now therefore, in consideration of the mutual promises and agreements provided in this Agreement, the parties hereto agree as follows:

1. Author grants to Agent the sole and exclusive license relating to the Works to authorize on behalf of the Author Russian language publications of all kinds, dramatization and subsequent performances of all kinds, whether by living actors or by television or radio or by any means of mechanical recording, visual or audible, now known or hereinafter to be devised in future, for a period of three years from the date of this Agreement, always provided that:

a) if the rights have not been exploited within the three years, all rights shall revert to the Author.

b) if the rights are exploited during the Agreement validity, the Agreement shall be automatically extended as follows:

i) in respect of publication until the Works are not in print and Publishers have not reprinted them within one year of having received due notice so to do.

ii) in respect of stage performances until a period of twelve months elapses during which no such performances are given hereunder.

iii) in respect of film, television, radio and other media rights until expiring of the copyright protection in a production.

2. The terms for any exploitation shall be negotiated by the Agent, and the Author hereby grants the Agent the Power of Attorney on behalf of the Author to execute contracts for this purpose, always provided that the terms of license contracts have been previously agreed with the Author in writing.

3. The Agent undertakes that any contract for exploitation of the Works shall include the following terms:

a) payment of fees and/or royalties at not less than the market rates in the Territory.

b) the right for the Author to receive prominent credit as the Author, in publications, titles, bills and all customary announcements.

4. The Agent shall inform the Author in writing of the publications, productions and openings of the Works and shall send the Author presentation copies of the book after its publication, programmes with the cast, posters and also all reviews and other information, appeared in the press in connection with the publication, release or performance of the Works.

5. Fees or royalties collected by the Agent, from exploitation of the Works shall be divided 85% to the Author and 15% to the Agent.

6. The Agent shall submit to the Author twice a year the reports on monies received as per 1st January and 1st June stating and within 30 days from the date of submitting the report shall remit all sums due to the Author in US Dollars to the bank account of the Author. Bank transfer charges shall be paid at the expense of the Author. 

  However, if the sum due in the accounting period is less than $100 USD, the Agent shall not be obliged to render statements, unless specifically demanded, in which case the amount due will be forwarded to the next accounting date.

  The Agent agrees to maintain complete and accurate accounts of all monies received from exploitation of the Works and to afford the Author access to such accounts at any time on reasonable notice.

7. The Agent shall have the right to use the Author's name, biography and likeness in connection with the exploitation of rights hereby granted.

8. The Agent may sub-license the rights granted but shall remain liable to the Author for performance of the Agents liabilities hereunder.

9. The Author warrants that he/she controls the necessary rights in the Works for the purposes of this Agreement and that the Works do not contain material of which he/she does not control the copyright, nor have the rights granted hereunder previously been granted to a third party. The Author further warrants that the Works are not, to the best of his/her knowledge and belief, libellous and do not invade the privacy of any person.

  The Author hereby indemnifies the Agent against any claim arising from a breach of these warranties.

10. The Copyright in the Works shall remain the property of the Author who hereby empowers the Agent to take in the Author's name any legal action or otherwise that the Agent may consider necessary to protect it under this Agreement.

11. All taxes and duties levied in the territory of Russia in connection with the execution of this Agreement shall be paid by Agent and all taxes and duties levied outside Russia shall be paid by Author.

12. All amendments and supplements to the present Agreement shall be valid provided they are made in writing and duly signed by the parties. After signing the present Agreement all previous discussions and correspondence on the questions settled by the present Agreement shall become null and void.

13. Neither party has the right to transfer its rights and commitments under the present Agreement to any third party without written consent thereto of the other party.

14. This Agreement shall be binding on the parties hereto and on their executors, administrators, personal representatives, successors and assigns.

15. All differences and disputes arising from this Agreement or in connection herewith not settled by direct negotiation shall be resolved in such forum as the parties may at the time agree is appropriate and, failing agreement, in a competent court of general jurisdiction in Moscow, Russia.

  This Agreement shall be subject to Russian law.

16. This Agreement is signed in two copies in the English language and shall enter into force upon the date of its signing.

In witness whereof the parties hereto in respect of their interests have subscribed hereunder.