Document:

EX-4.71

Exhibit 4.71

EXCLUSIVE RAGNAROK ONLINE

LICENSE AND DISTRIBUTION AGREEMENT

THIS EXCLUSIVE RAGNAROK ONLINE LICENSE AND DISTRIBUTION AGREEMENT (hereinafter referred to as
“Agreement”) is made and entered into on this 21st day of January, 2009 (hereinafter
referred to as “Effective Date”), by and between Gravity Co., Ltd., a corporation duly organized
and existing under the laws of the Republic of Korea (hereinafter referred to as “Korea”) and
having its principle offices at 15F, Nuritkum Square BIZ Tower, 1605, Sangam-Dong, Mapo-Gu, Seoul,
Korea (hereinafter referred to as “Licensor”), and Tahadi Games Ltd., a corporation duly organized
and existing under the laws of British Virgin Islands and having its registered office at Craigmuir
Chambers, Road Town, Tortola, British Virgin Islands and the principal offices at Office no. 2,
Ground Floor, Samsung Building, Dubai Internet City, Dubai, United Arab Emirates (hereinafter
referred to as “Licensee”).

RECITALS

WHEREAS, Licensor has developed and owns all rights in computer programs of online game “Ragnarok
Online” (hereinafter referred to as “Game”);

WHEREAS, Licensee desires to enter into an exclusive license agreement with Licensor pursuant to
which Licensee will make the Game available to End Users in the Territory specified below; and

WHEREAS, Licensor desires to grant such license to Licensee under the mutual terms and conditions
herein below specified.

AGREEMENT

NOW THEREFORE, in consideration of the mutual promises and covenants contained herein and for other
good and valuable consideration, the Parties hereto agree as follows:

ARTICLE 1

DEFINITIONS

The terms defined in this Article shall have the meaning ascribed to them herein whenever they are
used in this Agreement, unless otherwise clearly indicated by the context.

	 	1.1	 	“Agreement” shall have the meanings set forth in the introductory section of this
agreement and all annexes, amendments and supplements hereto.
	 
	 	1.2	 	“Confidential Information” shall mean all materials, know-how, software or other
similar types of

 

 

	 	 	 	information including, but not limited to, proprietary information and materials regarding
a Party’s technology, products, business information or objectives, including the software
for the Game and Technical Information as defined in this Agreement as well as all
information which is designated as confidential in writing by the providing Party or which
is the type that is customarily considered to be confidential information by persons
engaged in similar activities.
	 
	 	1.3	 	“End Users” shall mean the users of the Game through a network game service system
established and operated by Licensee with individually assigned ID Numbers for each End
User.
	 
	 	1.4	 	“Game” shall have the meaning stipulated in the recitals above, and shall further be
defined as including any modified or advanced version of the Game distributed by Licensor
for error correcting, updating or debugging purpose, under the same title. Any subtitled
version, series or sequel to the Game which may be developed or distributed by Licensor
after the execution of this Agreement shall be clearly excluded from the scope of this
Agreement.
	 
	 	1.5	 	“ID Number” shall mean an identification number assigned to each End User, with which
such End User can access and use the network game service system established and operated
by Licensee.
	 
	 	1.6	 	“Intellectual Property” shall mean all patents, designs, utility models, copyrights,
know-how, trade secrets, trademarks, service mark, trade dress and any other intellectual
property rights, whether registered or not, in or related to the Game or Technical
Information.
	 
	 	1.7	 	“Local Language” shall mean Arabic and English as used in the Territory.
	 
	 	1.8	 	“Local Version” shall mean the Game provided in the Local Language.
	 
	 	1.9	 	“Parties” and “Party” shall mean Licensor and Licensee, collectively and
individually, respectively.
	 
	 	1.10	 	“Servers” shall mean the servers established, installed and operated by Licensee
within or outside of the Territory only for the service of Game to End Users in the
Territory.
	 
	 	1.11	 	“Prepaid Cards” shall mean the tangible or intangible card containing a unique code
or other unique identifying information purchased by End Users to access the Game, as
generated by Licensee in its sole and exclusive discretion.
	 
	 	1.12	 	“Game Points” shall mean cyber points upon Prepaid Cards or accounts of End Users.
	 
	 	1.13	 	“Gross Sales Amount” shall mean the total value of Licensee including Prepaid Cards
that are purchased and registered by End Users as calculated by use of the Billing System
of the Game. “Gross Sales Amount” does not include any tax or distribution commission.
	 
	 	1.14	 	“Billing System” shall mean the software and hardware necessary to calculate the
Gross Sales Amount.
	 
	 	1.15	 	“Technical Information” shall mean the software, know-how, data, test result,
layouts, artwork,

 

 

	 	 	 	processes, scripts, concepts and other technical information on or in relation to the Game
and the installation, operation, maintenance, service and use thereof.
	 
	 	1.16	 	“Territory” shall mean United Arab Emirates, Saudi Arabia, Jordan, Kuwait, Syria,
Bahrain, Qatar, Palestine, Oman, Lebanon, Libya, Sudan, Mauritania, Iraq, Yemen, Iran,
Egypt, Algeria, Morocco and Tunisia.
	 
	 	1.17	 	“Closed Beta Test” shall mean the secured and non-public testing of the beta version
of the localized Game by a selected group of the End Users prior to the Open Beta test,
which is to be performed by Licensee in the Territory.
	 
	 	1.18	 	“Open Beta Test” shall mean the secured testing of the beta version of the localized
Game by offering the Game to the general public for free trial for a limited period of
time prior to the Commercial Launch Date of the Online Game, which is to be performed by
Licensee in the Territory.
	 
	 	1.19	 	“Commercial Launch Date” shall mean when commercially launch the Game and start
charging from the End Users directly or indirectly.

ARTICLE 2

GRANT OF LICENSE

	 	2.1	 	Licensor hereby grants to Licensee, and Licensee hereby accepts from Licensor, under
the terms and conditions set forth in this Agreement, a non-transferable, royalty-bearing
and exclusive license within the Territory which shall be irrevocable during the period of
this Agreement so long as Licensee maintains in substantial compliance with the material
terms hereof, to do any or all of the following;
	 
	 	 	 	(a) To maintain and operate the Game within the Territory, and to grant subscriptions to
subscribers to access the Game within the Territory;
	 
	 	 	 	(b) To reproduce, in object code from only, and to market, distribute and sell to
subscribers or potential subscribers, the client software in CD-Rom medium format or
through the internet; and
	 
	 	 	 	(c) To generate, market, promote, sell and distribute Prepaid Cards in accordance with
market demands.
	 
	 	2.2	 	Licensee acknowledges and agrees that it has no rights or claims of any type to the
Game except such rights as created by this Agreement, and the Licensee irrevocably waives
and releases any claim to title and ownership rights including trade secrets and copyright
ownership in the Game.
	 
	 	2.3	 	Unless explicitly approved in writing by Licensor, Licensee shall have no right to
sublicense the rights granted under Article 2.
	 
	 	2.4	 	Licensee is permitted to appoint sub-distributors to market, promote, sell and
distribute the client software in CD-Rom medium and the Prepaid Cards for the local
service, provided that Licensee

 

 

	 	 	 	agrees to be responsible for each sub-distributor’s compliance with all of the terms and
conditions contained herein applicable to Licensee. Licensee will not knowingly appoint the
sub-distributors who intend or are likely to resell them outside the Territory.
	 
	 	2.5	 	Any service, use, promotion, distribution and marketing of the Game outside the
Territory and any use of the Technical Information for any purpose other than performance
under this Agreement are strictly prohibited.
	 
	 	2.6	 	Licensee shall provide Game services only by way of the PC on-line method (excluding
mobile access) using the Servers. However, in consideration of the current level of
development of information technology in the Territory, which primarily operates on a
narrow-band basis, Licensee shall be allowed to make Game services available by use of its
own available equipment. Licensor shall provide Licensee detailed technical specifications
for the hardware, software, and network connections required for the Game. Both Parties
shall use commercially reasonable efforts to modify and upgrade the foregoing technical
specifications so as to optimize the performance of the Game within the Territory.
	 
	 	2.7	 	The Game shall be serviced, promoted, distributed and marketed under the titles,
trademark, character names and other names of the Game (hereinafter referred to as
“Title”) as originally created and used by Licensor, and/or as modified herein pursuant to
the terms of Article 2.7. Notwithstanding the foregoing, if a change to any of the
foregoing Titles is required as a result of any special lingual or social circumstance of
the Territory, the Parties shall decide and use a new Title (hereinafter referred to as
“New Title”) for the Game. All of the rights in or to the Title and New Title shall be
exclusively owned by Licensor and Licensee shall not use any such Title or New Title in a
manner that falls outside the scope of this Agreement without the prior written approval
of Licensor.
	 
	 	2.8	 	All of the rights in or to the Game, except as granted under this Agreement,
including but not limited to the rights to the character business of the Game, shall
remain exclusively with Licensor.
	 
	 	 	 	However, Licensor will grant to Licensee the right of first negotiation for a period of
sixty (60) days from Licensor’s decision to do so, for the right to produce and/or sell and
distribute in the Territory merchandise relating to the Game, including but not limited to,
character dolls, reproductions of the characters in collaterals, and other similar types of
toys, gifts, collectibles, and other types of durable merchandise, as well as such other
accessories, under a separate merchandising agreement. Such right of first negotiation
within the foregoing 60 days period shall include the right of Licensee to match any
reasonable and bona fide offer received by Licensor from the third party.

ARTICLE 3

LOCALIZATION

	 	3.1	 	Licensor shall deliver to Licensee all localization materials, including game texts,
scripts, manual texts, documentation, marketing materials and in-game-voice-recordings
(hereinafter referred to

 

 

	 	 	 	as “Localization Materials”) for the Game in English language as are necessary for Licensee
to localize the Game into Local Language for the exploitation of the Game within the
Territory.
	 
	 	3.2	 	Upon receipt of the Localization Materials, Licensee shall, at its own expense,
perform translation or recordings of the Localization Materials into Local Language to the
reasonable satisfaction of Licensor (hereinafter referred to as “Translation”). The
Translation shall be made faithfully and accurately, shall be of good quality and shall
consist of the whole of the textual, graphical and audio material provided in the
Localization Materials, without alteration, abridgment, or supplement, unless Licensee has
received the express written consent of Licensor approving such modification.
	 
	 	3.3	 	In case the Translation or Contents of the Game requires modification because it may
contain false, misleading, fraudulent, libelous or obscene or other matter which is
unlawful or which may give rise to a criminal or civil cause of action, or will otherwise
be considered obscene, inappropriate, or offensive to the sensibilities of the End Users
located in the Territory due to cultural morals and norms, Licensee shall inform Licensor
of such required modifications and the reasons thereof and Licensor shall consent to such
modifications so long as such modifications do not materially change the original work.
	 
	 	3.4	 	Licensor reserves the right to disapprove the Translation before integration pursuant
to Article 3.6 below, Licensee will submit the Translation to Licensor for review.
Licensor shall then provide, within a reasonable amount of time, its acceptance or
comments detailing modifications to the Translation, and Licensee shall effect any
modifications directed by Licensor and, as soon as reasonably practicable, shall re-submit
the new Translation for approval by the Licensor and the above approval procedure shall be
repeated until such items are approved by the Licensor.
	 
	 	3.5	 	All costs and expenses arising from the performance of Licensee’s obligation in this
Article 3 shall be borne by Licensee, including the costs of compensating all translators.
Licensee agrees to obtain from all translators proper written grants of all rights of
their works.
	 
	 	3.6	 	Licensor and Licensee install Local Version at servers of Licensee in Territory for a
test of operation, not later than ninety (90) days from the date of execution of this
Agreement. The Closed Beta Test of the Game shall commence not later than ninety (90) days
from acceptance of the Final Reviewed Local Language Version of the closed beta Client CD.
Licensee shall commence the Open Beta Test not later than sixty (60) days from the date of
launch the closed beta test. Licensee shall launch the commercial service of the Game in
the Territory (hereinafter referred to as “Commercial Service”) within ninety (90) days
from the date of launch of the open beta test of the Game provided that Licensor shall use
its best efforts to correct all defects and bugs detected in the Game during the beta
service. The Parties agree to cooperate with each other and exert their best efforts to
launch the services of the Game. The above target dates for launching the services of the
Game may be changed by mutual agreement between the Parties.
	 
	 	3.7	 	The Game shall be serviced in the Territory only in the manner permitted by Licensor
under this Agreement. Licensee shall be strictly prohibited from any modification,
amendment or revision to any part of the Game including the titles of the Game and the
name of the characters in the Game,

 

 

	 	 	 	without the prior written approval of Licensor.
	 
	 	3.8	 	Licensee’s Billing System must be tested, analyzed and approved by Licensor prior to
being used in the Game. If the Licensee’s Billing System is considered suitable for the
Game by Licensor, such Billing System shall be applied to the Game. If Licensee’s Billing
System has unavoidable or other serious technical conflicts against the Game and may cause
serious problem for the Game service, Licensee shall agree to use a Billing System
recommended by Licensor for the purpose to mutually manage the local billing
transparently. Upon Licensee’s request Licensor shall dispatch its billing account manager
to synchronize Billing System with the Game and incurring expense for this procedure shall
be borne by Licensor. Licensee shall approve the real-time access of Licensor to the
Billing System under this Agreement.

ARTICLE 4

INSTALLATION AND TECHNICAL SUPPORT

	 	4.1	 	During the term of this Agreement, Licensor shall provide Licensee with installation
and maintenance assistance and support as determined by the Licensor sufficient to enable
Licensee to provide and maintain high-quality service for the Game. This assistance shall
include, but not limited to, software installation and set-up, maintenance support,
patches and updates used by the Game software, reasonable and appropriate support and
assistance for the localization of the Game into Local Version, training Licensee’s
personnel in respect of the maintenance and operation of the software for the Game
provided that, any and all expenses actually incurred by any engineers dispatched by
Licensor to perform the above installation and maintenance assistance in this Article 4.1,
including, without limitation, traveling cost including all round-trip airfare from
Licensor to Licensee office, lodging, and other general living expenses incurred during
their stay at Licensee’s premises, shall be borne by Licensee.
	 
	 	4.2	 	During the term of this Agreement, Licensor shall receive Licensee’s personnel in its
office in Korea for training with respect to the service of the software for the Game and
the maintenance and operation of the Servers upon Licensee’s reasonable request. The
number of the trainees from Licensee shall not exceed three (3) persons at one time and
the total period of training shall not exceed seven (7) man-days (based on eight (8) hours
of training per trainee per day) per person sent, unless otherwise agreed in writing by
Licensor. All of the expenses for travel, lodging, food and other general living expenses
incurred by such sent personnel of Licensee shall be borne by Licensee. Engineers sent by
Licensor to Licensee shall provide training to any local staff if necessary.
	 
	 	4.3	 	Any further assistance may be rendered by Licensor upon mutual agreement of the
Parties.

ARTICLE 5

ROYALTY PAYMENT AND TAXES

 

 

	 	5.1	 	License Fee
	 
	 	 	 	Licensee shall pay to Licensor a non-recoupable and non-refundable sum of Three Hundred
Fifty Thousand United States Dollars (350,000 USD) as License Fee (herein after
referred to as “License Fee”) in the following installments:

	 	(a)	 	One Hundred Seventy Five Thousand United States Dollars (175,000 USD) : within fourteen (14)
business days of the Effective Date.
	 
	 	(b)	 	One Hundred Seventy Five Thousand United States Dollars (175,000 USD) : within fourteen (14) business days after the Commercial Launch Date.

	 	 	 	Licensee shall make said License Fee to Licensor after Licensee’s receipt of a written
invoice in such amount from Licensor.
	 
	 	5.2	 	Minimum Guarantee Payment
	 
	 	 	 	Licensee shall pay to Licensor a non-refundable, non-recoupable sum of One Hundred
Thousand United States Dollars (100,000 USD) as a Minimum Royalty (hereinafter referred
to as “the MG Payment”).
	 
	 	 	 	The MG Payment shall be paid within fourteen (14) business days from the last day of every
three months in four equal installments payable, including starting from the Commercial
Service of the Game.
	 
	 	 	 	In case Licensee’s applicable royalty payment to Licensor exceeds the MG payment prior to
the Licensee completes the installments of the MG payment, Licensee shall be responsible to
pay the royalty payments as stated in Article 5.3.
	 
	 	5.3	 	Royalty Payment and Report
	 
	 	 	 	Licensee shall pay to Licensor as Royalty Payments Twenty Four percent (24%) of the
Gross Sales Amount paid by End Users during the commercial period of this Agreement.
Subject to Article 5.3 below, the Royalty Payment shall be paid by Licensee on a monthly
basis within Twenty (20) days after the end of the applicable month. The Royalty Payment
shall be deemed made upon presentation by Licensee of remittance confirmation or notice to
Licensor of payment. Unless Licensor actually receives the remitted amount, the Royalty
Payment shall not be deemed to have been paid. Licensee may not set-off the Royalty
Payment against any claims Licensee may have against the Licensor. Licensee shall also
provide Licensor with a report (hereinafter referred to as “Royalty Report”) on a monthly
basis within Fifteen (15) days after the end of the applicable month. Each Royalty Report
shall contain detailed information concerning the calculation of Gross-Sales Amount for the
applicable month.
	 
	 	5.4	 	Any and all payments under this Agreement by Licensee to Licensor shall be made in US
Dollars (USD) and by wire transfer to any bank account designated by Licensor.

 

 

	 	5.5	 	In the event any payment is not made by Licensee within the due date described in this
Agreement, a default interest at the rate of eighteen percent (18%) per annum of the actual
amount of delayed payment shall be applied. For the avoidance of doubt, Licensor’s
entitlement to such default Interest pursuant to this Article 5.5 shall not affect any of
the other rights of Licensor under this Agreement.
	 
	 	5.6	 	Except as may be otherwise provided for herein, unless explicitly approved in writing
by Licensor, any and all taxes including the sales tax, value added tax, income tax,
duties, fees and other government charges of any kind on any payment to Licensor under this
Agreement shall be borne by Licensee, provided, however, if any government in the Territory
requires Licensee to withhold the withholding tax on the payment to Licensor, Licensee is
allowed to withhold such tax no more than fifteen percent (15)% from such payments only if
Licensor is entitled to receive such payments as a tax credit under the relevant laws of
Korea or any existing tax treaty between the respective countries of operation of Licensor
and Licensee. In the event that any amount is withheld for the tax payment under this
Article 5.6, Licensee shall promptly inform Licensor of such payment and provide Licensor
with a certification issued by the relevant tax authorities with respect to the relevant
payment. Any withholding tax in excess of the aforesaid limit shall be borne by Licensee,
and shall not be deducted from the actual payment amount.
	 
	 	5.7	 	Licensee shall hold Licensor harmless from all claims and liability arising from
Licensee’s failure to report or pay such taxes, duties, fees and other governmental charges
of any kind.
	 
	 	5.8	 	If Licensee shall be prevented by order or regulation of the government of the
Territory from transmitting any payment due hereunder then Licensor shall nominate in
writing an alternative method of collecting such payment which shall not be restricted by
such order or regulation and such alternative method shall be binding on Licensee until
such order or regulation shall be withdrawn.

ARTICLE 6

REPORT & AUDIT

	 	6.1	 	Licensee shall provide Licensor with all relevant and non-privileged information
pertaining to the development of its business in relation to the Game. Without limiting the
generality of the foregoing, Licensee shall inform Licensor promptly in the event of its
launch of the beta tests or the commercial service of the Game.
	 
	 	6.2	 	Licensee shall provide Licensor with a monthly report (the “Monthly Report”) within
fifteen (15) days after the end of the applicable month. Such report shall be in writing
and discuss Licensee’s business activities in relation to the Game, including, but not
limited to, the number of End-Users including the maximum and average number of concurrent
End-Users, the fees charged by Licensee, the total service amounts for the pertinent month,
the amounts spent on advertising activities, complaints received from End Users and market
trends in the Territory.

 

 

	 	6.3	 	Licensee shall keep all of their records, contractual and accounting documents and
company documents in relation to its business and other activities related to this
Agreement in its principal offices during the term of this Agreement and for not less than
five (5) years after the expiration or termination of this Agreement.
	 
	 	6.4	 	During the term of this Agreement and for five (5) years after the expiration or
termination hereof, Licensor may by itself or through an accountant designated by Licensor
investigate and audit the accounting documents of Licensee with respect to its Game
business upon seven (7) days prior written notice to Licensee. For this purpose, Licensor
may request Licensee to produce relevant documents, and may visit Licensee’s office and
make copies of Licensee’s documents. Licensee shall provide all assistance and co-operation
required by Licensor for such investigation and audit.
	 
	 	6.5	 	All expenses incurred for such investigation and audit shall be borne by Licensor.
	 
	 	6.6	 	If such investigation and audit reveals underpayment by greater than five percent (5%)
of the annual Royalty Payment amount, Licensee shall bear all expenses for such
investigation and audit and shall immediately pay to Licensor the unpaid amount together
with a per annum default interest thereon equivalent to eighteen percent (18%) thereof. In
the event of Licensee’s understatement of the Royalty Payment amount without any
justifiable reasons, Licensor shall be entitled to terminate this Agreement pursuant to
Article 13.3(b) below.

ARTICLE 7

ADVERTISING & PROMOTION

	 	7.1	 	Licensee shall exert its best efforts to advertise, promote and perform marketing
activities for the Game in the Territory.
	 
	 	7.2	 	For the advertising and promotion of the Game in the Territory, Licensee agrees to
spend Two Hundred Thousand United States Dollars (200,000 USD) overall after
Effective Date. Such amount shall include funds spent directly by Licensee or by third
parties with which Licensee has marketing or distribution agreements. Licensee shall
provide Licensor with detailed information on Licensee’s advertising activities every month
in Monthly Report in accordance with the requirement of Article 6.2. In addition, Licensee
shall provide Licensor with a separate advertisement report on June 30 and December 31 of
each year covering the preceding six (6) months’ period.
	 
	 	7.3	 	Licensor will provide Licensee with samples of the marketing and promotional materials
for the Game that have been or will be produced on behalf of Licensor during the term of
this Agreement. Licensee shall pattern all its advertising, marketing and promotional
materials for the Game in the Territory after the samples furnished to Licensee by
Licensor, and Licensee shall provide Licensor with samples of the advertising, marketing
and promotional materials for the Game produced by Licensee no later than seven (7) days
before launching of each campaign. Within seven (7) days after receiving the samples of
Licensee’s advertising, marketing and promotional materials, Licensor shall notify Licensee
in writing of Licensor’s approval or disapproval thereof, or of any

 

 

	 	 	 	changes that Licensor may require Licensee to make thereto.
	 
	 	7.4	 	Except as otherwise provided herein, the ownership of and the copyright in the
marketing and advertising materials produced or used by Licensee on the Game (“Advertising
Materials”) shall remain exclusively with Licensor, and Licensee shall not use the
Advertising Materials for any purpose other than promotion, distribution, marketing and
advertising of the Game pursuant to the terms and conditions of this Agreement.
	 
	 	7.5	 	Licensee may provide End Users with such number of free Game Points and free accounts
as may be reasonably necessary, in Licensee’s sole discretion, for the purposes of the
promotion, operation and advertisement of the Game only with prior written approval from
Licensor. Detailed information regarding free Game Points and accounts provided by Licensee
to End Users shall be supplied to Licensor on a monthly basis in Monthly Report required by
Article 6.2, hereof.

ARTICLE 8

OTHER OBLIGATIONS OF LICENSEE

	 	8.1	 	Licensee shall exert its best effort to supply, distribute and promote the Game in the
Territory.
	 
	 	8.2	 	Except as provided herein Licensee shall be solely responsible for service, use,
promotion, distribution and marketing of the Game in the Territory, and Licensor shall not
be responsible for or obligated to provide any of the foregoing above and beyond the
obligations stated in this Agreement.
	 
	 	8.3	 	Licensee shall provide full and comprehensive installation and maintenance support to
End Users to assist them in their use of the Game as approved by Licensor, including but
not limited to Licensee’s maintaining 24-hour installation and maintenance contact window,
on-line customer services, sufficient outbound bandwidth and circuits for operating
business under this Agreement, and game servers required for on-line game operation.
	 
	 	8.4	 	Licensee shall provide its best efforts to protect the Intellectual Property rights of
Licensor and shall assist Licensor to procure appropriate legal and administrative measures
against any and all activities by third parties infringing the Game or any of the
Intellectual Property rights of Licensor on or in relation to the Game, including without
limitation to, manufacture or sales of counterfeiting CDs, manuals, workbooks or other
products.
	 
	 	8.5	 	Licensee shall abide by all laws and regulations of the Territory in its service, use,
promotion, distribution and marketing of the Game in the Territory.
	 
	 	8.6	 	Licensee shall provide a prior written notice to Licensor in the event Licensee intends
to change its marketing strategies, including advertising, marketing, promotional
materials, product packaging and price policies relating to the Game, and other important
policies.
	 
	 	8.7	 	Licensee shall indemnify and hold harmless for Licensor and as well as their respective
officers and

 

 

	 	 	 	employees from any kind of losses, costs, expenses or liabilities, including reasonable
attorneys’ fees resulting from any claim, whether in tort, contract, product liability or
otherwise by a third party on or in relation to Licensee’s service, use, promotion,
distribution and marketing of the Game.
	 
	 	8.8	 	Upon Licensor’s request, Licensee shall provide Licensor with a reasonable amount of
suitable office space and office supplies in Licensee’s office for the auditing activities
of Licensor. Access to such office space shall be limited only to persons designated by
Licensor. All expenses incurred by Licensor’s employees and auditor sent to Licensee’s
offices for transportation, postage, telecommunications, lodging, food and other general
living expenses, and the salaries for such employees during their stay at such offices
shall be borne and paid by Licensor.
	 
	 	8.9	 	Licensee shall not (a) copy, modify, display or distribute to any person all or any
part of the Game, except as provided for herein; (b) disassemble, decompile or reverse
engineer the Game, or any part thereof; (c) use, distribute or provide the Game to any
third parties, except as authorized in this Agreement; (d) distribute or make the Game, or
any executables derived or produced therefrom; (e) knowingly distribute, make available or
disclose the Game to any third party except as authorized herein; (f) license, sublicense,
distribute or make available the Game to any third party, except as provided in this
Agreement; or (g) assist any other person or entity in doing any of the foregoing. Licensee
shall use commercially reasonable efforts to prevent any third party from doing all or any
of the foregoing without the permission of Licensor. Licensee shall be responsible for all
matters arising out of any payment relating to sub-distributor.

ARTICLE 9

TECHNICAL INFORMATION AND INTELLECTUAL PROPERTY

	 	9.1	 	Technical Information and Intellectual Property shall be exclusively owned by
Licensor whether or not specifically recognized or registered under applicable law, and
this Agreement shall not grant Licensee or permit Licensee to exercise any right or
license in or to the Technical Information and Intellectual Property except for the
License granted under this Agreement. Licensee shall not obtain or try to obtain any
registered industrial property or copyright in or over any of the Technical Information
and Intellectual Property of Licensor regardless of the territory and exploitation area.
	 
	 	9.2	 	Licensor hereby represents and warrants that Licensor is the legal owner of the
Technical Information and Intellectual Property; that it has a legal and valid right to
grant the rights and License under this Agreement to Licensee, and that the Game and
Technical Information do not violate or infringe any patent, copyright and trademark of
any third party in Korea.
	 
	 	9.3	 	Licensor further guarantees and warrants to Licensee that the Game and the
corresponding Technical Information and accompanying Intellectual Property, to its
knowledge at the time of singing of this Agreement;
	 
	 	 	 	(a) does not violate any Intellectual Property rights of any third party or any rights of
publicity or

 

 

	 	 	 	privacy in Korea;
	 
	 	 	 	(b) does not violate any law, statute, ordinance or regulation (including without
limitation the laws and regulations governing export control, unfair competition,
anti-discrimination or false advertising) of Korea; and
	 
	 	 	 	(c) shall not contain any obscene, child pornographic or indecent content.
	 
	 	9.4	 	Licensor agrees to indemnify and hold harmless for Licensee from any kind of losses,
costs, expenses or liabilities, including actual attorneys’ fees and costs of settlement,
resulting from the breach by Licensor of its express warranties given in this Agreement,
including, without limitation that provided in Article 9.3, provided that Licensee (a)
shall promptly notify Licensor of such claim; (b) Licensee shall cooperate in the defence
of such claim and/or any related settlement negotiations; and (c) provides any reasonable
assistance requested by Licensor in connection with such claim.
	 
	 	9.5	 	Licensee shall take all reasonable action to procure appropriate legal and
administrative measures against any and all activities by third parties infringing any of
the Intellectual Property rights of Licensor, or to address and answer any third party
claims or demands in respect of the Intellectual Property rights at Licensee’s own cost.

ARTICLE 10

LIMITATION OF LIABILITY

	 	10.1	 	Except as may be otherwise provided for herein, Licensor makes no warranties, express
or implied, concerning the Game including but not limited to its merchantability or
salability in the Territory.
	 
	 	10.2	 	In no event will either party be liable to the other for any indirect, consequential,
incidental, punitive or special damages, whether based on breach of contract, tort
(including negligence) or otherwise, and whether or not such party has been advised of the
possibility of such damage.
	 
	 	10.3	 	The aggregate liability of Licensor under or relating to this Agreement whether in
contract, tort (including without limitation negligence) or otherwise, shall be limited to
an amount equal to the total amount of the payments made by Licensee during the period of
six (6) months preceding the first date in which Licensee demands damages in writing
against Licensor.
	 
	 	10.4	 	Licensee shall solely be responsible for any and all obligations to End Users imposed
by the government of the Territory and Licensee shall indemnify and protect Licensor
against any and all claims by End Users due to faults attributable to Licensee in the
event that Licensee terminates the service of Game to End Users for any reason whatsoever
and/or this Agreement for any reason whatsoever.

ARTICLE 11

CONFIDENTIALITY

 

 

	 	11.1	 	All Confidential Information disclosed by either Party under this Agreement shall be
maintained in confidence by the receiving Party and shall not be used for any purpose other
than explicitly granted under this Agreement. Each Party agrees that it shall provide
Confidential Information received from the other Party only to its employees, consultants
and advisors who need to know for the performance of this Agreement. The receiving Party
shall be responsible for any breach of this Article by its employees, consultants and
advisors.
	 
	 	11.2	 	In the event that any Confidential Information, including but not limited to the source
codes of the Game, Technical Information and financial information, is disclosed or divulged
to any third party who is not authorized to have access to or obtain such Confidential
Information under this Agreement, the Parties shall cooperate with each other and exert
their best efforts to protect or restore such Confidential Information from such
unauthorized disclosure or divulgement. If such disclosure or divulgement of the
Confidential Information was made due to the receiving Party’s gross negligence or bad
faith, the receiving Party shall be responsible for all of the damages incurred by the
disclosing Party, including but not limited to any attorneys’ fees incurred by the
disclosing Party in order to protect its rights under this Article 11.
	 
	 	11.3	 	The confidential obligation shall not apply, in the event that it can be shown by
competent documents that the Confidential Information;
	 
	 	 	 	(a) becomes published or generally known to the public before or after the execution of
this Agreement without any breach of this Agreement by any Party;
	 
	 	 	 	(b) was known by the receiving Party prior to the date of disclosure to the receiving
Party;
	 
	 	 	 	(c) either before or after the date of disclosure is lawfully disclosed to the receiving
Party by a third party who is not under any confidentiality obligation to the disclosing
Party for such information;
	 
	 	 	 	(d) is independently developed by or for the receiving Party without reference to or
reliance upon the Confidential Information; or
	 
	 	 	 	(e) is required to be disclosed by the receiving Party in accordance with the applicable
laws and orders from the government or court; provided that, in this case, the receiving
Party shall provide prior written notice of such disclosure to the providing Party and
takes reasonable and lawful actions to avoid and/or minimize the degree of such disclosure.

ARTICLE 12

TERM

	 	12.1	 	This Agreement shall become effective on the execution date of this Agreement and shall
remain in effect for a period of Three (3) years counted from the Commercial Launch
Date unless sooner terminated in accordance herewith.
	 
	 	12.2	 	No later than three (3) months prior to the expiration of this Agreement, Licensor shall
allow Licensee an automatic extension of this Agreement for one (1) year (“the First
Renewal”). The First Renewal shall be made in case that the average number of concurrent
users during the

 

 

	 	 	 	service period of three (3) years is in excess of Five Thousand(5,000) and accumulated
Royalty Payment during the term is in excess of three hundred thousand United States
Dollars (300,000 USD).
	 
	 	12.3	 	No later than three (3) months prior to the expiration of the First Renewal, Licensor
shall give Licensee the first right of negotiation for a period of thirty (30) days for
re-execution of a license agreement for an additional term of one (1) year (“the Second
Renewal”) for the Game. If no agreement in writing is made between the Parties for renewal
or re-execution of a license agreement during such period, this Agreement shall expire
without any further extension or renewal.

ARTICLE 13

TERMINATION

	 	13.1	 	This Agreement may be terminated upon a mutual written agreement of the Parties.
	 
	 	13.2	 	Each Party shall have the right to immediately terminate this Agreement;
	 
	 	 	 	(a) upon written notice to the other Party in the event of the other Party’s material
breach of this Agreement and such breach shall continue for a period of thirty (30) days
after the breaching Party’s receipt of written notice setting forth the nature of the
breach or its failure to perform and the manner in which it may be remedied;
	 
	 	 	 	(b) if the other Party or its creditors or any other eligible party files for its
liquidation, bankruptcy, reorganization, composition or dissolution, or if the other Party
is unable to pay any kind of debts as they become due, or the creditors of the other Party
have taken over its management; or
	 
	 	 	 	(c) in accordance with Article 13.3 below.
	 
	 	13.3	 	Notwithstanding Article 13.2 above, Licensor may immediately terminate this Agreement
upon a written notice to Licensee;
	 
	 	 	 	(a) if any payment due Licensor including, but not limited to License Fee, MG Payment, and
Royalty Payment, is not paid by Licensee within twenty (20) days after receiving written
notice from Licensor for late payment;
	 
	 	 	 	(b) in the event of a willful, gross understatement by Licensee of the payment due Licensor
without any justifiable reasons as defined in Article 6.6;
	 
	 	 	 	(c) if the beta tests of the Game is not launched in the Territory within the period set
forth in Article 3.6, unless such failure has been caused by Licensor or is due to force
majeure event as set forth in Article 14;
	 
	 	 	 	(d) if the commercial service of the Game is not launched in the Territory within the
period set forth in Article 3.6, unless such failure has been caused by Licensor or is due
to force majeure event as set forth in Article 14;
	 
	 	 	 	(e) if the service of Game in the Territory is stopped, suspended, discontinued or
disrupted for more than fifteen (15) consecutive days during the term of this Agreement due
to causes attributable to Licensee; or
	 
	 	 	 	(f) if the Game in the Territory is provided upon free or unreasonably low price, compared
to fair

 

 

	 	 	 	market value, by Licensee without prior written approval from Licensor except as otherwise
specified in by Article 7.5.
	 
	 	13.4	 	Upon termination, all rights granted to Licensee hereunder shall immediately cease
and shall revert to Licensor, and Licensee shall immediately cease servicing of the Game
and return to Licensor any and all software, technical documents and other materials or
information provided by Licensor to Licensee under this Agreement, and shall destroy any
and all copies of such software, technical documents, materials or information.
Furthermore, Licensee shall provide and deliver to Licensor any and all such information
and documents related to the Game, including but not limited to database related to the
Game and information and/or data source about the Game users, as may be requested by
Licensor.
	 
	 	13.5	 	No termination of this Agreement shall affect the Parties’ rights or obligations that
were incurred prior to the termination. The expiration or termination of this Agreement
shall not affect the effectiveness of Articles 6, 9, 10, 11, and 13.4, which shall survive
the expiration or termination of this Agreement.
	 
	 	13.6	 	Licensor shall have no liability to Licensee for damages of any kind, including
indirect, incidental or consequential damages, on account of the termination or expiration
of this Agreement in accordance with its terms.
	 
	 	13.7	 	Upon termination or expiration of this Agreement, Licensee shall shut down and
terminate the service of Game provided by Licensee. Licensor shall have the right to
assume the service of the Game one (1) month prior to such termination. Licensor may elect
to purchase any equipment purchased by Licensee for the service of the Game at the fair
market value of such equipment on the date Licensor elects to assume the service of the
Game as determined by an independent third party expert appointed by mutual consent of the
Parties.

ARTICLE 14

FORCE MAJEURE

	 	14.1	 	Notwithstanding anything in this Agreement to the contrary, no default, delay or
failure to perform on the part of either Party shall be considered a breach of this
Agreement if such default, delay or failure to perform is shown to be due entirely to
causes occurring without the fault of or beyond the reasonable control of the Party
charged with such default, delay or failure, including, without limitation, causes such as
strikes, lockouts or other labour disputes, riots, civil disturbances, actions or
inactions of governmental authorities or suppliers, electrical power supply outage, a
failure or breakdown in the services of internet service providers, epidemics, war,
embargoes, severe weather, fire, earthquake and other natural calamities or, acts of God
or the public enemy. Force majeure shall include actions taken by the government of
Territory or agencies thereof, which restrict the ability of Licensee to remit payments to
Licensor under this agreement, or failure of the government of Territory or agencies
thereof to approve such payments.

 

 

	 	14.2	 	If the default, delay or failure to perform as set forth above in Article 14.1
exceeds one hundred eighty (180) days from the initial occurrence, a Party who is not
affected by such force majeure event shall have the right to terminate this Agreement with
a written notice to the other Party.

ARTICLE 15

GENERAL PROVISIONS

	 	15.1	 	Licensee may not assign, delegate or otherwise transfer in any manner any of its
rights, obligations and responsibilities under this Agreement, without prior written
consent of Licensor. Licensor may, with prior written notice to Licensee, assign, delegate
or otherwise transfer all or part of its rights, obligations and responsibilities under
this Agreement to a third party designated by Licensor.
	 
	 	15.2	 	It is understood and agreed by the Parties that this Agreement does not create a
fiduciary relationship between them, that Licensee shall be an independent contractor, and
that nothing in this Agreement is intended to constitute either Party an agent, legal
representative, subsidiary, joint venture, employee or servant of the other for any
purpose whatsoever.
	 
	 	15.3	 	If any kind of notices, consents, approvals, or waivers are to be given hereunder,
such notices, consents, approvals or waivers shall be in writing, shall be properly
addressed to the Party to whom such notice, consent, approval or waiver is directed, and
shall be either hand delivered to such Party or sent by certified mail, return receipt
requested, or sent by FedEx, DHL or comparable international courier service, or by
telephone, facsimile or electronic mail (in either case with written confirmation in any
of the other accepted forms of notice) to the following addresses or such addresses as may
be furnished by the respective Parties from time to time:

If to Licensor

Attention: Mr. Eric KWUN

15F, Nuritkum Square BIZ Tower, 1605, Sangam-Dong, Mapo-Gu, Seoul, Korea

Fax: +82-2-2132-7330

If to Licensee

Attention: Mr. Steve TSAO

Office no. 2, Ground Floor, Samsung Building, Dubai Internet City, Dubai, United Arab Emirates

Fax: +971-4-391-8509

	 	15.4	 	No course of dealing or delay by a Party in exercising any right, power, or remedy
under this Agreement shall operate as a waiver of any such right, power or remedy except
as expressly manifested in writing by the Party waiving such right, power or remedy, nor
shall the waiver by a Party of any breach by the other Party of any covenant, agreement or
provision contained in this Agreement be construed as a waiver of the covenant, agreement
or provision itself or any subsequent breach by the other Party of that or any other
covenant, agreement or provision contained in this Agreement.
	 
	 	15.5	 	This Agreement, including all exhibits, addenda and schedules referenced herein and
attached

 

 

	 	 	 	hereto, constitutes the entire agreement between the Parties hereto pertaining to the
subject matter hereof, and supersedes all negotiations, preliminary agreements, and all
prior and contemporaneous discussions and understandings of the Parties in connection with
the subject matter hereof.
	 
	 	15.6	 	This Agreement shall be written in English and all disputes on the meaning of this
Agreement shall be resolved in accordance with English version of this Agreement.
	 
	 	15.7	 	This Agreement may be amended only upon the execution of a written agreement between
Licensor and Licensee that makes specific reference to this Agreement.
	 
	 	15.8	 	This Agreement shall be governed by and construed in accordance with the laws of
Korea.
	 
	 	15.9	 	All disputes, controversies, or differences which may arise between the Parties, out
of or in relation to or in connection with this Agreement, or for the breach thereof,
shall be finally settled by arbitration in Seoul, Korea, in accordance with Arbitration
Rules of the Korean Commercial Arbitration Board and under the laws of Korea. The award
rendered by the arbitrator shall be final and binding upon both Parties concerned.
	 
	 	15.10	 	If any article, sub-article or other provision of this Agreement or the application
of such article, sub-article or provision, is held invalid, then the remainder of the
Agreement and the application of such article, sub-article or provision to persons or
circumstances other than those with respect to which it is held invalid shall not be
affected thereby.
	 
	 	15.11	 	Headings in this Agreement have been inserted for purpose of convenience only and
are not to be used in construing or interpreting this Agreement.

IN WITNESS WHEREOF, the Parties have executed this Agreement on the date first above written.

	 	 	 	 	 	 	 	 
	Gravity Co., Ltd
 	 	Tahadi Games Ltd.
 	 
	 	 	 	 
	Yoon Seok, KANG	 	Steve TSAO	 
	Chairman and CEO	 	CEOEX-4.72

Exhibit 4.72

EXCLUSIVE EMIL CHRONICLE ONLINE

LICENSE AND DISTRIBUTION AGREEMENT

This License Agreement (hereinafter referred to as “Agreement”) is made and entered into on this
26th day of February, 2009, (hereinafter referred to as “Effective Date”), by and
between Gravity Co., Ltd., a corporation duly organized and existing under the laws of the Republic
of Korea (hereinafter referred to as “Korea”) and having its principle office at 15F, Nuritkum
Square Business Tower, 1605, Sangam-Dong, Mapo-Gu, Seoul, Korea (hereinafter referred to as
“Licensor”), and PT. Wave Wahana Wisesa, a corporation duly organized and existing under the laws
of Indonesia and having its principal office at Kayun 24, Scomptec Building, Surabaya, Indonesia,
(hereinafter referred to as “Licensee”)

RECITALS

WHEREAS, Licensor entered into a license agreement(hereinafter referred to as the “License
Agreement”) with Developer to distribute and publish the commercial service version of “Emil
Chronicle Online”(hereinafter referred to as “Game”);

WHEREAS, Licensor desires to enter into a sublicense agreement with Licensee under the mutual terms
and conditions specified herein pursuant to which Licensee will make the Game available to End
Users in the Territory specified below; and

WHEREAS, Licensor desires to grant such sublicense to Licensee under the mutual terms and
conditions herein, specified below.

NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein and for
other good and valuable consideration, the Parties hereto agree as follows:

ARTICLE 1

DEFINITIONS

The terms defined in this Article shall have the meaning ascribed to them herein whenever they are
used in this Agreement, unless otherwise clearly indicated by the context.

1

 

	1.1	 	“Agreement” shall have the meanings set forth in the introductory section of this agreement,
and all annexes, amendments and supplements hereto.
	 
	1.2	 	“Confidential Information” shall mean all materials, know-how, software or other similar
types of information including, but not limited to, proprietary information and materials
regarding a Party’s technology, products, business information or objectives, including the
software for the Game and Technical Information as defined in this Agreement, as well as all
information which is designated as confidential in writing by the providing Party or which is
the type that is customarily considered to be confidential information by persons engaged in
similar activities.
	 
	1.3	 	“End Users” shall mean the users of the Game through a network game service system
established and operated by Licensee with individually assigned ID Numbers for each End User.
	 
	1.4	 	“Game” shall have the meaning stipulated in the recitals above, and shall further be defined
as including any modified or advanced version of the Game distributed by Licensor for error
correcting, updating or debugging purpose, under the same title. Any subtitled version, series
or sequel to the Game which may be developed or distributed by Licensor shall be clearly
excluded from the scope of this Agreement.
	 
	1.5	 	“ID Number” shall mean an identification number assigned to each End User, with which such
End User can access and use the network game service system established and operated by
Licensee.
	 
	1.6	 	“Intellectual Property” shall mean all patents, designs, utility models, copyrights,
know-how, trade secrets, trademarks, service mark, trade dress and any other intellectual
property rights, whether registered or not, in or related to the Game or Technical
Information.
	 
	1.7	 	“Local Language” shall mean Indonesian as used in the Territory.
	 
	1.8	 	“Local Version” shall mean the Game provided in the Local Language.
	 
	1.9	 	“Parties” and “Party” shall mean Licensor and Licensee, collectively and individually,
respectively.
	 
	1.10	 	“Servers” shall mean the servers established, installed and operated by Licensee within the
Indonesia only for the service of Game to End Users in the Territory.

2

 

	1.11	 	“Prepaid Cards” shall mean the tangible or intangible card containing a unique code or other
unique identifying information purchased by End Users to access the Game, as generated by
Licensee in its sole and exclusive discretion.
	 
	1.12	 	“Game Points” shall mean cyber points upon Prepaid Cards or accounts of End Users.
	 
	1.13	 	“Gross Sales Amount” shall mean the total value of Licensee including Prepaid Cards that are
purchased and registered by End Users, as calculated by use of the Billing System of the Game.
“Gross Sales Amount” does not include 10% of value added tax (VAT) or any sales tax.
	 
	1.14	 	“Billing System” shall mean the software and hardware necessary to calculate the Gross Sales
Amount.
	 
	1.15	 	“Technical Information” shall mean the software, know-how, data, test result, layouts,
artwork, processes, scripts, concepts and other technical information on or in relation to the
Game and the installation, operation, maintenance, service and use thereof.
	 
	1.16	 	“Territory” shall mean Indonesia.
	 
	1.17	 	“Closed Beta Test” shall mean the the secured and non-public testing of the beta version of
the localized Game by a select group of the End Users prior to the Open Beta test, which is to
be performed by Licensee in the Territory.
	 
	1.18	 	“Open Beta Test” shall mean the secured testing of the beta version of the localized Game by
offering the Game to the general public for free trial for a limited period of time prior to
the Commercial Launch Date of the Online Game, which is to be performed by Licensee in the
Territory.
	 
	1.19	 	“Commercial Launch Date” shall mean when Licensee commercially launch the Game and start
charging from the End Users directly or indirectly.
	 
	1.20	 	“Business Days” shall mean any days other than Saturday, Sunday and any other day designated
as a legal holiday by Indonesia government.
	 
	1.21	 	“Game Database” shall mean all the data collected and used to operate the Game, including,
but not limited to the personal identification information of End Users and game-play
information such as character appearances(e.g., face/body), character attributes(e.g., level/
experience, point/skill), item inventories and statistics in relation to End Users’ playing
Game
	 
	1.22	 	“Sublicensing” shall mean a license granting a portion or all of the rights, to a third

3

 

	 	 	party by Licensee, which has been granted to Licensee under this Agreement. When used as a verb, “Sublicense” means to engage in Sublicensing.
	 
	1.23.	 	“Developer” shall mean Gung Ho Online Entertainment, having its offices at 1-16-8F,
Kandanishikichou, Chiyoda0ku Tokyo, Japan, that developed and owns all rights in computer
programs of the Emil Chronicle Online.

ARTICLE 2

GRANT OF LICENSE

	2.1	 	Licensor hereby grants to Licensee, and Licensee hereby accepts from Licensor, under the
terms and conditions set forth in this Agreement, a non-transferable, royalty-bearing and
exclusive license within the Territory which shall be irrevocable during the period of this
Agreement so long as Licensee maintains in substantial compliance with the material terms
hereof, to do any or all of the following;

	 	(a)	 	To maintain and operate the Game within the Territory, and to grant subscriptions to
subscribers to access the Game within the Territory;
	 
	 	(b)	 	To reproduce, in object code form only, and to market, distribute and sell to
subscribers or potential subscribers, the client software in CD-Rom medium format or
through the Internet; and
	 
	 	(c)	 	To generate, market, promote, sell and distribute Prepaid Cards in accordance with
market demands.

	2.2	 	Licensee acknowledges and agrees that it has no rights or claims of any type to the Game
except such rights as created by this Agreement, and the Licensee irrevocably waives
and releases any claim to title and ownership rights (including trade secret and copyright
ownership) in the Game.
	 
	2.3	 	Unless explicitly approved in writing by Licensor, Licensee shall have no right to sublicense
the rights granted under Article 2.
	 
	2.4	 	Licensee is permitted to appoint sub-distributors to market, promote, sell and distribute the
client software in CD-Rom medium and the Prepaid Cards for the local service, provided that
Licensee agrees to be responsible for each sub-distributor’s compliance with all of the terms
and conditions contained herein applicable to Licensee. Licensee will not knowingly appoint
the sub-distributors who intend or are likely to resell them outside the Territory.
	 
	2.5	 	Any service, use, promotion, distribution and marketing of the Game outside the Territory and
any use of the Technical Information for any purpose other than performance under this
Agreement are strictly prohibited.
	 
	2.6	 	Licensee shall provide Game services only by way of the PC on-line method (excluding mobile
access) using the Servers.

4

 

	2.7	 	The Game shall be serviced, promoted, distributed and marketed under the titles, trademark,
character names and other names of the Game (hereinafter referred to as “Title”) as originally
created and used by Licensor, and/or as modified herein pursuant to the terms of Article 2.7.
Notwithstanding the foregoing, if a change to any of the foregoing Titles is required as a
result of any special lingual or social circumstance of the Territory, the Parties shall
decide and use a new Title (hereinafter referred to as “New Title”) for the Game. All of the
rights in or to the Title and New Title shall be exclusively owned by Licensor and Licensee
shall not use any such Title or New Title in a manner that falls outside the scope of this
Agreement without the prior written approval of Licensor.
	 
	2.8	 	All of the rights in or to the Game, except as granted under this Agreement, including but
not limited to the rights to the character business of the Game, shall remain exclusively with
Licensor.
	 
	 	 	However, Licensor will grant to Licensee the right of first negotiation for a period of sixty
(60) days from Licensor’s decision to do so, for the right to produce and/or sell and
distribute in the Territory merchandise relating to the Game, including but not limited to,
character dolls, reproductions of the characters in collaterals, and other similar types of
toys, gifts, collectibles, and other types of durable merchandise, as well as such other
accessories, under a separate merchandising agreement. Such right of first negotiation within
the foregoing 60 days period shall include the right of Licensee to match any reasonable and
bona fide offer received by Licensor from any third party.

ARTICLE 3

LOCALIZATION

	3.1	 	Licensor shall deliver to Licensee all localization materials, including game texts, scripts,
manual texts, documentation, marketing materials and in-game-voice-recordings (the
“Localization Materials”) for the Game in English or Chinese language as are necessary for
Licensee to localize the Game into Local Language for the exploitation of the Game
within the Territory.
	 
	3.2	 	Upon receipt of the Localization Materials, Licensee shall, at its own expense, perform
translation or recordings of the Localization Materials into Local Language to the reasonable
satisfaction of Licensor (“Translation”). The Translation shall be made faithfully and
accurately, shall be of good quality and shall consist of the whole of the textual, graphical
and audio material provided in the Localization Materials, without alteration, abridgment, or
supplement, unless Licensee has received the express written consent of Licensor approving
such modification.
	 
	3.3	 	In case the Translation or Contents of the Game requires modification because it may contain
false, misleading, fraudulent, libelous or obscene or other matter which is unlawful or which
may give rise to a criminal or civil cause of action, or will otherwise be considered obscene,
inappropriate, or offensive to the sensibilities of the End Users located in the Territory due
to cultural morals and norms, Licensee

5

 

	 	 	shall inform Licensor of such required modifications and the reasons thereof and Licensor shall
consent to such modifications so long as such modifications do not materially change the
original work.
	 
	3.4	 	Licensor reserves the right to disapprove the Translation before integration pursuant to
Article 3.6 below. Licensee will submit the Translation to Licensor for review. Licensor
shall then provide, within a reasonable amount of time, its acceptance or comments detailing
modifications to the Translation, and Licensee shall effect any modifications directed by
Licensor and, as soon as reasonably practicable, shall re-submit the new Translation for
approval by the Licensor and the above approval procedure shall be repeated until such items
are approved by the Licensor.
	 
	3.5	 	All costs and expenses arising from the performance of Licensee’s obligations in this Article
3 shall be borne by Licensee, including the costs of compensating all translators. Licensee
agrees to obtain from all translators proper written grants of all rights to their works.
	 
	3.6	 	Licensor and Licensee install Local Version at servers of Licensee in Territory for a test of
operation, not later than one hundred and twenty (120) calendar days from the date of
execution of this Agreement. The close beta test of the Game shall commence not later than one
hundred and fifty (150) calendar days from the date of execution of this Agreement. Licensee
shall launch the open beta test of the Game in the territory within thirty (30) calendar days
from the date of launch of the close beta test of the Game, and the commercial service of the
Game in the Territory within thirty (30) calendar days from the date of launch of the open
beta test of the Game but no later than two hundred (200) calendar days from the date of
execution of this Agreement. The Parties agree to cooperate with each other and exert their
best efforts to launch the services of the Game in accordance with the above schedule in this
Article 3.6. The above target dates for launching the services of the Game may be changed by
mutual agreement between the Parties
	 
	3.7	 	The Game shall be serviced in the Territory only in the manner permitted by Licensor under
this Agreement. Licensee shall be strictly prohibited from any modification, amendment or
revision to any part of the Game including the title of the Game and the name of the
characters in the Game, without the prior written approval of Licensor.
	 
	3.8	 	Licensee’s Billing System must be tested, analyzed and
approved by Licensor prior to being used in the Game. If the Licensee’s Billing System is considered suitable for the Game
by Licensor, such Billing System shall be applied to the Game. If Licensee’s Billing System has
unavoidable or other serious technical conflicts against the Game and may cause serious problem
for the Game service, Licensee shall agree to use a Billing System recommended by Licensor for
the purpose to mutually manage the local billing transparently. Upon Licensee’s request,
Licensor shall dispatch its billing account manager to synchronize Billing System with the Game
and incurring expense for this procedure shall be borne by Licensee. Licensee shall approve the
real-time access of Licensor to the Billing System under this
Agreement. Licensee shall approve the real-time access of Licensor to the Billing system and Game Database
only for the purpose of collecting the information necessary to calculate Royalty payment and
to analysis the number of End-Users, including, but

6

 

	 	 	not limited to, the maximum and average of daily concurrent End-Users and the registered number
of End-Users in the Territory.
 

Licensee shall make best efforts to provide an appropriate database interface agreed between
the Parties and adapt the formulated System, Network policy and technical configuration by
Licensor, which enables Licensor to monitor the aforementioned information in real-time basis
fourteen (14) days prior to the commercialization date of the Game in the Territory. Licensor
shall exert best efforts not to make any problems to Licensee’s billing system and provide the
stable work as applying the interface to Licensee’s billing system.

ARTICLE 4

INSTALLATION AND MAINTNANCE ASSISTANCE

	4.1	 	During the term of this Agreement, Licensor shall provide Licensee with installation and
maintenance assistance and support as determined by the Licensor sufficient to enable Licensee
to provide and maintain high-quality service for the Game. This assistance shall include, but
not limited to, software installation and set-up, maintenance support, patches and updates
used by the Game software, reasonable and appropriate support and assistance for the
localization of the Game into Local Version, training Licensee’s personnel in respect of the
maintenance and operation of the software for the Game provided that, any and all expenses
actually incurred by any engineers dispatched by Licensor to perform the above installation
and maintenance assistance in this Article 4.1, including, without limitation, traveling cost
including all round-trip airfare from Licensor to Licensee office, lodging, and other general
living expenses incurred during their stay at Licensee’s premises, shall be borne by Licensee.
	 
	4.2	 	During the term of this Agreement, Licensor shall receive Licensee’s personnel in its office
in Korea for training with respect to the service of the software for the Game and the
maintenance and operation of the Servers upon Licensee’s reasonable request. The number of the
trainees from Licensee shall not exceed three (3) persons at one time and the total period of
training shall not exceed seven (7) man-days (based on eight (8) hours of training per trainee
per day) per person sent, unless otherwise agreed in writing by Licensor. All of the expenses
for travel, lodging, food and other general living expenses incurred by such sent personnel of
Licensee shall be borne by Licensee. Engineers sent by Licensor to Licensee shall provide
training to any local staff if necessary.
	 
	4.3	 	Licensee has the option to request two (2) technical support personnel to perform maintenance
service in Licensee’s office prior to the commencement of the close beta test of the Game in
the Territory. Licensee agrees to reimburse Licensor in the actual amount incurred for the
followings:

	 	(1)	 	Annual Salary of USD 48,000 for two dispatched Technical Support Personnel,
which is monthly salary of USD 2,000 per person. The payment shall be
made upon Licensor’s written monthly invoice.
	 
	 	(2)	 	Daily allowance of USD 30 for each dispatched Technical Support Personnel.
	 
	 	(3)	 	Accommodation for the dispatched Technical Support Personnel.
	 
	 	(4)	 	Traveling Cost including all Round-Trip Airfare from Licensee to Licensor office for
the dispatched Technical Support Personnel
	 
	 	(5)	 	Mobile Phone communication charge within the boundary set by the Licensee.

7

 

	 	(6)	 	Duration of stay for the dispatched Technical Support Personnel shall last until the end
of the Game’s commercial service or after receiving the request from the
Licensee, both parties shall decrease the dispatched Technical Support Personnel under the
mutual agreement.

	4.4	 	Any further assistance may be rendered by Licensor upon mutual agreement of the Parties.

ARTICLE 5

ROYALTY PAYMENT AND TAXES

	5.1	 	License Fee

Licensee shall pay to Licensor a non-recoupable and non-refundable Licence fee(hereinafter referred
to as “License Fee”) in the amount of One Hundred and Ten Thousand United States Dollars (US $
110,000) in the following installments:

	 	(1)	 	USD 27,500: Within Fourteen(14) calendar days from the Effective Date
	 
	 	(2)	 	USD 27,500: Within Fourteen(14) calendar days from the commencement of the Closed
Beta Test
	 
	 	(3)	 	USD 27,500: Within Fourteen(14) calendar days from the commencement of the Open Beta
Test
	 
	 	(4)	 	USD 27,500: Within Fourteen(14) calendar days from the Commercial Launch Date
	 
	 	(5)	 	Licensee shall make said License Fee to Licensor after Licensee’s receipt of a
written invoice in such amount from Licensor.

	5.2	 	Minimum Guaranteed Payment
	 
	 	 	Licensee shall pay to Licensor a non-refundable, non-recoupable sum of One Hundred Thousand
United States Dollars (USD 100,000) as a Minimum Royalty (hereinafter referred to as “the MG
Payment”) in 4 installments as follows:

	 	(1)	 	USD 10,000: within Fourteen(14) calendar days after the last payment of Licensee
Fee
	 
	 	(2)	 	USD 30,000: within Ninety(90) calendar days from the Commercial Launch Date
	 
	 	(3)	 	USD 30,000: within One Hundred and Eighty(180) calendar days from the Commercial
Launch Date
	 
	 	(4)	 	USD 30,000: within Two Hundred and Seventy(270) calendar days from the Commercial
Launch Date
	 
	 	(5)	 	Licensee shall make said MG Payment to Licensor after Licensee’s receipt of a
written invoice in such amount from Licensor

	 	 	The Royalty Payment described in Section 5.3 shall be deemed as fully paid until the
accumulated Royalty Payment reaches the amount of the accumulated MG Payment paid to
Licensor. For the avoidance of doubt, Licensee shall only pay the balance between the
accumulated Royalty Payment and the accumulated MG Payment paid to Licensor if the
accumulated Royalty Payment until a specific

8

 

	 	 	month period goes beyond the accumulated Guarantee Payment paid to Licensor by then.

	5.3	 	Royalty Payment and Report
	 
	 	 	Licensee shall pay to Licensor as Royalty Payments Twenty Three percent (23 %) of the Gross
Sales Amount paid by End Users during the commercial period of this Agreement. Subject to
Article 5.3 below, the Royalty Payment shall be paid by Licensee on a monthly basis within
Twenty (20) days after the end of the applicable month. The Royalty Payment shall be deemed
made upon presentation by Licensee of remittance confirmation or notice to Licensor of payment.
Unless Licensor actually receives the remitted amount, the Royalty Payment shall not be deemed
to have been paid. Licensee may not set-off the Royalty Payment against any claims Licensee
may have against the Licensor. Licensee shall also provide Licensor with a report (“Royalty
Report”) on a monthly basis within Fifteen (15) days after the end of the applicable month.
Each Royalty Report shall contain detailed information concerning the calculation of
Gross-Sales Amount for the applicable month.
	 
	5.4	 	Any and all payments under this Agreement by Licensee to Licensor shall be made in US Dollars
(USD) and by wire transfer to any bank account designated by Licensor. The exchange rate
between Indonesia Rupee and US Dollar for calculating accumulated total Gross Sales above
shall be the official opening USD exchange rates as set The Bank Indonesia
(http://www.bi.go.id/web/id/) on the last business day of the applicable month or its nearest.
	 
	5.5	 	In the event any payment is not made by Licensee within the due date described in this
Agreement, a default interest at the rate of Eighteen percent (18%) per annum of the actual
amount of delayed payment shall be applied. For the avoidance of doubt, Licensor’s entitlement
to such default Interest pursuant to this Article 5.5 shall not affect any of the other rights
of Licensor under this Agreement.
	 
	5.6	 	Except as may be otherwise provided for herein, unless explicitly approved in writing by
Licensor, Any and all taxes including the sales tax, value added tax, income tax, duties,
fees and other government charges of any kind on any payment to Licensor under this Agreement shall be borne by Licensee, provided, however, if any government in the
Indonesia requires Licensee to withhold the withholding tax on the payment to Licensor,
Licensee is allowed to withhold such tax no more than (10%) from such payments only if Licensor
is entitled to receive such payments as a tax credit under the relevant laws of Korea or any
existing tax treaty between the respective countries of operation of Licensor and Licensee. In
the event that any amount is withheld for the tax payment under this Article 5.6, Licensee
shall promptly inform Licensor of such payment and provide Licensor with a certification issued
by the relevant tax authorities with respect to the relevant payment. Any withholding tax in
excess of the aforesaid limit shall be borne by Licensee, and shall not be deducted from the
actual payment amount.
	 
	5.7	 	Licensee shall hold Licensor harmless from all claims and liability arising from Licensee’s
failure to report or pay such taxes, duties, fees and other governmental charges of any kind.

9

 

	5.8	 	If Licensee shall be prevented by order or regulation of the government of the Territory from
transmitting any payment due hereunder then Licensor shall nominate in writing an alternative
method of collecting such payment which shall not be restricted by such order or regulation
and such alternative method shall be binding on Licensee until such order or regulation shall
be withdrawn.

ARTICLE 6

REPORT & AUDIT

	6.1	 	Licensee shall provide Licensor with all relevant and non-privileged information pertaining
to the development of its business in relation to the Game. Without limiting the generality of
the foregoing, Licensee shall inform Licensor promptly in the event of its launch of the beta
tests or the commercial service of the Game.
	 
	6.2	 	Licensee shall provide Licensor with a monthly report (the “Monthly Report”) within fifteen
(15) days after the end of the applicable month. Such report shall be in writing and discuss
Licensee’s business activities in relation to the Game, including, but not limited to, the
number of End-Users including the maximum and average number of concurrent End-Users, the fees
charged by Licensee, the total service amounts for the pertinent month, the amounts spent on
advertising activities, complaints received from End Users and market trends in the Territory.
	 
	6.3	 	Licensee shall keep all of their records, contractual and accounting documents and company
documents in relation to its business and other activities related to this Agreement in its
principal offices during the term of this Agreement and for not less than five (5) years after
the expiration or termination of this Agreement.
	 
	6.4	 	During the term of this Agreement and for five (5) years after the expiration or termination
hereof, Licensor may by itself or through an accountant designated by Licensor investigate and
audit the accounting documents of Licensee with respect to its Game business upon seven (7)
days prior written notice to Licensee. For this purpose, Licensor may request Licensee to
produce relevant documents, and may visit Licensee’s office and make copies of Licensee’s
documents. Licensee shall provide all assistance and co-operation required by Licensor for
such investigation and audit.
	 
	6.5	 	All expenses incurred for such investigation and audit shall be borne by Licensor.
	 
	6.6	 	If such investigation and audit reveals underpayment by greater than five percent (5%) of the
annual Royalty Payment amount, Licensee shall bear all expenses for such investigation and
audit and shall immediately pay to Licensor the unpaid amount together with a per annum
default interest thereon equivalent to 15% percent thereof. In the event of Licensee’s
understatement of the Royalty Payment amount without any justifiable reasons, Licensor shall
be entitled to terminate this Agreement pursuant to Article 13.3(b) below.

10

 

ARTICLE 7

ADVERTISING & PROMOTION

	7.1	 	Licensee shall exert its best efforts to advertise, promote and perform marketing activities
for the Game in the Territory.
	 
	7.2	 	For the advertising and promotion of the Game in the Territory, Licensee agrees to spend a
minimum of (USD 120,000) for each twelve-month period after Effective Date. Such amount shall
include funds spent directly by Licensee or by third parties with which Licensee has marketing
or distribution agreements. Licensee shall provide Licensor with detailed information on
Licensee’s advertising activities every month in Monthly Report in accordance with the
requirement of Article 6.2. In addition, Licensee shall provide Licensor with a separate
advertisement report on June 30 and December 31 of each year covering the preceding six (6)
months’ period.
	 
	7.3	 	Licensor will provide Licensee with samples of the marketing and promotional materials for
the Game that have been or will be produced on behalf of Licensor during the term of this
Agreement. Licensee shall pattern all its advertising, marketing and promotional materials for
the Game in the Territory after the samples furnished to Licensee by Licensor, and Licensee
shall provide Licensor with samples of the advertising, marketing and promotional materials
for the Game produced by Licensee no later than seven (7) days before launching of each
campaign. Within seven (7) days after receiving the samples of Licensee’s advertising,
marketing and promotional materials, Licensor shall notify Licensee in writing of Licensor’s
approval or disapproval thereof, or of any changes that Licensor may require Licensee to make
thereto.
	 
	7.4	 	Except as otherwise provided herein, the ownership of and the copyright in the marketing and
advertising materials produced or used by Licensee on the Game (“Advertising Materials”) shall
remain exclusively with Licensor, and Licensee shall not use the Advertising Materials for any
purpose other than promotion, distribution, marketing and advertising of the Game pursuant to
the terms and conditions of this Agreement.
	 
	7.5	 	Licensee may provide End Users with such number of free Game Points and free accounts as may
be reasonably necessary, in Licensee’s sole discretion, for the purposes of the promotion,
operation and advertisement of the Game only with prior written approval from Licensor.
Detailed information regarding free Game Points and accounts provided by Licensee to End Users
shall be supplied to Licensor on a monthly basis in Monthly Report required by Article 6.2,
hereof.

ARTICLE 8

OTHER OBLIGATIONS OF LICENSEE

	8.1	 	Licensee shall exert its best efforts to supply, distribute and promote the Game in the
Territory.

11

 

	8.2	 	Except as provided herein Licensee shall be solely responsible for service, use, promotion,
distribution and marketing of the Game in the Territory, and Licensor shall not be responsible
for or obligated to provide any of the foregoing above and beyond the obligations stated in
this Agreement.
	 
	8.3	 	Licensee shall provide full and comprehensive installation and maintenance support to End
Users to assist them in their use of the Game as approved by Licensor, including but not
limited to Licensee’s maintaining 24-hour installation and maintenance contact window, on-line
customer services, sufficient outbound bandwidth and circuits for operating business under
this Agreement, and game servers required for on-line game operation.
	 
	8.4	 	Licensee shall provide its best efforts to protect the Intellectual Property rights of
Licensor and shall assist Licensor to procure appropriate legal and administrative measures
against any and all activities by third parties infringing the Game or any of the Intellectual
Property rights of Licensor on or in relation to the Game, including without limitation to,
manufacture or sales of counterfeiting CDs, manuals, workbooks or other products.
	 
	8.5	 	Licensee shall abide by all laws and regulations of the Territory in its service, use,
promotion, distribution and marketing of the Game in the Territory.
	 
	8.6	 	Licensee shall provide a prior written notice to Licensor in the event Licensee intends to
change its marketing strategies, including advertising, marketing, promotional materials,
product packaging and price policies relating to the Game, and other important policies.
	 
	8.7	 	Licensee shall indemnify and hold harmless for Licensor and as well as their respective
officers and employees from any kind of losses, costs, expenses or liabilities, including
reasonable attorneys’ fees resulting from any claim, whether in tort, contract, product
liability or otherwise by a third party on or in relation to Licensee’s service, use,
promotion, distribution and marketing of the Game.
	 
	8.8	 	Upon Licensor’s request, Licensee shall provide Licensor with a reasonable amount of suitable
office space and office supplies in Licensee’s office for the auditing activities of Licensor.
Access to such office space shall be limited only to persons designated by Licensor. All
expenses incurred by Licensor’s employees and auditor sent to Licensee’s offices for
transportation, postage, telecommunications, lodging, food and other general living expenses,
and the salaries for such employees during their stay at such offices shall be borne and paid
by Licensor.
	 
	8.9	 	Licensee shall not (a) copy, modify, display or distribute to any person all or any part of
the Game, except as provided for herein; (b) disassemble, decompile or reverse engineer the
Game, or any part thereof; (c) use, distribute or provide the Game to any third parties,
except as authorized in this Agreement; (d) distribute or make the Game, or any executables
derived or produced therefrom; (e) knowingly distribute, make available or disclose the Game
to any third party except as authorized herein; (f) license, sublicense, distribute or make
available the Game to any third party,

12

 

	 	 	except as provided in this Agreement; or (g) assist any other person or entity in doing any of
the foregoing. Licensee shall use commercially reasonable efforts to prevent any third party
from doing all or any of the foregoing without the permission of Licensor. Licensee shall be
responsible for all matters arising out of any payment relating to sub-distributor.

ARTICLE 9

TECHNICAL INFORMATION AND INTELLECTUAL PROPERTY

	9.1	 	Technical Information and Intellectual Property shall be exclusively owned by Licensor and
Developer whether or not specifically recognized or registered under applicable law, and this
Agreement shall not grant Licensee or permit Licensee to exercise any right or license in or
to the Technical Information and Intellectual Property except for the License granted under
this Agreement. Licensee shall not obtain or try to obtain any registered industrial property
or copyright in or over any of the Technical Information and Intellectual Property of Licensor
regardless of the territory and exploitation area.
	 
	9.2	 	Licensor hereby represents and warrants that Licensor is the legal owner of the Technical
Information and Intellectual Property; that it has a legal and valid right to grant the rights
and License under this Agreement to Licensee, and that the Game and Technical Information do
not violate or infringe any patent, copyright and trademark of any third party in Korea.
	 
	9.3	 	Licensor further guarantees and warrants to Licensee that the Game and the corresponding
Technical Information and accompanying Intellectual Property, to its knowledge at the time of
signing of this Agreement;

	 	(a)	 	does not violate any Intellectual Property rights of any third party or any rights of
publicity or privacy in Korea;
	 
	 	(b)	 	does not violate any law, statute, ordinance or regulation (including without
limitation the laws and regulations governing export control, unfair competition,
anti-discrimination or false advertising) of Korea; and
	 
	 	(c)	 	shall not contain any obscene, child pornographic or indecent content.

	9.4	 	Licensor agrees to indemnify and hold harmless for Licensee from any kind of losses, costs,
expenses or liabilities, including actual attorneys’ fees and costs of settlement, resulting
from the breach by Licensor of its express warranties given in this Agreement, including,
without limitation that provided in Article 9.3, provided that Licensee (a) shall promptly
notify Licensor of such claim; (b) Licensee shall cooperate in the defence of such claim
and/or any related settlement negotiations; and (c) provides any reasonable assistance
requested by Licensor in connection with such claim.
	 
	9.5	 	Licensee shall take all reasonable action to procure appropriate legal and administrative
measures against any and all activities by third parties infringing any of

13

 

	 	 	the Intellectual Property rights of Licensor, or to address and answer any third party claims
or demands in respect of the Intellectual Property rights at Licensee’s own cost.
	 
	9.6	 	Licensee shall not change or remove any mark (including any rights such as copyright or
trademark rights) on the Game. Licensee shall cause all of its services and advertisements to bear
the copyright mark “© GungHo Online Entertainment, Inc.” and “© Gravity Co., Ltd.” at conspicuous
location.

ARTICLE 10

LIMITATION OF LIABILITY

	10.1	 	Except as may be otherwise provided for herein, Licensor makes no warranties, express or
implied, concerning the Game including but not limited to its merchantability or salability in
the Territory.
	 
	10.2	 	In no event will either party be liable to the other for any indirect, consequential,
incidental, punitive or special damages, whether based on breach of contract, tort (including
negligence) or otherwise, and whether or not such party has been advised of the possibility of
such damage.
	 
	10.3	 	The aggregate liability of Licensor under or relating to this Agreement whether in contract, tort (including without limitation negligence) or otherwise, shall be limited to an
amount equal to the total amount of the payments made by Licensee during the period of six (6)
months preceding the first date in which Licensee demands damages in writing against Licensor.
	 
	10.4	 	Licensee shall solely be responsible for any and all obligations to End Users imposed by the
government of the Territory and Licensee shall indemnify and protect Licensor against any and
all claims by End Users due to faults attributable to Licensee in the event that Licensee
terminates the service of Game to End Users for any reason whatsoever and/or this Agreement
for any reason whatsoever.

ARTICLE 11

CONFIDENTIALITY

	11.1	 	All Confidential Information disclosed by either Party under this Agreement shall be
maintained in confidence by the receiving Party and shall not be used for any purpose other
than explicitly granted under this Agreement. Each Party agrees that it shall provide
Confidential Information received from the other Party only to its employees, consultants and
advisors who need to know for the performance of this Agreement. The receiving Party shall be
responsible for any breach of this Article by its employees, consultants and advisors.

14

 

	11.2	 	In the event that any Confidential Information, including but not limited to the source codes
of the Game, Technical Information and financial information, is disclosed or divulged to any
third party who is not authorized to have access to or obtain such Confidential Information
under this Agreement, the Parties shall cooperate with each other and exert their best efforts
to protect or restore such Confidential Information from such unauthorized disclosure or
divulgement. If such disclosure or divulgement of the Confidential Information was made due to
the receiving Party’s gross negligence or bad faith, the receiving Party shall be responsible
for all of the damages incurred by the disclosing Party, including but not limited to any
attorneys’ fees incurred by the disclosing Party in order to protect its rights under this
Article 11.
	 
	11.3	 	The confidential obligation shall not apply, in the event that it can be shown by competent
documents that the Confidential Information;

	 	(a)	 	becomes published or generally known to the public before or after the execution of
this Agreement without any breach of this Agreement by any Party;
	 
	 	(b)	 	was known by the receiving Party prior to the date of disclosure to the receiving
Party;
	 
	 	(c)	 	either before or after the date of disclosure is lawfully disclosed to the receiving
Party by a third party who is not under any confidentiality obligation to the disclosing
Party for such information;
	 
	 	(d)	 	is independently developed by or for the receiving Party without reference to or
reliance upon the Confidential Information; or
	 
	 	(e)	 	is required to be disclosed by the receiving Party in accordance with the applicable
laws and orders from the government or court; provided that, in this case, the receiving
Party shall provide prior written notice of such disclosure to the providing Party and
takes reasonable and lawful actions to avoid and/or minimize the degree of such
disclosure.

ARTICLE 12

TERM

	12.1	 	This Agreement shall become effective on the execution date of this Agreement and shall
remain in effect for a period of Three (3) years counted from the Commercial Launch Date
unless sooner terminated in accordance herewith. No later than Three (3) months prior to the
expiration of the License Agreement, Licensor shall give Licensee the first right of
negotiation for a period of thirty (30) days for re-execution of a License Agreement for an
additional term of One (1) year (the “ Renewal”) for Emil Chronicle Online. If no agreement in
writing is made between the Parties for renewal or re-execution of a License Agreement during
such period, License Agreement shall expire without any further extension or renewal.

ARTICLE 13

TERMINATION

15

 

	13.1	 	This Agreement may be terminated upon a mutual written agreement of the Parties.
	 
	13.2	 	Each Party shall have the right to immediately terminate this Agreement;

	 	(a)	 	upon written notice to the other Party in the event of the other Party’s
material breach of this Agreement and such breach shall continue for a period of
thirty (30) days after the breaching Party’s receipt of written notice setting forth
the nature of the breach or its failure to perform and the manner in which it may be
remedied;
	 
	 	(b)	 	if the other Party or its creditors or any other eligible party files for its
liquidation, bankruptcy, reorganization, composition or dissolution, or if the other
Party is unable to pay any kind of debts as they become due, or the creditors of the
other Party have taken over its management; or
	 
	 	(c)	 	in accordance with Article 13.3 below.

	13.3	 	Notwithstanding Article 13.2 above, Licensor may immediately terminate this
Agreement upon a written notice to Licensee;

	 	(a)	 	if any payment due Licensor including, but not limited to License Fee, MG
Payment, and Royalty Payment, is not paid by Licensee within twenty (20) days after
receiving written notice from Licensor for late payment;
	 
	 	(b)	 	in the event of a willful, gross understatement by Licensee of the payment
due Licensor without any justifiable reasons as defined in Article 6.6;
	 
	 	(c)	 	if the beta tests of the Game is not launched in the Territory within the period set
forth in Article 3.6, unless such failure has been caused by Licensor or is due to force
majeure event as set forth in Article 14;
	 
	 	(d)	 	if the commercial service of the Game is not launched in the Territory within the
period set forth in Article 3.6, unless such failure has been caused by Licensor or is due
to force majeure event as set forth in Article 14;
	 
	 	(e)	 	if the service of Game in the Territory is stopped, suspended, discontinued
or disrupted for more than fifteen (15) consecutive days during the term of this
Agreement due to causes attributable to Licensee; or
	 
	 	(f)	 	if the Game in the Territory is provided upon free or unreasonably low
price, compared to fair market value, by Licensee without prior written approval from
Licensor except as otherwise specified in by Article 7.5.

	13.4	 	Upon termination, all rights granted to Licensee hereunder shall immediately cease and shall
revert to Licensor, and Licensee shall immediately cease servicing of the Game and return to
Licensor any and all software, technical documents and other materials or information provided
by Licensor to Licensee under this Agreement, and shall destroy any and all copies of such
software, technical documents, materials or information. Furthermore, Licensee shall provide
and deliver to Licensor any and all such information and documents related to the Game,
including but not limited to

16

 

	 	 	database related to the Game and information and/or data source about the Game users, as may be
requested by Licensor.
	 
	13.5	 	No termination of this Agreement shall affect the Parties’ rights or obligations that
were incurred prior to the termination. The expiration or termination of this
Agreement shall not affect the effectiveness of Articles 6, 9, 10, 11, and 13.4, which
shall survive the expiration or termination of this Agreement.
	 
	13.6	 	Licensor shall have no liability to Licensee for damages of any kind, including
indirect, incidental or consequential damages, on account of the termination or
expiration of this Agreement in accordance with its terms.
	 
	13.7	 	Upon termination or expiration of this Agreement, Licensee shall shut down and
terminate the service of Game provided by Licensee. Licensor shall have the right to
assume the service of the Game one (1) month prior to such termination. Licensor
may elect to purchase any equipment purchased by Licensee for the service of the
Game at the fair market value of such equipment on the date Licensor elects to
assume the service of the Game as determined by an independent third party expert
appointed by mutual consent of the Parties.

ARTICLE 14

FORCE MAJEURE

	14.1	 	Notwithstanding anything in this Agreement to the contrary, no default, delay or failure to
perform on the part of either Party shall be considered a breach of this Agreement if such
default, delay or failure to perform is shown to be due entirely to causes occurring without
the fault of or beyond the reasonable control of the Party charged with such default, delay or
failure, including, without limitation, causes such as strikes, lockouts or other labour
disputes, riots, civil disturbances, actions or inactions of governmental authorities or
suppliers, electrical power supply outage, a failure or breakdown in the services of internet
service providers, epidemics, war, embargoes, severe weather, fire, earthquake and other
natural calamities or, acts of God or the public enemy. Force majeure shall include actions
taken by the government of Territory or agencies thereof, which restrict the ability of
Licensee to remit payments to Licensor under this agreement, or failure of the government of
Territory or agencies thereof to approve such payments.
	 
	14.2	 	If the default, delay or failure to perform as set forth above in Article 14.1 exceeds one
hundred eighty (180) days from the initial occurrence, a Party who is not affected by such
force majeure event shall have the right to terminate this Agreement with a written notice to
the other Party.

ARTICLE 15

GENERAL PROVISIONS

17

 

	15.1	 	Licensee may not assign, delegate or otherwise transfer in any manner any of its rights,
obligations and responsibilities under this Agreement, without prior written consent of
Licensor. Licensor may, with prior written notice to Licensee, assign, delegate or otherwise
transfer all or part of its rights, obligations and responsibilities under this Agreement to a
third party designated by Licensor.
	 
	15.2	 	It is understood and agreed by the Parties that this Agreement does not create a fiduciary
relationship between them, that Licensee shall be an independent contractor, and that nothing
in this Agreement is intended to constitute either Party an agent, legal representative,
subsidiary, joint venture, employee or servant of the other for any purpose whatsoever.
	 
	15.3	 	If any kind of notices, consents, approvals, or waivers are to be given hereunder, such
notices, consents, approvals or waivers shall be in writing, shall be properly addressed to
the Party to whom such notice, consent, approval or waiver is directed, and shall be either
hand delivered to such Party or sent by certified mail, return receipt requested, or sent by
FedEx, DHL or comparable international courier service, or by telephone, facsimile or
electronic mail (in either case with written confirmation in any of the other accepted forms
of notice) to the following addresses or such addresses as may be furnished by the respective
Parties from time to time:

	 	If to Licensor
	 
	 	Attention: Yoon-Seok Kang (Chairman & CEO)
	 
	 	15F, Nuritkum Square Business Tower, 1605, Sangam-Dong, Mapo-Gu, Seoul, Korea
	 
	 	Fax: +82-2-2132-7000
	 
	 	If to Licensee
	 
	 	Attention: MINTO S WAHONO
	 
	 	JL KAYUN No.24, SCOMPTEC BLDG, SURABAYA, INDONESIA
	 
	 	Fax: +62-31-5319806

	15.4	 	No course of dealing or delay by a Party in exercising any right, power, or remedy under this
Agreement shall operate as a waiver of any such right, power or remedy except as expressly
manifested in writing by the Party waiving such right, power or remedy, nor shall the waiver
by a Party of any breach by the other Party of any covenant, agreement or provision contained
in this Agreement be construed as a waiver of the covenant, agreement or provision itself or
any subsequent breach by the other Party of that or any other covenant, agreement or provision
contained in this Agreement.
	 
	15.5	 	This Agreement, including all exhibits, addenda and schedules referenced herein and attached
hereto, constitutes the entire agreement between the Parties hereto pertaining to the subject
matter hereof, and supersedes all negotiations, preliminary agreements, and all prior and
contemporaneous discussions and understandings of the Parties in connection with the subject
matter hereof.

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	15.6	 	This Agreement shall be written in English and all disputes on the meaning of this Agreement
shall be resolved in accordance with English version of this Agreement.
	 
	15.7	 	This Agreement may be amended only upon the execution of a written agreement between Licensor
and Licensee that makes specific reference to this Agreement.
	 
	15.8	 	This Agreement shall be governed by and construed in accordance with the laws of Korea.
	 
	15.9	 	All disputes, controversies, or differences which may arise between the Parties, out of or in
relation to or in connection with this Agreement, or for the breach thereof, shall be finally
settled by arbitration in Seoul, Korea, in accordance with Arbitration Rules of the Korean
Commercial Arbitration Board and under the laws of Korea. The award rendered by the arbitrator
shall be final and binding upon both Parties concerned.
	 
	15.10	 	If any article, sub-article or other provision of this Agreement or the application of such
article, sub-article or provision, is held invalid, then the remainder of the Agreement and
the application of such article, sub-article or provision to persons or circumstances other
than those with respect to which it is held invalid shall not be affected thereby.
	 
	15.11	 	Headings in this Agreement have been inserted for purpose of convenience only and are not to
be used in construing or interpreting this Agreement.

IN WITNESS WHEREOF, the Parties have executed this Agreement on the date first above-written.

	 	 	 	 	 	 	 	 
	Gravity Co., Ltd
 	 	PT. Wave Wahana Wisesa
 	 
	By:  	 	 	By:	 	 
	Name: Yoon-Seok Kang	 	Name: MINTO S WAHONO	 
	Title: Chairman & CEO	 	Title: CHAIRMAN	 

19

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