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| 1. | DEFINITIONS |
|----|-------------|

|   | A. | “Products”      shall mean the products currently manufactured and/or distributed by      Company as indicated on Exhibit A of this  Agreement. |
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|   | B. | “Territory”      shall mean defined accounts and/or classes of trade within a geographical      area as set forth in Exhibit B of this  Agreement. |
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|   | C. | “Customer”      shall mean any accounts/entities covered by Territory as set forth in      Exhibit B of this agreement. |
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|   | D. | “House      Accounts” shall mean those accounts in the Territory for which sales are      non-commissionable.  Customers designated by Company as House      Accounts are listed in Exhibit D of this agreement and may be added to or      modified from time to time by Company at it’s sole      discretion.  In the event that an original Whizbiz customer of      Company’s products is designated as a “House Account”, commissions for all      such customers is payable to Whizbiz for six (6) months following the      “House Account” designation. |
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|   | E. | “Net      Invoice Price” shall mean the total price at which an order is invoiced to      the customer prior to any discount offered by Company in compensation for      early payment.  Excluded from the net invoice price are all      shipping and mailing costs, duties, taxes, and insurance, and related      adjustments granted to the customer by Company as shown on the face of the      invoice. |
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| 2. |  APPOINTMENT      AND AUTHORITY OF WHIZBIZ |
|----|-------------------------------------------------|

|   | A. | Subject      to the terms and conditions of this Agreement, Company appoints Whizbiz as      its exclusive selling agent for the Products to OEM/ODM, VARs, System      Integrators, and Distributors (with the potential exception of BDI/Laguna      and GE Thompson) in the Territory, and Whizbiz accepts the appointment and      agrees to sell and promote the sale of the products.  There is a      non-exclusive arrangement for direct sales of product to Resellers by      Ackrich and Associates International Marketing,  Inc. |
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|   | B. | For      sales to any Customer within the Territory, Company shall pay to Whizbiz a      commission in accordance with terms outlined in Exhibit C      below. |
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|   | C. | Whizbiz      shall neither advertise the Products outside the Territory nor solicit      orders from outside the Territory without the prior written consent of      Company. |
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|   | D. | The      relationship of Company and Whizbiz established by this Agreement is that      of independent contractors, and nothing contained in this Agreement shall      be construed to (i) give either party the power to direct and control the      day-to-day activities of the other, (ii) constitute the parties as      partners, joint ventures, co-owners or otherwise as participant in a joint      undertaking, or (iii) allow Whizbiz to create or assume any obligation on      behalf of Company for any purpose whatsoever.  All financial and      other obligations associated with Whizbiz’s business are the sole      responsibility of Whizbiz. |
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| 3. | COMPENSATION |
|----|--------------|

|   | A. | As      full payment for any and all services rendered by Whizbiz and in      consideration of the effort of Whizbiz and all of the expenses incurred by      Whizbiz, Company agrees to pay to Whizbiz, and Whizbiz agrees to accept, a      monthly retainer fee and commissions on sales of the Products which shall      be calculated as set forth in ExhibitC. |
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|   | B. | The      commission shall apply to all orders, subject to terms as specified in      Exhibit C, from all Customers in the Territory, with the exceptions noted      in 2A above, that have been accepted by Company, whether or not such      orders were originally solicited byWhizbiz. |
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|   | C. | In      no case will any compensation paid to Company employees be deducted from      commissions due Whizbiz. |
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|   | D. | Monthly      retainer and commissions will be paid on or before the 15th day of each      month during the term of this agreement. Commissions not paid within the      agreed payment terms will be subject to finance charges.  Annual      Interest Rate: 18% or 1.5% per month on balance due.  Bonuses      will be listed in Attachment A. |
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|   | E. | Company      shall have the absolute right to chargeback commissions on all shipments      not paid by an authorized Customer over ninety (90) days past the invoice      date, provided Company re-credits Whizbiz for the appropriate commission      applied to actual partial or full payments, less fees incurred in the      process of collecting the payments, subsequently received from the      authorized Customer. |
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|   | F. | Company      reserves the right to chargeback (debit) the full amount of paid      commissions on products returned by customer to Company for      credit. |
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|   | G. | Payment      of commissions shall be in United States dollars and shall be subject to      all applicable governmental regulations and rulings, including the      withholding of any taxes required bylaw. |
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|   | H. | Company      shall submit to Whizbiz monthly statements of the commissions due and      payable to Whizbiz under the terms of this Agreement, with reference to      the specific accounts on which the commissions are being      paid.  Company will submit or cause authorized two-tier      distributors to submit, at No Charge to Whizbiz, an electronic report      including all sales made in the previous month by named customer bill to,      including separate ship to locations and zip  codes. |
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| 4. | SALE      OF THE PRODUCTS |
|----|---------------------------|

|   | A. | All      sales shall be at prices and upon terms established by Company and Company      shall have the right to establish, change, alter, or amend prices and      other terms and conditions of sale in its sole      discretion.  Whizbiz shall not accept orders in Company’s name,      make price quotations or delivery promises without Company’s prior      approval. |
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|   | B. | All      orders obtained by Whizbiz shall be subject to acceptance by Company at      its principal office currently located at the address listed for Company      at the beginning of this Agreement, and all quotations by Whizbiz shall      contain a statement to that effect.  Whizbiz shall have no      authority to make any acceptance/delivery commitments to any      customers.  Company shall send copies to Whizbiz of any written      acceptances on commissionableorders. |
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|   | C. | Company      shall have the sole right of credit approval or credit refusal for      customers in all cases. |
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|   | D. | Company      shall render all invoices directly to the customers. Invoice payments      shall be made directly to Company bycustomers. |
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|   | E. | It      is expressly understood by Whizbiz that full responsibility for all      collection rests with Company. |
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|   | F. | Company      shall furnish Whizbiz, at no expense to Whizbiz, samples, catalogs,      literature and any other material necessary for the proper promotion and      sales of its products in theterritory. |
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|   | G. | Whenever      Whizbiz, at Company’s request, takes possession of Company’s products for      the purpose of delivering such products to customers or for any other      purpose, the risk of loss or damage to or destruction of such products      shall be borne by Company, and Company shall indemnify and hold Whizbiz      harmless against any claims, debts, liabilities or causes of action      resulting from any such loss, damage or  destruction. |
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| 5. | PRODUCT      WARRANTY AND PRODUCT AVAILABILITY |
|----|------------------------------------------------|

|   | A. | Any      warranty for the Products shall run directly from Company to the customer,      and pursuant to the warranty the customer shall return any allegedly      defective Products to Company or designated depot.  Whizbiz      shall have no authority or responsibility to accept any returned      Products. |
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|   | B. | Under      no circumstances shall Company be responsible to Whizbiz or any other      party for its failure to fill accepted orders, or for its delay in filling      accepted orders, when such failure or delay is due to any cause beyond      Company’s reasonable control. |
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| 6. | WHIZBIZ’S      RELATIONSHIP AND CONDUCT OFBUSINESS |
|----|----------------------------------------------------------|

|   | A. | Whizbiz      will conduct all of its business in its own name and in such manner as it      may see fit.  Whizbiz will pay all expenses of its office,      activities and domestic travel within the contiguous United States and be      responsible for the acts and expenses of its employees.  It will      be Company’s responsibility to provide resellers with more extensive      technical training seminars, technical written support materials, and a      reseller technical support hot line to explain to customer’s sales staff      differences between Company products and competitive      products.  Company agrees to train and educate Whizbiz’s      customer service personnel to the extent of Company’s      abilities. |
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|   | B. | Whizbiz      shall not, without Company’s prior written approval, alter, enlarge, or      limit orders, make representations or guarantees concerning Company’s      products or accept the return of, or make any allowance for such      products. |
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|   | C. | Whizbiz      agrees that, during the term of this Agreement, it will not promote or      offer to sell any goods which are competitive with or substantially      similar to the Products listed in Exhibit A unless agreed upon beforehand,      in writing, by both parties. |
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| 7. | USE      OF TRADEMARKS AND TRADENAMES |
|----|---------------------------------------|

|   | A. | Whizbiz      recognizes and concedes for all purposes that all trademarks, trade      names, or identifying slogans affixed to Company’s products or any      accompanying labels, containers, and cartons, whether or not registered,      constitute the exclusive property of Company and cannot be used except in      connection with promoting and selling Company products.  During      the term of this agreement, Whizbiz is authorized by Company to use      Company’s trademarks and logo in connection with Whizbiz’s promotion of      Company products and public relations announcements, provided that      Whizbiz’s use of such trademarks and logo shall be in accordance with      Company’s policies from time to time communicated to      Whizbiz.  Whizbiz shall have no interest in such trademarks or      logo except as herein expressly provided, and Whizbiz’s use of such      trademark and logo shall cease immediately upon termination or expiration      of this Agreement. |
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| 8. | INDEMNIFICATIONS |
|----|------------------|

|   | A. | Company      shall be solely responsible for the design, development, supply,      production, and performance of its products and the protection of its      tradenames.  Company agrees to indemnify and hold Whizbiz      harmless against and to pay all losses, costs, damages and expenses      whatsoever, including reasonable attorney fees, which Whizbiz may sustain      or incur on account of infringement or alleged infringement of patents,      trademarks, or tradenames, resulting from the sale of Company’s products,      or arising on account of warranty claims or product liability      matters.  Whizbiz will promptly deliver to Company any notices      or papers served upon it in any proceeding covered by this indemnity, and      Company will defend same at its expense.  Whizbiz shall,      however, have the right to participate in the defense at its own      expense. |
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|   | B. | Whizbiz      shall be solely responsible for, and shall indemnify and hold Company free      and harmless from, any and all claims, damages or lawsuits (including      Company’s attorney’s fees) arising out of the acts of Whizbiz, its      employees or its agents.  Company will promptly deliver to      Whizbiz any papers served upon it in any proceeding covered by this      indemnity, and Whizbiz will defend same at its expense.  Company      shall, however, have the right to participate in the defense at its own      expense. |
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| 9. | TERMS      OF AGREEMENT AND TERMINATION |
|----|-----------------------------------------|

|   | A. | This      agreement shall be effective on the day January 1, 2008, and shall      continue until December 31, 2008.  It shall automatically be      renewed from year to year thereafter unless terminated by either party      upon ninety (60) days written notice to the other by registered or      certified mail prior to the end of the initial term of this Agreement, or      any renewal term. |
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|   | B. | Termination      for Convenience: This agreement may be terminated by either party for any      reason at any time by giving the other party written notice ninety (60)      days in advance.  After the first year of service, if Company      terminates Whizbiz under this clause Whizbiz will be entitled to a      termination settlement of three (3) month's compensation beyond the 60 day      period (based on the average monthly commission of the twelve full months      prior to the termination notice plus any applicable retainer      fees. |
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|   | C. | Termination      for Cause: If either party defaults in the performance of any provision of      this Agreement, then the non-defaulting party may give written notice to      the defaulting party that if the default is not cured within thirty (30)      days, the Agreement will be terminated.  If the default is not      cured, the Agreement shall automatically terminate at the end of that      period. |
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|   | D. | Termination      of Insolvency: This Agreement shall terminate, without notice, (a) upon      the institution by or against either party for insolvency, receivership or      bankruptcy proceedings, (b) upon Whizbiz making an assignment for the      benefit of creditors, or (c) upon Whizbiz  dissolution. |
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|   | E. | Sale      of company’s business: In the event Company sells or otherwise disposes of      its stock or assets, or merges or reorganizes Company in a manner which      affects the production or sale of the Products being promoted and sold by      Whizbiz, or in the event Company changes the legal structure of its      business entity, Company shall pay Whizbiz commissions for all orders      booked through the end of the notice period as provided in this Agreement,      regardless of whether or when shipped by Company or its successor or      acquirer. |
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| 10. | RIGHTS      UPON TERMINATION |
|-----|------------------------------|

|   | Upontermination      of this agreement for any reason, Whizbiz shall be entitled      to: |
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|   | A. | Commissions      on all orders calling for shipment into Whizbiz’s territory which are      dated or communicated to Company prior to the effective date of      termination, regardless of when such orders are  shipped. |
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|   | B. | Any      partial termination of territory or products will be subject to the same      terms and conditions as if the entire agreement were      terminated. |
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| 11. | GENERAL |
|-----|---------|

|   | This      Agreement constitutes the entire understanding of the parties; shall      supersede any other oral or written agreements; and shall be binding upon      and inure to the benefit of the parties’ successors and      assigns.  It may not be modified in any way without the written      consent of both parties.  Whizbiz shall not have the right to      assign this agreement in whole or in part without Company’s written      consent. |
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| 12. | CHOICE      OF LAWS |
|-----|---------------------|

|   | This      Agreement shall be interpreted according to the laws of the State of      California. |
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| 13. | DISPUTES      AND ARBITRATION |
|-----|-------------------------------|

|   | All      disputes arising under this Agreement may be brought in Circuit Court of      the State of California or the Federal District Court of California as      permitted by law.  These Courts shall together have      non-exclusive jurisdiction over disputes under this    Agreement. |
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|   |
|--------|

| Location      Based Technologies Inc. |   |   | Whizbiz LLC                |   |
|---------------------------------------|--------|--------|----------------------------|--------|
|                                  |   |   |                       |   |
| /s/      David M. Morse               |   |   | /s/ Jommy      Gayoso      |   |
| David      M. Morse                   |   |   | Jommy      Gayoso          |   |
| Chief      Executive Officer          |   |   | Managing      Member       |   |
|  January      2, 2008            |   |   |  January      2, 2008 |   |

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|   |
|--------|

| Location Based      Technologies Inc. |   |   | Whizbiz      LLC           |   |
|---------------------------------------|--------|--------|----------------------------|--------|
|                                  |   |   |                       |   |
| /s/      David M. Morse               |   |   | /s/ Jommy      Gayoso      |   |
| David      M. Morse                   |   |   | Jommy      Gayoso          |   |
| Chief      Executive Officer          |   |   | Managing      Member       |   |
|  January      2, 2008            |   |   |  January      2, 2008 |   |

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| ·   | 50,000      warrants upon sales of 100,000 units which must be achieved within 6      months of FCC approved devices. Warrants priced at FMV as of the date of      signing this contract.  Must be exercised within 5 years of the award      date.  |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | An      additional 50,000 warrants upon sales of a total of 250,000 units achieved      within 1 year of FCC approved devices and priced at FMV of the date of      signing the original contract.  Must be exercised within 5 years of      the award date.  |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Additional      100,000 warrants upon sales of 1,000,000 units achieved within 2 years of      FCC approved devices and priced at FMV of the date of signing the original      contract.  Must be exercised within 5 years of the award      date.  |
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| ·   | Should      the company be acquired prior to the 2 years or prior to achieving      1,000,000 unit sales then the additional 100,000 warrants will be granted      on at least a pro rata basis. |
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