Document:

EXHIBIT
        4.3

      

      SECURITIES
        PURCHASE AGREEMENT

      

      THIS SECURITIES
        PURCHASE AGREEMENT
        (this
“Agreement”),
        dated
        as of February 9, 2007, by and among DOT
        VN, INC.,
        a
        Delaware corporation (“Dot VN”), and Spot -On Networks, LLC, a Delaware limited
        liability company (“Spot On”) (each of Dot VN and Spot On, a “Company”
and
        together the “Companies”), and the Buyers listed on Schedule I attached
        hereto (individually, a “Buyer”
or
        collectively “Buyers”).

       

      WITNESSETH

      

      WHEREAS,
        each
        Company and the Buyer(s) are executing and delivering this Agreement in reliance
        upon an exemption from securities registration pursuant to Section 4(2) and/or
        Rule 506 of Regulation D (“Regulation
        D”)
        as
        promulgated by the U.S. Securities and Exchange Commission (the “SEC”)
        under
        the Securities Act of 1933, as amended (the “Securities
        Act”);

       

      WHEREAS,
        the
        parties desire that, upon the terms and subject to the conditions contained
        herein, each Company shall issue and sell to the Buyer(s), as provided herein,
        and the Buyer(s) shall purchase up to Ten Million Dollars ($10,000,000) (the
        “Purchase
        Price”)
        in the
        respective amounts set forth opposite each Buyer(s) name on Schedule I (the
        “Subscription
        Amount”)
        of
        convertible debentures (the “Convertible
        Debentures”),
        in
        equal amount from each Company, of which the Convertible Debentures issued
        by
        Dot VN shall be convertible into shares of the Company’s common stock, par value
        $0.001 (the “Common
        Stock”)
        (as
        converted, the “Conversion
        Shares”),
        and
        the Convertible Debentures issued by Spot On shall be convertible into units
        of
        membership Interest of Spot On (“Membership Interests”) or exchangeable for
        Conversion Shares, together with such number of Dot VN common stock purchase
        warrants (the “Warrants”,
        and
        together with the Convertible Debentures from each of the Companies, the
        “Units”)) as equal thirty percent (30%) of the total Subscription Amount (shares
        of Common Stock issuable upon the exercise of the Warrants, the “Warrant
        Shares”);
        and

       

      WHEREAS,
        contemporaneously with the execution and delivery of this Agreement, Buyers
        and
        Dot VN are executing and delivering a Registration Rights Agreement (the
        “Investor
        Registration Rights Agreement”)
        pursuant to which Dot VN has agreed to provide certain registration rights
        under
        the Securities Act and the rules and regulations promulgated there under,
        and
        applicable state securities laws; and

       

      WHEREAS,
        contemporaneously with the execution and delivery of this Agreement, the
        Buyers
        and Spot On are executing and delivering a general security agreement (the
        “General
        Security Agreement”);

       

      NOW,
        THEREFORE,
        in
        consideration of the mutual covenants and other agreements contained in this
        Agreement the Company and the Buyer(s) hereby agree as follows:

       

      1. PURCHASE
        AND SALE OF CONVERTIBLE DEBENTURES AND WARRANTS.

       

      (a) Purchase
        of Convertible Debentures.
        Subject
        to the satisfaction (or waiver) of the terms and conditions of this Agreement,
        each Buyer agrees, severally and not jointly, to purchase at each Closing
        and
        each Company agrees to sell and issue to each Buyer, severally and not jointly,
        at each Closing, Convertible Debentures and Warrants in amounts corresponding
        with the Subscription Amount set forth opposite each Buyer’s name on Schedule I
        hereto. 

       

      (b) Closing
        Date.
        The
        offering shall consist of a minimum of $1,000,000 of Convertible Debentures
        (the
“Minimum Offering”) and a maximum of $10,000,000 of Convertible Debentures. The
        initial Closing (the “Initial Closing”) of the purchase and sale of the
        Convertible Debentures shall take place at 10:00 a.m. Eastern Standard Time
        on
        the business day following the date the Minimum Offering has been subscribed
        for
        (the “Closing
        Date”).
        Subsequent closings shall take place in the discretion of the Companies.
        The
        Closing shall occur on each Closing Date at the offices of Sichenzia Ross
        Friedman Ference LLP (or such other place as is mutually agreed to by the
        Company and the Buyer(s)). The Initial Closing shall occur by January 31,
        2007
        and the final closing of the offering of Units shall occur by March 15, 2007
        or
        such later date (not beyond June 30, 2007) as the Companies may
        determine.

       

      
        
           

        

        
          
          

          
            

          

        

        
           

        

      

       

      (c) Form
        of Payment.
        Subject
        to the satisfaction of the terms and conditions of this Agreement, on the
        Closing Dates, (i) the Buyers shall deliver to the Companies such aggregate
        proceeds for the Subscription Amount as set forth herein, and (ii) each
        Company shall deliver to each Buyer, Convertible Debentures and Dot VN shall
        deliver Warrants which such Buyer(s) is purchasing in amounts indicated opposite
        such Buyer’s name on Schedule I, duly executed on behalf of the
        Company.

       

      2. BUYER’S
        REPRESENTATIONS AND WARRANTIES.

       

      Each
        Buyer represents and warrants, severally and not jointly, that:

       

      (a) Investment
        Purpose.
        Each
        Buyer is acquiring the Convertible Debentures and Warrants and, upon conversion
        or exchange of Convertible Debentures or exercise of the Warrants, the Buyer
        will acquire the Conversion Shares, Membership Interests or Warrants Shares
        then
        issuable, for its own account for investment only and not with a view towards,
        or for resale in connection with, the public sale or distribution thereof,
        except pursuant to sales registered or exempted under the Securities Act;
        provided, however, that by making the representations herein, such Buyer
        reserves the right to dispose of the Conversion Shares or Warrant Shares
        at any
        time in accordance with or pursuant to an effective registration statement
        covering such Conversion Shares or Warrant Shares or an available exemption
        under the Securities Act. Unless Buyer has notified the Company in writing
        to
        the contrary, Buyer is not a registered broker dealer or affiliate
        thereof.

       

      (b) Accredited
        Investor Status.
        Each
        Buyer is an “Accredited
        Investor”
as
        that
        term is defined in Rule 501(a)(3) of Regulation D.

       

      (c) Reliance
        on Exemptions.
        Each
        Buyer understands that the Convertible Debentures are being offered and sold
        to
        it in reliance on specific exemptions from the registration requirements
        of
        United States federal and state securities laws and that the Company is relying
        in part upon the truth and accuracy of, and such Buyer’s compliance with, the
        representations, warranties, agreements, acknowledgments and understandings
        of
        such Buyer set forth herein in order to determine the availability of such
        exemptions and the eligibility of such Buyer to acquire such
        securities.

       

      (d) Information.
        Each
        Buyer and its advisors (and his or, its counsel), if any, have been furnished
        with all materials relating to the business, finances and operations of the
        Company and information he deemed material to making an informed investment
        decision regarding his purchase of the Convertible Debentures, Warrants,
        the
        Conversion Shares, Membership Interests and the Warrant Shares, which have
        been
        requested by such Buyer. Each Buyer and its advisors, if any, have been afforded
        the opportunity to ask questions of the Companies and its management. Neither
        such inquiries nor any other due diligence investigations conducted by such
        Buyer or its advisors, if any, or its representatives shall modify, amend
        or
        affect such Buyer’s right to rely on the Companies’ representations and
        warranties contained in Section 3 below. Each Buyer is not relying (for purposes
        of making any investment decision or otherwise) upon any advice, information,
        or
        representations from the Companies, written or oral, other than the
        representations set forth in the Transaction Documents. Each Buyer understands
        that its investment in the Convertible Debentures and Warrants and the
        Conversion Shares and Warrants Shares and Membership Interests involves a
        high
        degree of risk. Each Buyer, either alone or with its representatives, has
        such
        knowledge, sophistication and experience in business and financial matters
        so as
        to be capable of evaluating the merits and risks of the prospective investment
        hereunder and by so evaluating the merits and risks of such investments,
        such
        Buyer is able to bear the economic risk of such investment, and at the present
        time is able to afford a complete loss of such investment. Each Buyer is
        in a
        position regarding each Company, which, based upon employment, family
        relationship or economic bargaining power, enabled and enables such Buyer
        to
        obtain information from each Company in order to evaluate the merits and
        risks
        of this investment. Each Buyer has sought such accounting, legal and tax
        advice,
        as it has considered necessary to make an informed investment decision with
        respect to its acquisition of the Convertible Debentures and Warrants and
        the
        Conversion Shares and Warrants Shares and Membership Interests. Such Buyer
        is
        not making the investment as a result of any advertisement, article, notice
        or
        other communication published or broadcasted in any media or any general
        solicitation or advertising. Each Buyer agrees and understands that the
        Companies have not completed a merger or acquisition transaction with one
        another; that any such transaction is subject to the negotiation and execution
        of a definitive agreement between the Companies, as well as the completion
        of
        due diligence reviews and other conditions satisfactory to each of the
        Companies, which conditions may not be fulfilled; and that there is no assurance
        that any such merger or acquisition transaction will occur, among other reasons
        because the parties may determine not to proceed if the merger cannot be
        effected on a tax free basis, and there can be no assurance that the merger
        could be effected on a tax free basis.

       

      
        
           

        

        
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      (e) No
        Governmental Review.
        Each
        Buyer understands that no United States federal or state agency or any other
        government or governmental agency has passed on or made any recommendation
        or
        endorsement of the Convertible Debentures or the Conversion Shares, or the
        fairness or suitability of the investment in the Convertible Debentures or
        the
        Conversion Shares or Membership Interests, nor have such authorities passed
        upon
        or endorsed the merits of the offering of the Convertible Debentures or the
        Conversion Shares or Membership Interests.

       

      (f) Transfer
        or Resale.
        Each
        Buyer understands that except as provided in the Investor Registration Rights
        Agreement: (i) the Convertible Debentures, ,Warrants, Conversion Shares and
        Membership Interests have not been and are not being registered under the
        Securities Act or any state securities laws, and may not be offered for sale,
        sold, assigned or transferred by Buyer unless (A) subsequently registered
        for
        resale thereunder, or (B) such Buyer shall have delivered to the Company
        an
        opinion of counsel, in a generally acceptable form, to the effect that such
        securities to be sold, assigned or transferred may be sold, assigned or
        transferred pursuant to an exemption from such registration requirements;
        (ii)
        any sale of such securities made in reliance on Rule 144 under the Securities
        Act (or a successor rule thereto) (“Rule 144”)
        may be
        made only in accordance with the terms of Rule 144 and further, if Rule 144
        is
        not applicable, any resale of such securities under circumstances in which
        the
        seller (or the person through whom the sale is made) may be deemed to be an
        underwriter (as that term is defined in the Securities Act) may require
        compliance with some other exemption under the Securities Act or the rules
        and
        regulations of the SEC thereunder; (iii) neither the Company nor any other
        person is under any obligation to register such securities under the Securities
        Act or any state securities laws or to comply with the terms and conditions
        of
        any exemption thereunder, and (iv) the Conversion Shares may not be issued
        upon
        conversion of the Spot-On Convertible Debentures except pursuant to an exemption
        from the registration requirements under the Securities Act based on
        representations of the Buyer made herein.

       

      (g) Legends.
        Each
        Buyer understands that the certificates or other instruments representing
        the
        Convertible Debentures and Warrants and the Conversion Shares and Warrants
        Shares and Membership Interests (if certificated) shall bear a restrictive
        legend in substantially the following form (and a stop -transfer order may
        be
        placed against transfer of such stock certificates):

       

      THE
        SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER
        THE
        SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS.
        THE
        SECURITIES HAVE BEEN ACQUIRED SOLELY FOR INVESTMENT PURPOSES AND NOT WITH
        A VIEW
        TOWARD RESALE AND MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED
        IN
        THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT FOR THE SECURITIES UNDER
        THE
        SECURITIES ACT OF 1933, AS AMENDED, OR AN OPINION OF COUNSEL, IN A GENERALLY
        ACCEPTABLE FORM, THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT. 

       

      The
        legend set forth above shall be removed and Dot VN within two (2) business
        days
        shall issue a certificate without such legend to the holder of the Conversion
        Shares or Warrant Shares upon which it is stamped, if, unless otherwise required
        by state securities laws, (i) in connection with a sale transaction, provided
        the Conversion Shares or Warrant Shares, as applicable, are registered under
        the
        Securities Act or (ii) in connection with a sale transaction, after such
        holder
        provides Dot VN with an opinion of counsel, which opinion shall be in form,
        substance and scope customary for opinions of counsel in comparable
        transactions, to the effect that a public sale, assignment or transfer of
        the
        Conversion Shares or Warrant Shares, as applicable, may be made without
        registration under the Securities Act. 

       

      (h) Authorization,
        Enforcement.
        This
        Agreement has been duly and validly authorized, executed and delivered on
        behalf
        of such Buyer and is a valid and binding agreement of such Buyer enforceable
        in
        accordance with its terms, except as such enforceability may be limited by
        general principles of equity or applicable bankruptcy, insolvency,
        reorganization, moratorium, liquidation and other similar laws relating to,
        or
        affecting generally, the enforcement of applicable creditors’ rights and
        remedies.

       

      
        
           

        

        
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      (i) Receipt
        of Documents.
        Each
        Buyer and his or its counsel has received and read in their entirety: (i)
        this
        Agreement and each representation, warranty and covenant set forth herein
        and
        the Transaction Documents (as defined herein); (ii) all due diligence and
        other
        information necessary to verify the accuracy and completeness of such
        representations, warranties and covenants; and (iii) answers to all questions
        each Buyer submitted to the Company regarding an investment in the Company;
        and
        each Buyer has not been furnished any other documents, literature, memorandum
        or
        prospectus and has relied only on the representations set forth in the
        Transaction Documents.

       

      (j) Due
        Formation of Corporate and Other Buyers.
        If the
        Buyer(s) is a corporation, trust, partnership or other entity that is not
        an
        individual person, it has been formed and validly exists and has not been
        organized for the specific purpose of purchasing the Convertible Debentures
        and
        Warrants and is not prohibited from doing so.

       

      (k) No
        Legal Advice From either Company.
        Each
        Buyer acknowledges, that it had the opportunity to review this Agreement
        and the
        transactions contemplated by this Agreement with his or its own legal counsel
        and investment and tax advisors. Each Buyer is relying solely on such counsel
        and advisors and not on any statements or representations of each Company
        or any
        of its representatives or agents for legal, tax or investment advice with
        respect to this investment, the transactions contemplated by this Agreement
        or
        the securities laws of any jurisdiction. 

       

      (l) Certain
        Trading Activities.
        Such
        Buyer has not directly or indirectly, nor has any Person acting on behalf
        of or
        pursuant to any understanding with such Investor, engaged in any transactions
        in
        the securities of the Company (including, without limitations, any Short
        Sales
        involving the Company’s securities) since the earlier to occur of (1) the time
        that such Buyer was first contacted regarding an investment in the Company
        and
        (2) the 30th
        calendar
        day prior to the date of this Agreement. Such Buyer covenants that neither
        it
        nor any Person acting on its behalf or pursuant to any understanding with
        it
        will engage in any transactions in the securities of the Company (including
        Short Sales) prior to the time that the transactions contemplated by this
        Agreement are completed. "Short
        Sales"
        include,
        without limitation, all “short sales” as defined in Rule 200 promulgated under
        Regulation SHO under the Securities Exchange Act of 1934.

       

      3. REPRESENTATIONS
        AND WARRANTIES OF EACH COMPANY.

       

      Each
        Company represents and warrants as to itself only as of the date hereof to
        each
        of the Buyers that, solely for such Company and not with respect to the other
        Company, except as set forth in the separate Disclosure Schedule of such
        Company
        attached hereto (the “Disclosure
        Schedule”):

       

      (a) Organization
        and Qualification.
        Such
        Company and its subsidiaries is a corporation or limited liability company
        duly
        organized and validly existing in good standing under the laws of the
        jurisdiction in which it is incorporated or formed, and has the requisite
        corporate or limited liability company power to own its properties and to
        carry
        on its business as now being conducted. Each of the Companies and its
        subsidiaries is duly qualified as a foreign corporation to do business and
        is in
        good standing in every jurisdiction in which the nature of the business
        conducted by it makes such qualification necessary, except to the extent
        that
        the failure to be so qualified or be in good standing would not have a material
        adverse effect on such Company and its subsidiaries taken as a
        whole.

       

      (b) Authorization,
        Enforcement, Compliance with Other Instruments.
        (i) The Company has the requisite corporate or limited liability company
        power and authority to enter into and perform this Agreement and such of
        the
        Investor Registration Rights Agreement, the General Security Agreement, and
        any
        related agreements (collectively the “Transaction
        Documents”)
        to
        which it is a party and to issue such of the Convertible Debentures and Warrants
        and the Conversion Shares and Warrants Shares, as applicable as it is required
        to issue in accordance with the terms hereof and thereof, (ii) the execution
        and
        delivery of the Transaction Documents to which it is a party by the Company
        and
        the consummation by it of the transactions contemplated hereby and thereby,
        including, without limitation, such of the issuance of the Convertible
        Debentures and Warrants and the Conversion Shares and Warrants Shares and
        the
        reservation for issuance and the issuance of the Conversion Shares and Warrant
        Shares issuable upon conversion or exercise thereof, as applicable, have
        been
        duly authorized by the Company’s Board of Directors or Managers and no further
        consent or authorization is required by the Company, its Board of Directors
        or
        Managers or its stockholders, (iii) the Transaction Documents have been duly
        executed and delivered by the Company, (iv) the Transaction Documents constitute
        the valid and binding obligations of the Company enforceable against the
        Company
        in accordance with their terms, except as such enforceability may be limited
        by
        general principles of equity or applicable bankruptcy, insolvency,
        reorganization, moratorium, liquidation or similar laws relating to, or
        affecting generally, the enforcement of creditors’ rights and remedies. The
        authorized officer of Dot VN executing the Transaction Documents knows of
        no
        reason why the Company cannot file the registration statement as required
        under
        the Investor Registration Rights Agreement or perform any of the its other
        obligations under such documents. 

       

      
        
           

        

        
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      (c) Capitalization.
        The
        authorized capital stock of Dot VN consists of 250,000,000 shares of Common
        Stock, par value $0.001 and 50,000,000 shares of Preferred Stock, par value
        $0.001 (“Preferred
        Stock”)
        of
        which 27,410,996 shares of Common Stock and 120,000 shares of Preferred Stock
        are issued and outstanding. All of such outstanding shares have been validly
        issued and are fully paid and nonassessable. No shares of Common Stock are
        subject to preemptive rights or any other similar rights or any liens or
        encumbrances suffered or permitted by the Company. All outstanding Membership
        Interests of Spot On have been validly issued and are fully paid and
        nonassessable. Except as set forth on Section 3(c) of such Company’s Disclosure
        Schedule, as of the date of this Agreement, (i) there are no outstanding
        options, warrants, scrip, rights to subscribe to, calls or commitments of
        any
        character whatsoever relating to, or securities or rights convertible into,
        any
        shares of capital stock of the Company or any of its subsidiaries, or contracts,
        commitments, understandings or arrangements by which the Company or any of
        its
        subsidiaries is or may become bound to issue additional shares of capital
        stock
        of the Company or any of its subsidiaries or options, warrants, scrip, rights
        to
        subscribe to, calls or commitments of any character whatsoever relating to,
        or
        securities or rights convertible into, any shares of capital stock of the
        Company or any of its subsidiaries, (ii) there are no outstanding debt
        securities and (iii) there are no agreements or arrangements under which
        the
        Company or any of its subsidiaries is obligated to register the sale of any
        of
        their securities under the Securities Act (except pursuant to the Registration
        Rights Agreement) and (iv) there are no outstanding registration statements
        and
        there are no outstanding comment letters from the SEC or any other regulatory
        agency. There are no securities or instruments containing anti-dilution or
        similar provisions that will be triggered by the issuance of the Convertible
        Debentures as described in this Agreement. 

       

      (d) Issuance
        of Securities.
        The
        Convertible Debentures and Warrants are duly authorized and, upon issuance
        in
        accordance with the terms hereof, shall be duly issued, fully paid and
        nonassessable, are free from all taxes, liens and charges with respect to
        the
        issue thereof. The Conversion Shares and Warrant Shares and Membership Interests
        issuable upon conversion or exchange of the Convertible Debentures and exercise
        of the Warrants, respectively, have been duly authorized and reserved for
        issuance. Upon conversion, exchange or exercise in accordance with the
        Convertible Debentures or Warrants the Conversion Shares, Membership Interests
        and Warrant Shares will be duly issued, fully paid and
        nonassessable.

       

      (e) No
        Conflicts.
        Except
        as set forth on Section 3(e) of such Company’s Disclosure Schedule, the
        execution, delivery and performance of the Transaction Documents by the Company
        and the consummation by the Company of the transactions contemplated hereby
        will
        not (i) result in a violation of the Articles of Incorporation, any certificate
        of designations of any outstanding series of preferred stock of the Company
        or
        the By-laws or (ii) conflict with or constitute a default (or an event which
        with notice or lapse of time or both would become a default) under, or give
        to
        others any rights of termination, amendment, acceleration or cancellation
        of,
        any agreement, indenture or instrument to which the Company or any of its
        subsidiaries is a party, or result in a violation of any law, rule, regulation,
        order, judgment or decree (including federal and state securities laws and
        regulations and the rules and regulations of Pink Sheets on which the Common
        Stock is quoted) applicable to the Company or any of its subsidiaries or
        by
        which any property or asset of the Company or any of its subsidiaries is
        bound
        or affected. Neither the Company nor its subsidiaries is in violation of
        any
        term of or in default under its Articles of Incorporation or By-laws or their
        organizational charter or by-laws, respectively, or any material contract,
        agreement, mortgage, indebtedness, indenture, instrument, judgment, decree
        or
        order or any statute, rule or regulation applicable to the Company or its
        subsidiaries. The business of the Company and its subsidiaries is not being
        conducted, and shall not be conducted in violation of any material law,
        ordinance, or regulation of any governmental entity. Except as specifically
        contemplated by this Agreement and as required under the Securities Act and
        any
        applicable state securities laws, the Company is not required to obtain any
        consent, authorization or order of, or make any filing or registration with,
        any
        court or governmental agency in order for it to execute, deliver or perform
        any
        of its obligations under or contemplated by this Agreement or the Registration
        Rights Agreement in accordance with the terms hereof or thereof. All consents,
        authorizations, orders, filings and registrations which the Company is required
        to obtain pursuant to the preceding sentence have been obtained or effected
        on
        or prior to the date hereof. The Company and its subsidiaries are unaware
        of any
        facts or circumstance, which might give rise to any of the
        foregoing.

       

      
        
           

        

        
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      (f) 10(b)-5.
        Neither
        the Transaction Documents nor any other documents or statements provided
        to the
        Buyers include any untrue statements of material fact, nor do they omit to
        state
        any material fact required to be stated therein necessary to make the statements
        made, in light of the circumstances under which they were made, not
        misleading.

       

      (g) Absence
        of Litigation.
        There
        is no action, suit, proceeding, inquiry or investigation before or by any
        court,
        public board, government agency, self-regulatory organization or body pending
        against or affecting the Company, the Common Stock or any of the Company’s
        subsidiaries, wherein an unfavorable decision, ruling or finding would (i)
        have
        a material adverse effect on the transactions contemplated hereby (ii) adversely
        affect the validity or enforceability of, or the authority or ability of
        the
        Company to perform its obligations under, this Agreement or any of the documents
        contemplated herein, or (iii) have a material adverse effect on the business,
        operations, properties, financial condition or results of operations of the
        Company and its subsidiaries taken as a whole.

       

      (h) Acknowledgment
        Regarding Buyer’s Purchase of the Convertible Debentures.
        The
        Company acknowledges and agrees that the Buyer(s) is acting solely in the
        capacity of an arm’s length purchaser with respect to this Agreement and the
        transactions contemplated hereby. The Company further acknowledges that the
        Buyer(s) is not acting as a financial advisor or fiduciary of the Company
        (or in
        any similar capacity) with respect to this Agreement and the transactions
        contemplated hereby and any advice given by the Buyer(s) or any of their
        respective representatives or agents in connection with this Agreement and
        the
        transactions contemplated hereby is merely incidental to such Buyer’s purchase
        of the Convertible Debentures and Warrants and the Conversion Shares and
        Warrants Shares. The Company further represents to the Buyer that the Company’s
        decision to enter into this Agreement has been based solely on the independent
        evaluation by the Company and its representatives.

       

      (i) No
        General Solicitation.
        Neither
        the Company, nor any of its affiliates, nor any person acting on its or their
        behalf, has engaged in any form of general solicitation or general advertising
        (within the meaning of Regulation D under the Securities Act) in connection
        with
        the offer or sale of the Convertible Debentures and Warrants and the Conversion
        Shares and Warrants Shares and Membership Interests.

       

      (j) No
        Integrated Offering.
        Neither
        the Company, nor any of its affiliates, nor any person acting on its or their
        behalf has, directly or indirectly, made any offers or sales of any security
        or
        solicited any offers to buy any security, under circumstances that would
        require
        registration of the Convertible Debentures and Warrants and the Conversion
        Shares and Warrants Shares under the Securities Act or cause this offering
        of
        the Convertible Debentures and Warrants and the Conversion Shares and Warrants
        Shares to be integrated with prior offerings by the Company for purposes
        of the
        Securities Act.

       

      (k) Employee
        Relations.
        Neither
        the Company nor any of its subsidiaries is involved in any labor dispute
        nor, to
        the knowledge of the Company or any of its subsidiaries, is any such dispute
        threatened. None of the Company’s or its subsidiaries’ employees is a member of
        a union and the Company and its subsidiaries believe that their relations
        with
        their employees are good.

       

      (l) Intellectual
        Property Rights.
        The
        Company and its subsidiaries own or possess adequate rights or licenses to
        use
        all trademarks, trade names, service marks, service mark registrations, service
        names, patents, patent rights, copyrights, inventions, licenses, approvals,
        governmental authorizations, trade secrets and rights necessary to conduct
        their
        respective businesses as now conducted. The Company and its subsidiaries
        do not
        have any knowledge of any infringement by the Company or its subsidiaries
        of
        trademark, trade name rights, patents, patent rights, copyrights, inventions,
        licenses, service names, service marks, service mark registrations, trade
        secret
        or other similar rights of others, and, to the knowledge of the Company there
        is
        no claim, action or proceeding being made or brought against, or to the
        Company’s knowledge, being threatened against, the Company or its subsidiaries
        regarding trademark, trade name, patents, patent rights, invention, copyright,
        license, service names, service marks, service mark registrations, trade
        secret
        or other infringement; and the Company and its subsidiaries are unaware of
        any
        facts or circumstances which might give rise to any of the
        foregoing.

       

      
        
           

        

        
          6

          
            

          

        

        
           

        

      

       

      (m) Environmental
        Laws.
        The
        Company and its subsidiaries are (i) in compliance with any and all applicable
        foreign, federal, state and local laws and regulations relating to the
        protection of human health and safety, the environment or hazardous or toxic
        substances or wastes, pollutants or contaminants (“Environmental
        Laws”),
        (ii)
        have received all permits, licenses or other approvals required of them under
        applicable Environmental Laws to conduct their respective businesses and
        (iii)
        are in compliance with all terms and conditions of any such permit, license
        or
        approval.

       

      (n) Title.
        Any
        real property and facilities held under lease by the Company and its
        subsidiaries are held by them under valid, subsisting and enforceable leases
        with such exceptions as are not material and do not interfere with the use
        made
        and proposed to be made of such property and buildings by the Company and
        its
        subsidiaries.

       

      (o) Insurance.
        The
        Company and each of its subsidiaries are insured by insurers of recognized
        financial responsibility against such losses and risks and in such amounts
        as
        management of the Company believes to be prudent and customary in the businesses
        in which the Company and its subsidiaries are engaged. Neither the Company
        nor
        any such subsidiary has been refused any insurance coverage sought or applied
        for and neither the Company nor any such subsidiary has any reason to believe
        that it will not be able to renew its existing insurance coverage as and
        when
        such coverage expires or to obtain similar coverage from similar insurers
        as may
        be necessary to continue its business at a cost that would not materially
        and
        adversely affect the condition, financial or otherwise, or the earnings,
        business or operations of the Company and its subsidiaries, taken as a
        whole.

       

      (p) Regulatory
        Permits.
        The
        Company and its subsidiaries possess all material certificates, authorizations
        and permits issued by the appropriate federal, state or foreign regulatory
        authorities necessary to conduct their respective businesses, and neither
        the
        Company nor any such subsidiary has received any notice of proceedings relating
        to the revocation or modification of any such certificate, authorization
        or
        permit.

       

      (q) Internal
        Accounting Controls.
        The
        Company and each of its subsidiaries maintain a system of internal accounting
        controls sufficient to provide reasonable assurance that (i) transactions
        are
        executed in accordance with management’s general or specific authorizations,
        (ii) transactions are recorded as necessary to permit preparation of financial
        statements in conformity with generally accepted accounting principles and
        to
        maintain asset accountability, and (iii) the recorded amounts for assets
        is
        compared with the existing assets at reasonable intervals and appropriate
        action
        is taken with respect to any differences.

       

      (r) No
        Material Adverse Breaches, etc.
        Neither
        the Company nor any of its subsidiaries is subject to any charter, corporate
        or
        other legal restriction, or any judgment, decree, order, rule or regulation
        which in the judgment of the Company’s officers has or is expected in the future
        to have a material adverse effect on the business, properties, operations,
        financial condition, results of operations or prospects of the Company or
        its
        subsidiaries. Neither the Company nor any of its subsidiaries is in breach
        of
        any contract or agreement which breach, in the judgment of the Company’s
        officers, has or is expected to have a material adverse effect on the business,
        properties, operations, financial condition, results of operations or prospects
        of the Company or its subsidiaries.

       

      (s) Tax
        Status.
        The
        Company and each of its subsidiaries has made and filed all federal and state
        income and all other tax returns, reports and declarations required by any
        jurisdiction to which it is subject and (unless and only to the extent that
        the
        Company and each of its subsidiaries has set aside on its books provisions
        reasonably adequate for the payment of all unpaid and unreported taxes) has
        paid
        all taxes and other governmental assessments and charges that are material
        in
        amount, shown or determined to be due on such returns, reports and declarations,
        except those being contested in good faith and has set aside on its books
        provision reasonably adequate for the payment of all taxes for periods
        subsequent to the periods to which such returns, reports or declarations
        apply.
        There are no unpaid taxes in any material amount claimed to be due by the
        taxing
        authority of any jurisdiction, and the officers of the Company know of no
        basis
        for any such claim.

       

      
        
           

        

        
          7

          
            

          

        

        
           

        

      

       

      (t) Certain
        Transactions.
        Except
        for arm’s length transactions pursuant to which the Company makes payments in
        the ordinary course of business upon terms no less favorable than the Company
        could obtain from third parties and other than the grant of stock options,
        none
        of the officers, directors, or employees of the Company is presently a party
        to
        any transaction with the Company (other than for services as employees, officers
        and directors), including any contract, agreement or other arrangement providing
        for the furnishing of services to or by, providing for rental of real or
        personal property to or from, or otherwise requiring payments to or from
        any
        officer, director or such employee or, to the knowledge of the Company, any
        corporation, partnership, trust or other entity in which any officer, director,
        or any such employee has a substantial interest or is an officer, director,
        trustee or partner.

       

      (u) Fees
        and Rights of First Refusal.
        Except
        as set forth on Section 3(u) of such Company’s Disclosure Schedule, the Company
        is not obligated to offer the securities offered hereunder on a right of
        first
        refusal basis or otherwise to any third parties including, but not limited
        to,
        current or former shareholders of the Company, underwriters, brokers, agents
        or
        other third parties.

       

      4. COVENANTS.

       

      (a) Best
        Efforts.
        Each
        party shall use its best efforts to timely satisfy each of the conditions
        to be
        satisfied by it as provided in Sections 6 and 7 of this Agreement.

       

      (b) Form
        D.
        Each
        Company agrees to file a Form D with respect to the Convertible Debentures
        and
        Warrants and the Conversion Shares and Warrants Shares and Membership Interests
        issuable by it, as applicable, as required under Regulation D and to provide
        a
        copy thereof to each Buyer promptly after such filing. Each Company shall,
        on or
        before the Closing Date, take such action as such Company shall reasonably
        determine is necessary to qualify the Convertible Debentures and Warrants
        and
        the Conversion Shares and Warrants Shares or Membership Interests, or obtain
        an
        exemption for the Convertible Debentures and Warrants and the Conversion
        Shares
        and Warrants Shares and Membership Interests for sale to the Buyers at the
        Closing pursuant to this Agreement under applicable securities or “Blue Sky”
laws of the states of the United States, and shall provide evidence of any
        such
        action so taken to the Buyers on or prior to the Closing Date.

       

      (c) Use
        of
        Proceeds.
        Each
        Company will use the proceeds from the sale of the Convertible Debentures
        for
        general corporate and working capital purposes of the Company.

       

      (d) Reservation
        of Shares.
        Each
        Company shall take all action reasonably necessary to at all times have
        authorized, and reserved for the purpose of issuance, such number of shares
        of
        Common Stock or Membership Interests as shall be necessary to effect the
        issuance of the Conversion Shares and Warrant Shares or Membership Interests.
        If
        at any time the Company does not have available such shares of Common Stock
        as
        shall from time to time be sufficient to effect the conversion of all of
        the
        Conversion Shares, the Company shall call and hold a special meeting of the
        shareholders within sixty (60) days of such occurrence, for the purpose of
        increasing the number of shares authorized. The Company’s management shall
        recommend to the shareholders to vote in favor of increasing the number of
        shares of Common Stock authorized. Management shall also vote all of its
        shares
        in favor of increasing the number of authorized shares of Common
        Stock.

       

      (e) Fees
        and Expenses.
        

       

      (i) Each
        of
        the Companies and the Buyer(s) shall pay all costs and expenses incurred
        by such
        party in connection with the negotiation, investigation, preparation, execution
        and delivery of the Transaction Documents, provided that each of the Companies
        shall pay 50% of the placement agent legal expenses of $30,000. Each Buyer
        acknowledges that the placement agent of this Offering will be paid a cash
        commission of 10% (payable 50% by each Company) and warrants to purchase
        10% of
        the Common Stock issuable hereunder (issuable solely by Dot VN,
        Inc.).

       

      
        
           

        

        
          8

          
            

          

        

        
           

        

      

       

      (f) Corporate
        Existence.
        Except
        for the Spot-On/Dot VN merger, so long as any of the Convertible Debentures
        remain outstanding, Dot VN shall not, and so long as the Spot-On Convertible
        Debentures remain outstanding Spot-On shall not, directly or indirectly
        consummate any merger, reorganization, restructuring, reverse stock split
        consolidation, sale of all or substantially all of the Company’s assets or any
        similar transaction or related transactions (each such transaction, an
“Organizational
        Change”)
        unless
        the Company provides for appropriate undertakings to ensure that the holder’s
        rights are not adversely affected. In any such case, the Company will make
        appropriate provision with respect to such holders’ rights and interests to
        insure that the provisions of this Section 4(f) will thereafter be applicable
        to
        the Convertible Debentures.

       

      (g) Transfer
        Agent.
        Dot VN
        covenants and agrees that it will at all times maintain and duly qualified
        independent transfer agent.

       

      5. CONDITIONS
        TO EACH COMPANY’S OBLIGATION TO SELL.

       

      The
        obligation of each Company hereunder to issue and sell the Convertible
        Debentures to the Buyer(s) at the Closings is subject to the satisfaction,
        at or
        before the Closing Dates, of each of the following conditions, provided that
        these conditions are for the Company’s sole benefit and may be waived by the
        Company at any time in its sole discretion:

       

      (a) Each
        Buyer shall have executed the Transaction Documents and delivered them to
        the
        Company.

       

      (b) The
        Buyer(s) shall have delivered to such Company the Purchase Price for Convertible
        Debentures and Warrants in respective amounts as set forth next to each Buyer
        as
        outlined on Schedule I attached hereto, minus any fees to be paid directly
        from
        the proceeds the Closings as set forth herein, by wire transfer of immediately
        available U.S. funds pursuant to the wire instructions provided by the
        Company.

       

      (c) The
        representations and warranties of the Buyer(s) shall be true and correct
        in all
        material respects as of the date when made and as of the Closing Dates as
        though
        made at that time (except for representations and warranties that speak as
        of a
        specific date), and the Buyer(s) shall have performed, satisfied and complied
        in
        all material respects with the covenants, agreements and conditions required
        by
        this Agreement to be performed, satisfied or complied with by the Buyer(s)
        at or
        prior to the Closing Dates. 

       

      6. CONDITIONS
        TO THE BUYER’S OBLIGATION TO PURCHASE.

       

      (a) The
        obligation of the Buyer(s) hereunder to purchase the Convertible Debentures
        and
        Warrants at the Closing is subject to the satisfaction, at or before the
        Closing
        Date, of each of the following conditions:

       

      (i) The
        Company shall have executed the Transaction Documents required to be executed
        by
        it and delivered the same to the Buyer(s).

       

      (ii) The
        representations and warranties of the Company shall be true and correct in
        all
        material respects (except to the extent that any of such representations
        and
        warranties is already qualified as to materiality in Section 3 above, in
        which
        case, such representations and warranties shall be true and correct without
        further qualification) as of the date when made and as of the Closing Date
        as
        though made at that time (except for representations and warranties that
        speak
        as of a specific date) and the Company shall have performed, satisfied and
        complied in all material respects with the covenants, agreements and conditions
        required by this Agreement to be performed, satisfied or complied with by
        the
        Company at or prior to the Closing Date

       

      
        
           

        

        
          9

          
            

          

        

        
           

        

      

       

      (iii) The
        Company shall have executed and delivered to the Buyer(s) the Convertible
        Debentures and Warrants required to be executed by it in the respective amounts
        set forth opposite each Buyer(s) name on Schedule I attached
        hereto.

       

      (iv) The
        Buyer(s) shall have received an opinion of counsel from Law Offices of Thomas
        E.
        Puzzo, PLLC in a form satisfactory to the Buyer(s).

       

      (v) The
        Company shall be in good standing with the secretary of state from the state
        in
        which the Company is incorporated or organized.

       

      (vi) Dot
        VN
        shall have reserved out of its authorized and unissued Common Stock, solely
        for
        the purpose of effecting the conversion of the Convertible Debentures and
        exercise of the Warrants, shares of Common Stock to effect the conversion
        of all
        of the Conversion Shares and Warrant Share then outstanding. Spot On shall
        have
        reserved out of its authorized and unissued Membership Interests, solely
        for the
        purpose of effecting the conversion of the Convertible Debentures, Membership
        Interests to effect the conversion of all of the Convertible Debentures then
        outstanding. 

       

      7. INDEMNIFICATION.

       

      (a) In
        consideration of the Buyer’s execution and delivery of this Agreement and
        acquiring the Convertible Debentures, Warrants, the Conversion Shares and
        the
        Warrant Shares and Membership Interests hereunder, and in addition to all
        of
        each Company’s other obligations under this Agreement, each Company, severally
        and not jointly, shall defend, protect, indemnify and hold harmless the Buyer(s)
        and each other holder of the Convertible Debentures, Warrants, the Conversion
        Shares and the Warrant Shares and Membership Interests, and all of their
        officers, directors, employees and agents (including, without limitation,
        those retained in connection with the transactions contemplated by this
        Agreement) (collectively, the “Buyer
        Indemnitees”)
        from
        and against any and all actions, causes of action, suits, claims, losses,
        costs,
        penalties, fees, liabilities and damages, and expenses in connection therewith
        (irrespective of whether any such Buyer Indemnitee is a party to the action
        for
        which indemnification hereunder is sought), and including reasonable attorneys’
fees and disbursements (the “Indemnified
        Liabilities”),
        incurred by the Buyer Indemnitees or any of them as a result of, or arising
        out
        of, or relating to (a) any misrepresentation or breach of any representation
        or
        warranty made by such Company in this Agreement, the Convertible Debentures,
        Warrants or the Investor Registration Rights Agreement or any other certificate,
        instrument or document contemplated hereby or thereby, (b) any breach of
        any
        covenant, agreement or obligation of such Company contained in this Agreement,
        or the Investor Registration Rights Agreement or any other certificate,
        instrument or document contemplated hereby or thereby, or (c) any cause of
        action, suit or claim brought or made against such Indemnitee based on material
        misrepresentations or due to a material breach by such Company and arising
        out
        of or resulting from the execution, delivery, performance or enforcement
        of this
        Agreement or any other instrument, document or agreement executed pursuant
        hereto by any of the parties hereto. Neither Company shall have or bear any
        responsibility for any misrepresentation or breach by the other Company.
        To the
        extent that the foregoing undertaking by such Company may be unenforceable
        for
        any reason, such Company shall make the maximum contribution to the payment
        and
        satisfaction of each of the Indemnified Liabilities, which is permissible
        under
        applicable law.

       

      (b) In
        consideration of the Companies’ execution and delivery of this Agreement, and in
        addition to all of the Buyer’s other obligations under this Agreement, the Buyer
        shall defend, protect, indemnify and hold harmless each Company and all of
        its
        officers, directors, employees and agents (including, without limitation,
        those
        retained in connection with the transactions contemplated by this Agreement)
        (collectively, the “Company
        Indemnities”,
        and
        with the Buyer Indemnitees, each an “Indemnified Party”) from and against any
        and all Indemnified Liabilities incurred by the Indemnitees or any of them
        as a
        result of, or arising out of, or relating to (a) any misrepresentation or
        breach
        of any representation or warranty made by the Buyer(s) in this Agreement,
        instrument or document contemplated hereby or thereby executed by the Buyer,
        (b)
        any breach of any covenant, agreement or obligation of the Buyer(s) contained
        in
        this Agreement, the Investor Registration Rights Agreement or any other
        certificate, instrument or document contemplated hereby or thereby executed
        by
        the Buyer, or (c) any cause of action, suit or claim brought or made against
        such Company Indemnitee based on material misrepresentations or due to a
        material breach and arising out of or resulting from the execution, delivery,
        performance or enforcement of this Agreement, the Investor Registration Rights
        Agreement or any other instrument, document or agreement executed pursuant
        hereto by any of the parties hereto. To the extent that the foregoing
        undertaking by each Buyer may be unenforceable for any reason, each Buyer
        shall
        make the maximum contribution to the payment and satisfaction of each of
        the
        Indemnified Liabilities, which is permissible under applicable law.

       

      
        
           

        

        
          10

          
            

          

        

        
           

        

      

       

      (c) Promptly
        after receipt by an Indemnified Party under this Section 7 of notice of the
        commencement of any action or proceeding (including any governmental action
        or
        proceeding) involving a claim, such Indemnified Party shall, if a claim in
        respect thereof is to be made against any indemnifying party under this Section
        7, deliver to the indemnifying party a written notice of the commencement
        thereof, and the indemnifying party shall have the right to participate in,
        and,
        to the extent the indemnifying party so desires, jointly with any other
        indemnifying party similarly noticed, to assume control of the defense thereof
        with counsel mutually satisfactory to the indemnifying party and the Indemnified
        Party; provided, however, that an Indemnified Party shall have the right
        to
        retain its own counsel with the fees and expenses of not more than one (1)
        counsel for all such Indemnified Parties to be paid by the indemnifying party,
        if, in the reasonable opinion of counsel retained by the indemnifying party,
        the
        representation by such counsel of the Indemnified Party and the indemnifying
        party would be inappropriate due to actual or potential differing interests
        between such Indemnified Party and any other party represented by such counsel
        in such proceeding. The Indemnified Party shall cooperate fully with the
        indemnifying party in connection with any negotiation or defense of any such
        action or claim by the indemnifying party and shall furnish to the indemnifying
        party all information reasonably available to the Indemnified Party which
        relates to such action or claim. The indemnifying party shall keep the
        Indemnified Party fully apprised at all times as to the status of the defense
        or
        any settlement negotiations with respect thereto. No indemnifying party shall
        be
        liable for any settlement of any action, claim or proceeding effected without
        its prior written consent; provided, however, that the indemnifying party
        shall
        not unreasonably withhold, delay or condition its consent. No indemnifying
        party
        shall, without the prior written consent of the Indemnified Party consent
        to
        entry of any judgment or enter into any settlement or other compromise which
        does not include as an unconditional term thereof the giving by the claimant
        or
        plaintiff to such Indemnified Party of a release from all liability in respect
        to such claim or litigation. Following indemnification as provided for
        hereunder, the indemnifying party shall be subrogated to all rights of the
        Indemnified Party with respect to all third parties, firms or corporations
        relating to the matter for which indemnification has been made. The failure
        to
        deliver written notice to the indemnifying party within a reasonable time
        of the
        commencement of any such action shall not relieve such indemnifying party
        of any
        liability to the Indemnified Party under this Section 7, except to the extent
        that the indemnifying party is prejudiced in its ability to defend such action.
        

      

      (d) Because
        by offering the Spot On Debentures (which are exchangeable for Dot VN Common
        Stock) Spot On may be deemed to be offering Dot VN equity securities, Dot
        VN
        shall defend, protect, indemnify and hold harmless Spot On and all of its
        officers, directors, managers, employees and agents (including, without
        limitation, those retained in connection with the transactions contemplated
        by
        this Agreement) (collectively, the “Spot
        On Indemnitees”)
        from
        and against any and all actions, causes of action, suits, claims, losses,
        costs,
        penalties, fees, liabilities and damages, and expenses in connection therewith
        (irrespective of whether any such Spot On Indemnitee is a party to the action
        for which indemnification hereunder is sought), and including reasonable
        attorneys’ fees and disbursements (the “Indemnified
        Liabilities”),
        incurred by the Spot On Indemnitees or any of them as a result of, or arising
        out of, or relating to (a) any misrepresentation or breach of any representation
        or warranty made by Dot VN in this Agreement, the Convertible Debentures,
        Warrants or the Investor Registration Rights Agreement or any other certificate,
        instrument or document contemplated hereby or thereby, (b) any breach of
        any
        covenant, agreement or obligation of Dot VN contained in this Agreement,
        or the
        Investor Registration Rights Agreement or any other certificate, instrument
        or
        document contemplated hereby or thereby, or (c) any cause of action, suit
        or
        claim brought or made against such Indemnitee and arising out of or resulting
        from the execution, delivery, performance or enforcement of this Agreement
        or
        any other instrument, document or agreement executed pursuant hereto by any
        of
        the parties hereto, or any transaction financed or to be financed in whole
        or in
        part, directly or indirectly, with the proceeds of the issuance of the
        Convertible Debentures and Warrants. To the extent that the foregoing
        undertaking by Dot NV may be unenforceable for any reason, Dot NV shall make
        the
        maximum contribution to the payment and satisfaction of each of the Indemnified
        Liabilities, which is permissible under applicable law. Section 7(c) shall
        apply
        to the indemnification obligation set forth in this Section 7(d), by treating
        the Spot On Indemnitees as if they were “Indemnified Parties.”

       

      
        
           

        

        
          11

          
            

          

        

        
           

        

      

       

      8. GOVERNING
        LAW: MISCELLANEOUS.

       

      (a) Governing
        Law.
        This
        Agreement shall be governed by and interpreted in accordance with the laws
        of
        the State of New York without regard to the principles of conflict of laws.
        The
        parties further agree that any action between them shall be heard in New
        York,
        New York, and expressly consent to the jurisdiction and venue of the Courts
        of
        New York, sitting in New York County and the United States District Court
        for
        the Southern District of New York sitting in New York, New York for the
        adjudication of any civil action asserted pursuant to this
        Paragraph.

       

      (b) Counterparts.
        This
        Agreement may be executed in two or more identical counterparts, all of which
        shall be considered one and the same agreement and shall become effective
        when
        counterparts have been signed by each party and delivered to the other party.
        In
        the event any signature page is delivered by facsimile transmission, the
        party
        using such means of delivery shall cause four (4) additional original executed
        signature pages to be physically delivered to the other party within five
        (5)
        days of the execution and delivery hereof.

       

      (c) Headings.
        The
        headings of this Agreement are for convenience of reference and shall not
        form
        part of, or affect the interpretation of, this Agreement.

       

      (d) Severability.
        If any
        provision of this Agreement shall be invalid or unenforceable in any
        jurisdiction, such invalidity or unenforceability shall not affect the validity
        or enforceability of the remainder of this Agreement in that jurisdiction
        or the
        validity or enforceability of any provision of this Agreement in any other
        jurisdiction.

       

      (e) Entire
        Agreement, Amendments.
        This
        Agreement supersedes all other prior oral or written agreements between the
        Buyer(s), the Company, their affiliates and persons acting on their behalf
        with
        respect to the matters discussed herein, and this Agreement and the instruments
        referenced herein contain the entire understanding of the parties with respect
        to the matters covered herein and therein and, except as specifically set
        forth
        herein or therein, neither the Company nor any Buyer makes any representation,
        warranty, covenant or undertaking with respect to such matters. No provision
        of
        this Agreement may be waived or amended other than by an instrument in writing
        signed by the party to be charged with enforcement.

       

      (f) Notices.
        Any
        notices, consents, waivers, or other communications required or permitted
        to be
        given under the terms of this Agreement must be in writing and will be deemed
        to
        have been delivered (i) upon receipt, when delivered personally; (ii) upon
        confirmation of receipt, when sent by facsimile; (iii) three (3) days after
        being sent by U.S. certified mail, return receipt requested, or (iv) one
        (1) day
        after deposit with a nationally recognized overnight delivery service, in
        each
        case properly addressed to the party to receive the same. The addresses and
        facsimile numbers for such communications shall be:

       

      
        	
                If
                  to Dot VN, to:

              	
                Dot
                  VN, Inc.

              
	 	
                9449
                  Balboa Avenue., Suite 114

              
	 	
                San
                  Diego, CA 92123

              
	 	
                Attention:
                  Thomas Johnson 

              
	 	
                Facsimile:
                  (858) 571-8497

              
	 	 
	
                With
                  a copy to:

              	
                Law
                  Offices of Thomas E. Puzzo, PLLC

              
	 	
                4216
                  NE 70th Street

              
	 	
                Seattle,
                  Washington 98115

              
	 	
                Attention:
                  Thomas E. Puzzo, Esq.

              
	 	
                Facsimile:
                  (206) 260-0111

              
	 	 
	
                If
                  to Spot On, to:

              	
                Spot
                  On Networks LLC

              
	 	
                55
                  Church Street

              
	 	
                New
                  Haven, CT 06510

              
	 	
                Attention:
                  Mr. Richard Sherwin

              
	 	
                Telephone:
                  203.523.5200 

              
	 	
                Facsimile:
                  203.773-1947

              

      

       

      
        
           

        

        
          12

          
            

          

        

        
           

        

      

       

      
        	 	 
	
                With
                  a copy to:

              	
                Friedman
                  Kaplan Seiler & Adelman LLP

              
	 	
                1633
                  Broadway

              
	 	
                New
                  York, New York 10019

              
	 	
                Attention:
                  Barry A. Adelman, Esq. 

              
	 	
                Telephone:
                  212.833.1107

              
	 	
                Facsimile:
                  212.833.1250

              

      

       

      If
        to the
        Buyer(s), to its address and facsimile number on Schedule I, with copies
        to the
        Buyer’s counsel as set forth on Schedule I. Each party shall provide five (5)
        days’ prior written notice to the other party of any change in address or
        facsimile number.

       

      (g) Successors
        and Assigns.
        This
        Agreement shall be binding upon and inure to the benefit of the parties and
        their respective successors and assigns. Neither the Company nor any Buyer
        shall
        assign this Agreement or any rights or obligations hereunder without the
        prior
        written consent of the other party hereto.

       

      (h) No
        Third Party Beneficiaries.
        This
        Agreement is intended for the benefit of the parties hereto and their respective
        permitted successors and assigns, and is not for the benefit of, nor may
        any
        provision hereof be enforced by, any other person.

       

      (i) Survival.
        Unless
        this Agreement is terminated under Section 9(l), the representations and
        warranties of each Company and the Buyer(s) contained in Sections 2 and 3,
        the
        agreements and covenants set forth in Sections 4, 5 and 8, and the
        indemnification provisions set forth in Section 7, shall survive the Closing
        for
        a period of two (2) years following the date on which the Convertible Debentures
        are converted in full. The Buyer(s) shall be responsible only for its own
        representations, warranties, agreements and covenants hereunder.

       

      (j) Publicity.
        Each
        Company and the Buyer(s) (by the majority thereof) shall have the right to
        approve, before issuance any press release or any other public statement
        with
        respect to the transactions contemplated hereby made by any party; provided,
        however, that the Company shall be entitled, without the prior approval of
        the
        Buyer(s), to issue any press release or other public disclosure with respect
        to
        such transactions required under applicable securities or other laws or
        regulations (each Company shall use its best efforts to consult the Buyer(s)
        in
        connection with any such press release or other public disclosure prior to
        its
        release and Buyer(s) shall be provided with a copy thereof upon release
        thereof).

       

      (k) Further
        Assurances.
        Each
        party shall do and perform, or cause to be done and performed, all such further
        acts and things, and shall execute and deliver all such other agreements,
        certificates, instruments and documents, as the other party may reasonably
        request in order to carry out the intent and accomplish the purposes of this
        Agreement and the consummation of the transactions contemplated
        hereby.

       

      (l) No
        Strict Construction.
        The
        language used in this Agreement will be deemed to be the language chosen
        by the
        parties to express their mutual intent, and no rules of strict construction
        will
        be applied against any party.

      

      [REMAINDER
        PAGE INTENTIONALLY LEFT BLANK]

      
        
           

        

        
          13

          
            

          

        

        
           

        

      

      

      IN
        WITNESS WHEREOF,
        the
        Buyers and each Company have caused this Securities Purchase Agreement to
        be
        duly executed as of the date first written above.

       

      

      
        	 	 
	 	
                DOT
                  VN, INC. 

              
	 	 
	 	
                By:

                
                  
      

              
	 	
                Name: Thomas
                  Johnson

              
	 	
                Title: Chief
                  Executive Officer

              
	 	 
	 	
                SPOT
                  -ON NETWORKS, LLC

              
	 	 
	 	 
	 	
                By:

                
                  
      

              
	 	
                Name:

                Title:

              

      

       

      
        
           

        

        
          14

          
            

          

        

        
           

        

      

       

      SCHEDULE
        I

       

      IN
        WITNESS WHEREOF, the undersigned have caused this Securities Purchase Agreement
        to be duly executed by their respective authorized signatories as of the
        date
        first indicated above.

       

      Name
        of
        Investing Entity or Person: __________________________

      Signature
        of Authorized Signatory of Investing Entity:
        __________________________

      Name
        of
        Authorized Signatory: _________________________

      Title
        of
        Authorized Signatory: __________________________

      Email
        Address of Authorized Signatory:________________________________

      Tax
        ID
        number of Investing Entity or
        Person:__________________________________

      

      Address
        for Notice of Investing Entity or Person:

       

      

      Address
        for Delivery of Securities for Investing Entity or Person (if not same as
        above):

      

       

      

      Subscription
        Amount:________________________________ 

      
        
           

        

        
          
          

          
            

          

        

        
           

        

      

       

      DISCLOSURE
        SCHEDULE

      

      Disclaimer:

      

      Dot
        VN,
        Inc. makes no representations with respect to the business or status of Spot
        On
        Networks, LLC. All representations, warranties and disclosures apply solely
        to
        Dot VN, Inc. 

      

      Specific
        Disclosures:

      

      Section
        3
        (a): Although not completed, Dot VN, Inc., a Delaware corporation is currently
        in the process of registering with the State of California as a foreign
        corporation doing business in California. Dot VN, Inc. anticipates that this
        process will be completed in the near term, which is a ministerial
        matter.

      

      Section
        3
        (c): 

      

      (i)
        The
        outstanding options are as follows:

       

      Thomas
        Johnson

       

      
        	
                Date
                  Vested

              	 	
                Expiration
                  Date

              	 	
                #
                  Available

              	 	
                Exercise
                  Price

              
	
                10/01/06

              	 	
                08/01/16
                  1,200,000

              	 	
                $0.50/share

              	 	 
	
                10/01/07

              	 	
                08/01/17
                  1,200,000

              	 	
                $0.50/share

              	 	 
	
                10/01/08

              	 	
                08/01/18
                  1,200,000

              	 	
                $0.50/share

              	 	 

      

       

      Lee
        Johnson

       

      
        	
                Date
                  Vested

              	 	
                Expiration
                  Date

              	 	
                #
                  Available

              	 	
                Exercise
                  Price

              
	
                10/01/06

              	 	
                08/01/16
                  1,200,000

              	 	
                $0.50/share

              	 	 
	
                10/01/07

              	 	
                08/01/17
                  1,200,000

              	 	
                $0.50/share

              	 	 
	
                10/01/08

              	 	
                08/01/18
                  1,200,000

              	 	
                $0.50/share

              	 	 

      

       

      Louis
        P. Huynh

       

      
        	
                Date
                  Vested

              	 	
                Expiration
                  Date

              	 	
                #
                  Available

              	 	
                Exercise
                  Price

              
	
                10/09/06

              	 	
                10/09/16
                  100,000

              	 	
                $0.50/share

              	 	 
	
                10/09/07

              	 	
                10/09/17
                  100,000

              	 	
                $0.50/share

              	 	 
	
                10/09/08

              	 	
                10/09/18
                  100,000

              	 	
                $0.50/share

              	 	 

      

       

      Ngoc
        Anh Ung

       

      
        	
                Date
                  Vested

              	 	
                Expiration
                  Date

              	 	
                #
                  Available

              	 	
                Exercise
                  Price

              
	
                10/09/06

              	 	
                10/09/16
                  50,000

              	 	
                $0.50/share

              	 	 
	
                10/09/07

              	 	
                10/09/17
                  50,000

              	 	
                $0.50/share

              	 	 
	
                10/09/08

              	 	
                10/09/18
                  50,000

              	 	
                $0.50/share

              	 	 

      

       

      
        
           

        

        
          2

          
            

          

        

        
           

        

         

      

      (ii)
        The
        outstanding warrants are as follows:

       

      Montaque
        Securities, 2,100,000 exercisable at $2.00 until 9/1/2009

       

      Ron
        McKown, 3,000,000 exercisable at $2.00 until 9/1/2009

       

      Sausalito
        Capital Partners, 250,000 exercisable at $2.00 until 7/18/08

       

      Sausalito
        Capital Partners, 250,000 exercisable at $3.00 until 7/18/08

       

      Pali
        Capital, 500,000 exercisable at $0.001 until 11/17/11

       

      (1)
        Additionally, certain warrants have been issued by Dot VN, pursuant to one
        or
        more agreements substantially similar to the Agreement, and are outstanding.
        Dot
        VN may from time to time issue additional warrants pursuant to one or more
        agreements substantially similar to the Agreement. 

       

      (iii)
        The
        outstanding debt securities are as follows:

       

      Hi-Tek,
        Inc., $360,000.00 convertible at $1.00, 2 year term

       

      (1)
        Additionally, certain convertible debentures have been issued by Dot VN,
        pursuant to one or more agreements substantially similar to the Agreement,
        and
        are outstanding. Dot VN may from time to time issue additional convertible
        debentures pursuant to one or more agreements substantially similar to the
        Agreement. 

       

      Section
        3
        (o): Currently, Dot VN, Inc. carries all insurances required by law, including
        workers compensation and general business insurance. However, Dot VN, Inc.
        does
        not have directors and officers insurance but intends to use a portion of
        the
        proceeds of the investment to acquire such insurance.

      

      Section
        3
        (s): As of January 5, 2007, in connection with a recent merger, Dot VN, Inc.
        a
        Delaware corporation has not filed its 2006 tax returns, further the Dot
        VN,
        Inc. is attempting to ascertain what if any taxes have been paid previously
        prior to change of control and what, if any, tax liabilities exist. However,
        based on the information available to Dot VN, which indicate losses, it
        anticipates that it will only be subject to minimum state and federal tax.
        As of
        January 5, 2007, Dot VN, Inc. a California corporation, and a wholly owned
        subsidiary of Dot VN, Inc., a Delaware corporation, has not filed its 2005
        tax
        returns, however since it has posted losses for the relevant periods, it
        anticipates that it will only be subject to minimum state and federal tax.
        

      
        
           

        

        
          3

          
            

          

        

        
           

        

      

      Spot-On
        Disclosure Schedule

      

      This
        Disclosure Schedule has been prepared and delivered in accordance with the
        Securities Purchase Agreement to which this Disclosure Schedule is annexed
        (the
“Agreement”) by and among Spot-On Networks, LLC (“Spot-On”), Dot VN, Inc. (“Dot
        VN”) and the buyers listed on Schedule I to the Agreement.

      

      Certain
        agreements and other matters are listed in this Disclosure Schedule for
        informational purposes only, do not necessarily include all matters of a
        similar
        nature and shall not be taken as an admission by Spot-On that such disclosures
        are required under, interpretive of, or responsive to any representations
        and
        warranties contained in the Agreement. Nothing contained in this Disclosure
        Schedule shall constitute or be deemed an admission of liability by Spot-On
        or
        any of its subsidiaries. The disclosure of any agreement or other matter
        in this
        Disclosure Schedule does not evidence a determination by Spot-On that such
        disclosure rises above any applicable materiality thresholds. The section
        references included in this Disclosure Schedule refer to sections of the
        Agreement and any matter listed under one section of this Disclosure Schedule
        shall be deemed to be disclosed for purposes of all other representations
        and
        warranties. Certain items in this Disclosure Schedule include brief descriptions
        of certain agreements and obligations to which Spot-On is a party and certain
        aspects of the assets, business or condition of Spot-On and its subsidiaries;
        such descriptions are necessarily not complete.

      

      Spot-On
        makes no representations or warranties with respect to Dot VN or its
        subsidiaries, including without limitation, as to the business or status
        of Dot
        VN or its subsidiaries. All representations, warranties and disclosures apply
        solely to Spot-On and are being made solely by Spot-On and not any other
        person
        or entity.

      

      Terms
        defined in the Agreement and not otherwise defined in this Disclosure Schedule
        are used herein as defined in the Agreement. 

      

      Section
        3(a):

       

      
        	·	
                Spot-On
                  is in the process of reviewing the jurisdictions where is conducts
                  business and qualification in certain additional jurisdictions
                  may be
                  required.

              

      

       

      Section
        3(c):

      Warrants

       

      
        	·	
                As
                  of January 16, 2007, Warrants to purchase 473,219 Membership Interests
                  were outstanding. 

              

      

       

      Debt
        Securities/Convertible Debt Securities

       

      
        	·	
                On
                  January 16, 2007, Promissory Notes of $2,466,925.88 (the “Notes”), in
                  aggregate principal amount (plus accrued and unpaid interest thereon)
                  made
                  by Spot-On in favor of certain Members and one other lender, including
                  the
                  “December Notes” (as hereinafter defined), were outstanding. Members may
                  make additional loans from time to time to cover Spot-On’s working capital
                  or capital expenditure needs. Notes of $2,060,256.88 in aggregate
                  principal amount provide that, in the event Spot-On receives net
                  proceeds
                  of not less than $7.1 million in a private placement of equity
                  interests
                  issued by Spot-On, the holder of such Note has the right to convert
                  all or
                  a portion of the outstanding amounts thereunder into the same class
                  of
                  equity interests of Spot-On acquired by, and at the same price
                  per
                  interest paid by, the investors in such private placement. Spot-On
                  was
                  informed in writing by electronic email by holders of Notes constituting
                  $24,604.93, in aggregate principal amount which matured on December
                  31,
                  2006 (the “December Notes”)), that the applicable holder intended to
                  exchange outstanding amounts due under its Notes into Membership
                  Interests
                  pursuant to an exchange offer conducted by Spot-On in which such
                  holder
                  was offered the right to exchange each $1 of outstanding amounts
                  under the
                  Notes into 1 Unit (the “Exchange Offer”). Spot-On has not yet received the
                  documentation effecting the exchange from the these holders and,
                  therefore, these Notes remain
                  outstanding.

              

      

       

      
        	·	
                Promissory
                  Notes of $1,000,000, in aggregate principal amount (plus accrued
                  and
                  unpaid interest thereon) made by Spot-On in favor the Bank of Southern
                  Connecticut (the “Bank”) are outstanding which evidence loans made by the
                  Bank to the Company under its secured loan facility with the
                  Bank.

              

      

       

      
        
           

        

        
          4

          
            

          

        

        
           

        

      

       

      
        	·	
                Convertible
                  debentures have been issued by Spot-On, pursuant to one or more
                  agreements
                  substantially similar to the Agreement, and are outstanding. Spot-On
                  may
                  from time to time issue additional convertible debentures pursuant
                  to one
                  or more agreements substantially similar to the Agreement.
                  

              

      

       

      Preemptive
        Rights

       

      
        	·	
                Under
                  Spot-On’s Limited Liability Company Agreement, dated May 23, 2003, as
                  amended (the “LLC Agreement”), members of Spot-On (the “Members”) have
                  preemptive right on issuances of Membership Interests or other
                  equity
                  interests issued by Spot-On (including securities convertible or
                  exchangeable for, or options or warrants to purchase, Membership
                  Interests
                  or equity interests issued by Spot-On) and on loans made to Spot-On
                  by
                  Members.

              

      

       

      Section
        3(e):

       

      
        	·	
                Spot-On
                  has not paid the amounts outstanding under the December Notes which
                  matured on December 31, 2006. The holders of the December Notes
                  informed
                  Spot-On in writing by electronic email that they intended to exchange
                  December Notes in the Exchange Offer. Spot-On has not yet received
                  the
                  documentation effecting the exchange from the these holders and,
                  therefore, the December Notes remain
                  outstanding.

              

      

       

      
        	·	
                The
                  consent of the Bank is required for Spot-On to incur, and become
                  liable
                  for, the indebtedness evidenced by the Convertible Debentures and
                  for the
                  creation of the security interest in Spot-On’s assets contemplated by the
                  Securities Purchase Agreement and the documents related
                  thereto.

              

      

       

      
        	·	
                A
                  notice to the members of Spot On advising them of their pre-emptive
                  rights, together with a memo describing all of the essential terms
                  of the
                  proposed transaction, was sent to all of the Spot On members on
                  January
                  11, 2007. Pursuant to the terms of the Spot On LLC Agreement, the
                  members
                  have 10 days after the giving of the pre-emptive rights notice
                  to exercise
                  their pre-emptive rights. If a member fails to timely exercise
                  such
                  rights, Spot On may consummate the transaction(s) that were the
                  subject of
                  the pre-emptive rights notice during a period of 60 after the expiration
                  of the notice period. In addition, Spot On is in the process of
                  obtaining
                  waivers from its members of their pre-emptive rights relating to
                  the
                  contemplated transaction.

              

      

       

      Section
        3(g) and Section 3.1(k):

       

      
        	·	
                Spot-On
                  has from time to time had claims filed against it by former employees.
                  Currently, a claim is pending against Spot-On by a former employee
                  of
                  Spot-On for breach of his employment
                  contract.

              

      

       

      Section
        3(o):

       

      
        	·	
                Neither
                  Spot-On nor its subsidiaries carry directors and officers liability
                  insurance, errors and
                  omissions insurance, or professional liability insurance.
                  

              

      

       

      Section
        3(q):

       

      
        	·	
                Although
                  neither Spot-On nor its subsidiaries maintain a system of internal
                  accounting controls, Spot-On has implemented certain procedures
                  which,
                  management believes, provide Spot-on with
                  reasonable assurance that (i) transactions are executed in accordance
                  with
                  management’s general or specific authorizations, and (ii) transactions are
                  recorded as necessary to permit preparation of financial statements
                  in
                  conformity with generally accepted accounting principles and to
                  maintain
                  asset accountability. Spot-On is currently in the process of comparing
                  the
                  recorded amounts for its assets with its existing assets and intends
                  to
                  take what it deems to be appropriate action with respect to any
                  differences. This process was last undertaken and completed in
                  2005.

              

      

       

      Section
        3(r):

       

      
        	·	
                Spot-On
                  has not paid the amounts outstanding under the December Notes which
                  matured on December 31, 2006. The holders of the December Notes
                  informed
                  Spot-On in writing by electronic email that they intended to exchange
                  December Notes in the Exchange Offer. Spot-On has not yet received
                  the
                  documentation effecting the exchange from the these holders and,
                  therefore, the December Notes remain
                  outstanding.

              

      

       

      
        
           

        

        
          5

          
            

          

        

        
           

        

      

       

      Section
        3(s):

       

      
        	·	
                Spot-On
                  and its subsidiaries have accrued and unpaid sales taxes which
                  Spot-On has
                  estimated to be approximately $100,000, in aggregate. Spot-On has
                  engaged
                  a tax consultant to determine the actual amount of sales taxes
                  due and
                  payable.

              

      

       

      Section
        3(t):

       

      
        	·	
                As
                  of January 16, 2007, Notes of $1,571,048.02 in aggregate principal
                  made by
                  Spot-On in favor of certain Managers were
                  outstanding.

              

      

       

      Section
        3(u):

       

      
        	·	
                Under
                  the LLC Agreement, Members have preemptive rights on issuances
                  of
                  Membership Interests or other equity interests in Spot-On (including
                  securities convertible or exchangeable for, or options or warrants
                  to
                  purchase, Membership Interests or equity interests in Spot-On)
                  and on
                  loans made to Spot-On by Members.

              

      

       

      
        
           

        

        
          6EXHIBIT
      4.4

     

    INVESTOR
      REGISTRATION RIGHTS AGREEMENT

     

    THIS
      REGISTRATION RIGHTS AGREEMENT
      (this
“Agreement”),
      dated
      as of January __, 2007, by and among Dot
      VN, INC.,
      a
      Delaware corporation (the “Company”),
      and
      the undersigned investors listed on Schedule I attached hereto (each, an
“Investor”
and
      collectively, the “Investors”).

     

    WHEREAS:

     

    A. In
      connection with the Securities Purchase Agreement by and among the parties
      hereto and Spot-On Networks, LLC (“Spot-On”) of even date herewith (the
“Securities
      Purchase Agreement”),
      the
      Company and Spot-On have agreed, upon the terms and subject to the conditions
      of
      the Securities Purchase Agreement, to issue and sell to the Investors secured
      convertible debentures (the “Convertible
      Debentures”)
      which
      shall be convertible or exchangeable into of shares of the Company’s common
      stock, par value $0.001 per share (the “Common
      Stock”),
      pursuant to the terms of the Securities Purchase Agreement for an aggregate
      purchase price of up to Ten Million Dollars ($10,000,000). Capitalized
      terms not defined herein shall have the meaning ascribed to them in the
      Securities Purchase Agreement.

     

    B. To
      induce
      the Investors to execute and deliver the Securities Purchase Agreement, the
      Company has agreed to provide certain registration rights under the Securities
      Act of 1933, as amended, and the rules and regulations thereunder, or any
      similar successor statute (collectively, the “Securities
      Act”),
      and
      applicable state securities laws.

     

    NOW,
      THEREFORE,
      in
      consideration of the premises and the mutual covenants contained herein and
      other good and valuable consideration, the receipt and sufficiency of which
      are
      hereby acknowledged, the Company and the Investors hereby agree as
      follows:

     

    1. DEFINITIONS.

     

    As
      used
      in this Agreement, the following terms shall have the following
      meanings:

     

    (a) “Person”
means
      a
      corporation, a limited liability company, an association, a partnership, an
      organization, a business, an individual, a governmental or political subdivision
      thereof or a governmental agency.

     

    (b) “Register,”
      “registered,”
and
      “registration”
refer
      to a registration effected by preparing and filing one or more Registration
      Statements (as defined below) in compliance with the Securities Act and pursuant
      to Rule 415 under the Securities Act or any successor rule providing for
      offering securities on a continuous or delayed basis (“Rule
      415”),
      and
      the declaration or ordering of effectiveness of such Registration Statement(s)
      by the United States Securities and Exchange Commission (the “SEC”).

     

    (c) “Registrable
      Securities”
means
      the shares of Common Stock issuable to the Investors upon conversion of the
      Convertible Debentures issued by the Company pursuant to the Securities Purchase
      Agreement and the Warrant Shares, as these terms are defined in the Securities
      Purchase Agreement, or upon exchange of the Convertible Debentures issued by
      Spot-On pursuant to the Securities Purchase Agreement..

     

    (d) “Registration
      Statement”
means
      a
      registration statement under the Securities Act which covers the Registrable
      Securities.

     

    2. REGISTRATION.

     

    Subject
      to the terms and conditions of this Agreement, the Company shall prepare and
      file, no later than the earlier of (i) forty-five (45) days from the final
      closing date of financings subsequent to the securities which are the subject
      hereof and which are sold by the Company for aggregate proceeds of at least
      $3,000,000, or (ii) August 15, 2007 (the “Scheduled
      Filing Deadline”),
      with
      the SEC a registration statement on Form S-1 or SB-2 (or, if the Company is
      then
      eligible, on Form S-3) under the Securities Act (the “Initial
      Registration Statement”)
      for
      the resale by the Investors of the Registrable Securities, which includes at
      least 100% of the shares of Common Stock to be issued upon conversion of the
      Convertible Debentures and exercise of the Warrants including Warrants issued
      to
      the placement agent in the offering, (or such lesser number of shares issuable
      upon exercise of Warrants if Warrants have been exercised prior to the filing
      date of the Initial Registration Statement). The Company shall cause the
      Registration Statement to remain effective until all of the Registrable
      Securities have been sold or are eligible for sale under Rule 144(k).
      Notwithstanding the foregoing, if 100% of the Registrable Securities shall
      equal
      or exceed 30% of the issued and outstanding common stock of the Company (less
      any shares of common stock held by affiliates of the Company) on the actual
      filing date of the initial registration statement, the initial registration
      statement shall register a number of shares of common stock which is equal
      to
      30% of the issued and outstanding shares of common stock of the Company (less
      any shares of common stock held by affiliates of the company) on such actual
      filing date minus 10,000 shares of common stock, and the remaining Registrable
      Securities shall be included on a subsequent registration statement. Prior
      to
      the filing of the Registration Statement with the SEC, the Company shall furnish
      a copy of the Initial Registration Statement to the Investors for their review
      and comment. The Investors shall furnish comments on the Initial Registration
      Statement to the Company within twenty-four (24) hours of the receipt thereof
      from the Company.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (a) Effectiveness
      of the Initial Registration Statement.
      The
      Company shall use its best efforts (i) to have the Initial Registration
      Statement declared effective by the SEC no later than one hundred twenty (120)
      days from the Scheduled Filing Deadline, and (ii) to insure that the Initial
      Registration Statement and any subsequent Registration Statement remains in
      effect until all of the Registrable Securities have been sold or are eligible
      for sale under Rule 144 (k), subject to the terms and conditions of this
      Agreement.

     

    (b) Failure
      to File or Obtain Effectiveness of the Registration Statement.
      In the
      event the Registration Statement is not filed by the Scheduled Filing Deadline
      or is not declared effective by the SEC on or before the Scheduled Effective
      Date, or if after the Registration Statement has been declared effective by
      the
      SEC, sales cannot be made pursuant to the Registration Statement (whether
      because of a failure to keep the Registration Statement effective, failure
      to
      disclose such information as is necessary for sales to be made pursuant to
      the
      Registration Statement, failure to register sufficient shares of Common Stock
      or
      otherwise), provided that if the Company shall have notified the holders to
      suspend use of the Registration Statement for a reason other than failure to
      register sufficient shares, this Section 2 (b) shall not be operative unless
      sales cannot be so made for more than 30 trading days in any 12 month period,
      then as partial relief for the damages to any (each such suspension a “Trading
      Suspension”) holder of Registrable Securities by reason of any such delay in or
      reduction of its ability to sell the underlying shares of Common Stock (which
      remedy shall not be exclusive of any other remedies at law or in equity), the
      Company will pay as liquidated damages (the “Liquidated
      Damages”)
      to the
      holder, at the holder’s option, either a cash amount or shares of the Company’s
      Common Stock within three (3) business days, after demand therefore, equal
      to
      one percent (1%) of the liquidated value of the Convertible Debentures
      outstanding as Liquidated Damages for each thirty (30) day period after the
      Scheduled Filing Deadline or the Scheduled Effective Date as the case may be.
      Notwithstanding anything herein to the contrary, in no event shall the Company
      pay Liquidated Damages in excess of ten (10) months. In the event the Holder
      shall elect to receive shares of the Company’s Common Stock in payment of the
      liquidated damages, such shares shall be valued at $1.00 per share. Each holder
      agrees to maintain in confidence the giving of a suspension notice by the
      Company and any information contained therein until the expiration of the
      Trading Suspension.

     

    (c) Liquidated
      Damages.
      The
      Company and the Investor hereto acknowledge and agree that the sums payable
      under subsection 2(c) above shall constitute liquidated damages and not
      penalties and are in addition to all other rights of the Investor, including
      the
      right to call a default. The parties further acknowledge that (i) the amount
      of
      loss or damages likely to be incurred is incapable or is difficult to precisely
      estimate, (ii) the amounts specified in such subsections bear a reasonable
      relationship to, and are not plainly or grossly disproportionate to, the
      probable loss likely to be incurred in connection with any failure by the
      Company to obtain or maintain the effectiveness of a Registration Statement,
      (iii) one of the reasons for the Company and the Investor reaching an agreement
      as to such amounts was the uncertainty and cost of litigation regarding the
      question of actual damages, and (iv) the Company and the Investor are
      sophisticated business parties and have been represented by sophisticated and
      able legal counsel and negotiated this Agreement at arm’s length. 

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    3. RELATED
      OBLIGATIONS.

     

    (a) Subject
      to the provisions of Section 2(b), the Company shall keep the Registration
      Statement effective pursuant to Rule 415 at all times until the date on
      which the Investor shall have sold all the Registrable Securities covered by
      such Registration Statement (the “Registration
      Period”),
      which
      Registration Statement or they are eligible for sale under Rule 144 (k)
      (including any amendments or supplements thereto and prospectuses contained
      therein) shall not contain any untrue statement of a material fact or omit
      to
      state a material fact required to be stated therein, or necessary to make the
      statements therein, in light of the circumstances in which they were made,
      not
      misleading.

     

    (b) The
      Company shall prepare and file with the SEC such amendments (including
      post-effective amendments) and supplements to a Registration Statement and
      the
      prospectus used in connection with such Registration Statement, which prospectus
      is to be filed pursuant to Rule 424 promulgated under the Securities Act, as
      may
      be necessary to keep such Registration Statement effective at all times during
      the Registration Period, and, during such period, comply with the provisions
      of
      the Securities Act with respect to the disposition of all Registrable Securities
      of the Company covered by such Registration Statement until such time as all
      of
      such Registrable Securities shall have been disposed of in accordance with
      the
      intended methods of disposition by the seller or sellers thereof as set forth
      in
      such Registration Statement. In the case of amendments and supplements to a
      Registration Statement which are required to be filed pursuant to this Agreement
      (including pursuant to this Section 3(b)) by reason of the Company’s filing a
      report on Form 10-KSB, Form 10-QSB or Form 8-K or any analogous report under
      the
      Securities Exchange Act of 1934, as amended (the “Exchange
      Act”),
      the
      Company shall incorporate such report by reference into the Registration
      Statement, if applicable, or shall file such amendments or supplements with
      the
      SEC on the same day on which the Exchange Act report is filed which created
      the
      requirement for the Company to amend or supplement the Registration Statement.
      

     

    (c) The
      Company shall furnish to each Investor whose Registrable Securities are included
      in any Registration Statement, without charge, (i) at least one (1) copy of
      such
      Registration Statement as declared effective by the SEC and any amendment(s)
      thereto, including financial statements and schedules, all documents
      incorporated therein by reference, all exhibits and each preliminary prospectus,
      (ii) ten (10) copies of the final prospectus included in such Registration
      Statement and all amendments and supplements thereto (or such other number
      of
      copies as such Investor may reasonably request) and (iii) such other documents
      as such Investor may reasonably request from time to time in order to facilitate
      the disposition of the Registrable Securities owned by such
      Investor.

     

    (d) The
      Company shall use its best efforts to (i) register and qualify the Registrable
      Securities covered by a Registration Statement under such other securities
      or
“blue sky” laws of such jurisdictions in the United States as any Investor
      reasonably requests, (ii) prepare and file in those jurisdictions, such
      amendments (including post-effective amendments) and supplements to such
      registrations and qualifications as may be necessary to maintain the
      effectiveness thereof during the Registration Period, (iii) take such other
      actions as may be necessary to maintain such registrations and qualifications
      in
      effect at all times during the Registration Period, and (iv) take all other
      actions reasonably necessary or advisable to qualify the Registrable Securities
      for sale in such jurisdictions; provided, however, that the Company shall not
      be
      required in connection therewith or as a condition thereto to (w) make any
      change to its articles of incorporation or by-laws, (x) qualify to do business
      in any jurisdiction where it would not otherwise be required to qualify but
      for
      this Section 3(d), (y) subject itself to general taxation in any such
      jurisdiction, or (z) file a general consent to service of process in any such
      jurisdiction. The Company shall promptly notify each Investor who holds
      Registrable Securities of the receipt by the Company of any notification with
      respect to the suspension of the registration or qualification of any of the
      Registrable Securities for sale under the securities or “blue sky” laws of any
      jurisdiction in the United States or its receipt of actual notice of the
      initiation or threat of any proceeding for such purpose.

     

    (e) As
      promptly as practicable after becoming aware of such event or development,
      the
      Company shall notify each Investor in writing of the happening of any event
      as a
      result of which the prospectus included in a Registration Statement, as then
      in
      effect, includes an untrue statement of a material fact or omission to state
      a
      material fact required to be stated therein or necessary to make the statements
      therein, in light of the circumstances under which they were made, not
      misleading (provided that in no event shall such notice contain any material,
      nonpublic information), and (subject to the right to suspend use for up to
      30
      trading days in any 12 month period referenced in Section 2(b)) promptly prepare
      a supplement or amendment to such Registration Statement to correct such untrue
      statement or omission, and deliver ten (10) copies of such supplement or
      amendment to each Investor. The Company shall also promptly notify each Investor
      in writing (i) when a prospectus or any prospectus supplement or post-effective
      amendment has been filed, and when a Registration Statement or any
      post-effective amendment has become effective (notification of such
      effectiveness shall be delivered to each Investor by facsimile on the same
      day
      of such effectiveness), (ii) of any request by the SEC for amendments or
      supplements to a Registration Statement or related prospectus or related
      information, and (iii) of the Company’s reasonable determination that a
      post-effective amendment to a Registration Statement would be
      appropriate.

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    (f) The
      Company shall use its best efforts to prevent the issuance of any stop order
      or
      other suspension of effectiveness of a Registration Statement, or the suspension
      of the qualification of any of the Registrable Securities for sale in any
      jurisdiction within the United States of America and, if such an order or
      suspension is issued, to obtain the withdrawal of such order or suspension
      at
      the earliest possible moment and to notify each Investor who holds Registrable
      Securities being sold of the issuance of such order and the resolution thereof
      or its receipt of actual notice of the initiation or threat of any proceeding
      for such purpose.

     

    (g) At
      the
      reasonable request of any Investor in connection with an underwritten offering,
      the Company shall furnish to such Investor, on the date of the effectiveness
      of
      the Registration Statement and thereafter from time to time on such dates as
      an
      Investor may reasonably request (i) a letter, dated such date, from the
      Company’s independent certified public accountants in form and substance as is
      customarily given by independent certified public accountants to underwriters
      in
      an underwritten public offering, and (ii) an opinion, dated as of such date,
      of
      counsel representing the Company for purposes of such Registration Statement,
      in
      form, scope and substance as is customarily given in an underwritten public
      offering, addressed to the Investors.

     

    (h) The
      Company shall make available for inspection by (i) any Investor and
      (ii) one (1) firm of accountants or other agents retained by the Investors
      at their expense (collectively, the “Inspectors”)
      all
      pertinent financial and other records, and pertinent corporate documents and
      properties of the Company (collectively, the “Records”),
      as
      shall be reasonably deemed necessary by each Inspector, and cause the Company’s
      officers, directors and employees to supply all information which any Inspector
      may reasonably request; provided, however, that each Inspector shall agree,
      and
      each Investor hereby agrees, to hold in strict confidence and shall not make
      any
      disclosure (except to an Investor) or use any Record or other information which
      the Company determines in good faith to be confidential, and of which
      determination the Inspectors are so notified, unless (a) the disclosure of
      such
      Records is necessary to avoid or correct a misstatement or omission in any
      Registration Statement or is otherwise required under the Securities Act, (b)
      the release of such Records is ordered pursuant to a final, non-appealable
      subpoena or order from a court or government body of competent jurisdiction,
      or
      (c) the information in such Records has been made generally available to the
      public other than by disclosure in violation of this or any other agreement
      of
      which the Inspector and the Investor has knowledge. Each Investor agrees that
      it
      shall, upon learning that disclosure of such Records is sought in or by a court
      or governmental body of competent jurisdiction or through other means, give
      prompt notice to the Company and allow the Company, at its expense, to undertake
      appropriate action to prevent disclosure of, or to obtain a protective order
      for, the Records deemed confidential.

     

    (i) The
      Company shall hold in confidence and not make any disclosure of information
      concerning an Investor provided to the Company unless (i) disclosure of such
      information is necessary to comply with federal or state securities laws, (ii)
      the disclosure of such information is necessary to avoid or correct a
      misstatement or omission in any Registration Statement, (iii) the release of
      such information is ordered pursuant to a subpoena or other final,
      non-appealable order from a court or governmental body of competent
      jurisdiction, or (iv) such information has been made generally available to
      the
      public other than by disclosure in violation of this Agreement or any other
      agreement. The Company agrees that it shall, upon learning that disclosure
      of
      such information concerning an Investor is sought in or by a court or
      governmental body of competent jurisdiction or through other means, give prompt
      written notice to such Investor and allow such Investor, at the Investor’s
      expense, to undertake appropriate action to prevent disclosure of, or to obtain
      a protective order for, such information.

     

    (j) The
      Company shall use its best efforts either to cause all the Registrable
      Securities covered by a Registration Statement (i) to be listed on each
      securities exchange on which securities of the same class or series issued
      by
      the Company are then listed, if any, if the listing of such Registrable
      Securities is then permitted under the rules of such exchange or (ii) the
      inclusion for quotation on the National Association of Securities Dealers,
      Inc.
      OTC Bulletin Board for such Registrable Securities. The Company shall pay all
      fees and expenses in connection with satisfying its obligation under this
      Section 3(j).

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    (k) The
      Company shall cooperate with the Investors who hold Registrable Securities
      being
      offered and, to the extent applicable, to facilitate the timely preparation
      and
      delivery of certificates (not bearing any restrictive legend) representing
      the
      Registrable Securities to be offered pursuant to a Registration Statement and
      enable such certificates to be in such denominations or amounts, as the case
      may
      be, as the Investors may reasonably request and registered in such names as
      the
      Investors may request.

     

    (l) The
      Company shall use its best efforts to cause the Registrable Securities covered
      by the applicable Registration Statement to be registered with or approved
      by
      such other governmental agencies or authorities as may be necessary to
      consummate the disposition of such Registrable Securities.

     

    (m) The
      Company shall make generally available to its security holders as soon as
      practical, but not later than ninety (90) days after the close of the period
      covered thereby, an earnings statement (in form complying with the provisions
      of
      Rule 158 under the Securities Act) covering a twelve (12) month period beginning
      not later than the first day of the Company’s fiscal quarter next following the
      effective date of the Registration Statement.

     

    (n) The
      Company shall otherwise use its best efforts to comply with all applicable
      rules
      and regulations of the SEC in connection with any registration
      hereunder.

     

    (o) Within
      two (2) business days after a Registration Statement which covers Registrable
      Securities is declared effective by the SEC, the Company shall cause legal
      counsel for the Company to deliver, to the transfer agent for such Registrable
      Securities (with copies to the Investors whose Registrable Securities are
      included in such Registration Statement) a legal opinion regarding the sale
      of
      the Regsitrable Securities without restriction.

     

    (p) The
      Company shall take all other reasonable actions necessary to expedite and
      facilitate disposition by the Investors of Registrable Securities pursuant
      to a
      Registration Statement.

     

    4. OBLIGATIONS
      OF THE INVESTORS.

     

    Each
      Investor agrees that, upon receipt of any notice from the Company of the
      happening of any event of the kind described in Section 3(f) or the first
      sentence of 3(e), such Investor will immediately discontinue disposition of
      Registrable Securities pursuant to any Registration Statement(s) covering such
      Registrable Securities until such Investor’s receipt of the copies of the
      supplemented or amended prospectus contemplated by Section 3(e) or receipt
      of
      notice that no supplement or amendment is required. Notwithstanding anything
      to
      the contrary, the Company shall cause its transfer agent to deliver unlegended
      certificates for shares of Common Stock to a transferee of an Investor in
      accordance with the terms of the Securities Purchase Agreement in connection
      with any sale of Registrable Securities with respect to which an Investor has
      entered into a contract for sale prior to the Investor’s receipt of a notice
      from the Company of the happening of any event of the kind described in Section
      3(f) or the first sentence of 3(e) and for which the Investor has not yet
      settled.

     

    5. EXPENSES
      OF REGISTRATION.

     

    All
      expenses incurred in connection with registrations, filings or qualifications
      pursuant to Sections 2 and 3, including, without limitation, all registration,
      listing and qualifications fees, printers, legal and accounting fees shall
      be
      paid by the Company. 

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    6. INDEMNIFICATION.

     

    With
      respect to Registrable Securities which are included in a Registration Statement
      under this Agreement:

     

    (a) To
      the
      fullest extent permitted by law, the Company will, and hereby does, indemnify,
      hold harmless and defend each Investor, the directors, officers, partners,
      employees, agents, representatives of, and each Person, if any, who controls
      any
      Investor within the meaning of the Securities Act or the Exchange Act (each,
      an
“Indemnified
      Person”),
      against any losses, claims, damages, liabilities, judgments, fines, penalties,
      charges, costs, reasonable attorneys’ fees, amounts paid in settlement or
      expenses, joint or several (collectively, “Claims”)
      incurred in investigating, preparing or defending any action, claim, suit,
      inquiry, proceeding, investigation or appeal taken from the foregoing by or
      before any court or governmental, administrative or other regulatory agency,
      body or the SEC, whether pending or threatened, whether or not an indemnified
      party is or may be a party thereto (“Indemnified
      Damages”),
      to
      which any of them may become subject insofar as such Claims (or actions or
      proceedings, whether commenced or threatened, in respect thereof) arise out
      of
      or are based upon: (i) any untrue statement or alleged untrue statement of
      a
      material fact in a Registration Statement or any post-effective amendment
      thereto or in any filing made in connection with the qualification of the
      offering under the securities or other “blue sky” laws of any jurisdiction in
      which Registrable Securities are offered (“Blue
      Sky Filing”),
      or
      the omission or alleged omission to state a material fact required to be stated
      therein or necessary to make the statements therein not misleading; (ii) any
      untrue statement or alleged untrue statement of a material fact contained in
      any
      final prospectus (as amended or supplemented, if the Company files any amendment
      thereof or supplement thereto with the SEC) or the omission or alleged omission
      to state therein any material fact necessary to make the statements made
      therein, in light of the circumstances under which the statements therein were
      made, not misleading; or (iii) any violation or alleged violation by the Company
      of the Securities Act, the Exchange Act, any other law, including, without
      limitation, any state securities law, or any rule or regulation there under
      relating to the offer or sale of the Registrable Securities pursuant to a
      Registration Statement (the matters in the foregoing clauses (i) through (iii)
      being, collectively, “Violations”).
      The
      Company shall reimburse the Investors and each such controlling person promptly
      as such expenses are incurred and are due and payable, for any legal fees or
      disbursements or other reasonable expenses incurred by them in connection with
      investigating or defending any such Claim. Notwithstanding anything to the
      contrary contained herein, the indemnification agreement contained in this
      Section 6(a): (x) shall not apply to a Claim by an Indemnified Person arising
      out of or based upon a Violation which occurs in reliance upon and in conformity
      with information furnished in writing to the Company by such Indemnified Person
      expressly for use in connection with the preparation of the Registration
      Statement or any such amendment thereof or supplement thereto; (y) shall not
      be
      available to the extent such Claim is based on a failure of the Investor to
      deliver or to cause to be delivered the prospectus made available by the
      Company, if such prospectus was timely made available by the Company pursuant
      to
      Section 3(c); and (z) shall not apply to amounts paid in settlement of any
      Claim if such settlement is effected without the prior written consent of the
      Company, which consent shall not be unreasonably withheld. Such indemnity shall
      remain in full force and effect regardless of any investigation made by or
      on
      behalf of the Indemnified Person and shall survive the transfer of the
      Registrable Securities by the Investors pursuant to Section 9
      hereof.

     

    (b) In
      connection with a Registration Statement, each Investor agrees to severally
      and
      not jointly indemnify, hold harmless and defend, to the same extent and in
      the
      same manner as is set forth in Section 6(a), the Company, each of its directors,
      each of its officers, employees, representatives, or agents and each Person,
      if
      any, who controls the Company within the meaning of the Securities Act or the
      Exchange Act (each an “Indemnified
      Party”),
      against any Claim or Indemnified Damages to which any of them may become
      subject, under the Securities Act, the Exchange Act or otherwise, insofar as
      such Claim or Indemnified Damages arise out of or is based upon any Violation,
      in each case to the extent, and only to the extent, that such Violation occurs
      in reliance upon and in conformity with written information furnished to the
      Company by such Investor expressly for use in connection with such Registration
      Statement; and, subject to Section 6(d), such Investor will reimburse any legal
      or other expenses reasonably incurred by them in connection with investigating
      or defending any such Claim; provided, however, that the indemnity agreement
      contained in this Section 6(b) and the agreement with respect to contribution
      contained in Section 7 shall not apply to amounts paid in settlement of any
      Claim if such settlement is effected without the prior written consent of such
      Investor, which consent shall not be unreasonably withheld; provided, further,
      however, that the Investor shall be liable under this Section 6(b) for only
      that
      amount of a Claim or Indemnified Damages as does not exceed the net proceeds
      to
      such Investor as a result of the sale of Registrable Securities pursuant to
      such
      Registration Statement. Such indemnity shall remain in full force and effect
      regardless of any investigation made by or on behalf of such Indemnified Party
      and shall survive the transfer of the Registrable Securities by the Investors
      pursuant to Section 9. Notwithstanding anything to the contrary contained
      herein, the indemnification agreement contained in this Section 6(b) with
      respect to any prospectus shall not inure to the benefit of any Indemnified
      Party if the untrue statement or omission of material fact contained in the
      prospectus was corrected and such new prospectus was delivered to each Investor
      prior to use of the prospectus to which the Claim relates.

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

     

    (c) Promptly
      after receipt by an Indemnified Person or Indemnified Party under this Section
      6
      of notice of the commencement of any action or proceeding (including any
      governmental action or proceeding) involving a Claim, such Indemnified Person
      or
      Indemnified Party shall, if a Claim in respect thereof is to be made against
      any
      indemnifying party under this Section 6, deliver to the indemnifying party
      a
      written notice of the commencement thereof, and the indemnifying party shall
      have the right to participate in, and, to the extent the indemnifying party
      so
      desires, jointly with any other indemnifying party similarly noticed, to assume
      control of the defense thereof with counsel mutually satisfactory to the
      indemnifying party and the Indemnified Person or the Indemnified Party, as
      the
      case may be; provided, however, that an Indemnified Person or Indemnified Party
      shall have the right to retain its own counsel with the fees and expenses of
      not
      more than one (1) counsel for all such Indemnified Persons or Indemnified
      Parties to be paid by the indemnifying party, if, in the reasonable opinion
      of
      counsel retained by the indemnifying party, the representation by such counsel
      of the Indemnified Person or Indemnified Party and the indemnifying party would
      be inappropriate due to actual or potential differing interests between such
      Indemnified Person or Indemnified Party and any other party represented by such
      counsel in such proceeding. The Indemnified Party or Indemnified Person shall
      cooperate fully with the indemnifying party in connection with any negotiation
      or defense of any such action or claim by the indemnifying party and shall
      furnish to the indemnifying party all information reasonably available to the
      Indemnified Party or Indemnified Person which relates to such action or claim.
      The indemnifying party shall keep the Indemnified Party or Indemnified Person
      fully apprised at all times as to the status of the defense or any settlement
      negotiations with respect thereto. No indemnifying party shall be liable for
      any
      settlement of any action, claim or proceeding effected without its prior written
      consent; provided, however, that the indemnifying party shall not unreasonably
      withhold, delay or condition its consent. No indemnifying party shall, without
      the prior written consent of the Indemnified Party or Indemnified Person,
      consent to entry of any judgment or enter into any settlement or other
      compromise which does not include as an unconditional term thereof the giving
      by
      the claimant or plaintiff to such Indemnified Party or Indemnified Person of
      a
      release from all liability in respect to such claim or litigation. Following
      indemnification as provided for hereunder, the indemnifying party shall be
      subrogated to all rights of the Indemnified Party or Indemnified Person with
      respect to all third parties, firms or corporations relating to the matter
      for
      which indemnification has been made. The failure to deliver written notice
      to
      the indemnifying party within a reasonable time of the commencement of any
      such
      action shall not relieve such indemnifying party of any liability to the
      Indemnified Person or Indemnified Party under this Section 6, except to the
      extent that the indemnifying party is prejudiced in its ability to defend such
      action.

     

    (d) The
      indemnification required by this Section 6 shall be made by periodic payments
      of
      the amount thereof during the course of the investigation or defense, as and
      when bills are received or Indemnified Damages are incurred.

     

    (e) The
      indemnity agreements contained herein shall be in addition to (i) any cause
      of action or similar right of the Indemnified Party or Indemnified Person
      against the indemnifying party or others, and (ii) any liabilities the
      indemnifying party may be subject to pursuant to the law.

     

    7. CONTRIBUTION.

     

    To
      the
      extent any indemnification by an indemnifying party is prohibited or limited
      by
      law, the indemnifying party agrees to make the maximum contribution with respect
      to any amounts for which it would otherwise be liable under Section 6 to the
      fullest extent permitted by law; provided, however, that: (i) no seller of
      Registrable Securities guilty of fraudulent misrepresentation (within the
      meaning of Section 11(f) of the Securities Act) shall be entitled to
      contribution from any seller of Registrable Securities who was not guilty of
      fraudulent misrepresentation; and (ii) contribution by any seller of Registrable
      Securities shall be limited in amount to the net amount of proceeds received
      by
      such seller from the sale of such Registrable Securities.

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

     

    8. REPORTS
      UNDER THE EXCHANGE ACT.

     

    With
      a
      view to making available to the Investors the benefits of Rule 144 promulgated
      under the Securities Act or any similar rule or regulation of the SEC that
      may
      at any time permit the Investors to sell securities of the Company to the public
      without registration (“Rule
      144”)
      the
      Company agrees to:

     

    (a) make
      and
      keep public information available, as those terms are understood and defined
      in
      Rule 144;

     

    (b) file
      with
      the SEC in a timely manner all reports and other documents required of the
      Company under the Securities Act and the Exchange Act so long as the Company
      remains subject to such requirements (it being understood that nothing herein
      shall limit the Company’s obligations under Section 4(c) of the Securities
      Purchase Agreement) and the filing of such reports and other documents as are
      required by the applicable provisions of Rule 144; and

     

    (c) furnish
      to each Investor so long as such Investor owns Registrable Securities, promptly
      upon request, (i) a written statement by the Company that it has complied with
      the reporting requirements of Rule 144, the Securities Act and the Exchange
      Act,
      (ii) a copy of the most recent annual or quarterly report of the Company and
      such other reports and documents so filed by the Company, and (iii) such other
      information as may be reasonably requested to permit the Investors to sell
      such
      securities pursuant to Rule 144 without registration.

     

    9. AMENDMENT
      OF REGISTRATION RIGHTS.

     

    Provisions
      of this Agreement may be amended and the observance thereof may be waived
      (either generally or in a particular instance and either retroactively or
      prospectively), only with the written consent of the Company and Investors
      who
      then hold at least two-thirds (2/3) of the Registrable Securities. Any amendment
      or waiver effected in accordance with this Section 9 shall be binding upon
      each Investor and the Company. No such amendment shall be effective to the
      extent that it applies to fewer than all of the holders of the Registrable
      Securities. No consideration shall be offered or paid to any Person to amend
      or
      consent to a waiver or modification of any provision of any of this Agreement
      unless the same consideration also is offered to all of the parties to this
      Agreement.

     

    10. MISCELLANEOUS.

     

    (a) A
      Person
      is deemed to be a holder of Registrable Securities whenever such Person owns
      or
      is deemed to own of record such Registrable Securities or owns the right to
      receive the Registrable Securities. If the Company receives conflicting
      instructions, notices or elections from two (2) or more Persons with respect
      to
      the same Registrable Securities, the Company shall act upon the basis of
      instructions, notice or election received from the registered owner of such
      Registrable Securities.

     

    (b) Any
      notices, consents, waivers or other communications required or permitted to
      be
      given under the terms of this Agreement must be in writing and will be deemed
      to
      have been delivered: (i) upon receipt, when delivered personally; (ii) upon
      receipt, when sent by facsimile (provided confirmation of transmission is
      mechanically or electronically generated and kept on file by the sending party);
      or (iii) one (1) business day after deposit with a nationally recognized
      overnight delivery service, in each case properly addressed to the party to
      receive the same. The addresses and facsimile numbers for such communications
      shall be:

     

    
      	
              If
                to the Company, to:

            	
              Dot
                VN, Inc.

            
	 	
              9449
                Balboa Avenue., Suite 114

            
	 	
              San
                Diego, CA 92123

            
	 	
              Attention:
                Thomas Johnson 

            
	 	
              Facsimile:
                (858) 571-8497

            
	 	 
	
              With
                Copy to:

            	
              Law
                Offices of Thomas E. Puzzo, PLLC

            
	 	
              4216
                NE 70th Street

            
	 	
              Seattle,
                Washington 98115

            
	 	
              Attention:
                Thomas E. Puzzo, Esq.

            
	 	
              Facsimile:
                (206) 260-0111

            

    

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

     

    If
      to an
      Investor, to its address and facsimile number on the Schedule of Investors
      attached hereto, with copies to such Investor’s representatives as set forth on
      the Schedule of Investors or to such other address and/or facsimile number
      and/or to the attention of such other person as the recipient party has
      specified by written notice given to each other party five (5) days prior to
      the
      effectiveness of such change. Written confirmation of receipt (A) given by
      the
      recipient of such notice, consent, waiver or other communication, (B)
      mechanically or electronically generated by the sender’s facsimile machine
      containing the time, date, recipient facsimile number and an image of the first
      page of such transmission or (C) provided by a courier or overnight courier
      service shall be rebuttable evidence of personal service, receipt by facsimile
      or receipt from a nationally recognized overnight delivery service in accordance
      with clause (i), (ii) or (iii) above, respectively.

     

    (c) Failure
      of any party to exercise any right or remedy under this Agreement or otherwise,
      or delay by a party in exercising such right or remedy, shall not operate as
      a
      waiver thereof.

     

    (d) The
      laws
      of the State of New York shall govern all issues concerning the relative rights
      of the Company and the Investors as its stockholders. All other questions
      concerning the construction, validity, enforcement and interpretation of this
      Agreement shall be governed by the internal laws of the State of New York,
      without giving effect to any choice of law or conflict of law provision or
      rule
      (whether of the State of New York or any other jurisdiction) that would cause
      the application of the laws of any jurisdiction other than the State of New
      York. Each party hereby irrevocably submits to the exclusive jurisdiction of
      the
      state and federal courts sitting in the City of New York, borough of Manhattan,
      for the adjudication of any dispute hereunder or in connection herewith or
      with
      any transaction contemplated hereby or discussed herein, and hereby irrevocably
      waives, and agrees not to assert in any suit, action or proceeding, any claim
      that it is not personally subject to the jurisdiction of any such court, that
      such suit, action or proceeding is brought in an inconvenient forum or that
      the
      venue of such suit, action or proceeding is improper. Each party hereby
      irrevocably waives personal service of process and consents to process being
      served in any such suit, action or proceeding by mailing a copy thereof to
      such
      party at the address for such notices to it under this Agreement and agrees
      that
      such service shall constitute good and sufficient service of process and notice
      thereof. Nothing contained herein shall be deemed to limit in any way any right
      to serve process in any manner permitted by law. If any provision of this
      Agreement shall be invalid or unenforceable in any jurisdiction, such invalidity
      or unenforceability shall not affect the validity or enforceability of the
      remainder of this Agreement in that jurisdiction or the validity or
      enforceability of any provision of this Agreement in any other jurisdiction.
      EACH PARTY HEREBY IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE, AND AGREES NOT
      TO
      REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR IN
      CONNECTION HEREWITH OR ARISING OUT OF THIS AGREEMENT OR ANY TRANSACTION
      CONTEMPLATED HEREBY.

     

    (e) This
      Agreement, the Irrevocable Transfer Agent Instructions, the Securities Purchase
      Agreement and related documents including the Convertible Debentures constitute
      the entire agreement among the parties hereto with respect to the subject matter
      hereof and thereof. There are no restrictions, promises, warranties or
      undertakings, other than those set forth or referred to herein and therein.
      This
      Agreement, the Irrevocable Transfer Agent Instructions, the Securities Purchase
      Agreement and related documents including the Convertible Debenture supersede
      all prior agreements and understandings among the parties hereto with respect
      to
      the subject matter hereof and thereof.

     

    (f) This
      Agreement shall inure to the benefit of and be binding upon the permitted
      successors and assigns of each of the parties hereto.

     

    (g) The
      headings in this Agreement are for convenience of reference only and shall
      not
      limit or otherwise affect the meaning hereof.

     

    (h) This
      Agreement may be executed in identical counterparts, each of which shall be
      deemed an original but all of which shall constitute one and the same agreement.
      This Agreement, once executed by a party, may be delivered to the other party
      hereto by facsimile transmission of a copy of this Agreement bearing the
      signature of the party so delivering this Agreement.

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

     

    (i) Each
      party shall do and perform, or cause to be done and performed, all such further
      acts and things, and shall execute and deliver all such other agreements,
      certificates, instruments and documents, as the other party may reasonably
      request in order to carry out the intent and accomplish the purposes of this
      Agreement and the consummation of the transactions contemplated
      hereby.

     

    The
      language used in this Agreement will be deemed to be the language chosen by
      the
      parties to express their mutual intent and no rules of strict construction
      will
      be applied against any party.

     

    (j) This
      Agreement is intended for the benefit of the parties hereto and their respective
      permitted successors and assigns, and is not for the benefit of, nor may any
      provision hereof be enforced by, any other Person.

     

    [REMAINDER
      OF PAGE INTENTIONALLY LEFT BLANK]

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

    

    IN
      WITNESS WHEREOF,
      the
      parties have caused this Investor Registration Rights Agreement to be duly
      executed as of day and year first above written.

     

    
      	 	 	 
	 	
              COMPANY:

            
	 	 
	 	
              DOT
                VN, INC.

            
	 
 	 
 	 
 
	
            	By:  	
            
	 	
              
Name:
	 	
              Title: 

            

    

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

     

    SCHEDULE
      I

     

    SCHEDULE
      OF INVESTORS

     

    
      	
              Name

            	 	
               Signature

            	 	
              Address/Facsimile
                

              Number
                of Investors

            
	 	 	 	 	 	 
	 	 	 	 	 	 
	
               

            	 	By:	
                

            	 	
               

            
	 	 	 	
              
                

                Its:  

            	 	
               

            
	 	 	 	 	 	
              Facsimile:  

            
	 	 	 	 	 	 
	 	 	By:	
                   

            	 	 
	 	 	 	
              
                

                Name:  

            	 	 
	 	 	 	
              Its:  

            	 	 
	 	 	 	 	 	 
	
              With
                a copy to: 

            	 	 	
               

            	 	
               

            
	 	 	 	 	 	
               

            
	 	 	 	 	 	
              Facsimile:

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