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MINNESOTA COMMERCE - Unhappy Franchisee

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infringement, opposition or cancellation proceedings, and no pending material litigation involving these<br />

trademarks which limit or restrict their use in any state.<br />

There are no agreements curtendy in effect which significantly limit the rights of Mateo to use or license the<br />

use of these trademarks in any manner material to you. To the knowledge of Mateo, there are no infringing<br />

uses which could materially affect your use of the licensed trademarks or other related rights in any state.<br />

Mateo is obligated under the Distributorship Agreement to protect the rights which you have to use Mateo's<br />

trademarks and other related rights and to protect you against claims of infringement and unfair competition<br />

with respect to the trademarks. However, if anyone establishes to Mateo's satisfaction that its rights are, for<br />

any legal reason, superior to any of Mateo's trademarks, trade names or service marks, then you are required to<br />

use such variances or other service marks, trademarks or trade names as required by Mateo to avoid conflict<br />

with such superior rights.<br />

Patents<br />

(15)a41PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION<br />

While Mateo and/or Danaher subsidiaries own or may own design patents and/or utility patents on tool chests<br />

and possibly other products that might be sold by a distributor, there are no patents that are material to the<br />

distributorship.<br />

Copyrights<br />

Mateo filed for, and received, a United States copyright for its Mateo Distributor Business System (the MDBS<br />

Program, referred to in Item 5 above). The registration number is TX 2-495-161, and it was made effective on<br />

July 5, 1988. Mateo also filed for, and received, a Canadian copyright for the MDBS Program. The Canadian<br />

copyright is titled "Computer Program for Aiding Distributors in the Distribution of Mateo Tools." The<br />

Canadian registration number is 437486, and it was made effective on October 18, 1994.<br />

Mateo has copyrighted advertising materials and designs, training films, workbooks, the Manual, and items<br />

relating to the operation of Mateo® Distributorships. Other than the MDBS Program, Mateo has not applied to<br />

the United States Copyright Office to register its copyrights.<br />

There are no infringing uses actually known to Mateo that could materially affect your use of any copyrighted<br />

material supplied by Mateo in any state. There are no determinations of the Copyright Office or any court, no<br />

pending interference, opposition or cancellation proceedings, nor any pending material lidgadon involving<br />

such copyrighted materials which are relevant to their use in any state. There are no agreements curtently in<br />

effect which significandy limit the rights of Mateo to use or license the use of these copyrighted materials in<br />

any manner material to you.<br />

Confidential Operations Manual<br />

In order to protect the reputation and goodwill of Mateo and to maintain operating standards under the System<br />

and the Marks, you must conduct your business in accordance with the terms of the Distributorship Agreement<br />

and in compliance with the provisions of the Manual and any written directives issued by Mateo.<br />

Confidential Information<br />

In addition to the Manual, Mateo will provide you with other confidential business information and proprietary<br />

materials which relate to the operation of the Distributorship business. You must keep confidential, during and<br />

after the term of the Distributorship Agreement, the Manual and all such confidential business information and<br />

proprietary materials disclosed to you by Mateo. You may not disclose the confidential information or<br />

proprietary materials to any person or use them for your benefit except in connection with the operation of<br />

35<br />

Mateo 2Q12_FDD/PK ^^40^40^-14^49051.8 03/09/4412

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