MANUGISTICS GROUP INC
EXHIBIT 10.5
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<DESCRIPTION>EXHIBIT 10.5
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<P align="right" style="font-size: 10pt">Exhibit&nbsp;10.5


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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Notice of Grant of Stock Option</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>MANUGISTICS GROUP, INC.</B></TD>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>and Option Agreement</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ID: 52-1469385</TD>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">(the &#147;Option Agreement&#148;)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">9715 KEY WEST AVENUE</TD>
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    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ROCKVILLE MD 20850</TD>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>&#091;Name&#093;</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;&nbsp;&nbsp;<B>Grant Number:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="3" align="center" valign="top">&#091;&nbsp;&nbsp;&#093;
</TD>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>&#091;Address&#093;</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;&nbsp;&nbsp;<B>Plan:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1998</TD>
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</DIV></TD>
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    <TD align="left" valign="top">&nbsp;&nbsp;&nbsp;<B>ID:</B>
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="3" align="center" valign="top">&#091;&nbsp;&nbsp;&#093;
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<P align="left" style="font-size: 10pt">Dear &#091;name&#093;:



<P align="left" style="font-size: 10pt">Effective &#091;date&#093; you have been granted a Non-Qualified Stock Option (the
&#147;Stock Option&#148;) to buy &#091;# &#093; shares of Manugistics Group, Inc. (the &#147;Company&#148;)
common stock at an exercise price of $&#091;&nbsp;&nbsp;&#093; per share, with an expiration date
of &#091;date&#093; . The total exercise price to acquire all of the shares granted is
$&#091;&nbsp;&nbsp;&#093;.



<P align="left" style="font-size: 10pt">The shares will vest <B>&#091;VESTING SCHEDULE&#093; </B>beginning on <B>&#091;VEST START DATE&#093;</B>.



<P align="center" style="font-size: 10pt"><B>Vesting Schedule: &#091;</B>&nbsp;&nbsp;<B>&#093; % per year for &#091;</B>&nbsp;&nbsp;<B>&#093; years</B>


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    <TD nowrap align="center"><B>Shares</B><HR size="1" noshade></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Vesting Type</B><HR size="1" noshade></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Vesting Date</B><HR size="1" noshade></TD>
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    <TD nowrap align="center"><B>Expiration</B><HR size="1" noshade></TD>
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<P align="center" style="font-size: 10pt"><B>&#091;details of installments&#093;</B>



<P align="left" style="font-size: 10pt">To the extent shares are vested, you may exercise the Stock Option in minimum
increments of 50 shares or, if fewer, the total number of shares then
exercisable. At the time of exercise, you are required to pay the exercise
price and the applicable taxes by cash or check in U.S. dollars.



<P align="left" style="font-size: 10pt">In the event that the Company has a change of control, which is defined as
fifty-one percent (51%) of the Company&#146;s voting stock having a change in
ownership: (a)&nbsp;if your responsibilities are not affected, fifty percent (50%)
of the Stock Option shall immediately vest; (b)&nbsp;if your responsibilities are
significantly diminished from those reasonably associated with your position at
the time of the change in control, or you are actually or constructively
terminated, one hundred percent (100%) of the Stock Option shall immediately
vest. The number of shares vesting shall be determined by multiplying the
original number of option shares granted (as adjusted to reflect the
application of anti-dilution rights) which are still outstanding by the
applicable percentage. A change in ownership of &#147;fifty-one percent (51%) of
the Company&#146;s voting stock&#148; shall mean a change in ownership as a result of a
single purchase or series of related purchases by a single purchaser or a group
of purchasers acting in concert by way of merger, consolidation or otherwise.
The change of control rights granted herein are in addition to other similar
rights granted under the 1998 Amended and Restated Stock Option Plan, as
amended (the &#147;Plan&#148;).



<P align="left" style="font-size: 10pt">If your employment with Manugistics is terminated (other than for death or
disability), the Stock Option will continue to vest and be exercisable through
the later of your termination date or any period during which you are receiving
severance payments, after which vesting shall cease. Thereafter, you may
continue to exercise the Stock Option to the extent your shares are vested for
the thirty &#150; day period following the last date of vesting. If your employment
terminates due to your permanently disability, vesting shall cease on the date
you are determined to be permanently disabled and you shall have one (1)&nbsp;year
from that date to exercise your Stock Option to the extent your shares are
vested. If you die while employed by Manugistics, vesting shall cease on your
date of death and your beneficiaries or your estate have one (1)&nbsp;year from the
date of death to exercise the Stock Option to the extent your shares are
vested.



<P align="left" style="font-size: 10pt">By your acceptance, you agree that this Stock Option is granted under the Plan
and is governed by this Option Agreement and the terms and conditions of the
Plan. A copy of the Plan is incorporated by this reference and can be found in
the Company&#146;s Employee Encyclopedia. As stated in Section&nbsp;5(c) of the Plan,
any interpretations, decisions, or actions made by the Committee administering
the Plan will be final, conclusive and binding. The grant of this Stock Option
shall not prevent the Company from terminating your employment or modifying the
conditions of your employment at any time.



<P align="left" style="font-size: 10pt"><B>Please electronically accept this Option Agreement and print a copy for
your records.</B>



<P align="left" style="font-size: 10pt">Name: <U>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;</U><U>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;</U><U>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;</U><U>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;</U>



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