary of the Company, or is or was serving at the
request of, for the convenience of, or to represent the interests of the Company
or a subsidiary of the Company as a director, officer, employee, agent or
fiduciary of another corporation, partnership, joint venture, trust or other
enterprise or entity, including service with respect to an employee benefit
plan.

         (2) Disinterested Director. For purposes of this Agreement,
"Disinterested Director" of the Company means a director of the Company who is
not and was not a party to the proceeding for which indemnification is being
sought by the claimant.

         (3) Expenses. For purposes of this Agreement, "expenses" includes all
direct and indirect costs of any type or nature whatsoever (including, without
limitation, all attorneys' fees and related disbursements, other out-of-pocket
costs and reasonable compensation for time spent by the Indemnitee for which he
is not otherwise compensated by the Company or any third party) actually and
reasonably incurred by the Indemnitee in connection with either the
investigation, defense or appeal of a proceeding or establishing or enforcing a
right to indemnification under this Agreement, Section 145 of the General
Corporation Law of Delaware or otherwise; provided, however, that expenses shall
not include any judgments, fines, excise taxes or penalties under the Employee
Retirement Income Security Act of 1974 ("ERISA"), or amounts paid in settlement
of a proceeding.

         (4) Independent Legal Counsel. For purposes of this Agreement,
"Independent Legal Counsel" means a law firm, a member of a law firm, or an
independent practitioner, that is experienced in matters of corporation law and
shall include any person who, under the applicable standards of professional
conduct then prevailing, would not have a conflict of interest in representing
either the Company or the Indemnitee in an action to determine the Indemnitee's
rights under this Agreement.

         (5) Proceeding. For the purposes of this Agreement, "proceeding" means
any threatened, pending, or completed action, suit or other proceeding, whether
civil, criminal, administrative, investigative or any other type whatsoever.

         (6) Subsidiary. For purposes of this Agreement, "subsidiary" means any
corporation, partnership, joint venture or other enterprise, a majority of whose
equity interests are owned by the Company, directly or through one or more other
subsidiaries.
<PAGE>   3
         2. Agreement to Serve. The Indemnitee agrees to serve as an agent of
the Company, at its will (or under separate agreement, if such agreement
exists), in the capacity Indemnitee currently serves as an agent of the Company,
so long as he is duly appointed or elected and qualified in accordance with the
applicable provisions of the By-Laws of the Company or any subsidiary of the
Company or until such time as he tenders his resignation in writing; provided,
however, that nothing contained in this Agreement is intended to create any
right to continued employment of the Indemnitee.

         3. Mandatory Indemnification. Subject to the limitations set forth in
Section 7, if the Indemnitee is a person who was or is a party or is threatened
to be made a party to or is involved, including involvement as a witness, in any
proceeding, including any action by or in the right of the Company, by reason of
the fact that he is or was or has agreed to become an agent, or by reason of any
action alleged to have been taken or omitted by him in any such capacity, the
Company shall indemnify the Indemnitee against all expense, liability and loss
(including but not limited to judgments, fines, ERISA excise taxes or penalties
and amounts paid or to be paid in settlement), actually and reasonably incurred
by him in connection with the investigation, defense, settlement or appeal of
such proceeding; provided, however, that except as provided in Section 7(c) of
this Agreement with respect to proceedings seeking to enforce rights to
indemnification, the Company shall indemnify the Indemnitee in connection with a
proceeding (or part thereof) initiated by the Indemnitee only if such proceeding
(or part thereof) was authorized by the Board of Directors of the Company.

         4. Mandatory Advancement of Expenses. The Company shall advance all
expenses incurred by the Indemnitee in connection with the investigation,
defense, settlement or appeal of any proceeding referred to in Section 3 to
which the Indemnitee is a party or is threatened to be made a party or with
respect to which the Indemnitee is otherwise involved (including involvement as
a witness) as an agent of the Company. The Indemnitee hereby undertakes to repay
such amounts advanced if, but only if and to the extent that, it shall
ultimately be determined pursuant to the provisions hereof that the Indemnitee
is not entitled to be indemnified by the Company as authorized hereby. The
advances to be made hereunder shall be paid by the Company to the Indemnitee
within twenty (20) days following delivery of a written request therefor by the
Indemnitee to the Company; provided, however, that, if and to the extent that
the Delaware General Corporation Law requires, an advancement of expenses
incurred by the Indemnitee in his capacity as a director or officer shall be
made only upon delivery of an undertaking by or on behalf of the Indemnitee to
repay all amounts so advanced if it shall ultimately be determined by final
judicial decision from which there is no further right to appeal that the
Indemnitee is not entitled to be indemnified for such expenses under this
Agreement or otherwise.

         5. Maintenance of D&O Insurance.
<PAGE>   4

         (1) So long as the Indemnitee shall continue to serve in any capacity
described in Section 2 and thereafter so long as there is any reasonable
possibility that the Indemnitee shall be subject to any proceeding by reason of
the fact that the Indemnitee served in any of such capacities, the Company will
use reasonable efforts to purchase and maintain in effect for the benefit of the
Indemnitee one or more valid, binding and enforceable policies of directors' and
officers' liability insurance ("D&O Insurance") providing, in all respects,
coverage and amounts as reasonably determined by the Board of Directors.

         (2) Notwithstanding Section 5(a), the Company shall not be required to
maintain D&O Insurance if such is not reasonably available or if, in the
reasonable business judgment of the Board of Directors of the Company as it may
exist from time to time, either (i) the premium cost for such insurance is
substantially disproportionate to the amount of insurance or (ii) the coverage
is so limited by exclusions that there is insufficient benefit provided by such
insurance.

         6. Notice and Other Indemnification Procedures.

         (1) Promptly after receipt by the Indemnitee of notice of the
commencement of or the threat of commencement of any proceeding, the Indemnitee
shall, if the Indemnitee believes that the indemnification with respect thereto
properly may be sought from the Company under this Agreement, notify the Company
of the commencement or threat of commencement thereof. The failure to notify or
promptly notify the Company shall not relieve the Company from any liability
which it may have to the Indemnitee otherwise than under this Agreement, and
shall relieve the Company from liability hereunder only to the extent the
Company has been prejudiced.

         (2) If, at the time of the receipt of a notice of the commencement of a
proceeding pursuant to Section 6(a), the Company has D&O Insurance in effect,
the Company shall give prompt notice of the commencement of such proceeding to
the insurers in accordance with the procedures set forth in the D&O Insurance
policy. The Company shall thereafter take all necessary or desirable action to
cause such insurers to pay, to or on behalf of the Indemnitee, all amounts
payable as a result of such proceeding in accordance with the terms of such
policy.

         (3) In the event the Company shall be obligated to pay the expenses of
the Indemnitee in connection with any proceeding, the Company shall be entitled
to assume the defense of such proceeding, with counsel approved by the
Indemnitee, upon the delivery to the Indemnitee of written notice of its
election to do so. After delivery of such notice, approval of such counsel by
the Indemnitee and the retention of such counsel by the Company, the Company
will not be liable to the Indemnitee under this Agreement for any fees of
counsel or other expenses subsequently incurred by the Indemnitee with respect
to the same proceeding; provided that (i) the Indemnitee shall have the right to
employ his own counsel in any such proceeding at the Indemnitee's expense and
(ii) if (A) the employment of counsel by the Indemnitee has been
<PAGE>   5
previously authorized by the Company, or (B) the Indemnitee shall have
reasonably concluded that there is a conflict of interest between the Company
and the Indemnitee in the conduct of any such defense, or (C) the Company shall
not, in fact, have employed counsel to assume the defense of such proceeding,
the fees and expenses of the Indemnitee's counsel shall be paid by the Company;
and provided further that the Company shall not be required to pay the expenses
of more than one such separate counsel for persons it is indemnifying in any one
proceeding.

         7. Determination of Right to Indemnification.

         (1) To the extent the Indemnitee has been successful on the merits or
otherwise in defense of any proceeding referred to in Section 3 or in the
defense of any claim, issue or matter described therein, the Company shall
indemnify the Indemnitee pursuant to Section 3 against expenses actually and
reasonably incurred by him in connection with the investigation, defense, or
appeal of such proceeding. If the Indemnitee has not been successful on the
merits or otherwise in any such defense, the Company also shall indemnify the
Indemnitee pursuant to Section 3 unless, and only to the extent that, the
Indemnitee has not met the applicable standard of conduct under the Delaware
General Corporation Law as it now exists or may hereafter be amended (but, in
the case of any such amendment, only to the extent that such amendment permits
the Company to provide broader indemnification rights than said law permitted
the Company to provide prior to such amendment).

         (2) Subject to the provisions of Section 8 relating to a Change in
Control (as defined therein), the determination as to whether the Indemnitee is
entitled to indemnification shall be made as follows: (1) if requested by the
Indemnitee, by Independent Legal Counsel selected by the Indemnitee with the
consent of the Company (which consent shall not be unreasonably withheld) or (2)
if no request is made by the Indemnitee for a determination by Independent Legal
Counsel, (i) by a quorum of the Board of Directors consisting of Disinterested
Directors or (ii) if such quorum is not obtainable or, even if obtainable, if a
quorum of Disinterested Directors so directs, by Independent Legal Counsel in a
written opinion. If Independent Legal Counsel shall make such determination, the
Company agrees to pay the reasonable fees of such counsel and to indemnify such
counsel fully against any and all expenses (including attorneys' fees), claims,
liabilities and damages arising out of or relating to this Agreement or
counsel's engagement pursuant hereto.

         (3) Notwithstanding a determination that the Indemnitee is not entitled
to indemnification with respect to a specific proceeding, the Indemnitee shall
have the right to apply to the court of Chancery of Delaware, the court in which
that proceeding is or was pending or any other court of competent jurisdiction,
for the purpose of enforcing the Indemnitee's right to indemnification or the
advance payment of expenses pursuant to this Agreement. The burden of proof
shall be on the Company in any such suit to demonstrate by the weight of the
evidence that the Indemnitee is not entitled to indemnification or
<PAGE>   6
advance payment of expenses. The Indemnitee's expenses incurred in successfully
establishing his right to indemnification or advancement of expenses, in whole
or in part, in any such action (or settlement thereof) shall be paid by the
Company.

         (4) Notwithstanding anything in Sections 3 or 4 to the contrary, the
Company shall not be liable under this Agreement to make any indemnity payment
or advancement of expenses in connection with any proceeding (i) to the extent
that payment is actually made, or for which payment is available, to or on
behalf of the Indemnitee under an insurance policy, except in respect of any
amount in excess of the limits of liability of such policy or any applicable
deductible under such policy; (ii) to the extent that payment has been or will
be made to the Indemnitee by the Company otherwise than pursuant to this
Agreement; or (iii) to the extent that there was a final adjunction by a court
of competent jurisdiction that the Indemnitee has not met the applicable
standard of conduct required to entitle the Indemnitee to indemnification under
the Delaware General Corporation Law as it now exists or may hereafter be
amended (but, in the case of any such amendment, only to the extent that such
amendment permits the Company to provide broader indemnification rights than
said law permitted the Company to provide prior to such amendment).

         8. Change In Control.

         (1) The Company agrees that if there is a Change in Control, as defined
below, of the Company (other than a Change in Control which has been approved by
a majority of the members of the Board of Directors who were directors
immediately prior to such Change in Control), then with respect to all matters
thereafter arising concerning the rights of the Indemnitee to indemnity payments
and advance payments of expenses under this Agreement, the Company shall seek
legal advice only from Independent Legal Counsel selected by the Indemnitee with
the consent of the Company (which shall not be unreasonably withheld). Such
counsel, among other things, shall render a written opinion to the Company and
the Indemnitee as to whether and to what extent the Indemnitee would be
permitted to be indemnified under this Agreement and applicable law. The Company
agrees to pay the reasonable fees of the Independent Legal Counsel and to
indemnify such counsel fully against any and all expenses (including attorneys'
fees), claims, liabilities and damages arising out of or relating to this
Agreement or counsel's engagement pursuant hereto.

         (2) Alternatively, the Indemnitee may choose to submit all matters
arising concerning his rights to indemnity payments and advance payments of
expenses under this Agreement to a panel of three arbitrators, one of whom is
selected by the Company, another of whom is selected by the Indemnitee and the
third of whom is selected by the first two arbitrators so selected. Any such
submission shall be governed by the Commercial Arbitration Rules of the American
Arbitration Association and shall be deemed to be a submission within the
meaning of the Federal Arbitration Act or any statutory modification or
re-enactments thereof. Arbitration proceedings shall take place in Delaware,
unless otherwise agreed to by the parties.
<PAGE>   7
         (3) "Change in Control" for purposes of this Agreement shall be deemed
to have occurred if (a) any "person" (as such term is used in Section 13(d) and
14(d) of the Securities Exchange Act of 1934, as amended, and the rules and
regulations thereunder), other than a trustee or other fiduciary holding
securities under an employee benefit plan of the Company or a corporation owned
directly or indirectly by the stockholders of the Company in substantially the
same proportions as their ownership of stock of the Company, is or becomes the
"beneficial owner" (as defined in Rule 13d-3 under said Act), directly or
indirectly, of securities of the Company representing 20% or more of the total
voting power represented by the Company's then outstanding voting securities,
except that a person who as of the date of this Agreement owns 20% or more of
the total voting power represented by the Company's outstanding voting
securities shall not be deemed to have caused a Change in Control, or (b) during
any period of two consecutive years, individuals who at the beginning of such
period constitute the Board of Directors and any new director whose election by
the Board of Directors or nomination for election by the Company's stockholders
was approved by a vote of at least two-third (2/3) of the directors then still
in office who either were directors at the beginning of the period or whose
election or nomination for election was previously so approved, cease for any
reason to constitute a majority thereof, or (c) the stockholders of the Company
approve a merger, plan of complete liquidation of the Company, an agreement for
the sale or disposition by the Company of all or any substantial part of the
Company's assets, or other business combination of the Company with any other
corporation, other than a business combination which would result in the voting
securities of the Company outstanding immediately prior thereto continuing to
represent (either by remaining outstanding or by being converted into voting
securities of the surviving entity) at least 80% of the total voting power
represented by the voting securities of the Company or such surviving entity
outstanding immediately after such business combination.

         9. Limitation of Actions and Release of Claims. No proceeding shall be
brought and no cause of action shall be asserted by the Company or any
subsidiary or by any stockholder on behalf of the Company or any subsidiary
against the Indemnitee, his spouse, heirs, estate, executors or administrators
after the expiration of one year from the act or omission of the Indemnitee upon
which such proceeding is based; provided, however, that in the event that the
Indemnitee has fraudulently concealed the facts underlying such cause of action,
no proceeding shall be brought and no cause of action shall be asserted after
the expiration of one year from the earlier of (i) the date the Company or any
subsidiary of the Company discovers such facts or (ii) the date the Company or
any subsidiary of the Company could have discovered such facts by the exercise
of reasonable diligence. Any claim or cause of action of the Company or any
subsidiary of the Company, including claims predicated upon the negligent act or
omission of the Indemnitee, shall be extinguished and deemed released unless
asserted by filing of a legal action within such period. This Section 9 shall
not apply to any cause of action which has accrued on the date hereof and of
which the Indemnitee is aware on the date hereof but as to which the Company has
no actual knowledge apart from the Indemnitee's knowledge.
<PAGE>   8
         10. Non-exclusivity. The provisions for indemnification and advancement
of expenses set forth in this Agreement shall not be deemed exclusive of any
other rights which the Indemnitee may have under any provision of law, the
Company's Certificate of Incorporation or By-Laws, the vote of the Company's
stockholders or Disinterested Directors, other agreements, or otherwise, both as
to administrators in his official capacity and to action in another capacity
while occupying his position as an agent of the Company, and the Indemnitee's
rights hereunder shall continue after the Indemnitee has ceased acting as an
agent of the Company and shall inure to the benefit of the heirs, executors and
administrators of the Indemnitee.

         11. Settlement. The Company shall not be liable to indemnify the
Indemnitee under this Agreement for any amounts paid in settlement of any
proceeding without its written consent, which consent shall not be unreasonably
withheld. The Company shall not settle any proceeding which would impose any
penalty or limitation on the Indemnitee without the Indemnitee's written
consent, which consent shall not be unreasonably withheld. In the event that
consent is not given and the parties hereto are unable to agree on a proposed
settlement, Independent Legal Counsel shall be retained by the Company, at its
expense, with the consent of the Indemnitee, which consent shall not be
unreasonably withheld, for the purpose of determining whether or not the
proposed settlement is reasonable under all the circumstances; and if
Independent Legal Counsel determines the proposed settlement is reasonable under
all the circumstances, the settlement may be consummated without the consent of
the other party.

         12. Subrogation Rights. In the event of any payment under this
Agreement, the Company shall be subrogated to the extent of such payment to all
of the rights of recovery of the Indemnitee against any person or organization
and the Indemnitee shall execute all papers required and shall do everything
that may be reasonably necessary to secure such rights.

         13. Allowance for Compliance with Commission Requirements. Indemnitee
acknowledges that the Securities and Exchange Commission (the "Commission") has
expressed the opinion that indemnification of directors and officers from
liabilities under the Securities Act of 1933 (the "Act") is against public
policy as expressed in the Act and is, therefore, unenforceable. Indemnitee
hereby acknowledges and agrees that it will not be a breach of this Agreement
for the Company to undertake with the Commission in connection with the
registration for sale of any shares or other securities of the Company from time
to time that, in the event a claim for indemnification against such liabilities
(other than the payment by the Company of expenses incurred or paid by a
director or officer of the Company in the successful defense of any action, suit
or proceeding) is asserted in connection with such shares or other securities
being registered, the Company will, unless in the opinion of its counsel the
matter has been settled by controlling precedent, submit to a court of competent
jurisdiction the question of whether or not such indemnification by the Company
is against public policy as expressed in the Act and the Company will be
governed by the final adjudication of such issue. Indemnitee further agrees that
such submission to a court of competent jurisdiction shall not be a breach of
this Agreement.
<PAGE>   9
         14. Interpretation of Agreement. It is understood that the parties
hereto intend this Agreement to be interpreted and enforced so as to provide
indemnification and payments for Expenses to the Indemnitee to the fullest
extent permitted by applicable law and to waive or render inapplicable to the
fullest extent permitted by applicable law which would impose any condition or
limitation upon, or otherwise impair or prohibit the enforcement of, any
provision in this Agreement. Indemnitee's rights hereunder shall apply to claims
made against Indemnitee arising out of acts or omissions which occurred prior to
the date hereof as well as those which occur after the date hereof.

         15. Severability. If any provision or provisions of this Agreement
shall be held to be invalid, illegal or unenforceable for any reason whatsoever,
(i) the validity, legality and enforceability of the remaining provisions of
this Agreement (including, without limitation, all portions of any paragraph of
this Agreement containing any such provision held to be invalid, illegal or
unenforceable, that are not themselves invalid, illegal or unenforceable) shall
not in any way be affected or impaired thereby and (ii) to the fullest extent
possible, the provisions of this Agreement (including, without limitation, all
portions of any paragraph of this Agreement containing any such provision held
to be invalid, illegal or unenforceable) shall be construed so as to give effect
to the intent manifested by the provision held invalid, illegal or unenforceable
and to give effect to Section 14.

         16. Modification and Waiver. No supplement, modification or amendment
of this Agreement shall be binding unless executed in writing by both of the
parties hereto. No waiver of any of the provisions of this agreement shall be
deemed or shall constitute a waiver of any other provision hereof (whether or
not similar) nor shall such waiver constitute a continuing waiver.

         17. Successors and Assigns. The terms of this Agreement shall bind, and
shall inure to the benefit of, the successors and assigns of the parties hereto.

         18. Notices. All notices, requests, demands and other communications
under this Agreement shall be in writing and shall be deemed duly given (i) on
the date of delivery if delivered by hand or via telecopy or (ii) on the second
business day after being deposited in the U.S. mail (registered or express),
postage prepaid. Addresses for notice to either parry are as shown on the
signature page of this Agreement, or as subsequently modified by written notice.
Each party agrees to receipt for any notice received promptly upon request.

         19. Governing Law. This Agreement shall be governed exclusively by and
construed according to the laws of the State of Delaware, as applied to
contracts between Delaware residents entered into and to be performed entirely
within Delaware.
<PAGE>   10

         20. Consent to Jurisdiction. The Company and the Indemnitee each hereby
irrevocably consents to the jurisdiction of the courts of the State of Delaware
and the Company irrevocably consents to the jurisdiction of any court in which
an Indemnitee brings action pursuant to Section 7(c), for all purposes in
connection with any proceeding which arises out of or relates to this Agreement.
The Company agrees not to initiate any such action or proceeding in any state
other than Delaware.

         21. Effectiveness. This Agreement shall be deemed effective as of: (i)
________, in the event that the Indemnitee was serving as an officer and/or
director of the Company as of that date or (ii) if the Indemnitee was not
serving as an officer and/or director of the Company on __________, the date the
Indemnitee was first elected or appointed, as the case may be, to serve as an
officer and/or director of the Company. 1.

                                    * * * * *
<PAGE>   11
                  IN WITNESS WHEREOF, the parties hereto have entered into this
Indemnification Agreement effective as of the date first above written.

                                                  MCMS, Inc.
                                                  16399 Franklin Road
                                                  Nampa, Idaho 83687
                                                  Telecopy No.: (208)898-2600

                                                  By:_______________________

                                                  Its:______________________

                                                  INDEMNITEE:

                                                  Name:_____________________

                                                  Title:____________________

                                                  Address:__________________

                                                          __________________

                                                  Telecopy No.:_____________

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