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<br />Although annual true-up or update statements must be submitted within 60 days prior to or 15 <br />days following the anniversary to meet the true-up requirement, an enrolled affiliate may also <br />true-up more frequently at any time during the term of the enrollment. <br /> <br />Our commitment to work with the enrolled affiliate in good faith to accommodate changes in the <br />number of its qualified desktops by more than ten percent as a result of mergers, acquisitions or <br />divestitures will also apply, if user-based GALs are ordered as an enterprise product, in cases <br />where the number of its qualified users changes by more than ten percent. <br /> <br />c. License grant for user-based CALs. The following clarifications are made to the section of your <br />license agreement titled "License grant - what your enrolled affiliates are licensed to run," to <br />account for user-based GALs: <br /> <br />For CALs, your license grant is as follows: during the term, each qualified desktop (if device- <br />based GALs have been ordered) or qualified user (if user-based GALs have been ordered) <br />covered by the enrollment may access and use the associated server software. <br /> <br />Regarding the number of perpetual licenses received for user-based CALs: When user-based <br />GALs have been ordered as an enterprise product, and once the enrolled affiliate qualifies for <br />perpetual licenses, the number of the enrolled affiliate's perpetual licenses for such GALs will be <br />equal to the number of qualified users covered by the enrollment, rather than the number of <br />qualified desktops. <br /> <br />d. Placing renewal orders for user-based CALs. Upon renewalof an enrollment, if user-based <br />GALs were ordered as an enterprise product, the renewal ord~r must include Software Assurance <br />for such user-based GALs for the number of qualified users c()v~red by the enrollment as of the <br />date of renewal. <br /> <br />At renewal, wher~JtJ;lplicable, the enrolled affiliate can elect to exchangeiH~~~-Rased GALs for <br />device-based GALs or vice versa. In that event, the enrolled affiliate'~Jenewalorder must include <br />L&SA for the number of qualified users or qualified desktops in excess of its current count. See <br />the Product List for more information. <br /> <br />3. Online services. <br /> <br />The terms and conditions of your license agreement apply to online services subscriptions throughout the <br />entire term of the subscription except as provided in your license agreement and in the Product List at <br />http://rnicrosoft.com/liCensinq/contracts. Online services are provided as subscription services and may <br />carry terms that are independent of the agreement terms. Billing terms for online services subscriptions <br />may also differ from the terms of this agreement. Online services are not perpetual under any <br />circumstances. Except where online services are provided as part of other Licenses, true-ups do not <br />apply to online services. <br /> <br />4. Right to order "step-up" Licenses. <br /> <br />If an already ordered product has multiple editions, an enrolled affiliate may migrate to the higher edition <br />by ordering the applicable step-up. If step up details are included in an initial enrollment order, then the <br />enrolled affiliate may step-up in accordance with the true-up process. If the step-up details are not <br />included in the initial enrollment order, the enrolled affiliate may step-up by placing an order in the month <br />the step-up is first run in accordance with the process set out for adding new additional products not <br />previously ordered. <br /> <br />Enterprise 6.6 Government Enrollment Desktop Terms and Conditions <br />To be applied when agreement is 6.4 or earlier <br />(North America)State and Local(English) September 3, 2007 <br /> <br />Page 2 of 2 <br />