SOFTWARE AND INTELLECTUAL PROPERTY LICENSE AGREEMENTEnd User License Agreement |
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TELETECH HOLDINGS INC | 9197 S Peoria Street, Englewood, CO | Aspen Acquisition Holdings LLC | Aspen Marketing Services, Inc | TeleTech Holdings, Inc. RealDealDocs™ contains millions of easily searchable legal documents and clauses from top law firms. Search for free - click here. |
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Exhibit 10.1
EXHIBIT C TO ASSET PURCHASE AGREEMENT
TELETECHs® IDENTIFY! AND IDENTIFY! PLUS
SOFTWARE AND INTELLECTUAL PROPERTY LICENSE AGREEMENT
LICENSE AGREEMENT
This Software and Intellectual Property License Agreement (Agreement) is effective as of
September 28, 2007 (Effective Date) by and between licensor TeleTech Holdings, Inc.
(TeleTech), a Delaware corporation with its principle place of business at 9197 S. Peoria
Street, Englewood, CO 80129, licensee Aspen Marketing Services, Inc. (Aspen), a Delaware
corporation its principal place of business at 1240 North Avenue, West Chicago, IL 60185,
and Aspen Acquisition Holdings LLC, a Delaware limited liability company (Aspens Parent)
(individually Party, collectively the Parties).
RECITALS
WHEREAS TeleTech is the owner of certain computer software, known as and referred to herein
as Identify! software and Identify! Plus software and associated intellectual property, for
use in the provision of telephone answering services; and
WHEREAS Aspen desires to obtain a license to use and revise the computer software licensed
from TeleTech in connection with providing telephone answering services to Aspens
customers, and TeleTech has agreed to license the computer software to Aspen upon the terms
and conditions of this Agreement;
NOW THEREFORE in consideration of the mutual covenants set forth herein, the receipt and
sufficiency of which are hereby acknowledged, and contingent upon the mutual endorsement and
execution of a corresponding Asset Purchase Agreement as defined herein, the Parties agree
as follows:
1 Definitions. The following terms shall have the meanings stated:
1.1 Affiliate. Any entity (but not a competitor) of TeleTech which now or in the future
controls, is controlled by, or is under common control with Aspen, with control defined as a
more than fifty percent (50%) ownership interest. This Agreement shall apply to the use of the
Software by Aspen and its Affiliates. For the Software used by an Affiliate, Aspen and Party
as used herein shall mean the applicable Affiliate.
1.2 Aspens Customers. Aspens customers, end users and/or subscribers of Aspens
Services.
1.3 Asset Purchase Agreement. The corresponding Asset Purchase Agreement between NewGen
Results Corporation (NewGen) and Aspen for the sale and transfer of certain assets of NewGen to
Aspen.
1.4 Automotive Field of Use. The design, creation, manufacturing, marketing,
distribution, sale and servicing of automobiles, including passenger cars, trucks and SUVs.
1.5 Calendar Quarter. Each of the following four calendar quarters: January 1 to March
31; April 1 to June 30; July 1 to September 30; and October 1 to December 31.
1.6 Confidential Information. Any data, material or information provided by TeleTech to
Aspen in printed, written, graphic, photographic or other tangible form, as well as stored,
transmitted and received electronically, or information of TeleTech that is presented,
communicated or disclosed orally, including but not limited to information marked as
Confidential, Secret, Proprietary, Restricted, Private or words of similar import,
information generally known in the business to be confidential, and any other information
disclosed to Aspen by TeleTech concerning the businesses and affairs of TeleTech and its
subsidiaries that is not already generally available to the public, including, without limitation,
trade secrets and know-how. Confidential Information shall include the Software, Source Code,
TeleTech IP, trade secrets and any Derivative Work (other than Derivative Works created by Aspen
pursuant to this Agreement) and shall also include any information which can be obtained from
examining, testing, utilizing or analyzing the Software or Derivative Work (other than Derivative
Works created by Aspen pursuant to this Agreement), or any software, hardware or component thereof
as well as any accompanying materials, manuals, records or documents of similar nature.
Confidential Information shall not include information that is: (i) lawfully known to Aspen prior
to its disclosure by TeleTech, and such knowledge is not a direct or indirect result of a breach
of any obligation by any third party; (ii) now or later becomes in the public domain other than as
a result of a breach by Aspen or its obligations
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hereunder; (iii) received subsequently by Aspen from a third party who has the lawful right to
disclose same; (iv) independently developed by Aspen without reference to the Confidential
Information received hereunder, as evidenced by Aspens records, or (v) Derivative Works created
by Aspen pursuant to this Agreement.
1.7 Mutual Confidential Information. Any Derivative Works created by Aspen pursuant to
this Agreement.
1.8 Copyrights. All original works of authorship as defined by copyright law, including
registered and/or unregistered copyrights associated with the Software.
1.9 Derivative Work. A work based on, or incorporating, the Software, including but not
limited to translations, abridgments, condensations, improvements, updates, fixes, modifications
and enhancements, or any other form in which the Software may be recast, transformed, adapted, or
revised, and includes any other work specifically so-designated by both Parties in writing in the
future.
1.10 Designated Engineers. Employees of Aspen who have access to the Source Code and/or
who are engaged in creating Derivative Works, selected by Aspen at any time during the term of
this Agreement and identified in writing to TeleTech.
1.11 Documentation. TeleTechs existing documentation of the Software.
1.12 Gross Revenue. All receipts, revenues, credits and any other amounts received by
Aspen from, or generated by, (i) any and all contracts involving use of the Software or any
Derivative Work, or (ii) any other use of the Software or any Derivative Work, before deductions
of any expenses.
1.13 Identify!. Computer software, written in computer languages including XML, PLSQL,
TSQL and CSharp, owned by TeleTech for the provision of telephone answering services, including,
tracking, managing, recording and forwarding customer calls to a call center, including accessing
and forwarding customer data.
1.14 Identify! Plus. Computer software, written in computer languages including XML,
PLSQL, TSQL and CSharp, including version 2.0, owned by TeleTech for the provision of telephone
answering services, including, tracking, managing, recording and forwarding customer calls to a
call center, including accessing and forwarding customer data.
1.15 Intellectual Property. All of the following in any jurisdiction throughout the
world: (a) all inventions (whether patentable or unpatentable and whether or not reduced to
practice), all improvements thereto, and all patents, patent applications, and patent disclosures,
together with all reissuances, continuations, continuations-in-part, divisionals, extensions,
reexaminations, utility models, certificates of invention, industrial designs, and design patents,
as well as the rights to file for, and to claim priority to, any such patent rights, (b) all
Trademarks, service marks, trade dress, logos, slogans, trade names, corporate names, Internet
domain names, and rights in telephone numbers, together with all translations, adaptations,
derivations, and combinations thereof and including all goodwill associated therewith, and all
applications, registrations, and renewals in connection therewith, (c) all copyrightable works,
Copyrights, and all applications, registrations, and renewals in connection therewith, (d) all
mask works and all applications, registrations, and renewals in connection therewith, (e) all
trade secrets and confidential information (including ideas, research and development, know-how,
formulas, compositions, manufacturing and production processes and techniques, technical data,
designs, drawings, specifications, customer and supplier lists, pricing and cost information, and
business and marketing plans and proposals), (f) all computer software (including source code,
executable code, data, databases, and related documentation), (g) all advertising and promotional
materials, (h) all other proprietary rights, (i) all copies and tangible embodiments thereof (in
whatever form or medium); and (j) all income, royalties, damages and payments related to any of
the foregoing (including damages and payments for past, present or future infringements,
misappropriations or other conflicts with any intellectual property), and the right to sue and
recover for past, present or future infringements, misappropriations or other conflict with any
intellectual property.
1.16 License Fees. All fees owed to TeleTech pursuant to this Agreement including the
First Year Royalty Fee, Second Year Royalty Fee, Running Royalty Fees Automotive, Running
Royalty Fees Non-Automotive, as each of those are defined in Sections 3.1, 3.2, 3.3, and 3.5
respectively of this Agreement.
1.17 Non-Automotive Field of Use. Any and all business, industry and/or commerce in a
field other than the Automotive Field of Use.
1.18 Services. Telephone answering services, including, without limitation, tracking,
managing, recording and forwarding customer calls to a call center, including accessing and
forwarding customer data and routing customer calls to a professional customer care agent.
1.19 Site(s). The physical location or locations in the Territory used, controlled or
owned by Aspen where the Software is permissibly deployed under the Agreement.
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1.20 Software. TeleTechs most recent version of Identify! and Identify! Plus software,
as of the Effective Date, in Source Code and executable form.
1.21 Source Code. The source code of the Software written in programming language,
including comments and procedural code, such as job control language statements, in a form
intelligible to trained programmers and capable of being translated into object code for operation
on computer equipment through assembly or compiling, and accompanied by documentation in
sufficient detail to enable a trained programmer through study of such documentation to maintain
and/or modify the Software without undue experimentation.
1.22 Territory. The United States of America, Canada and Mexico, including their
respective territories and possessions.
1.23 [Intentionally omitted].
1.24 Trademarks. Identify! and Identify! Plus, including all trademark rights, trademark
applications and trademark registrations associated therewith. This includes trademark
application serial numbers 77/263,087 and 77/263,226.
1.25 USD. United States Dollars.
2 Software License.
2.1 Automotive Field of Use. TeleTech grants to Aspen, and Aspen accepts, subject to all
of the terms and conditions of this Agreement: (i) an exclusive, perpetual, non-assignable,
revocable, nontransferable, limited license to use the Software in executable form within the
Territory solely in connection with providing the Services to Aspens Customers doing business in
the Automotive Field of Use; and (ii) in connection therewith, a non-exclusive, revocable,
non-assignable, nontransferable, limited license to use, solely through Designated Engineers, the
Source Code to modify and create, use and reproduce Derivative Works of the Software, by Aspens
Designated Engineers for Aspens Customers in connection with providing the Services in the
Automotive Field of Use. All Designated Engineers must execute a Non-Disclosure Agreement in the
form attached hereto as Exhibit A, with copies of the executed Non-Disclosure Agreements provided
to TeleTech, and be identified in writing to TeleTech before accessing the Source Code. If a
Designated Engineers employment with Aspen terminates then that individuals status as a
Designated Engineer terminates and Aspen shall take commercially reasonable steps to ensure that
Confidential Information in the possession of such terminated Designated Engineer is returned.
2.2 Non-Automotive Field of Use. TeleTech grants to Aspen, and Aspen accepts, subject to
all of the terms and conditions of this Agreement: (i) a non-exclusive, perpetual, non-assignable,
revocable, nontransferable, limited license to use the Software in executable form within the
Territory solely in connection with providing the Services to Aspens Customers doing business in
the Non-Automotive Field of Use; and (ii) in connection therewith, a non-exclusive, revocable,
non-assignable, nontransferable, limited license to use, solely through Designated Engineers, the
Source Code to modify and create, use and reproduce Derivative Works of the Software, by Aspens
Designated Engineers for Aspens Customers in connection with providing the Services in the
Non-Automotive Field of Use. All Designated Engineers must execute a Non-Disclosure Agreement in
the form attached hereto as Exhibit A, with copies of the executed Non-Disclosure Agreements
provided to TeleTech, and be identified in writing to TeleTech before accessing the Source Code.
If a Designated Engineers employment with Aspen terminates then that individuals status as a
Designated Engineer terminates and Aspen shall take reasonable steps to ensure that Confidential
Information in the possession of such terminated Designated Engineer is returned.
2.3 No Sublicense; Copies; No Other Rights Granted. Aspen shall have no right to
sublicense the Software or Derivative Works, or to grant sublicenses under this Agreement, without
the prior written consent of TeleTech. Aspen may make a reasonable number of copies of the
Software as needed for back-up, archival and testing purposes and of the Documentation as needed
for Aspens business purposes as granted herein. The equipment and location where the archival
copies are stored shall be listed on Exhibit B attached to this Agreement and shall be deemed
Authorized Equipment and Site consistent with Section 4.2 below. Aspen shall have no other right
to copy, in whole or in part, the Software. Any copy of the Software made by Aspen is the
exclusive property of TeleTech. Aspens rights in the Software shall at no time exceed the scope
of the license granted under Sections 2.1 and 2.2 of this Agreement. TeleTech reserves all rights
not expressly granted to Aspen hereunder.
3 License Fees and Terms.
3.1 First Year Royalty Fee, Automotive Field of Use. On the Effective Date, Aspen shall
pay TeleTech a royalty fee equal to $225,000 USD (First Year Royalty Fee), for the license
provided in Section 2.1 in the Automotive Field of Use for the period of time beginning on the
Effective Date and ending twelve (12) months thereafter.
3.2 Second Year Royalty Fee, Automotive Field of Use. On the first year anniversary of
the Effective Date, Aspen shall pay TeleTech a royalty fee equal to $2,000,000 USD (Second Year
Royalty Fee), for the license provided in Section 2.1 in the
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Automotive Field of Use for the
period of time beginning twelve (12) months after the Effective Date and ending twenty-four (24)
months after the Effective Date.
3.3 Running Royalty Fees Automotive Field of Use; Minimums. Unless Aspen shall give
written notice of termination to TeleTech not less than 60 days prior to the beginning of any
applicable one-year term, beginning on the second year anniversary of the Effective Date and
continuing throughout the term of this Agreement, Aspen shall pay TeleTech an ongoing annual
royalty fee equal to five percent (5%) of all Gross Revenue received by Aspen (Running Royalty
Fees-Automotive Field of Use),
subject to Section 3.4. Aspen shall pay TeleTech the Running Royalty Fees-Automotive Field of Use
within thirty (30) days after the expiration of each Calendar Quarter, accompanied by the
certified reports as required by Section 3.9. If the Running Royalty Fees-Automotive Field of Use
paid by Aspen in a calendar year is less than $150,000 USD, then Aspen shall pay TeleTech, by
February 1 of the next calendar year, an amount equal to the difference between $150,000 USD and
the Running Royalty Fees-Automotive Field of Use paid to date for the calendar year.
3.4 Offsets to License Fees. Running Royalty Fees-Automotive Field of Use Field of Use
may be offset in the following manner: if TeleTechs gross revenue from Aspen for call center
services provided by TeleTech to Aspen pursuant to the Master Services Agreement and Statement of
Work between the Parties (TeleTech Call Center Services) exceeds $5,000,000 USD annually, each
$1,000,000 USD of gross revenue annually in excess of $5,000,000 USD will reduce the Running
Royalty Fees-Automotive Field of Use Field of Use by $100,000 USD, up to a maximum reduction of
$150,000 USD per year. For illustration purposes only, if TeleTech Call Center Services are
$6,000,000 USD in a calendar year, then the Running Royalty Fees-Automotive Field of Use Field of
Use owed by Aspen will be reduced by $100,000 USD for the calendar year.
3.5 Running Royalty FeesNon-Automotive Industry. Commencing on the Effective Date and
continuing unless Aspen shall give written notice of termination to TeleTech not less than 60 days
prior to the beginning of any applicable one-year term, Aspen shall pay TeleTech, within thirty
(30) days after the end of each Calendar Quarter, an ongoing annual royalty fee equal to five
percent (5%) of all Gross Revenue received by Aspen for such Calendar Quarter (and without
duplication of any other License Fees payable hereunder) derived from utilizing the Software or
any Derivative Work in the Non-Automotive Field of Use (Running Royalty FeesNon-Automotive)
accompanied by the certified reports as required by Section 3.9.
3.6 Transmission of Payments. All License Fees and any other payments payable by Aspen
pursuant to this Agreement shall be paid in cash in immediately available USD funds by check or
wire transfer to TeleTech.
3.7 Late Payments. TeleTechs obligations and Aspens rights are contingent on full and
timely payment of all amounts required to be paid hereunder. Failure to make timely payment
within 30 days of the due date thereof will be deemed a material breach of this Agreement and
entitle TeleTech to terminate this Agreement pursuant to Section 9.2. TeleTech reserves the right
to invoice Aspen for interest on any overdue sum at the rate of one and a half percent (1.5%) per
month (or the highest rate allowed by applicable law), calculated from the due date of payment to
the date of collection. Payment subsequently received from Aspen will be first applied to such
late charges, then to amounts past due and then to new billings.
3.8 Taxes, Etc. All amounts are net of, and Aspen shall pay all additional sums for, any
sales and use taxes, duties, and other similar assessments related to the Software under this
Agreement (exclusive of taxes based on TeleTechs net income). Teletech shall provide Aspen
reasonable detail of such taxes and shall request compensation by Aspen of such taxes within 180
days of the date such taxes were paid or required to be paid by Teletech, whichever is later. If
Teletech fails to notify Aspen of any such taxes within the 180-day period referred to above,
Aspen shall not be required to pay or reimburse Teletech for any such taxes. Aspen shall indemnify
and hold harmless TeleTech from all claims and liability arising from Aspens failure to comply
with the requirements of this Section 3.8.
3.9 Reporting Obligations.
a. Aspen shall maintain, during the term of this Agreement and for a period of two (2) years
following termination of this Agreement, records showing the Gross Revenue under the license herein
granted in sufficient detail to enable the License Fees payable hereunder by Aspen to be audited
pursuant to Section 3.10.
b. Aspen will provide to TeleTech, within thirty (30) days after the end of each Calendar
Quarter, a written report reporting all Gross Revenue by Aspen during the preceding three-month
period and the License Fees due thereon. The report shall contain all information necessary for
the determination of License Fees payable hereunder. The report shall be signed and certified by
the Chief Financial Officer of Aspen. If, for any three-month period, no License Fee payments
shall be due, Aspen shall submit a written report to TeleTech to that effect. All reports shall be
delivered to TeleTech at the address specified in this Agreement and substantially in the format of
the report attached as Exhibit D.
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c. The reports provided by Aspen pursuant to this Section 3.9 and any information provided by
Aspen in any audit performed pursuant to Section 3.10 and all records used or generated in any such
audit shall be confidential, and TeleTech shall take reasonable measures to maintain the
confidentiality of such reports and information.
3.10 Audit Rights.
a. During the term of this Agreement and for a period of two (2) years following termination
of this Agreement, Aspen agrees to permit its books and records to be examined, and/or its use of
the Software and Derivative Works to be examined, upon written request from TeleTech and at a
reasonable time during Aspens normal business hours and at a location where Aspen normally keeps
its records, Software and Derivative Works, to the extent necessary to verify the reports provided
for in Section 3.9(b) and Aspens compliance with the terms and conditions of the Agreement
regarding use of the Software and Derivative Works, such examination to be made at the expense of
TeleTech by TeleTech or its agents or any certified public accountant appointed by TeleTech (with
respect to any audit in connection with Section 3.9).
b. If the results of the audit reveal that Aspen has underpaid amounts due under this
Agreement, Aspen shall pay, within thirty (30) days of written notice of the audit results,
TeleTech the amount of such deficiency, together with interest as provided for under this Agreement
plus an additional 2.00% per annum. If an audit shows that Aspen has paid more than required under
this Agreement, any excess amounts shall, at the option of Aspen, be refunded by TeleTech or
credited against future royalties. TeleTech shall assume the costs of such audits, provided that
Aspen shall be liable to TeleTech for the cost of such audits in the event that such audit results
in a determination that Aspen has paid less than ninety percent (90%) of the monies owed TeleTech
under this Agreement for the period of the audit.
3.11 Non-Compete. Upon receipt of the Source Code, Aspen may have the opportunity to
discover TeleTechs trade secret information in that Source Code and as such, except as otherwise
stated in this Agreement, Aspen, on its own or indirectly through others, shall not create or
attempt to create any software outside of this Agreement to function as, take the place of or
replace the Software during the term of this Agreement; provided however that the parties agree
that Aspens use, improvements, updates, enhancements or modifications to the Appointnet software
which do not contain the Software, shall not be considered to be a breach of this Agreement or
competition with Teletech; and provided further than the parties agree that Aspens modifications,
creation, use or reproduction of Derivative Works of the Software in accordance with and as
contemplated by this Agreement shall not be considered to be a breach of this Agreement or
competition with Teletech.
4 Delivery, Installation and Support.
4.1 Delivery. TeleTech shall deliver the Software at Closing. With respect to the Source
Code, within 5 business days of the execution of this Agreement, TeleTech shall deliver the Source
Code on CD-ROM or DVD-ROM to Rick Goddard at Aspen .
4.2 Installation, Authorized Equipment and Site. Aspen shall be solely responsible for
installing the Software. Aspen shall install and use the Software and Source Code only on the
computer equipment (Authorized Equipment) at the Site(s) listed on Exhibit B attached to this
Agreement. Exhibit B shall be amended by Aspen each time there is a change to the Authorized
Equipment and/or Site(s). Upon the sale or transfer of any Site, the license grants to the
Software and Source Code with respect to such Site will immediately terminate, unless TeleTech and
the purchaser of such Site (Purchaser) agree in writing to the transfer of the Software and
Source Code and enter into a Software License Agreement with respect to the Software and Source
Code. If the Software and Source Code are not transferred to the Purchaser as provided for
herein, Aspen may elect to transfer the licenses at no additional cost for use at a different
Aspen location and all such use of the Software and Source Code at the new Site shall be governed
by the terms of this Agreement, provided that Exhibit B has been amended accordingly.
4.3 Support. TeleTech shall have no responsibility for supporting, maintaining,
correcting and/or updating the Software in any manner under this Agreement.
5 Limited Warranty and Disclaimers.
5.1 Limited Warranty. TeleTech warrants to Aspen that (i) the Software is the most recent
version as of the Effective Date, (ii) TeleTech exclusively owns and possess all right, title and
interest to the Software, free and clear of any lien, license or other restriction or limitation,
including regarding use or disclosure, (iii) to Sellers Knowledge the Software does not infringe
any third-partys Intellectual Property, and (iv) TeleTech has the right to grant the licenses to
Aspen hereunder.
5.2 Disclaimer. OTHER THAN THE LIMITED WARRANTY SET FORTH IN SECTION 5.1 AND MADE FOR THE
BENEFIT OF ASPEN ONLY, THE SOFTWARE IS PROVIDED AS IS, AND TELETECH MAKES NO, AND HEREBY
DISCLAIMS ALL, OTHER WARRANTIES OR REPRESENTATIONS OR CONDITIONS, WHETHER WRITTEN OR ORAL,
EXPRESS, IMPLIED, OR STATUTORY, WITH RESPECT TO THE SUBJECT MATTER HEREOF, INCLUDING ANY IMPLIED
WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A
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PARTICULAR PURPOSE. TELETECH DOES NOT WARRANT THAT ANY OR ALL ERRORS CAN BE CORRECTED, OR THAT
OPERATION OF THE SOFTWARE SHALL BE UNINTERRUPTED OR ERROR-FREE. STATEMENTS MADE BY TELETECHS
SALES REPRESENTATIVES OR IN PROMOTIONAL MATERIALS DO NOT CONSTITUTE WARRANTIES.
6 Limitation of Liability.
6.1 Limitation of Liability. Except for the Confidentiality and Indemnification
obligations under this Agreement and for claims based upon infringement or misappropriation of
TeleTechs Intellectual Property, either Partys maximum liability under this Agreement shall be
limited to direct actual damages not to exceed the actual License Fees paid to TeleTech under this
Agreement during the immediately preceding twelve (12) month period from the date the claim in
question first arose. except for the confidentiality and indemnification obligations under
this agreement, In no event shall TeleTech or Aspen, any parent, subsidiary, or
affiliate, or any of their officers, directors, employees or representatives, be liable to any
third party for damages of any kind or nature or in any manner whatsoever, or for any
consequential, indirect, exemplary, incidental, Punitive or special damages or costs (including
attorneys fees) regarding this Agreement or resulting from or in connection with the use, misuse,
or inability to use the Software, even if TeleTech or Aspen has been advised of the possibility
thereof.
6.2 Survival. Sections 1, 3.1, 3.2, 3.6 through 3.11, 5, 6, 7 and 8 shall survive the
termination of this Agreement.
7 IP & Confidentiality.
7.1 Ownership. (a) Aspen acknowledges and agrees that all right, title, and interest in
the Software, Source Code, and all information and materials related to the Software, Source Code,
and TeleTechs business, regardless of form, including all, Confidential Information, Intellectual
Property of TeleTech, and other intellectual property rights pertaining thereto (collectively,
TeleTech IP) are owned by TeleTech and shall remain vested in TeleTech. Each of Aspen and
Teletech acknowledges and agrees that each of Aspen and Teletech are joint and undivided owners in
all right, title, and interest in the Derivative Works created by Aspen pursuant to this
Agreement. Each of Aspen and Teletech acknowledges and agrees that any profits derived from use or
license of Derivative Works by third parties, created by Aspen pursuant to this Agreement, shall
be divided between Aspen and Teletech in a reasonable and good faith manner reflecting the
relative contribution to the Derivate Work created by Aspen, pursuant to this Agreement. Neither
Teletech nor Aspen shall license the Derivative Works created by Aspen pursuant to this Agreement
to a competitor of the other party without the prior written consent of such other party. This
Section 7 of the Agreement shall survive the termination of this Agreement.
(b) Aspen further acknowledges that the Software, Source Code and Documentation are unpublished and
constitute TeleTech copyrights, trade secrets, and Confidential Information. Aspen does not claim
any ownership or other proprietary rights in or to any TeleTech IP (other than Derivative Works
created by Aspen pursuant to this Agreement) and to the extent such ownership or proprietary rights
exist, Aspen agrees to transfer such ownership and/or proprietary rights to TeleTech. Aspen shall
provide TeleTech with a copy of the most recent versions of all Derivative Works that Aspen makes
or has made in each Calendar Quarter, no later than thirty (30) days after the last day of each
Calendar Quarter, and shall keep and maintain accurate and complete records, notes, materials,
reports and any other information related to, regarding, or in connection with, any and all
Derivative Works created by Aspen. Aspen further understands that TeleTech has full, complete and
exclusive ownership of the Derivative Works (other than Derivative Works created by Aspen pursuant
to this Agreement). If Aspen refuses or TeleTech is unable for any reason to secure Aspens
signature to execute any assignment or to apply for or to pursue any application of any United
States or foreign patents, trademarks or copyright applications or registrations covering a
Derivative Work (other than Derivative Works created by Aspen pursuant to this Agreement), then
Aspen hereby irrevocably designates and appoints TeleTech and its duly authorized managers,
members, representatives and agents as Aspens agent and attorney in fact, to act for and in
Aspens behalf and stead to execute and file any such applications and to do all other lawfully
permitted acts to further the protection and issuance of patents, trademarks or copyright
registrations thereon with the same legal force and effect as if executed by Aspen. Aspen further
agrees that Aspens obligation to execute or cause to be executed, when it is in Aspens power to
do so, any such instrument or papers shall continue after the termination of this Agreement until
the expiration of the last such intellectual property right to expire in any country in the world.
Aspen shall not, at any time, dispute or take any objection to the validity or the registration of
any patent, copyright, or other intellectual property right, in any country, contemplated under
this Agreement with respect to any Derivative Work (other than Derivative Works created by Aspen
pursuant to this Agreement) or any other TeleTech IP (other than Derivative Works created by Aspen
pursuant to this Agreement).
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7.2 Protection of TeleTech IP. Aspen shall not itself (unless specifically authorized
under this Agreement) nor permit any other party to:
a. [Intentionally omitted];
b. Alter, remove or suppress any copyright or other proprietary notices or marks or any
confidentiality legends embedded or otherwise appearing in or on the TeleTech IP (other than
Derivative Works created by Aspen pursuant to this Agreement); or fail to ensure that all such
notices and legends appear on all full or partial copies of the TeleTech IP or any related
material, and Aspen shall insure that such notices, modified as appropriate under this Agreement,
continue to appear or exist in any Derivative Work that Aspen develops; or
c. Sell, sublicense, lease, assign, transfer, distribute, encumber, or otherwise transform the
TeleTech IP, this Agreement or any of Aspens rights hereunder other than as necessary in
connection with the provision of the Services pursuant to this Agreement.
7.3 Confidentiality. The unauthorized disclosure or use of Confidential Information would
cause great injury and harm to TeleTech. Therefore, Aspen agrees to take all appropriate action to
ensure the confidentiality and security of TeleTechs Confidential Information, but in any event
no less than the same standard of care it uses to protect its own confidential information of like
kind and value. Without limiting the generality of the foregoing, and in addition to Aspens
obligations in Section 7.2, Aspen agrees that it: (i) shall maintain TeleTechs
Confidential Information in the strictest confidence, including compliance with reasonable remote
access security requirements, and will take all necessary and proper precautions to prevent any
unauthorized use or disclosure of the Confidential Information; (ii) shall not disclose, display,
publish, transmit, or otherwise make available such Confidential Information or the benefit
thereof, in whole or in part, except in confidence to its own employees on a need-to-know basis
who have agreed to the confidentiality terms set forth in this Section 7.3, and with respect to
the Source Code, Aspen agrees that it will not disclose it to anyone other than Designated
Engineers; (iii) except as expressly permitted hereunder, shall not copy, duplicate, replicate,
transform, or reproduce such Confidential Information; and (iv) inform TeleTech immediately of any
breach or threatened breach of the confidentiality obligations set forth in this Section 7.3.
Notwithstanding the foregoing restrictions, Aspen may use and disclose any Confidential
Information (1) to the extent required by an order of any court or other governmental authority or
(2) as necessary for it to protect its interest in this Agreement, but in each case only after
TeleTech has been so notified and has had the opportunity, if possible, to obtain reasonable
protection for such information in connection with such disclosure. Aspen acknowledges that
monetary damages may not be a sufficient remedy for unauthorized disclosure of Confidential
Information and that in addition to any other remedies it may have at law or in equity, TeleTech
shall be entitled to seek a restraining order, injunction, or other similar remedy without posting
bond as a condition of such relief.
7.4 Applicability. The restrictions set forth in this Section 7 shall apply during the
Term of this Agreement, and shall remain in full force and effect after any termination: (i) for
trade secrets and any Confidential Information that rises to the level of a trade secret, as long
as such information qualifies as a trade secret; and (ii) for all other Confidential Information,
during a period of five (5) years after initial disclosure. Notwithstandin






