WHITEWING LABS, INC. FORM 8-K



 



EXHIBIT 10.2


PLEDGE AGREEMENT


     THIS PLEDGE AGREEMENT dated as of December 10, 2001, by and between Nadin
Company (hereinafter called “Pledgor’’), and Whitewing Labs, Inc. (hereinafter
called “Secured Party’’).


     Whereas, the Secured Party has sold Business Assets (“Pledged Property’’, as
more specifically described in Exhibit “A’’) to the Pledgor, who has issued its Note to the Secured
Party and agreed to pledge and grant to the Secured Party a security interest in the Pledged
Property under this Agreement and to perfect such pledge and security interest, all as provided
in this Agreement.


     NOW, THEREFORE, in consideration of the making of accepting the Note in payment of the purchase price for the
Pledged Property, as aforesaid, by the Secured Party from the Pledgor and other good and
valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties
agree as follows:


     Section 1. Pledge and security interest. As collateral security for the full satisfaction of
all obligations of the Pledgor under the Note, the Pledgor hereby pledges to the Secured Party,
assigns, transfers to and grants to the Secured Party a first lien on and a perfected priority
security interest in the “Pledged Property’’, together with: (i) any proceeds or collections
resulting from the Pledged Property (including, without limitations, any and all claims, rights, and judgments,
against and recoveries from third parties in respect of any loss, theft or destruction of
the Pledged Property), whether in cash or in any other form securities or other distributions of
property (including cash) to which the Pledgors is or may hereafter become entitled to receive
on the Pledged Property; and, (ii) all additions to and substitutions for the Pledged Property.


     Section 2. Secured Obligations. The obligations for which the Pledged Property is pledged (the
“Secured Obligations’’) are the faithful and punctual performance of all the terms and
conditions in and payment of principal and interest on the Note.


     Section 3. Perfection of security interest. In perfection of the security interest granted
hereunder, the Pledgor shall execute and deliver to the Secured Party a Financing Statement(s)
in the form required by California law and shall pay the fee(s) imposed for the filing thereof.


     Section 4. Representations and Warranties of the Pledgor. The Pledgor represents and warrants that:


     (a)  It has, and has duly exercised, all the requisite power and authority to enter into this
Agreement, to pledge the Pledged Property for the purposes described in Section 2, and to carry out
the transactions contemplated by the Note;


     (b)  It is the legal and beneficial owner of the Pledged Property pledged to the Secured Party under this Agreement, free
and clear of all liens, encumbrances and hypothecation;


     (c)  The execution and delivery of this Agreement and the performance of its terms, will not
result in a violation of or constitute a default under the terms of any agreement, indenture or
other instrument applicable to the Pledgor or to any of its property;


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     Section 5. Covenants of the Pledgor. The Pledgor hereby covenants and agrees not to perform or
fail to perform any act if such performance or failure would encumber, pledge or hypothecate the
Pledged Property or in any manner impair the security interest of the Secured Party intended to
be afforded hereby.


     Section 6. Remedies.


     (a)  Upon the occurrence of an event of default, the Secured Party, at its option shall
have, in addition to the rights, remedies and recourses with respect to the Pledged Property given
to it herein, all those afforded a secured party under all applicable law, including, but without
limitation, the Uniform Commercial Code as enacted by the State of California. Without limiting
the generality of the foregoing, the Secured Party without demand of performance or other
demand, advertisement, or notice of any kind to or upon the Pledgor or any other person (all of which notices
are, to the extent permitted by law, expressly waived), may forthwith demand and receive an
immediate return of the Pledged Property or may realize upon the Pledged Property or
any part thereof an forthwith sell or otherwise dispose of and deliver the Pledged Property or any part thereof
or interest therein in accordance with the requirements of California law, in one
or more lots at public or private sale or sales, on any exchange, or to any broker or specialist for sale
on a negotiated basis, in a block trade, at auction or otherwise, at such prices and on such terms as it may
deem best, for cash or on credit, or for future delivery without assumption of any credit risk, with the right
to the Secured Party, or any purchaser to purchase upon any such sale the whole or any part of the Pledged Property free
of any right or equity of redemption in the Pledgors, which
right is hereby expressly waived and released.


     Section 7. Waivers. Any forbearance or failure or delay by the Secured Party in exercising
any right, power or remedy hereunder shall not be deemed to be a waiver of such right, power or remedy,
and any single or partial exercise of any right, power or remedy hereunder shall
not preclude the further exercise thereof, and every right, power and remedy of the Secured
Party shall continue in full force and effect until such right, power or remedy is specifically
waived by an instrument in writing executed by the Secured Party. No waiver of any default shall extend
to or affect any subsequent or any other default then existing, or unpair any rights,
powers or remedies consequent thereon.


     Section 8. Assignment. This Agreement shall inure to the benefit of, and shall be
binding upon, the respective successors and permitted assigns of the parties hereto. The Pledgor
shall not have a right to assign any of their respective rights or obligations hereunder without the prior
written consent of the Secured Party, which consent shall not be unreasonably withheld. The
Secured Party may assign this Agreement, except as such an assignment may be in connection with
an assignment of the Note.


     Section 9. Miscellaneous.


          (a) 
Notices, etc. Any notice, demand, declaration or certificate which is, by the terms of this Agreement,
required or permitted to be given or served by one party to or upon the other party
may be given or served by hand delivery, registered or certified mail, return receipt requested. Any such
notice shall be effective when mailed as provided herein. No notice or demand which is given, but which
is not required by the terms of this Agreement, shall entitle Pledgor to any
other or further notice or demand in the same, similar or other circumstances.


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     (b) Modification. Neither this Agreement nor any term hereof may be changed, waived,
discharged or terminated orally, but only in a writing signed by all parties hereto.


     (c) Severance. The provisions of this Agreement are severable, and if any clause or
provision shall be held invalid or unenforceable in whole or in part in any jurisdiction,
then such invalidity or unenforceability shall affect only such clause or provision or part
thereof in such jurisdiction and shall not in any manner affect such clause or provision
in any other jurisdiction or any other clause or provision in this Agreement in any jurisdiction.


     (d) Governing Law. This Agreement shall in all respects be construed and enforced in
accordance with and governed by the laws of the State of California (not including the
choice of law rules thereof).


               IN WITNESS WHEREOF, the parties have caused this Agreement, by their duly authorized
officers, under seal, the 10th day of December, 2001.


	 	 	 	 	 
	Attest:	[Signature Illegible]

	 	By:	/s/ Andrew Libby, Jr.


	 	 	 	 	Andrew Libby, Jr., President
	Seal:	 	 	As approved by the
Whitewing Board of Directors
	 
	Attest:	 [Signature Illegible]

	 	By:	 [Signature Illegible]


	 	 	 	 	Nadin Company
	/s/ [Signature Illegible]


Printed name:	 	 




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