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Exhibit 10(l)



LICENSE AND HOSTING AGREEMENT


THIS LICENSE AND HOSTING AGREEMENT (“ Agreement ”) is made effective as of the  17 th day of October, 2007 (“ Effective Date ”), by and between Transaction Applications Group, Inc., a Nebraska corporation (“ TAG ”), and Legacy Marketing Group, Inc., a California corporation (“ LMG ”).


BACKGROUND .  This Agreement is the License and Hosting described in Section 1.5 of the Asset Purchase Agreement between the parties dated the date hereof (the “ Purchase Agreement ”).  It describes the terms and conditions under which TAG will Use and access the LMG Tools, CSC Software and Other Third Party Software until the date that is six (6) months after transition of the TPA Services for the New Customers from LMG’s software and systems to TAG’s software and systems. (“ Conversion Date ”) or such other date as is specified in Exhibit A .  Capitalized terms used but not defined in this Agreement shall have the meaning given them in the Purchase Agreement.


NOW, THEREFORE, in consideration of the mutual benefits to be derived and the representations and warranties, conditions and promises herein contained, and intending to be legally bound hereby, LMG and TAG agree as follows:


ARTICLE I

AGREEMENT AND DEFINITIONS


1.1

Agreement .  The parties agree that the terms and conditions of this Agreement apply to the provision of LMG Tools, CSC Software, Other Third Party Software and LMG Services to TAG by LMG.

1.2

Certain Definitions .  The following definitions apply to this Agreement:

(a)

Applicable Specifications ” means the functional, performance, operational, compatibility, and other specifications or characteristics of the LMG Tools, CSC Software and Other Third Party Software described in the applicable Documentation or necessary for TAG to provide the TPA Services to the New Customers and perform its obligations under the New Customer Contracts.

(b)

CSC Software ” means the computer programs identified in Exhibit A licensed by LMG from Computer Sciences Corporation (“ CSC ”), including object code (including microcode) and/or where available to LMG source code, that are provided or to be provided by LMG pursuant to this Agreement. The definition of CSC Software also includes any enhancements, translations, modifications, updates, releases, or other changes to CSC Software.

(c)

Documentation ” means user guides, operating manuals, education materials, product descriptions and specifications, technical manuals, supporting materials, and other information relating to the LMG Tools, CSC Software and Other Third Party Software or used in conjunction with the TPA Services, whether distributed in print, magnetic, electronic, or video format.





(d)

LMG Tools ” means the LMG-developed computer programs identified in Exhibit A , including, where applicable object code (including microcode) and/or source code, that are provided or to be provided by LMG pursuant to this Agreement. The definition of LMG Tools also includes any enhancements, translations, modifications, updates, releases, or other changes to LMG Tools.

(e)

LMG Services ” means the support, hosting and other services, functions and responsibilities provided or to be provided by LMG pursuant to this Agreement.

(f)

Other Third Party Software ” means the computer programs identified in Exhibit A licensed by LMG from third parties other than CSC, including object code (including microcode) and/or where available to LMG source code, that are provided or to be provided by LMG pursuant to this Agreement. The definition of Other Third Party Software also includes any enhancements, translations, modifications, updates, releases, or other changes to Other Third Party Software.

ARTICLE II

LICENSE OF LMG TOOLS


2.1

Grant of License .  LMG grants TAG a worldwide, nonexclusive, irrevocable, perpetual license to load, execute, access, employ, use, store, or display (“ Use ”) the object code  version of the LMG Tools and Documentation (the “ License ”) for the period specified in Exhibit A in accordance with the terms and conditions of this Agreement.

(a)

TAG may Use the LMG Tools and Documentation solely to provide TPA Services to or for the New Customers and Terminated Customers, and perform its obligations under the Administrative Services and Teaming Agreement, New Customer Contracts and Subcontracts including performing disaster recovery, disaster testing, and backup as TAG deems necessary.

(b)

The License grant includes a license under all current and future patents owned by or licensed to LMG that are applicable to the LMG Tools and Documentation or the provision or receipt of the LMG Services, to the extent necessary to exercise any of the foregoing rights.

(c)

LMG acknowledges and agrees that the New Customers may have access to and Use of the LMG Tools and Documentation under the terms of the New Customer Contracts.

(d)

The License also includes the right to Use the source code version of LMG Tools in accordance with the terms and conditions of Section 3.7 .

(e)

Except as specified in this Agreement, the License does not permit TAG to sublicense, rent or allow third parties to Use the LMG Tools or Documentation.


2.2

Proprietary Markings and Duplication .  TAG shall not remove or destroy any proprietary markings or proprietary legends placed upon or contained within the LMG Tools or Documentation. TAG may duplicate Documentation, at no additional charge, for TAG’s Use or for Use by a TAG in connection with the provision of LMG Tools so long as all required proprietary markings are retained on all duplicated copies.



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2.3

Ownership of LMG Tools and Modifications .  The LMG Tools and Documentation shall be and remain the property of LMG, and TAG shall have no right or interest therein except as set forth in this Agreement.  TAG shall be entitled to modify the LMG Tools and Documentation and to develop software derivative of or interfacing with the LMG Tools.  All modifications of and software derivative of the LMG Tools and Documentation developed by TAG shall be and remain the property of TAG, and LMG shall have no rights or interests therein.  

2.4

Protection of LMG Tools .  TAG will treat the LMG Tools and Documentation with the same degree of care and confidentiality that  TAG provides for similar information belonging to TAG which TAG does not wish disclosed to the public, but not less than reasonable care.  This provision shall not apply to LMG Tools or Documentation, or any portion thereof, which is (a) already known by TAG without an obligation of confidentiality, (b) publicly known or becomes publicly known through no unauthorized act of TAG, (c) rightfully received from a third party without obligation of confidentiality, (d) disclosed without similar restrictions by LMG to a third party, (e) approved by LMG for disclosure, or (f) required to be disclosed pursuant to a requirement of a governmental agency or law so long as TAG provides LMG with timely prior written notice of such requirement.  It will not be a violation of this Section 2.4 if TAG provides access to and the Use of the LMG Tools or Documentation to any third party contractor so long as TAG secures execution by such third party contractor of a confidentiality agreement as would normally be required by TAG.

ARTICLE III

SUPPORT AND HOSTING SERVICES


3.1

CSC Software .  LMG will maintain, through the Conversion Date, its existing license for the CSC Software and provide TAG access to and an irrevocable “look access only” right and license to use the CSC Software and applicable Documentation. Contemporaneously with the execution of this Agreement, TAG, LMG and CSC shall execute a nondisclosure and non-use agreement granting TAG a license in the CSC Software sufficient for TAG to perform the TPA Services and otherwise satisfy its obligations under the New Customer Contracts, Subcontracts and Administrative Services and Teaming Agreement (the “CSC Agreement”).  TAG’s use of, and LMG’s rights regarding, the CSC Software will be governed by the terms of the CSC Agreement and not the terms of this Agreement.  At TAG’s request, LMG shall exercise and make available to TAG all rights and benefits available to it under LMG’s existing license with CSC including LMG’s rights to receive error corrections, support, maintenance and upgrades to or for the CSC Software.


3.2

Other Third Party Software .  LMG will maintain, through the Conversion Date or such other date as is specified in Exhibit A, its existing licenses for the Other Third Party Software and provide TAG access to and an irrevocable “look access only” right and license to use the Other Third Party Software and applicable Documentation.  LMG, with the reasonable cooperation of TAG, will obtain from the applicable third party vendors all licenses, consents, authorizations and approvals that are necessary or appropriate for TAG to so Use the Other Third Party Software for purposes of performing the TPA Services and fulfilling its obligations under the New Customer Contracts, Subcontracts and Administrative Services and Teaming Agreement.  At TAG’s request, LMG shall exercise and make available to TAG all rights and benefits available to it under LMG’s existing license with the applicable third party vendors including LMG’s rights to receive error corrections, support, maintenance and upgrades to or for the Other Third Party Software.



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3.3

Support Services .  LMG shall provide the following with respect to the LMG Tools, CSC Software, Other Third Party Software and Documentation for the period specified in Exhibit A :

(a)

LMG shall provide (or will cause the third party vendor to provide) to TAG all error corrections and all operational and support assistance necessary to cause the LMG Tools, CSC Software and Other Third Party Software to perform in accordance with their Applicable Specifications.  LMG shall also provide remedial support designed to provide a by-pass or temporary fix to a defect until the defect can be permanently corrected.

(b)

LMG shall provide (or will cause the third party vendor to provide) to TAG all upgrades, modifications, improvements, enhancements, extensions, and other changes to LMG Tools developed by LMG.

(c)

LMG shall provide (or will cause the third party vendor to provide) to TAG any revisions to the existing Documentation developed for the LMG Tools, CSC Software and Other Third Party Software or necessary to reflect all corrections, updates, upgrades, modifications, improvements, enhancements, extensions or other changes thereto.

(d)

LMG shall provide training to TAG with respect to the use of the LMG Tools, Other Third Party Software and Documentation as reasonably requested by TAG.

3.4

Hosting Services .  LMG shall host the LMG Tools, CSC Software and Other Third Party Software at its existing data center facility in Petaluma, California for the period specified in Exhibit A .  Except for downtime for scheduled maintenance, LMG shall make the LMG Tools, CSC Software and Other Third Party Software available to users between 7:00 a.m. to 9:00 p.m. Eastern Time. Notice of scheduled maintenance shall be provided to TAG via email at least ten (10) days before the scheduled maintenance. LMG shall be financially and operationally responsible for the hosting environment including maintenance, repair, replacement and upgrade, and the performance, availability, reliability, compatibility and interoperability of the LMG Tools, CSC Software, Other Third Party Software and hosting environment.  LMG shall provide the hosting services through a dedicated telecommunications connection to TAG.  The equipment, connectivity and other items located at LMG’s existing data center facility in Petaluma, California that is described in Exhibit C to the Administrative Services and Teaming Agreement are included within the hosting environment and access to be provided by LMG under this Section 3.4 .


3.5

Retained LMG Personnel .  LMG shall exercise commercially reasonable efforts to maintain the employment of the LMG employees identified in Exhibit B (“ Retained Employees ”) for the estimated retention period specified in Exhibit B or such other period as TAG may reasonably request (“ Retention Period ”).  LMG shall cause them to devote the same amount of time and attention to the performance of the services under this Agreement as they presently devote to such services.  In all events, LMG shall retain a sufficient number of qualified personnel to perform the LMG Services.  The Retained Employees shall be employees of LMG for all purposes.  LMG shall be solely responsible for funding and distributing benefits under the benefit plans in which the Retained Employees participate and for paying any compensation and remitting any income, disability, withholding and other employment taxes for such Retained Employees.  For clarity, the foregoing shall not affect TAG’s obligation to reimburse LMG for the costs specifically identified as reimbursable by TAG during the period, and under the terms and conditions, set forth in Sections 4.1 and 4.2 of this Agreement.



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3.6

Reports .   LMG shall provide TAG with reports pertaining to the performance of the LMG Services and LMG’s other obligations under this Agreement that permit TAG to perform the TPA Services and monitor and manage LMG’s performance. Without limitation, TAG may identify reports to be generated by LMG and delivered to TAG on an ad hoc or periodic basis.

3.7

Source Code .  Upon TAG’s request, LMG will promptly provide to TAG one copy of the most current version of the source code for the LMG Tools.  Thereafter, LMG will promptly and continuously update and supplement the source code as necessary with all revisions, corrections, enhancements, and other changes that LMG has developed for the LMG Tools.  If LMG breaches this Agreement or no longer provides the LMG Services for the LMG Tools, then LMG or its authorized agent will promptly provide to TAG one copy of the most current version of the source code for the LMG Tools, the License shall include the right to Use the sourc


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