Document:

Filed by Automated Filing Services Inc. (604) 609-0244 - Net1 U.E.P.S. Technologies, Inc. - Exhibit 10.7

EXHIBIT 10.7

	

        Product Licence Agreement 

        

       
        

      

       U.E.P.S.  

       Universal Electronic Payment System
        

        

       PRODUCT LICENCE AGREEMENT  

       BETWEEN  

       Net1 Holdings S.A.R.L. 
        

        Reg No. 14933 

       AND 

       Banque De Commerce, De Development
        Et D’ Industrie B.C.D.I. S.A.  

        Rwanda

      

      

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

	TABLE OF CONTENTS	 
	 	 	 
	1	Definitions	1
	 	 	 
	2	Licence	2
	 	 	 
	3	Delivery	3
	 	 	 
	4	Acceptance Of The Licensed Products	4
	 	 	 
	5	Warranty	5
	 	 	 
	6	Program Source Code	5
	 	 	 
	7	Use	6
	 	 	 
	8	Safe Preservation	6
	 	 	 
	9	Unauthorised Use	7
	 	 	 
	10	Infringement	7
	 	 	 
	11	Charges And Payment	8
	 	 	 
	12	Confidentiality	8
	 	 	 
	13	Product Modification	9
	 	 	 
	14	Limitation Of Liability	9
	 	 	 
	15	Copyright	11
	 	 	 
	16	Termination	11
	 	 	 
	17	Non-solicitation	12
	 	 	 
	18	Customer Responsibilities	12
	 	 	 
	19	Customer’s Name	12
	 	 	 
	20	Force Majeure	12
	 	 	 
	21	Notices	12
	 	 	 
	22	Variation	13
	 	 	 
	23	Waiver	13
	 	 	 
	24	Whole Agreement	13
	 	 	 
	25	Severability	13
	 	 	 
	26	Headings	13
	 	 	 
	27	Governing Law	14
	 	 	 
	28	Settlement Of Disputes	14

	Page
      i 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 Universal Electronic Payment Systems 

  U.E.P.S. 

 PRODUCT LICENCE AGREEMENT 

 This AGREEMENT is made this ______ day of ________ of 1999,
  by Net 1 Holdings S.A.R.L. Registration No. 14933 (Net1), whose registered offices
  are situated at 6 Rue Jean Monnet, L-2180, Luxembourg. 

and 

Banque De Commerce, De Development Et d’Industrie (Customer),
  Avenue de la Paix, B.P. 3268, Kigali, Rwanda. 

 WHEREAS Net1 owns a software product known as the Universal
  Electronic Payment System (U.E.P.S.) and the Customer desires to use
  the U.E.P.S. Licensed Products. 

 1) DEFINITIONS

1.1     This
  Agreement consists of the terms and conditions stated herein and in the Attachments
  which detail the Licensed Products to be used by the Customer on Designated
  Equipment Groups upon signature by both parties. 

1.2      “Confidential
  Information” means the Licensed Products and all information proprietary
  data and derivative works related to the Licensed Products as well as research,
  development, trade secrets or business affairs of Net1 and its employees, customers,
  subsidiaries, affiliates and agents supplied to the Customer by Net1 pursuant
  to this Agreement and like information provided to Net1 by the Customer pursuant
  to this Agreement. 

1.3      “Acceptance”
  shall mean confirmation that the Licensed Product has been adequately tested
  by the Customer. 

1.4      “Copy(ies)”
  means each separate occurrence of any Licensed Product, or portion thereof.

1.5      “Delivery”
  shall be construed as defined in Clause 3 of this Agreement. 

1.6      “Designated
  Equipment Group” (“DEG”) means the equipment needed to run the
  U.E.P.S.

1.7      “Documentation”
  shall mean the Licensed Product Manual(s) together with such associated technical
  literature as shall be specified by Net1 to be Documentation for the purpose
  of this Agreement. 

1.8      “Enhancements”
  means significant changes to the Licensed Products resulting in the addition
  of a feature or capability not present in the Licensed Product prior to the
  introduction of the changes as well as any changes to the Licensed Product designed
  to permit the use of the

	Page
      1

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

Licensed Product on hardware and/or
  in conjunction with operating systems software other than that for which the
  Licensed Product was initially designed. 

1.9      “Installation”
  means the physical loading and linking of the Licensed product programs on DEG,
  in the appropriate way to perform the functions stated in the specifications
  documentation, and the demonstration of the proper operation of said functions.

1.10      “Licensed
  Product” means each U.E.P.S. software product listed in the Agreements
  consisting of object code programs as modified and varied from time to time,
  through Updates, in machine readable form, being Licensed by Net1 to the Customer.

1.11      “Man
  Days” means 7.5 hours, between 09.00 hours and 17.00 hours, Monday to Friday
  (excluding public and bank holidays). 

1.12      “Modifications”
  means changes, improvements or customisation of or to the Licensed Product which
  may be required to adapt the Licensed Product to the requirements of the Customers.

1.13      “Productive
  Use” shall mean any Use of the Licensed Product or Documentation to process
  any actual business transaction of the Customer in parallel or live mode. 

1.14      “Territory”
  means geographical area/s as set out in Appendix 2 attached hereto. 

1.15      “Update”
  means any news release, change, enhancement or correction to any Licensed Product
  or portion thereof produced or supplied by Net1 generally to its customers for
  the Licensed Product and to the Customer. 

1.16      “Use”
  means the initial execution of each Copy of any one or more Licensed Products
  and any continued use of Such Copy which may occur thereafter. 

1.17      “Upgrades”
  means changes or improvements to the Licensed Product which relate to or affect
  the operating performance of the Licensed Product or an aspect of the Licensed
  Product, but which don’t change the basic operation or functioning of the
  Licensed Product. 

 2) LICENCE

2.1      Net1
  hereby agrees to grant to the Customer and the Customer hereby accepts a non-exclusive
  non-transferable licence to Use the Licensed Products specified in the Attachments
  on a perpetual basis subject to the terms and conditions herein. In consideration
  for said licence, the Customer shall pay Net1 a Licence Fee for the Licensed
  Product as provided in this Agreement and set forth in the attached Appendix
  1, of the Product Licence Agreement. The licence to Use the Licensed Products
  hereby granted to the Customer is conditional upon payment of the licence Fees
  and other charges as they fall due from time to time.

	Page
      2

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

2.2      The
  Licensed Products many only be used in the Territory(ies), listed in Appendix
  2 of the Product Licence Agreement. 

2.3      Save
  as provided in Clauses 7 and 8 of the Product Licence Agreement the Customer
  is specifically prohibited from creating any copies for reasons other than the
  ones explicitly stated in this Agreement. 

2.4      This
  Agreement is specific to the Customer and the Customer shall not be entitled
  to assign, cede, transfer, part with or subject any interest in it or grant
  any right or obligation under it either in whole or in part to any third party
  without the written consent of Net1. The Customer shall be deemed to include
  all of its controlled subsidiaries in which it has a minimum 51% equity stake.
  This Agreement may on notice to the Customer be assigned by Net1 to any company
  being a subsidiary or partner of Net1. 

2.5      The
  Licensed Products consist of proprietary products which are and shall remain
  the exclusive property of Net1 and the Customer shall have no right title or
  interest therein except as expressly set forth in the Agreement. Any modification
  of a Licensed Product by or on behalf of the Customer will not affect the restrictions
  and obligations placed upon the Customer by Net1. 

2.6      To
  assist Net1 in the protection of its proprietary rights, the Customer shall
  permit representatives of Net1 to inspect (at all reasonable times during normal
  working hours) the location at which and the DEG upon which any Licensed Products
  are being used or kept and the Customer’s records of use of the Licensed
  Products and any copies thereof. Net1 will give sufficient prior notice to the
  Customer regarding the enforcement of this clause and will use all reasonable
  efforts to minimise disruption to the normal business activities of the Customer.

 3) DELIVERY

3.1      Delivery
  of an item or Licensed Products is effected when a copy of that Licensed Product
  and of the related documentation are handed to the Customer. 

3.2      The
  date of the delivery shall be determined once the equipment orders have been
  placed and delivery times stipulated. (Please see the Proposal for time frames).
  All dates given by Net1 for scheduling and performing any of its obligations
  under this Agreement are estimated only and Net1 shall not be liable for any
  damages or penalty, whatsoever for failure to meet any such date and/or for
  any other delay. 

3.3      Upon
  delivery the Customer will verify that the Licensed Products delivered contains
  the items Licensed and acknowledge delivery in writing.

	Page
      3

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

3.4      Without
  prejudice to its other rights and remedies. Net1 may postpone or cancel any
  delivery or further delivery until all money then due from the Customer has
  been paid. 

3.5      Unless,
  otherwise agreed in the Agreement, further copies of the Licensed Products and
  of the related Documentation may be obtained separately from Net1, on payment
  of the relevant fees. 

3.6      If
  there is any delay in the installation of the Licensed Products arising as a
  result of the fault or negligence of the Customer, Net1 will be entitled to
  make an additional charge to the Customer in respect of any costs or losses
  of Net 1 arising from the delay in the installation of the Licensed Products.

3.7      The
  time for delivery and installation of any of the licensed Products is subject
  to automatic extension should installation of the Licensed Products be delayed
  by any act or default on the part of the Customer or circumstances beyond the
  control of Net1. 

 4) ACCEPTANCE OF THE LICENSED PRODUCT(S)

4.1      The
  Customer shall commence acceptance testing of each item of Licensed Products
  immediately following delivery thereof, by completing installation of the Licensed
  Products on DEG. The acceptance tests will be completed within 7 (seven) days
  of the installation date in respect of the Licensed Products. 

4.2      Acceptance
  testing shall determine whether the delivered Licensed Products, operates correctly
  by reference to the relevant documentation. on Conclusion of Satisfactory Acceptance
  Testing, the Customer shall complete and date Net1’s Acceptance Certificate
  as follows: “We hereby certify that the Licensed Products, identified in
  this Agreement, have been fully and thoroughly tested by us using properly prepared,
  suitable and sufficient test data and have performed satisfactorily and in accordance
  with the documentation”. 

4.3      Where
  such an Acceptance Certificate is not completed by the Customer. Acceptance
  of the Licensed Products delivered shall be deemed when it has been demonstrated
  to be reasonably in accordance with the relevant documentation or on the twentieth
  working day following delivery. 

4.4      Productive
  Use of the Licensed Products shall be permitted immediately following Acceptance.
  Acceptance testing shall not involve Productive Use, nor shall Productive Use
  precede signature of the Acceptance Certificate. 

4.5      Acceptance
  of the Licensed Products shall be deemed to have occurred in the event that
  Productive Use precedes signature of the Acceptance Certificate. Productive
  Use of the any of the Licensed Products, prior to Acceptance shall release Net1
  from its undertaking to provide support under this Agreement.

	Page
      4

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

4.6      Productive
  Use of any new release or of any modified Licensed Products, shall constitute
  an Acceptance of that release or that modified Licensed Product as the case
  may be. 

4.7      The
  issuance of an Acceptance Certificate will not be delayed due to minor omissions
  or minor defects in the Licensed Products or in the installations of the Licensed
  Products as the case may be. 

 5) WARRANTY

5.1      Net1
  does not warrant that the Licensed Products will be error free but Net1 does
  warrant that the Licensed Products delivered under this Agreement will conform
  in all material respects to the financial criteria set forth in the appropriate
  documentation manual supplied with the said Licensed Products applicable at
  the date of execution of the relevant Agreement by Net1. 

5.2      Net1
  will use all reasonable endeavours to promptly correct (or at its option replace
  the defective copy) free of charge at Net1 premises or at such other location
  as Net1 may elect any non-conformance in breach of the warranty at sub-clause
  5.1 found in the Licensed Products and reported to Net1 within 90 days of delivery
  (“Warranty period”) and make such modification additions and adjustments
  as may be necessary provided that the Licensed Products have been used at all
  times properly and in accordance with the instructions of Net1 and no alteration,
  modification or addition has been made to the Licensed Products without the
  prior written permission of Net1. 

5.3      Where
  a defect is found upon investigation not to be Net1 responsibility, Net1 reserves
  the right to charge the Customer on the time and materials basis at Net1 in
  consequence of such investigation. 

 6) PROGRAM SOURCE CODE

6.1      The
  original computer programs forming part of the Licensed Products and supplied
  by Net1 are delivered in object machine language for ease of installation and
  use but the Customer understands that the programs have been developed in a
  source language or code different from the object machine language. 

6.2      The
  Customer will not decompile, reverse compile, disassemble or print the source
  code nor derive nor attempt to derive the source code of the Licensed Products
  unless the Customer is specifically permitted to do so in terms of this agreement.
  The parties record that any breach of the provisions of this sub-clause will
  constitute an irremediable breach of this agreement. 

  

	Page
      5

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

6.3      In
  the event that the source code language version of the program is made available
  to the Customer, the Customer will be entitled to alter, modify or add to the
  Licensed Products, provided that Net1 assumes no responsibility or liability
  in respect of any such alterations, modifications, or additions and provided
  further than Net1 makes no warranty and grants no guarantee, in respect of the
  Licensed Products as modified or such alterations, modifications or additions
  to the Licensed Products. 

 7) USE

7.1      The
  Licensed Products and Documentations and associated information shall be used
  solely for the internal requirements of the Customer, other disclosure, use,
  sharing or reproduction or access to any third party shall not be allowed except
  as agreed in writing. Use shall be under conditions of confidentiality and confined
  to employees of the Customer. 

7.2      Net1
  shall be permitted access to the Licensed Products and Documentation under conditions
  of confidentiality to facilitate their use by the Customer. 

7.3      Warranties
  and representations of merchantability or suitability of the Licensed Products
  for any particular purpose or for use under any specified conditions are hereby
  expressly excluded notwithstanding that such purpose or condition may be or
  may have been known to the Customer. 

 8) SAFE PRESERVATION  

8.1      The
  Customer shall be responsible for the safe preservation and storage of all programs
  and all material (including but not limited to all documentation, test data
  files and reports) delivered or created on site by Net1 or Customer whether
  in written form, magnetically encodable medium or otherwise. 

8.2      The
  Customer is advised to make and maintain backup copies of the Licensed Products
  Software for operational security purposes, and may make such copies of part
  or all of the Software as are strictly necessary for such purposes, other copying
  is not permitted. The Terms of this Agreement apply to all copies, the rights
  of use apply to the original copy only, except that the Customer may use the
  Software on a back-up processor during breakdowns on its normal processor. Copies
  shall be maintained solely for the Customer’s internal use as permitted
  thereunder and stored only at the licensed site (or nominated licensed site
  provided for in Appendix 4) or such other site as may be agreed in writing with
  Net1. 

8.3      The
  Software and the Documentation, either partly or completely shall not be sold,
  transmitted, on-licensed, charged or otherwise made available by the Customer
  tot any third party unless otherwise agreed in writing.

	Page
      6

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

8.4      The
  Customer will maintain accurate and up-to-date records of the number and sitting
  within the territory of all copies of the software and will supervise and control
  the use of the software in accordance with the terms of this agreement.

 9) UNAUTHORISED USE

9.1      Where
  any use of any part of the Licensed Products or Documentation is made by any
  unauthorised party or parties or any unauthorised location(s) and that use is
  attributable to the act or omission of the Customer then without prejudice to
  Net1’s other rights and remedies, the Customer shall be liable to pay to
  Net1 and amount equal to the fees which the unauthorised user would have been
  obliged to pay to Net1 under its then current Licensed Product Licence terms
  had such user been properly licensed from the beginning of the authorised use.

9.2      The
  Customer shall notify Net1 promptly on becoming aware of any unauthorised possession
  or use of any part of the Licensed Products or Documentation by any third party.

 10) INFRINGEMENT

10.1      Net1
  warrants that to the best of its knowledge the Licensed Products do not infringe
  or violate any patent rights or copyright of any third party and therefore Net1
  shall indemnify the Customer against liability under any final judgement or
  final settlement made by Net1 for claims brought against the Customer that the
  Licensed Products or any other material supplied by Net1 thereunder infringes
  any third party letters patent, trademark or copyright (effective in France
  and published at the date this Agreement is made) provided that:

(i)      The
  Customer promptly notifies Net1 in writing of any such claim;

  (ii)     The Customer makes no admission without Net1 consent;

  (iii)    The Customer allows Net1, if Net1 so requests,
  to have sole conduct and control (at Net1 cost and expense) of the defence of
  any such claim and any related settlement negotiations and gives Net1 all reasonable
  assistance in connection therewith; and

  (iv)    Net1 is given the opportunity to replace infringing
  material with non-infringing material or to modify the same so that it becomes
  non-infringing.

 10.2      The
  indemnity under sub-clause 10.1 above.

 (i)      shall
  not apply in infringement by use of any of the Licensed Products or any part
  thereof, in connection with equipment, programs or other materials not supplied
  by Net1 where there would be no infringement without such combinations nor to
  infringement by use of the Licensed Products in a manner which could not be
  reasonably foreseen by Net1 at the date of this Agreement.

  (ii)     states Net1’s entire liability in connection
  with any claims based on or resulting from the infringement or alleged infringement
  of industrial or intellectual property rights.

	Page
      7

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 11) CHARGES AND PAYMENTS

11.1      The
  Customer agrees to pay the Licence Fees and other charges in accordance with
  this Agreement.

11.2      Travel
  Expenses. For installation, education, software development, warranty, maintenance,
  post installation and other services which require travel to the Customer site,
  the Customer agrees to reimburse Net1 for reasonable expenses incurred in the
  following categories: airfare, lodging, meals, and ground transportation unless
  agreed by the parties. 

11.3      Taxes.
  All prices are exclusive of Value Added Tax or any similar sales tax, levies,
  duties, including, but not limited to, withholding income taxes, etc., which
  will be paid additionally by the Customer. 

11.4      Payment
  in full for the proportion of the Licence Fees due upon signature of the Agreement
  by Net1 and the Customer shall be made immediately the Agreement has been signed
  by Net1 and the Customer. Subsequent portions of Licence Fees and other charges
  shall be due and payable within thirty (30) days from the date of the relevant
  invoices. 

11.5      Net1
  reserves the right (without prejudice to its rights and remedies) to charge
  compound interest on overdue payments at the rate of five percent per annum
  above the National Bank of France base rate from the date of invoice. 

11.6      The
  Customer will not be entitled to withhold payments of any amount payable to
  Net1 to satisfy any claims of the Customer arising from this or any other agreement
  between the Customer and Net1, nor will the Customer be entitled to set off
  such an amount against the amount payable to Net1 in terms of this or any other
  agreement. 

 12) CONFIDENTIALITY

12.1      The
  Customer acknowledges that the Licensed Products Documentation and associated
  information provided by Net1 (whether of a commercial or technical nature) constitute
  valuable and confidential property of Net1. The Customer shall advise all employees
  and other persons having access to the Licensed Products or Documentation accordingly.

12.2      The
  Customer shall not attempt to create or re-create or derive any source code
  of the kernel card source code nor shall it attempt or permit the recompilation,
  reserve compilation, disassembly or assembly of any part of the kernel card
  source code. 

12.3      The
  Customer undertakes not to disclose, use, reproduce, permit access to or otherwise
  make available any such Licensed Products or Documentation directly or indirectly
  to any third party (except and only to the extent that disclosure or access
  is expressly permitted in this Agreement) without the express permission in
  writing of Net1.

	Page
      8

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

12.4      All
  employees of the Customer and all others having access to the Licensed Products
  Documentation or associated information shall be bound by written undertakings
  to the Customer not to disclose or use that confidentiality property of Net1
  other than for the purpose of the Agreement provided that where the conditions
  of employment of such staff ensure that confidential information disclosed to
  the Customer will not be disclosed or misused then such written undertakings
  shall not be required from such staff. 

12.5      Each
  party undertakes to treat as confidential all non-public information learned
  in this course of this Agreement relating to the business, products and services
  of the other (and, in the case of the Customer any such information of Net1
  disclosed thereunder), and to protect that information by using the same care
  and precautions as are or ought to be used in keeping confidential its own confidential
  proprietary information. Such non-public information as it received from the
  other party shall not be used or disclosed, directly or indirectly, other then
  for the purpose of this Agreement. The foregoing obligations shall not apply
  to information properly and demonstrably derived, developed or supplied independently
  of this Agreement or the association of the parties with one another. Each party
  may also make such disclosure(s) as may be required by Law to the authorities
  to whom such disclosure may be required. 

12.6      The
  provisions of this Clause shall survive termination of this Agreement. 

 13) PRODUCT MODIFICATION

The Customer shall not attempt to modify,
  enhance or alter the Licensed Products or any part thereof, or permit others
  to do so, without Net1 express prior written permission and any such modification,
  enhancements or alterations shall be and remain the property of Net1. 

Net1 shall grant the Customer a Licence
  to Use in conjunction with the Licenced Products any modification enhancements
  and alterations to the Licensed Products, that the Customer requests and Net1
  agrees to produce, subject to payment therefore and pursuant to the provisions
  of the agreement under which Net1 agrees to provide such modifications, enhancements
  or alterations. 

 14) LIMITATION OF LIABILITY

14.1      Notwithstanding
  the terms of any conditions, warranties or representation, whether express or
  implied, whether statutory or otherwise, and whether made before or after the
  date of this Agreement, all of which conditions, warranties or representations
  are hereby expressly excluded. Net1 shall not be liable to the Customer or any
  third party, irrespective of the basis of the claim, for any loss or damage,
  arising directly or indirectly, of whatever nature in connection with this licence,
  the Licensed Products or the use thereof, irrespective of whether the same arises
  from defects in the Licensed Products and/or Documentation in installation or
  advice or otherwise however.

	Page
      9

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

14.2      Without
  limiting the generality of the a foregoing. Net1 will not be liable to the Customer
  or any third party; 

14.2.1     
  For any loss or damage arising directly or indirectly as a result of abuse,
  misuse or unauthorised use of the Licensed Products; 

14.2.2     
  For any modifications to the Licensed Products which have not been carried out
  or authorised by Net1; 

14.2.3      In
  respect of anything which may constitute a breach of this licence and arises
  by reason of circumstances beyond the control of either of the parties hereto;
  or 

14.2.4      For
  loss of profits or for incidental special or consequential damages arising out
  of or in connection with the sale, delivery, installation, servicing, performance
  or use of the equipment. 

14.3      Net1
  will not be liable to the Customer or any other third party for any loss or
  damage arising directly or indirectly in the connection with any delay, failure,
  break-down, damage or injury caused by: 

14.3.1     
  Equipment, programs and services supplied by or obtained by the Customer without
  the consent or knowledge of Net1; or 

14.3.2      Equipment
  or programs modified by the Customer or any third party not authorised to do
  so in terms of this agreement; or 

14.3.3     
  The actions or requirements of any telecommunications authority or a supplier
  of telecommunications services or equipment. 

14.4      Without
  prejudice to the terms of Paragraph 14.1 of this Clause it is specifically agreed
  that the cumulative maximum liability of Net1 under or in connection with this
  Agreement shall be limited to: i) for all claims made prior to Acceptance of
  the Licensed Products the total of all moneys paid under this agreement to Net1
  for unaccepted items of the Licensed Products and ii) for all claims made thereafter,
  one year’s Recurring Licence Fee and maintenance fee for the Licensed Products.

	Page
      10

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

14.5      Any
  claim made by one party against the other one shall not be valid unless made
  in writing within one month of the date on which the subject matter thereof
  became known to the party making the claim. 

 15) COPYRIGHT

15.1      The
  Customer acknowledges that (either in its own right or under licence) Net1 owns
  and will continue to own all property rights in the Licensed Products and Documentation
  (including but not limited to any new releases and any modifications made by
  or for the customer by any party), and further acknowledges that the copyright
  and other industrial, intellectual property and marketing rights in such Licensed
  Products and Documentation are, shall be and shall remain the property of Net1
  as aforesaid.

15.2      The
  Customer agrees to reproduce the copyright notices and other proprietary notices
  of Net1 on all copies of the Licensed Products made under this Agreement. 

15.3      The
  Customer will not question or dispute the ownership of any such rights at any
  time either during the continuation in force of this agreement or thereafter.

 16) TERMINATION

16.1      This
  Agreement and the License granted herein to the Customer for the Use of the
  Licensed Products may be terminated by Net1 forthwith on written notice should
  the Customer become insolvent, cease conducting business or be in breach of
  any of the terms of this Agreement. This Agreement and the Licence shall automatically
  terminate if the Customer convenes any meeting of creditors or passes a resolution
  for winding up (except in the case of a winding-up purely for the purposes of
  a solvent amalgamation or re-construction), or if the Customer shall have a
  petition for Winding-up presented (except as aforesaid) or shall have a receiver,
  administrative receiver, administrator or similar officer appointed over all
  or any part of the Customer’s assets and the same is not discharged within
  30 days of such appointment. 

16.2      Upon
  termination of this Agreement for any reasons whatsoever, the Customer shall,
  within 10 (ten) days thereof, return all copies of the Licenced Products to
  Net1 and all other Documentation or material belonging to Net1 together with
  a certified statement by an authorised officer of the Customer to that effect.

16.3      Termination
  shall be without prejudice to existing obligations of the Customer, in particular
  (without prejudice), payment of the Licence Fee and other moneys then due, nor
  shall it prejudice those obligations and limitations which of their nature and
  meaning (including without prejudice, copyright, confidentiality, authorised
  use and Liability), survive. 

16.4      Upon
  termination of this agreement for any reason whatsoever and in addition to the
  rights granted to it herein, Net1 will be entitled without prejudice to its
  others rights or remedies at law, to remove all copies of the Licensed Products
  already installed on the SYSTEM and suspend all deliveries of any further installations
  of the Licensed Products in terms of this agreement.

	Page
      11

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

The Customer will be liable for all
  costs incurred by Net1 in connection with the recovery of the Licensed Products
  or of money owing by the Customer to Net1 which costs will be paid on an attorney
  and own client scale. 

16.5      In
  addition to any rights of termination which either party may have in common
  law, this agreement may be terminated by one party if the other party commits
  a breach of any of the terms of this agreement and fails to rectify the breach
  within a period of 30 (thirty) days of receipt of a written notice specifying
  the breach. 

 17) NON-SOLICITATION

The Customer and Net1 agree not solicit
  or engage any employees of the other who have been engaged in the performance
  of the other’s obligations under this Agreement and the Attachments without
  the prior written agreement of the other. This prohibition shall continue for
  a period of 12 months from the date of this Agreement or of any Attachment whichever
  is the later. 

 18) CUSTOMER RESPONSIBILITIES

The Customer shall make available to
  Net1 free of charge, all information, facilities and services reasonably required
  by Net1 for the performance of its obligations and the provision of services
  under this Agreement. Net1 agrees to use such facilities and services so far
  as is reasonably practicable in conjunction with the Customer’s normal
  procedures. 

 19) CUSTOMER’S NAMES

Net1 shall be allowed to use the Customer’s
  name on their Customer lists and disclose the same to their present and potential
  customers after execution of this Agreement. Net1 shall not use the Customer’s
  name or logo for any other commercial purpose without the Customer’s prior
  written consent. 

 20) FORCE-MAJEURE

Neither party shall be responsible for
  delays or failure to perform any of its obligations herein resulting from acts
  beyond the reasonable control of such party. 

Such acts shall include, but shall not
  be limited to, acts of God, strikes, lockouts, riots, acts of war, epidemics,
  governmental regulations superimposed after the fact, fire, communications line
  failures, power failures, earthquakes or other disasters. Notwithstanding the
  occurrence of any such act, each party shall make all reasonable efforts to
  comply with its obligation thereunder.

	Page
      12

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 21) NOTICES

Any notices required or permitted to
  be given thereunder shall be in writing and shall be deemed to be duly given
  to a party hereto at the address set forth above or to such other address as
  the party may designate by notice pursuant hereto: 

a)      By
  registered mail (return receipt requested) - three days after posting; 

b)      By
  telex, telecopier or other electronic means of written communications - six
  hours after dispatch during business hours; otherwise, four hours after commencement
  of business thereafter; 

c)      By
  hand on the date and time of such delivery. 

 22) VARIATION

No amendment to this Agreement shall
  be effective unless it is in writing and signed by duly authorised representatives
  of both Net1 and the Customer. 

 23) WAIVER

The waiver or modification by either
  party of any term or condition of this Agreement shall not void, waive, or modify
  any other term or condition. The failure of either party to insist, in any one
  or more instances, upon the performance of any terms of this Agreement shall
  not be construed as a waiver or relinquishment of that party’s right to
  such performance or to future performance of such term. 

 24) WHOLE AGREEMENT

This agreement constitutes the complete
  and exclusive statement of the Agreement between the Customer and Net1 with
  respect to the licensing of the Licensed Products and maintenance and other
  matters provided for herein. Representations or statements not obtained in this
  Agreement shall not be binding upon Net1 as a condition, warranty representations
  or otherwise. 

 25) SEVERABILITY

If any part, term or provision of this
  Agreement not being of a fundamental nature, be held illegal or unenforceable,
  the validity or enforceability or the remainder of this Agreement shall not
  be effected. 

 26) HEADINGS

	Page
      13

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

Headings have been included for convenience only and
  shall not be used in construing any provision herein. 

 27) GOVERNING LAW

This Agreement shall be construed in
  accordance with and governed by the laws of South Africa and each party agrees
  to submit to the exclusive jurisdiction of the South African Courts. 

 28) SETTLEMENT OF DISPUTES

28.1      Should
  any dispute arise between the parties in connection with the interpretation
  or application of the provisions of this agreement or its breach or termination
  or the validity of any documents furnished by the parties pursuant to the provisions
  of this agreement, that dispute will, unless resolved amongst the parties, be
  referred to and be determined by arbitration in terms of this clause. 

28.2      Any
  party to this agreement may demand that a dispute be determined in terms of
  this clause by written notice given to the other party. 

28.3      This
  clause will not preclude any party from obtaining interim relief on an urgent
  basis from a court of competent jurisdiction pending the decision arbitrator.

28.4      The
  arbitration will be held 

28.4.1     
  In Johannesburg 

28.4.2      With
  only the legal and other representatives of the parties to the dispute present;

28.4.3     
  In accordance with the formalities and procedures settled by the arbitrator,
  and may be held in an informal and summary manner, on the basis that it will
  not be necessary to observe or carry out the usual formalities or procedures,
  pleadings and discovery or the strict rules of evidence, it being the intention
  that the arbitration will be held and completed as soon as possible; and 

28.4.4     
  On the basis that the arbitrator will be entitled to decide in accordance with
  what he considers to be just and equitable in the circumstances. 

28.5      The
  arbitrator will be acceptable to both parties and, if the matter in dispute
  is principally: 

28.5.1 A legal matter, a practicing
  attorney or advocate of Johannesburg of at least 10 (ten) years standing.

	Page
      14

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

28.5.2     
  An accounting matter, a practicing chartered accountant of Johannesburg of at
  least 10 (ten) years standing; 

28.5.3      Any
  other matter any independent person. 

28.6      Should
  the parties to the dispute fail to agree whether the dispute is principally
  a legal, accounting or other matter within 7 (seven) days after the arbitration
  was demanded the matter will be deemed to be a legal matter. 

28.7      Should
  the parties fail to agree on an arbitrator within 14 (fourteen) days after the
  giving of notice in terms of clause 28.2 the arbitrator will be appointed at
  the request of any party to the dispute by the Chairman for the time being of
  the Chamber of Commerce of Johannesburg according to the provisions of clause
  28.5 and 28.6. 

28.8      The
  decision of the arbitrator will be final and binding on the parties to the dispute
  and may be made an order of any court to whose jurisdiction the parties are
  subject at the instance of any of the parties to the dispute. 

28.9      The
  arbitrator will be entitled to make such award, including an award for specific
  performance; and interdict, damages or penalty or otherwise as he in his sole
  discretion may deem fit and appropriate and to deal as he deems fit with the
  question of costs, including if applicable costs on the attorney and client
  scale, and his own fees. 

28.10      The
  provisions of this clause: 

28.10.1      Constitute
  an irrevocable consent by the parties to any proceedings in terms hereof and
  no party will be entitled to withdraw therefrom or claim at any such proceedings
  that it is not bound by such provisions; 

28.10.2      Are
  severable from the rest of this agreement and will remain in effect despite
  the termination of or invalidity for any reason of this agreement. 

 IN WITNESS thereof Net1 and the Customer have caused this
  Agreement to be executed by their authorised officers on the day and year first
  above written. 

	at Johannesburg on this ___ day of ______ 1999	 	At ________ on this ___ day of ______ 199__
	 	 	 
	Authorised Signatory for and on behalf of	 	Authorised Signatory for and on behalf of
	Net1 Investment Holdings (Pty) Ltd.	 	(“The Customer”)
	 	 	 
	/s/ Serge C.P. Belamant	 	/s/
      Alfred G. Kalisa
	Serge C.P. Belamant	 	(Name) Alfred G. Kalisa
	Managing Director	 	(Title) Chairman/P.D.G.
	 	 	B.C.D.I.
	 	 	Fax: (250) 73790
	 	 	Tel: (250) 74440

	 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 APPENDICES 

 TO U.E.P.S. PRODUCT LICENCE AGREEMENT

 Upon signature of these Appendices to the U.E.P.S. Product
  Licence Agreement ____ day of _________ 1999 by: 

 Net1 Investments Holdings (Pty) Ltd. (“Net1”) and
  __________________________________ (The Customer) 

 Net1 grants to the Customer a licence to use the Licensed
  Products subject to the terms and conditions of the U.E.P.S. Product Licence
  Agreement made between the parties and dated ____ of ________ 1999 save as varied
  by the provisions of the Master Agreement and the Attachments. 

 Appendix 1 - Licensed Products / Licence Fees / Terms
  & Conditions 

Appendix 2 - Territory 

Appendix 3 - Maintenance Plan 

	at Johannesburg on this ___ day of ______ 1999	 	At ________ on this ___ day of ______ 199__
	 	 	 
	Authorised Signatory for and on behalf of	 	Authorised Signatory for and on behalf of
	Net1 Investment Holdings (Pty) Ltd.	 	(“The Customer”)
	 	 	 
	/s/ Serge C.P. Belamant	 	/s/
      Alfred G. Kalisa
	Serge C.P. Belamant	 	(Name) Alfred G. Kalisa
	Managing Director	 	(Title) Chairman/P.D.G.
	 	 	B.C.D.I.
	 	 	Fax: (250) 73790
	 	 	Tel: (250) 74440

	 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

	APPENDIX 1

LICENCED PRODUCTS / LICENCE FEES / TERMS & CONDITIONS

 U.E.P.S. Licence is granted to the Customer for using the
  following Licensed Products: 

 Conceptual Scheme of U.E.P.S including systems subjects, subject
  co-ordination rules and possibilities for creating U.E.P.S applications. 

 Microprocessor plastic cards with U.E.P.S application program
  for client, merchant and bank cards. 

 Payment terminals with U.E.P.S application program for POS.

 Microprocessor card readers, PC interface board with U.E.P.S
  application programs for bank staff. 

 Personalisation equipment with U.E.P.S application program
  for card personalisation. 

U.E.P.S security concept.

Back-end Demonstration System.

 LICENCE FEES 

All prices are given in South African Rand and are quoted EXWORKS as stipulated in Appendix 3.

System size shall be based on the number of Point-Of-Sale terminals installed and client cards issued

	Small System shall mean:	Less than 250 Point-Of-Sale Terminals OR
	 	Less than 25,000 client cards
	 	 
	Medium Systems:	Between 250 - 2,499 Point-Of-Sale Terminals OR
	 	Between 25,001 & 249,000 client cards
	 	 
	Large System shall mean:	More than 2,500 Point-Of-Sale Terminals OR
	 	More than 250,000 client cards

	 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 Separate quotations for U.E.P.S. Hardware such as terminals,
  smart cards, smart card readers, ATMs etc. will be submitted to the Customer
  on request as the unit price is dependant on the quantities ordered and the
  current exchange rate of the Rand to the French Franc and US$. 

 U.E.P.S. SOFTWARE FEES 

	1.	Small U.E.P.S. Systems - Management/Back-End	US$ 50,000 - Once Off
	 	 	 	 
	2.	Royalty Fee	 	US$ 0.01c per transaction
	 	 	 	 
	3.	Annual Licence Fee	(Small System)	US$ 5,000 per annum
	 	 	 	 
	 	 	(Medium System)	US$ 25,000 per annum
	 	 	 	 
	 	 	(Large System)	US$ 100,000 per annum

	4.	3	Card Royalty Percentage (%)	Small 10%	Medium 5%	Large 2.5%
	 	 	 	 	 	 
	5.	4	P.O.S. Terminal Percentage (%)	Small 10%	Medium 5%	Large 2.5%

 NOTES: 

 Items 4 and 5 only apply when the hardware equipment is purchased
  through a supplier other than Net1. Calculations are based upon the final price
  to the Customer. 

 In the event that Net1 supplies hardware to the Customer,
  Items 3 & 4 will not apply. 

 Where the Customer manufactures or supplies itself the prices
  shall be based on the latest published standard price list. 

PAYMENT TERMS AND CONDITIONS

HARDWARE (Terminals, Smart Cards, ATMs & Smart Card Readers)

 100% up front on advice that the goods are ready for delivery from the supplier’s factory.

U.E.P.S. SOFTWARE

	Item 1	-	Payable up front

	Item 2	-	The Customer to provide Net1 with the
        relevant statistics at the end of each financial year (currently February)
        to enable Net1 to generate the annual invoice payable within 30 days after
        presentation.

	Item 3	-	To be invoiced annually after date of
        “Product Licence Agreement” and payable within 30 days after
        presentation.

	Item 4 & 5	-	The Customer to provide Net1 with the
        relevant statistics at the end of each financial year (currently February)
        to enable Net1 to generate the annual invoice payable with 30 days after
        presentation.

	 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 SOFTWARE DEVELOPMENT

  60% Up front on placement of orders.

  40% Balance on delivery of the software. 

 EXCHANGE RATES 

 In all Net1 quotations, prices shall be calculated at a stipulated
  exchange rate of the Rand to United States Dollar. Any movement in these rates
  shall be fore the account of the Customer. Forward Cover Contracts shall be
  taken out on the Customer’s behalf provided that this request is made in
  writing to Net1. 

  

	 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

	APPENDIX 2

 TERRITORY 

 

  

The following territories are included in this Agreement:

1. RWANDA

  

	 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

	APPENDIX 3

 MAINTENANCE CONTRACT 

  Net1 would be in a position to offer a centralised Maintenance Contract for
  the equipment provided. A separate contract would have to be negotiated between
  Net1 and the Customer, regarding the maintenance and repair work to be carried
  out on the POS terminals, the ATMs and the smart card readers. This will be
  provided once Net1 have sufficient knowledge on the MTBP of the ATM which arrives
  in South Africa shortly and after discussions with your IBM representative have
  taken place. 

 1) Maintenance Services Provided by Net1 In Our Centralised
  Maintenance Contract

1.1      From
  installation Net1 shall provide for each unmodified Licensed Products. 

(i)      Programming
  services to correct software error and issue corrections on magnetic media or
  other media as Net1 may deem appropriate for the current release of the Licenced
  Products to address documented reproducible errors in the Software. The Maintenance
  Contract would stipulate the charges to the Customer for such corrective services
  on a time and material basis at Net1 then current rates for correcting or endeavouring
  to correct any software error not inherent in the Licenced Products and/or issuing
  corrected releases in respect thereof. 

  (ii)      The error correction service shall apply
  to a previous release of the Licensed Products for a period of 12 months from
  the date of notification of the release which replaced it; thereafter support
  if provided will be charged at Net1’s then current daily service rates.
  

  (iii)     Such telephone assistance as, Net1, in its discretion,
  considers reasonable to aid the Customer in its use of the products. 

  (iv)     Such changes to the Licensed Products as Net1 considers
  to be logical improvements. Net1 shall supply the said charges on magnetic media
  or other media as Net1 may deem appropriate. The Customer hereby understands
  that any such changes so supplied may not function with his Licensed Products
  where such Licensed Products have been modified by Net1 or the Customer. 

  (v)      Product enhancement descriptions, technical
  bulletins and updated documentation which are, to Net1 opinion pertinent to
  the Licensed Products. 

1.2      Where
  more than one site (eg branch) is licensed to use the Licensed Products the
  Customer shall make all requests for support through one nominated site and
  Net1 support shall be provided to that nominated site on behalf of the other
  site(s). The designation of the nominated site may reasonably be changed by
  the Customer from time to time by notice in writing to Net1.

	 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

1.3      Where
  the Customer has had the Licensed Products modified Net1 will provide Maintenance
  Services in respect to such modifications as described at paragraph 1.1. above.
  The additional Maintenance Services shall commence upon installation of the
  modifications. 

1.4      The
  Customer undertakes to test and install new releases issued by Net1 within a
  reasonable time of notification of such new releases. 

1.5      Net1
  reserves the right to refuse to provide the error correction service at any
  time if changes are made to the Licensed Products Software or to system files
  other than by Net1, or its duly authorised agents. Any effort required to recover
  in the event of such an occurrence will be chargeable directly to the Customer
  at Net1’s then current daily service rate. 

1.6      Training
  or assistance required to provide such services as installation of a new release
  or training and Consulting or necessitated by Customer error or negligence do
  not form part of the Net1’s maintenance plan and, if provided, will be
  charged separately at the Net1’s then daily service rates. (Stipulated
  in Maintenance Contract) 

1.7      Traveling
  time (at Net1’s then current daily service rates) and expenses, connected
  with such training or assistance will also be charged to the Customer at cost
  in accordance with Clause 1.1 of the Licence Agreement. 

1.8      Upon
  receipt of the Customer’s request for assistance Net1 shall normally commence
  work within 48 hours subject to Net1 existing commitments and the Customer’s
  own priorities. If the Customer requests support in an emergency, Net1 shall
  use all reasonable efforts to render support as quickly as possible at any time.

 2) TERMINATION

2.1      The
  Customer may discontinue U.E.P.S. Licensed Products maintenance service after
  three full years of Maintenance Services for any Licensed Products by providing
  Net1 with three (3) months prior written notification. Net1 may after three
  years terminate maintenance services of any Licensed Products by giving the
  Customer three (3) months notice in writing to this effect.Filed by Automated Filing Services Inc. (604) 609-0244 - Net1 U.E.P.S. Technologies, Inc. - Exhibit 10.8

EXHIBIT 10.8 

Universal Electronic Payment System 

 

 U.E.P.S. 

 

 PRODUCT LICENCE AGREEMENT 
  

  

	 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 

  TABLE OF CONTENTS 

	1	Definitions	1
	 	 	 
	2	Licence	3
	 	 	 
	3	Delivery	4
	 	 	 
	4	Acceptance Of The Licensed Products	5
	 	 	 
	5	Warranty	6
	 	 	 
	6	Programme Source Code	7
	 	 	 
	7	Use	7
	 	 	 
	8	Safe Preservation	8
	 	 	 
	9	Unauthorised Use	8
	 	 	 
	10	Infringement	9
	 	 	 
	11	Charges And Payment	10
	 	 	 
	12	Confidentiality	10
	 	 	 
	13	Product Modification	12
	 	 	 
	14	Limitation Of Liability	12
	 	 	 
	15	Copyright	13
	 	 	 
	16	Termination	14
	 	 	 
	17	Non-solicitation	15
	 	 	 
	18	Customer Responsibilities	15
	 	 	 
	19	Customer’s Name	15
	 	 	 
	20	Force Majeure	16
	 	 	 
	21	Notices	16
	 	 	 
	22	Variation	16
	 	 	 
	23	Waiver	17
	 	 	 
	24	Whole Agreement	17
	 	 	 
	25	Severability	17
	 	 	 
	26	Headings	17
	 	 	 
	27	Governing Law	17
	 	 	 
	28	Settlement Of Disputes	18

	Page
      i

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 Universal Electronic Payment Systems

  U.E.P.S. 

 PRODUCT LICENCE AGREEMENT 

 This AGREEMENT is made this 2nd day of April of
  1997 by Net 1 Holdings S.A.R.L. and Net1 Operations S.A.R.L. (Net1), whose registered
  offices are situated at 6 Rue Jean Monnet, L-2180, Luxembourg and Social Security
  Bank Limited (“the Customer”), whose registered offices are situated
  at Kokomlemla, Accra, Ghana. 

 WHEREAS Net1 owns a software product known as the Universal
  Electronic Payment System (U.E.P.S.) and the Customer desires to use
  the U.E.P.S. Licensed Products. 

 1) DEFINITIONS

1.1      This
  Agreement consists of the terms and conditions stated herein and in the Attachments
  which detail the Licensed Products to be used by the Customer on Designated
  Equipment Groups upon signature by both parties. 

1.2      “Confidential
  Information” means the Licensed Products and all information proprietary
  data and derivative works related to the Licensed Products as well as research,
  development, trade secrets or business affairs of Net1 and its employees, customers,
  subsidiaries, affiliates and agents supplied to the Customer by Net1 pursuant
  to this Agreement and like information provided to Net1 by the Customer pursuant
  to this Agreement. 

1.3      “Copy(ies)”
  means each separate occurrence of any Licensed Product, or portion thereof.

1.4      “Delivery”
  shall be construed as defined in Clause 3 of this Agreement. 

1.5      “Acceptance”
  shall mean confirmation that the Licensed Product has been adequately tested
  by the Customer.

	Page
      1

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

1.6      “Designated
  Equipment Group” (“DEG”) means the equipment needed to run the
  UEPS. 

1.7     “Licensed
  Product” means each U.E.P.S. software product listed in the Agreements
  consisting of object code programs as modified and varied from time to time,
  through Updates, in machine readable form, being Licensed by Net1 to the Customer.

1.8     “Documentation”
  shall mean the Licensed Product Manual(s) together with such associated technical
  literature as shall be specified by Net1 to be Documentation for the purpose
  of this Agreement.

1.9     “Man
  Days” means 7.5 hours, between 09.00 hours and 17.00 hours, Monday to Friday
  (excluding public and bank holidays).

1.10     “Update”
  means any news release, change, enhancement or correction to any Licensed Product
  or portion thereof produced or supplied by Net1 generally to its customers for
  the Licensed Product and to the Customer. 

1.11     “USE”
  means the initial execution of each Copy of any one or more Licensed Products
  and any continued use of Such Copy which may occur thereafter. 

1.12     “Productive
  Use” shall mean any Use of the Licensed Product or Documentation to process
  any actual business transaction of the Customer in parallel or live mode. 

1.13     “Territory”
  means geographical area/s as set out in Appendix 2 attached hereto. 

1.14     “Installation”
  means the physical loading and linking of the Licensed product programs on DEG,
  in the appropriate way to perform the functions stated in the specifications
  documentation, and the demonstration of the proper operation of said functions.

1.15     “Enhancements”
  means significant changes to the Licensed Products resulting in the addition
  of a feature or capability not present in the Licensed Product prior to the
  introduction of the changes as well as any changes to the Licensed Product designed
  to permit the use of the

	Page
      2

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

Licensed Product on hardware and/or
  in conjunction with operating systems software other than that for which the
  Licensed Product was initially designed. 

1.16     “Modifications”
  means changes, improvements or customisation of or to the Licensed Product which
  may be required to adapt the Licensed Product to the requirements of the Customers.

1.17     “Upgrades”
  means changes or improvements to the Licensed Product which relate to or affect
  the operating performance of the Licensed Product or an aspect of the Licensed
  Product, but which don’t change the basic operation or functioning of the
  Licensed Product. 

 2) LICENCE

2.1     Net1
  hereby agrees to grant to the Customer and the Customer hereby accepts a non-exclusive
  non-transferable licence to Use the Licensed Products specified in the Attachments
  on a perpetual basis subject to the terms and conditions herein. In consideration
  for said licence, the Customer shall pay Net1 a Licence Fee for the Licensed
  Product as provided in this Agreement and set forth in the attached Appendix
  1, of the Product Licence Agreement. The licence to Use the Licensed Products
  hereby granted to the Customer is conditional upon payment of the licence Fees
  and other charges as they fall due from time to time. 

2.2     The
  Licensed Products many only be Used in the Territory(ies), listed in Appendix
  2 of the Product Licence Agreement.

2.3     Save
  as provided in Clauses 7 and 8 of the Product Licence Agreement the Customer
  is specifically prohibited from creating any copies for reasons other than the
  ones explicitly stated in this Agreement. 

2.4     {Other
  than ____ who may take over all of responsibilities, obligations and benefits
  of the Customer in their entirety as set out in this Agreement,} this Agreement
  is personal to the Customer and the Customer shall not be entitled to assign,
  cede, transfer, part with or subject any interest in it or grant any right or
  obligation under it either in whole or in part to any third party

	Page
      3

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

without the written consent of Net1.
  The Customer shall be deemed to include all of its controlled subsidiaries in
  which it has a minimum 51% equity stake. This Agreement may on notice to the
  Customer be assigned by Net1 to any company being a subsidiary or partner of
  Net1. 

2.5     The
  Licensed Products consist of proprietary products which are and shall remain
  the exclusive property of Net1 and the Customer shall have no right title or
  interest therein except as expressly set forth in the Agreement. Any modification
  of a Licensed Product by or on behalf of the Customer will not affect the restrictions
  and obligations placed upon the Customer by Net1. 

2.6     To
  assist Net1 in the protection of its proprietary rights, the Customer shall
  permit representatives of Net1 to inspect (at all reasonable times during normal
  working hours) the location at which and the DEG upon which any Licensed Products
  are being used or kept and the Customer’s records of use of the Licensed
  Products and any copies thereof. Net1 will give sufficient prior notice to the
  Customer regarding the enforcement of this clause and will use all reasonable
  efforts to minimise disruption to the normal business activities of the Customer.

 3) DELIVERY

3.1     Delivery
  of an item or Licensed Products is effected when a copy of that Licensed Product
  and of the related documentation are handed to the Customer. 

3.2     The
  date of the delivery is to be ___th __________ , 199___ unless otherwise agreed
  to in writing between Net1 and the Customer. All dates given by Net1 for scheduling
  and performing any of its obligations under this Agreement are estimated only
  and Net1 shall not be liable for any damages or penalty, whatsoever for failure
  to meet any such date and/or for any other delay. 

3.3     Upon
  delivery the Customer will verify that the Licensed Products delivered contains
  the items Licensed and acknowledge delivery in writing. 

3.4     Without
  prejudice to its other rights and remedies. Net1 may postpone or cancel any
  delivery or further delivery until all money then due from the Customer has
  been paid.

	Page
      4

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

3.5     Unless,
  otherwise agreed in the Agreement, further copies of the Licensed Products and
  of the related Documentation may be obtained separately from Net1, on payment
  of the relevant fees. 

3.6     If
  there is any delay in the installation of the Licensed Products arising as a
  result of the fault or negligence of the Customer, Net1 will be entitled to
  make an additional charge to the Customer in respect of any costs or losses
  of Net 1 arising from the delay in the installation of the Licensed Products.

3.7     The
  time for delivery and installation of any of the licensed Products is subject
  to automatic extension should installation of the Licensed Products be delayed
  by any act or default on the part of the Customer or circumstances beyond the
  control of Net1. 

 4) ACCEPTANCE OF THE LICENSED PRODUCTS

4.1      The
  Customer shall commence acceptance testing of each item of Licensed Products
  immediately following delivery thereof, by completing installation of the Licensed
  Products on DEG. The acceptance tests will be completed within 7 (seven) days
  of the installation date in respect of the Licensed Products. 

4.2     Acceptance
  testing shall determine whether the delivered Licensed Products, operates correctly
  by reference to the relevant documentation. on Conclusion of Satisfactory Acceptance
  Testing, the Customer shall complete and date Net1’s Acceptance Certificate
  as follows: “We hereby certify that the Licensed Products, identified in
  this Agreement, have been fully and thoroughly tested by us using properly prepared,
  suitable and sufficient test data and have performed satisfactorily and in accordance
  with the documentation”. 

4.3     Where
  such an Acceptance Certificate is not completed by the Customer. Acceptance
  of the Licensed Products delivered shall be deemed when it has been demonstrated
  to be reasonably in accordance with the relevant documentation or on the twentieth
  working day following delivery.

	Page
      5

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

4.4     Productive
  Use of the Licensed Products shall be permitted immediately following Acceptance.
  Acceptance testing shall not involve Productive Use, nor shall Productive Use
  precede signature of the Acceptance Certificate. 

4.5     Acceptance
  of the Licensed Products shall be deemed to have occurred in the event that
  Productive Use precedes signature of the Acceptance Certificate. Productive
  Use of the any of the Licensed Products, prior to Acceptance shall release Net1
  from its undertaking to provide support under this Agreement. 

4.6     Productive
  Use of any new release or of any modified Licensed Products, shall constitute
  an Acceptance of that release or that modified Licensed Product as the case
  may be. 

4.7     The
  issuance of an Acceptance Certificate will not be delayed due to minor omissions
  or minor defects in the Licensed Products or in the installations of the Licensed
  Products as the case may be. 

 5) WARRANTY

5.1     Net1
  does not warrant that the Licensed Products will be error free but Net1 does
  warrant that the Licensed Products delivered under this Agreement will conform
  in all material respects to the financial criteria set forth in the appropriate
  documentation manual supplied with the said Licensed Products applicable at
  the date of execution of the relevant Agreement by Net1. 

5.2     Net1
  will use all reasonable endeavours to promptly correct (or at its option replace
  the defective copy) free of charge at Net1 premises or at such other location
  as Net1 may elect any non-conformance in breach of the warranty at sub-clause
  5.1 found in the Licensed Products and reported to Net1 within 90 days of delivery
  (“Warranty period”) and make such modification additions and adjustments
  as may be necessary provided that the Licensed Products have been used at all
  times properly and in accordance with the instructions of Net1 and no alteration,
  modification or addition has been made to the Licensed Products without the
  prior written permission of Net1.

	Page
      6

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

5.3     Where
  a defect is found upon investigation not to be Net1 responsibility, Net1 reserves
  the right to charge the Customer on the time and materials basis at Net1 in
  consequence of such investigation.

 6) PROGRAM SOURCE CODE

6.1     The
  original computer programs forming part of the Licensed Products and supplied
  by Net1 are delivered in object machine language for ease of installation and
  use but the Customer understands that the programs have been developed in a
  source language or code different from the object machine language. 

6.2     The
  Customer will not decompile, reverse compile, disassemble or print the source
  code nor derive nor attempt to derive the source code of the Licensed Products
  unless the Customer is specifically permitted to do so in terms of this agreement.
  The parties record that any breach of the provisions of this sub-clause will
  constitute an irremediable breach of this agreement. 

6.3     In
  the event that the source code language version of the program is made available
  to the Customer, the Customer will be entitled to alter, modify or add to the
  Licensed Products, provided that Net1 assumes no responsibility or liability
  in respect of any such alterations, modifications, or additions and provided
  further than Net1 makes no warranty and grants no guarantee, in respect of the
  Licensed Products as modified or such alterations, modifications or additions
  to the Licensed Products. 

 7) USE

7.1     The
  Licensed Products and Documentations and associated information shall be used
  solely for the internal requirements of the Customer, other disclosure, use,
  sharing or reproduction or access to any third party shall not be allowed except
  as agreed in writing. Use shall be under conditions of confidentiality and confined
  to employees of the Customer. 

7.2     Net1
  shall be permitted access to the Licensed Products and Documentation under conditions
  of confidentiality to facilitate their use by the Customer.

	Page
      7

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

7.3     Warranties
  and representations of merchantability or suitability of the Licensed Products
  for any particular purpose or for use under any specified conditions are hereby
  expressly excluded notwithstanding that such purpose or condition may be or
  may have been known to the Customer.

 8) SAFE PRESERVATION

8.1     The
  Customer shall be responsible for the safe preservation and storage of all programs
  and all material (including but not limited to all documentation, test data
  files and reports) delivered or created on site by Net1 or Customer whether
  in written form, magnetically encodable medium or otherwise. 

8.2     The
  Customer is advised to make and maintain backup copies of the Licensed Products
  Software for operational security purposes, and may make such copies of part
  or all of the Software as are strictly necessary for such purposes, other copying
  is not permitted. The Terms of this Agreement apply to all copies, the rights
  of use apply to the original copy only, except that the Customer may use the
  Software on a back-up processor during breakdowns on its normal processor. Copies
  shall be maintained solely for the Customer’s internal use as permitted
  thereunder and stored only at the licensed site (or nominated licensed site
  provided for in Appendix 4) or such other site as may be agreed in writing with
  Net1. 

8.3     The
  Software and the Documentation, either partly or completely shall not be sold,
  transmitted, on-licensed, charged or otherwise made available by the Customer
  tot any third party unless otherwise agreed in writing. 

8.4     The
  Customer will maintain accurate and up-to-date records of the number and sitting
  within the territory of all copies of the software and will supervise and control
  the use of the software in accordance with the terms of this agreement. 

 9) UNAUTHORISED USE

9.1     Where
  any use of any part of the Licensed Products or Documentation is made by any
  unauthorised party or parties or any unauthorised location(s) and that use is
  attributable to the act

	Page
      8

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

or omission of the Customer then without
  prejudice to Net1’s other rights and remedies, the Customer shall be liable
  to pay to Net1 and amount equal to the fees which the unauthorised user would
  have been obliged to pay to Net1 under its then current Licensed Product Licence
  terms had such user been properly licensed from the beginning of the authorised
  use.

9.2     The
  Customer shall notify Net1 promptly on becoming aware of any unauthorised possession
  or use of any part of the Licensed Products or Documentation by any third party.

 10) INFRINGEMENT

10.1     Net1
  warrants that to the best of its knowledge the Licensed Products do not infringe
  or violate any patent rights or copyright of any third party and therefore Net1
  shall indemnify the Customer against liability under any final judgement or
  final settlement made by Net1 for claims brought against the Customer that the
  Licensed Products or any other material supplied by Net1 thereunder infringes
  any third party letters patent, trademark or copyright (effective in Luxembourg
  and published at the date this Agreement is made) provided that:

  (i)      The Customer promptly notifies Net1 in
  writing of any such claim;

  (ii)     The Customer makes no admission without Net1
  consent;

  (iii)    The Customer allows Net1, if Net1 so requests,
  to have sole conduct and control (at Net1 cost and expense) of the defence of
  any such claim and any related settlement negotiations and gives Net1 all reasonable
  assistance in connection therewith; and

  (iv)    Net1 is given the opportunity to replace infringing
  material with non-infringing material or to modify the same so that it becomes
  non-infringing.

 10.2     The
  indemnity under sub-clause 10.1 above.

 (i)          shall
  not apply in infringement by use of any of the Licensed Products or any part
  thereof, in connection with equipment, programs or other materials not supplied
  by Net1 where there would be no infringement without such combinations nor to
  infringement by use of the Licensed Products in a manner which could not be
  reasonably foreseen by Net1 at the date of this Agreement.

  (ii)          states Net1’s
  entire liability in connection with any claims based on or resulting from the
  infringement or alleged infringement of industrial or intellectual property
  rights.

	Page
      9

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 11) CHARGES AND PAYMENTS

11.1     The
  Customer agrees to pay the Licence Fees and other charges in accordance with
  this Agreement. 

11.2     Travel
  Expenses. For installation, education, software development, warranty, maintenance,
  post installation and other services which require travel to the Customer site,
  the Customer agrees to reimburse Net1 for reasonable expenses incurred in the
  following categories: airfare, lodging, meals, and ground transportation unless
  agreed by the parties. 

11.3     Taxes.
  All prices are exclusive of Value Added Tax or any similar sales tax, levies,
  duties, including, but not limited to, withholding income taxes, etc., which
  will be paid additionally by the Customer. 

11.4     Payment
  in full for the proportion of the Licence Fees due upon signature of the Agreement
  by Net1 and the Customer shall be made immediately the Agreement has been signed
  by Net1 and the Customer. Subsequent portions of Licence Fees and other charges
  shall be due and payable within thirty (30) days from the date of the relevant
  invoices. 

11.5     Net1
  reserves the right (without prejudice to its rights and remedies) to charge
  compound interest on overdue payments at the rate of five percent per annum
  above the National Bank of Luxembourg base rate from the date of invoice. 

11.6     The
  Customer will not be entitled to withhold payments of any amount payable to
  Net1 to satisfy any claims of the Customer arising from this or any other agreement
  between the Customer and Net1, nor will the Customer be entitled to set off
  such an amount against the amount payable to Net1 in terms of this or any other
  agreement. 

 12) CONFIDENTIALITY

12.1     The
  Customer acknowledges that the Licensed Products Documentation and associated
  information provided by Net1 (whether of a commercial or technical nature) constitute
  valuable

	Page
      10

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

and confidential property of Net1. The
  Customer shall advise all employees and other persons having access to the Licensed
  Products or Documentation accordingly. 

12.2     The
  Customer shall not attempt to create or re-create or derive any source code
  of the kernel card source code nor shall it attempt or permit the recompilation,
  reserve compilation, disassembly or assembly of any part of the kernel card
  source code. 

12.3     The
  Customer undertakes not to disclose, use, reproduce, permit access to or otherwise
  make available any such Licensed Products or Documentation directly or indirectly
  to any third party (except and only to the extent that disclosure or access
  is expressly permitted in this Agreement) without the express permission in
  writing of Net1. 

12.4     All
  employees of the Customer and all others having access to the Licensed Products
  Documentation or associated information shall be bound by written undertakings
  to the Customer not to disclose or use that confidentiality property of Net1
  other than for the purpose of the Agreement provided that where the conditions
  of employment of such staff ensure that confidential information disclosed to
  the Customer will not be disclosed or misused then such written undertakings
  shall not be required from such staff. 

12.5     Each
  party undertakes to treat as confidential all non-public information learned
  in this course of this Agreement relating to the business, products and services
  of the other (and, in the case of the Customer any such information of Net1
  disclosed thereunder), and to protect that information by using the same care
  and precautions as are or ought to be used in keeping confidential its own confidential
  proprietary information. Such non-public information as it received from the
  other party shall not be used or disclosed, directly or indirectly, other then
  for the purpose of this Agreement. The foregoing obligations shall not apply
  to information properly and demonstrably derived, developed or supplied independently
  of this Agreement or the association of the parties with one another. Each party
  may also make such disclosure(s) as may be required by Law to the authorities
  to whom such disclosure may be required. 

12.6     The
  provisions of this Clause shall survive termination of this Agreement.

	Page
      11

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 13) PRODUCT MODIFICATION

The Customer shall not attempt to modify, enhance or
  alter the Licensed Products or any part thereof, or permit others to do so,
  without Net1 express prior written permission and any such modification, enhancements
  or alterations shall be and remain the property of Net1. 

Net1 shall grant the Customer a Licence to Use in conjunction
  with the Licenced Products any modification enhancements and alterations to
  the Licensed Products, that the Customer requests and Net1 agrees to produce,
  subject to payment therefore and pursuant to the provisions of the agreement
  under which Net1 agrees to provide such modifications, enhancements or alterations.

 14) LIMITATION OF LIABILITY

14.1     Notwithstanding
  the terms of any conditions, warranties or representation, whether express or
  implied, whether statutory or otherwise, and whether made before or after the
  date of this Agreement, all of which conditions, warranties or representations
  are hereby expressly excluded. Net1 shall not be liable to the Customer or any
  third party, irrespective of the basis of the claim, for any loss or damage,
  arising directly or indirectly, of whatever nature in connection with this licence,
  the Licensed Products or the use thereof, irrespective of whether the same arises
  from defects in the Licensed Products and/or Documentation in installation or
  advice or otherwise however. 

14.2     Without
  limiting the generality of the a foregoing. Net1 will not be liable to the Customer
  or any third party; 

14.2.1     For
  any loss or damage arising directly or indirectly as a result of abuse, misuse
  or unauthorised use of the Licensed Products; 

14.2.2     For
  any modifications to the Licensed Products which have not been carried out or
  authorised by Net1; 

14.2.3     In
  respect of anything which may constitute a breach of this licence and arises
  by reason of circumstances beyond the control of either of the parties hereto;
  or

	Page
      12

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

14.2.4     For
  loss of profits or for incidental special or consequential damages arising out
  of or in connection with the sale, delivery, installation, servicing, performance
  or use of the equipment. 

14.3     Net1
  will not be liable to the Customer or any other third party for any loss or
  damage arising directly or indirectly in the connection with any delay, failure,
  break-down, damage or injury caused by: 

14.3.1     Equipment,
  programs and services supplied by or obtained by the Customer without the consent
  or knowledge of Net1; or 

14.3.2     Equipment
  or programs modified by the Customer or any third party not authorised to do
  so in terms of this agreement; or 

14.3.3     The
  actions or requirements of any telecommunications authority or a supplier of
  telecommunications services or equipment. 

14.4     Without
  prejudice to the terms of Paragraph 14.1 of this Clause it is specifically agreed
  that the cumulative maximum liability of Net1 under or in connection with this
  Agreement shall be limited to: 

  i) for all claims made prior to Acceptance of the Licensed Products the total
  of all moneys paid under this agreement to Net1 for unaccepted items of the
  Licensed Products and 

  ii) for all claims made thereafter, one year’s Recurring Licence Fee and
  maintenance fee for the Licensed Products.

14.5     Any
  claim made by one party against the other one shall not be valid unless made
  in writing within one month of the date on which the subject matter thereof
  became known to the party making the claim. 

 15) COPYRIGHT

15.1     The
  Customer acknowledges that (either in its own right or under licence) Net1 owns
  and will continue to own all property rights in the Licensed Products and Documentation
  (including but not limited to any new releases and any modifications made by
  or for the customer by any

	Page
      13

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

party), and further acknowledges that
  the copyright and other industrial, intellectual property and marketing rights
  in such Licensed Products and Documentation are, shall be and shall remain the
  property of Net1 as aforesaid. 

15.2     The
  Customer agrees to reproduce the copyright notices and other proprietary notices
  of Net1 on all copies of the Licensed Products made under this Agreement. 

15.3     The
  Customer will not question or dispute the ownership of any such rights at any
  time either during the continuation in force of this agreement or thereafter.

 16) TERMINATION

16.1     This
  Agreement and the License granted herein to the Customer for the Use of the
  Licensed Products may be terminated by Net1 forthwith on written notice should
  the Customer become insolvent, cease conducting business or be in breach of
  any of the terms of this Agreement. This Agreement and the Licence shall automatically
  terminate if the Customer convenes any meeting of creditors or passes a resolution
  for winding up (except in the case of a winding-up purely for the purposes of
  a solvent amalgamation or re-construction), or if the Customer shall have a
  petition for Winding-up presented (except as aforesaid) or shall have a receiver,
  administrative receiver, administrator or similar officer appointed over all
  or any part of the Customer’s assets and the same is not discharged within
  30 days of such appointment.

16.2     Upon
  termination of this Agreement for any reasons whatsoever, the Customer shall,
  within 10 (ten) days thereof, return all copies of the Licenced Products to
  Net1 and all other Documentation or material belonging to Net1 together with
  a certified statement by an authorised officer of the Customer to that effect.

16.3     Termination
  shall be without prejudice to existing obligations of the Customer, in particular
  (without prejudice), payment of the Licence Fee and other moneys then due, nor
  shall it prejudice those obligations and limitations which of their nature and
  meaning (including without prejudice, copyright, confidentiality, authorised
  use and Liability), survive.

	Page
      14

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

16.4     Upon
  termination of this agreement for any reason whatsoever and in addition to the
  rights granted to it herein, Net1 will be entitled without prejudice to its
  others rights or remedies at law, to remove all copies of the Licensed Products
  already installed on the SYSTEM and suspend all deliveries of any further installations
  of the Licensed Products in terms of this agreement. 

The Customer will be liable for all
  costs incurred by Net1 in connection with the recovery of the Licensed Products
  or of money owing by the Customer to Net1 which costs will be paid on an attorney
  and own client scale. 

16.5      In
  addition to any rights of termination which either party may have in common
  law, this agreement may be terminated by one party if the other party commits
  a breach of any of the terms of this agreement and fails to rectify the breach
  within a period of 30 (thirty) days of receipt of a written notice specifying
  the breach. 

 17) NON-SOLICITATION

The Customer and Net1 agree not solicit
  or engage any employees of the other who have been engaged in the performance
  of the other’s obligations under this Agreement and the Attachments without
  the prior written agreement of the other. This prohibition shall continue for
  a period of 12 months from the date of this Agreement or of any Attachment whichever
  is the later. 

 18) CUSTOMER RESPONSIBILITIES

The Customer shall make available to
  Net1 free of charge, all information, facilities and services reasonably required
  by Net1 for the performance of its obligations and the provision of services
  under this Agreement. Net1 agrees to use such facilities and services so far
  as is reasonably practicable in conjunction with the Customer’s normal
  procedures. 

 19) CUSTOMER’S NAMES

Net1 shall be allowed to use the Customer’s
  name on their Customer lists and disclose the same to their present and potential
  customers after execution of this Agreement. Net1 shall not use the

	Page
      15

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

Customer’s name or logo for any other commercial
  purpose without the Customer’s prior written consent. 

 20) FORCE-MAJEURE

Neither party shall be responsible for
  delays or failure to perform any of its obligations herein resulting from acts
  beyond the reasonable control of such party. 

Such acts shall include, but shall not
  be limited to, acts of God, strikes, lockouts, riots, acts of war, epidemics,
  governmental regulations superimposed after the fact, fire, communications line
  failures, power failures, earthquakes or other disasters. Notwithstanding the
  occurrence of any such act, each party shall make all reasonable efforts to
  comply with its obligation thereunder. 

 21) NOTICES

Any notices required or permitted to
  be given thereunder shall be in writing and shall be deemed to be duly given
  to a party hereto at the address set forth above or to such other address as
  the party may designate by notice pursuant hereto: 

a)     By registered
  mail (return receipt requested) - three days after posting; 

b)     By telex,
  telecopier or other electronic means of written communications - six hours after
  dispatch during business hours; otherwise, four hours after commencement of
  business thereafter; 

c)     By hand
  on the date and time of such delivery. 

 22) VARIATION

No amendment to this Agreement shall
  be effective unless it is in writing and signed by duly authorised representatives
  of both Net1 and the Customer.

	Page
      16

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 23) WAIVER

The waiver or modification by either
  party of any term or condition of this Agreement shall not void, waive, or modify
  any other term or condition. The failure of either party to insist, in any one
  or more instances, upon the performance of any terms of this Agreement shall
  not be construed as a waiver or relinquishment of that party’s right to
  such performance or to future performance of such term. 

 24) WHOLE AGREEMENT

This agreement constitutes the complete
  and exclusive statement of the Agreement between the Customer and Net1 with
  respect to the licensing of the Licensed Products and maintenance and other
  matters provided for herein. Representations or statements not obtained in this
  Agreement shall not be binding upon Net1 as a condition, warranty representations
  or otherwise. 

 25) SEVERABILITY

If any part, term or provision of this
  Agreement not being of a fundamental nature, be held illegal or unenforceable,
  the validity or enforceability or the remainder of this Agreement shall not
  be effected. 

 26) HEADINGS

Headings have been included for convenience
  only and shall not be used in construing any provision herein. 

 27) GOVERNING LAW

This Agreement shall be construed in
  accordance with and governed by the laws of Luxembourg and each party agrees
  to submit to the exclusive jurisdiction of the Luxembourg Courts.

	Page
      17

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 28) SETTLEMENT OF DISPUTES

28.1     Should
  any dispute arise between the parties in connection with the interpretation
  or application of the provisions of this agreement or its breach or termination
  or the validity of any documents furnished by the parties pursuant to the provisions
  of this agreement, that dispute will, unless resolved amongst the parties, be
  referred to and be determined by arbitration in terms of this clause. 

28.2     Any
  party to this agreement may demand that a dispute be determined in terms of
  this clause by written notice given to the other party. 

28.3     This
  clause will not preclude any party from obtaining interim relief on an urgent
  basis from a court of competent jurisdiction pending the decision arbitrator.

28.4     The
  arbitration will be held 

28.4.1     In
  Luxembourg 

28.4.2     With
  only the legal and other representatives of the parties to the dispute present;

28.4.3     In
  accordance with the formalities and procedures settled by the arbitrator, and
  may be held in an informal and summary manner, on the basis that it will not
  be necessary to observe or carry out the usual formalities or procedures, pleadings
  and discovery or the strict rules of evidence, it being the intention that the
  arbitration will be held and completed as soon as possible; and 

28.4.4     On
  the basis that the arbitrator will be entitled to decide in accordance with
  what he considers to be just and equitable in the circumstances. 

28.5     The
  arbitrator will be acceptable to both parties and, if the matter in dispute
  is principally: 

28.5.1     A
  legal matter, a practicing attorney or advocate of Luxembourg of at least 10
  (ten) years standing.

	Page
      18

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

28.5.2     An
  accounting matter, a practicing chartered accountant of Luxembourg of at least
  10 (ten) years standing; 

28.5.3     Any
  other matter any independent person. 

28.6     Should
  the parties to the dispute fail to agree whether the dispute is principally
  a legal, accounting or other matter within 7 (seven) days after the arbitration
  was demanded the matter will be deemed to be a legal matter. 

28.7     Should
  the parties fail to agree on an arbitrator within 14 (fourteen) days after the
  giving of notice in terms of clause 28.2 the arbitrator will be appointed at
  the request of any party to the dispute by the Chairman for the time being of
  the International Chamber of Commerce according to the provisions of clause
  28.5 and 28.6. 

28.8     The
  decision of the arbitrator will be final and binding on the parties to the dispute
  and may be made an order of any court to whose jurisdiction the parties are
  subject at the instance of any of the parties to the dispute. 

28.9     The
  arbitrator will be entitled to make such award, including an award for specific
  performance; and interdict, damages or penalty or otherwise as he in his sole
  discretion may deem fit and appropriate and to deal as he deems fit with the
  question of costs, including if applicable costs on the attorney and client
  scale, and his own fees. 

28.10     The
  provisions of this clause: 

28.10.1     Constitute
  an irrevocable consent by the parties to any proceedings in terms hereof and
  no party will be entitled to withdraw therefrom or claim at any such proceedings
  that it is not bound by such provisions; 

28.10.2     Are
  severable from the rest of this agreement and will remain in effect despite
  the termination of or invalidity for any reason of this agreement. 

	Page
      19

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 IN WITNESS thereof Net1 and the Customer have caused this
  Agreement to be executed by their authorised officers on the day and year first
  above written. 

	at Johannesburg on this 15th of April 1997	 	At ________ on this ___ day of ______ 199__
	Authorised Signatory for and on behalf of	 	Authorised Signatory for and on behalf of
	Net1 Holdings S.A.R.L. /	 	(“The Customer”)
	Net1 Operating S.A.R.L.	 	 
	 	 	 
	 	 	 
	 	 	 
	/s/ Andre P. Mansvedt	 	 
	Andre P. Mansvedt	 	(Name)
	Director	 	(Title)

	 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 APPENDICES 

 TO U.E.P.S. PRODUCT LICENCE AGREEMENT 

 

 Upon signature of these Appendices to the U.E.P.S. Product
  Licence Agreement 1 day of April 1997 by: 

 Net1 Holdings S.A.R.L./ (“Net1”) and the Social
  Security Bank (the Customer) Net Operations S.A.R.L. 

 Net1 grants to the Customer a licence to use the Licensed
  Products subject to the terms and conditions of the U.E.P.S. Product Licence
  Agreement made between the parties and dated 2nd of April 1997 save
  as varied by the provisions of the Master Agreement and its Attachments. 

 Appendix 1 - Licence Fees

 

 Appendix 2 - Territory 

 

Appendix 3 - Terms 

 

Appendix 4 - Maintenance Plan 

	at Johannesburg on this 15th of April 1997	 	At ________ on this ___ day of ______ 199__
	Authorised Signatory for and on behalf of	 	Authorised Signatory for and on behalf of
	Net1 Holdings S.A.R.L. /	 	(“The Customer”)
	Net1 Operating S.A.R.L.	 	 
	 	 	 
	 	 	 
	 	 	 
	/s/ Andre P.
      Mansvedt	 	 
	Andre P. Mansvedt	 	(Name)
	Director	 	(Title)

	 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

Appendix 1

  LICENSED PRODUCTS & LICENCE FEES

 U.E.P.S. Licence is granted to the Customer for using the following Products

1.     Conceptual Scheme of
  U.E.P.S including systems subjects, subject co-ordination rules and possibilities
  for creating U.E.P.S applications.

2.     Microprocessor plastic
  cards with U.E.P.S application program for client, merchant and bank cards.

3.     Payment terminals with
  U.E.P.S application program for POS.

4.     Microprocessor card
  readers, PC interface board with U.E.P.S application programs for bank staff.

5.     Personalisation equipment
  with U.E.P.S application program for card personalisation.

6.     U.E.P.S security concept.

7.     Back-end Demonstration
  System.

 Licence Fees

 All prices are given in United States of America Dollars and exclude sales
  taxes

  System size shall be based on the number of Point-Of-Sale terminals installed
  and client cards issued

	Small System shall mean:	Less than 250 Point-Of-Sale Terminals AND
	 	Less than 25,000 client cards
	 	 
	Large System shall mean:	More than 2,500 Point-Of-Sale Terminals OR
	 	More than 250,000 client cards
	 	 
	Medium Systems:	All other levels of Point-Of-Sale terminals and client cards

	 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 Pricing  

	1.	One US cent for every client card transaction 	 	 	 	 	 	 
			 	 	 	 	 	 
		 	Small	 	Medium	 	Large	 
	 	 	 	 	 	 	 	 
	2.	Annual Licence Gee (US$)	5,000	 	25,000	 	100,000	 
	 	 	 	 	 	 	 	 
	3.	Card Royalty Percentage (%)	10	 	5	 	2.5	 
	 	 	 	 	 	 	 	 
	4.	 P.O.S. Terminal Percentage (%) 	10	 	5	 	2.5	 

 Notes 

 Items 3 and 4 above are based upon the final price to the
  Customer. 

 In the event that Net1 supplies hardware to the Customer,
  Items 3 & 4 will be included in this price. 

 Where the Customer manufactures or supplies itself the prices
  shall be based on the latest published standard price list. 

 Items 1, 3 & 4 are payable monthly within thirty days
  after month end. 

 Item 2 is payable annually in advance. 

	 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 Appendix 2 

 TERRITORY 

The following territories are included in this Agreement:

 Ghana 

  

	 

 

	U.E.P.S.
      PRODUCT LICENCE AGREEMENT 

 Appendix 3 

TERMS 

A. ANNUAL LICENCE DURATION

	From __________________________ 199__	to __________________________ 199__
	From __________________________ 199__	to __________________________ 199__
	From __________________________ 199__	to __________________________ 199__
	From __________________________ 199__	to __________________________ 199__

	B. ONCE-OFF LICENCE FEE	90,000 US$ (ninety thousand US dollars)
	From __________________________	 

C. EXPENSES

 Expenses billed monthly for expenses incurred during each
  billing period and other fees and charges provided for herein due and payable
  within 30 days of date of invoice.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00065-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00065-of-00352.parquet"}]]