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upon Enrolled Affiliate's request or on its own initiative. Any changes will be based upon price level rules in the Product Selection Form. 4. Payment terms. For the initial or renewal order, Enrolled Affiliate may pay upfront or elect to spread its payments over the applicable Enrollment term. If spread payments are elected, unless indicated otherwise, Microsoft will invoice Enrolled Affiliate's Reseller in three equal annual installments. The first installment will be invoiced upon Microsoft's acceptance of this Enrollment and on each Enrollment anniversary date. Subsequent orders are invoiced upon acceptance of the order and Enrolled Affiliate may elect to pay annually or upfront for Online Services and upfront for all other Licenses. 5. Transitions. a. Transition requirements. (i) Licenses with active Software Assurance or Subscription Licenses may be Transitioned at any time if permitted in the Product List. Enrolled Affiliate may not, however, reduce the quantity of Licenses or associated Software Assurance prior to the end of the Transition Period. (ii) Enrolled Affiliate must order the Licenses to which it is transitioning for the year(s) following the Transition Period. (iii) If a Transition is made back to a License that had active Software Assurance as of the date of Transition, then Software Assurance mu$t`be.re ordered for all such Licenses on a prospective basis following the Transition Pen &d_ Software Assurance coverage may not exceed the quantity of per - tpal L "icenses for wMrch__Software Assuranc2,Wa§ - dutrent at the time of any prior TraClsiiron Softwaf_ .,Assurance may (in) If a device -based License" is device must be licenssd as-pa (v) If a user -based License is accessed by the user must be the all devices b. Effect of Transition on Licenses. - (i) Transition will not affect Enrolled Affiliate's rights in perpetual Licenses paid in full. jil)'New version rights will be granted for perpetual Licenses covered by Software Assurance up to the end of the Transition Period. (iii) For L &SA not paid in full at the end of the Transition Period, Enrolled Affiliate will have perpetual Licenses for a proportional amount equal to the amounts paid for the Transitioned Product as of the end of the Transition Period. (iv) For L &SA not paid in full or granted a perpetual License in accordance with the above or Subscription Licenses, all rights to Transitioned Licenses cease at the end of the Transition Period. S. End of Enrollment term and termination. a. General. At the Expiration Date, Enrolled Affiliate must immediately order and pay for Licenses for Products it has used but has not previously submitted an order, except as otherwise provided in this Enrollment. b. Renewal Option. At the Expiration Date of the initial term, Enrolled Affiliate can renew Products by renewing the Enrollment for one additional 36 full calendar month term or signing a new Enrollment. Microsoft must receive a Product Selection Form and renewal order prior to or at the Expiration Date. The renewal term will start on the day following the Expiration Date. Microsoft will not unreasonably reject any renewal. Microsoft may EA2013 E nrGov(U S) S LG (E N G) (Oct201 3) Page 5 of 9 Document X20 -10631