Document:

RIGHT
      OF FIRST REVIEW AGREEMENT

    

    THIS
      RIGHT OF FIRST REVIEW AGREEMENT (this “Agreement”)
      is
      made as of ________, 2008 by and among Greenstreet Acquisition Corp. (the
“Company”),
      Greenstreet Capital, L.P., a Delaware limited partnership (“GCLP”),
      Greenstreet Partners, L.P. , a Delaware limited partnership (“GPLP”),
      and
      Greenstreet Equity Partners, LLC, a [Delaware] limited liability company
      (together with GCLP and GPLP, the “Affiliated
      Entities”).

     

    RECITALS

     

    WHEREAS,
      the Company and the Affiliated Entities share certain officers and directors
      (collectively, the “Covered
      Officers”);
      

     

    WHEREAS,
      each of the Company and the Affiliated Entities will be simultaneously seeking
      and considering opportunities to acquire one or more operating businesses;
      and

     

    WHEREAS,
      the parties intend by this Agreement to specify the business opportunities
      that
      the Covered Officers shall be entitled to present to the Company prior to
      presenting such opportunities to any of the Affiliated Entities.

     

    NOW,
      THEREFORE, in consideration of the mutual covenants and agreements set forth
      herein, and for other good and valuable consideration, the receipt and
      sufficiency of which are hereby acknowledged, the parties hereto agree as
      follows:

     

    1.
       Right
      of First Review.
      

     

    (a)
       Each
      Affiliated Entity hereby acknowledges and agrees that until the Expiration
      Date
      (as defined in Section 3), the Covered Officers shall be entitled to present
      any
      investment or acquisition opportunity whose fair market value the Company
      reasonably believes is at least $500 million (each, a “Company
      Opportunity”)
      first
      to the Company prior to presenting such opportunity to any Affiliated Entity;
      provided, that Company Opportunity shall exclude any opportunity involving
      (i)
      targets that are focused primarily on real estate, (ii) targets in or related
      to
      the locomotive or railcar leasing industries or (iii) targets in or related
      to
      the dry bulk ocean transportation, inland marine transportation and bulk-storage
      and transfer terminal industries. 

     

    (b)
       If
      a
      majority of the Company’s independent directors determine not to pursue any
      Company Opportunity, then the Covered Officers shall be entitled to present
      such
      business opportunity to any of the Affiliated Entities. 

     

    2.
       Waiver
      of Claims.
      Each
      Affiliated Entity hereby permanently and irrevocably waives any and all claims
      against the Company and the Covered Officers with respect to any Company
      Opportunity presented to the Company pursuant to the terms of this
      Agreement.

     

    3.
       Term.
      This
      Agreement shall expire upon the earlier of (i) the consummation by the Company
      of an acquisition of one or more operating businesses through a merger, capital
      stock exchange, asset or stock acquisition, exchangeable share transaction
      or
      other similar business combination, with one or more target businesses whose
      fair market value is equal to at least 80% of the Company’s net assets at the
      time of such business combination and (ii) the liquidation of the Company (the
      “Expiration
      Date”).
      

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    4.
       Third
      Party Beneficiaries.
      The
      Covered Officers shall be third party beneficiaries of Section 2 of this
      Agreement with respect to any acts taken by the Covered Officers in their
      capacity as officers or directors of the Company.

     

    5.
       Severability.
      If one
      or more provisions of this Agreement are held to be unenforceable under
      applicable law, the parties agree to renegotiate such provision in good faith.
      In the event that the parties cannot reach a mutually agreeable and enforceable
      replacement for such provision, then (i) such provision shall be excluded from
      this Agreement, (ii) the balance of the Agreement shall be interpreted as if
      such provision were so excluded and (iii) the balance of the Agreement shall
      be
      enforceable in accordance with its terms.

     

    6.
       Assignment.
      This
      Agreement shall be binding upon and inure to the benefit of the assigns and
      successors of the Company and the Affiliated Entities.

     

    7. Governing
      Law.
      This
      Agreement shall be governed by, and construed in accordance with, the laws
      of
      the State of New York applicable to contracts executed in and to be performed
      in
      that State, including, without limitation, Section 5-1401 of the New York
      General Obligations Law. 

     

    8.
       Entire
      Agreement.
      This
      Agreement constitutes the entire agreement between the parties with respect
      to
      the subject matter hereof and supersedes and merges all prior agreements or
      understandings, whether written or oral.

     

    9.
       Counterparts.
      This
      Agreement may be executed in two or more counterparts, each of which will be
      deemed an original, but all of which, taken together, shall be deemed one
      document

     

    10.
       Waiver
      of Jury Trial.
      Each
      party hereto hereby irrevocably and unconditionally waives the right to a trial
      by jury in any action, suit, counterclaim or other proceeding (whether based
      on
      contract, tort or otherwise) arising out of, connected with or relating to
      this
      Agreement, the transactions contemplated hereby, or the actions of any party
      hereto in the negotiation, administration, performance or enforcement
      hereof.

     

    

     

    [Signatures
      follow on next page]

     

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    IN
      WITNESS WHEREOF, the parties hereto have executed this Agreement as of the
      date
      first written above. 

     

    

    

    GREENSTREET
      ACQUISITION CORP.

     

    

    By:
      ______________________________

    Name:

    Title:

    

    

    GREENSTREET
      CAPITAL, L.P.

     

    

    By:
      ______________________________

    Name:

    Title:

    

    

    GREENSTREET
      PARTNERS, L.P.

     

    

    By:
      ______________________________

    Name:

    Title:

    

    

    GREENSTREET
      EQUITY PARTNERS, LLC

     

    

    By:
      ______________________________

    Name:

    Title:

    [Right
      of
      First Review Agreement]Exhibit 10.46
                                                                   -------------

                         COMMON STOCK PURCHASE AGREEMENT
                         -------------------------------

         THIS COMMON STOCK PURCHASE AGREEMENT ("Agreement") is made as of the 31
day of  January,  2008  by and  among  INTRAOP  MEDICAL  CORPORATION,  a  Nevada
corporation (the "Company"),  and the other Persons set forth on the Schedule of
Purchasers   attached   hereto  (each  an  "Investor"   and   collectively   the
"Investors").

                                    Recitals

                  A. The Company and the Investors are executing and  delivering
this  Agreement in reliance  upon the  exemption  from  securities  registration
afforded by the provisions of Regulation D  ("Regulation  D"), as promulgated by
the Securities and Exchange  Commission  (the "SEC") under the Securities Act of
1933, as amended,  and the rules and  regulations  promulgated  thereunder  (the
"Securities Act");

                  B. The Investors  wish to purchase  from the Company,  and the
Company  wishes to sell and issue to the  Investors,  at the First  Closing  (as
defined  below) and upon the terms and  subject to the  conditions  set forth in
this Agreement,  an aggregate of 33,832,463 shares (the "Initial Shares") of the
Company's  common stock,  par value $0.001 per share (the "Common Stock") for an
aggregate purchase price of $2,368,272.70 (the "Initial Purchase Price");

                  C. The Investors  wish to purchase  from the Company,  and the
Company  wishes to sell and issue to the  Investors,  at the Second  Closing (as
defined  below) and upon the terms and  subject to the  conditions  set forth in
this Agreement,  an aggregate of up to 9,167,537 shares (the "Additional Shares"
and together with the Initial  Shares,  the  "Shares") of the  Company's  common
stock, par value $0.001 per share (the "Common Stock") for an aggregate purchase
price of up to $641,727.59 (the "Additional Purchase Price");

                  D. This  Agreement  shall be binding  upon the Company and the
Investors only upon delivery of the  signatures  pages hereto by the Company and
the Investors.

                                    Agreement

         In  consideration of the mutual promises made herein and for other good
and  valuable  consideration,  the receipt and  sufficiency  of which are hereby
acknowledged, the parties hereto agree as follows:

         1. Definitions.  In addition to those terms defined above and elsewhere
in this Agreement, for the purposes of this Agreement, the following terms shall
have the meanings set forth below:

                  "Affiliate"  means,  with  respect  to any  Person,  any other
Person which directly or indirectly through one or more intermediaries controls,
is controlled by, or is under common control with, such Person.

<PAGE>

                  "Business  Day" means a day,  other than a Saturday or Sunday,
on which  banks  in New York  City  are  open  for the  general  transaction  of
business.

                  "Confidential  Information" means trade secrets,  confidential
information  and  know-how  (including  but  not  limited  to  ideas,  formulae,
compositions,  processes,  procedures and  techniques,  research and development
information,  performance  specifications,   support  documentation,   drawings,
specifications,  designs,  business and marketing  plans, and supplier lists and
related information).

                  "Exchange Act" means the  Securities  Exchange Act of 1934, as
amended, and the rules and regulations promulgated thereunder.

                  "Intellectual  Property"  means  all  of  the  following:  (i)
patents, patent applications,  patent disclosures and inventions (whether or not
patentable  and whether or not reduced to practice);  (ii)  trademarks,  service
marks, trade dress, trade names,  corporate names,  logos,  slogans and Internet
domain names,  together with all goodwill associated with each of the foregoing;
(iii) copyrights and copyrightable  works; and (iv) registrations,  applications
and renewals for any of the foregoing.

                  "Knowledge"  means the actual  knowledge  of the  officers and
directors of the  Company,  provided  that such persons  shall have made due and
diligent  inquiry of all relevant  employees of the Company whom such  executive
officers and directors should reasonably  believe would have actual knowledge of
the matters represented.

                  "Material  Adverse  Effect"  means any of (i) a  material  and
adverse effect on the legality,  validity or  enforceability  of this Agreement,
(ii) a  material  and  adverse  effect on the  results  of  operations,  assets,
prospects, business or condition (financial or otherwise) of the Company and the
Subsidiaries,  taken as a whole, or (iii) an adverse impairment to the Company's
ability to perform on a timely basis its obligations under this Agreement.

                  "Nasdaq" means The Nasdaq Stock Market, Inc.

                  "Permitted   Liens"  means  (i)  mechanics',   carriers',   or
workmen's,  repairmen's  or similar  liens  arising or incurred in the  ordinary
course of business,  (ii) liens for taxes,  assessments  and other  governmental
charges  that are not due and  payable or which may  hereafter  be paid  without
penalty or which are being  contested in good faith by appropriate  proceedings,
and (iii) other  imperfections  of title or  encumbrances,  if any, that do not,
individually  or in the  aggregate,  materially  impair  the use or value of the
property to which they relate.

                  "Person"  means  an  individual,   corporation,   partnership,
limited  liability  company,  trust,  business trust,  association,  joint stock
company,  joint  venture,  sole  proprietorship,   unincorporated  organization,
governmental  authority  or any other  form of entity  not  specifically  listed
herein.

                  "SEC Filings"  shall mean (a) the  Company's  Annual Report on
Form 10-KSB  filed with the SEC on December  14,  2007,  including  all exhibits
thereto and documents  incorporated by reference therein,  and (b) the Company's
Current Reports on Form 8-K filed with the SEC on October 30, 2007, November 26,
2007 and  November  29,  2007,  including  all  exhibits  thereto and  documents
incorporated by reference therein.

                                       2
<PAGE>

         2. Purchase and Sale of the Shares.

                  2.1  Initial  Shares.  Upon  the  terms  and  subject  to  the
conditions  set  forth in this  Agreement,  at the  First  Closing,  each of the
Investors shall, severally and not jointly, purchase, and the Company shall sell
and issue to the Investors,  the Initial Shares in the respective amounts and at
the respective  purchase prices set forth on the Schedule of Purchasers attached
hereto (the "Schedule of Purchasers").

                  2.2  Additional  Shares.  Upon the  terms and  subject  to the
conditions  set forth in this  Agreement,  at the  Second  Closing,  each of the
Investors shall, severally and not jointly, purchase, and the Company shall sell
and issue to the Investors,  the Additional Shares in the respective amounts and
at the  respective  purchase  prices  that will be set forth on the  Schedule of
Purchasers at the Second Closing by the Company.

         3. Closings.

                  3.1 First Closing. The purchase and sale of the Initial Shares
pursuant to Section 2.1 (the "First Closing") shall take place at the offices of
Hanson, Bridgett,  Marcus, Vlahos & Rudy, LLP, 425 Market Street, San Francisco,
CA 94105  ("Hanson") on the date hereof,  or at such other  location and on such
other date as the Company and the Investors  shall  mutually agree (such date is
hereinafter referred to as the "First Closing Date").

                  3.2 Second  Closing.  The purchase and sale of the  Additional
Shares pursuant to Section 2.2 (the "Second Closing" and together with the First
Closing,  the "Closings")  shall take place at the offices of Hanson at any time
on or before February 13, 2008, or at such other location and on such other date
as the Company and the Investors  shall mutually agree (such date is hereinafter
referred to as the "Second Closing Date").

         4.  Representations  and Warranties of the Company.  The Company hereby
represents  and  warrants  to the  Investors  that,  except  as set forth in the
schedules delivered herewith (collectively, the "Disclosure Schedules"):

                  4.1      Organization, Good Standing and Qualification.

                           (a) The  Company  is a  corporation  duly  organized,
validly  existing and in good standing under the laws of the State of Nevada and
has all requisite  corporate power and authority to carry on its business as now
conducted  and to own  its  properties.  The  Company  is duly  qualified  to do
business as a foreign  corporation and is in good standing in each  jurisdiction
in which the  conduct of its  business or its  ownership  or leasing of property
makes such  qualification  necessary,  except  where the  failure to so qualify,
individually or in the aggregate,  would not have a Material Adverse Effect.  To
the Company's  Knowledge,  no proceeding has been instituted in any jurisdiction
revoking,  limiting or curtailing or seeking to revoke,  limit or curtail,  such
power and authority or qualification.

                                       3
<PAGE>

                           (b)  Each   subsidiary   of  the   Company   (each  a
"Subsidiary"  and  collectively  the   "Subsidiaries")  is  a  corporation  duly
organized,  validly  existing  and  in  good  standing  under  the  laws  of its
jurisdiction  of  incorporation  and  has  all  requisite  corporate  power  and
authority to carry on its business as now conducted  and to own its  properties.
Each Subsidiary is duly qualified to do business as a foreign corporation and is
in good  standing in each  jurisdiction  in which the conduct of its business or
its ownership or leasing of property makes such qualification necessary,  except
where the failure to so qualify,  individually  or in the  aggregate,  would not
have a Material Adverse Effect.  To the Company's  Knowledge,  no proceeding has
been instituted in any jurisdiction revoking,  limiting or curtailing or seeking
to revoke, limit or curtail, such power and authority or qualification.

                  4.2  Authorization.  The Company has full corporate  power and
authority  and has taken all  requisite  action on the part of the Company,  its
officers,  directors  and  stockholders  necessary  for (i)  the  authorization,
execution  and  delivery  of  this  Agreement,  (ii)  the  authorization  of the
performance  of  all  obligations  of  the  Company   hereunder  and  (iii)  the
authorization,  issuance,  sale  and  delivery  of the  Shares.  This  Agreement
constitutes the legal, valid and binding obligation of the Company,  enforceable
against  the  Company  in  accordance  with its terms,  subject  to  bankruptcy,
insolvency, fraudulent transfer, reorganization,  moratorium and similar laws of
general applicability relating to or affecting creditors' rights generally.

                  4.3      Capitalization.

                           (a) Schedule 4.3 sets forth as of the date hereof (a)
the authorized capital stock of the Company; (b) the number of shares of capital
stock  issued  and  outstanding;  (c) the  number  of shares  of  capital  stock
available for issuance pursuant to the Company's stock plans; and (d) the number
of shares of capital stock  issuable  upon the exercise of warrants.  All of the
issued and  outstanding  shares of the  Company's  capital  stock have been duly
authorized  and  validly  issued and are fully paid,  nonassessable  and free of
preemptive rights. Except as provided in the Rights Agreement dated as of August
17, 2007 by and between the Company and the investors  named therein,  no Person
is  entitled to  preemptive  or similar  statutory  or  contractual  rights with
respect to any  securities  of the Company.  Except as  contemplated  under this
Agreement, there are no contracts,  commitments,  understandings or arrangements
by which the Company is bound to issue additional shares of capital stock of the
Company or  options,  securities  or rights  convertible  into shares of capital
stock of the  Company.  Except as provided in the Rights  Agreement  dated as of
August 17, 2007 by and between the Company and the investors  named therein,  no
Person has the right to require the Company to register  any  securities  of the
Company  under the  Securities  Act,  whether on a demand basis or in connection
with the  registration  of  securities of the Company for its own account or for
the  account  of any other  Person.  The issue and sale of the  Shares  will not
result in the right of any holder of Company  securities to adjust the exercise,
conversion or exchange price under such securities.

                           (b) The Company owns all of the  outstanding  capital
stock of each Subsidiary free from liens,  encumbrances and defects.  All of the
issued and  outstanding  shares of capital stock of each  Subsidiary are validly
issued and are fully paid,  non-assessable  and free of  preemptive  rights.  No
Person is entitled to preemptive or similar statutory or contractual rights with
respect to any securities of any Subsidiary.  There are no outstanding warrants,
options,  convertible  securities  or other rights,  agreements or  arrangements
under which (i) any  Subsidiary is obligated to issue  additional  shares of its
capital  stock or  options,  securities  or rights  convertible  into  shares of
capital  stock of such  Subsidiary  or (ii) the Company is  obligated to sell or
otherwise dispose of shares of any Subsidiary's capital stock held by it.

                                       4
<PAGE>

                  4.4 Valid  Issuance.  The  Shares  have been duly and  validly
authorized. The Shares, when issued and paid for pursuant to this Agreement will
be  validly  issued,  fully  paid  and  nonassessable,   and  will  be  free  of
encumbrances  and  restrictions  (other  than those  created by the  Investors),
except for  restrictions  on transfer set forth in this  Agreement or imposed by
applicable securities laws.

                  4.5 Consents.  The execution,  delivery and performance by the
Company  of this  Agreement  and the  offer,  issuance  and  sale of the  Shares
requires no consent of, action by or in respect of, or filing with,  any Person,
governmental  body,  agency,  or official other than filings that have been made
pursuant to applicable state  securities laws and post-sale  filings pursuant to
applicable  state and federal  securities  laws which the Company  undertakes to
file within the applicable time periods.

                  4.6 Delivery of SEC Filings. The Company has made available to
the  Investors,  through the EDGAR system,  true and complete  copies of the SEC
Filings.

                  4.7 Use of  Proceeds.  The  net  proceeds  of the  sale of the
Shares  hereunder  shall be used by the  Company  for  general  working  capital
purposes.

                  4.8 No Material Adverse Change.  Since September 30, 2007, and
except as disclosed in the

SEC Filings, there has not been:

                           (a)   any   change   in  the   consolidated   assets,
liabilities,  financial  condition  or  operating  results of the Company or any
Subsidiary  from that  reflected  in the  financial  statements  included in the
Company's  Annual  Report on Form 10-KSB for the year ended  September 30, 2007,
except for  changes in the  ordinary  course of  business  which would not have,
individually or in the aggregate, a Material Adverse Effect;

                           (b) any  declaration  or payment of any dividend,  or
any authorization or payment of any distribution, on any of the capital stock of
the Company or any Subsidiary, or any redemption or repurchase of any securities
of the Company or any Subsidiary (other than in connection with a termination of
employment);

                           (c) any material  damage,  destruction or loss to any
assets or properties of the Company or any Subsidiary;

                           (d)  any  waiver,  not  in  the  ordinary  course  of
business,  by the Company or any Subsidiary of a material right or of a material
debt owed to it;

                           (e)  any  change  or  amendment  to the  Articles  of
Incorporation or similar organizational  documents, as applicable,  or Bylaws of
the Company or any Subsidiary, or change to any material contract or arrangement
by which  the  Company  or any  Subsidiary  is bound or to which  its  assets or
properties is subject;

                                       5
<PAGE>

                           (f) any material  labor  difficulties  or labor union
organizing   activities  with  respect  to  employees  of  the  Company  or  any
Subsidiary;

                           (g) any  transaction  entered  into by the Company or
any Subsidiary other than in the ordinary course of business;

                           (h) the loss of the services of any key employee,  or
material  change in the  composition  or duties of the senior  management of the
Company or any Subsidiary; or

                           (i) any other  event or  condition  of any  character
that has had or would reasonably be expected to have a Material Adverse Effect.

                  4.9 SEC  Filings.  At the  time  of  filing  thereof,  the SEC
Filings  complied as to form in all material  respects with the  requirements of
the Exchange Act and did not contain any untrue  statement of a material fact or
omit to state any material fact necessary in order to make the  statements  made
therein,  in the light of the  circumstances  under  which they were  made,  not
misleading.

                  4.10 No Conflict,  Breach,  Violation or Default.  Neither the
execution,  delivery and  performance  by the Company of this  Agreement nor the
consummation of any of the transactions contemplated hereby (including,  without
limitation,  the  issuance  and sale of the  Shares  in  conformance  with  this
Agreement)  will  conflict  with or result in  violation of any of the terms and
provisions of the Articles of Incorporation or similar organizational documents,
as applicable, or Bylaws of the Company or any Subsidiary,  both as in effect on
the date hereof or will give rise to the right to  terminate or  accelerate  the
due date of any payment under or conflict with or result in a breach of any term
or  provision  of, or  constitute  a default  (or any event which with notice or
lapse of time or both would  constitute a default) under, or require any consent
or waiver under or result in the execution or imposition of any lien,  charge or
encumbrance  upon the  properties  or assets of the  Company  or any  Subsidiary
pursuant  to the  terms  of any  indenture,  mortgage,  deed of  trust  or other
agreement or instrument to which the Company or any  Subsidiary is a party or by
which the  Company or any  Subsidiary  is bound or to which any of its assets or
properties  is  subject  or any  license,  permit,  statute,  rule,  regulation,
judgment,  decree  or order of any  governmental  agency  or body or any  court,
domestic or foreign,  having  jurisdiction over the Company or any Subsidiary or
any of its assets or properties,  other than a conflict,  breach or default that
would not have a Material Adverse Effect.

                  4.11 Tax Matters.  Each of the Company and each Subsidiary has
timely prepared and filed all tax returns required to have been filed by it with
all appropriate governmental agencies and timely paid all taxes shown thereon or
otherwise owed by it, except as would not have a Material  Adverse  Effect.  The
charges,  accruals and reserves on the books of the Company and each  Subsidiary
in  respect  of taxes  for all  fiscal  periods  are  adequate  in all  material
respects,  and there are no material unpaid  assessments  against the Company or
any Subsidiary.  All taxes and other  assessments and levies that the Company or
any Subsidiary are required to withhold or to collect for payment have been duly
withheld and collected and paid to the proper governmental entity or third party
when  due.  There  are no tax  liens or  claims  pending  or,  to the  Company's
Knowledge,  threatened  against  the Company or any  Subsidiary  or any of their
respective  assets or property,  other than  Permitted  Liens.  There are no tax
audits or investigations  pending, which if adversely determined would result in
a Material  Adverse Effect.  There are no outstanding tax sharing  agreements or
other such  arrangements  between  the Company or any  Subsidiary  and any other
Person.  Neither the Company nor any  Subsidiary  has any deferred  compensation
arrangements or has paid (or is required to pay) any deferred compensation which
would be subject to Section 409A of the Internal Revenue Code.

                                       6
<PAGE>

                  4.12  Title to  Properties.  Except  as  disclosed  in the SEC
Filings,  each of the Company and each Subsidiary has good and marketable  title
to all  properties  and  assets  owned by it,  in each  case  free  from  liens,
encumbrances  and  defects,  other than  Permitted  Liens.  The Company and each
Subsidiary hold any leased real or personal property under valid and enforceable
leases. Neither the Company nor any Subsidiary owns any real property.

                  4.13  Certificates,  Authorities  and  Permits.  Each  of  the
Company  and  each  Subsidiary  possesses  adequate   certificates,   approvals,
authorities or permits  ("Permits")  issued by  governmental  agencies or bodies
necessary to own,  lease and license its assets and  properties  and conduct the
business  now  operated  by it,  all of which are  valid  and in full  force and
effect, except where the lack of such Permits, individually or in the aggregate,
would  not  have a  Material  Adverse  Effect.  Each  of the  Company  and  each
Subsidiary  has  performed  in  all  material   respects  all  of  its  material
obligations  with respect to such Permits and no event has occurred that allows,
or after  notice  or  lapse of time,  would  allow,  revocation  or  termination
thereof.  Neither the Company nor any Subsidiary has received any written notice
of  proceedings   relating  to  the  revocation  or  modification  of  any  such
certificate, authority or permit that, if determined adversely to the Company or
such  Subsidiary,  would,  individually  or in the  aggregate,  have a  Material
Adverse Effect.

                  4.14     Labor Matters.

                           (a) Neither the Company nor any Subsidiary is a party
to or bound by any collective bargaining agreement.  Neither the Company nor any
Subsidiary has violated in any material respect any laws, regulations, orders or
contract terms,  affecting the collective bargaining rights of employees,  labor
organizations  or  any  laws,   regulations  or  orders   affecting   employment
discrimination,  equal  opportunity  employment  or employees'  health,  safety,
welfare, wages and hours.

                           (b) (i) There are no labor disputes  existing,  or to
the  Company's  Knowledge,   threatened,  involving  strikes,  slow-downs,  work
stoppages, job actions, disputes, lockouts or any other disruptions of or by the
employees  of the  Company or any  Subsidiary,  (ii)  there are no unfair  labor
practices or  petitions  for election  pending or, to the  Company's  Knowledge,
threatened before the National Labor Relations Board or any other federal, state
or local  labor  commission  relating  to the  employees  of the  Company or any
Subsidiary,  (iii) no demand for recognition or certification heretofore made by
any labor  organization  or group of  employees  is pending  with respect to the
Company  or any  Subsidiary  and (iv) to the  Company's  Knowledge,  each of the
Company and each  Subsidiary  enjoys good labor and employee  relations with its
employees.

                           (c) Each of the  Company  and each  Subsidiary  is in
compliance in all material  respects with applicable laws respecting  employment
(including  laws  relating  to   classification  of  employees  and  independent
contractors) and employment practices, terms and conditions of employment, wages
and hours, and immigration and naturalization. No claims are pending against the
Company or any Subsidiary before the Equal Employment  Opportunity Commission or
any other  administrative  body or in any court asserting any violation of Title
VII of the Civil  Rights Act of 1964,  the Age  Discrimination  Act of 1967,  42
U.S.C. ss.ss. 1981 or 1983 or any other federal,  state or local law, statute or
ordinance barring discrimination in employment.

                                       7
<PAGE>

                           (d) Except as disclosed  in the SEC Filings,  neither
the Company nor any  Subsidiary  is a party to, or bound by, any  employment  or
other  contract or agreement  that contains any  severance,  termination  pay or
change of control liability or obligation,  including,  without limitation,  any
"excess  parachute  payment,"  as  defined in  Section  280G(b) of the  Internal
Revenue Code of 1986, as amended.

                  4.15  Intellectual  Property.  Except as  disclosed in the SEC
Filings:

                           (a) All Intellectual Property of the Company is valid
and  enforceable.  No Intellectual  Property owned or licensed by the Company or
any Subsidiary  that is necessary for the conduct of the business of the Company
and the  Subsidiaries  as currently  conducted or as proposed to be conducted as
described  in the SEC  Filings  is  involved  in any  cancellation,  dispute  or
litigation,  and, to the Company's Knowledge,  no such action is threatened.  No
issued  patent  owned  by the  Company  or any  Subsidiary  is  involved  in any
interference, reissue, re-examination or opposition proceeding.

                           (b) All of the in-bound  licenses and sublicenses and
consent,  royalty or other agreements concerning  Intellectual Property that are
necessary for the conduct of the business of the Company and the Subsidiaries as
currently  conducted  and as proposed to be  conducted  as  described in the SEC
Filings to which the Company or any  Subsidiary is a party (other than generally
commercially available, non-custom,  off-the-shelf software application programs
having  a  retail   acquisition   price  of  less  than   $50,000  per  license)
(collectively,  "In-Bound License Agreements") are valid and binding obligations
on the  Company  or  such  Subsidiary,  as  applicable,  and,  to the  Company's
Knowledge,  the other parties  thereto,  enforceable  in  accordance  with their
terms,  except  to  the  extent  that  enforcement  thereof  may be  limited  by
bankruptcy,  insolvency,  reorganization,  moratorium,  fraudulent conveyance or
other similar laws affecting the enforcement of creditors' rights generally, and
neither  the  Company nor any  Subsidiary  is in  material  breach of any of its
obligations under any such In-Bound License Agreements.

                           (c) Each of the Company and each  Subsidiary  owns or
has the valid right to use all of the  Intellectual  Property  that is necessary
for the conduct of its  business as  currently  conducted  and as proposed to be
conducted as described in the SEC Filings and for the ownership, maintenance and
operation of the Company's  properties and assets,  free and clear of all liens,
encumbrances, adverse claims (in each case, other than Permitted Liens) or, with
respect  to  Intellectual  Property  owned  by the  Company  or any  Subsidiary,
obligations to license such  Intellectual  Property,  other than licenses of the
Intellectual  Property owned by the Company or such  Subsidiary that are entered
into in the ordinary course of its business. To the Company's Knowledge, each of
the Company and each  Subsidiary  has a valid and  enforceable  right to use all
third party Intellectual Property and Confidential  Information used or held for
use in its business.

                                       8
<PAGE>

                           (d) The  conduct of the  business  of the Company and
the  Subsidiaries  as  currently  conducted  or as proposed to be  conducted  as
described  in the SEC  Filings,  the  use or  exploitation  of any  Intellectual
Property owned by the Company or any Subsidiary,  or to the Company's Knowledge,
the use or exploitation of any Intellectual  Property licensed by the Company or
any Subsidiary does not infringe,  misappropriate or otherwise materially impair
or conflict with (collectively,  "Infringe") any Intellectual Property rights of
any third  party  and the  Intellectual  Property  owned by the  Company  or any
Subsidiary which is necessary for the conduct of the business of the Company and
the  Subsidiaries  as currently  conducted or as proposed to be conducted as set
forth in the SEC Filings is not being Infringed by any third party.  There is no
litigation,  court order,  claim or assertion  pending or outstanding or, to the
Company's Knowledge, threatened, that seeks to limit or challenge the ownership,
use, validity or  enforceability of any Intellectual  Property owned or licensed
by the Company or any  Subsidiary or their  respective  use of any  Intellectual
Property owned by a third party.

                           (e) The consummation of the transactions contemplated
hereby  will not  result in the (i) loss,  material  impairment  of or  material
restriction  on any of the  Intellectual  Property or  Confidential  Information
owned by the Company or any Subsidiary which is necessary for the conduct of its
business as  currently  conducted or as proposed to be conducted as set forth in
the SEC Filings or (ii) material breach of any In-Bound License Agreement.

                           (f) Each of the Company and each Subsidiary has taken
reasonable steps to protect its respective  rights in its Intellectual  Property
and Confidential Information. Each employee and consultant who has access to the
Confidential  Information  of the Company or any  Subsidiary  necessary  for the
conduct of its  business as  currently  conducted  has  executed an agreement to
maintain the confidentiality of such Confidential Information.  To the Company's
Knowledge, and except pursuant to non-disclosure agreements entered into between
the  Company  or a  Subsidiary  and  third  parties  in the  ordinary  course of
business,  there  has  been  no  disclosure  of  the  Intellectual  Property  or
Confidential Information of the Company or any Subsidiary to any third party. To
the Company's  Knowledge,  there have been no misappropriations or infringements
by any Person of any  Intellectual  Property used in the conduct or operation of
the business of the Company or any Subsidiary.

                  4.16  Environmental  Matters.  Neither  the  Company  nor  any
Subsidiary is in violation of any statute, rule,  regulation,  decision or order
of any governmental agency or body or any court,  domestic or foreign,  relating
to the use,  disposal or release of hazardous or toxic substances or relating to
the protection or restoration of the  environment or human exposure to hazardous
or toxic substances  (collectively,  "Environmental  Laws"). Neither the Company
nor any  Subsidiary  owns or operates any real  property  contaminated  with any
substance that is subject to any Environmental  Laws, is liable for any off-site
disposal or contamination  pursuant to any Environmental  Laws, or is subject to
any claim relating to any  Environmental  Laws, which violation,  contamination,
liability or claim would reasonably be expected to have,  individually or in the
aggregate,  a Material Adverse Effect.  There is no pending or, to the Company's
Knowledge, threatened investigation that might lead to such a claim.

                                       9
<PAGE>

                  4.17 Litigation. Except as disclosed in the SEC Filings, there
are no  pending  or, to the  Company's  Knowledge,  threatened  actions,  suits,
proceedings, inquiries or investigations against or affecting the Company or any
Subsidiary  or  any  of  their  properties  or  any  of  the  Company's  or  any
Subsidiary's officers and directors in their capacities as such.

                  4.18 Financial  Statements.  The financial statements included
in each  of the SEC  Filings  present  fairly,  in all  material  respects,  the
financial  position  of the  Company  as of the dates  shown and its  results of
operations and cash flows for the periods shown,  and such financial  statements
have  been  prepared  in  conformity  with  United  States  generally   accepted
accounting  principles  applied on a consistent basis ("GAAP") (except as may be
disclosed  therein  or in the  notes  thereto,  and,  in the  case of  quarterly
financial  statements,  as permitted  by Form 10-QSB  under the  Exchange  Act).
Except as set forth in the financial  statements of the Company  included in the
SEC Filings  filed prior to the date  hereof,  the Company has not  incurred any
liabilities,  contingent  or  otherwise,  except those  incurred in the ordinary
course  of  business,  consistent  with  past  practices  since the date of such
financial  statements,  none of which,  individually or in the aggregate,  would
reasonably be expected to have a Material Adverse Effect.

                  4.19  Insurance  Coverage.   Each  of  the  Company  and  each
Subsidiary  maintains  in full  force  and  effect  insurance  coverage  that is
customary for comparably situated companies for the business being conducted and
properties owned or leased by the Company and the Subsidiaries.

                  4.20 Compliance with OTC Bulletin Board Continued  Eligibility
Require-ments.  The Company is in compliance  with applicable OTC Bulletin Board
continued  eligibility  requirements.  The Company has not  received any written
notice with respect to the ineligibility of the Common Stock from trading on the
OTC Bulletin Board.

                  4.21 Brokers and Finders.  No Person will have, as a result of
the transactions  contemplated by this Agreement,  any valid right,  interest or
claim for any commission,  fee or other compensation  pursuant to any agreement,
arrangement or understanding entered into by or on behalf of the Company.

                  4.22 No  Directed  Selling  Efforts or  General  Solicitation.
Neither  the  Company  nor any Person  acting on its behalf  has  conducted  any
general  solicitation  or  general  advertising  (as  those  terms  are  used in
Regulation D under the Securities  Act) in connection  with the offer or sale of
the Shares.

                  4.23 No  Integrated  Offering.  Neither  the  Company  nor any
Person  acting on its behalf  has,  directly or  indirectly,  made any offers or
sales of any Company security or solicited any offers to buy any security, under
circumstances  that would  adversely  affect  reliance by the Company on Section
4(2)  of the  Securities  Act  for  the  exemption  from  registration  for  the
transactions  contemplated  hereby or would require  registration  of the Shares
under the  Securities  Act or would be integrated  under the Nasdaq  Marketplace
Rules.

                                       10
<PAGE>

                  4.24  Private  Placement.  Subject  to the  accuracy  of  each
Investor's representations in Section 5 hereof, the offer and sale of the Shares
to the  Investors  as  contemplated  hereby  is  exempt  from  the  registration
requirements of the Securities Act.

                  4.25  Questionable  Payments.  Neither  the  Company  nor  any
Subsidiary nor, to the Company's  Knowledge,  any of their directors,  officers,
employees,  agents or other  Persons  acting on  behalf  of the  Company  or any
Subsidiary, has on behalf of the Company or any Subsidiary or in connection with
its business:  (a) used any corporate funds for unlawful  contributions,  gifts,
entertainment or other unlawful  expenses  relating to political  activity;  (b)
made any direct or indirect unlawful  payments to any governmental  officials or
employees from corporate  funds;  (c)  established or maintained any unlawful or
unrecorded  fund of  corporate  monies  or other  assets;  (d) made any false or
fictitious entries on the books and records of the Company or any Subsidiary; or
(e) made any unlawful bribe,  rebate,  payoff,  influence  payment,  kickback or
other unlawful payment of any nature.

                  4.26 Transactions with Affiliates.  Except as disclosed in the
SEC Filings,  none of the officers or directors of the Company or any Subsidiary
and, to the  Company's  Knowledge,  none of the  employees of the Company or any
Subsidiary is presently a party to any material  transaction with the Company or
any Subsidiary (other than as holders of stock options and/or warrants,  and 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
Company's  Knowledge,  any entity in which any  officer,  director,  or any such
employee  has a  substantial  interest  or is an officer,  director,  trustee or
partner.

                  4.27 Internal Controls.  The Company is in material compliance
with the provisions of the  Sarbanes-Oxley  Act of 2002 currently  applicable to
the  Company.  Each of the  Company  and each  Subsidiary  maintains 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 GAAP and to maintain
asset  accountability,  (iii) access to assets is permitted  only in  accordance
with  management's  general or  specific  authorization,  and (iv) the  recorded
accountability  for assets is compared  with the existing  assets at  reasonable
intervals and appropriate  action is taken with respect to any differences.  The
Company  has  established  disclosure  controls  and  procedures  (as defined in
Exchange  Act Rules  13a-15  and  15d-15)  for the  Company  and  designed  such
disclosure controls and procedures to ensure that material  information relating
to the Company and each  Subsidiary is made known to the certifying  officers by
others within those entities.  The Company's  certifying officers have evaluated
the effectiveness of the Company's  controls and procedures as of the end of the
period covered by the most recently filed periodic report under the Exchange Act
(such date, the "Evaluation  Date").  The Company presented in its most recently
filed periodic  report under the Exchange Act the  conclusions of the certifying
officers about the effectiveness of the disclosure controls and procedures based
on their evaluations as of the Evaluation Date. Since the Evaluation Date, there
have been no  significant  changes  in the  internal  controls  (as such term is
defined in Item 307(b) of Regulation  S-B) of the Company or any  Subsidiary or,
to the Company's  Knowledge,  in other factors that could  significantly  affect
such internal controls.  The books, records and accounts of the Company and each
Subsidiary  accurately  and  fairly  reflect,  in  all  material  respects,  the
transactions  in,  and  dispositions  of,  the  assets  of,  and the  results of
operations  of, the  Company and each  Subsidiary.  Each of the Company and each
Subsidiary  maintains  and will  continue  to  maintain  a  standard  system  of
accounting  established  and  administered  in  accordance  with  GAAP  and  the
applicable requirements of the Exchange Act.

                                       11
<PAGE>

                  4.28 Independent  Accountants.  PMB Helin Donovan,  LLP is the
Company's  independent  registered  public  accounting  firm as  required by the
Exchange Act, and the rules and regulations of the SEC thereunder.

                  4.29 Investment Company.  The Company is not and, after giving
effect  to the  offering  and sale of the  Shares,  will  not be an  "investment
company" within the meaning of the Investment Company Act of 1940, as amended.

                  4.30  Regulatory  Compliance.  Neither  the  Company  nor  any
Subsidiary is in violation of any applicable statute, rule, regulation, order or
restriction  of any domestic or foreign  government  or any  instrumentality  or
agency thereof in respect of the conduct of its business or the ownership of its
properties,  except as would not have a Material Adverse Effect. No governmental
orders,  permissions,  consents,  approvals or authorizations are required to be
obtained  and no  registrations  or  declarations  are  required  to be filed in
connection  with the execution and delivery of this Agreement or the issuance of
the Shares, except such as have been duly and validly obtained or filed, or with
respect to any filings that must be made after the applicable  Closing,  as will
be filed in a timely manner.

                  4.31 Market Stabilization. The Company has not taken, nor will
it take, directly or indirectly, any action designed to or that might reasonably
be  expected  to cause or  result  in,  or that has  constituted  or that  might
reasonably be expected to constitute,  the  stabilization or manipulation of the
price of the Common Stock or any security of the Company to facilitate  the sale
or resale of any of the Shares.

                  4.32 Material Contracts. All material documents,  contracts or
other agreements of the Company and any Subsidiary required to be filed with the
SEC have been filed with the SEC and are  included  in the  exhibits  to the SEC
Filings.  The  description  of the  contracts,  documents  or  other  agreements
contained  in the SEC  Filings  (as the case  may be)  reflect  in all  material
respects the terms of the underlying contract, document or other agreement. Each
such  contract,  document or other  agreement is in full force and effect and is
valid and  enforceable by and against the Company or the applicable  Subsidiary,
as  applicable,  in  accordance  with its terms.  Neither  the  Company  nor any
Subsidiary  is in  default  in the  observance  or  performance  of any  term or
obligation  to be  performed  by it under any such  agreement,  and no event has
occurred  which  with  notice or lapse of time or both would  constitute  such a
default,  in any such  case  which  default  or  event,  individually  or in the
aggregate, would result in a Material Adverse Effect.

                  4.33 Application of Takeover Protections.  The Company and the
Board have taken all necessary action,  if any, in order to render  inapplicable
any control share acquisition,  business combination, poison pill (including any
distribution under a rights agreement) or other similar anti-takeover  provision
under the Company's Articles of Incorporation or the laws of the State of Nevada
that  are or  could  become  applicable  to the  Investors  as a  result  of the
Investors and the Company  fulfilling  their  obligations  or  exercising  their
rights under this  Agreement,  including  without  limitation as a result of the
Company's issuance of the Shares and the Investors' ownership of the Shares.

                                       12
<PAGE>

                  4.34 FDA.  The  properties,  business  and  operations  of the
Company have been and are being conducted in all material respects in accordance
with all applicable  laws, rules and regulations of the FDA. Neither the Company
nor any  Subsidiary  has been informed by the FDA that the FDA will prohibit the
marketing,  sale, license or use in the United States of any product proposed to
be developed,  produced or marketed by the Company or any Subsidiary nor has the
FDA  expressed any concern as to approving or clearing for marketing any product
being developed or proposed to be developed by the Company or any Subsidiary.

                  4.35 Press  Releases.  The press releases  disseminated by the
Company during the twelve months preceding the date of this Agreement taken as a
whole do not contain any untrue  statement of a material fact or omit to state a
material  fact  required to be stated  therein or necessary in order to make the
statements therein, in light of the circumstances under which they were made and
when made, not misleading.

                  4.36 Indebtedness;  Compliance. Except as disclosed in the SEC
Filings,  the  Company  is not a party to any  indenture,  debt,  capital  lease
obligations,  mortgage,  loan or  credit  agreement  by  which  it or any of its
properties is bound.  The Company (i) is not in default under or in violation of
(and no event has occurred  that has not been waived that,  with notice or lapse
of time or both,  would result in a default by the Company  under),  nor has the
Company  received notice of a claim that it is in default under or that it is in
violation of, any indenture,  loan or credit agreement or any other agreement or
instrument  to which it is a party  or by which it or any of its  properties  is
bound  (whether or not such default or violation  has been  waived),  (ii) is in
violation of any order of any court,  arbitrator or governmental  body, or (iii)
is or  has  been  in  violation  of  any  statute,  rule  or  regulation  of any
governmental authority, including without limitation all foreign, federal, state
and local laws relating to taxes, environmental protection,  occupational health
and safety, product quality and safety and employment and labor matters,  except
in each case as could not, individually or in the aggregate,  have or reasonably
be expected to result in a Material Adverse Effect. The Company is in compliance
with all effective  requirements of the  Sarbanes-Oxley Act of 2002, as amended,
and the rules and regulations thereunder that are applicable to it, except where
such  noncompliance  could not have or  reasonably  be  expected  to result in a
Material Adverse Effect.

                  4.37  Solvency.  Based  on  the  financial  condition  of  the
Company, as of the First Closing Date (and assuming that the First Closing shall
have occurred), (i) the Company's fair saleable value of their respective assets
exceeds  the  amount  that will be  required  to be paid on or in respect of the
Company's  existing  debts and other  liabilities  (including  known  contingent
liabilities)  as they  mature  and (ii) the  current  cash flow of the  Company,
together with the proceeds the Company would receive, were they to liquidate all
of their  respective  assets,  after taking into account all anticipated uses of
the cash,  would be  sufficient  to pay all amounts on or in respect of its debt
when such amounts are required to be paid.  The Company does not intend to incur
debts  beyond its ability to pay such debts as they mature  (taking into account
the timing and amounts of cash to be payable on or in respect of its debt).

                                       13
<PAGE>

                  4.38 No Additional  Agreements.  The Company does not have any
agreement or  understanding  with any Investor with respect to the  transactions
contemplated by this Agreement other than as specified in this Agreement.

                  4.39 Disclosure.  Neither the Company nor any person acting on
its behalf has provided any  Investor or its  respective  agents or counsel with
any  information  that the Company  believes  constitutes  material,  non-public
information  concerning  the  Company,  the  Subsidiaries  or  their  respective
businesses,   except  insofar  as  the  existence  and  terms  of  the  proposed
transactions contemplated hereunder may constitute such information. The Company
understands  and  confirms  that  the  Investors  will  rely  on  the  foregoing
representations  and  covenants in effecting  transactions  in securities of the
Company.  All  disclosure  provided to the  Investors  regarding the Company and
their respective businesses and the transactions  contemplated hereby, furnished
by or on behalf of the Company (including the representations and warranties set
forth in this  Agreement)  are true and  correct  and do not  contain any untrue
statement  of a material  fact or omit to state any material  fact  necessary in
order to make the statements made therein,  in light of the circumstances  under
which they were made, not misleading.

         5.  Representations  and  Warranties  of  the  Investors.  Each  of the
Investors  hereby,  severally  and not jointly,  represents  and warrants to the
Company that:

                  5.1  Organization  and  Existence.  Such Investor is a validly
existing  corporation,  limited partnership or limited liability company and has
all requisite  corporate,  partnership  or limited  liability  company power and
authority to invest in the Shares pursuant to this Agreement.

                  5.2 Authorization.  The execution, delivery and performance by
such Investor of this  Agreement have been duly  authorized.  This Agreement has
been duly  executed by such  Investor,  and when  delivered by such  Investor in
accordance with the terms hereof,  will constitute the valid and legally binding
obligation  of such  Investor,  enforceable  against such Investor in accordance
with  its  terms,  subject  to  bankruptcy,   insolvency,  fraudulent  transfer,
reorganization,  moratorium and similar laws of general applicability,  relating
to or affecting creditors' rights generally.

                  5.3  Purchase  Entirely  for Own  Account.  The  Shares  to be
received by such Investor  hereunder  will be acquired for such  Investor's  own
account,  not as  nominee  or  agent,  and  not  with a view  to the  resale  or
distribution  of any part thereof in violation of the  Securities  Act, and such
Investor has no present intention of selling,  granting any participation in, or
otherwise distributing the same in violation of the Securities Act.

                  5.4 Investment Experience.  Such Investor acknowledges that it
can bear the economic risk and complete loss of its investment in the Shares and
has such  knowledge and  experience in financial or business  matters that it is
capable  of  evaluating  the merits  and risks of the  investment  in the Shares
contemplated hereby.

                                       14
<PAGE>

                  5.5  Disclosure  of  Information.  Such  Investor  has  had an
opportunity to receive all  information  related to the Company  requested by it
and to ask  questions  of and receive  answers  from the Company  regarding  the
Company,  its  business  and the terms and  conditions  of the  offering  of the
Shares.

                  5.6 Restricted Securities.  Such Investor understands that the
Shares are  characterized  as  "restricted  securities"  under the U.S.  federal
securities  laws  inasmuch  as they are being  acquired  from the  Company  in a
transaction  not  involving  a public  offering  and that  under  such  laws and
applicable  regulations such securities may be resold without registration under
the Securities Act only in certain limited circumstances.

                  5.7 Legends.  It is understood that, except as provided below,
certificates evidencing the Shares may bear the following or any similar legend:

                           (a) "THE SECURITIES  REPRESENTED HEREBY HAVE NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES  ACT"),
OR ANY STATE  SECURITIES  LAWS.  THE  SECURITIES  REPRESENTED  HEREBY MAY NOT BE
TRANSFERRED UNLESS (I) SUCH SECURITIES HAVE BEEN REGISTERED FOR SALE PURSUANT TO
THE  SECURITIES  ACT, (II) SUCH  SECURITIES MAY BE SOLD PURSUANT TO RULE 144, OR
(III) THE COMPANY HAS RECEIVED AN OPINION OF COUNSEL REASONABLY  SATISFACTORY TO
IT THAT SUCH  TRANSFER  MAY  LAWFULLY  BE MADE  WITHOUT  REGISTRATION  UNDER THE
SECURITIES ACT OR QUALIFICATION UNDER APPLICABLE STATE SECURITIES LAWS."

                           (b) If  required by the  authorities  of any state in
connection with the issuance of sale of the Shares,  the legend required by such
state authority.

                  5.8  Accredited  Investor.  Such  Investor  is  an  accredited
investor as defined in Rule 501(a) of Regulation D under the Securities Act.

                  5.9 No General  Solicitation.  Such  Investor did not learn of
the  investment in the Shares as a result of any public  advertising  or general
solicitation.

                  5.10 Brokers and Finders.  No Person will have, as a result of
the transactions  contemplated by this Agreements,  any valid right, interest or
claim  against or upon the Company or an  Investor  for any  commission,  fee or
other  compensation  pursuant to any  agreement,  arrangement  or  understanding
entered into by or on behalf of such Investor.

         6. Conditions to the First Closing.

                  6.1      Conditions to the First Closing.

                           (a)  Conditions to the  Investors'  Obligations.  The
obligation of each Investor to purchase the Initial  Shares at the First Closing
is subject to the  satisfaction,  on or prior to the First  Closing Date, of the
following conditions,  any of which may be waived by such Investor (as to itself
only):

                                       15
<PAGE>

                                    (i) The  representations and warranties made
by the Company in Section 4 hereof  shall be true and correct on the date hereof
and on the First Closing Date (except to the extent any such  representation  or
warranty   expressly   speaks  as  of  a  specific  date,  in  which  case  such
representation  or  warranty  shall be true and  correct as of such  date).  The
Company shall have performed all obligations and covenants herein required to be
performed by it on or prior to the First  Closing  Date.  The Company shall have
delivered  a  certificate,  executed  on  behalf  of the  Company  by its  Chief
Executive Officer or its Chief Financial Officer,  dated as of the First Closing
Date,  certifying to the fulfillment of the condition  specified in this Section
6.1(a)(i).

                                    (ii) The Company shall have obtained any and
all  consents,  permits,  approvals,  registrations  and  waivers  necessary  or
appropriate for the purchase and sale of the Initial Shares and the consummation
of the transactions contemplated by this Agreement.

                                    (iii) No judgment,  writ, order, injunction,
award or decree of or by any court, or judge,  justice or magistrate,  including
any bankruptcy court or judge, or any order of or by any governmental authority,
shall have been issued,  and no action or proceeding  shall have been instituted
by any governmental  authority,  enjoining or preventing the consummation of the
transactions contemplated by this Agreement.

                                    (iv) The  Company  shall  have  delivered  a
certificate, executed on behalf of the Company by its Secretary, dated as of the
First Closing Date,  certifying the  resolutions  adopted by the Board approving
the transactions contemplated by this Agreement, certifying the current versions
of the Articles of Incorporation  and Bylaws of the Company and certifying as to
the  signatures  and  authority of Persons  signing this  Agreement  and related
documents on behalf of the Company.

                                    (v) The  Investors  shall have  received  an
opinion from Hanson, Bridgett, Marcus, Vlahos & Rudy, LLP, dated as of the First
Closing Date, in substantially the form attached hereto as Exhibit A.

                                    (vi) No stop order or  suspension of trading
shall have been imposed by Nasdaq,  the OTC Bulletin Board, the SEC or any other
governmental  or  regulatory  body with respect to public  trading in the Common
Stock.  The Company shall not have received notice of the  ineligibility  of the
Common  Stock for trading on the OTC  Bulletin  Board or that it is violation of
any Nasdaq, OTC Bulletin Board or SEC rule,  regulation or interpretation  which
could lead to such ineligibility.

                                    (vii) The Company  shall have  delivered  to
its  transfer  agent  irrevocable  instructions  to issue  and  deliver  to each
Investor (or in such nominee  name(s) as designated by such Investor in writing)
certificates  evidencing  such  number  of  Initial  Shares  as set forth on the
signature pages to this Agreement.

                           (b)  Conditions to  Obligations  of the Company.  The
Company's  obligation to sell and issue the Initial  Shares at the First Closing
is  subject to the  satisfaction  on or prior to the First  Closing  Date of the
following conditions, any of which may be waived by the Company:

                                       16
<PAGE>

                                    (i) The  representations and warranties made
by the  Investors  in Section 5 hereof shall be true and correct in all material
respects  when made and as of the  First  Closing  Date with the same  force and
effect as if they had been made on and as of said date (except to the extent any
such representation or warranty expressly speaks as of a specific date, in which
case such  representation  or warranty shall be true and correct in all material
respects as of such specific date).

                                    (ii) The Company shall have obtained any and
all  consents,  permits,  approvals,  registrations  and  waivers  necessary  or
appropriate for the purchase and sale of the Initial Shares the  consummation of
the other transactions contemplated by this Agreement.

                                    (iii) The Investors  shall have executed and
delivered this Agreement.

                                    (iv) No judgment,  writ, order,  injunction,
award or decree of or by any court, or judge,  justice or magistrate,  including
any bankruptcy court or judge, or any order of or by any governmental authority,
shall have been issued,  and no action or proceeding  shall have been instituted
by any governmental  authority,  enjoining or preventing the consummation of the
transactions contemplated by this Agreement.

                                    (v) The Investors  shall have  delivered the
Initial Purchase Price to the Company.

                  6.2      Conditions to the Second Closing.

                           (a)  Conditions to the  Investors'  Obligations.  The
obligation  of each  Investor to purchase  the  Additional  Shares at the Second
Closing is subject to the satisfaction,  on or prior to the Second Closing Date,
of the following conditions,  any of which may be waived by such Investor (as to
itself only):

                                    (i) The  representations and warranties made
by the Company in Section 4 hereof  shall be true and correct on the date hereof
and on the Second Closing Date (except to the extent any such  representation or
warranty   expressly   speaks  as  of  a  specific  date,  in  which  case  such
representation  or  warranty  shall be true and  correct as of such  date).  The
Company shall have performed all obligations and covenants herein required to be
performed by it on or prior to the Second  Closing Date.  The Company shall have
delivered  a  certificate,  executed  on  behalf  of the  Company  by its  Chief
Executive Officer or its Chief Financial Officer, dated as of the Second Closing
Date,  certifying to the fulfillment of the condition  specified in this Section
6.2(a)(i).

                                    (ii) The Company shall have obtained any and
all  consents,  permits,  approvals,  registrations  and  waivers  necessary  or
appropriate  for  the  purchase  and  sale  of the  Additional  Shares  and  the
consummation of the transactions contemplated by this Agreement.

                                    (iii) No judgment,  writ, order, injunction,
award or decree of or by any court, or judge,  justice or magistrate,  including
any bankruptcy court or judge, or any order of or by any governmental authority,
shall have been issued,  and no action or proceeding  shall have been instituted
by any governmental  authority,  enjoining or preventing the consummation of the
transactions contemplated by this Agreement.

                                       17
<PAGE>

                                    (iv) The  Company  shall  have  delivered  a
certificate, executed on behalf of the Company by its Secretary, dated as of the
Second Closing Date,  certifying the resolutions  adopted by the Board approving
the transactions contemplated by this Agreement, certifying the current versions
of the Articles of Incorporation  and Bylaws of the Company and certifying as to
the  signatures  and  authority of Persons  signing this  Agreement  and related
documents on behalf of the Company.

                                    (v) The  Investors  shall have  received  an
opinion from  Hanson,  Bridgett,  Marcus,  Vlahos & Rudy,  LLP,  dated as of the
Second Closing Date, in substantially the form attached hereto as Exhibit A.

                                    (vi) No stop order or  suspension of trading
shall have been imposed by Nasdaq,  the OTC Bulletin Board, the SEC or any other
governmental  or  regulatory  body with respect to public  trading in the Common
Stock.  The Company shall not have received notice of the  ineligibility  of the
Common  Stock for trading on the OTC  Bulletin  Board or that it is violation of
any Nasdaq, OTC Bulletin Board or SEC rule,  regulation or interpretation  which
could lead to such ineligibility.

                                    (vii) The Company  shall have  delivered  to
its  transfer  agent  irrevocable  instructions  to issue  and  deliver  to each
Investor (or in such nominee  name(s) as designated by such Investor in writing)
certificates  evidencing  such number of  Additional  Shares as set forth on the
signature pages to this Agreement.

                           (b)  Conditions to  Obligations  of the Company.  The
Company's  obligation  to sell and issue  the  Additional  Shares at the  Second
Closing is subject to the satisfaction on or prior to the Second Closing Date of
the following conditions, any of which may be waived by the Company:

                                    (i) The  representations and warranties made
by the  Investors  in Section 5 hereof shall be true and correct in all material
respects  when made and as of the  Second  Closing  Date with the same force and
effect as if they had been made on and as of said date (except to the extent any
such representation or warranty expressly speaks as of a specific date, in which
case such  representation  or warranty shall be true and correct in all material
respects as of such specific date).

                                    (ii) The Company shall have obtained any and
all  consents,  permits,  approvals,  registrations  and  waivers  necessary  or
appropriate for the purchase and sale of the Additional  Shares the consummation
of the other transactions contemplated by this Agreement.

                                    (iii) The Investors  shall have executed and
delivered this Agreement.

                                    (iv) No judgment,  writ, order,  injunction,
award or decree of or by any court, or judge,  justice or magistrate,  including
any bankruptcy court or judge, or any order of or by any governmental authority,
shall have been issued,  and no action or proceeding  shall have been instituted
by any governmental  authority,  enjoining or preventing the consummation of the
transactions contemplated by this Agreement.

                                       18
<PAGE>

                                    (v) The Investors  shall have  delivered the
Additional Purchase Price to the Company.

         7. Covenants and Agreements.

                  7.1      Removal of Legends.

                           (a) Any  legend  referred  to in  Section  5.7 hereof
stamped  on  a  certificate   evidencing  the  Shares  and  the  stock  transfer
instructions  and record  notations with respect to such Shares shall be removed
and the Company  shall cause to be issued a  certificate  without such legend to
the holder of such Shares upon delivery to the Company's  transfer agent (with a
copy to the  Company)  of (i) a written  request  for the removal of the legend,
(ii) the original share  certificate for which legend removal is requested,  and
(iii) either (A) an opinion of counsel reasonably  acceptable to the Company and
its  transfer  agent  to the  effect  that a  public  sale or  transfer  of such
securities  may be made without  registration  under the  Securities  Act or (B)
other  reasonable  assurances  in  writing  acceptable  to the  Company  and its
transfer  agent  (which  shall not  include  an opinion  of  counsel)  that such
securities can be sold pursuant to Rule 144 under the Securities Act. Not longer
than three business days  following the receipt by the Company's  transfer agent
and the Company of the documents  required in clauses (i), (ii) and (iii) above,
the Company  shall deliver or cause to be delivered to such holder a certificate
representing  such  securities  that is free  from  all  restrictive  and  other
legends.  If the Company is then  eligible,  certificates  for Shares subject to
legend removal hereunder shall be transmitted by the Company's transfer agent to
an Investor by crediting the prime  brokerage  account of such Investor with the
Depository Trust Company System as directed by such Investor.

                           (b) If an  Investor  shall make a sale or transfer of
Shares either  pursuant to Rule 144 or pursuant to a registration  statement and
in each case shall have  delivered to the Company's  transfer agent (with a copy
to the Company) (i) the original certificate  representing the applicable Shares
containing a restrictive  legend which are the subject of such sale or transfer,
(ii) a representation letter or letters in customary form, and (iii) in the case
of a sale or  transfer  pursuant  to Rule 144,  either (A) an opinion of counsel
reasonably acceptable to the Company and its transfer agent to the effect that a
public sale or  transfer of such  securities  may be made  without  registration
under  the  Securities  Act  or  (B)  other  reasonable  assurances  in  writing
acceptable  to the Company and its  transfer  agent  (which shall not include an
opinion of counsel) that such  securities can be sold pursuant to Rule 144 under
the  Securities  Act (the "Share  Delivery Date" shall be the date on which both
the Company and its  transfer  agent have  received  the  documents  required in
clauses (i) through  (iii)),  and (1) the Company shall fail to deliver or cause
to be delivered to such Investor a certificate  representing such Shares that is
free from all  restrictive  or other legends by the third business day following
the Share  Delivery  Date and (2)  following  such third  business day after the
Share  Delivery  Date and prior to the time such Shares are  received  free from
restrictive  legends,  the  Investor,  or any  third  party  on  behalf  of such
Investor,  purchases  (in an open market  transaction  or  otherwise)  shares of
Common Stock to deliver in satisfaction of a sale by the Investor of such Shares
(a "Buy-In"),  then,  in addition to any other rights  available to the Investor
under this  Agreement and  applicable  law, the Company shall pay in cash to the
Investor (for costs incurred  either directly by such Investor or on behalf of a
third party) the amount by which the total  purchase price paid for Common Stock
as a result of the Buy-In (including brokerage commissions,  if any) exceeds the
proceeds  received by such Investor as a result of the sale to which such Buy-In
relates.  The Investor shall provide the Company  written notice  indicating the
amounts payable to the Investor in respect of the Buy-In.

                                       19
<PAGE>

                           (c) The  Company  may not  make any  notation  on its
records or give  instructions  to any transfer agent of the Company that enlarge
the restrictions on transfer set forth in this Section.

                  7.2  Furnishing of  Information.  As long as any Investor owns
any  Shares,  the Company  covenants  to timely  file (or obtain  extensions  in
respect  thereof  and file  within the  applicable  grace  period)  all  reports
required  to be filed by the  Company  after  the date  hereof  pursuant  to the
Exchange  Act.  As long as any  Investor  owns  Shares,  if the  Company  is not
required to file reports  pursuant to such laws,  it will prepare and furnish to
the Investors and make  publicly  available in accordance  with Rule 144(c) such
information  as is required for the Investors to sell the Shares under Rule 144.
The  Company  further  covenants  that it will take such  further  action as any
holder of Shares may reasonably request, all to the extent required from time to
time to enable such  Person to sell the Shares  without  registration  under the
Securities Act within the limitation of the exemptions provided by Rule 144.

                  7.3 Limitation on Issuance of Future Priced Securities. During
the six months  following  each of the First Closing Date and the Second Closing
Date, the Company shall not issue any "Future Priced Securities" as such term is
described by NASD IM-4350-1.

                  7.4  Indemnification of Investors.  The Company will indemnify
and hold the Investors and their directors,  officers,  shareholders,  partners,
employees  and agents  (each,  an "Investor  Party")  harmless  from any and all
losses,  liabilities,  obligations,  claims,  contingencies,  damages, costs and
expenses, including all judgments, amounts paid in settlements,  court costs and
reasonable attorneys' fees and costs of investigation  (collectively,  "Losses")
that any such  Investor  Party may suffer or incur as a result of or relating to
any  misrepresentation,  breach or inaccuracy of any  representation,  warranty,
covenant or agreement made by the Company in this Agreement.  In addition to the
indemnity  contained herein,  the Company will reimburse each Investor Party for
its   reasonable   legal  and  other   expenses   (including  the  cost  of  any
investigation,  preparation  and travel in  connection  therewith)  incurred  in
connection therewith, as such expenses are incurred.

                  7.5 Non-Public  Information.  The Company covenants and agrees
that neither it nor any other person  acting on its or their behalf will provide
any  Investor  or its agents or counsel  with any  information  that the Company
believes constitutes material non-public information,  unless prior thereto such
Investor shall have executed a written agreement  regarding the  confidentiality
and use of such  information.  The Company  understands  and confirms  that each
Investor  shall  be  relying  on  the  foregoing  representations  in  effecting
transactions in securities of the Company.

                                       20
<PAGE>

                  7.6  Replacement of Shares.  If any  certificate or instrument
evidencing any Shares is mutilated, lost, stolen or destroyed, the Company shall
issue  or  cause  to be  issued  in  exchange  and  substitution  for  and  upon
cancellation thereof, or in lieu of and substitution therefor, a new certificate
or instrument,  but only upon receipt of evidence reasonably satisfactory to the
Company  of such  loss,  theft  or  destruction  and  customary  and  reasonable
indemnity,  if requested.  The  applicants  for a new  certificate or instrument
under  such  circumstances  shall  also  pay any  reasonable  third-party  costs
associated  with the  issuance  of such  replacement  Shares.  If a  replacement
certificate or instrument evidencing any Shares is requested due to a mutilation
thereof,  the Company may require  delivery  of such  mutilated  certificate  or
instrument as a condition precedent to any issuance of a replacement.

                  7.7  Remedies.  In addition to being  entitled to exercise all
rights provided herein or granted by law, including recovery of damages, each of
the  Investors  and the Company will be entitled to specific  performance  under
this  Agreement.  The parties  agree that  monetary  damages may not be adequate
compensation  for any loss  incurred  by  reason of any  breach  of  obligations
described in the foregoing sentence and hereby agrees to waive in any action for
specific  performance  of any such  obligation  the defense that a remedy at law
would be adequate.

                  7.8 Independent  Nature of Investors'  Obligations and Rights.
The  obligations of each Investor under this Agreement are several and not joint
with the obligations of any other Investor, and no Investor shall be responsible
in any way for the  performance  of the  obligations of any other Investor under
this  Agreement.  The decision of each Investor to purchase  Shares  pursuant to
this  Agreement  has  been  made by such  Investor  independently  of any  other
Investor. Nothing contained herein, and no action taken by any Investor pursuant
thereto,  shall be deemed to  constitute  the  Investors  as a  partnership,  an
association,  a  joint  venture  or any  other  kind  of  entity,  or  create  a
presumption  that the  Investors  are in any way acting in concert or as a group
with  respect  to such  obligations  or the  transactions  contemplated  by this
Agreement.  Each Investor acknowledges that no other Investor has acted as agent
for such Investor in connection with making its investment hereunder and that no
Investor will be acting as agent of such Investor in connection  with monitoring
its  investment  in the Shares or  enforcing  its rights  under the  Transaction
Documents.  Each Investor shall be entitled to independently protect and enforce
its  rights,  including  without  limitation  the  rights  arising  out of  this
Agreement,  and it shall not be necessary for any other Investor to be joined as
an additional party in any proceeding for such purpose. The Company acknowledges
that each of the Investors  has been  provided  with the same  Agreement for the
purpose of closing a transaction with multiple  Investors and not because it was
required or requested to do so by any Investor.

                  7.9 Limitation of Liability.  Notwithstanding  anything herein
to the contrary,  the Company  acknowledges  and agrees that the liability of an
Investor arising  directly or indirectly,  under this Agreement of any and every
nature  whatsoever shall be satisfied solely out of the assets of such Investor,
and that no trustee, officer, other investment vehicle or any other affiliate of
such  Investor or any  investor,  shareholder  or holder of shares of beneficial
interest of such a Investor  shall be personally  liable for any  liabilities of
such Investor.

                                       21
<PAGE>

         8.       Survival of Representations and Warranties.

                  8.1 Survival. The representations,  warranties,  covenants and
agreements  contained in this  Agreement  shall  survive after the First Closing
Date and Second  Closing Date,  except as otherwise  expressly  provided in this
Agreement.

         9.       Miscellaneous.

                  9.1  Successors and Assigns.  This Agreement  shall be binding
upon and inure to the benefit of the parties and their  successors and permitted
assigns.  The Company may not assign this Agreement or any rights or obligations
hereunder  without the prior written consent of the Investors.  Any Investor may
assign any or all of its rights under this  Agreement to any Person to whom such
Investor  assigns or transfers any Shares,  provided such  transferee  agrees in
writing to be bound,  with respect to the transferred  Shares, by the provisions
hereof that apply to the "Investors."

                  9.2 Counterparts; Faxes. This Agreement may be executed in two
or more  counterparts,  each of which  shall be deemed an  original,  but all of
which together shall constitute one and the same instrument.  This Agreement may
also be executed via facsimile or PDF, which shall be deemed an original.

                  9.3 Titles and  Subtitles.  The titles and  subtitles  used in
this  Agreement  are used for  convenience  only and are not to be considered in
construing or interpreting this Agreement.

                  9.4 Notices. Unless otherwise provided, any notice required or
permitted  under this  Agreement  shall be given in writing  and shall be deemed
effectively  given as hereinafter  described (i) if given by personal  delivery,
then such  notice  shall be deemed  given upon such  delivery,  (ii) if given by
facsimile  or  electronic  mail,  then such  notice  shall be deemed  given upon
receipt of  confirmation of complete  transmittal,  (iii) if given by mail, then
such notice shall be deemed given upon the earlier of (A) receipt of such notice
by the  recipient  or (B) three (3) days after such notice is deposited in first
class mail, postage prepaid, and (iv) if given by an internationally  recognized
overnight  air courier,  then such notice shall be deemed given one (1) Business
Day after delivery to such carrier.  All notices shall be addressed to the party
to be notified at the address as follows, or at such other address as such party
may designate by ten (10) days' advance written notice to the other party:

                           If to the Company:

                                    Intraop Medical Corporation
                                    570 Del Rey Avenue
                                    Sunnyvale, CA 94085
                                    Attention:  Chief Financial Officer
                                    Facsimile:  (734) 503-6529

                                       22
<PAGE>

                           With a copy to:

                                    Hanson, Bridgett, Marcus, Vlahos & Rudy, LLP
                                    425 Market Street, 26th Floor
                                    San Francisco, CA  94105
                                    Attention:  David M. Pike, Esq.
                                    Facsimile: (415) 541-9366

                  If to  the  Investors,  to  the  addresses  set  forth  on the
Schedule of Purchasers, with a copy to:

                                    Winston & Strawn LLP
                                    200 Park Avenue
                                    New York, New York  10166
                                    Attention:  Eric L. Cohen, Esq.
                                    Facsimile:  (212) 294-3540

                  9.5 Expenses. The parties hereto shall pay their own costs and
expenses  in  connection  herewith.  In the event  that  legal  proceedings  are
commenced  by any  party  to  this  Agreement  against  another  party  to  this
Agreement,  the party or parties that do not prevail in such  proceedings  shall
severally,  but  not  jointly,  pay  their  pro  rata  share  of the  reasonable
attorneys' fees and other reasonable  out-of-pocket  costs and expenses incurred
by the prevailing party in such proceedings.

                  9.6 Amendments and Waivers.  Any term of this Agreement may be
amended and the  observance of any term of this  Agreement may be waived (either
generally or in a particular instance and either retroactively or prospectively)
only with the written consent of the Company and the Investors. Any amendment or
waiver  effected in accordance  with this  paragraph  shall be binding upon each
holder of any Shares  purchased  under this  Agreement at the time  outstanding,
each future holder of all such Shares and the Company.

                  9.7 Publicity. Except as set forth below, no public release or
announcement concerning the transactions  contemplated hereby shall be issued by
the Investors  without the prior consent of the Company,  except as such release
or announcement may be required by law or the applicable rules or regulations of
Nasdaq,  the OTC  Bulletin  Board or the  Securities  Act.  Notwithstanding  the
foregoing,  not later than three (3) trading days immediately following the date
hereof,  the Company shall issue a press  release  disclosing  the  transactions
contemplated by this Agreement. The Company will timely file a Current Report on
Form 8-K describing this Agreement and attaching the press release  described in
the foregoing  sentence.  In addition,  the Company will make such other filings
(including  filing  this  Agreement  with the SEC) and notices in the manner and
time required by the SEC,  Nasdaq or the OTC Bulletin  Board.  The Company shall
make the foregoing disclosure such that following such disclosure, the Investors
shall no longer be in possession of any material,  non-public  information  with
respect to the Company.  Notwithstanding  the  foregoing,  the Company shall not
publicly disclose the name of any Investor,  or include the name of any Investor
in any filing with the SEC or any regulatory  agency or trading market,  without
the prior written consent of such Investor, except to the extent such disclosure
is required by law or trading market regulations.

                                       23
<PAGE>

                  9.8  Severability.  Any  provision of this  Agreement  that is
prohibited or unenforceable in any jurisdiction  shall, as to such jurisdiction,
be ineffective to the extent of such  prohibition  or  unenforceability  without
invalidating the remaining  provisions  hereof but shall be interpreted as if it
were  written  so as to be  enforceable  to  the  maximum  extent  permitted  by
applicable law, and any such prohibition or unenforceability in any jurisdiction
shall  not  invalidate  or  render  unenforceable  such  provision  in any other
jurisdiction.  To the extent  permitted by  applicable  law, the parties  hereby
waive any  provision of law which  renders any  provision  hereof  prohibited or
unenforceable in any respect.

                  9.9 Entire Agreement.  This Agreement,  including the exhibits
and the Disclosure Schedules,  constitute the entire agreement among the parties
hereof with respect to the subject  matter  hereof and thereof and supersede all
prior agreements and understandings,  both oral and written, between the parties
with respect to the subject matter hereof and thereof.

                  9.10 Further Assurances. The parties shall execute and deliver
all such further  instruments  and  documents and take all such other actions as
may reasonably be required to carry out the transactions contemplated hereby and
to evidence the fulfillment of the agreements herein contained.

                  9.11 Governing Law;  Consent to  Jurisdiction;  Waiver of Jury
Trial.  This Agreement  shall be governed by, and construed in accordance  with,
the internal  laws of the State of New York without  regard to the choice of law
principles  thereof.  Each of the  parties  hereto  irrevocably  submits  to the
exclusive jurisdiction of the courts of the State of California located in Santa
Clara County and the United States  District Court for the Northern  District of
California for the purpose of any suit, action,  proceeding or judgment relating
to or arising out of this Agreement and the  transactions  contemplated  hereby.
Service of process in connection with any such suit, action or proceeding may be
served on each party  hereto  anywhere  in the world by the same  methods as are
specified  for the giving of notices under this  Agreement.  Each of the parties
hereto  irrevocably  consents to the  jurisdiction of any such court in any such
suit,  action or proceeding and to the laying of venue in such court. Each party
hereto irrevocably waives any objection to the laying of venue of any such suit,
action or  proceeding  brought in such courts and  irrevocably  waives any claim
that any such  suit,  action or  proceeding  brought  in any such court has been
brought in an inconvenient forum. EACH OF THE PARTIES HERETO WAIVES ANY RIGHT TO
REQUEST A TRIAL BY JURY IN ANY  LITIGATION  WITH RESPECT TO THIS  AGREEMENT  AND
REPRESENTS THAT COUNSEL HAS BEEN CONSULTED SPECIFICALLY AS TO THIS WAIVER.

                            (Signature pages follow)

                                       24
<PAGE>

                  IN WITNESS  WHEREOF,  the parties  have  executed  this Common
Stock Purchase Agreement as of the date first above written.

The Company:
------------

INTRAOP MEDICAL CORPORATION

By: /s/ Howard Solovei
    ------------------
Printed Name: Howard Solovei
Its: Chief Financial Officer

         IN WITNESS  WHEREOF,  the  parties  have  executed  this  Common  Stock
Purchase Agreement as of the date first above written.

The Investors:

The Pinnacle Fund, L.P.

By:      Pinnacle Advisors, L.P.
         Its General Partner

By:      Pinnacle Fund Management, L.L.C.
         Its General Partner

By: /s/ Barry Kitt
    --------------
      Barry Kitt, Sole Member

Dr. Clay and Mrs. Brenda Cockerell,  JTWROS
By: /s/ Clay Cockerell
    ------------------
      Clay Cockerell

By: /s/ Brenda Cockerell
    --------------------
      Brenda Cockerell

/s/ Albert DeNittis
-------------------
Albert DeNittis

                 COMMON STOCK PURCHASE AGREEMENT SIGNATURE PAGE

<PAGE>

Ellerphund IOPM, LP
By:  Ellerphund Capital III, LLC, Its General Partner
By: /s/ Marc Eller
    --------------
      Marc Eller, Member

E.U. CAPITAL VENTURE, INC.
By: /s/ Hans Morkner
    ----------------
Printed Name: Hans Morkner
Its: Mgt. Director

/s/ Robert W. Higgins
---------------------
Robert W. Higgins

/s/ Bailey Lemak
----------------
Bailey Lemak

/s/ Eleanor J. Lemak
--------------------
Eleanor J. Lemak

/s/ John S. Lemack
------------------
John S. Lemak, Jr. UGMA/TX
John S. Lemak Custodian

/s/ John S. Lemack
------------------
John S. Lemak

/s/ Lacey Lemak
---------------
Lacey Lemak

/s/ Barry Reder
---------------
Barry Reder

/s/John Fleischli
-----------------
John Fleischli

                 COMMON STOCK PURCHASE AGREEMENT SIGNATURE PAGE

<PAGE>

/s/ William S. Jaspersen
------------------------
William S. Jaspersen

Precept Capital Master Fund, G.P.

By: its agent & attorney-in-fact, Precept Capital Management, LP
By: its General Partner, Precept Management, LLC

By: /s/ D. Blair Baker
    ------------------
    D. Blair Baker
    Managing Member

VMG Holdings II, LLC

By:  /s/ Gregory S. Koonsman
     -----------------------
Name: Gregory S. Koonsman
Its:  Principal

/s/ Richard P. Wynne
--------------------
Richard P. Wynne

/s/ Charles Yates
------------------
Charles Yates

                 COMMON STOCK PURCHASE AGREEMENT SIGNATURE PAGE

<PAGE>

                             SCHEDULE OF PURCHASERS

FIRST CLOSING:

Investor Name and Address:            Purchase Price:   # of Shares Purchased:
-------------------------             --------------    ---------------------

Dr. Clay and Mrs. Brenda Cockerell    $6,656.86         95,098
JTWROS
4312 Arcady Avenue
Dallas, TX 75205

Albert DeNittis                       $7,000.00         100,000
c/o Radiation Oncology Dept.
The Lankenau Hospital
100 Lancaster Avenue
Wynnewood, PA 19096

Ellerphund IOPM, LP                   $1,000,000.00     14,285,714
c/o Ellerphund Capital
2616 Hibernia St
Dallas, TX  75201

E.U. Capital Venture, Inc.            $34,615.91        494,513
c/o Hans Morkner
15720 Simoni Drive
San Jose, CA 95127

Robert W. Higgins                     $70,000.00        1,000,000
5601 Perugia Circle
San Jose, CA 95138

Bailey Lemak                          $25,000.00        357,142
4410 Bordeaux
Dallas, TX 75205

Eleanor J. Lemak                      25,000.00         357,142
4410 Bordeaux
Dallas, TX 75205

John S. Lemak, Jr., UGMA/TX           $25,000.00        357,142
John S. Lemak Custodian
4410 Bordeaux
Dallas, TX 75205

John S. Lemak                         $100,000.00       1,428,571
4410 Bordeaux
Dallas, TX 75205

                 COMMON STOCK PURCHASE AGREEMENT SIGNATURE PAGE

<PAGE>

                       SCHEDULE OF PURCHASERS (Continued)

FIRST CLOSING (Continued):

Lacey Lemak                           $25,000.00        357,142
4410 Bordeaux
Dallas, TX 75205

The Pinnacle Fund, L.P.               $1,000,000.00     14,285,714
Suite 240, 4965 Preston Park Blvd.
Plano, TX 75093

Barry Reder                           $50,000.00        714,285
54 Sixth Avenue
San Francisco, CA 94118

SECOND CLOSING:

Investor Name and Address:            Purchase Price:   # of Shares Purchased
--------------------------            ---------------   ---------------------

Ellerphund IOPM, LP                   $25,000.00        357,142
c/o Ellerphund Capital
2616 Hibernia St
Dallas, TX  75201

John Fleischli                        $35,000.00        500,000
8111 Preston Rd Suite 715
Dallas TX 75225

William S. Jaspersen                  $70,000.00        1,000,000
8111 Preston Rd., Suite 715
Dallas, TX  75225

Precept   Capital Master Fund, G.P.   $250,000.00       3,571,428
200 Crescent Court, Suite 1450
Dallas, TX 75201

VMG Holdings II, LLC                  $100,000.00       1,428,571
13155 Noel Road, Suite 2400
Dallas, Texas 75240

Richard P. Wynne                      $50,000.00        714,285
1604 Sobre Vista Rd
Sonoma Ca 95476

Charles Yates                         $100,000.00       1,428,571
71275 West Thunderbird Terrace
Rancho Mirage, CA 92270

                 COMMON STOCK PURCHASE AGREEMENT SIGNATURE PAGE

<PAGE>

                                    EXHIBIT A
                                    ---------

                              Form of Legal Opinion

_________________, 2008

To the Investors Listed in
the Schedule of Purchasers of the
Common Stock Purchase Agreement
dated as of ______________, 2008

Ladies and Gentlemen:

Reference  is  made  to  the  Common  Stock  Purchase  Agreement,  dated  as  of
___________, 2008 (the "Purchase Agreement"),  complete with all listed exhibits
thereto,  by and among Intraop Medical  Corporation,  a Nevada  corporation (the
"Company"),  and the  investors  listed in the  Schedule  of  Purchasers  to the
Purchase  Agreement (the  "Investors"),  which provides for, among other things,
the  issuance by the Company to the  Investors  of shares of Common  Stock.  All
terms used herein have the  meanings  defined in the Purchase  Agreement  unless
otherwise defined herein.

We have acted as counsel for the  Company in  connection  with the  negotiation,
preparation  and execution of the Purchase  Agreement and the  completion of the
transactions contemplated thereunder.

In rendering this opinion,  we have examined the originals,  or copies  properly
certified or otherwise  identified to our  satisfaction  as being in the form of
the originals, of the following:

(a)  the Purchase Agreement;

(b)  the Company's Amended and Restated Articles of Incorporation filed with the
     Nevada Secretary of State on March 9, 2005 and the Certificate of Amendment
     to Articles of  Incorporation  filed with the Nevada  Secretary of State on
     October  19,  2007,  certified  to us by an officer of the Company as being
     complete  and in full  force  and  effect  as of the  date  of this  letter
     (together, the "Amended Articles");

(c)  the Bylaws of the Company,  certified to us by an officer of the Company as
     being complete and in full force and effect as of the date of this letter;

(d)  documents  evidencing  the  corporate  proceedings  taken by the Company to
     authorize  and  effect  the  execution,  delivery  and  performance  of the
     transactions contemplated by the Purchase Agreement;

(e)  a  Certificate  of Existence  With Status in Good  Standing for the Company
     issued  on  January  8,  2008  by the  Secretary  of  State  of  Nevada,  a
     Certificate  of Status of Foreign  Corporation  for the  Company  issued on
     January  4, 2008 by the  Secretary  of State of  California,  and an Entity
     Status for the  Company  issued by the  California  Franchise  Tax Board on
     January  4, 2008  stating  that the  Company is in good  standing  with the
     California Franchise Tax Board; and

(f)  an Officer's  Certificate  of the Company  provided to us as of the date of
     this letter concerning certain factual matters relevant to this opinion.

                                        1
<PAGE>

         As to various  questions of fact  material to our opinion,  we have, to
the  extent  we  deemed  it   appropriate,   reviewed   and   relied   upon  the
representations  and warranties made by the Company in Section 4 of the Purchase
Agreement and statements and certificates of the officers of the Company, and of
public  officials and others.  With regard to such factual  matters  relevant to
this opinion as to which we have relied upon said  representations,  warranties,
statements and  certificates of the officers of the Company and others,  we have
not sought to verify  independently the existence of the facts as represented to
us,  but we are  aware of no  facts  which  would  lead us to  believe  that the
opinions expressed herein are not appropriate.

         In rendering this opinion, we have assumed the following:

                  (i) All  documents  submitted to us as originals  are complete
and authentic;  all copies of documents  submitted to us conform in all respects
to the originals thereof, including all amendments or modifications thereto; and
all originals or copies  submitted to us have not been amended or modified since
the date they were  submitted to us, by written or oral agreement of the parties
thereto, by the conduct of the parties thereto or otherwise;

                  (ii) The signatures on all original  documents  examined by us
are genuine and all copies of such documents submitted to us are genuine;

                  (iii) The due  authorization,  execution  and  delivery of all
documents  (other  than by the  Company),  where  authorization,  execution  and
delivery are a prerequisite to the effectiveness thereof;

                  (iv) All  individuals  executing and delivering  documents had
the legal capacity to so execute and deliver;

                  (v)  Each  party to the  Purchase  Agreement,  other  than the
Company  and  individuals,  is  duly  organized,  validly  existing  and in good
standing under its  jurisdiction of organization and is in good standing in each
jurisdiction in which the conduct of its business or its ownership or leasing of
property currently requires that it qualify to do business in such jurisdiction,
with the  corporate  or other  organizational  power to perform its  obligations
under the Purchase Agreement;  each party to the Purchase Agreement,  other than
the Company,  has complied with any  applicable  requirement to file tax returns
and pay taxes in each  jurisdiction in which it is required to do so; each party
to the  Purchase  Agreement,  other than the  Company,  has validly  authorized,
executed and  delivered  the  Purchase  Agreement;  and the  Purchase  Agreement
constitutes  the valid and binding  obligation  of each such party,  enforceable
against each such party in accordance with its terms;

                  (vi) The factual  matters set forth in the Purchase  Agreement
are accurate and complete in all material  respects and all certificates and all
other written  representations  as to factual matters delivered or made to us by
officers of the Company are accurate and complete in all material respects; and

                  (vii) Neither the execution of the Purchase  Agreement nor the
consummation of the transactions provided for therein contravenes any applicable
law of any jurisdiction, other than California law or federal law.

         On the  basis of the  foregoing  examinations  and  assumptions  and in
reliance  thereon,  upon the  representations  of the  Investors  and the  other
parties to the Purchase Agreement, and upon all such other matters of fact as we
deemed  relevant under the  circumstances,  and subject to the  limitations  and
qualifications set forth below, it is our opinion that as of the date hereof:

                                       2
<PAGE>

         1. The Company is a corporation duly incorporated, validly existing and
in good  standing  under  the  laws of the  State of  Nevada.  The  Company  has
qualified to do business and is in good standing in the State of California.

         2. The Company has the  requisite  corporate  power to own its property
and assets, and to conduct its business as it is currently being conducted.

         3. The Company has the requisite  corporate  power to execute,  deliver
and perform its obligations under the Purchase Agreement. The Purchase Agreement
has been duly executed and delivered by the Company and  constitutes a valid and
binding obligation of the Company, enforceable against the Company in accordance
with its terms.

         4. The  Company's  authorized  capital  stock  consists of  500,000,000
shares of Common Stock, par value $0.001, of which 324,570,524 shares are issued
and outstanding  immediately prior to the First Closing.  The outstanding shares
of Common Stock have been duly  authorized and validly issued and are fully paid
and nonassessable.  The Shares have been duly authorized,  and upon issuance and
delivery  against payment  therefor in accordance with the terms of the Purchase
Agreement,  the Shares will be validly issued, fully paid and nonassessable.  To
our knowledge, there are no options, warrants, conversion privileges, preemptive
rights or other rights outstanding prior to the First Closing to purchase any of
the  authorized  but  unissued  capital  stock of the  Company,  other  than the
participation  rights  provided in the Rights  Agreement  dated as of August 17,
2007 by and between the Company and the investors named therein,  rights created
in connection  with the  transactions  contemplated  by the Purchase  Agreement,
warrants to purchase  16,336,433  shares of Common  Stock,  outstanding  options
granted under the Company's 2005 Equity  Incentive  Plan to purchase  27,068,327
shares of Common  Stock,  and  18,291,337  shares of Common  Stock  reserved for
issuance under the Company's 2005 Equity Incentive Plan.

         5. The execution and delivery of the Purchase  Agreement by the Company
and the issuance of the Shares pursuant  thereto do not violate any provision of
the Company's Amended Articles or Bylaws,  and do not constitute a default under
or a material  breach of any material  agreement that is listed as an exhibit to
the SEC Filings,  and do not violate (a) any United States federal or California
governmental  statute,  rule or regulation  which in our experience is typically
applicable to transactions of the nature  contemplated by the Purchase Agreement
or (b) any order, writ,  judgment,  injunction,  decree,  determination or award
which has been entered  against the Company and of which we have  knowledge,  in
each case to the extent the  violation of which would  materially  and adversely
affect the Company and its subsidiaries, taken as a whole.

         6. To our knowledge,  there is no action,  proceeding or  investigation
pending  or  overtly   threatened  against  the  Company  before  any  court  or
administrative  agency that questions the validity of the Purchase  Agreement or
that could  reasonably  be expected  to result,  either  individually  or in the
aggregate,  in a material  adverse  effect on the Company and its  subsidiaries,
taken as a whole.

         7.  Based  in  part  on the  representations  of the  Investors  in the
Purchase Agreement, all consents, approvals,  authorizations,  or orders of, and
filings,  registrations  and  qualifications  with any United States  federal or
California  regulatory authority or governmental body on the part of the Company
required for the issuance of the Shares have been made,  obtained or effected as
of  the  Closing,  except  for  filings  pursuant  to  (a)  Regulation  D of the
Securities Act of 1933, as amended (the "1933 Act") and (b) any required filings
pursuant to state "blue sky" laws.

                                       3
<PAGE>

         8. Based in part upon the  representations  made by the Company and the
Investors  in the  Purchase  Agreement,  the  offer  and sale of the  Shares  in
conformity with the terms of the Purchase Agreement do not require  registration
under Section 5 of the 1933 Act.

         9. The Company is not,  and,  after  giving  effect to the offering and
sale of the Securities and the application of the proceeds thereof, will not be,
an  "investment  company" as defined in the  Investment  Company Act of 1940, as
amended.

         The opinions expressed above are subject to the following:

         (a)   The   application   and   effect   of   bankruptcy,   insolvency,
reorganization,  moratorium, anti-deficiency, or similar laws or court decisions
relating to or affecting the rights of creditors generally;

         (b) We express no opinion as to whether specific  performance of any of
the  remedies,  covenants  or other  provisions  of the  Purchase  Agreement  is
available;

         (c) We express no opinion as to the  compliance or  noncompliance  with
applicable  federal and state  anti-fraud  statutes  concerning  the issuance of
securities;

         (d) We express no opinion on (i) the effect of judicial decisions which
may permit the  introduction  of  extrinsic  evidence to modify the terms or the
interpretation of the Purchase  Agreement;  (ii) any requirement that provisions
of the Purchase Agreement may only be waived in writing as to its enforceability
to the extent an oral  agreement has been executed  modifying  provisions of the
Purchase Agreement;  (iii) the enforceability of indemnification or contribution
provisions,  which  may be  unenforceable  in  certain  circumstances;  (iv) the
enforceability  of any  provision  waiving  the right to a jury  trial;  (v) the
enforceability  of broadly or vaguely stated rights;  (vi) the right to damages;
or (vii) the  limitations  imposed by general  principles of equity,  including,
without limitation, concepts of materiality, reasonableness, good faith and fair
dealing, regardless of whether considered in a proceeding equity or law;

         (e) In  rendering  the  opinions  set  forth  in  paragraph  (1)  above
regarding  the due  incorporation,  valid  existence  and good  standing  of the
Company  in  Nevada  and in  paragraphs  (2) and  (3)  regarding  the  Company's
corporate  powers,  we inform you that we are not  licensed to  practice  law in
Nevada and have relied without  further  investigation  on our review of (i) the
Company's  Amended Articles and Bylaws;  (ii) the Company's minute book; (iii) a
Certificate of Existence with Status in Good Standing issued by the Secretary of
State of the State of Nevada with respect to the Company; (iv) relevant portions
of the  Nevada  Revised  Statutes  and (v) a  certificate  of an  officer of the
Company as to certain factual matters;

         (f) In rendering the opinion set forth in paragraph 4 above relating to
the status of the capitalization of the Company,  we have relied without further
investigation  on our review of the Company's  Amended Articles and a summary of
outstanding  securities  of the  Company  certified  to us by an  officer of the
Company;

         (g) We have  acted as  counsel  to the  Company  only with  respect  to
certain  corporate  matters,  the negotiation of the Purchase  Agreement and the
rendering  of these  opinions.  Accordingly,  we may not have  knowledge  of all
matters  of  fact  or law  relating  to the  Company  that  may be  relevant  in
connection with the opinions herein. Any alteration of those facts may adversely
affect our opinions.  Whenever a statement herein is qualified by "known to us,"
"to our knowledge," "to our current actual  knowledge," or similar phrase, it is
intended  to  indicate  that  during  the  course of our  representation  of the
Company,  no  information  that would give us current  actual  knowledge  of the
inaccuracy of such  statement  has come to the  attention of those  attorneys in
this firm who have rendered legal services to the Company in connection with the
negotiation,  execution and delivery of the Purchase Agreement.  However, except
as  otherwise  expressly  indicated,  we have  not  undertaken  any  independent
investigation  to  determine  the  accuracy  of any such  statement  (including,
without  limitation,  any search of  litigation  filings in any court),  and any
limited  inquiry  undertaken by us during the  preparation of this letter should
not be regarded as such an investigation.  No inference as to our current actual
knowledge of any matters bearing on the accuracy of any such statement should be
drawn from the fact of our representation of the Company.

                                       4
<PAGE>

         We have not been requested to opine, and we have not opined,  as to any
issues other than those expressly set forth herein, and no opinion is implied or
may be  inferred  beyond the matters  expressly  stated  herein.  Our opinion is
limited to the  current  federal  laws of the United  States of America  and the
current  laws of the  State  of  California,  present  judicial  interpretations
thereof  and to  facts  as  they  presently  exist.  We  also  refer  you to the
qualification  in  paragraph  (e) above with respect to Nevada law. We note that
the Purchase Agreement is governed by New York law and, with your permission, we
are  rendering  the  opinions in paragraph  (3) above  regarding  the  validity,
binding  effect  and  enforceability  of the  Purchase  Agreement  as though the
Purchase  Agreement  was governed by the internal law of the State of California
and for  purposes  hereof  have  assumed  that New York and  California  law are
identical in all  respects.  We express no opinion as to whether the laws of any
particular jurisdiction apply, and no opinion to the extent that the laws of any
jurisdiction  other than those  identified  above are  applicable to the subject
matter  hereof.  In rendering  this opinion,  we have no obligation to revise or
supplement it should the current federal laws of the United States of America or
of the State of California be changed by legislative  action,  judicial decision
or  otherwise.  With  reference  to matters of fact,  this opinion is limited to
information  that has come to our attention  solely in  connection  with matters
involving this firm's engagement as counsel to the Company.

         Further, the opinions contained in this letter are given as of the date
of this letter and are rendered  exclusively for your benefit in accordance with
the  provisions  of Section  6.1(a)(v) of the Purchase  Agreement and may not be
relied upon to state directly or indirectly  any general  proposition or for any
other purpose.  We hereby disclaim any obligation to notify any person or entity
after the date  hereof if any change in fact or law should  change our  opinions
with respect to any matter set forth in this letter.

         This opinion has been rendered to you at the request of the Company and
may be relied upon by you only in connection with the transactions  contemplated
under the Purchase  Agreement.  No other use or distribution of this opinion may
be made,  and no other  person or party may rely on this  opinion,  without  our
express prior written consent in each instance.

Very truly yours,

Hanson Bridgett Marcus Vlahos & Rudy, LLP

                                       5

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00136-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00136-of-00352.parquet"}]]