Easiest way to handle this is taking out royce right at the start when the prompt comes up to draw your weapon, clean shot and you're done. If that's not your style, hack meredith's credchip with code 605185 to remove the virus, which gets militech involved instead of facing royce directly. For a sneakier approach, you can disable the security systems with tech 6 and use distraction hacks to slip past his patrol, pretty straightforward if you're patient. Maybe interesting that paying the full 10k straight up works too, expensive but effective if you've got the eddies to spare.

If you're going non-lethal or want specific loot later, the clean chip method probably works best since you'll still have options with brick afterward. Good to know that whether you skip the fight or not, you can still grab the chaos pistol and that special maelstrom jacket through other means so don't stress about missing out on equipment.