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Exhibit 10.20  

 
 

MERGERS & ACQUISITION AGREEMENT    
    

April 20,
2001 

Mr. Thomas
P. McClain

Chairman & President

Information Services Extended

6301 NW 5th Way, Suite 4000

Fort Lauderdale, FL 33309 

Dear
Mr. McClain: 

        You
have agreed that, as of March 28, 2001, Spencer Trask Ventures, Inc. ("Spencer Trask") has been engaged to act as a finder or financial consultant for you in various
transactions in which Information Services Extended ("ISx" or the "Company") may be involved, which transactions may include the following: a merger or purchase of some or all of the stock or assets
of the Company; an investment in the securities of a loan to the Company; or a licensing agreement, joint venture, distribution agreement or product purchase arrangement (singularly and in
combination, a "Transaction"). The Company hereby agrees to pay an initial fee to Spencer Trask of $150,000 for its initial and on-going consulting service and to reimburse Spencer Trask
for all expenses it incurs on behalf of the Company, said fee and expenses to be accrued and paid upon closing of a Transaction. Further, the Company hereby agrees that in the event it designates
Spencer Trask to engage directly with another entity or party it identifies or Spencer Trask shall directly or indirectly introduce the Company to another party or entity at any time during the
five-year period commencing on the date of this letter agreement and a Transaction of the nature described above between any such entities or parties and the Company is consummated (a
"Consummated Transaction"), then the Company shall pay to Spencer Trask a fee as follows: 

	(a)
	7%
of the first $1,000,000 of the consideration paid in such transaction;

	(b)
	6%
of the next $1,000,000 of the consideration paid in such transaction;

	(c)
	5%
of the next $1,000,000 of the consideration paid in such transaction;

	(d)
	4%
of the next $1,000,000 of the consideration paid in such transaction;

	(e)
	3%
of the next $1,000,000 of the consideration paid in such transaction;

	(f)
	21/2%
of any consideration paid in such transaction in excess of $9,000,000. 

        "Consideration
paid in such transaction" for purposes of this agreement shall mean the value of a) all consideration, including proceeds of investments and loans, paid to the
Company and/or the stockholders of the Company in connection with a Transaction, including cash, securities or other consideration exchanged or paid at closing; assumption of debt; and any deferred
payments including without limitation notes, contingent payments, license fees or royalty payments; and b) the aggregate amount of any investment made by the Company and a Target in a joint
venture. Payment of the applicable fee set forth above will be made at the closing of the related Transaction. The fee shall be payable in cash and any consideration other than cash which is paid in
the Consummated Transaction shall be valued at its fair market value. 

        In
the event a Consummated Transaction is in the form of a licensing agreement, joint venture, distribution agreement or product purchase arrangement, Spencer Trask will be entitled to
receive additional compensation for a period of nine years for its efforts in the consummation of the relationship. Such additional compensation will be computed for each calendar year as two percent
(2%) of the revenues received or attributable to the Company, and will be paid to Spencer Trask every three months, along with appropriate supporting documents, for a maximum period of nine years from 

the
date of commencement of the business arrangement. Revenues attributable to the Company will be based upon the Company's percentage ownership in a joint venture or similar business arrangement; for
example, if the Company has a 50% interest in a joint venture and total revenue for the joint venture is $100 million, then the Company's revenues would be defined as $50 million.
Revenues attributed to the Company's share of a business arrangement will be considered as Company revenues regardless of whether the monies are retained in the business arrangement or remitted to the
Company. 

        In
the event that, for any reason, the Company shall fail to pay to Spencer Trask all or any portion of the fees and/or additional compensation payable hereunder when due, interest shall
accrue and be payable on the unpaid cash balance due hereunder from the date when first due through and including the date when actually collected by Spencer Trask, at a rate equal to four percent
above the prime rate of Citibank, N.A., in New York, computed on a daily basis and adjusted as announced from time to time. In addition, the Company will pay all of Spencer Trask's reasonable legal
fees and expenses in connection with collection of said fees and/or additional compensation. 

        Notwithstanding
anything herein to contrary, if the Company shall, within the two-year period following the termination of the five-year period provided above,
conclude a Consummated Transaction with any party introduced by Spencer Trask to the Company prior to the termination of said five-year period, the Company shall pay Spencer Trask the fees
and/or additional compensation determined above. 

        The
parties hereto acknowledge that this letter agreement supersedes and replaces that certain letter agreement between the Company and Spencer Trask Intellectual Capital Company LLC
dated March 28, 2001 which is hereby deemed to be null and void and no longer in effect. The Company represents and warrants to Spencer Trask that Spencer Trask's engagement hereunder has been
duly authorized and approved by the Board of Directors of the Company. 

	Sincerely yours,	 	 	 
	

Spencer Trask Ventures, Inc.	
 	

 	

 
	

By:	

/s/  WILLIAM P. DIOGUARDI      
 William P. Dioguardi

President	
 	

 	

 
	

Agreed and Accepted:	
 	

 	

 
	

This 20th day of April, 2001	
 	

 	

 
	

Information Services Extended, Inc.	
 	

Spencer Trask Intellectual Capital Company, LLC
	

By:	

/s/  THOMAS P. MCCLAIN      
 Thomas P. McClain

Chairman and President	
 	

By:	

/s/  THOMAS P. MCCLAIN      
 Thomas P. McClain, Member

Spencer Trask Ventures, Inc.
  535 Madison Avenue, 18th Floor

New York, New York 10022 

April 14,
2005 

Information
Services Extended, Inc.

6301 Northwest Fifth Way, Suite 4000

Fort Lauderdale, Florida 33309-6186

Attn: Mr. Edgar Downs

         President and Chief Executive Officer 

Aptas, Inc.

1517 Blake Street, Suite 200

Denver, Colorado 80202

Attn: Mr. Perry Evans

         President and Chief Executive Officer 

Gentlemen:

        The
undersigned, Spencer Trask Ventures, Inc. ("Ventures"), is a related party to Spencer Trask Intellectual Capital Company LLC ("STIC"). STIC is entering into a Stock Purchase
Agreement, dated as of April 14, 2005 (the "SPA"), by and among Aptas, Inc. ("Aptas"), STIC and International Business Machines Corporation. As a result of the transactions contemplated
by the SPA (the "Transaction"), Information Services Extended, Inc. ("ISx") will become a wholly-owned subsidiary of Aptas. In consideration of the benefits to be derived by the undersigned
from the consummation of the transactions contemplated by the SPA, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the undersigned hereby
agree as follows: 

Each
of the undersigned parties hereby agrees that the fee payable to Ventures upon the consummation of the Transaction pursuant to that certain Mergers & Acquisition Agreement, dated
April 20, 2001, between ISx and Ventures (the "M&A Agreement"), shall (a) be payable only upon the termination, without exercise, of the right of rescission of Aptas set forth in the
Rescission Agreement executed in connection with the Transaction (the "Rescission Right"), as the same may be amended from time to time, and (b) shall equal $1,050,000. In the event that Aptas
exercises the Rescission Right, Aptas (and its affiliates and subsidiaries, excluding ISx) shall have no obligation under the M&A Agreement as a result of the Transaction or otherwise. Ventures hereby
releases any claim with respect to any amounts in excess of $1,050,000 relating to the M&A Agreement. 

        If
the foregoing terms are acceptable to you, please indicate your acceptance thereof in the space provided below. 

	Very truly yours,	 
	

Spencer Trask Ventures, Inc.	

 
	

William P. Dioguardi

President	

 
	

Agreed to and accepted this        day of April, 2005	

 
	

INFORMATION SERVICES EXTENDED, INC.	

 
	

By:	

/s/  EDGAR DOWNS          
 Name: Edgar Downs

Title: President and Chief Executive Officer	

 
	

APTAS, INC.	

 
	

By:	

/s/  PERRY EVANS          
 Name: Perry Evans

Title: President and Chief Executive Officer	

 
	

Spencer Trask Intellectual Capital Company LLC	

 
	

By:	

/s/  KEVIN KIMBERLIN          
 Name: Kevin Kimberlin

Title: Non-Member Manager	

 

Spencer Trask Ventures, Inc.
  535 Madison Avenue, 18th Floor

New York, New York 10022 

December 30,
2005 

Information
Services Extended, Inc.

6301 Northwest Fifth Way, Suite 4000

Fort Lauderdale, Florida 33309-6186

Attn: Chief Executive Officer 

Local
Matters, Inc.

1221 Auraria Parkway

Denver, Colorado 80204

Attn: Mr. Perry Evans

    President and Chief Executive Officer 

Ladies
and Gentlemen: 

        The
undersigned, Spencer Trask Ventures, Inc. ("Ventures"), is a related party to Spencer Trask Intellectual Capital Company LLC
("STIC"). On April 14, 2005, in connection with the acquisition by Local Matters, Inc. (f/k/a Aptas, Inc.)
("LMI") of all the issued and outstanding shares of capital stock of Information Services Extended, Inc.
("ISx") (the "Transaction"), Ventures delivered to ISx, LMI, and STIC a letter agreement (the
"Amended M&A Agreement") amending that certain Mergers & Acquisition Agreement, dated April 20, 2001, by and between ISx and Ventures (the
"M&A Agreement"). On or around December 20, 2005, LMI exercised its right to rescind the Transaction pursuant to Section 1.2 of that
certain Rescission Agreement, entered into by and among LMI, STIC, and International Business Machines Corporation on April 14, 2005 (the "Rescission
Agreement"), by delivering notice to STIC of its intent to rescind the Transaction ("Notice of Rescission"). On or around
December 28, 2005, LMI agreed to rescind the Notice of Rescission. 

        In
consideration of the benefits to be derived by the undersigned from the rescission of the Notice of Rescission, and for other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the undersigned hereby agree as follows: 

Each
of the undersigned parties hereby agrees that the fee in the amount of $1,050,000 payable to Ventures pursuant to the Amended M&A Agreement shall be paid in full by, and Ventures hereby accepts
as payment in full, the issuance of 200,000 shares of Series 1 Preferred Stock of Local Matters, Inc. (formerly known as Aptas, Inc.) ("Local
Matters"). Such shares shall be issued to STIC or, subject to compliance with applicable securities laws, to STIC's designees. The issuance of such shares shall be made as soon
as reasonably practicable following the date hereof, and in no event later than January 30, 2006. Ventures hereby releases any claim with respect to the M&A Agreement and the Amended M&A
Agreement relating to any amounts in excess of 200,000 shares of Series 1 Preferred Stock of Local Matters. 

[Remainder of Page Intentionally Left Blank]

        If
the foregoing terms are acceptable to you, please indicate your acceptance thereof in the space provided below. 

	

Very truly yours,	
 	

 
	

Spencer Trask Ventures, Inc.	
 	

 
	

/s/  WILLIAM P. DIOGUARDI      
 William P. Dioguardi

President	
 	

 
	

Agreed to and accepted this    day of December, 2005	
 	

 
	

INFORMATION SERVICES EXTENDED, INC.	
 	

 
	

By:	
 	

/s/  ERNEST J. SAMPIAS      
 Name: Ernest J. Sampias

Title: Treasurer	
 	

 
	

LOCAL MATTERS, INC.	
 	

 
	

By:	
 	

/s/  PERRY EVANS      
 Name: Perry Evans

Title: President and Chief Executive Officer	
 	

 
	

Spencer Trask Intellectual Capital Company LLC	
 	

 
	

By:	
 	

/s/  BRUNO LERER      
 Name: Bruno Lerer	
 	

 

[Second Amended M&A Letter]

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Exhibit 10.21  

 
 

CONFIRMATION AND RELEASE AGREEMENT    
    

        This Confirmation and Release Agreement (the "Agreement"), by and between Spencer Trask Ventures, Inc., a
Delaware corporation ("Spencer Trask") and Local Matters, Inc., a Delaware corporation ("LMI"),
is executed to be effective this 14th day of October, 2005. 

        WHEREAS,
LMI and Spencer Trask are parties to that certain Placement Agency Agreement, dated January 8, 2005, pursuant to which Spencer Trask has agreed to perform certain
placement services for LMI (the "ST Agreement"); and 

        WHEREAS,
SG Cowen & Co., LLC ("Cowen") have entered into that certain Letter Agreement, dated May 6, 2005, pursuant to which
Cowen has agreed to perform certain placement services for LMI (the "Cowen Agreement"); 

        Whereas,
pursuant to the Cowen Agreement, LMI proposes to issued up to $20,000,000 in Series 3 Preferred Stock to Sandler Capital Partners V, L.P., Sandler Capital Partners V FTE,
L.P., and Sandler Capital Partners V Germany, L.P. (collectively, "Sandler") (the "Sandler Transaction") 

        NOW,
THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged and agreed, and as an inducement to Sandler to make the Sandler
Investment and for the Company to make the Additional Payment, the parties agree as follows: 

        1.    Additional Payment.    The parties hereto agree that no amount is or would be owing to Spencer Trask upon the
consummation of the Sandler Transaction pursuant to the ST Agreement. Notwithstanding the foregoing, in connection with and immediately following the
closing of the Sandler Transaction, LMI will
pay to Spencer Trask an amount equal to $300,000 in recognition of the contribution to the Sandler Transaction made by Spencer Trask (the "Additional
Payment"). 

        2.    Confirmation and Release.    Spencer Trask, on behalf of itself and its present, former, and future
subsidiaries, partners, members, affiliates, managers, officers, directors, employees, counsel, agents, contractors, successors, assigns, heirs, and legal or personal representatives (collectively,
the "Releasing Parties") hereby confirms that, upon payment of the Additional Payment, no amount is or will be due or owing to Spencer Trask (including
in the form of warrants or other equity equivalents) on account of the Sandler Investment, pursuant to Section 3(g) of the ST Agreement or otherwise, and Spencer Trask further fully, finally,
and forever releases, remises, discharges, and acquits LMI and any and all of its past, present, and future employees, agents, representatives, and attorneys, and all other entities that could or
might act on LMI's behalf from and against any and all claims, actions, causes of action, debts, damages, demands, offsets, payments, costs, attorneys' fees, obligations of every kind and nature,
rights, liabilities, charges, expenses, contracts, promises, or agreements, direct or indirect, regardless of the legal theory upon which they are based, whether known or unknown, now existing or
arising at any time in the future, liquidated or unliquidated, arising out of any and all agreements, events, acts or conduct related to or arising in any way out of the Sandler Investment.  Notwithstanding the foregoing,
 nothing herein shall reduce or otherwise affect the right of Spencer Trask to receive compensation (in the form of
placement agent fees and/or warrants) with respect to additional sales of Series 3 Preferred Stock, if any, in accordance with Section 3(g) of the ST Agreement. 

        2.    Indemnification.    The Releasing Parties hereby unconditionally, absolutely, and irrevocably agree to and shall
defend, indemnify and hold harmless LMI and its present, former, and future subsidiaries, partners, members, affiliates, managers, officers, directors, employees, counsel, agents, contractors,
successors, assigns, heirs, and legal or personal representatives (collectively, the "Indemnified Persons") from and against, and shall reimburse them
for each and every loss or amount paid, imposed on, or incurred by them, directly or indirectly, relating to, resulting from, or arising out 

1

 

of
any and all claims brought by any of the Releasing Parties, including, any bankruptcy trustee or any other third parties, which are brought or asserted against the Indemnified Persons based on, or
arising from or in connection with a claim that any amount is due or owing to Spencer Trask (including in the form of warrants or other equity interests) on account of the Sandler Investment in excess
of the Additional Payment. 

        3.    Miscellaneous.    

        3.1    Entire Agreement.    This Agreement constitutes the entire agreement and understanding between the parties
hereto relating to the subject matter hereof and supersedes any prior agreement or understanding relating to the subject matter hereof, whether oral or written. Nothing herein shall be construed to be
a waiver of any claims or rights that may arise in the future pursuant to any existing or future stockholder's agreement, or similar agreement, to which the parties hereto are parties. 

        3.2    Counterparts.    This Agreement may be executed in any number of counterparts, each of which shall be deemed an
original, but all of which collectively shall constitute one and the same instrument representing this Agreement between the parties hereto and it shall not be necessary for the proof of this
Agreement that any party produce or account for more than one such counterpart. 

        3.3    Modification or Waiver.    This Agreement may be amended, modified or superseded, and any of the terms,
covenants, representations, warranties or conditions hereof may be waived, but only by a written instrument executed by each party hereto. No waiver of any nature, in any one or more instances, shall
be deemed to be or construed as a further or continued waiver of any condition or any breach of any other term, covenant, representation or warranty in this Agreement. 

        3.4    Invalid Provisions.    If any provision of this Agreement is held to be illegal, invalid or unenforceable under
present or future laws effective during the effective period of this Agreement, such provision shall be fully severable; this Agreement shall be construed and enforced as if such illegal, invalid or
unenforceable provision had never comprised a part of this Agreement; and 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 from this Agreement. Furthermore, in lieu of each illegal, invalid or unenforceable provision there shall be added automatically as part of this
Agreement a provision as similar in terms to such illegal, invalid or unenforceable provision as may be possible and be legal, valid and enforceable. 

        3.5    Binding Effect and Assignment.    This Agreement shall be binding upon and inure to the benefit of the parties
hereto and their respective present, former, and future subsidiaries, partners, members, affiliates, managers, officers, directors, employees, counsel, agents, contractors, successors, assigns, heirs,
and legal or personal representatives. Neither this Agreement nor any right created hereby or in any agreement entered into in connection with the transactions contemplated hereby shall be assignable
by any party hereto without prior written consent by an authorized representative of the other party. 

        3.6    Section Headings.    The section headings contained in this Agreement are inserted for convenience of reference
only and shall not affect the meaning or interpretation of this Agreement. 

        3.7    Choice of Law.    This Agreement shall be construed and enforced in accordance with and governed by the laws of
the State of New York, without regard to principles of conflicts of laws otherwise applicable to such determination. 

2

 

        3.8    Warranty of Capacity to Execute Agreement.    The parties represent and warrant that no other person or entity
has or has had any interest to the claims, demands, obligations, or causes of action referred to in this Agreement, except as otherwise set forth herein, and that the parties have the sole right and
exclusive authority to execute this Agreement and receive the consideration specified herein, and that the parties have not sold, assigned, transferred, conveyed or otherwise disposed of any of the
claims, demands, obligations, or causes of action released or referred to in this Agreement. The parties represent and warrant that they have the legal power and authority to enter into and bind the
parties to the terms and conditions contained in this Agreement. 

        3.9    Voluntary and Knowingly.    The parties acknowledge that, before executing this Agreement, they have been
advised and given the opportunity to consult with counsel and have in fact sought and received advice from counsel of their own choosing, and have been fully advised of their rights under law. The
parties further acknowledge that they have reviewed this Agreement in its entirety, understand it, and voluntarily execute it. 

        3.10    Construction.    The parties agree that in the event of any dispute concerning the interpretation or
construction of this Agreement, no presumption shall exist with respect to the party initially drafting the Agreement. All parties agree they have had ample opportunity to influence the choice of
language and terms in this Agreement. 

        3.11    Sufficiency of Consideration.    The parties each acknowledge and agree that no additional consideration is
required or owing to the other, and that sufficient consideration has passed between them by virtue of this Agreement to render this Agreement, including the releases herein, valid and enforceable. 

        3.12    Duty to Effectuate.    The parties agree to perform any lawful additional acts, including the execution of
additional agreements, as are reasonably necessary to effectuate the purpose of this Agreement. 

        3.13    Enforce According To Terms.    The parties intend this Agreement to be enforced according to its terms. 

        3.14    Notice:    Any notice given pursuant to this agreement shall be sent via first class U.S. mail return
receipt requested or by reputable overnight courier, as follows: 

        (a)   if
to the Company: 

Local
Matters, Inc.

1221 Auraria Parkway

Denver, Colorado 80202

Telecopier: (303) 572-1123

Attention: Chief Executive Officer 

with
a copy to: 

Cooley
Godward LLP

380 Interlocken Crescent

Suite 900

Broomfield, Colorado 80021-8023

Telecopier: (720) 566-4099

Attention: Michael D. Stack, Esq. 

3

 

        (b)   if
to Spencer Trask: 

Spencer
Trask Ventures, Inc.

535 Madison Avenue

18th Floor

New York, New York 10022

Attention: 

        IN
WITNESS WHEREOF, the undersigned parties have executed this Agreement in one or more counterparts as of the day and year first above written. 

	 	 	Local Matters, Inc.
	

 	
 	

By:	

/s/  PERRY EVANS      

	 	 	Printed Name: Perry Evans

Title: CEO
	

 	
 	
Spencer Trask Ventures, Inc.
	

 	
 	

By:	

/s/  WILLIAM P. DIOGUARDI      

	 	 	Printed Name: William P. Dioguardi

Title: President

4

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