Common use of Renewal of Rights Clause in Contracts

Renewal of Rights. (a) If Muzak reasonably determines that the performance of Licensee during the term stated in Section 3.1 is not sufficiently satisfactory to warrant renewal of Licensee's license rights hereunder, then, at least two years prior to the date of expiration described in Section 3.1 of this Agreement, Muzak shall notify Licensee that it does not intend to renew Licensee's license rights and provide the specific reasons for such decision. Such notification is intended to give Licensee the opportunity to assign its rights under this Agreement, or to make satisfactory its performance, it being understood that any such assignment is subject to Muzak's prior approval as provided in Article XII hereof.