Amended and Restated Trademark License Option Agreement between HSW International, Inc. and HowStuffWorks, Inc.
This agreement between HSW International, Inc. and HowStuffWorks, Inc. amends and restates a prior letter agreement, granting HSW International the option to obtain exclusive licenses for the Chinese, Portuguese, Indian (excluding English), and Russian translations of the HowStuffWorks trademarks. The licenses are for use in digital or electronic media within specified territories and are limited to certain contributed content. If exercised, HSW International will pay a 2% licensing fee on net revenue, capped at $100,000 annually per region. The options must be exercised by April 2, 2009, and are subject to further trademark license agreements.
EXHIBIT 10.13
December , 2007
HSW International, Inc.
One Capital City Plaza
3350 Peachtree Road, Suite 1500
Atlanta, Georgia 30326
RE: Trademark License Option
Gentlemen:
Reference is hereby made to (i) that certain Letter Agreement regarding trademark license option (the Original Letter Agreement), dated as of April 20, 2006, by and between HSW International, Inc. (the Corporation) and HowStuffWorks, Inc. (HSW), (ii) that certain Contribution Agreement, dated as of October 2, 2007, between the Corporation and HSW regarding the contribution of certain rights and assets in China and related regions (the PRC Contribution Agreement), (iii) that certain Contribution Agreement, dated as of October 2, 2007, between the Corporation and HSW regarding the contribution of certain rights and assets in Brazil (the Brazil Contribution Agreement and together with the PRC Contribution Agreement, the Contribution Agreements), and (iv) that certain Amended and Restated Letter Agreement regarding India and Russia, dated on or about the date hereof, between the Corporation and HSW (the India/Russia Letter Agreement). The Corporation and HSW desire to amend and restate the Original Letter Agreement in its entirety as set forth in this Amended and Restated Letter Agreement.
The Corporation and HSW hereby agree as follows:
1. The Corporation shall have an option to an exclusive license from HSW for the Chinese and/or Portuguese translations of the HowStuffWorks name and associated marks for use in digital and/or electronic medium only in the Territory (as defined in the Contribution Agreements) and solely in connection with the Contributed Content (as defined in the Contribution Agreements) in consideration for a licensing fee equal to two percent (2%) of the Corporations net revenue derived from the businesses that use such marks in the Territory, up to a maximum of $100,000 annually for both of the Territories, collectively. In the event that Corporation exercises the option in this paragraph 1, the parties will enter into a trademark license agreement containing customary terms, conditions and limitations, as mutually agreed to by the parties in writing. The Corporation will have the right to exercise the option in this paragraph 1 until April 2, 2009.
2. The Corporation shall have an option to an exclusive license from HSW for the translations for the local languages in India (excluding English) and/or Russian translations of the HowStuffWorks name and associated marks for use in digital and/or electronic medium only in India and/or Russia and solely in connection with any content obtained pursuant to the India/Russia Letter Agreement in consideration for a licensing fee equal to two percent (2%) of the Corporations net revenue derived from the businesses that use such marks in India and/or Russia, up to a maximum of $100,000 annually for India and Russia, collectively. In the event that Corporation exercises the option in this paragraph 2, the parties will enter into a trademark license agreement containing customary terms, conditions and limitations, as mutually agreed to by the parties in writing. The option in this paragraph 2 may only be exercised at the same time as the exercise, if any, of the option contemplated by the India/Russia Letter Agreement.
This letter agreement may be executed in one or more counterparts, and each such counterpart hereof shall be deemed to be an original instrument, but all such counterparts together shall constitute one agreement. Facsimile counterpart signatures to this letter shall be acceptable and binding.
Please indicate below your agreement with the foregoing.
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| HOWSTUFFWORKS, INC. |
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Acknowledged and agreed to this day of December, 2007.
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