**LICENSE      AGREEMENT**

**INTRODUCTION**

| 1. | WHEREAS,                MSU has developed and is continuing research in the area of the                Technology, as defined in Paragraph 1.1 of this Agreement; and |
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| 2. | WHEREAS,                Company desires to obtain certain rights in and to the Technology;                and |
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| 3. | WHEREAS,                Company and MSU mutually desire to formalize an agreement which delineates                their respective rights and obligations with respect to the                Technology. |
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**ARTICLE      1 - DEFINITIONS**

| 1.1 | “Technology”                means MSU Invention Disclosure No. 05068 “Nanoporous Silicon-Based                Electrochemical DNA Biosensor”. |
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| 1.2 | “Know-how”                means the data and information embodied in or required to enable                the                Technology. |
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| 1.3 | “Patents”                means any and all patent applications (including any amendments or                extensions to the initial applications) filed in any country of the                world                by or on behalf of MSU claiming the Technology and/or any patents                maturing                from such patent applications. Patents and patent applications claiming                the technology at the time of execution of this Agreement include,                without                limitation, United States provisional patent application 60/704,550                titled                “Nanoporous Silicon-Based Electrochemical DNA Biosensor”, filed August 2,                2005. |
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| 1.5 | “Adjusted                Gross Sales” means the aggregate gross revenues derived by Company and its                Affiliates from the sale of Products and Services to, and practice                of                Processes for, an unaffiliated third party in an arms length commercial                transaction, less credits granted on account of price adjustments,                recalls, rejection or return of items previously                sold. |
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| 1.6 | “Product”                means any and all products sublicensed, offered or sold by or on                behalf of                the Company embodying or practicing the Technology, Know-how and/or                the                Patents. |
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| 1.7 | “Process”                means any and all processes embodying or practicing the Technology,                Know-how and/or the Patents. |
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| 1.8 | “Service”                means any and all services sublicensed, offered or sold by or on                behalf of                the Company embodying or practicing the Technology, Know-how and/or                the                Patents. |
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| 1.9 | “Term”                means the period beginning on the Effective Date and extending to                the                expiration of the last to expire of the Patents, or until Fifteen                (15)                years after the Effective Date, whichever is                longer. |
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| 1.10 | “Field”                means use of the Technology (and Know-how) limited to detection of                *Escherichia*                and *Salmonella*                bacteria. |
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| 1.11 | “Territory”                means worldwide. |
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| 1.12 | “Improvement”                means (a) divisionals of the Patents, (b) any continuations of the                Patents                deriving from inventions made within the Term (i) in the course of                research at MSU supported by Company hereunder, or (ii) conceived                or first                reduced to practice by MSU employees while conducting work for the                Company                under a private agreement that is disclosed to and approved by MSU                consistent with the then current MSU policy on outside work for pay. |
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| 1.13 | “Affiliate”                means any company, corporation or business which is at least fifty                percent                owned or controlled by Company, or which owns or controls at least                fifty                percent of Company, or which together with Company is commonly owned                or                controlled by a third party who owns or controls at least fifty percent                of                each. |
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| 1.14 | “Government”                means the United States Government. |
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| 1.17 | “Sublicensing                Revenues” means any and all payments, royalties and other consideration                collected by Company from its sublicensees in connection with the                sale,                license or other commercial disposition of Products, Processes or                Services                by such sublicensees. |
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**ARTICLE      2 - LICENSES GRANTED AND RIGHTS RETAINED**

| 2.1 | MSU                hereby grants to Company during the Term of this Agreement an exclusive                license within the Territory, limited to the Field, with the right                to                sublicense, to make, modify, reproduce, have made, lease, use, distribute,                market, promote, sell, offer for sale, license and otherwise dispose                of                and exploit the Products, practice the Processes, and offer the Services                under the Technology, the Know-how and/or the Patents and Improvements. |
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| 2.2 | The                exclusive license specified in Paragraphs 2.1 is subject to a reserved                right of MSU to utilize the Technology, Know-how, and/or the Patents                solely for the non-commercial research and educational purposes of                MSU. |
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| 2.3 | Company                is hereby granted by MSU a right of first refusal applicable to any                exclusive option or exclusive license that MSU elects to offer with                respect to the Technology, Know-how and/or the Patents in connection                with                any products, practice of the processes, and offer of the services                under                the Technology, the Know-how and/or the Patents outside of the licensed                Field. With respect to any such option or license offered by MSU,                the                Company’s right of first refusal shall expire sixty days after the Company                receives the offered terms from MSU. During reasonable business hours,                MSU                shall provide the Company with any requested information that MSU                is                legally permitted to provide, including access to personnel, in connection                with the Company’s due diligence investigation in deciding whether to                exercise any such right of first refusal hereunder. In addition,                any                commercial non-exclusive option or license that MSU elects to offer                with                respect to the Technology, Know-how and/or the Patents in connection                with                any such products, practice of the processes, and offer of the services                under the Technology, the Know-how and/or the Patents outside the                licensed                Field shall be offered to Company simultaneously and under identical                terms                with the offer to any third party. |
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| 2.4 | The                exclusive licenses specified in Paragraphs 2.1 and 2.3 may be subject                to                certain rights of the Government if the Technology, Know-how, and/or                the                Patents were created or invented in the course of Government-funded                research. Such rights may include for example a royalty-free license                to                the Government and the requirement that any Product produced for                sale in                the United States will be manufactured substantially in the United                States.                In the event that the Government exercises its march-in rights to                the                Technology to the substantial detriment of Company’s business, then                Company and MSU may negotiate a reduced royalty                rate. |
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| 2.5 | This                Agreement shall not be construed as implying that either Party hereto                shall have the right to use Background Intellectual Property of the                other                in connection with this Agreement or otherwise, except as expressly                stated                herein. “Background Intellectual Property” means property and the legal                right therein of either or both parties developed a) before or b)                independent of but during Term of this Agreement, including inventions,                patent applications, patents, copyrights, trademarks, mask works,                trade                secrets and any information embodying proprietary data such as technical                data and computer software and all derivatives thereof (other than                Project                Intellectual Property, as defined below). Except for the rights expressly                granted by one Party to the other hereunder, no license, interest                or right                in, or title to, a Party’s Background Intellectual Property, or any                intellectual property rights therein or associated therewith, shall                be                deemed to have been granted, vested in or transferred to the other                Party                under the terms of the Agreement and no such rights shall be construed                by                estoppel. All title to and ownership of a Party’s Background Intellectual                Property (and the intellectual property rights therein or associated                therewith) remain with such Party. |
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| 2.6 | For                clarity, inventions made by Company relating to the Technology and                without                an MSU inventor are the sole property of Company. Company shall have                no                obligation to MSU for such inventions, except as may be provided                in                Article 13.4 herein. |
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**ARTICLE      3 - R&D PERFORMANCE & MARKETING**

| 3.1 | Company                shall use reasonable efforts to introduce Products and Processes                into the                commercial market as soon as practicable, consistent with sound and                reasonable business practices and judgment. Thereafter, Company shall                endeavor to keep Products and Processes reasonably available to the                public                during the remainder of the Term. |
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| 3.2 | MSU                shall have the right to terminate or render this license nonexclusive                at                any time after three (3) years from the Effective Date if Company:                (a) has                not put the Technology into commercial use in the Territory, directly                or                through a sublicense or (b) is not demonstrably engaged in a research,                development, manufacturing, marketing or sublicensing program, as                appropriate, directed toward this end. MSU shall, prior to exercising                any                right under this Section 3.2, provide the Company with at least thirty                (30) days written notice of its intention to exercise any rights                hereunder, and shall notify Company in writing after the expiration                of                such thirty (30) day notice period to confirm that MSU is in fact                exercising its rights hereunder. |
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**ARTICLE      4 - PATENTS AND PATENT COSTS**

| 4.1 | MSU                shall retain title to the Technology, Know-how, and the                Patents. |
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| 4.2 | MSU                shall file, prosecute, and maintain Patents in the United States                and in                any other countries designated by Company at Company’s expense. Company                may later approach MSU to add non-designated countries for which                MSU has                pending applications or patents. Any such later addition shall be                at MSU’s                discretion. |
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| 4.3 | Company                agrees promptly to reimburse MSU for its outside legal costs incurred                under Paragraph 4.2 within thirty (30) days after the receipt of                invoices                from MSU. Late payment shall be subject to interest charges of one                and                one-half percent (11⁄2 %) per month. Such reimbursement payments by Company                of costs incurred by MSU under Paragraph 4.2 shall be creditable                against                up to 50% of the royalties that are due from Company to MSU under                Article                6 during the same calendar year in which such reimbursements are                due. |
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| 4.4 | Failure                of Company to pay the amounts required under Paragraph 4.3 within                ninety                (90) days after the receipt of invoices from MSU shall constitute                a                default by Company under this Agreement, and entitle MSU to exercise                its                rights to terminate this Agreement, including the provision of notice                and                the Company’s right to cure, under Article                13. |
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| 4.5 | Nothing                in this Agreement shall prevent MSU from seeking patents on the Technology                in countries other than those designated by Company. Such patent                applications shall be filed, prosecuted and maintained at MSU’s expense,                and shall be free of any obligations to Company under this                Agreement. |
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**ARTICLE      5 - PUBLICATION RIGHTS**

| 5.1 | MSU                reserves the right to publish or present the results of its research                on                the Technology. |
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**ARTICLE      6 - PAYMENTS AND ROYALTIES**

| 6.1 | Company                agrees to pay to MSU a non-refundable initial fee of Twenty Thousand                United States Dollars ($20,000.00) within ten business days from                the                execution of this License                Agreement. |
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| 6.2 | (a) | During                the Term of this Agreement, the Company shall pay to MSU a royalty                of five                percent (5.0 %) of Adjusted Gross Sales. Where a Product or Process                is not                sold, but is otherwise disposed of for commercial value, Adjusted                Gross                Sales for the purpose of computing royalties shall be the Adjusted                Gross                Sales price at which Products or Processes of similar kind and quality,                sold in similar quantities, are currently being offered for sale                by                Company. Where such Products and Processes are not currently being                separately offered for sale by Company, but are offered in connection                with                other products or processes, Adjusted Gross Sales shall be Company’s cost                of manufacture, determined by Company’s customary accounting procedures,                increased by 100 %. |
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|   | (b) | During                the Term, Company shall pay to MSU a royalty of five percent (5.0%)                of                Adjusted Gross Sales of any Sublicensee. |
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| 6.3 | Beginning                in calendar year 2008, Company agrees to pay MSU an annual minimum                payment                as shown in the table below. Should the actual royalties paid under                Paragraph 6.2 fall short of this minimum amount, Company shall pay                MSU the                difference when the royalty payment for the last calendar quarter                of such                calendar year is due in accordance with Paragraph 6.4. |
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| Year             | Minimum                Payment |
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| 2008-2012        | $10,000.00                     |
| 2013-2017        | $20,000.00                     |
| 2018-2022        | $25,000.00                     |
| 2023-termination | $30,000.00                     |

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| 6.4 | During                each fiscal year during the Term, Company shall deliver to MSU within                forty-five (45) days after the end of each of its first three fiscal                quarters and within ninety (90) days following the end of its fiscal                year: |
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|   | (a) | A                written report showing all figures necessary to compute Adjusted                Gross                Sales and Company’s computation of all remuneration to MSU due under this                Agreement for such calendar quarter, accompanied by a check in full                payment of the remuneration due. Adjusted Gross Sales shall be segmented                in each such report on a country-by-country basis, including the                rates of                exchange used for conversion to USA Dollars from the currency in                which                such sales were made. |
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|   | (b) | For                any Adjusted Gross Sales which are made in a currency other than                U.S.                dollars, the amount of such sales shall be converted to U.S. Dollars                using                the currency exchange rates set forth in The                Wall Street Journal                on                the last day of the calendar                quarter. |
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|   | (c) | All                payments due shall be made in U.S. dollars without deduction for                taxes,                assessments, or other charges of any kind which may be imposed on                Company                by the government of the country where the transactions occur or                any                political subdivision thereof with respect to any amounts payable                to MSU                pursuant to this Agreement, and such taxes, assessments, or other                charges                shall be assumed by Company. |
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|   | (d) | Late                payments shall be subject to an interest charge of one and one-half                percent (11⁄2%) per month. |
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| 6.5 | Company                shall keep for a period of three (3) years following the year to                which                such records relate, full, true and accurate books of accounts and                other                records containing all information and data which may be necessary                to                ascertain and verify the remuneration payable to MSU hereunder. During                the                Term and for a period of two (2) years following its termination                or                expiration, MSU shall have the right, upon reasonable prior written                notice, to audit, or have an agent, accountant or other representative,                audit such books, records and supporting data upon fifteen (15) days                notice. All information subject to such audit shall be deemed Confidential                Information and treated in accordance with the provisions of Section                10.                Any audit shall be at MSU’s expense, except that Company shall reimburse                MSU for the cost of the audit in the event that the audit establishes                an                underpayment of ten percent (10%) or more of the amount                due. |
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**ARTICLE      7 - RESERVED**

**ARTICLE      8 - DILIGENCE**

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| 8.1 | Company                shall deliver to MSU within one hundred twenty (120) days after the                end of                fiscal 2007 and 2008, a report describing Company’s progress toward                meeting its objectives together with an updated version of its business                plan. |
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**ARTICLE      9 - INFRINGEMENT**

| 9.1 | Each                party shall promptly report in writing to the other party during                the Term                any infringement or suspected infringement of any Patent, or unauthorized                use or misappropriation of the Technology or Know-how by a third                party of                which it becomes aware, and shall provide the other party with all                available evidence supporting said infringement, suspected infringement                or                unauthorized use or                misappropriation. |
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| 9.2 | Company                shall have the right to initiate an infringement suit or other appropriate                action against any third party who at any time has infringed or is                suspected of infringing any of the Patents or of using without proper                authorization all or any portion of the Technology or Know-how. Company                shall give MSU sufficient advance written notice of its intent to                initiate                such action and the reasons therefor, and shall provide MSU with                an                opportunity to make suggestions and comments regarding such action.                Company shall keep MSU promptly informed of the status of any such                action.                Company shall pay all expenses of such action. MSU shall offer reasonable                assistance to Company in connection therewith at no charge to Company                except for reimbursement of reasonable out-of-pocket expenses. Recoveries,                reimbursements, damages, profits or awards from such action shall                first be                applied to reimburse Company and MSU for litigation costs. Any remaining                recoveries, reimbursements, damages, profits or awards of whatever                nature                shall be treated as Adjusted Gross Sales under this                Agreement. |
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| 9.3 | In                the event that MSU is a legally indispensable party to an infringement                suit or other action as described in Paragraph 9.2, MSU may join                the                action as a co-plaintiff. Company shall reimburse MSU for any reasonable                costs it incurs as a party to any action brought by Company or its                sublicensee, irrespective of whether MSU shall become a                co-plaintiff. |
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| 9.4 | In                the event that Company does not within six (6) months from first                determining that an actual infringement of the Technology is likely                to                exist, (a) secure cessation of the infringement, or (b) initiate                suit                against the infringer, MSU shall thereafter have the right but not                the                obligation to take action against the infringer at MSU’s own expense.                Company shall offer reasonable assistance to MSU in connection with                such                action at no charge to MSU except for the reimbursement of reasonable                out-of-pocket expenses. Any damages, profits or awards of whatever                nature                recovered from such action shall belong solely to                MSU. |
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**ARTICLE      10 - CONFIDENTIALITY**

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| 10.1 | In                connection with this Agreement, it is acknowledged that each party                may                disclose its confidential and proprietary information to the other                party.                Any such information that is first disclosed in writing, or if first                disclosed orally is later transmitted in written form, and is labeled                as                “Confidential” is referred to herein as “Confidential Information.” No                ownership or other rights or interests in Confidential Information                shall                be transferred or otherwise affected by its disclosure to the other                Party. |
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| 10.2 | Each                party hereto shall maintain the Confidential Information of the other                party in confidence, and shall not disclose or otherwise communicate                such                Confidential Information to others, or use it for any purpose except                pursuant to, and in order to carry out, the terms and objectives                of this                Agreement, and hereby agrees to exercise every reasonable precaution                to                prevent and restrain the unauthorized disclosure of such Confidential                Information by any of its directors, officers, employees, consultants                or                agents. |
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| 10.3 | Each                Party may disclose Confidential Information of the other Party                to                its legal or financial advisors and to those employees, directors                or                consultants that have a need to know such Confidential Information,                provided such persons are bound by confidentiality restrictions                substantially similar to those set forth herein.                Each Party shall be responsible for compliance with the confidentiality,                use and other terms of this Article by (a) such Party itself and                its                Affiliates, sublicensees, contractors and consultants (including                third-party clinicians), and (b) each of the foregoing                persons’ respective personnel, agents and representatives, as well as (c)                any other persons to whom such Party directly or indirectly makes                available, discloses or provides any Confidential Information of                the other                Party in accordance with this Section 10.3. Each Party shall take                appropriate action, whether by instruction, agreement or otherwise,                to                ensure the protection, confidentiality and security of such Confidential                Information. |
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| 10.4 | The                obligations set forth in this Article 10 shall remain in force during                and                shall survive the entry into and expiration or earlier termination                of this                Agreement for any reason.                Failure on the part of the receiving party to abide by this section                or                Article 10 shall cause the disclosing party irreparable harm for                which                damages will not be an adequate remedy at law. Accordingly, the disclosing                party shall have the right to seek injunctive relief to prevent any                threatened or actual violations of this section in addition to whatever                remedies it may have at law. Receiving party expressly                waives the defense that a remedy in damages will be                adequate. |
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| 10.5 | The                provisions of this Article 10 shall not apply to any Confidential                Information disclosed hereunder                which: |
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|   | (a) | Was                lawfully disclosed to the recipient by an independent third party                rightfully in possession of the Confidential Information;                or |
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|   | (b) | Has                been published or is generally known to the public in accordance                with                Article 5 or otherwise through no fault or omission by any of the                parties;                or |
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|   | (c) | Was                independently known to the recipient prior to receipt from the disclosing                party without confidentiality restriction, or was independently developed                by the recipient without reference to the disclosing party’s Confidential                Information, in either case, as is demonstrably documented in written                records of the recipient; or |
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|   | (d) | Is                required to be disclosed by either party to comply with court orders                or                applicable laws (including the disclosure obligations of the Company                pursuant to the Securities Exchange Act of 1934, as amended, and                the                disclosure obligations of MSU pursuant to the Michigan Freedom of                Information Act), to defend or prosecute litigation or to comply                with                governmental regulations; provided, however, that such party gives                the                other party prompt notice of such requirement so as to enable the                disclosing party to take steps to protect its Confidential Information                and                to take reasonable and lawful actions to avoid and/or minimize the                degree                of such disclosure. |
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**ARTICLE      11 - WARRANTY DISCLAIMER; LIMITATION ON LIABILITY**

| 11.1 | Nothing                in this Agreement shall be construed                as: |
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|   | (a) | A                warranty or representation by MSU as to the validity or scope of                any                Patent; |
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|   | (b) | Except                as listed in 11.2, a warranty or representation that anything made,                used,                sold or otherwise disposed of under any license granted in this Agreement                is or will be free from infringement of patents, copyrights and/or                trademarks of third parties; |
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|   | (c) | An                obligation of MSU to bring or prosecute actions or suits against                third                parties for infringement; |
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|   | (d) | Conferring                rights to use in advertising, publicity or otherwise any trademark                or the                name of MSU; or |
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|   | (e) | Granting                by implication, estoppel or otherwise any licenses under patents                of MSU                other than the licenses granted under Section 2 hereof, regardless                of                whether such other patents are dominant of or subordinate to any                Patent. |
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| 11.3 | Except                as expressly set forth in this Agreement, MSU MAKES NO REPRESENTATIONS,                EXTENDS NO WARRANTIES OF ANY KIND, EITHER EXPRESS OR IMPLIED, AND                ASSUMES                NO RESPONSIBILITIES WHATEVER WITH RESPECT TO THE USE, SALE OR OTHER                DISPOSITION BY COMPANY OR ITS VENDEES OR OTHER TRANSFEREES OF PRODUCTS,                PROCESSES, OR SERVICES INCORPORATING OR MADE BY USE OF THE TECHNOLOGY,                KNOW-HOW, OR PATENTS LICENSED UNDER THIS AGREEMENT OR INFORMATION,                IF ANY,                FURNISHED UNDER THIS AGREEMENT. SUCH TECHNOLOGY, KNOW-HOW, PATENTS                AND                INFORMATION ARE PROVIDED AS IS, WITHOUT WARRANTY OF MERCHANTABILITY                OR                FITNESS FOR A PARTICULAR PURPOSE OR ANY OTHER WARRANTY, EXPRESS OR                IMPLIED. |
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| 11.3 | MSU                ASSUMES NO LIABILITY UNDER THIS AGREEMENT. IN NO EVENT WILL MSU BE                LIABLE                FOR ANY LOSS OF DATA, LOST PROFITS, COST OF PROCUREMENT OF SUBSTITUTE                TECHNOLOGY OR SERVICES OR FOR ANY SPECIAL, INCIDENTAL, CONSEQUENTIAL                OR                INDIRECT DAMAGES ARISING FROM THE USE OF THE PATENTS OR KNOW HOW                OR                OTHERWISE ARISING OUT OF THIS AGREEMENT, HOWEVER CAUSED AND ON ANY                THEORY                OF LIABILITY, WHETHER FOR BREACH OF CONTRACT, TORT (INCLUDING NEGLIGENCE)                OR OTHERWISE. THIS LIMITATION WILL APPLY EVEN IF MSU HAS BEEN ADVISED                OF                THE POSSIBILITY OF SUCH DAMAGES. THESE LIMITATIONS SHALL APPLY                NOTWITHSTANDING THE FAILURE OF ESSENTIAL PURPOSE OF ANY LIMITED                REMEDY. |
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**ARTICLE      12 - NOTICES**

| 12.1 | Communications                to Company concerning this Agreement should be addressed                to: |
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| 12.2 | Communications                to MSU concerning this Agreement should be addressed                to: |
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**ARTICLE      13 - TERMINATION**

| 13.1 | Company                may terminate this Agreement at any time by providing one year’s written                notice to MSU. Upon termination a final report shall be submitted                to MSU,                and any royalty payments and unreimbursed patent expenses due to                MSU shall                become immediately payable. |
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| 13.2 | In                the event that MSU shall be in material default of any of its obligations                hereunder, the Company may, at its sole option terminate this Agreement                by                providing written notice to MSU specifying the nature of the default.                Termination under these circumstances shall be effective thirty (30)                days                following receipt of said notice by MSU, unless MSU cures said default                prior to the expiration of said thirty (30) day                period. |
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| 13.3 | In                the event that Company shall be in material default of any of its                obligations hereunder, MSU may at its sole option: (a) terminate                this                Agreement or (b) convert the exclusive license hereunder to a                non-exclusive license. MSU shall exercise either of these options                by                providing written notice to Company specifying the nature of the                default                including the amount of royalties then due, if any. Termination under                these circumstances shall be effective thirty (30) days following                receipt                of said notice by Company, unless Company cures said default and                makes                payment of all monies due plus interest, if any, prior to the expiration                of said thirty (30) day period. |
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| 13.4 | Upon                termination, Company shall provide MSU                with: |
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|   | (a) | The                right to access any regulatory information filed with any US or foreign                government agency with respect to the Technology, Know-How or Patents;                and |
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|   | (b) | If                Company has filed patent applications or obtained patents which represent                a modification or improvement within the scope of the claims contained                in                the Patents, Company agrees upon request to enter into good faith                negotiations with MSU or its future licensee(s) for the purpose of                granting licensing rights to said modifications or improvements in                timely                fashion and under commercially reasonable                terms. |
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| 13.5 | Upon                any termination of this Agreement or conversion to a non-exclusive                license                under Paragraph 13.3, neither party shall be relieved of any obligations                incurred prior to such termination or conversion, and the obligations                of                the parties under any provisions which by their nature are intended                to                survive any such termination or conversion shall survive and continue                to                be enforceable. Upon the expiration (but not in the event of premature                termination) of the Agreement, Company shall have a perpetual, royalty                free, fully paid-up, non-exclusive license under any Know-How to                make,                have made, use, sell, offer for and sale the Products, Processes                and                Services after such expiration. |
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| 13.6 | In                the event (i) that a court of competent jurisdiction determines that                the                Company is insolvent, such that its liabilities exceed the fair market                value of its assets, (ii) the Company shall make an assignment for                the                benefit of creditors, or (iii) of the filing of a petition for relief                in                bankruptcy by the Company on its own behalf, or the filing of any                such                petition against the Company if the proceeding is not dismissed or                withdrawn within ninety (90) days thereafter, MSU shall have the                right to                terminate this entire Agreement immediately upon giving Company written                notice of such termination. |
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| 13.8 | Any                sublicenses granted by Company under this Agreement shall provide                for                assignment to MSU of Company’s interest therein upon termination of this                Agreement, solely as it may relate to any rights licensed by MSU                to                Company pursuant to this Agreement, but not to any other interest                therein                of the Company. |
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**ARTICLE      14 - INDEMNIFICATION**

| 14.1 | Company                agrees to defend MSU at Company's cost and expense, and will indemnify                and                hold harmless MSU and its trustees, officers, faculty, professional                staff,                employees, and agents and their respective successors, heirs and                assigns                (the “MSU Indemnitees”) from and against any and all claims, losses,                costs, damages, fees (including attorneys fees) or expenses arising                out of                or in connection with (i) the manufacture, use, commercialization,                marketing or sale by Company of any Product, Process, or Service                hereunder                (including but not limited to any product liability claims, whether                brought as a tort, breach of warranty or strict liability cause of                action), (ii) any breach by Company of a material term of this Agreement,                and (iii) the use or misuse by Company or a third party (including                end                consumers) of any Technology, Know-How, Patent, Product, Process,                or                Service (including but not limited to any product liability claims,                whether brought as a tort, breach of warranty or strict liability                cause of                action). |
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| 14.4 | The                indemnification obligations hereunder are contingent upon the indemnified                party (a) giving prompt written notice of any claim for which                indemnification is sought to the indemnifying party; (b) granting                sole control of the defense or settlement of the claim or action                to the                indemnifying party (except that the indemnified party’s prior written                approval will be required for any settlement that reasonably can                be                expected to require a material affirmative obligation of or result                in any                ongoing material liability to the indemnified party); and                (c) providing reasonable cooperation to the indemnifying party and,                at the indemnifying party’s request and expense, assistance in the defense                or settlement of the claim. Notwithstanding the foregoing, the                indemnification obligations hereunder shall not be relieved hereunder                for                failure to do the foregoing, or delay with so doing, unless the                indemnifying party is prejudiced thereby. In addition, the indemnified                party may, at its own expense, participate in its defense of any                claim. |
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**ARTICLE      15 - INSURANCE REQUIREMENTS**

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| 15.1 | Beginning                at such time as Company begins to exercise the rights it has been                granted                pursuant to Article 2, Company shall at its sole cost and expense                procure                and maintain commercial general liability insurance in amounts not                less                than two million U.S. Dollars ($2,000,000) per incident and $2,000,000                annual aggregate, and naming the Indemnitees as additional insureds.                Such                general liability insurance shall provide (i) product liability coverage                and (ii) broad form contractual liability coverage for Company’s                indemnification obligations under this Agreement. The Company shall                also                maintain worker’s compensation coverage consistent with statutory                requirements. Such insurance shall be carried with companies rated“A” or                better by A. M. Best or a self-insurance program reasonably acceptable                to                MSU. The minimum amounts of insurance coverage required shall not                be                construed to create a limit of Company’s liability with respect to its                indemnification obligations under this                Agreement. |
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| 15.2 | Company                shall provide MSU with written evidence of such insurance upon request                of                MSU. Company shall provide MSU with written notice at least 30 days                prior                to the cancellation, non-renewal or material adverse change in such                insurance. If Company or its sublicensee, Affiliate or agent does                not                obtain replacement insurance providing comparable coverage within                a period                of 60 days following any such cancellation, non-renewal or material                adverse change, MSU shall have the right to terminate this Agreement                effective at the end of such 60 day period upon written notice to                the                Company. |
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| 15.3 | Company                shall maintain such commercial general liability insurance beyond                the                expiration or termination of this Agreement during (i) the period                that any                Product, Process or Service incorporating the Technology, Know-How                or                Patents continues to be commercially distributed or sold by Company                or by                a sublicensee, or an Affiliate or agent of Company and (ii) for a                reasonable period thereafter, which in no event shall be less than                seven                (7) years. |
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**ARTICLE      16 - MISCELLANEOUS**

| 16.1 | Company                shall not use or refer to MSU, any MSU trademarks, or any MSU employees                or                departments in any advertisement, sales material, website, or any                other                form of publicity without the prior written consent of MSU. MSU                acknowledges that Company has or may have a reporting obligation                under the                Securities Exchange Act of 1934, as amended, which has or may have                certain                disclosure and filing obligations under applicable law, including                but not                limited to the public announcement and disclosure of this Agreement                and                the filing of the same with the United States Securities and Exchange                Commission. It is acknowledged and agreed that such disclosure and                filing                shall not be deemed a violation of this                Agreement. |
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| 16.2 | This                exclusive li-cense Agreement is personal as to Company, and neither                this                Agreement nor any of the rights or obligations hereunder may be assigned                or transferred by either party without the prior written consent                of the                other party. |
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| 16.3 | It                is understood that MSU is subject to United States laws and regulations                controlling the export of technical data, computer software, laboratory                prototypes and other commodities (including *inter                alia*                the Arms Export Control Act, as amended and the Export Administration                Act                of 1979 as amended), and that its obligations hereunder are contingent                on                compliance with all applicable United States export laws and regulations.                The transfer of certain technical data and/or commodities may require                a                license from the cognizant agency of the United States Government                and/or                written assurances by Company that Company shall not export data                or                commodities to certain foreign countries without prior approval of                such                agency. MSU neither represents nor warrants that a license shall                not be                required nor that, if required, it shall be issued. In any event,                Company                specifically agrees not to export or re-export any information and/or                technical data and/or products in violation of any applicable USA                laws                and/or regulations. |
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| 16.4 | This                Agreement shall be construed under and interpreted under the laws                of the                State of Michigan, USA, except that questions affecting the construction                and effect of any Patent or copyrights shall be determined by the                national                law of the country in which the Patent or copyrights have been                granted. |
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| 16.5 | All                written communications under this Agreement shall be in the English                language. |
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| 16.6 | In                the event that either party is prevented from performing or is unable                to                perform any of its obligations under this Agreement due to any act                of God,                fire, casualty, flood, war, strike, lockout, failure of public utilities,                government regulation or the like, such party shall give notice to                the                other party in writing promptly, and thereupon the affected party's                performance shall be excused and the time for performance shall be                extended for the period of delay or inability to perform due to such                occurrence. |
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| 16.7 | The                waiver by either party of a breach or default of any provisions of                this                Agreement by the other party must be in written form and signed by                both                parties, and shall not be construed as a waiver of any succeeding                breach                of the same or any other provision. No failure or delay by either                Party to                require the other to perform strictly in accordance with the terms                hereof                shall preclude that Party from requiring performance by the other                at any                later time. |
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| 16.8 | This                Agreement contains the full understanding of the parties with respect                to                the subject matter hereof and supersedes all prior understandings                and                writings relating thereto. |
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| 16.9 | This                Agreement may only be amended in a writing executed by an authorized                signatory for each party. The parties agree that any photocopied                or                electronically produced copy of this fully executed original Agreement                shall have the same legal force and effect as a copy of the Agreement                that                has the original signatures. The parties also agree that this Agreement                may be executed in two counterparts, which together shall constitute                one                original version of this Agreement. |
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| 16.10 | Each                Party shall bear its own costs and expenses incurred in the performance                of                its obligations hereunder without charge or expense to the other                except as                otherwise expressly provided in this Agreement. The Parties are and                shall                remain independent contractors, and nothing in this Agreement shall                be                construed to establish any joint venture, franchise, or relationship                of                partnership, employment or agency between the Parties. No fiduciary                or                quasi-fiduciary relationship does or shall exist between the Parties                by                reason of or in connection with this Agreement, in whole or in part,                and                each of the Parties hereby irrevocably waives any and all claims                and                causes of action against the other for the breach of any fiduciary                or                quasi-fiduciary duty arising out of or in connection with this Agreement. |
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| 16.11 | If                any non-material provision of this Agreement is held to be illegal,                invalid or unenforceable under any applicable present or future law                (a)                such provision shall be fully severable, (b) this Agreement shall                be                construed and enforced as if such illegal, invalid or unenforceable                provision had never comprised a part hereof, and (c) the remaining                provisions of this Agreement shall remain in full force and effect                and                shall not be affected by the illegal, invalid or unenforceable provision                or by its severance herefrom. |
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| 16.12 | Each                Party shall duly execute and deliver, or cause to be duly executed                and                delivered, such further documents and instruments and do and cause                to be                done such further acts and things, including the filing of such                assignments, agreements, documents and instruments, as may be necessary,                or as the other Party may reasonably request, to carry out the provisions                of this Agreement. |
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| **Michigan                State University**     |   | **Nanosensors,                Inc.** |
|--------------------------------------------------|--------|--------------------------------------|
|                                             |   |                                 |
|                                             |   |                                 |
| */s/                Loraine Hudson*              |   | */s/                Ted Wong*        |
| *Signature*                                      |   | *Signature*                          |
|                                             |   |                                 |
| Lorain                J. Hudson                  |   | Ted                Wong              |
| *Printed                Name*                    |   | *Printed                Name*        |
|                                             |   |                                 |
| Director                of Intellectual Property |   | President                            |
| *Title*                                          |   | *Title*                              |
|                                             |   |                                 |
| 8/21/06                                          |   | August                21, 2006       |
| *Date*                                           |   | *Date*                               |

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