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Exhibit 10.4    
    


 
 

INVESTMENT MANAGEMENT TRUST AGREEMENT


        This
Agreement is made as of                        , 2006 by and between TC Acquisition Corp. (the "Company") and Continental Stock
Transfer & Trust Company ("Trustee"). 



        WHEREAS,
the Company's Registration Statement on Form S-1, No. 333-126355 ("Registration Statement"), for its initial public offering of securities
("IPO") has been declared effective as of the date hereof by the Securities and Exchange Commission ("Effective Date"); and 


        WHEREAS,
the Company has completed a private placement of 300,000 Units for an aggregate amount of $1,800,000 (the "Private Placement"); and 


        WHEREAS,
Merriman Curhan Ford & Co. ("Merriman") is acting as the representative of the underwriters in the IPO; and 



        WHEREAS,
as described in the Company's Registration Statement, and in accordance with the Company's Amended and Restated Certificate of Incorporation, (i) $32,280,000 of the net
proceeds of the IPO ($37,356,000 if the underwriters over-allotment option is exercised in full), (ii) in accordance with the Private Placement Unit Agreement, dated as of
                        , 2006, among the Company, Merriman and certain purchasers, $1,800,000 of the gross proceeds of the
Private Placement and (iii) in accordance with the Underwriting Agreement,
dated as of            , 2006, between the Company and Merriman, as representative of the Underwriters (the "Underwriting Agreement") an additional $720,000 ($828,000 if the Underwriters'
over-allotment option is exercised in full), representing a deferred fee of 2% of the gross proceeds of the IPO will be held in a trust account for the benefit of the Company and the
holders of the Company's common stock, par value $0.0001 per share, issued in the IPO as hereinafter provided and in the event the Units are registered in Colorado,
pursuant to Section 11-51-302(6) of the Colorado Revised Statutes. A copy of the Colorado Statute is attached hereto and made a part hereof (the amount to be delivered
to the Trustee will be referred to herein as the "Property"; the stockholders for whose benefit the Trustee shall hold the Property will be referred to as the "Public Stockholders," and the Public
Stockholders and the Company will be referred to together as the "Beneficiaries"); and 


        WHEREAS,
the Company and the Trustee desire to enter into this Agreement to set forth the terms and conditions pursuant to which the Trustee shall hold the Property; 


        IT
IS AGREED: 


        1.     Agreements and Covenants of Trustee. The Trustee hereby agrees and covenants to: 



        (a)   Hold
the Property in trust for the Beneficiaries in accordance with the terms of this Agreement, including the terms of
Section 11-51-302(6) of the Colorado Statute, in a segregated trust account ("Trust Account") established by the Trustee at a branch of JP Morgan Chase NY Bank; 


        (b)   Manage,
supervise and administer the Trust Account subject to the terms and conditions set forth herein; 


        (c)   In
a timely manner, upon the written instruction of the Company, to invest and reinvest the Property in any "Government Security" (as used herein, Government Security
means money market funds meeting conditions of the Investment Company Act of 1940, as amended, or securities issued or guaranteed by the United States); 



        (d)   Collect
and receive, when due, all principal and income arising from the Property, which shall become part of the "Property," as such term is used herein; 


        (e)   Notify
the Company of all communications received by it with respect to any Property requiring action by the Company; 








 




        (f)    Supply
any necessary information or documents as may be requested by the Company in connection with the Company's preparation of the tax returns for the Trust Account; 



        (g)   Participate
in any plan or proceeding for protecting or enforcing any right or interest arising from the Property if, as and when instructed by the Company to do so; 


        (h)   Render
to the Company and to such other person as the Company may instruct in writing, monthly statements of the activities of and amounts in the Trust Account
reflecting all receipts and disbursements of the Trust Account; 


        (i)    Commence
liquidation of the Trust Account promptly after receipt of and only in accordance with the terms of a letter ("Termination Letter"), in a form substantially
similar to that attached hereto as either Exhibit A or Exhibit B, signed on behalf of the Company by its Chief Executive Officer or President and affirmed by its entire Board of
Directors, and complete the liquidation of the Trust Account and distribute the Property in the Trust Account only as directed in the Termination Letter and the other documents referred to therein as
part of the Company's plan of dissolution and distribution approved by the Company's stockholders; provided, however, that in the event that a Termination Letter has not been received by
                        , 2008 (or the date that is the six month anniversary of such date, in the event that a letter of intent,
agreement in principle or definitive agreement has been executed prior to such
date in connection with a Business Combination (as defined in the Termination Letter attached hereto as Exhibit A) that has not been consummated
by                        , 2008), the Trust Account
shall be liquidated in accordance with the procedures set forth in the Termination Letter attached as Exhibit B. The Trustee understands and agrees that, except as provided in Section 2,
disbursements from the Trust Account shall be made only pursuant to a duly executed Termination Letter, together with the other documents referenced herein, including, without limitation, an
independently certified oath and report of inspector of election in respect of the stockholder vote in favor of the Business Combination (as hereinafter defined). In all cases, the Trustee shall
provide Merriman with a copy of any Termination Letters, Officers' Certificates and/or any other correspondence that it receives with respect to any proposed withdrawal from the Trust Account promptly
after it receives same; and 


        (j)    Distribute
from the Trust Account to the Company such amounts as may be requested pursuant to Section 2 hereof. 




        2.     Limited Distributions of Income. 



        (a)   Upon
receipt by the Trustee of an Officer's Certificate signed by the Chief Executive Officer or the President and Secretary of the Company certifying as true, accurate
and complete a copy of any tax return required to be filed on behalf of the Trust Account in respect of income earned on the Property held therein, the Trustee shall deliver to the Company for
submission to the appropriate taxing authority a check made payable to the order of such taxing authority in the amount required to pay such taxes; provided, however, that in no event shall the
aggregate amount of all checks issued to taxing authorities pursuant to this Section 2(a) exceed the income in respect of which such taxes are due and owing. 


        (b)   Upon
written request, which may be given not more than once in any calendar quarter, from the Company, the Trustee shall distribute to the Company an amount equal to the
income earned on the Property; provided, however, that any distribution pursuant to this Section 2(b) shall only be used to fund working capital requirements of the Company and the costs
related to identifying, researching and acquiring prospective target businesses and (including the payment of up to $7,500 of fees payable to the Law Officers of Tyler R. Meade for general and
administrative services) as set forth in the Company's request; provided, further, that the aggregate amount of distributions made pursuant to this Section 2(b) shall not exceed $680,000. 



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        (c)   Except
as provided in Sections 2(a) and 2(b) above, no other distributions from the Trust Account shall be permitted except in accordance with Section 1(i). 




        3.     Agreements and Covenants of the Company. The Company hereby agrees and covenants to: 



        (a)   Give
all instructions to the Trustee hereunder in writing, signed by the Company's Chief Executive Officer or President. In addition, except with respect to its duties
under paragraph 1(j) above, the Trustee shall be entitled to rely on, and shall be protected in relying on, any verbal or telephonic advice or instruction which it in good faith believes to be
given by any one of the persons authorized above to give written instructions, provided that the Company shall promptly confirm such instructions in writing; 


        (b)   Hold
the Trustee harmless and indemnify the Trustee from and against, any and all expenses, including reasonable counsel fees and disbursements, or loss suffered by the
Trustee in connection with any action, suit or other proceeding brought against the Trustee involving any claim, or in connection with any claim or demand which in any way arises out of or relates to
this Agreement, the services of the Trustee hereunder, or the Property or any income earned from investment of the Property, except for expenses and losses resulting from the Trustee's gross
negligence or willful misconduct. Promptly after the receipt by the Trustee of notice of demand or claim or the commencement of any action, suit or proceeding, pursuant to which the Trustee intends to
seek indemnification under this paragraph, it shall notify the Company in writing of such claim (hereinafter referred to as the "Indemnified Claim").
The Trustee shall have the right to conduct and manage the defense against such Indemnified Claim, provided, that the Trustee shall obtain the consent of the Company with respect to the selection of
counsel, which consent shall not be unreasonably withheld. The Company may participate in such action with its own counsel; 



        (c)   Pay
the Trustee an initial acceptance fee of $1,000 and an annual fee of $3,000 (it being expressly understood that the Property shall not be used to pay such fee). The
Company shall pay the Trustee the initial acceptance fee and first year's fee at the consummation of the IPO and thereafter the annual fee on the anniversary of the Effective Date. The Trustee shall
refund to the Company the fee (on a pro rata basis) with respect to any period after the liquidation of the Trust Account. The Company shall not be responsible for any other fees or charges of the
Trustee except as may be provided in paragraph 2(b) hereof (it being expressly understood that the Property shall not be used to make any payments to the Trustee under such paragraph); 


        (d)   Provide
to the Trustee any letter of intent, agreement in principle or definitive agreement that is executed prior
to                        , 2008 in connection with a Business
Combination; and 


        (e)   In
connection with any vote of the Company's stockholders regarding a Business Combination, provide to the Trustee an affidavit or certificate of a firm regularly
engaged in the business of soliciting proxies and tabulating stockholder votes (which firm may be the Trustee) verifying the vote of the Company's stockholders regarding such Business Combination. 



        (f)    At
least three (3) business days prior to sending any such request or correspondence in respect of any disbursement by the Trustee, the Company shall provide
Merriman with a copy of the proposed written disbursement request and any other correspondence in respect of disbursement to the Company. 




        4.     Limitations of Liability. The Trustee shall have no responsibility or liability to: 



        (a)   Take
any action with respect to the Property, other than as directed in paragraph 1 hereof and the Trustee shall have no liability to any party except for
liability arising out of its own gross negligence or willful misconduct; 



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        (b)   Institute
any proceeding for the collection of any principal and income arising from, or institute, appear in or defend any proceeding of any kind with respect to, any
of the Property unless and until it
shall have received instructions from the Company given as provided herein to do so and the Company shall have advanced or guaranteed to it funds sufficient to pay any expenses incident thereto; 


        (c)   Change
the investment of any Property, other than in compliance with paragraph 1(c); 


        (d)   Refund
any depreciation in principal of any Property; 


        (e)   Assume
that the authority of any person designated by the Company to give instructions hereunder shall not be continuing unless provided otherwise in such designation,
or unless the Company shall have delivered a written revocation of such authority to the Trustee; 



        (f)    The
other parties hereto or to anyone else for any action taken or omitted by it, or any action suffered by it to be taken or omitted, in good faith and in the exercise
of its own best judgment, except for its gross negligence or willful misconduct. The Trustee may rely conclusively and shall be protected in acting upon any order, judgment, instruction, notice,
demand, certificate, opinion or advice of counsel (including counsel chosen by the Trustee), statement, instrument, report or other paper or document (not only as to its due execution and the validity
and effectiveness of its provisions, but also as to the truth and acceptability of any information therein contained) which is believed by the Trustee, in good faith, to be genuine and to be signed or
presented by the proper person or persons. The Trustee shall not be bound by any notice or demand, or any waiver, modification, termination or rescission of this agreement or any of the terms hereof,
unless evidenced by a written instrument delivered to the Trustee signed by the proper party or parties and, if the duties or rights of the Trustee are affected, unless it shall give its prior written
consent thereto; 


        (g)   Verify
the correctness of the information set forth in the Registration Statement or to confirm or assure that any acquisition made by the Company or any other action
taken by it is as contemplated by the Registration Statement; and 


        (h)   Subject
to the requirements of Section 1(i) of the Trust Agreement, pay any taxes on behalf of the Trust Account to any governmental entity or taxing
authority. 




        5.     Termination. This Agreement shall terminate as follows: 



        (a)   If
the Trustee gives written notice to the Company that it desires to resign under this Agreement, the Company shall use its reasonable efforts to locate a successor
trustee. At such time that the Company notifies the Trustee that a successor trustee has been appointed by the Company and has agreed to become subject to the terms of this Agreement, the Trustee
shall transfer the management of the Trust Account to the successor trustee, including but not limited to the transfer of copies of the
reports and statements relating to the Trust Account, whereupon this Agreement shall terminate; provided, however, that, in the event that the Company does not locate a successor trustee within ninety
days of receipt of the resignation notice from the Trustee, the Trustee may submit an application to have the Property deposited with the United States District Court for the Southern District of New
York and upon such deposit, the Trustee shall be immune from any liability whatsoever; or 



        (b)   At
such time that the Trustee has completed the liquidation of the Trust Account in accordance with the provisions of paragraph 1(i) hereof, and
distributed the Property in accordance with the provisions of the Termination Letter, this Agreement shall terminate except with respect to Paragraph 3(b). 




        6.     Miscellaneous. 


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        (a)   The
Company and the Trustee each acknowledge that the Trustee will follow the security procedures set forth below with respect to funds transferred from the Trust
Account. Upon receipt of written instructions, the Trustee will confirm such instructions with an Authorized Individual at an Authorized Telephone Number listed on the attached Exhibit C. The
Company and the Trustee will each restrict access to confidential information relating to such security procedures to authorized persons. Each party must notify the other party immediately if it has
reason to believe unauthorized persons may have obtained access to such information, or of any change in its authorized personnel. In executing funds transfers, the Trustee will rely upon account
numbers or other identifying numbers of a beneficiary, beneficiary's bank or intermediary bank, rather than names. The Trustee shall not be liable for any loss, liability or expense resulting from any
error in an account number or other identifying number, provided it has accurately transmitted the numbers provided. 


        (b)   This
Agreement shall be governed by and construed and enforced in accordance with the laws of the State of New York, without giving effect to conflict of laws. It may be
executed in several counterparts, each one of which shall constitute an original, and together shall constitute but one instrument. 


        (c)   This
Agreement contains the entire agreement and understanding of the parties hereto with respect to the subject matter hereof. The parties hereto may change, waive,
amend or modify any provision contained herein that may be defective or inconsistent with any other provision contained herein only upon the written consent of each of the parties hereto; provided
that such action shall not materially adversely affect the interests of the Public Stockholders. Any other change, waiver, amendment or modification to this Agreement shall be subject to approval by a
majority of the Public Stockholders. As to any claim, cross-claim or counterclaim in any way relating to this Agreement, each party waives the right to trial by jury. 


        (d)   The
parties hereto consent to the jurisdiction and venue of any state or federal court located in the City of New York for purposes of resolving any disputes hereunder. 



        (e)   Any
notice, consent or request to be given in connection with any of the terms or provisions of this Agreement shall be in writing and shall be sent by express mail or
similar private courier service, by certified mail (return receipt requested), by hand delivery or by facsimile transmission: 




if
to the Trustee, to: 





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Continental
Stock Transfer

& Trust Company

17 Battery Place

New York, New York 10004

Attn: Steven G. Nelson

Fax No.: (212) 509-5150 




if
to the Company, to: 



TC
Acquisition Corp.

1816 Fifth Street

Berkeley, CA 94710

Attn: Robert J. Majteles

Tel. No.: (510) 652-7244 






        (f)    This
Agreement may not be assigned by the Trustee without the prior consent of the Company. 



        (g)   Each
of the Trustee and the Company hereby represents that it has the full right and power and has been duly authorized to enter into this Agreement and to perform its
respective obligations as contemplated hereunder. The Trustee acknowledges and agrees that it shall not make any claims or proceed against the Trust Account, including by way of set-off,
and shall not be entitled to any funds in the Trust Account under any circumstance. 


        (h)   The
Trustee hereby waives any and all right, title, interest or claim of any kind ("Claim") in or to any distribution of the Trust Account, and hereby agrees not to seek
recourse, reimbursement, payment or satisfaction for any Claim against the Trust Account for any reason whatsoever. 



        (i)    The
Trustee hereby consents to the inclusion of Continental Stock Transfer & Trust Company in the Registration Statement and other materials relating to the IPO. 




        7.     Additional Parties. For so long as proceeds of the IPO and/or Private Placement are held in the trust account, Merriman is
a third party beneficiary with respect to Section 3(f) and shall be entitled to enforce the terms of Section 3(f) of this Agreement to the same extent as if they were a party hereto. 


[Signature
page follows.] 


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        IN
WITNESS WHEREOF, the parties have duly executed this Investment Management Trust Agreement as of the date first written above. 



	 
	 	 
	 	 
	 	 

	 	 	CONTINENTAL STOCK TRANSFER & TRUST COMPANY, as Trustee
	

 	
 	

By:	
 	


	 	 	 	 	Name:	 	 
	 	 	 	 	Title:	 	 
	

 	
 	

TC ACQUISITION CORP.
	

 	
 	

By:	
 	


	 	 	 	 	Name:	 	Robert J. Majteles
	 	 	 	 	Title:	 	President and Chief Executive Officer




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Exhibit 10.4  


 
 

EXHIBIT A    
    


[Letterhead of Company]  


[Insert date]



Continental
Stock Transfer

& Trust Company

17 Battery Place

New York, New York 10004

Attn: Steven Nelson 



	Re:
	Trust Account No.———Termination Letter




Gentlemen:



        Pursuant
to paragraph 1(i) of the Investment Management Trust Agreement between TC Acquisition Corp. ("Company") and Continental Stock Transfer & Trust Company ("Trustee"),
dated as of                        , 2006 ("Trust Agreement"), this is to advise you that the Company has entered into an
agreement ("Business Agreement") with                        ("Target Business") to
consummate a business combination with the Target Business
("Business Combination") on or about [insert date]. The Company shall notify you at least two business days in advance of the actual date of the consummation of the Business
Combination ("Consummation Date"). 


        Pursuant
to paragraph 3(e) of the Trust Agreement, we are providing you with [an affidavit][a certificate] of                        ,
which verifies the vote of the Company's stockholders in connection with the Business Combination. In accordance with the terms of the Trust Agreement, we hereby authorize you to commence liquidation
of the Trust Account to the effect that, on the Consummation Date, all of funds held in the Trust Account will be immediately available for transfer to the account or accounts that the Company shall
direct on the Consummation Date. 


        On
the Consummation Date (i) counsel for the Company shall deliver to you written notification that (a) the Business Combination has been consummated and (b) the
provisions of Section 11-51-302(6) and Rule 51-3.4 of the Colorado Statute have been met, and (ii) the Company shall deliver to you written
instructions with respect to the transfer of the funds held in the Trust Account ("Instruction Letter"). You are hereby directed and authorized to transfer the funds held in the Trust Account
immediately upon your receipt of the counsel's letter and the Instruction Letter, in accordance with the terms of the Instruction Letter. In the event that certain deposits held in the Trust Account
may not be liquidated by the Consummation Date without penalty, you will notify the Company of the same and the Company shall direct you as to whether such funds should remain in the Trust Account and
be distributed after the Consummation Date to the Company. Upon the distribution of all the funds in the Trust Account pursuant to the terms hereof, the Trust Agreement shall be terminated and the
Trust Account closed. 


        In
the event that the Business Combination is not consummated on the Consummation Date described in the notice thereof and we have not notified you on or before the original Consummation
Date of a new Consummation Date, then the funds held in the Trust Account shall be reinvested as 










provided
in the Trust Agreement on the business day immediately following the Consummation Date as set forth in the notice. 



	 
	 	 
	 	 

	 	 	Very truly yours,
	

 	
 	
TC ACQUISITION CORP.
	

 	
 	

By:	
 	

 Robert J. Majteles, President and Chief Executive Officer









Exhibit 10.4  


 
 

EXHIBIT B    
    


[Letterhead of Company]


[Insert date]


Continental
Stock Transfer

& Trust Company

17 Battery Place

New York, New York 10004

Attn: Steven Nelson 



	Re:
	Trust Account No.[                        ] Termination
Letter




Gentlemen: 


        Pursuant
to the Investment Management Trust Agreement between TC Acquisition Corp. ("Company") and Continental Stock Transfer & Trust Company ("Trustee"), dated as of
                        , 2006 ("Trust Agreement"), this is to advise you that the Board of Directors and the stockholders of the
Company have voted to dissolve the Company and liquidate the Trust Account.
Attached hereto is a copy of the minutes of the meeting of the Board of Directors of the Company relating thereto, certified by the Secretary of the Company as true and correct and in full force and
effect. 


        In
accordance with the terms of the Trust Agreement, we hereby (a) certify to you that the provisions of Section 11-51-302(6) and
Rule 51-3.4 of the Colorado Statute have been met and (b) authorize you, to commence liquidation of the Trust Account. In connection with this liquidation, you are hereby
authorized to establish a record date for the purposes of determining the stockholders of record entitled to receive their per share portion of the Trust Account. The record date shall be within ten
(10) days of the liquidation date, or as soon thereafter as is practicable.You will notify the Company and JP Morgan Chase NY Bank ("Designated Paying Agent") in writing as to when all of the
funds in the Trust Account will be available for immediate transfer ("Transfer Date") in accordance with the terms of the Trust Agreement and the Certificate of Incorporation of the Company. You shall
commence distribution of such funds in accordance with the terms of the Trust Agreement and the Certificate of Incorporation of the Company and you shall oversee the distribution of the funds. Upon
the payment of all the funds in the Trust Account, the Trust Agreement shall be terminated. 



	 
	 	 
	 	 

	 	 	Very truly yours,
	

 	
 	
TC ACQUISITION CORP.
	

 	
 	

By:	
 	

 Robert J. Majteles, President and Chief

Executive Officer









Exhibit 10.4  


 
 

EXHIBIT C    
    



	AUTHORIZED INDIVIDUAL(S)

FOR TELEPHONE CALL BACK	 	AUTHORIZED

TELEPHONE NUMBER(S)
	
Company:	
 	

 
	

TC Acquisition Corp.

1816 Fifth Street

Berkeley, California 94710

Attn: Robert J. Majteles, President and Chief Executive Officer	
 	

(510) 652-7244
	
Trustee:	
 	

 
	

Continental Stock Transfer & Trust Company

17 Battery Place

New York, New York 10004

Attn: Steven G. Nelson, Chairman	
 	

(212) 845-3200













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Exhibit 10.4


INVESTMENT MANAGEMENT TRUST AGREEMENT



EXHIBIT A

EXHIBIT B

EXHIBIT C