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CONEXIS <br />numnrz resamca f0' <br />shall be given to the party that is obligated to provide indemnification (the "Indemnifying Party") as promptly as <br />practicable but in any event within thirty (30) days. After such notice, if the Indemnifying Party shall acknowledge in <br />writing to such Indemnified Party that this Agreement applies with respect to such Claim, then the Indemnifying Party <br />shall be entitled, if it so elects, in a written notice delivered to the Indemnified Party not less than 10 days prior to the <br />date on which a response to such Claim is due, to take control of the defense and investigation of such Claim and to <br />employ and engage attorneys of its choice to handle and defend the same, at the Indemnifying Party's sole cost and <br />expense. The Indemnified Party shall cooperate in all reasonable respects with the Indemnifying Party and its <br />attorneys in the investigation, trial and defense of such Claim and any appeal arising there from; provided, however, that <br />the Indemnified Party may, at its own cost and expense, participate, through its attorneys or otherwise, in such <br />investigation, trial and defense of such Claim and any appeal arising there from. No settlement of a Claim that involves a <br />remedy other than the payment of money by the Indemnifying Party shall be entered into without the consent of the <br />Indemnified Party. After written notice by the Indemnifying Party to the Indemnified Party of its election to assume full <br />control of the defense of any such Claim, the Indemnifying Party shall not be liable to the Indemnified Party for any <br />legal expenses incurred thereafter by such Indemnified Party in connection with the defense of that Claim. If the <br />Indemnifying Party does not assume full control over the defense of a Claim subject to such defense as provided <br />hereunder, the Indemnifying Party may participate in such defense, at its sole cost and expense, and the Indemnified <br />Party shall have the right to defend the Claim in such manner as it may deem appropriate, at the cost and expense of the <br />Indemnifying Party. <br />4.18 Limitation of Liability. IN NO EVENT OR UNDER ANY CIRCUMSTANCE SHALL ANY PARTY BE LIABLE TO <br />ANOTHER PARTY FOR ANY LOSS OF PROFITS OR INDIRECT, SPECIAL, INCIDENTAL, EXEMPLARY, PUNITIVE <br />OR CONSEQUENTIAL DAMAGES OF ANY KIND WHATSOEVER EVEN IF ADVISED OF THE POSSIBILITY OF SUCH <br />DAMAGES; PROVIDED, HOWEVER, THAT THE FOREGOING SHALL NOT BE INTERPRETED TO LIMIT <br />INDEMNIFICATION FOR ANY DAMAGES ASSESSED IN FAVOR OF A THIRD PARTY IN CONNECTION WITH A <br />CLAIM AGAINST AN INDEMNIFIED PARTY TO THE EXTENT THE INDEMNIFIED PARTY IS OTHERWISE ENTITLED <br />TO INDEMNIFICATION HEREUNDER. <br />Section 5.0 Performance Standards and Guarantee <br />Performance Standards and Guarantees are only available to those Clients who have a fully Executed Services <br />Agreement on file with CONEXIS. <br />5.1 In consideration of the mutual promises set forth below and for the fees set forth in the Fee Schedule, Client and <br />CONEXIS agree as follows: <br />5.1.1 "Calendar Quarter" will mean each quarter of a calendar year (e.g., Jan. 1 — Mar. 31; Apr 1 — Jun <br />30; Jul 1 — Sep. 30; Oct. 1 — Dec. 31). <br />5.1.2 "Percentage at Risk for Service Fee Reduction" will mean the percentage of the monthly fee <br />that may be reduced as a result of failing to meet the particular Performance Standard in a <br />Calendar Quarter. <br />5.1.3 "Performance Standard" will mean specific standards, described in the Exhibit, which is part of <br />the attached Services Appendix for each described service to which CONEXIS has committed to <br />meet or exceed for all similarly situated Clients in each Calendar Quarter. <br />5.1.4 "Quarterly Performance Report" will mean the specific report, delivered to Client for each <br />Calendar Quarter, which contains CONEXIS' actual performance against each Performance <br />Standard for Client. The Quarterly Performance Report will be formatted as CONEXIS deems <br />appropriate. <br />5.1.5 "Performance Standards Effective Date" will be the first Calendar Quarter following the <br />execution of the Services Agreement. <br />5.1.6 "Service Fee Reduction" will mean the total amount of reduction of monthly Service Fees, as <br />defined in the Agreement, based on CONEXIS failing to meet one or more Performance <br />Standards, in accordance with the Exhibit attached to the appropriate Service Appendix describing <br />the three services offered with performance standards. The Service Fee Reduction is calculated <br />by adding the percentages associated with each Performance Standard not met by CONEXIS. <br />Then multiplying that percentage by the total of monthly Service Fees invoiced by CONEXIS to <br />the Client for that particular Calendar Quarter for that particular service CONEXIS is performing <br />CONEXIS Initials <br />I -DI c - <br />Client Initials <br />Direct Client Services Agreement 6 V9.0-040111 <br />