**Exhibit 10.1**

 

**PATENT PURCHASE AGREEMENT**

 

This PATENT PURCHASE AGREEMENT (“Agreement”) is entered into onNovember 21, 2005 (***“Effective Date”***) by andbetween Mount Hamilton Partners, LLC with an office at 650 Castro Street, Suite120-333, Mountain View, CA 94041 (***“Purchaser”***),and eAcceleration Corp., a Delaware corporation with an address at 1050 NE HostmarkSt., Suite 100B Poulsbo, WA 98370 (***“Seller”***).  The parties hereby agree as follows.

 
| **1.** | **BACKGROUND**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
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| 1.1    | Seller owns certain United States Letters Patents and/or applications  for United States Letters Patents and/or related foreign patents and  applications.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 1.2    | Seller wishes to sell to Purchaser all right, title and interest in such  patents and applications and the causes of action to sue for infringement  thereof and other enforcement rights.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 1.3    | Purchaser wishes to purchase from Seller all right, title and  interest in the Assigned Patent Rights (defined below), free and clear of any  restrictions, liens, claims and encumbrances.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| **2.** | **DEFINITIONS**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
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| 2.1    | ***“Assigned Patent Rights”***  means Patents and the additional rights set forth in paragraph 4.2.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|   | ** **                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 2.2    | ***“Assignment Agreements”***  means the agreements assigning ownership of the Patents from the inventors  and/or the prior owners to Seller.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
|   | ** **                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 2.3    | ***“List of Prosecution Counsel”***  means the names and addresses of prosecution counsel who prosecuted the  Patents and/or who are currently handling the Patents.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   | ** **                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 2.4    | **“*Patents*”**  means (i) each of the provisional patent applications, patents applications  and patents listed on ***Exhibits A and B***  (as such lists may be updated based on Purchaser’s review of the  Deliverables) hereto, (ii) all patents or patent applications to which any of  the foregoing claim priority, and (iii) all reissues, reexaminations,  extensions, continuations, continuations in part, continuing prosecution  applications, and divisions of such patents and applications; and (iv)  foreign counterparts to any of the foregoing, including certificates of  invention, utility models, industrial design protection, design patent  protection, and other governmental grants, and (v) any of the forgoing in  (ii)-(iv) whether or not expressly listed in ***Exhibit  A*** and whether or not abandoned, rejected, or the like. |

 

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| 3.     | **DELIVERY AND PAYMENT**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
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|   | ** **                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 3.1    | Delivery.   Within ten (10) days following the Effective Date, Seller shall  deliver to Purchaser the Assignment Agreements, an original notarized Assignment  of Patent Rights (***Exhibit B*** hereto), the List  of Prosecution Counsel, and all files and original documents owned or  controlled by Seller (including, Letters Patents, assignments, and other  documents necessary to establish that the Seller’s representations and  warranties of Section 6 are true and correct) relating to the Patents,  including, without limitation, all prosecution files for pending patent  applications included in the Patents, and its own files relating to the  issued Patents (***“Initial Deliverables”***).  Seller acknowledges that Purchaser may  request additional documents based on Purchaser’s review of the Initial  Deliverables (such additional documents and the Initial Deliverables,  collectively, the ***“Deliverables”***), and that  as a result of Purchaser’s review, the amount of payment and the assets  listed in ***Exhibits A*** and ***B*** may be revised. |
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| 3.2    | Payment.   At the Closing (as defined below), Purchaser shall pay to Seller the  amount of Five Hundred Sixty Thousand Dollars ($560,000).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
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| 3.3    | Closing.   When all conditions herein have been waived or satisfied, the closing  of the sale of the Patents will occur (the “Closing”), but in no event prior  to thirty days following the Seller’s delivery to Purchaser of the items  listed in Section 3.1.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
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| 3.4    | Conditions to Closing.  The following are conditions precedent to  the closing and to Purchaser’s obligation to make the payments contemplated  by Section 3.1 of this Agreement:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|   | (a)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | Delivery of the items listed in Section 2 and compliance with Section  5 to the reasonable satisfaction of Purchaser, and |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
|   | (b)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | Purchaser’s reasonable satisfaction that, as of the Closing, the  representations and warranties in Section 6 are true and correct. |
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| 3.5    | Termination.   If the conditions to closing have not been met within thirty (30) days  following Seller’s delivery to Purchaser of the items listed in Section 3.1, Purchaser  will have the right to terminate this Agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
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| **4.** | **TRANSFER OF PATENTS**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
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| 4.1    | Patent Assignment.  Subject to receipt of payment, Seller  hereby sells, assigns, transfers and conveys to Purchaser all right, title  and interest in and to the Patents and the Patent Rights (as defined in ***Exhibit B***).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
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| 4.2    | Assignment of Causes of Action.  Subject to receipt of payment, Seller  hereby also sells, assigns, transfers and conveys to Purchaser all right,  title and interest in and to                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |

 

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|   | (a)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | inventions and discoveries described in any of the Patents;                                                                                                                                                                                                                                                                                                                     |
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|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                                                                                                                                                                                                                                                                                                            |
|   | (b)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | rights to apply in any or all countries of the world for patents,  certificates of invention, utility models, industrial design protections,  design patent protections, or other governmental grants of any type related  to any of the Patents and the inventions and discoveries therein;                                                                                    |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                                                                                                                                                                                                                                                                                                            |
|   | (c)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | causes of action (whether currently pending, filed, or otherwise) and  other enforcement rights, including, without limitation, all rights under the  Patents and/or under or on account of any of the Patents and the foregoing  category (b) to (i) damages, (ii) injunctive relief, and (iii) any other  remedies of any kind for past, current and future infringement; and |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                                                                                                                                                                                                                                                                                                            |
|   | (d)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | rights to collect royalties or other payments under or on account of  any of the Patents or any of the foregoing.                                                                                                                                                                                                                                                               |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                                                                                                                                                                                                                                                                                                            |
| **5.** | **ADDITIONAL OBLIGATIONS**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                                                                                                                                                                                                                                                                                                            |
| 5.1    | Further Cooperation.  At the reasonable request of Purchaser,  Seller shall execute and deliver such other instruments and do and perform  such other acts and things as may be necessary or desirable for effective  completely the consummation of the transactions contemplated hereby,  including execution, acknowledgement and recordation of other such papers,  and using commercially reasonable efforts to obtain the same from the  respective inventors, as necessary or desirable for fully perfecting and  conveying unto Purchaser the benefit of the transactions contemplated hereby. |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                                                                                                                                                                                                                                                                                                            |
| 5.2    | Payment of Fees.  Prior to receipt of payment, Seller shall  pay any outstanding maintenance fees, annuities, and the like due on the  Patents as of the Effective Date.   Seller shall not be responsible for any maintenance fees, annuities,  and the like due to payable on the Patents after the Effective Date.                                                                                                                                                                                                                                                                             |
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| **6.** | **REPRESENTATIONS AND WARRANTIES**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                                                                                                                                                                                                                                                                                                            |
|   | Seller hereby represents and warrants to Purchaser as follows that,  as of the Effective Date and as of the Closing:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                                                                                                                                                                                                                                                                                                            |
| 6.1    | Authority.   Seller has the full power and authority, and has obtained all third  party consents, approvals and/or other authorizations required, to enter into  this Agreement and to carry out its obligations hereunder, including, without  limitation, the assignment of the Assigned Patent Rights to Purchaser.                                                                                                                                                                                                                                                                                 |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                                                                                                                                                                                                                                                                                                            |
| 6.2    | Title and Contest.  Seller owns all right, title, and interest  to the Assigned Patent Rights, including all right, title, and interest to sue  for infringement of the Patents.   Seller has obtained and properly recorded previously executed  assignments for the Assigned Patent                                                                                                                                                                                                                                                                                                             |

 

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|   | Rights as necessary to fully perfect its rights and title therein in  accordance with governing law and regulations in each respective  jurisdiction.  The Assigned Patent  Rights are free and clear of all liens, claims, mortgages, security interests  or other encumbrances, and restrictions.   There are no actions, suits, investigations, claims or proceedings  threatened, pending or in progress relating in any way to the Assigned Patent  Rights.  There are no existing  contracts, agreements, options, commitments, proposals, bids, offers, or  rights with, to, or in any person to acquire any of the Assigned Patent  Rights.  |
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|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |
| 6.3    | Existing Licenses.  No licenses under the Patents, or interest  or rights in any of the Assigned Patent Rights, have been granted or  retained.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |
| 6.4    | Restrictions on Rights.  Purchaser shall not be subject to any  covenant not to sue or similar restrictions on its enforcement or enjoyment  of the Assigned Patent Rights as a result of any prior transaction related to  the Assigned Patent Rights.                                                                                                                                                                                                                                                                                                                                                                                                             |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |
| 6.5    | Conduct.   None of Seller or its representatives have engaged in any conduct, or  omitted to perform any necessary act, the result of which would invalidate  any of the Patents or hinder their enforcement, including but not limited to  misrepresenting Seller’s patent rights to a standard-setting  organization.                                                                                                                                                                                                                                                                                                                                   |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |
| 6.6    | Enforcement.   Seller has not put a third party on notice of actual or potential  infringement of any of the Patents.   Seller has not invited any third party to enter into a license under  any of the Patents.  Seller has not  initiated any enforcement action with respect to any of the Patents.                                                                                                                                                                                                                                                                                                                                                   |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |
| 6.7    | Patents Office Proceedings.  None of the Patents have been or are  currently involved in any reexamination, reissue, interference proceeding, or  any similar proceeding and that no such proceedings are pending or  threatened.                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |
| 6.8    | Fees.   All maintenance fees, annuities, and the like due on the Patents have  been timely paid.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |
| 6.9    | Validity and Enforceability.  The Patents have never been found invalid  or unenforceable for any reason in any administrative, arbitration, judicial  or other proceeding.  Except for  correspondences from the United States Patent and Trademark Office (e.g.,  office actions), Seller does not know of and has not received any notice or  information of any kind from any source suggesting the Patents may be invalid  or unenforceable.                                                                                                                                                                                                         |
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| **7.** | **MISCELLANEOUS**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |
| 7.1    | Nonexclusive License Grant-Back.  Upon receipt of executed Assignment of  Patent Rights (***Exhibit B*** hereto),  Purchaser shall grant Seller a non-transferable, non-exclusive worldwide  right and license under the Patents to make, have made, import, use, sell or                                                                                                                                                                                                                                                                                                                                                                                           |

 

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|   | offer for sale any products and/or services covered by the Patents,  all without the right to sublicense.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
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| 7.2    | Limitation on Consequential Damages.  NEITHER PARTY SHALL HAVE ANY OBLIGATION OR  LIABILITY (WHETHER IN CONTRACT, WARRANTY, TORT (INCLUDING NEGLIGENCE) OR  OTHERWISE, AND NOTWITHSTANDING ANY FAULT, NEGLIGENCE (WHETHER ACTIVE,  PASSIVE, OR IMPUTED), REPRESENTATION, STRICT LIABILITY OR PRODUCT LIABILITY,  FOR COVER OR FOR ANY INCIDENTAL, INDIRECT OR CONSEQUENTIAL DAMAGES OR LOSS OF  REVENUE, PROFIT, SAVINGS OR BUSINESS ARISING FROM OR OTHERWISE RELATED TO  THIS AGREEMENT, EVEN IF A PARTY OR ITS EMPLOYEES HAVE BEEN ADVISED OF THE  POSSIBILITY OF SUCH DAMAGES.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
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| 7.3    | Limitation of Liability.  EXCEPT FOR FRAUD OR BREACH OF WARRANTIES OF  SECTION 6, EACH PARTY’S TOTAL LIABILITY UNDER THIS AGREEMENT SHALL NOT EXCEED  THE PURCHASE PRICE SET FORTH IN SECTION 3 OF THIS AGREEMENT.  THE PARTIES ACKNOWLEDGE THAT THESE  LIMITATIONS ON POTENTIAL LIABILITIES WERE AN ESSENTIAL ELEMENT IN SETTING  CONSIDERATION UNDER THIS AGREEMENT.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
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| 7.4    | Compliance with Laws.  Notwithstanding, anything contained in this  Agreement to the contrary, the obligations of the parties shall be subject to  all laws, present and future, of any government having jurisdiction over the  parties and this transaction, and to orders, regulations, directions or  requests of any such government.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
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| 7.5    | Confidentiality of Terms.  The parties hereto shall keep the terms and  existence of this Agreement and the identities of the parties hereto confidential  and shall not now to hereafter divulge any of this information to any third  party expect: (a) with the prior written consent of the other party; (b) as  otherwise may be required by law or legal process, including in confidence to  legal and financial advisors in their capacity of advising a party in such  matters; (c) during the course of litigation, so long as the disclosure of  such terms and conditions are restricted in the same manner as is the  confidential information of other litigating parties; or (d) in confidence to  its legal counsel, accountants, banks and financing sources and their  advisors solely in connection with complying with financial transactions;  provided that, in (b) through (d) above, (i) the disclosing party shall use  all legitimate and legal means available to minimize the disclosure to third  parties, including without limitation seeking a confidential treatment  request or protective order whenever appropriate or available; and (ii) the  disclosing party shall provide the other party with at least ten (10) days  prior written notice of such disclosure.   Without limiting the foregoing, Seller agrees that it will cause its  agents involved in this transaction to abide by the terms of this paragraph  7.4, including ensuring that such agents do not disclose or otherwise  publicize the existence of this transaction with actual or potential clients  in marketing materials, or industry conferences.  |

 

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| 7.6    | Governing Law; Venue/Jurisdiction.  This Agreement shall be interpreted,  construed and enforced in all respects in accordance with the laws of the  State of California, without reference to its choice of law principles to the  contrary.  Seller shall not commence or  prosecute any action, suit, proceeding or claim arising under or by reason of  this Agreement other than in the state or federal courts located in  California.  Seller irrevocably  consents to the jurisdiction and venue of the courts identified in the  preceding sentence in connection with any action, suit, proceeding or claim  arising under or by reason of this Agreement.  |
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| 7.7    | Notices: All notices required or permitted  to be given hereunder shall be in writing, shall make reference to this  Agreement, and shall be delivered by hand, or dispatched by prepaid air  courier or by registered or certified airmail, postage prepaid, addressed as  follows:                                                                                                                                                                                                                                                                                                                                                                                                      |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   |
|   | If to Seller

 

eAcceleration Corp. 

 

1050 NE Hostmark St., Ste 100B

 

Poulsbo, WA 98370

 

Attn: Clinton Ballard                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | If to Purchaser

 

Mount Hamilton Partners, LLC

 

650 Castro Street, Suite 120-333

 

Mountain View, CA 94041

 

Attn: Managing Officer |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   |
|   | Notices are to be deemed given on (a) the date of receipt if  delivered personally or by express courier (or if delivery refused, the date  of refusal), or (b) the fifth (5th) calendar day  after the date of posting if sent by US mail.   Notice given in any other manner shall be deemed to have been given  only if and when received at the address of the person to be notified.  Either party may from time to time change  its address for notices under this Agreement by giving the other party  written notice of such change in accordance with this paragraph.                                                                                                  |
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| 7.8    | Relationship of Parties.  The parties are independent contractors and  not partners, joint ventures, or agents of the other.  Neither party assumes any liability of or  has any authority to bind, or control the activities of, the other.                                                                                                                                                                                                                                                                                                                                                                                                                               |
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| 7.9    | Equitable Relief.  Seller agrees that damages alone would be  insufficient to compensate Purchaser for a breach of this Agreement,  acknowledges that irreparable harm would result from a breach of this  Agreement, and consents to the entering of an order for injunctive relief to  prevent a breach or further breach, and the entering of an order for specific  performance to compel performance of any obligations under this Agreement.                                                                                                                                                                                                                                   |
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| 7.10   | Severability.  If any provision of this Agreement is found  to be invalid or unenforceable, then the remainder of this Agreement shall  have full force and effect, and the invalid provision shall be modified, or  partially enforced, to the maximum extent permitted to effectuate its  original objective.                                                                                                                                                                                                                                                                                                                                                                      |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |  |  |

 

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| 7.11   | Waiver.   Failure by either party to enforce any term of this Agreement shall not  be deemed a waiver of future enforcement of that or any other term in this  Agreement or any other agreement that may be in place between the parties.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
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| 7.12   | Miscellaneous.  This agreement, including its exhibits,  constitutes the entire agreement between the parties with respect to the  subject matter hereof, and merges and supersedes all prior and  contemporaneous agreements, understandings, negotiations and  discussions.  Neither of the parties  shall be bound by any conditions, definitions, warranties, understandings, or  representations with respect to the subject matter hereof other than as  expressly provided herein.  The section  headings contained in this Agreement are for reference purposes only and  shall not affect in any way the meaning or interpretation of this  Agreement.  No oral explanation or oral  information by either party hereto shall alter the meaning or interpretation  of this Agreement.  No amendments or  modifications shall be effective unless in a writing signed by authorized  representatives of both parties.  These  terms and conditions shall prevail notwithstanding any different, conflicting  or additional terms and conditions that may appear on any purchase order,  acknowledgment or other writing not expressly incorporated into this  Agreement.  The following exhibits are  attached hereto and incorporated herein: ***Exhibit A***  (entitled “Patents to be Assigned”); and ***Exhibit B***  (entitled “Assignment of Patent Rights”). |
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| 7.13   | Counterparts; Electronic Signature.  This Agreement may be executed in counterparts,  each of which shall be deemed an original, and all of which together  constitute one and the same instrument.   Each party shall execute and deliver to the other parties a copy of  this Agreement bearing its original signature.  Prior to such execution and delivery, in  order to expedite the process of entering into this Agreement, the parties  acknowledge that Transmitted Copies of this Agreement shall be deemed  original documents.  ***“Transmitted Copies”*** means copies  that are reproduced or transmitted via email of a .pdf file, photocopy,  facsimile or other process of complete and accurate reproduction and  transmission.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
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| 7.14   | Assignment.   The terms and conditions of this Agreement shall inure to the benefit  of Purchaser, its successors, assigns and other legal representatives, and  shall be binding upon Seller, its successor, assigns and other legal  representatives.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |

 

 

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7

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In witnesswhereof, the parties have executed this Patent Purchase Agreement as of theEffective Date.

 

 
| PURCHASER:                        |             | SELLER:                 |
|-----------------------------------|------------------|-------------------------|
|                              |             |                    |
| **Mount  Hamilton Partners, LLC** | ** **       | **eAcceleration Corp.** |
| ** **                        | ** **       |
|                              |             |
| By:                               | /s/ Rakesh Ramde |                    | By: | /s/ Clint Ballard |   |
|                              |             |
| Name:                             | Rakesh Ramde     |                    | Name: | Clint Ballard |   |
|                              |             |
| Title:                            | President        |                    | Title: | CEO |   |
|                                   |                  |                         |  |  |  |  |  |  |  |  |  |

 

8

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***Exhibit A***

 

**PATENTS TO BE ASSIGNED**

 
| **Patent or Application No.** | ** ** | **Country** | ** ** | **Filing/Issued  Date** | ** ** | **Title and Inventor(s)**                                                                                                               |
|-------------------------------|------------|-------------|------------|-------------------------|------------|-----------------------------------------------------------------------------------------------------------------------------------------|
| ** **                    | ** ** | ** **  | ** ** | ** **              | ** ** | ** **                                                                                                                              |
| US 6,430,739                  |       | US          |       | 07/16/1999              |       | Software execution contingent on home page setting by Clinton L.  Ballard.                                                              |
|                          |       |        |       |                    |       |                                                                                                                                    |
| US 6,473,756                  |       | US          |       | 06/11/1999              |       | Method for selecting among equivalent files on a global computer  network by Clinton L. Ballard.                                        |
|                          |       |        |       |                    |       |                                                                                                                                    |
| US 6,157,930                  |       | US          |       | 09/24/1998              |       | Accelerating access to wide area network information in mode for  showing document then verifying validity by Clinton L. Ballard.       |
|                          |       |        |       |                    |       |                                                                                                                                    |
| US 6,078,960                  |       | US          |       | 07/03/1998              |       | Client-side load-balancing in client server network by Clinton L.  Ballard.                                                             |
|                          |       |        |       |                    |       |                                                                                                                                    |
| US 5,987,457                  |       | US          |       | 11/25/1997              |       | Query refinement method for searching documents by Clinton L.  Ballard.                                                                 |
|                          |       |        |       |                    |       |                                                                                                                                    |
| US 6,182,050                  |       | US          |       | 5/28/1998               |       | Advertisements distributed on-line using target criteria screening  with method for maintaining end user privacy by Clinton L. Ballard. |

 

----

***Exhibit B***

 

**ASSIGNMENT OF PATENT RIGHTS**

 

For good andvaluable consideration, the receipt of which is hereby acknowledged,eAcceleration Corp., a Delaware corporation with an office at 1050 NE HostmarkSt., Suite 100B, Poulsbo, WA 98370 (***“Assignor”***),does hereby sell, assign, transfer and convey unto Mount Hamilton Partners,LLC, a Delaware limited liability company with an office at 650 Castro Street,Suite 120-333, Mountain View, CA 94041 (***“Assignee”***),or its designees, all right, title and interest that exist today and may existin the future in and to all of the following (the ***“PatentRights”***): (a) the provisional patent applications, patentapplications and patents listed below, (b) all patents or patent applicationsto which any of the foregoing claim priority, and (c) current or future rightsto (i) provisional patent applications, patent applications, and patents of anykind relating to any inventions and discoveries described in any provisionalpatent applications, patent applications and patents listed below; (ii)reissues, reexaminations, extensions, continuations, continuations in part,continuing prosecution applications, and divisions of such patents andapplications; and (iii) foreign counterparts to any of the foregoing,including, without limitation, certificates of invention, utility models,industrial design protection, design patent protection, and other governmentalgrants; (d) the rights to all inventions and discoveries described in any provisionalpatent application, patent application or patent listed below and all otherrights arising out of such invention and discoveries; (e) rights to apply inany or all countries of the world for patents, certificates of invention,utility models, industrial design protections, design patent protections or othergovernmental grants of any type related to any of the foregoing categories (a),(b), (c), and (d), including, without limitation, under the Paris Conventionfor the Protection of Industrial Property, the International Patent CooperationTreaty, or any other convention, treaty, agreement or understanding; (f) causesof action (whether currently pending, filed, or otherwise) and otherenforcement rights, including without limitation, all rights under theprovisional patent applications, patent applications and patents listed belowand/or under or on account of any of the foregoing categories (b), (c), and/or(d) to

 
| (i)   | damages,                   |
|-------|----------------------------|
| (ii)  | injunctive relief, and     |
| (iii) | other remedies of any kind |

 

for past, current and future infringement; and

 

(g) all rights to collect royalties and other payments under or onaccount of any of the foregoing.

 

----

 
| **Patent or Application No.** | ** ** | **Country** | ** ** | **Filing/Issued  Date** | ** ** | **Title and Inventor(s)**                                                                                                               |
|-------------------------------|------------|-------------|------------|-------------------------|------------|-----------------------------------------------------------------------------------------------------------------------------------------|
| ** **                    | ** ** | ** **  | ** ** | ** **              | ** ** | ** **                                                                                                                              |
| US 6,430,739                  |       | US          |       | 07/16/1999              |       | Software execution contingent on home page setting by Clinton L.  Ballard.                                                              |
|                          |       |        |       |                    |       |                                                                                                                                    |
| US 6,473,756                  |       | US          |       | 06/11/1999              |       | Method for selecting among equivalent files on a global computer  network by Clinton L. Ballard.                                        |
|                          |       |        |       |                    |       |                                                                                                                                    |
| US 6,157,930                  |       | US          |       | 09/24/1998              |       | Accelerating access to wide area network information in mode for  showing document then verifying validity by Clinton L. Ballard.       |
|                          |       |        |       |                    |       |                                                                                                                                    |
| US 6,078,960                  |       | US          |       | 07/03/1998              |       | Client-side load-balancing in client server network by Clinton L.  Ballard.                                                             |
|                          |       |        |       |                    |       |                                                                                                                                    |
| US 5,987,457                  |       | US          |       | 11/25/1997              |       | Query refinement method for searching documents by Clinton L.  Ballard.                                                                 |
|                          |       |        |       |                    |       |                                                                                                                                    |
| US 6,182,050                  |       | US          |       | 05/28/1998              |       | Advertisements distributed on-line using target criteria screening  with method for maintaining end user privacy by Clinton L. Ballard. |

 

 
|   | Assignor  represents, warrants and covenants that: |
|--------|----------------------------------------------------|
|   |                                               |   |
| (1)    |                                               | Assignor  has the full power and authority, and has obtained all third party consents,  approvals and/or other authorizations required, to enter into this Agreement,  make the assignments, and to carry out its obligations under this Assignment  of Patent Rights; |
|   |                                               |   |
| (2)    |                                               | Assignor  owns all right, title, and interest to the Patent Rights, including, without  limitation, all right, title, and interest to sue for infringement of the  Patent Rights. Assignor has obtained and properly recorded previously  executed assignments for the Patent Rights as necessary to fully perfect its  rights and title therein in accordance with governing law and regulations in  each respective jurisdiction. The Patent Rights are free and clear of all  liens, claims, mortgages, security interests or other encumbrances, and  restrictions. There are no actions, suits, investigations, claims or  proceedings threatened, pending or in progress relating in any way to the  Patent |
|   |                                               |   |

2

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Rights.  There are no existingcontracts, agreements, options, commitments, proposals, bids, offers or rightswith, to, or in any person to acquire any of the Patent Rights.

 

Assignorhereby authorizes the respective patent office or governmental agency in eachjurisdiction to issue any and all patents, certificates of invention, utilitymodels or other governmental grants that may be granted upon any of the PatentsRights in the name of Assignee, as the assignee to the entire interest therein.

 

Assignor shall,at the reasonable request of Assignee and without demanding any furtherconsideration therefore, do all things necessary, proper, or advisable,including without limitation the execution, acknowledgment and recordation ofspecific assignments, oaths, declarations and other documents on acountry-by-country basis, to assist Assignee in obtaining, perfecting,sustaining, and/or enforcing the Patent Rights. Such assistance shall include providing, and obtaining from therespective inventors, prompt production of pertinent facts and documents,giving of testimony, execution of petitions, oaths, power of attorney,specifications, and declarations or other papers and other assistancereasonably necessary for filing patent applications, complying with any duty ofdisclosure, and conducting prosecution, reexamination, reissue, interference orother priority proceedings, opposition proceedings, cancellation proceedings,public use proceedings, infringement or other court actions and the like withrespect to the Patent Rights.  With priorwritten approval by Assignee, Assignee will pay Assignor’s reasonable costs andexpenses.

 

The terms andconditions of this Assignment of Patent Rights shall inure to the benefit ofAssignee, its successors, assigns and other legal representatives, and shall bebinding upon Assignor, its successor, assigns and other legal representatives.

 

 

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3

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IN WITNESSWHEREOF this Assignment of Patent Rights is executed at Bainbridge Island on12/15/05.

 

**ASSIGNOR**

 
| By:    | /s/ Clint Ballard |   |
|--------|-------------------|--------|
|   |              |   |
| Name:  | Clint Ballard     |   |
|   |              |   |
| Title: | CEO               |   |

 

*(Signature MUST be notarized)*

 

 
| STATE OF WASHINGTON | )     |
|---------------------|-------|
|                | ) ss. |
| COUNTY OF KITSAP    | )     |

 

On December 15, 2005, before me, Stephen L. Reece, Notary Public in andfor said State, personally appeared Clinton Ballard, personally known to me (orproved to me on the basis of satisfactory evidence) to be the person whose nameis subscribed to the within instrument and acknowledged to me that he/sheexecuted the same in his/her authorized capacity, and that by his/her signatureon the instrument the person, or the entity upon behalf of which the personacted, executed the instrument.

 
| WITNESS my hand and official seal.  | [SEAL]               |
|------------------------------------------|----------------------|
|                                     |
|                                     |
| Signature                                | /s/ Stephen L. Reece |   |
|                                     |                 |
|                                          |                      |  |  |

 

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